What is Profit score?

It’s a simple practice for measuring and visualizing the performance of an individual, both at the personal level and at the team level. Majorly to keep track on the progress made on OKRs within the timeline devoted. These scores typically help employees to engage proactively towards achieving goals.

Profit score rules have 4 components and all of them are optional, so you can create a rule with just one component or all 4 components. Manager decides the respective weightages to be given for each of the above Profit score components.

Helen, a mid-level Manager

Let’s take Helen who has 20 employees in her team and explore how her profit score will get calculated. The points against each component are customizable for each employee while setting up the account.

Reporting Promptness – 20 Points

This component addresses how promptly Helen is reporting her status. There are additional settings that govern this:

• Penalty per miss – This defines how many points get deducted for each miss.
• Grace Period – This defines how many days extra are allowed per update.
• Free misses – This defines how many times a user can miss updates without impact.

Assuming you dock 2 points per miss and you allow 1 day of grace period for updates and you allow 1 free miss, Helen will get 18 points out of this component since she missed two updates during this trailing check period.

Individual Achievement – 40 Points

This component takes into consideration, the individual achievement of Helen.
Helen has achieved 70% of her objectives as of now. Since this component carries a weight of 40 points, Helen will get 28 points (70% X 40 points) towards her profit score from this component.

Team Achievement – 20 Points

This component addresses how well a user’s team is achieving its OKRs.
Helen’s team on aggregate has achieved 60% of the objectives. Since this component carries a weight of 20 Points, Helen will get 12 points (60% X 20 points) towards her profit score from this component.

Alignment – 20 Points, Target alignment – 20%

This component addresses how well a team is aligned with a user.
Not every member of the team needs to align themselves with their manager. So, you can define a target alignment as part of the profit score. If the target alignment is 20, then the user will be considered fully aligned when 20% of his team is aligned with him.

Helen has 20 employees (both indirect and direct) in her team, and 10 of them are aligned with her, resulting in her alignment score of 50% (10 divided by 20). Since Helen’s alignment (50%) is higher than the target alignment of 20%, she will get the full 20 points for alignment.

Helen’s profit score will be as follows:

Default Profit Score Rules