02 — Capability · BC-350.20
Variable Pay & Equity
Design and run the bonus, commission, incentive and equity plans that tie part of pay to results, and pay them out correctly when the results are in.
- Incentive Compensation
- Bonus Plans
- Equity Compensation
In scope
- Annual and long-term incentive plan design
- Sales commission plan design and calculation
- Equity grants and vesting administration
Out of scope
- Sales territory and quota setting (see BC-430)
- Executive pay approval by the board (see BC-120)
Decomposes into · 4
- BC-350.20.10Incentive Plan DesignDefine who is eligible, which measures count, how payout scales with results and what the plan costs at each outcome.
- BC-350.20.20Commission AdministrationCalculate and pay sales commissions from the plan rules and the booked results, with disputes resolved quickly and traceably.
- BC-350.20.30Equity AdministrationGrant, track vesting and settle equity awards accurately across jurisdictions and corporate events.
- BC-350.20.40Incentive PayoutConfirm results, apply plan rules and approvals, and release incentive payments in the right period.