CLIENT      Leading engineering consulting firm with over 500 engineers SITUATION The firm’s compensation system and career levels for owners and consultants emphasized tenure and billable hours, which was inconsistent with the vision of the new CEO. He engaged ThreePoint Consulting to: Modify the compensation system to emphasize business unit and individual performance Re-evaluate and more clearly define the criteria for becoming an owner of the firm APPROACH Over the course of the project, ThreePoint Consulting: Interviewed executives and consultants to help clarify and define the expected/desired behaviors for consultants at all levels of the firm Redesigned the annual performance appraisal process based on a comprehensive set of core competencies linked to business drivers Defined clear criteria for consultant career level progression (what it takes to progress to the next career level, including becoming an owner) Developed a set of alternative compensation systems, each linked to the new performance appraisal process, as well as the financial performance of the firm and its practices Reviewed incentive plan design alternatives with executives and  consultants to assess alignment with desired behaviors, impact on culture, and the potential for unintended consequences Selected and refined the most suitable alternative and worked with the client to communicate and implement the changes RESULTS As a result of this work, the firm’s consultants now have more clarity around their career progression and compensation opportunity. There is increased accountability for performance at the individual and practice level, as well as more direct “line-of-sight,” which enables consultants at all levels to understand how they influence company performance.  These changes helped drive improved profitability, reduce regrettable turnover among high potential staff and attract new senior level staff to the firm.