The following 8-Step approach has been developed for the structured development, review and implementation of a Performance Based Contracting (PBC) Framework:

• Step 1 - Conduct Business Case Analysis (BCA);
• Step 2 - Define the Outcomes;
• Step 3 - Define the Performance Measures;
• Step 4 - Set Performance Levels;
• Step 5 - Specify the Performance Regime;
• Step 6 - Specify the Incentive Regime;
• Step 7 - Contractual Framework to Support the Performance Management Framework (PMF);and
• Step 8 - Conduct review of the viability of the PMF.