The process for granting awards in QapMap is simple and intuitive:
When an employee is awarded performance-based vesting rights, the vesting schedule for that employee is manually updated to reflect this change. As a next step, the company has to recognize or approve the performance parameters as achieved, partially achieved or not achieved at grant level. By doing this, the company can verify the performance against the vesting rights and approve the appropriate % of vesting. The remaining options get cancelled.
For example, the company can recognize say only 60% of the options should be vested. The balance 40% is not achieved and will be unvested and cancelled.
Note on Tranche validations for performance conditions
- Same vest date is allowed if 1 tranche is time and 1 is performance
- Same vest date is allowed if for same date 2 tranches with 2 performance conditions (considering a performance condition attached to each tranche is unique)
- Same vest date - allowing time-based vesting 2 tranches is not allowed