Set the goals in categories that mean the most to the agency, such as revenues, retention, profit. Then define a simple method for calculating incentive awards to be paid if the goal is exceeded. Make it easy for your people to calculate at any time what they will receive if they exceed the goals. Set goals that are achievable, but with extra effort. Look at how actual results have changed over the past few years, and estimate what percentage increase over the least year's results would be reasonable.
Bonuses have to be big enough to get and keep staff members' attention and motivation.
They are linking a staff member's total compensation more closely to agency goal achievement, as well as to personal performance. Communicate results frequently. The purpose of goals and rewards is to motivate staff members to achieve or surpass the goals, and to generate the extra effort necessary when they are falling behind. But this works only if team members know how they are doing, whether they are winning or losing. So, frequent feedback of results is critical.