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Is This Really a Bad Idea in Practice?
If you don't have clear metrics, then you do end up with people's biases taking a huge role. I would guess that the lawsuits about somebody not getting the bonus or getting fired in a system like this would be impossible for the lawyers to defend. And everybody would end up furious and you'd end up losing tons of money because you spent 50% of the profit of the company defending against the four lawsuits from the people who actually probably should have been fired. So there are elements there that I think would be useful, but I also think that yeah, this is not something I would tell a CEO to do.