This study examines the extent to which the Performance-Based Bonus (PBB) scheme has been executed and identifies implementation deficits, if any. Specifically, it looks into the bottlenecks and challenges encountered by government agencies in meeting the conditions to qualify for the PBB. It also presents initial data on the possible effects of the PBB on at least three levels: (a) agency-wide incentive effects, (b) team-level collaboration effects, and (c) individual staff-member incentive effects. This study finds mixed results on these three main channels of impact. It recommends a general review of the main policy objectives of this reform. It also identifies several concrete reforms that could help sharpen the PBB moving forward.