What are the merits and demerits of algorithm?

Sometimes some organization wishes to be able to give a numerical value to the state of a person's character or behavior, and produces a list of good actions which receive merit points, and bad actions which receive demerit points, then you can add them up and see how someone is doing. If you wash the dishes, you get a merit point. If you litter, you get a demerit point. And so forth.