I think if Cheika would have had to justify his position midway through the 4 year cycle we would have had a different coach this RWC.
Maybe a two year contract with performance criteria for a 2 year extension.
When Cheika became coach in 2014 he had a contract through to the end of 2017. This is essentially what I'm talking about in the previous post. There was no situation where he just accepts the role with no guarantee beyond the 2015 RWC.
We have a really successful RWC and halfway through the next year Cheika is negotiating his extension to the end of 2019. This is certainly pretty early in the piece because he still had 18 months left on his contract. He's in a strong position to make those demands though and on what basis would RA say no?
I don't think there's any situation where you can wait until the end of 2017 to review. The coach needs certainty (because otherwise they need to have lined up a new job) and likewise, which candidates are going to be available at that time with no real notice of the job being available (but also needing to fill it pretty quickly).
So maybe RA has a window where they could have held Cheika off until early 2017 and done their review then. Would they really fire him after an average but not shocking 2016? I really can't see it happening.
A lot of people seem to take the view that the employer holds all the cards in these negotiations but it really isn't the case.