Is your sales compensation plan getting you the results that you need?
Years ago a Fortune 1000 Technology client decided to award the President's parking spot to the top sales rep each month to motivate performance. Parking was a real hassle for employees (#1 on a recent employee satisfaction survey). The sales compensation team was excited about the low cost of the reward compared to the anticipated revenue and employee satisfaction jump.
Guess what? The President's spot was as far away from the sales team's office as possible. It became a running joke instead of an incentive. Not surprisingly in hindsight, the parking spot did not drive additional revenue or engagement. When it comes to sales compensation, experts know that effectiveness does not come easy.
"Messing" with people's paychecks is a big deal. Unintended consequences are common with poorly designed and implemented sales plans.
While most sales compensation plans have good intentions, we have seen more sales teams rebel against new plans that would actually pay them more money than we can remember.
Additionally, sales leaders looking to increase revenue face an increasing challenge in recruiting and retaining qualified sales people. While the unemployment rate may be high, finding top sales talent continues to be a struggle for many.
Total sales compensation programs that reflect the strategic goals of the employer and the varying needs of its sales force are an integral part of hitting sales targets.
Learn more about sales compensation, design, and planning...
About LSA Global
Founded in 1995, LSA Global is a leading performance consulting and training firm that helps high growth technology, services, and life-science companies create a competitive advantage by powerfully aligning their culture and talent with their strategy. Learn more about getting aligned
