How to Design an Incentive Compensation Plan That Works

Sales Benchmark Index

Article Sales Strategy SBI for SMB comp planning compensation plan plan sales comp sales compensation

2018 Sales Compensation Planning

Your Sales Management Guru

Align Sales Compensation with Your Goals A compensation plan that works. Note: This week’s blog is an excerpt from my new book: “Creating High Performance Sales Compensation Plans”. Sizing It Up Compensation plans shouldn’t be developed in a vacuum.

Is Now the Right Time to Pull the Compensation Trigger?

Sales Benchmark Index

Article Sales Strategy b2b sales sales compensation sales incentive pay sales incentive pay changes sales rep comp plans sales strategy sales variable compensation

Incentive Compensation Design in the Retail Sector

OpenSymmetry

What does the Future for Incentive Compensation Design in Retail Hold? Before designing an incentive plan, organizations must first define the criteria that relates to the area of responsibility for each role, or what we compensation experts call “line of sight”.

Leveraging Kaizen Principles for Incentive Compensation Management

OpenSymmetry

Our customers are seeing long-term success with implementing enterprise Incentive Compensation Management and Sales Performance Management solutions for their organizations. The post Leveraging Kaizen Principles for Incentive Compensation Management appeared first on OS Blog.

Five Bottom-Line Benefits for Incentive Compensation for Retailers

OpenSymmetry

With the help of incentive compensation management solutions, retailers are able to increase market share and drive the desired sales behavior. Incentive Compensation helps: Improve sales performance by aligning sales behavior with business goals to improve efficiency.

How to Make Sure You Aren’t Paying 10 People for One Deal

Sales Benchmark Index

Article Corporate Strategy Private Equity and Activist Investor Sales Strategy SBI on Demand compensation compensation planning incentive plan pay too many sales sales comp sales compensation sales incentive sales reps

2015 Sales Compensation Plans

Your Sales Management Guru

Creating a Sales Compensation Plans. Some pay commission based on sales, while others only pay on margin; still others blend both with incentives and special bonus plans. In short, sales compensation should be not just a tactical focus for your organization, but a strategic one as well.

Get Your ‘C’ Players Jobs with Your Competitors

Sales Benchmark Index

Article Corporate Strategy Sales Strategy SBI on Demand "A-Player" c player comp design compensation compensation planning compensation strategy incentive on target earnings OTE salary benchmark

Salary 151

Sales Performance Management 101 for HR: Keeping Employees Motivated Through Compensation Transparency

OpenSymmetry

Incentive compensation management systems, a core piece of SPM solutions, can automate calculation of sales commissions, bonuses, and MBOs, as well as directly linking each of these variable payments to the associated performance metric. Join industry experts from OpenSymmetry and IBM will hold a webinar on January 23 to show how HR specialists can use SPM solutions to keep sales staff motivated and confident in their compensation.

[Webinar Wrap-Up] Incentive Compensation in Retail: 5 Bottom-Line Benefits

OpenSymmetry

To take it a step a further, connecting customer experience to compensation protects your operational costs. Your organization cannot let a record-breaking retail holiday season go by without maximizing the benefits of incentive compensation to: Motivate sales teams.

Sales Compensation: The Ultimate Guide

Hubspot Sales

Sales compensation is one of the trickiest aspects of the sales organization to get right. How sales compensation should work. A sales compensation plan operates from a basic principle: Money drives behavior. to calculate compensation. Sales Compensation

You Know You’re a Sales Compensation Consultant When

OpenSymmetry

An inside look of what it’s like to be a sales compensation consultant. Many people don’t know what it’s like to work as a sales compensation consultant. Here’s what they came up with: You know you’re a sales compensation consultant when….

Crush Your Number with the Right Compensation Plan

Sales Benchmark Index

Today’s topic is incentive compensation planning to hit your revenue goal. Joining us for today’s show is Eric Schwab, a Chief Revenue Officer who knows a thing or two about revenue growth. To follow along download our 10th annual workbook, How.

A Forthcoming Shift of Pharmaceutical Sales Compensation Plans?

OpenSymmetry

In some cases, incentive compensation (IC) methods have evolved to align with new regulations regarding specific sales metrics. Bowe claims this could be a source of the overdose crisis and a case of crossing the fine line between sales incentives and public health.

Compensation Plans for Top Sales Performers

Sales Benchmark Index

Effective incentive compensation is designed to reward desired selling behaviors. Compensation Planning Human Resources Buyer Behavior Buyer Process Map Sales Turnover Your top sales reps have been living with the comp plan since kickoff.

Expand the Reach of Your Sales Team with SDRs

Sales Benchmark Index

Article Marketing Strategy Sales Strategy heather young Sales Development Rep Sales Development Representative sales leads SDR SDR compensation SDR incentive SDR management SDR onboarding

The Strategic Account Manager – How do you Compensate This Critical Role?

OpenSymmetry

The Strategic Account Manager is included in this group and is amongst the most difficult roles to compensate in sales organizations. So, how do you compensate this key role? We completed a sales compensation plan audit for a telecommunications company last year.

Juuust right incentives

Sales and Marketing

Author: Tim Houlihan Sales leaders are always trying to figure out how to get the most out of their reps at the lowest cost, and incentives are excellent at revealing that sweet spot. Finding the sweet spot for an incentive is like how Mama Bear’s porridge was juuust right.

Capturing the Yeti: Calculating and Optimizing the ROI of Your Sales Incentive Plan

OpenSymmetry

Much like the elusive yeti, the identification of Return On Investment (ROI) for a sales incentive plan is believed to exist by enthusiasts from the sales compensation design team, but met with much skepticism by others, namely the Finance department. So how do you prove the existence of ROI in your sales incentive plan proposal? So how do you measure the mysterious ROI of a sales incentive plan? Incentive design clearly has a major influence.

Wells Fargo: The True Cost of “Unchecked Incentives”

OpenSymmetry

Over 70% of sales organizations report using spreadsheets to calculate sales compensation and commissions for sales team members, which may be susceptible to integrity loss as they are shared throughout the organization. Richard Cordray, director of the Consumer Financial Protection Bureau, suggests “unchecked incentives” were the root cause of the fraudulent accounts, further elaborating, “Incentive compensation structures are common in businesses and they can motivate positive behavior.

Survey Results Validate Need for Transparency and Automation in Incentive Comp

OpenSymmetry

The results provide some interesting, yet not surprising insights to the compensation operations of various organizations. As it relates to operational challenges pertaining to period-to-period incentive compensation processing, the following three challenges emerged from the survey results: Limited reporting. Especially in terms of workflow, there is no functionality to automate adjustment submission and field approval prior to involving a compensation administrator.

Why Automate Sales Compensation Management

OpenSymmetry

On November 19 th , 30 organisations gathered in London at the e-reward conference to discuss the benefits of compensation management software. What are some of the challenges your organization faces as it relates to sales compensation automation?

Is Your Compensation Plan Driving Sales to the Wrong Finish Line?

OpenSymmetry

This is where effective compensation plans come into play, as they can make a big impact on driving behaviors through the “Why.” However, a new compensation plan that helps reps achieve their objectives faster or more easily will get reps on board, answering the basic question of, “What’s in it for me?” Most effectively, aligning compensation plans with the goals of the business gives reps the reason “Why” to sell a particular product or service to a particular type of customer.

A Forthcoming Shift of Pharmaceutical Sales Compensation Plans?

OpenSymmetry

In some cases, incentive compensation (IC) methods have evolved to align with new regulations regarding specific sales metrics. For example, Corporate Integrity Agreements (CIAs) were implemented by the DoJ as a way to curtail off-label drug promotion which forced companies to ensure their sales incentives encouraged proper compliance. Bowe claims this could be a source of the overdose crisis and a case of crossing the fine line between sales incentives and public health.

Juuust right incentives

Sales and Marketing

Author: Tim Houlihan Sales leaders are always trying to figure out how to get the most out of their reps at the lowest cost, and incentives are excellent at revealing that sweet spot. Finding the sweet spot for an incentive is like how Mama Bear’s porridge was juuust right. The rule of thumb for calibrating incentives is to pay out between 3 and 10 percent of total compensation (commensurate with the period the incentive is active).

Guest blog: 10 Success Factors For Quotas Part 1

OpenSymmetry

When executives design a good sales compensation plan, the team steps back and admires the final product. It carries the same level of impact as the sales compensation plan but often lacks the attention it requires. Quotas involve a different set of players than sales compensation.

Quota 67

Guest blog: 10 Success Factors for Quotas Part 2

OpenSymmetry

Incentive Compensation Sales Performance Management ICM Incentive Comp Incentive Compensation Management quota sales Sales Comp Sales Compensation sales performance management SPM

Quota 68

Motivated by Achievement and Stimulated by Compensation

Jonathan Farrington

I quote … “As organizations have begun to see the benefits of collaboration, they’ve also, unsurprisingly, started to change their sales incentives and reward systems. The plodders, will usually perform to the same standard or level, however you compensate them.

Competition: The Invisible Enemy of Compensation Planning

Sales Benchmark Index

Each year, HR professionals pay for benchmark compensation data. It also includes a Competitive Compensation Analyzer to identify your unique situation. Discover tactical solutions to get the most out your incentive comp dollars. Poor Compensation Drives Turnover.

SPM Transforms the Career Path from Admin to Analyst

OpenSymmetry

In this fourth post, we discuss how sales compensation administrators can streamline the incentives management process using SPM technology and in doing that transform their role from an administrative function to a business and analytical function. Sales compensation administrators face a significant workload dealing with many stakeholders, sensitive pay-related outputs and tight deadlines.

IBM ICM Users, Rejoice: v10 is Here

OpenSymmetry

You may have heard of the IBM ICM (Incentive Compensation Management) Version 10 release and all of its bells and whistles. Reports give administrators the ability to compare compensation plans, track reactions to market changes, and quickly identify high-performing individuals and teams. Incentive Compensation Sales Performance Management IBM ICM Incentive Comp Incentive Compensation Management upgrades

Align Sales Compensation with Your Goals

Pipeliner

A compensation plan that works. Note: This blog is an excerpt from my new book Creating High Performance Sales Compensation Plans. Some pay commission based on sales, while others only pay on margin; still others blend both with incentives and special bonus plans. Your sales management team must understand your company’s overall goals and structure compensation to align with them. Compensation plans shouldn’t be developed in a vacuum.

The Ins & Outs of Variable Pay Compensation Structure for Sales Teams

Sales Hacker

With increasing focus on grit and many claims of meritocracies in organizations across the country, why does variable pay compensation even exist? On top of that, why are sales people some of the few employees subject to variable compensation structures?

Sales Performance Management 101 for Finance: Know the Cost of Your Investment in Sales

OpenSymmetry

The main issue is a lack of visibility which leads to an unknown total cost of sales and lower ROI than expected from sales compensation. The sales team produces a large body of disparate information which needs to be collected, converted into a suitable format and analysed to build out forecasts and leverage incentive compensation for peak sales performance. With high visibility, all sales costs can be monitored and ROI of sales compensation initiatives can be measured.

Sales 51

Crush communication siloes during your ICM implementation

OpenSymmetry

Incentive Compensation Sales Performance Management communication ICM Incentive Comp Incentive Compensation Management sales Sales Comp Sales Compensation sales performance management SPMIt’s the beginning of the year, and a much-needed ICM implementation may be in the works. However, without getting the right information to the right people at the right time, your rosy future state may come with conflict, confusion, and delays.

11 Sales Compensation Complaints to Address Before Next Year

Sales Benchmark Index

This post is for Sales and HR Leaders planning 2014 Sales Compensation. It provides a number of common Sales Compensation complaints. I also discuss some underlying causes of the complaints that may not be compensation-related. The Sales Compensation Complaint Checker has 8 more.

Does Your Sales Incentive Plan Drive Customers Away?

Sales Benchmark Index

The purpose of every incentive compensation plan is to influence the actions of sales reps. HR leaders should act now to align the compensation plan with the customer's interests. Sales incentives can be like square pegs. Incentive compensation is intended to reward specific behaviors of the sales force. Here are some real-life examples of poorly designed incentives. Product Launch Incentive. Customer Satisfaction Incentive.

Guest Post: Managing Salespeople: Compensation Survey!

Your Sales Management Guru

Ken: We have two posts today, first How to Manage Manipulative Sales Employees and a BONUS Sales Compensation Survey to help you plan. BONUS Sales Compensation Survey. Service Leadership’s 2012/13 Annual Solution Provider Compensation Survey is Now Open! .

Survey 144

Your Guide to a High-Performance Outbound SDR Team

Sales Benchmark Index

Podcast Sales Strategy Lead Generation Sales Development Rep sales strategy SDR business case SDR compensation SDR incentive SDR management SDR onboarding SDR TeamToday’s topic is understanding how to leverage Sales Development Reps to generate leads for the sales team.