Every company is different, but key to a successful and effective sales compensation program is articulating and documenting guiding principles that reflect your corporate principles and culture.
Changes in Corporate Ownership
When companies merge with each other, or spin-off business units to other companies, the transition of the sales compensation program becomes one of the most critical elements in maintaining sales momentum and preventing attrition in the sales force. Nothing tells your sales people more about the culture of the new venture than how their sales compensation plans are changing. We can develop a plan to evaluate and consolidate the respective sales compensation programs, and implement new plans that support your business objectives as well as respect the corporate culture of all entities involved.
Organizational Changes/Internal Restructuring
Whether a company is combining corporate functions, creating new sales channels, or globalizing their sales force, a reassessment of sales compensation strategy is often called for. Allow us to examine the current strategies, benchmark against best practices, and develop a transition methodology that minimizes distractions and focuses your sales people on your priorities.
Marketing Initiatives/Changes in Marketing Strategy
New product launches, realignment of competitive positioning, refinement of the value proposition – all of these marketing initiatives depend on your sales people to translate them to customers and prospects. Rely on our expertise in developing impactful incentive programs that help drive your marketing message through to your customers.
Sales Force Recruitment/Attrition
While a number of factors are often at work, when companies cannot recruit the caliber of sales person they need or are experiencing unacceptably high turnover in their sales force, the sales compensation program is often a root cause. Let us help determine if the sales compensation plans are a contributing factor, and suggest alternatives that can help attract and retain the quality of sales professionals you need to be successful.
The governance and administration of the sales compensation program are typically the responsibility of a number of organizations throughout the company. An effective governance plan identifies functional responsibilities across departments, as well as definitions of authority, and levels of approval for the sales compensation program. Let us review your current governance plan and develop one that is tailored to your company and is in compliance with industry best practices.
Compensation Cost of Sale
Changing market conditions require a hard look at all expenses, and understanding your sales compensation cost of sale can be key to improving underlying cost structures. Often overlooked are the eligibility criteria for being paid under the sales compensation program – too many peripheral or support people can drive your cost of sales up. We can quantify your current compensation cost of sale and recommend changes to bring it in line with your competitors.