We were asked to redesign the commission program for the company’s inside and outside salespeople.
We first identified the specific sales behaviors that determined success for each type of position. Next, we identified the factors that the salespeople were able to control, and of those factors, which ones the company wanted to reward. Finally, we identified the sales behaviors and metrics that the Sales Manager was willing to regularly monitor (ongoing coaching) and what metrics the company’s financial system was able to accurately measure.
We combined all these factors into a program that allowed the company to compensate salespeople on a number of success factors, rather than just total sales volume, which benefited the salespeople who by sheer luck landed a few “whales” and were “resting on their laurels.”