How Well is Your Organization Positioned to Execute against Business Strategy? 25% Link Bonuses to Strategy 40% Link Budgets to Strategy 20% of Business Strategies Are Effectively Executed 5% of Employees Understand the Strategy “ Achieving Alignment Through Strategy Execution”, Neil Chandler, 24 October 2007, citing Kaplan & Norton 20% of business strategies are executed effectively In 70% of these cases, the reason wasn't the strategy itself, but rather bad execution
What’s Your Strategy for a Single Pay for Performance Solution? “ By 2012, 50% of customers will consolidate their talent management application portfolio down to one or two vendors.” “ Unlocking the Strategic Value From Talent Management Application Investments,” James Holincheck, 26 Dec 2007
Pay-For-Performance must be Embraced Across the Enterprise “ Variable pay should reward the achievement of specific individual goals linked to corporate goals across the enterprise and not be reserved for sales and management roles . Performance and compensation integration (pay-for-performance) enables employers to direct and achieve corporate goals, promote positive turnover, and retain top talent by compensating preferred behaviors and results based on objective performance metrics.” The Forrester Wave™: “Integrated Performance And Compensation Solutions,” Q3 2007 Zach Thomas, August 17, 2007
Best in Class Organizations that Deliver Total Compensation Achieve …
90% increased their revenue per employee
83% decreased labor costs as a percent of sales
73% improved employee job satisfaction
64% increased employee retention
“ Total Compensation Management – Taming Costs and Rewarding Employees,” David Weldon, May 2008
Organizations Recognize the Need for Pay for Performance. However…..
Growing siloed pay for performance systems
Multiple employee performance management and incentive management systems
Legacy and growing SaaS deployments
Rapid departmental deployment
Strain on Finance, HR, Sales Ops, and IT
Difficult to deploy single strategy
Incomplete view of overall employee performance
How to achieve complete alignment - across sales and the broader business?
Pervasive Performance Aligns All Stakeholders with Corporate Objectives
Quotas and territories
Sales Performance Management (SPM) Sales and Channel
Workflow and approval
Employee Performance Management (EPM) Call Center, Marketing, Support Pervasive Performance Management Alignment with corporate objectives
Announcing Callidus TrueTarget™ Non-sales Callidus Sales Performance Management Suite Sales and Channel Callidus Pervasive Performance Suite Single common compensation foundation - TrueComp ® Callidus TrueTarget Extends Callidus Suite to Deliver Corporate Alignment with One Single System New New
Providing employees with rewards of their choice has the greatest impact
IncentOne Offers Marketing Services & Creative Support We partner with clients to ensure that their program is communicated effectively.
Example of IncentOne Employee Power Customized Non-Cash Points Solution to Reward for Multiple Employer Programs TM Easy tracking of points earned and redeemed View multiple programs at once
Customer Success Challenge Like others in the beverage industry, fierce competition was forcing lower margins and decreasing sales revenue. Mountain Dew wanted a program to jump start sales performance among their bottlers.
Mountain Dew implemented an innovative incentive promotion where bottlers were allocated scratch off tickets to be awarded to salespeople that achieved a volume growth target of +5% vs. the same period a year ago (in raw cases).
Participants registered in the online incentive center and were able to enter their code from the scratch off card to uncover the value of their award and shop online for a prize that they would like (ranging from $10-$100)
Promotion was deemed a success!
Mountain Dew achieved a 12% lift in sales for the period of the promotion.
IncentOne helped Mountain Dew to increase sales through innovative incentive promotion.
Customer Success Challenge How to sustain momentum of success in their health and wellness program and find a ‘one-stop shop’ incentive provider that could fit into their existing programs and implement all programs together in one platform.
Took design requirements and custom-built an incentive solution for its flagship program, Motorola’s LIVESMART Challenge
Provided the technological expertise to integrate with and exchange data with Motorola systems and multiple health vendors
96% of eligible employees completed their health risk questionnaire.
Approx. 25% of the workforce took part in the health and wellness programs in the first year – increased to 50% in 1stQtr 2008.
Incentives program has created a ‘buzz’ at Motorola, helping to reinforce the culture of wellness.
Motorola has seen an overall decrease in employee health risk since launching program.
IncentOne provided a ‘one-stop shop’ incentive solution to integrate Motorola’s health and wellness programs.
World’s third-largest manufacturer of wireless telephone handsets
Revenues : $36.6B
Employees : 66K
Motorola develops a portfolio of technologies, solutions and services — including wireless handsets, wireless accessories, digital entertainment devices, wireless access systems, voice and data communications systems, and enterprise mobility solutions — that make mobile experiences possible.