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Overcoming 5 common mistakes
with sales incentive systems
Forgetting the
“Management” in
Sales Performance
Management
COMMON MISTAKE
#
What Sales Compensation
Managers tend to do
Focus extensive time and energy
on automating calculations
What Sales Compensation
Managers should be doing
Manage sales performance, and
drive behavior that aligns with
company strategies
Provide reports and dashboards that
enable managers to track regularly and
focus their efforts.
Tip
John Linsmar has
the lowest quota
attainment percentage:
I’d better click through
to see his metrics to
find out what’s up.
Tip
Give managers (and representatives)
the ability to drill down to understand
the metrics that matter.
John is strong in
customer interactions.
He has nine interactions
per day and, our
benchmark is set at five.
But he is weak when it
comes to no decision
loss ratio and sales
cycle length, so I should
train or coach him in
these two areas.
Customer example: Learn how DestinationXL
used Sales Performance Management
technology to drive training programs.
[Managers] can understand, at a
glance, the productivity of all of
their associates.”
“Management uses the information
about store productivity—how
many units the store sells every
hour, and how many dollars each of
those transactions is worth—to
help drive training programs.”
Senior vice president of human resources,
[supply company]
Download the full case study
Look at Sales Performance Management from
a holistic employee lifecycle perspective
Assign quota
and territory
Encourage desired
behavior
Process incentives
Visibility for
alignment and
coaching
Learn to be a better
seller
Model and deploy
changes
Use analytics to close
more sales
Profile your
“A-team”
Hire the best
sellers
Onboard for a
quick “ramp-up”
Download the Aberdeen Group report
Beyond the commission: will you stay ahead
of the SPM maturity curve?
You will learn:
Peer-driven recommendations
for the modern sales leader and
sales operations practitioner,
including both basic and
advanced sales performance
management best practices.
Explore additional IBM Sales Performance
Management resources

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5 common mistakes with sales incentive systems: Forgetting the management in Sales Performance Management

  • 1. Overcoming 5 common mistakes with sales incentive systems
  • 2. Forgetting the “Management” in Sales Performance Management COMMON MISTAKE #
  • 3. What Sales Compensation Managers tend to do Focus extensive time and energy on automating calculations What Sales Compensation Managers should be doing Manage sales performance, and drive behavior that aligns with company strategies
  • 4. Provide reports and dashboards that enable managers to track regularly and focus their efforts. Tip John Linsmar has the lowest quota attainment percentage: I’d better click through to see his metrics to find out what’s up.
  • 5. Tip Give managers (and representatives) the ability to drill down to understand the metrics that matter. John is strong in customer interactions. He has nine interactions per day and, our benchmark is set at five. But he is weak when it comes to no decision loss ratio and sales cycle length, so I should train or coach him in these two areas.
  • 6. Customer example: Learn how DestinationXL used Sales Performance Management technology to drive training programs. [Managers] can understand, at a glance, the productivity of all of their associates.” “Management uses the information about store productivity—how many units the store sells every hour, and how many dollars each of those transactions is worth—to help drive training programs.” Senior vice president of human resources, [supply company] Download the full case study
  • 7. Look at Sales Performance Management from a holistic employee lifecycle perspective Assign quota and territory Encourage desired behavior Process incentives Visibility for alignment and coaching Learn to be a better seller Model and deploy changes Use analytics to close more sales Profile your “A-team” Hire the best sellers Onboard for a quick “ramp-up”
  • 8. Download the Aberdeen Group report Beyond the commission: will you stay ahead of the SPM maturity curve? You will learn: Peer-driven recommendations for the modern sales leader and sales operations practitioner, including both basic and advanced sales performance management best practices.
  • 9. Explore additional IBM Sales Performance Management resources