Using empirical data from 35,000 compensation plans, Xactly Corporation has identified these best practices your company should follow when designing a sales comp plan.
More than 8 years of accumulated big data delivers intelligence and best practices to organizations in all sizes, industries. These are the seven practices that our data shows work against you in your quest to incent right.
Aligning sales performance to your compensation plansInboundsales.net
This complimentary seminar brought together some of Toronto’s top experts in each of these essential fields. Listen to David Johston talk about how you can improve and retain top performers through there compensation plans. (http://www.salesresourcegroup.ca)
Most companies directly equate their sales function with revenue production. Here are five tough questions to ask relative to your company's sales growth posture.
Duncan Bannatyne's seven point plan for surviving the recessionCornerstoneMarketing
Dragons' Den investor and businessman Duncan Bannatyne provides a Seven-Point Plan as to how businesses can survive the recession and remain successful.
Mel feller wants you to develop a profit plan for your business by mel fellerMel Feller
Mel Feller Wants you to Develop a Profit Plan For your Business by Mel Feller
Mel Feller describes a Profit planning as simply the development of your operating plan for the coming period. Your plan needs to be summarized in the form of an income statement, which serves as your sales and profit objective and your budget for cost.
How Is It Used?
The profit plan is used in the following ways:
Evaluating operations. Each time you prepare an income statement, actual sales and costs are compared with those you projected in your original profit plan. This permits detection of areas of unsatisfactory performance so that corrective action can be taken.
More than 8 years of accumulated big data delivers intelligence and best practices to organizations in all sizes, industries. These are the seven practices that our data shows work against you in your quest to incent right.
Aligning sales performance to your compensation plansInboundsales.net
This complimentary seminar brought together some of Toronto’s top experts in each of these essential fields. Listen to David Johston talk about how you can improve and retain top performers through there compensation plans. (http://www.salesresourcegroup.ca)
Most companies directly equate their sales function with revenue production. Here are five tough questions to ask relative to your company's sales growth posture.
Duncan Bannatyne's seven point plan for surviving the recessionCornerstoneMarketing
Dragons' Den investor and businessman Duncan Bannatyne provides a Seven-Point Plan as to how businesses can survive the recession and remain successful.
Mel feller wants you to develop a profit plan for your business by mel fellerMel Feller
Mel Feller Wants you to Develop a Profit Plan For your Business by Mel Feller
Mel Feller describes a Profit planning as simply the development of your operating plan for the coming period. Your plan needs to be summarized in the form of an income statement, which serves as your sales and profit objective and your budget for cost.
How Is It Used?
The profit plan is used in the following ways:
Evaluating operations. Each time you prepare an income statement, actual sales and costs are compared with those you projected in your original profit plan. This permits detection of areas of unsatisfactory performance so that corrective action can be taken.
I gave a talk there recently for the earliest stage companies. This was specific to phone sales, known as "inside sales".
My talk was on:
- Is a) phone sales or b) eCommerce the best sales strategy for your specific company
- How to build out phone sales in a newly founded company
- How to manage long-term growth in an inside sales company
If They Won't Eat What You're Feed Them... (Feed Them What They'll Eat)Fulcrum Partners LLC
Who is most worried about retirement security? The answer may surprise you. In the June 2014 issue of The Exchange for People Strategy, Bruce Brownell covers ways companies can start thinking about ways to creatively restructure their executive compensation plans to provide the greatest benefits to their key executives.
Neuroscience Approach To Sales trainingUmar Hameed
A salesperson's mindset is critical to sales success. Sales training tells salespeople what to do but fails to impact a salesperson's mindset.
This is why many salespeople don't change their old behaviors after a sales training. Neuroscience shows us how to turbo change salespeople with a superior mindset.
Many business owners have no exit strategy for their business. Many have given no thought to when they want to retire and have no plans in place to sell their business at the appropriate time. And not every business will be handed down to the children of the owners.
This presentation details the mistakes most people make and gives some ideas how to rectify them. If you want to discuss the content further please email bob.francis@sgba.co.uk
In most ways, crises are horrible. But know this — crises always end. They are a cyclical part of our market economy and there are black swans that inevitably occur. The only way to build an iconic company is to do things differently. And in a crisis, survival requires being and thinking differently.
Good news: This mini-guide will help you do just that!
P Opening Drive and Pullback - Jan 7, 2014smbcapital
http://wp.me/p2BBgh-96R A trader from the SMBU Trading Community, but not our desk, presented a trade virtually. Trader James C is a recent graduate of SMB DNA 2013. Attendance is free for SMBU Tools subscribers, who can also ask questions during the event. See the power point of this archived trade: $P 2nd Day Opening Drive and Pullback.
The Breakout in GS - The PlayBook Webinar Series smbcapital
The PlayBook is a valuable Webinar event held every Thursday at SMB. Throughout the week traders submit their analyses of a particular trade. They discuss the Big Picture, any news pertaining to the particular stock at hand, and then offer a detailed explanation on why and how the trader behaved as he or she did. This week Mike discussed the Breakout Trade in GS. For more information on The PlayBook Webinar Series, please go to www.smbtraining.com/blog
I gave a talk there recently for the earliest stage companies. This was specific to phone sales, known as "inside sales".
My talk was on:
- Is a) phone sales or b) eCommerce the best sales strategy for your specific company
- How to build out phone sales in a newly founded company
- How to manage long-term growth in an inside sales company
If They Won't Eat What You're Feed Them... (Feed Them What They'll Eat)Fulcrum Partners LLC
Who is most worried about retirement security? The answer may surprise you. In the June 2014 issue of The Exchange for People Strategy, Bruce Brownell covers ways companies can start thinking about ways to creatively restructure their executive compensation plans to provide the greatest benefits to their key executives.
Neuroscience Approach To Sales trainingUmar Hameed
A salesperson's mindset is critical to sales success. Sales training tells salespeople what to do but fails to impact a salesperson's mindset.
This is why many salespeople don't change their old behaviors after a sales training. Neuroscience shows us how to turbo change salespeople with a superior mindset.
Many business owners have no exit strategy for their business. Many have given no thought to when they want to retire and have no plans in place to sell their business at the appropriate time. And not every business will be handed down to the children of the owners.
This presentation details the mistakes most people make and gives some ideas how to rectify them. If you want to discuss the content further please email bob.francis@sgba.co.uk
In most ways, crises are horrible. But know this — crises always end. They are a cyclical part of our market economy and there are black swans that inevitably occur. The only way to build an iconic company is to do things differently. And in a crisis, survival requires being and thinking differently.
Good news: This mini-guide will help you do just that!
P Opening Drive and Pullback - Jan 7, 2014smbcapital
http://wp.me/p2BBgh-96R A trader from the SMBU Trading Community, but not our desk, presented a trade virtually. Trader James C is a recent graduate of SMB DNA 2013. Attendance is free for SMBU Tools subscribers, who can also ask questions during the event. See the power point of this archived trade: $P 2nd Day Opening Drive and Pullback.
The Breakout in GS - The PlayBook Webinar Series smbcapital
The PlayBook is a valuable Webinar event held every Thursday at SMB. Throughout the week traders submit their analyses of a particular trade. They discuss the Big Picture, any news pertaining to the particular stock at hand, and then offer a detailed explanation on why and how the trader behaved as he or she did. This week Mike discussed the Breakout Trade in GS. For more information on The PlayBook Webinar Series, please go to www.smbtraining.com/blog
OpenSplice DDS: The Open Source Middleware Accelerating Wall StreetAngelo Corsaro
In the past few years Open Source has enjoyed an increasingly swift adoption within Capital Markets. This growth has been motivated by the control provided over the technology, as opposed to the lock-in and inflexibility characteristic of proprietary technology, and the performance that Open Source Software has been able to deliver.
Focus 2 - Principii de psihologie aplicata in softwareValentin Bora
Al doilea pas dupa coborarea barierelor este influentarea utilizatorului catre un comportament dezirabil penru business-ul desfasurat de siteul/produsul software dezvoltat de tine.
Afla cateva principii psihologice care se pot folosi pentru a incuraja/influenta comportamentul vizitatorilor tai in directia dorita de tine.
Datasheet: Iconixx for Financial ProfessionalsIconixx
The CFO has a lead role managing the company’s incentive compensation strategy – calculating commissions and bonuses, forecasting future sales for potential compensation plans, measuring data and results and determining the effectiveness of compensation plans. As CFO, your incentive compensation practices must support your priorities of strategy, efficiency and maximizing reward while minimizing risk.
You Have a Predictive Lead Score. Now What? | Best Practices from LatticeLattice Engines
Here are 10 best practices to follow once you have deployed predictive lead scoring, based on the blog post by Keith Burrows, our senior director of alliances and partnerships. Read more here: http://www.lattice-engines.com/blog/predictive-lead-score-best-practices
Every company pays its sales team, but not every company is getting sales compensation right… far from it, in fact. This presentation outlines key sales comp considerations, including how to leverage sales compensation to its full potential; how to design sales comp plans that attract and retain top sales talent; how to pay for actual performance; and how to evaluate your current sales compensation plans. With numerous links to resources and planning tools, this is a must-see summary for CEOs, VPs of Sales, or anyone tasked with managing and improving sales performance.
5 common mistakes with sales incentive systems: Not ensuring that Sales and F...IBM Analytics
What are the most common mistakes in implementing sales performance management systems? Common mistake #2: Not ensuring that sales and finance teams are aligned. Nonalignment of the naturally conflicting priorities between sales and finance can have critical long-term consequences for an organization’s overall sales performance and growth if they are not addressed in the implementation stage of an SPM solution. Overcome SPM implementation mistakes by learning more about incentive compensation: http://ibm.co/incentivecompensation. Then explore IBM Sales Performance Management solutions and resources on our comprehensive webpage: http://ibm.co/spm.
DOs & DON'Ts of Short-Term Incentive Compensation PlansCBIZ, Inc.
Motivating workers is critical to corporate success. Organizations across the country are seeking to continuously improve employee performance, while simultaneously controlling costs. Establishing or expanding incentive compensation programs can be an effective strategy to achieve this objective.
Maximizing employee productivity on a sustainable basis can be an elusive goal. But a properly designed incentive compensation plan can play a big part in making it happen
Aligning your compensation philosophy with business prioritiesPayScale, Inc.
As an HR leader, you play a key role in your organization's success. It's crucial that you work with your company's executive leaders to develop a compensation strategy that supports company business objectives.
In this free, one hour webinar session, Stacey Carroll, SPHR, MBA will present the basics of leading an organization through the steps to align its compensation philosophy with its mission, and values. This webinar will give you a core understanding of the connection between business and compensation strategy.
Sample Business Analysis and Benchmark Report Dalton Shahan
ADP's Benchmarking capabilities allow us to give business owners a detailed look into how their company stacks up within their industry. With this data and ADP's expertise, we are able to provide solutions and programs that help the business excel within their field, often times becoming a preferred employer among their peers.
3. Incentive compensation plans
tend to be aligned with
business objectives at the
strategic level, but the devil is
in the details.
Misalignment creeps in when
individual plan components
conflict with broader goals.
4. Look at the components of
your incentive compensation
plan individually.
Map them back to your
business objectives to make
sure they don’t inadvertently
conflict.
ATONEMEN
T
6. If your incentive compensation
plan has six or seven
components, your sales team
won’t know where to focus.
Worse, you could be using your
plan as a quasi-manager to
compensate for weak
leadership.
1 2 3 4 5
6 7
PERFORMANCE
7. ATONEMEN
T
Shoot for three measures in your
incentive compensation plan. Pushing
that to 4 or 5 is sometimes justified, but
when you hit 6 and 7, employee
performance drops dramatically.
9. How many checks do you cut on a single sales
deal? A few? A few dozen? One hundred and
sixty-one?
1 DEAL
If you’re paying team members whose
contribution isn’t clear, then there’s a good
chance you’re overpaying, and that the link
between performance and payment is broken.
10. ATONEMEN
T
About 75% of companies pay five people on a
typical deal.
Stay up to date on who contributes, and
develop a pay structure accordingly. Let
incentives drive and influence specific
actions.
12. Capped
Commission
s
Holds &
Releases
Payment
Timing
These discouraging practices summon the
wrath of the sales team and weaken the
connection between behavior and reward.
13. Drop those infernal caps.
They prevent sales reps from
reaching their full potential.
Drop the holds. Don’t turn
your sales reps into
collection agents.
Pay on time. Paying months
in arrears is demotivating.
ATONEMEN
T
15. Unexpected payouts to sales reps
can cut into your business’s profits.
Example: Accelerators. They’re a
great tool for motivating your team
to sell more, but you have to keep
your eye on the budget
16. ATONEMEN
T
Avoid unpleasant surprises by modeling not one,
but several budget scenarios in your plan-design
phase. Try these three:
1. What do you expect your sales performance to be?
2. What if a few high performers carry the company and earn far
more than planned?
3. What if a big percentage of reps outperform the plan?
18. It’s good when your gut tells
you that your organization is
doing great, isn’t it?
NOPE.
A solid incentive compensation
plan is built around data, not
intuition or conjecture.
19. Use benchmarks
derived from hard
data to measure
performance.
Use the approach that’s right for you:
benchmarking against an aggregate group,
against industry standards, or self-benchmarking
against company goals.
ATONEMEN
T
21. A solid foundation of data is one of
the “thou shalt haves” of business.
If information you need is swirling
around a murky pool of data, then
your compensation plans more than
likely are based on intuition rather
than facts, and audits will be a
nightmare.
22. Ensure that anyone who earns
incentive compensation can
trace every payment back to a
particular behavior or business
event.
ATONEMEN
T
23. Real Time Attainment Metrics Pay Closer to Sales Event
Motivate Team Trust the System
When you advise to only shoot for 3 measures, will you provide the “top 5” you see in practice that work well for manufacturing and distribution?
One measure that we see being used successfully at some of our customers is Price Realization – this is (selling price)/(recommended price). If this fits with your findings in practice it would be great to include that one but I’ll defer to you.
Xina:
will you provide the “top 5” pieces of data that provide the business with the insights they need?