The cost of sales compensation vs. productivity over time
Over time, sales people should see their earnings increase with the labor market while their productivity increases at a faster rate, resulting in a reduced compensation cost as a percent of sales.
How do we establish the right pay mix (fixed/variable)?
To establish pay mix for a sales role, the primary consideration is role prominence. As you increase the base pay, you lose motivation; as you increase variable pay, you lose control. How do you find the right balance? (Talking Slide Show, 10:37, 5 slides)
Who should be involved in designing your sales compensation plans?
To design great plans, and ensure good buy-in, we suggest you include a Steering Committee, a Design Team, and a Technology Team. If you are changing your plans much, a Challenge Team is a good idea too. (Talking Slide Show, 3:52, 3 slides)