There are very specific ways to use compensation processes to help you build an adaptable organization. The slide show that follows describes an approach that will work for most organizations.
Sales ROI: Not Just Your CFO’s Calculation
By: Carrie Ward, director of consulting services, SalesGlobe and Rebecca Sandberg, director of consulting services, SalesGlobe
Return on investment is notoriously difficult to identify for sales compensation, but it’s a critical measure of success. Most C-level executives want to know the answer to two questions: What are we getting out of our sales compensation plan? How much does it cost us? In chapter 18 of The Compensation Handbook, we discuss 7 key drivers to develop your ROI definition, including: business and sales strategy; alignment of sales comp plans; productivity value; resource cost; setting expectations; communication plan; and don’t operate in a silo. Calculating sales compensation ROI is an iterative process that starts with, and always comes back to, the overall company strategy.