If you have a business which uses hard on sales then it is going to be absolutely critical that you have a solid sales comp plan in place for your staff.
The brilliant Josh Melick has recently complied a fantastic blog post detailing exactly how to put one of these systems in place, as well as discussing the key features of such a plan. Beyond the details around what exactly this kind of system will look like, it is important that first we focus on the wide range of benefits which companies can count on when they do decide to implement this kind of process within the business.
At the heart of this is basically offering your employees more money for the more sales which they make, and here is exactly why it is so important that more businesses focus on getting this right.
Making More Money
Ultimately this comes down to the most important thing in any business around the world, and that is having the ability to make more money. This is after all what we need in business and through incentivizing the staff the company will be able to do exactly this. The more sales that the employees make, the more money that the business will make and all told, that means good news for everyone involved.
People will often say that having staff competing against each other is not a good thing but the reality is that when this is done well, competitive staff can in fact be a great thing to have. If you have some of your team making more money than others, this can go two ways. With some staff they will sulk that they are not making the same money as their colleagues for what they feel is the same job. For others however you will be able to use this to light a fire underneath them and give them the impetus to really go after those sales.
One of the most important things with Josh mentions in his piece is the need to really deliver this kind of system. This means clearly leading out what it looks like for employees and most importantly, making sure that they are always paid on time. If your company is able to set up this kind of system and ensure that staff are in fact paid on time, then you will be able to create a far more harmonious workplace. Most sales staff just want to earn money and if they know that they can do this based on their level of commitment and their work ethic, you will be able to put a big smile on their faces each and every month when they get paid. We all want happy staff as this boosts productivity, and this is a system which will most certainly be able to help these employees feel happier in their job.
This is why you have to nail the sales comp plan in your business.