A fresh outlook on the challenges in the Sales Compensation Management space by Elliot Scott
The coronavirus pandemic has impacted almost every industry in the world, and all of them are striving hard to cope up with these difficult circumstances in their own way. IC landscape is no different and has not been spared by any of these challenges either. Covid has instigated social distancing and virtual meetings to be the new normal limiting the in-person access. This resulted into changing dynamics within the sales operations team across different industries. While talking about all these aspects, Elliot Scott (owner of Elliot Scott Consulting LLC) shares his perspective on the changing and evolving trends in the sales compensation management space.
13 ways to reshape sales compensation plans during a pandemic
We have lived through these unprecedented times of a global pandemic and are now approaching the planning period for the next fiscal. Every industry, be it telecom, manufacturing or insurance to name a few has had its own set of takeaways and challenges to deal with. While few might have seen an upward spike, few have seen the bottom. Regardless, in such a situation, it has become critical for all the businesses to start focusing on next fiscal year’s needs in order to safeguard their salesforce’s area of interests as they are now more worried of their pay check over catching an infection. What is your organization planning to do about it? Here is a list of options for to choose from now that we are past the hiccups and have a grasp of the magnitude of the situation.
Hunter vs Farmer Sales Model: What is your strategy?
Hunters work on capturing new accounts, whereas farmers ‘farm’ the base of existing accounts for incremental or supplementary sales. Some sales positions however have both responsibilities within their roles. When you have such sales positions in your organization, it becomes important to gauge how different salespeople within such sales roles are behaving. This Hunter-Farmer analysis helps you to understand the nature of different segments of sales people in such roles and gain insights into the characteristics of your sales process.
Address Standardization: An effective tool in your MDM toolbelt
Standardizing address terms and enriching the address with additional information is key to greater automated intelligent match and merge of customers and reducing data steward effort.
How to design and analyze market intelligence surveys
Every organization irrespective of the industry at some time or the other wants to conduct a survey (either internally and/or externally) for various reasons around gathering information or collecting feedback.
Why are salesforces in Indian pharma missing opportunities?
To a lot of us, who are aware of the pharma sales cycle, where every single minute with a doctor is a huge opportunity, this may look like an opportunity lost and the blame goes to Mahesh. Natural question that arise is “Oh! Why did he give it up, why couldn’t he engage the doctor when doctor asked if he has something new? After all he is a sales guy and should know the tactics to sell”. Is he proactively preparing for the call by learning from his past interaction with the doctor and tailoring his pitch to accommodate customer’s specific needs and preferences? Does he plan for the list of questions that should be asked to help him better understand the customer profile and build emotional connect with him?
A framework to design your salesforce incentive compensation plans
Incentive schemes act as a strategic tool to align salesperson’s behaviour with business objectives. It acts as a catalyst to motivate the salesforce. Incentive Compensation is the primary tool to differentiate between salespeople based on performance and helps retain top performers by clearly calling them out. It also plays a significant role as part of total compensation structure and acts as a lever to attract top talent.
Tracking customer inter-relationships can be a competitive advantage
Customer Hierarchy management is of key importance to organizations. This information may be available to HQ through third party data sources, however it is important to corroborate this information with the help of various other stakeholders within the organization who are responsible for managing the relationship with these entities.
Are you converting your localized field intelligence into opportunities?
Increasingly organizations understand the importance of healthy information exchange and increased collaboration between headquarters and feet-on-street field representatives. Many times data collection and analytics are functions of the headquarters where they either use in-house secondary data sources or third party data sources to perform analysis, share market insights and create an action plan for the field representatives. Once the field receives this information, there is a constant tussle between both the stakeholders due to several reasons:
A low risk approach to design & develop enterprise web apps
Enterprises are constantly commissioning, creating and deploying web applications to achieve various objectives across their business operations. The standard operating procedure for such deployments are a proposal stage, an extensive discovery and functional requirements documentation stage, implementation, testing and rollout. This traditional approach turns out to be very an expensive and time-consuming affair and as a result, most ideas are nixed early. To mitigate this situation and boost innovation in enterprises, Incentius proposes an alternative strategy for such deployments. We call this the thick prototype strategy internally.
A free tool to visualize costs associated with salesforce attrition
The cost of voluntary attrition is really high in industries where salespeople play a much larger role in driving the top line. It is desirable to keep track of the salesforce voluntary attrition rate on an ongoing basis and analyze attrition trends and patterns. The important question however to ask is “how do we quantify the effect of attrition on a salesforce?”. Can we create a financial model to understand the impact and implications of various factors?
Gauge IPL teams overall performance consistency using analytics (Cricket 2008 - 2015)
IPL season is upon us and the madness is in full flow. Along with the IPL comes the inevitable discussions on which team is better, who is more consistent, etc. An analytical stab at that question
Sales contests definition - Design & Analysis
Sales Contests and SPIFs act as a medium to accomplish specific short term sales goals. They can be quite effective motivationally if used well because of the additional cash/non-cash based incentives over and above the normal IC plan.
Should I look beyond excel templates to manage sales compensation?
Is there financial justification to implement an automated incentive compensation management system? What factors should I consider? Is the ROI worth it? A blog that touches on why an automated ICM is a good idea.
Analysis of internal vs external recruitment decisions
Every company often faces the dilemma whether to recruit externally or promote internally. Which method produces better performers and leaders? This increases the importance of analysing their performance for better decision making.
Tableau visualizations for logistics operations
Logistics companies operate on thin margins in a highly competitive, fast paced business environment. This increases the importance of analyzing ongoing operations to help improve operational efficiency and remain competitive.
Analyze sales compensation payout sensitivity using python (Jupyter)
Sensitivity analysis of sales compensation payouts to sales performance is critical in plan design. A demonstration on how Jupyter can be used effectively to perform a typical sensitivity analysis.
Sales Compensation Analytics: Gauge effectiveness of your IC plan changes
How can compensation planners use analytics to gauge the effectiveness of compensation plan changes. This posts dwells on some of the primary analyses that compensation planners can perform in order to check that the right behaviors were motivated and that no unintended consequences occurred.
Sales Commissions - Tiered, Incremental, Retroactive - What do they mean?
Commissions on sales is the simplest and perhaps the oldest form of incentives. At times commission plans need to be tweaked to help ensure that salesperson behaviour is aligned with organizational goals. This discusses the different variations of commission-based plans that companies employ to ensure that salesperson behaviour conforms to their business objectives.
Sales compensation plans for improving new hire productivity
To ensure motivation when newly-hired reps are still adjusting to their role, they are generally provided extra incentives or are put on special compensation plans. Simple analytics can be used to design the optimum plan for new-hire sales reps which helps them achieve their target incentive while motivating them to sell as much as possible, thereby increasing their sales productivity.
3 unique factors to analyze sales cannibalization effect
There are some other types of cannibalization situations which companies generally overlook. We will discuss three such types of cannibalization situations you might not have thought of while planning.
Press release 2014-03-14 - Amit Jain, Sales Compensation & Analytics expert joins Incentius Team as Partner
Amit Jain, a Sales Compensation & Analytics expert with 10+ years experience in various practice areas within sales and marketing function joins Incentius Team as Partner.
Press release 2013-12-12 - Incentius Launch
Incentius launches to provide support to consulting companies worldwide in sales compensation, analytics and effectiveness space.The company's aim is act as a force multiplier to consulting companies. The company will provide technology and operations support to consulting companies to help them maintain a laser-beam focus on their business and achieve better client growth and satisfaction.