Sales managers plan, develop and implement compensation plans ripe with incentives to motivate their sales teams. But five minutes after the newest compensation program debuts, salespeople “game” it to maximize their income. As they do, they’re finding and using the incentive program’s design flaws. That works for them, and now you can make sure it works for your sales targets. With the right incentive plans, salespeople earn maximum pay when they sell at their peak. Sales performance expert Christopher W. Cabrera explains how to use empirical data to develop efficient, effective incentive compensation plans. Even though he promotes his company’s software in every chapter, he still provides an outstanding resource. getAbstract recommends his insights and strategies to executives and managers who want to design incentive compensation plans that lead to top sales performance.
In this summary, you will learn
- How pay incentives evolved,
- How the four primary pay incentives work,
- How to design an effective incentive compensation plan,
- Why that requires using empirical data and
- Why it’s good when your salespeople “game” your incentive plan.
About the Author
Sales performance management expert Christopher W. Cabrera is the founder and CEO of Xactly Corporation.
Comment on this summary
3 years agoSales compensation plans need to:
1. Support the business strategy
2. Drive salespeople behavior to that strategy