Compensation And Motivation Of Sales Force Pdf


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16.01.2021 at 06:57
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compensation and motivation of sales force pdf

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Designing an incentive plan to turn sales reps into sales superstars! If you're like most sales leaders, your incentive.

Motivating Salespeople: What Really Works

Members may download one copy of our sample forms and templates for your personal use within your organization. Neither members nor non-members may reproduce such samples in any other way e. Incentive compensation programs stem from the principle identified in the theory of operant conditioning that if one wants a particular behavior to occur or continue, one should reward it, and that if one wants a behavior to cease, one should ignore it or punish it. Incentive compensation programs enable organizations to produce targeted results by rewarding employees who are responsible for those results. Nowhere is this principle better illustrated than with sales compensation programs, where the efforts of sales representatives contribute directly to the company's bottom line. The main purpose of a sales compensation plan is to motivate sales professionals to achieve specific objectives that directly translate to the organization's bottom line. This article discusses issues organizations face when designing and administering compensation plans for sales professionals.

Remuneration

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The Handbook of Marketing presents a major retrospective and prospective overview of the field of marketing, and provides a landmark reference at a time when many of the traditional boundaries and domains within the marketing discipline have been subject to change. The Handbook frames, assesses and synthesizes the work in the field and helps to define and shape its current and future development. It includes contributions from leading scholars in the field, and the input of an international and extremely distinguished advisory board of marketing academics. The Handbook of Marketing will be invaluable to advanced undergraduates, graduate students and academics in marketing. Selling products or services is critical to the success of any business and salespeople often play a critical role in generating sales by communicating the advantages and purchase conditions of offers.

Remuneration

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Companies fiddle constantly with their incentive plans—but most of their changes have little effect. No sales force consists entirely of stars; sales staffs are usually made up mainly of solid perfomers, with smaller groups of laggards and rainmakers. Though most compensation plans approach these three groups as if they were the same, research shows that each is motivated by something different. By accounting for those differences in their incentive programs, companies can coax better performance from all their salespeople.

Much of what we believe about the best ways to compensate and motivate the sales force is based on theory and lab experiments. The findings from this new wave of research support some current compensation practices but call others into question. For example, studies clearly show that caps on commissions hurt sales. Although overly complicated compensation systems have their downsides, research has found that a system needs to include enough elements such as quarterly performance and overachievement bonuses to keep high performers, low performers, and average performers engaged throughout the year.

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2 Comments

Travers S.
17.01.2021 at 23:12 - Reply

To browse Academia.

Varden D.
19.01.2021 at 09:18 - Reply

PDF | Salesforce motivation is one of the most important factors affecting the success of sales organizations. It has been found out that among.

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