How to Help your Company Make the Transition from a Failed Plan to a New Plan
Companies that make the transition from a failed plan to a new plan successfully do at least four things well.
1. Determine the Aspects of Sales Compensation That Are Not Working and Why
Before changing the sales compensation plan, management first looks for symptoms of the sales problem. Of those symptoms, management determines which ones are attributable to the compensation plan and which ones to something else. For example, one symptom may be excessive churn. Will the sales compensation plan help the company retain customers? Not if they are leaving because of poor product quality, late shipments, or inferior after-sale service. In this case, changing the compensation ...