Two Incentive Plans for Compensating Team Leaders

As we described in Chapter 6, you can use the incentive plan design formula to support team initiatives. At the same time, appropriate compensation plans for the team leader positions may be dramatically different from the traditional salary/incentive compensation programs for other management and leadership positions. The same building blocks used to develop plans for new sales roles and new sales management roles may lead to quite different results when applied to team leader roles.

The first critical decision relative to compensation for these roles is whether there should be an element of at-risk pay for the job or if an add-on recognition bonus is more consistent with executive expectations ...

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