Sales Performance Management Best Practices Blog

Rethinking Sales Compensation in a world of increasing sales complexity

Posted by Jerry Hegarty on Fri, May 17, 2019 @ 14:05 PM

A collague recently forwarded over an informative video from Frank Cespedes of Harvard Business School focused on Sales Compensation and his views on its place in a best in class sales process. I've summarizing the highlights related specifically to Sales Compensation below and provided a link in case you have the time to view it.

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Topics: SaaS Sales Compensation, Sales Comp Plan Fundamentals, Sales Performance Reporting, Sales Compensation Professional, Sales Performance Metrics & KPI's

Sales Compensation Plans and the Goldilocks Principle

Posted by Jerry Hegarty on Mon, Mar 11, 2019 @ 11:03 AM

In reading a recent article on the possibility of other life forms in outer space I was amazed at how an interesting principle they referenced could be applied to our thinking about Sales Compensation design.

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Topics: SaaS Sales Compensation, Sales Comp Plan Fundamentals, Sales Performance Reporting, Sales Performance Metrics & KPI's, Territory Management, Sales Quota

Highlights from recent 2018 Sales Compensation Trends survey

Posted by Jerry Hegarty on Fri, Aug 3, 2018 @ 11:08 AM

The Alexander group recently conducted a survey of sales compensation trends with 135 sales organizations. The survey was conducted at the end of 2017 with expectations for 2018 an integral part of the exercise. Now at the mid-way point in 2018, an interesting question is not only how your sales organization matched up with the survey groups results & expectations, but now with six months in the books, what, if anything, has changed and why ? We take a look at several takeaways highlighted by the survey as ask a few questions to consider as you take stock of 2018 at the half way mark.

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Topics: SaaS Sales Compensation, Sales Comp Plan Fundamentals, plan design, Sales Compensation Professional, Human Resources, Sales Quota

A primer on sales compensation plans for growing sales teams

Posted by Jerry Hegarty on Wed, Dec 6, 2017 @ 15:12 PM

When growing your business, setting up and managing compensation plans for sales reps can be a daunting task. The temptation to add too much complexity too fast can sacrifice the strategic benefit of simplicity and clarity.  The goal at the beginning should be to start with a solid basic plan structure that can evolve and adapt as your sales team grows and specializes.

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Topics: Sales Comp Plan Fundamentals, plan design, Sales Operations

Should your sales operations team be on a sales compensation plan?

Posted by Jerry Hegarty on Wed, Mar 19, 2014 @ 12:03 PM

The debate about whether Sales Ops should be on a sales comp plan can be quite lively. On one hand, sales operations can mean different things to different organizations and be the root of some deeply rooted opinions. Some Sales Ops roles may greatly influence sales results and outputs (i.e. setting quota’s or deal level opportunity identification) while others may have more of a focus on activities such as training or sales compensation administration. In short, it can get a bit confusing about what is the best way to approach this question. Simplifying this complex issue and adding some context and definition to the issue is the first step in making the right decision.

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Topics: Sales Comp Plan Fundamentals, EVP/Sales Leader, CFO/Finance Leader, Sales Compensation Professional, Human Resources, Sales Operations

Sales Compensation & recent Harvard Business Review conclusions

Posted by Jerry Hegarty on Tue, Feb 18, 2014 @ 06:02 AM

An interesting article was published recently by Adamson, Dickson & Tomas of CEB in the Harvard Business Review 'Why Individuals No Longer Rule on Sales Teams' which certainly got my attention.

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Topics: Sales Comp Plan Fundamentals, EVP/Sales Leader, CFO/Finance Leader, Sales Compensation Professional, Sales Performance Metrics & KPI's, Human Resources

Territory Management - an important link in the Sales Performance Management chain

Posted by Jerry Hegarty on Wed, Feb 12, 2014 @ 08:02 AM

Sales Performance Management is a term that has evolved over the past few years to describe the process of measuring and rewarding sales performance. In the past, similar industry terminology such as Sales Incentive Compensation Management (ICM), Enterprise Incentive Management (EIM), and many other acronyms were popularized by consultants and practitioners to describe the same fundamental process of measuring and rewarding sales achievement. Practitioners using the term Sales Performance Management typically refer to three keystone elements to the process;

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Topics: Sales Comp Plan Fundamentals, EVP/Sales Leader, CFO/Finance Leader, Sales Compensation Professional, Human Resources, Sales Operations, Sales Professional, Territory Management

Communication tips for global Sales Performance Management teams

Posted by Jerry Hegarty on Wed, Jan 22, 2014 @ 09:01 AM

Improved Sales Performance Reporting (New Years Resolution #1) is a vital element of your Sales Performance communication strategy, but it is just one element of a broader effort. When you are dealing with a sales force that is spread out geographically, the quality of forethought that you put into your communication strategy can be the difference between success and failure.

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Topics: Sales Comp Plan Fundamentals, EVP/Sales Leader, Sales Performance Reporting, Communication/Reporting, CTO, CFO/Finance Leader, Sales Compensation Professional, CEO, Human Resources, Sales Operations

New Years Resolution #2; Improve Accuracy of Sales Comp Calculations

Posted by Jerry Hegarty on Thu, Jan 9, 2014 @ 09:01 AM

With New years Resolution #1 aimed at improving the clarity with which you report and communicate sales performance to your sales and executive teams, it makes sense to be sure that the results and data which we are communicating are as accurate as possible.

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Topics: Sales Comp Plan Fundamentals, EVP/Sales Leader, CTO, CFO/Finance Leader, Sales Compensation Professional, CEO, Human Resources, Sales Operations, Sales Professional, Accuracy

New Years Resolution #1; Improve Sales Performance Reporting

Posted by Jerry Hegarty on Mon, Jan 6, 2014 @ 11:01 AM

It's that time of the year again and I have no doubt the list of things you would like to improve and accomplish in the new year is long. As a manager, one of the improvements that can have a massive payback on your companies health is to improve the way you report performance to your sales team. Feedback from surveys on Sales Performance Management by WorldatWork & OpenSymetry tells us that for at least 75% of us, there is a tremendous opportunity to improve reporting Sales Performance to your organization. Here are some quick 'take aways' from the survey. 

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Topics: Sales Comp Plan Fundamentals, EVP/Sales Leader, Sales Performance Reporting, Communication/Reporting, CTO, CFO/Finance Leader, Sales Compensation Professional, Human Resources, Sales Operations