This means that the employee can increase his income by up to 30% in the short term with very good performance. While this increase in income but not as permanent income is guaranteed, since new performance targets are set in next year. The yield of the company improved. Companies that lead their employees the remuneration in sales to target and reward, generate demonstrably better results. The reasons for this are clear target definitions, in a better direction and management of employees in larger incentives for top performance, in a later identification of the employees with the sales objectives, a better focus on revenue and cost elements, as well as in the consideration of strategic Performance components. Experience has shown that the changeover to a new compensation system already pays off after only a few months. Teamwork in sales is strengthened by the concept of remuneration.
Many employees together pull through the integration of several areas of employee in the remuneration system (Office, service, product management, development, etc.). Corporate interests face Department interests. A target-compliant collaboration is encouraged. Fast and flexible adaptation to changes in the market: Good designed variable remuneration models in sales are designed so that on the one hand steady contracts can be concluded with employees and the Works Council, that but on the other hand the compensation system at any time can be adapted to current tasks and objectives. This ensures that up-to-date interests of the company are paid and not those that you had yesterday.
Well designed sales compensation creates competitive advantages and help to exploit market potential. It binds the Staff more into at the right targets and developed a high performance culture. It is also attractive for good employees also for those that must be obtained from the labour market. So set, modern sales compensation manages the balancing act, above-average to reward excellence, and to be able to make an important contribution to improvements in corporate yield at the same time. Dr. Heinz-Peter Kieser