The Bonus Calculator was married with a written narrative that could be shared with the employees so they were fully aware of how the system worked, which key behaviors would be measured, and what the payout would be for high-performing teams. Simple project data was loaded into this calculator to provide concrete examples to the team and gain buy-in.
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SALES COMMISSION REDESIGN
In parallel, we examined their current sales commission structure. The current system had many variables and, by design, incentivized sales of products which had varying levels of markup. This resulted in a lopsided commission structure which did not align with the sales goals of the company or support longterm customer relationships. In addition, the existing sales commission structure had overly rewarded their salespeople to the detriment of the company’s bottom line. Ownership was not surprised to learn that they had been paying well above industry average for sales commissions, and desired to reset the playing field so that salespeople could still make substantial commissions, but would be more in line with their competitors in the industry.
Over the course of several discussions and workshops, Ascent built a new sales commission structure with tiers for hitting benchmarks towards both individual and company sales goals. The new sales structure rewarded both individual sales and overall sales per year. Similar to the bonus program, a written narrative was developed and sample data was loaded into the new commission calculator. This was then shared with the sales team to gather their input and generate buy-in for the new program.
