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Too often, businesses create a complex legal document that makes their attorney happy, but does nothing to motivate salespeople because they simply don't understand it. One quick test of your current compensation program is to ask your salespeople to calculate what their commission would be for three different sales scenarios. Compare their calculations to yours. If they can't do it from memory, or there is any discrepancy between their calculations and yours, you have a problem. And more important, not only is your compensation agreement not functioning as a motivating program ??" it is guaranteed to cause problems when the salespeople get their paychecks.
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