Discretionary Pay Is Not a Plug for Your Leaky Compensation Plan

Posted by Jason Brown on Mon, Jul 02, 2018

The other day I was speaking with a sales compensation director who had observed a peculiar correlation in her sales comp data. She compared the payouts that salespeople received for their quantitative bonuses—measures of direct sales results—to the discretionary payouts those same individuals received. Like many asset managers, this company uses a framework for determining discretionary pay but provides significant latitude to sales managers in deciding the actual rating for each individual.


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Four Tips to Build an Incentive Plan to Support Your Evolving Sales Strategy

Posted by Brian Keating on Tue, Jun 26, 2018

Every year, insurance companies adjust their sales strategies and then add new components to their incentives accordingly. But sometimes, these changes are just “Band-Aids” and they don’t address fundamental issues. And as new components are added and incremental changes are made each year, sales incentive plans can become quite complex. Eventually, they can reach a tipping point when the incentive plans become too difficult for reps to understand—and therefore less capable of motivating reps to achieve the sales strategy’s stated objectives.


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