covering all the bases. launching your plan design plan in private (but not in secret) use flexible...
TRANSCRIPT
Covering All the Bases
Launching Your Plan Designplan in private (but not in secret)
use flexible rulesplan crediting rulesuse true-upshave a transition componentcommunicate intelligently
Plan in Privatekeep the planning private while you consider alternatives
avoid secrecy – acknowledge planning
manage the rumor milltry to involve the opinion leaders
Use Flexible Rulesremember the critical objectsavoid rigid mathematicswork the outliersprepare for course corrections
(schedule a revision point)
Plan Crediting Ruleswhat – exactly – carries incentives
what does NOT qualifytiming and time-frames
Use True-UpsWayPoint will use past performance until current numbers are known
true-up: periodic synchronization of incentive pay to actual results
fair for sales force and the companycommon technique in high-end plans
Have a Transition Componentremember the rulesdecide on a transition timeframedevelop a fair transition mechanism
allow flexibilitystick to the plan
Communicate!document the plan:
rates / calculationscrediting rulestimingtransition
acknowledge rumorscommunicate plan objectivesprovide plan to the reps – have them
sign
Common Failure Modesnot planning for outliersinadequate transitionfailing to set expectationsinadequate communicationnot working to get buy-inchickening out
Five Principles of a Good Planpay for persuasionprotect the best repsprevent runaway earningsoperate within budgetprovide performance insurance