5 Lessons in Incentive Compensation Management
It’s no secret that incentive compensation management can be tricky. And, without the right tools in place, it’s that much harder. Getting sales compensation right is critically important for organizations of all sizes. Diana Stewart, a sales compensation analyst at Pivotal Software, recently hosted a webinar to share her insights into how to succeed with incentive compensation management—as well as the journey that led her and her team to CallidusCloud, now SAP Sales Cloud. Here are five major takeaways from Diana’s presentation.
1. Excel is not ideal
While compensation professionals should master Excel, it’s not ideal for all tasks--it’s too manual and error prone. As companies grow, the scalability just isn’t there. For the best results, modern solutions are needed.
2. All incentive compensation software solutions are not the same
After deciding it’s time to graduate from Excel, you’ll quickly find out there are a number of incentive compensation management solutions on the market. The last thing you want to do is deploy a system that ends up not working. You’ll have to pay consultants incredible sums of money. There will be a productivity drain on the team, too. When you invest in a tool and find out it’s not customizable and doesn’t meet your needs, you may end up back in Excel—even though you’ve spent a lot of money on the new platform.
3. Automate the entire process
There’s no sense in making compensation management any more difficult than it needs to be. For the best results, reduce human touch points as much as you can. The more manual the process is, the more room for error there will be.
4. Take your time
Choosing the right incentive compensation management solution is an investment. Take time to make the right choice. Look for solutions that will work over the long term. They need to be scalable. They need to meet your demands. And they need to be easy to work with. If it isn’t user-friendly, no one will use it.
5. Ask your network
In the world of compensation, helping each other is the way to go. You never know who will be on your team next. As you begin your search for a solution, tap into your team and your network to see what they’re using and ask for their input. The more data you have on hand, the easier it will be to make the best decision. Check out the webinar for a deeper dive on the subject.