Sales Performance Management 101 for HR: Keeping Employees Motivated Through Compensation Transparency

January 09, 2018

In this six-part blog series, OpenSymmetry and IBM outline the impact of Sales Performance Management Technology on each area of the business including Sales, HR, Finance and Executive Management. In this fifth post, we discuss how HR leaders can ensure high employee engagement and satisfaction across sales teams using SPM technology. Join us as we continue our journey to discovering how SPM covers sales best practices for people, process, and technology.

HR plays an important role in optimisation of the sales process and retention of the sales team by monitoring employee satisfaction and employee engagement. From a compliance perspective, especially as it relates to pay, HR needs visibility of key data elements that may be assessed or audited to ensure that there is fairness and consistency in how people are paid. In situations where staff are underperforming, HR needs the ability to put plans in place to improve performance or, in the worst-case scenario, have evidence available should an employee not be meeting the required level of performance.

Sales Performance Management (SPM) solutions links pay to performance and provides all of the supporting information in one place. A single source of truth can be reviewed by sales managers, HR, and finance leaders. Incentive compensation management systems, a core piece of SPM solutions, can automate calculation of sales commissions, bonuses, and MBOs, as well as directly linking each of these variable payments to the associated performance metric. This puts the power in the hands of HR and sales management when it comes to appraisals, with historical and current performance readily available when it comes to discussing pay and promotion. Well-implemented SPM solutions can also have a dramatic impact on employee engagement, which is directly linked to employee retention. Employee engagement can be improved by SPM solutions providing near real online time access to performance data, online coaching and mentoring by Sales Managers who have identified an issue in performance, gamification, and the ability to set up special incentives and short-term promotions for the sales team quickly. Finally, the automation provided by SPM solutions significantly reduces processing time and manual processes, therefore removing the risk of last payments and inaccurate payments - two things that will negatively impact satisfaction of a sales representative.

Based on the above benefits, it is not surprising that best-in-class organisations using an SPM solution have seen sales team turnover decreasing by 25%. Using SPM these organisations are retaining the top performers and moving the “mighty middle”.


Join industry experts from OpenSymmetry and IBM will hold a webinar on January 23 to show how HR specialists can use SPM solutions to keep sales staff motivated and confident in their compensation. Join us by registering today!



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