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Sales Team Compensation

This is another post in my occasional series about Sales, after my recent session at the in Cambridge.  The , we have sales teams that consist of an inside sales person, a field sales person, and an application engineer.  They work on the same accounts and are compensated as a team.  Deals can be closed by the inside or outside person.  The application engineer can do sales presentations in a pinch.  By collaborating, they can cover more ground, cover for each other, and divide up the work.  Our field people are the most senior, and they tend to lead their teams.  We use salesforce.com to keep everyone on the same page and to capture information about all the sales activity.

The basic rules of our compensation plan is: 1) there is no motivation to favor direct sales over reseller sales, 2) everyone on the team is compensated for all the sales activity in their territory, and 3) if we end up with some sort of complicated commission split situations for sales that cross territories, etc., I use the wisdom of Solomon to figure out what to do.

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Comments

Excellent and mature advice.

The sales and implementation team that works well together reflects so well on the selling company. I have found that occasionally, the chemistry of certain people works badly and so have had to reassign people to ensure a smooth and collaborative face to the world (vs. internal bickering which if exposed to a prospect or customer, is a sign of danger). It does take some maturity (and occasionally training and exercises) for employees to understand and then appreciate that the differences among them are in fact strengths for the team as a whole.

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