It is also worth considering that the effectiveness of a team-based incentive plan is dependent on the size of the team. Some companies will utilize an organization-wide incentive plan. Such plans can be too far removed from individual performance to be an effective motivational tool. For example, if a company with national scope has an incentive plan that is also national in scope, it can be difficult for employees in a particular region to see the impact of their work on the firm's total productivity.
The decision of which of these plan types is more desirable will be dependent on a number of factors, including the independence of the sales force, the degree of cooperation that is required to generate a sale and the degree to which the members of the sales force may potentially cannibalize one another in the course of their work. If there is high risk of cannibalization, then an individual incentive plan would need to be structured in such a way that this does not occur. A team-based plan may be appropriate to ensure that the sales force is at its most efficient collectively. If there is little risk of cannibalization and the sales force members can handle the sales task with relative independence, then an individual plan may be more appropriate.
The types of incentives offered will also serve to orient sales force behavior. This concept relates to the direction of the incentives. The incentives are always tied to an objective or a set of objectives. In choosing the objectives, the company must...
Incentive Plan Incentive Program Proposal Real Estate Company Employee motivation is the key to increasing productivity at any organization, but it is particularly important in sales related industries such as Real Estate. The real estate sales force must be able to remain motivated even in the face of continual ejection from buyers. To remain motivated and productive requires a combination of both intrinsic and extrinsic motivation. Pay incentives and other benefits are
If this was the case, the client would probably feel overwhelmed by a team of people all trying to influence them. Instead, the sales force needs to have people with a business approach and with a relationship building approach, as well as someone with a sales approach. The next consideration is the training required of the staff. Considering that the approach to be used is based on teamwork, it is
2). The company has demonstrated this effect time and again as it enters new, standardized product categories, such as network servers, workstations, mobility products, printers and other electronic accessories; in fact, almost 20% of every standards-based computer system sold in the world today is a Dell: "This global reach indicates our direct approach is relevant across product lines, regions and customer segments" (Dell at a glance, 2007, p. 3). Today,
Sales and Strategy 1 What strategy decisions are needed in the personal selling area? Why should the marketing manager make these strategy decisions? The strategy decisions needed in the personal selling area (a) how to motivate, (b) how to maintain order and structure, (c) how to incorporate sales technology support into the process, (d) how to select and train the right sales team, and (e) how to ensure fair and appropriate compensation
Organization Analysis Analysing Organisation: Using relevant theoretical perspectives frameworks, critically analyse organisation choice. Analyzing organization is the process of assessing the organizations systems, functionality and capacity so as to increase the organizations performance, efficiency and overall output. This is done by using various theories and models whose aim is to understand the structure of the organization, technology and behavioral relationships Bate, Khan, & Pye, 2000. This should be a periodic and detailed activity
Organization Behavior "Performance Management" and "People Performance" Performance Management and People "Performance Management" and "People Performance" Management SUMMARY The purpose of this paper is to discuss and critically evaluate the Performance Management model by Michael Armstrong and People Performance model by John Purcell. The paper starts with an ample introduction and significance of the employee performance management practices and proceeds by discussing the various concepts and strategies which are incorporated by business organizations all over
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