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Events

7 May 2017

Aligning the Stars: 5 Approaches to Ensure Your Sales Roles and Compensation Plans Align with the C-Level Strategy

Join Alanna Mahone, Vice President, Human Resources at Mansfield Oil Company and Jim Benard, Executive Director of Consulting Services at SalesGlobe for their Total Rewards presentation in Washington DC on May 7-10. And please stop by booth 714!

It’s the single biggest expense for most companies with the motivational power to move financial mountains, but many executives squander the opportunity sales incentives present to directly impact the growth of the business.

For senior executives, the impact of the compensation plan on the sales organization is one of the most important drivers in reaching the company’s revenue and profit goals. The compensation plan directly guides the efforts of the sales organization. It trumps leadership messages, sales strategies, sales management, and sales training. The sales organization will usually listen and move where compensation leads, good or bad. 

Alanna Mahone, Vice President, Human Resources at Mansfield Oil, a national supplier of energy products, explains five clear steps to designing a sales compensation plan that drives the correct behaviors from the sales organization and helps the company achieve profitable growth. As the sales leader for all of Mansfield’s sales channels, she is responsible for connecting the sales strategy to the roles and incentives that will drive the organization to achieve their goals.

Jim Benard, Executive Director of Consulting at SalesGlobe and 20+ year veteran in Sales Operations and Compensation, understands this connection well. Jim has decades of experience as a practitioner; formerly head of global sales operations for Silicon Graphics and an executive with Amdahl, Cabletron, Stratus, and Clearcube, he now helps Fortune 1000 companies design effective sales compensation programs.

Alanna and Jim have worked together designing complex sales compensation programs that align with the C-level goals. Together they will bring knowledge, experience, and examples describing five methods to ensure the sales compensation plan aligns with the C-level strategy. They envision the session as interactive and discussion-focused, offering attendees many opportunities to share their own experiences and ask questions.

  1. Understand the C-level goals. Too often sales compensation plans begin with the numbers. What did we pay last year? Rather than start with the plan, sales compensation must start with the sales strategy. While C-level executives should not be involved in plan design meetings, they should be involved in the early stages of the process to help set the priorities. Mark and Tom will offer a framework for these C-level conversations, including critical questions around customer goals, financial growth goals, coverage goals, product or market goals, and talent goals.
  2. Include the correct sales roles. Organizations change, as do sales strategies. As those strategies are modified, sales roles either evolve or fail. When companies grow from year to year, they don’t grow in a straight line. They hold onto some revenue from current customers, they lose some revenue and customers, and they grow in other areas. Analyzing the ebb and flow of revenue and profit can help a company understand how it grows, plan for future growth, align sales roles, and motivate the right results in those roles. Mark and Tom will discuss three strategies for revenue growth (retention, penetration, and new customer selling) and which sales roles align best with each strategy for growth.
  3. Understand what sales compensation can and cannot do. One of the ironies of sales compensation is that while it’s a tactical program, it can churn up issues that are actually bigger misalignments of sales effectiveness. Sales executives have to be able to distinguish between issues that are related to sales compensation and those that are indicators of bigger strategic challenges or problems with the sales process. Mark and Tom help to identify these pitfalls that can detract from a clear incentive plan.
  4. Use the Reverse Robin Hood Principle. Too often, upon a close analysis of payment distribution, it becomes clear that your top performers are not earning significantly more than the low performers. Obviously this creates several problems, including retaining those high performers. Make sure your top earners are your top performers, and that you’re not unintentionally over-paying the under-performers. Mark and Tom also offer the Pay Mix Positioner Tool that help determine pay mix based on the desired behaviors for each role.
  5. Set Objectives and Quotas that tie directly to the strategic goals. Once you have effectively articulated priorities around target customers, core and strategic products, channel mix, sales talent, and financial growth it’s time to tie quotas to these objectives. While there are several well-known quota-setting methods, historic-based being the most popular, Mark and Tom recommend a market-view method, which looks at the potential in each market segment and account type.
  6.  

These five points have successfully guided Alanna and Jim in the design of incentive compensation programs that connect C-level strategic goals to the front line sales organization.

See you there!

Contact Jim with any questions: jbenard@salesglobe.com. 

 

12 May 2017

WORKSHOP OVERVIEW

Date: 12th May 2017 ONLY ONE DATE IN 2017!!!
Location: London
Duration:
One day, 9am to 5pm 
Format:
Workshop 
Fees:
£550 + VAT per delegate

This highly-interactive workshop will include real-life incentive compensation situations from attendees and case examples from Global 2000 companies. Mark and Michelle will also provide a diagnostic of company compensation plans, so if class participants have incentive plan analytics or any summary data on their sales teams to share with us ahead of the class, please submit them after you have registered. 

For participants who send in an incentive plan from their company, Mark and Michelle will perform a high-level diagnostic (we will blind the company name) and discuss elements of these different plans during the course – weaving it into the course materials throughout the day.

The workshop will feature numerous hands-on exercises as well as offering participants the ability to work with – and learn from – colleagues, breaking people into small teams.

After registering, please submit your biggest challenge with sales compensation or quotas. Mark and Michelle will select several challenges from the delegates and help to solve them (no proprietary information will be shared with the group). If you email any completed summary analytics of your plans (graphs, charts etc), we will interpret them as part of the sales compensation investigation forensics.

In addition to your session and take-away materials, all participants will receive a signed copy of Mark Donnolo’s book What Your CEO Needs to Know About Sales Compensation.

THE TUTORS

Based in Atlanta, USA, Mark Donnolo has worked as a leading sales effectiveness con­sultant for more than 25 years, helping many Global 2000 com­panies, including Accenture, Bank of America, IBM, Johnson & Johnson, LexisNexis, Office Depot, Orange, Salesforce.com, Sprint, UPS, and Verizon.

Michelle Seger brings the change management viewpoint to the table having worked with global companies for more than 20 years and with her own experience of expanding a retail franchise concept from Italy into the USA.

THE PROGRAMME

  • It’s elementary my dear: Defining and validating your sales roles
  • When you have eliminated the impossible: rewarding and retaining your high performers
  • Plan metrics and analytics
  • You know my methods, Watson: quota setting and sales compensation

WHO SHOULD ATTEND

This workshop provides business professionals with the information they need to understand the right type of incentive plans for their business that will deliver the expected results. It's perfect for all business professionals interested in or responsible for incentive plan design and drivers.

REGISTER NOW http://www.e-reward.co.uk/education/mastering-reward/sales-compensation-masterclass  

GET IN TOUCH

E-reward.co.uk is a leading provider of reward management information through its web site, publications, research, conferences, training and executive pay database. Since 1999, our industry expertise has been delivering the latest thinking, research and education in reward management.

If we can help you with any questions about our reward courses please call us on tel: +44 (0)161 432 2584 or email: paul@e-reward.co.uk

16 May 2017

Quota Setting: Methodologies and Best Practices

Join Jim Benard, Executive Director of Consulting Services at SalesGlobe, for his session on Quota Setting Methodologies and Best Practices at IBM's VIsion 2017 conference May 16-19 in Orlando! 

Quota challenges are consistently at or near the top of the list of sales compensation challenges for most companies. Over 30% of companies don't have quotas ready by the first month of their fiscal year. Almost half of companies fall back on using historic information that doesn't reflect actual market opportunity. Over one-third of companies have a process that the reps don't believe in or don't understand. Even after they're set, 50% of companies continue to make adjustments during the year for the wrong and right reasons. Ineffective quotas can derail even a well-designed sales compensation program. Setting effective quotas isn't just about the numbers. It’s also about the people and process and getting them right is a blend of art and a science.

In this interactive workshop, Jim Benard will discuss the top five quota setting methodologies; how and when to automate your quota setting process, and how to solve common quota-setting challenges, including:

  • Should we set quotas on historical performance or market opportunity?
  • Are we actually penalizing our best reps with our quota process?
  • Is the issue performance or is it the quota?
  • How can we incorporate forward-looking metrics?

 

                            

Attendees will learn:

 

  1. How to implement cross-functional cooperation during the quota-setting process.
  2. How to make quotas work for the organization with an emphasis on a strong pay and performance connection.
  3. How to set a reasonable stretch goal for the organization based on the market.
  4. How to equitably allocate that goal as quotas to the organization.
  5. What portion of the organization should hit quota?

Contact Jim at jbenard@salesglobe.com with any questions!

16 May 2017

Territory Design and Quota Setting: Methodologies and Best Practices

Join Michelle Seger, Executive Director of Consulting Services at SalesGlobe, in her session about Territory Design and Quota Setting at Xactly's CompCloud 2017 Conference in San Francisco, May 16-18! Also, stop by SalesGlobe's booth!

 

Territory design and effective quota setting are tightly connected – more tightly connected than most sales organizations realize. Both can be complicated activities, and understanding how they interact is critical to both your sales incentive plans and the performance of your sales organization.

Territory design goes way beyond assigning geographic regions. You have to understand not only where your clients are, but also how saturated each market is. And, on the flip side, you have to consider the capacity of your sales team. This includes the talent levels of each individual rep and the time each person has to sell. Are their roles contaminated with administrative tasks, or do they have the time to focus and grow their accounts? Once you understand how to allocate the accounts to the people on your team, you can then segment the accounts and design territories that will meet the needs of your customers and help your reps succeed.

Quotas ultimately are set according to the opportunities in the territories you’ve designed.  Yet quota problems are consistently at or near the top of the list of sales compensation challenges for most companies. Over 30% of companies don't have quotas ready by the first month of their fiscal year. Almost half of companies fall back on using historic information that doesn't reflect actual market opportunity. Over one-third of companies have a process that the reps don't believe in or don't understand. Even after they're set, 50% of companies continue to make adjustments during the year for the wrong and right reasons.

In this interactive workshop, Michelle Seger will discusses the top territory design and quota setting methodologies, how and when to automate your quota setting process, and how to solve common quota-setting challenges, including:

  1. What are the most important factors in territory design?
  2. How do we determine rep capacity?
  3. Should we set quotas on historical performance or market opportunity?
  4. Are we actually penalizing our best reps with our quota process?
  5. Is the issue performance or is it the quota?                       

Attendees will learn:

  1. How to effectively allocate and segment accounts, based on market need, strategic importance, and rep capacity.
  2. How to incorporate a territory design process that works for your organization.
  3. How to implement cross-functional cooperation during the quota-setting process.
  4. How to make quotas work for the organization with an emphasis on a strong pay and performance connection.
  5. How to set a reasonable stretch goal for the organization based on the market.

 

 Questions about territory design or quota setting? Contact Michelle at mseger@salesglobe.com!

See you in San Francisco!