“Winning.” You don’t have to be a rock star from Mars to love winning. Everyone likes to win, and perhaps sales reps most of all: being on top of their game, steadily improving, showing off their successes, earning those big monthly bonuses.
As a sales leader, those are the kinds of players you want on your team. But even though winning is what everyone wants, sales teams can easily go the other way and start to feel frustrated and downtrodden.
Maintaining a positive, energetic morale among sales reps—that “tiger’s blood” attitude—can be tough, especially when they’re having issues with their commissions. A depressed or resentful sales team is catastrophic and hard to turn around. As Vince Lombardi said, “Winning is habit. Unfortunately, so is losing.”
Keep Your Team Looking Forward
Sales reps need a reliable and intelligible commission plan that helps them to not only see their goals clearly, but also how close they are to achieving them, how much they make from meeting their targets, and what they can win if they reach even further.
A great sales commission plan helps reps visualize their success every step of the way. But a bad one does the opposite: it makes sales reps and everyone else look backwards, trying to make sure they were paid enough.
Automation is the smart solution to a backwards-looking sales team.
Here are the top five signs that your company should automate its sales commission management process:
1) All you do is implement, never optimize.
As a sales leader, you find that you’re spending all your time checking the numbers and managing your files, rather than looking for opportunities or making those fine adjustments that will inspire your reps and improve the quality of their leads.
2) Your sales reps do their own shadow accounting.
“Trust dies but mistrust blossoms.” It only takes one accounting error to multiply into many hours of lost productivity, as reps continually check all their numbers over again themselves to make sure they aren’t missing out on their just rewards.
3) Your sales reps are making more than they earn.
Reward your reps well for their hard work, and they’ll reward you with more sales and more revenue. But there’s no need waste the company’s profit on accidental overpayment. That inadvertent “bonus” hurts morale in the long run, as the company looks careless.
4) Your sales reps argue with you over their commissions.
This is a sign your plan is too complicated, especially if it relies on complex Excel operations to calculate and understand. Keep the same plan but give sales reps a chance to visualize their commissions on interactive graphs in real time, and the conflict will be replaced by collaborative goal-setting.
5) You spend all your time looking at spreadsheets.
The good news is that your company is growing. The bad news is that the number of sales reps is growing too, along with the number of transactions they log. If you’re depending on Excel to keep abreast of all that expansion, you’ll be stuck fussing with spreadsheets far more than you want to.
Erase these problems from your playbook and enjoy the many benefits of Sales Commission Management automation: better tracking, smoother pipelines, stronger communication, and sharper forecasting.
Register for an Obero SPM Demo to see how you can start automating today!