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It’s much harder to fix the implicit bias in millions of decision-makers than it is to improve a single AI model or process that helps create guardrails and ensure consistent pay.”

While culture is certainly an organizational imperative, most employers intrigued by this model will need to take a brass-tacks approach by examining their compensation strategy as well as staying ahead of potential compliance hurdles.

CCOS is often in the range of 7% to 10% of revenue for B2B companies (but will vary by industry, company size and go-to-market model).; CCOS at Forecast When sales compensation practitioners develop their annual sales compensation plans, they conduct careful financial modeling to ensure the new plan pays ~100% of the sales compensation budget when the company achieves its sales forecast.

An individual to the left of zero is paid less than the model predicts, and the further from zero, the greater the gap.

The models then “learn” with every iteration and steadily improve, which is how the technology earned its name.

.; Using a bell-shaped distribution model, organizations can balance motivation and risk management, better ensuring that incentives reward strong performance without encouraging reckless decision-making.

Ultimately, whether employers opt for a hybrid model or full-time onsite schedule, flexibility in the approach is paramount for it to have the intended effect.

Driving the sweet bread company's business approach is a model with five pillars, including success, value, health, potential and capability.

The approach and lessons are applicable to companies across other verticals, especially those with high recurring-revenue models such as most tech companies with XaaS models.

It could behoove some public companies to borrow the structural differences from private equity-owned companies and incorporate them into their own pay models.