- Bad plans can bring bad results. When sales incentive plans go awry, the results may impact the budget as well as employee engagement and motivation.
- You are not alone. Organizations can learn from the missteps — and rebounds — of others.
- Balance is the key in planning and payouts. Examine the big picture to avoid or correct misalignment issues.
Bad sales incentive plans (SIPs) happen for a variety of reasons and lead to a range of consequences, from motivating the wrong behaviors to exceeding budget. This article explores four common mistakes, specific organizational examples where the mistakes were seen, how the issues were solved and some takeaways.
In-Practice Issues and Practical Opportunities
Better Aligned, Better Results
Various circumstances can lead to incentive plans that don’t align with company goals. By reviewing the above scenarios and evaluating whether they apply in your own organization, you can effectively update your SIP to increase motivation and strategic alignment while maintaining fiscal responsibility.
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