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AnalyticsIncentive Compensation ManagementSalary Planning and Merit IncreasesSales Performance Management

Attract top candidates with competitive incentive programs

By May 3, 2013January 16th, 2023No Comments

Creating and maintaining an effective business can be made easier through the use of sales incentive programs. In order for a company to succeed, it needs to have excellent employees who are looking to further themselves personally and professionally. Read on for tips on how to attract these top performers. Evaluate an incentive program One of the biggest draws for potential employees is a competitive compensation plan. Whether it’s in a bid to attract a top CEO, or a budding member of the sales team, compensation is what drives top performers to join a business. In developing an incentive compensation program, it is important to remember the following:

  • Compensation is about more than just a regular paycheck – a strong compensation program will find the right balance between salary, commission and bonuses among staff. There is no one-size-fits-all approach to compensation, as each company is different. In that same vein, there is no reason why a CEO’s plan should be the same as that of a member of the sales team. Each job description should be catered to what kind of people a company wants to attract, and this includes compensation. According to the Society for Human Resource Management, CEOs often value having stock options in the company as part of the compensation program. This shows that a company recognizes that the work of the CEO directly affects the value of the company.
  • When developing an incentive compensation program, HR officials need to ask themselves whether the new plan would reward the right people who improve business performance, and if the program has the power to keep talented performers around. Evaluate star performers annually to adjust rewards for improvements, and keep on the lookout for up-and-comers in the office across all departments.
  • A common and effective way to motivate employees is by awarding them their commissions in front of others. This incentivizes other employees to work harder and meet their goals so they can join their colleagues in earning extra rewards.

Offer opportunities for advancement In order to draw in top talent to any organization, there must be opportunities for advancement. An experienced sales representative who is changing companies is most likely looking for something more than his or her last employer offered. Attract top performers by opening up a path toward more prestigious roles in the company with higher pay rates. SalesForce Search recommends offering one-on-one mentoring to employees as well as readily available resources explaining paths toward promotions. It’s a good idea to create documents for each role, complete with a job description and means to work toward the position. This can include setting out a percentage increase in pay between jobs, merit increases and a quarterly analysis of employee performance. Set performance targets for new hires to reach before they can be considered for a promotion. This will increase productivity and motivation, and attract highly driven individuals who are looking to further their careers. Company culture is key Increasingly, top sales candidates are receiving multiple offers for employment, all with impressive benefit packages. Once a competitive sales compensation plan has been established, it is important to recognize the value of company culture. During the recruitment process, it is a good idea to explain the history and mission of the company in easily understandable terms, and to develop a clear company personality. An attractive compensation plan not only includes monetary benefits, but also the promise of a satisfying work experience complete with an employee support system, a range of unique activities the company takes part in and business traditions.

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Ballast Point Ventures

Ballast Point Ventures is a later-stage venture capital fund established to provide expansion capital for rapidly growing, privately owned companies in diverse industries, with a particular emphasis on companies located in Florida, the Southeast, and Texas. The BPV partners have more than 70 years of combined experience investing in and building high-growth companies in a number of industries, including healthcare, business services, communications, technology, financial services, and consumer goods. BPV has $200 million under management and seeks to make equity investments ranging from $3 million to $10 million.

Harbert Management Corporation

Harbert Management Corporation seeks to generate superior returns for their investors by identifying and investing in the most promising early growth stage companies in the Southeastern U.S. HMC seeks to capitalize on what it believes are compelling regional dynamics, such as a strong and fast-growing economy, significant research and development activities, and an established entrepreneurial community. The HMC team combines substantial investment, advisory, and operating experience with capital and networking contacts to support great entrepreneurial teams in successfully executing their growth plans. With offices in Birmingham, Alabama; Richmond, Virginia; and Gainesville, Florida, it’s well positioned to partner with entrepreneurs throughout the Southeast.

KBH Ventures

KBH Ventures was an early investor in Iconixx Software. KBH's investment philosophy plays a significant role in the firm's successful track record. KBH believes in running businesses to be cashflow positive and profitable every month. Startups and companies in a startup mode, such as one that has been purchased in distress, are expected to generate revenue within the first six months and reach profitability within the first 12 to 18 months. KBH also only invests in or acquires companies that are in the startup phase or have less than $20 million in revenues. KBH targets technology companies that offer business-to-business services.

S3 Ventures

S3 Ventures is an early expansion and growth stage venture firm with $200 million under management. It’s focused on information technology solutions that solve large business problems. S3 also invests in medical devices that improve the human condition. S3 invests in category-defining opportunities. It partners with the team and help focus methodically on what it takes to build a successful company. S3 today helps talented entrepreneurs take their technology and market knowledge and form valuable businesses in a repeatable fashion. Investment sizes start at several million or more for Series A, B, and C financing.