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Sales Force Compensation

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Sales Force Compensation Adam Goode Dr. Ed Sherbert HRM533: Total Rewards November 4, 2012

Sales Force Compensation In order for a company to acquire the highest number of clients, that company must be able to fully motivate their employees. One of the primary factors to motivate the sales force is compensation. Employees that are in the sales force do want to get commissions for the sales that are made, but they do also want to get a base salary as well. A commission only structure can greatly motivate employees to make sales, yet if they only receive pay for making a sale, an employee might not feel that they need to come to work if they can’t rely on a sale that day. Base pay can make an employee want to choose that job because it can lead to job security (Motivating, 2011). A good mixture of both a base salary, as well as a commission structure will provide the best motivation for a sales person as far as compensation goes. Compensation is not the only thing to goes into motivating someone in the sales force though. Employees also want to gain recognition for results that they have achieved. Rewards don’t always have to be financial for every member, yet can still be a great motivator. Employees will probably work hard to get good results if they were to know those results could send them on some sort of trip, or even just to a nice event outside of the work place. Some employees find intrinsic rewards to be a huge motivator as well though. An employee having their name on an internal leader board might be enough recognition for that employee (What Motivates, 2011). Employees also want to feel that they fit in with the other associates. If an employee does not feel that they fit in, this could do the opposite of motivating that employee. There are not

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