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The classic guide to raising your bottom line with the perfect compensation strategy―fully revised and updated!
Sales compensation WORKS!
Nothing motivates a sales force better than a powerful compensation program. And when your salespeople are motivated, revenue soars. But how do you design a program ideally suited for your business strategy and organizational needs? It’s a delicate balance that makes all the difference between profit and loss.
More and more sales leaders have turned to Compensating the Sales Force to help them discover problems in their present system and create a compensation program that works best for their needs. Now, in the second edition of this authoritative, jargon-free handbook, sales compensation guru David J. Cichelli brings you completely up to date on setting target pay, selecting the right performance measures, and establishing quotas. He supplies clear guidelines for building the right compensation plan for any type of firm, of any size, in any industry, and he offers step-by-step procedures for implementing each approach.
In Compensating the Sales Force, second edition, Cichelli has substantially expanded the book’s popular formula section, and he provides brandnew examples of:
- Income producer plans
- Sales rep commission plans
- Bonus plans
- Incentive plans
- Base Salary management plans
The book also includes all-new chapters for global, complex sales organizations and hard-to-compensate sales jobs.
Using the lessons in Compensating the Sales Force, you’ll construct and calculate accurate formulas for payout purposes and establish highly efficient support programs, such as sales crediting and account assignment.
Complete with dozens of real-world examples that illustrate important points and demonstrate specific techniques and procedures, Compensating the Sales Force provides all the tools you need to design and implement a sales compensation plan that maximizes profits―and keeps them climbing.
With brand-new chapters on GLOBAL SALES TEAMS amd COMPLEX SALES ORGANIZATIONS!
Praise for the first edition of Compensating the Sales Force:
“If your company is refocusing its efforts on sales revenue enhancement, you must read this book. If you want motivated salespeople and superior sales results, act on its content.”
Noel Capon, R. C. Kopf Professor of International Marketing, Chair of Marketing Division, Graduate School of Business, Columbia University
“This book provides great guidance for any business leader who wants to capitalize on sales compensation as a tool for driving business results.”
Rick Justice, Executive Vice President, Worldwide Operations and Business Development, Cisco Systems
“Dave Cichelli is the premiere sales compensation educator today. You will immediately find this work informative, helpful, [and] thought-provoking.”
Mark Englizian, former Director of Global Compensation, Microsoft Corporation
- Sales Rank: #101750 in Books
- Published on: 2010-07-08
- Original language: English
- Number of items: 1
- Dimensions: 9.30" h x 1.10" w x 6.30" l, 1.28 pounds
- Binding: Hardcover
- 304 pages
About the Author
David J. Cichelli is Senior Vice President of The Alexander Group. He has been an instructor at several academic institutions, including Columbia University. He is a frequent speaker at national association meetings and serves clients from a variety of industries, including financial services, high-tech, software, telecom, and health care. Cichelli authored WorldatWork’s one-day class on sales compensation.
Most helpful customer reviews
5 of 5 people found the following review helpful.
Must have for sales comp admins & leaders
By David R. Egloff
I keep recommending this book to my team and colleagues. It's a great blend of industry analysis, thought leadership and practical tips. David Cichelli is a fantastic resource in this industry. His experience and knowledge are rightfully documented for us all to leverage as sales comp experts. I agree with the reviewer who stated that this needs to come off the bookshelf and be left on the desk. My copy sits with sticky notes hanging out of it, highlighted passages, and penned notes in the margin.
I have read many books on sales comp and would wholeheartedly state that the first book a person should purchase is "Compensating the Sales Force".
2 of 2 people found the following review helpful.
Pedantic but worthwhile
By Gilbert Vondrasek
The author does a good job of explaining sales compensation to the uniformed and was laid out in a easy to follow format. His examples are generally good but for some of the more complex possibilities he could have done a better job by providing us with more detailed examples. The book was very helpful in understanding how the world of sales compensation works. Not a creative or innovative book and he does not explain the real motivation behind why variable compensation should be used or what real value it has. The book is about how the world works not about any new or creative ideas. Sometimes that is enough.
1 of 1 people found the following review helpful.
Compensation plans that work for the company and the sales force
By Amazon Customer
Outstanding book on how to create compensation plans. Exhaustive resource that covers every facet, even specialty situations and jobs. Perhaps the best book on the subject. "Compensating the Sales Force" starts strong and only gets stronger - not a common feat for most books. David J. Cichelli has made a dry and often academic (or at least a complicated and math laden) topic understandable.
"How salespeople are paid has an immense effect on their performance." Absolutely and perhaps nothing is more important than a compensation plan that aligns the company's goals with the demands of the sales force. That said, and one of the best parts of this book is that Mr. Cichelli avoids "the quagmire
of motivational theories that attempt to explain why sales compensation works." This isn't a book of theory but a detailed instruction manual, the "how-to" of getting a plan created, implemented, and administered.
Comp plans can be daunting. "The setting of target pay, selecting the right performance measures, establishing quotas, determining the mix and upside opportunity, and constructing the right formula are examples of the many choices facing those responsible for crafting the right sales compensation plan." This book has the answers!
The contents are exhaustive, just look at the chapter titles below. If you need to create a comp plan that works, this is the one book that is mandatory reading. "Compensating the Sales Force" has loads of illustrations, charts, and examples. The Appendix has examples, surveys, and even software help for plan administration. Excellent resource.
1. Why sales compensation?
2. Sales compensation fundamentals
3. Who own sales compensation
4. Why job content drives sales compensation design
5. Formula type
6. Formula construction
7. Support programs: territories, quotas, and crediting
8. Difficult to compensate sales jobs
9. Compensating the complex sales organization
10. Global Sales compensation
11. Administration
12. Implementation and communication
13. Program assessment
14. Sales compensation design
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