Learn how compensation should be used to drive a competitive advantage in organisations. The right commission plan can help attract and retain top talent and it is the most critical factor in driving sales behaviours. It is important to look into the commission data across companies and industries to benchmark what the optimal pay mix should be in order to drive the right behaviours.
In this guide, you will discover:
:: How to use sales data to create a strong pay mix
:: Real-life examples of successful sales pay mix
:: Industry-specific pay mixes
BT, one of Europe's leading providers of telecommunications services, is currently in the midst of a radical transformation of its business in a fiercely competitive and highly regulated market. Without doubt, this is one of the most significant changes in the company's long history. What's more, BT has embarked on a root and branch shake-up of its reward strategy, processes and policies for its managerial and professional employees.
Reward processes have been refocused and "aligned more closely with the specific needs of the business" and rates of reward currently on offer in the markets in which it operates. The new reward framework builds on that foundation and aims to ensure that BT's total reward package remains competitive. Reward is increasingly managed in relation to individual performance and against the external market.
In the 2005 financial year, BT introduced a new pay structure, comprising 250-plus market-based roles in 18 different job families, covering some 40,000 employees worldwide. Pay, bonuses and benefits are now "comparable with the market rate".
For more details see our review, published in the 'Features' section of e-reward.co.uk, 22 November 2005.
Download a 10-page summary of the BT case study in PDF format by clicking here