This PPT slide, part of the 26-slide Sales Compensation Cycle PowerPoint presentation, focuses on the critical relationship between motivation and perceived rewards within the sales compensation cycle. It emphasizes that for salespeople to be effectively motivated, they must believe that the rewards they receive justify the effort they put in. The slide presents 2 main components: Perceived Rewards and Perceived Additional Rewards, each accompanied by key questions that guide the evaluation of motivation.
The first component, Perceived Rewards, highlights the salesperson's view of how effort correlates with results and rewards. It poses the question of whether increased effort genuinely leads to better outcomes. The accompanying considerations suggest that simply working harder or smarter may not necessarily yield higher sales results. Factors such as organizational policies and market conditions can significantly influence this dynamic. Even when increased effort does result in more sales, the existing measurement and compensation systems may not translate that effort into proportional rewards for the salesperson.
The second component, Perceived Additional Rewards, addresses whether the extra effort is justified by the additional rewards. It raises the question of the value of extra effort in relation to the rewards received. The considerations indicate that salespeople might perceive the additional effort required as disproportionately high compared to the incremental rewards. For example, if a salesperson already manages established accounts, the incentive to pursue new business may not seem worthwhile.
Ultimately, the slide suggests that organizations need to assess the "breakeven point" where effort meets motivation. Understanding this balance is essential for designing effective compensation strategies that truly motivate sales teams.
This slide is part of the Sales Compensation Cycle PowerPoint presentation.
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