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June 29, 2010
Making Big Changes to Commission Pay Plans

In a BLR webinar entitled ‘Commission Pay Plans: How to Motivate Your Sales Staff in a Roller Coaster Economy’, David Wudyka discusses what employers should know before making big changes to Commission Pay Plans (CPP). He states that employers should keep these core elements in mind before they embark on wholesale changes to their existing CPP structures and procedures:

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  • Take careful inventory of your current situation. The commission structures that currently exist were put in place for a reason and these have to be carefully considered before any changes are made. Some tweaking of the current plans may be required. However, wholesale changes should be carefully considered
  • Make a list of the biggest sales issues you're facing
  • Gauge the trust levels between sales and the rest of your organization
  • Know what you want your sales force to produce besides revenue. Some companies may desire more new customers over recurring sales

David Wudyka, SPHR, MBA, BSIE, is the founder and managing principal of Westminster Associates (, a Massachusetts-based human resource and compensation firm that specializes in pay, performance, and productivity issues. He brings more than 30 years of professional HR and compensation experience to the table for clients around the country.

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