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Variable pay selection

A metaphor for variable pay more and more seems to be the machine that some of the companies use, and others do not. Those who have it see it as the best machine ever. Companies that do not use the machine believe it is not a good machine.

Companies invest in this machine for multiple reasons; motivation of people, achieving higher results, steering on activity, improving turnover/ profitability, having the team profit of when things go well and other reasons.

Supporting management and sales teams

Being a sales manager (looking for a job, please feel free to contact me) I prefer to make choices based on information and insights. The bigger the subject is, the more information you would like to gather. Therefor it surprises me that the effect of variable pay on company result (long term) has hardly been researched.

  • Research that I am setting up now in order to support managers of companies around the world making better informed choices.
  • Research supporting (sales) teams to receive the tools and steering they deserve as professionals.

Choosing your right machine

When a company would invest in a machine, or when you as a person buys a car research you will spend time gathering information.
Interestingly this is hardly the case in creating payment structures. 50% of the companies that I have interviewed in the last few weeks only used own knowledge. 25% created the structure with their team, making it a total of 75% that did not research externally.

This would never happen buying a machine or a car. Where the pay structure of a company is a huge part of total cost ánd affects the (claimed) most valuable part of your company PEOPLE.

Which machine is used?

There are many types of (variable) pay, Commission, bonus, profit share etc. 83% of the respondents use some kind of variable pay.

This is very interesting, 83% use a machine of which the effects are not very well known.

Join the research

Interestingly hardly no thorough research has been done whether this machine really adds value to the company in aspects of turnover of profitability. Even trying to find the answers would be difficult.

That is the main question we will try to answer in the next years.

With the current companies that already have joined, we will be 80% valid. I invite you to join in the research, making it as strong as possible.

In a few weeks the online environment will be ready in test. Ensuring save and easy data collection. It will take you 1 hour per year providing anonymous data and 10 minutes per salesperson in for a questionnaire.

Every year between march and June we will collect data, analyzing it in summer (this research is not my job).

Got to the research page information or to join. Or just contact me.

Gain knowledge

By joining in this research not only will you get the most detailed answers.

Also you will receive summaries from sources that I study. This will save you a lot of time and you will stay updated about the scientific research.

Last but not least you will be part of research that has never been done. Sort of like Mars Rover, but not fully.

You can also just join in this subject, please fill out the data on the google form; https://forms.gle/DZdaGTzFL1hqV9AL8