1. Sales and Distribution Management, 2e Dr Tapan K. Panda, Great Lakes Institute of Management, Chennai Dr Sunil Sahadev, University of Sheffield, UKCopyright 2011 Oxford University PressChapter 12: Sales Force Compensation

2. Chapter 12 Sales Force CompensationCopyright 2011 Oxford University PressChapter 12: Sales Force Compensation 3. Factors influencing the design of a compensation plan Financial stability Size of the market Nature of the productCopyright 2011 Oxford University PressChapter 12: Sales Force Compensation 4. Types of compensation plansFinancial compensationNon-financial compensationCopyright 2011 Oxford University PressChapter 12: Sales Force Compensation 5. Financial compensationStraight salary planStraight commission planBonus and incentiveSalary plus incentive (combination plan)Drawing account and commission planAllied methodsCopyright 2011 Oxford University PressChapter 12: Sales Force Compensation 6. Non-financial compensationPromotionsRecognitions programmesFringe benefitsExpense accountsPerksSales contestsCopyright 2011 Oxford University PressChapter 12: Sales Force Compensation 7. Steps in designing a compensation planDetermine sales force and compensation objectivesDetermine major compensation issues Implement long-term and short-term compensation plans Relate rewards to performanceMeasurement of performanceAppraise the compensation planCopyright 2011 Oxford University PressChapter 12: Sales Force Compensation