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	<title>Comments on: Compensation Plans &#8211; Planning your growth</title>
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	<link>http://billdotson.com/2007/07/01/compensation-plans-planning-your-growth/</link>
	<description>Technology and Business Development Consultant</description>
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		<title>By: Nathan S</title>
		<link>http://billdotson.com/2007/07/01/compensation-plans-planning-your-growth/comment-page-1/#comment-287</link>
		<dc:creator>Nathan S</dc:creator>
		<pubDate>Thu, 13 Aug 2009 20:46:19 +0000</pubDate>
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		<description>&quot;Everyone should have a shot at short term compensation bumps (like a commission) and long term benefits related to the performance of the company (stock options, profit sharing, etc).&quot;

This is key! If you read about Sales commissions on the web, it won&#039;t be long until you run into a horror story about sales commissions gone wrong. Either sales members try to game the system, to the detriment of the company, sales people are driven to work against eachother, or moral is destroyed. The missing element in these situations is profit sharing. Everyone KNOWS what good behavior is, knows when their actions are not to the benefit of the company, or when they&#039;re abusing a system. The key is to have a blanket incentive which discourages these behavior in a generalized form... if it&#039;s a formula, people will find an important element to abuse - something that you can&#039;t quantify, or which has been left out of the equation accidentally. Bottom line, if your company gives stock options, your employees will want your company to be successful.</description>
		<content:encoded><![CDATA[<p>&#8220;Everyone should have a shot at short term compensation bumps (like a commission) and long term benefits related to the performance of the company (stock options, profit sharing, etc).&#8221;</p>
<p>This is key! If you read about Sales commissions on the web, it won&#8217;t be long until you run into a horror story about sales commissions gone wrong. Either sales members try to game the system, to the detriment of the company, sales people are driven to work against eachother, or moral is destroyed. The missing element in these situations is profit sharing. Everyone KNOWS what good behavior is, knows when their actions are not to the benefit of the company, or when they&#8217;re abusing a system. The key is to have a blanket incentive which discourages these behavior in a generalized form&#8230; if it&#8217;s a formula, people will find an important element to abuse &#8211; something that you can&#8217;t quantify, or which has been left out of the equation accidentally. Bottom line, if your company gives stock options, your employees will want your company to be successful.</p>
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		<title>By: &#187; For Lexington Vistage Members</title>
		<link>http://billdotson.com/2007/07/01/compensation-plans-planning-your-growth/comment-page-1/#comment-8</link>
		<dc:creator>&#187; For Lexington Vistage Members</dc:creator>
		<pubDate>Fri, 13 Jul 2007 00:23:06 +0000</pubDate>
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		<description>[...] thoughts on employee compensation: The first on general comp and the second on professional services sales team compensation. The second article [...]</description>
		<content:encoded><![CDATA[<p>[...] thoughts on employee compensation: The first on general comp and the second on professional services sales team compensation. The second article [...]</p>
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		<title>By: &#187; Sales Commissions - Professional Services</title>
		<link>http://billdotson.com/2007/07/01/compensation-plans-planning-your-growth/comment-page-1/#comment-6</link>
		<dc:creator>&#187; Sales Commissions - Professional Services</dc:creator>
		<pubDate>Sun, 01 Jul 2007 18:39:23 +0000</pubDate>
		<guid isPermaLink="false">http://billdotson.com/2007/07/01/compensation-plans-planning-your-growth/#comment-6</guid>
		<description>[...] my previous post, I listed some questions related to general company compensation plans. This post is about [...]</description>
		<content:encoded><![CDATA[<p>[...] my previous post, I listed some questions related to general company compensation plans. This post is about [...]</p>
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