Incentive & Commission Management

Reward sales behavior in a balanced way that is consistent with revenue, profitability, quality, and customer outcome.

Incentive and commission models directly influence sales employees' priorities. Plans based solely on turnover can lead to excessive discounts, unsuitable customers, or low-quality orders.

The payment terms must be clear, known in advance, and verifiable through sales records.

Commission criteria

  • Net sales
  • Gross contribution
  • Product or solution
  • New customer
  • Contract or renewal
  • Revenue collected
  • Quota fulfillment
  • Team or individual result

Time to pay

  • Order confirmation
  • Billing
  • Delivery
  • Collection
  • The return period has expired.
  • Completion of contractual obligation

Sharing and associating

Multiple sales representatives, technical experts, or regions can contribute to a single opportunity. Contribution roles and their sharing ratios should be defined in advance.

Correction and appeal

  • Cancellation or refund
  • Payment failure
  • Price or cost adjustment
  • Past period undo
  • Sales ownership dispute
  • Managerial review and audit trail

Design the commission to reward behavior that generates profitable, collected, and sustainable customer outcomes, rather than the highest sales figures.

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