Leadership Challenge: One For All, All For One
1) Customer service representatives (CSRs) are currently being paid a straight salary. They feel slighted because they are not compensated on a commission bases, but they are putting in extra work to gain and maintain accounts. From the viewpoint as a CSR I would think that a fair solution would be to lower the salespersons commission 5 percent, and give them a small salary in compensation. To figure out the base salary I would take the average commission pay out for all salespersons over the last 5 years and average them. Then divide that in half, and that would be their approximate starting salary. In theory, this would guarantee them half of their last five year average, but motivate to find new customers regularly to increase their 5 percent commission. The commission from customers that call in to talk to CSRs and buy from them should stay with that CSR.
2) The salespersons have been paid on the same pay scale for the past 10 years; they receive a 10 percent commission on gross sales of their customers. Their commission included anyone that called into the store and made a purchase through a CSR. Coming from the perspective of a salesperson I think that our positions of generating new cliental should continue on a commission bases. We would be okay with giving up some of our commission for a base salary, as long as it is an acceptable amount. We are the drivers of new business for the company and even though 50% of the new business is coming in from calls to CSRs, they are only calling after hearing about us from the salespeople. The commission helps motivate us to constantly strive for new accounts, this has been proven for the past 12 years as we have grown exceptionally.
3) As Danielle, I would drastically change the current compensation program. The program currently divides the salespersons from the CSRs and ISPs. It divides the employee base and does not reward or motivate everyone on the Dynamic Printing team. The first thing that I would change is how the salespeople are paid. Having them strictly on commission from total sales worked well in the early stages of the company when the salespersons were doing the majority of the work. When the CSRs took part of their responsibilities they continued to be paid the same. With the team consisting of three entities, the pay should mirror that. Now that the goal of the salesperson is to connect to new customers and pass them along to the CSRs once the relationship is made, I think that they should be rewarded for that. To promote a sense of team throughout all three entities they should all get a commission on total sales, whether the sale is…