Your firm has started direct selling, and you fear that you will have to recalculate the salaries of your managers every month? In fact, everything is not as complicated and confusing as it seems at first glance. There are several schemes by which you can easily calculate the salaries of your managers.
Instructions
Step 1
When concluding an employment contract with your sales managers, immediately stipulate that the provision of a social package will be regarded as part of a solid salary, and that employees have the right to refuse it if they do not need the services included in it. Thus, they will receive the basic part of the salary in full.
Step 2
The variable portion of your managers' salary can be calculated in several ways. Firstly, its value should depend on the number of transactions concluded, secondly, on the level of the manager's qualifications, and thirdly, on the scale or prospects of the site assigned to him. In addition, you can enter correction factors depending on the length of service in your company, on the volume of transactions concluded, on the prospects of the client base, etc. For example, a manager who has worked in your uniform for several years will receive only seniority bonuses if his sales volumes are not growing, and the client base is not updated.
Step 3
Establish a schedule for paying bonuses. Bonuses can be paid monthly, quarterly, or annually. But the best option is still monthly. Not all employees will be able to withstand the frantic rhythm of direct sales throughout the year or even a quarter, and the prospect of receiving a large salary only once a year or even a quarter will not please everyone.
Step 4
Create sales plans for your employees on several levels. The first (lowest) level - reaching the break-even point of the organization, the second - with a focus on the development of its activities and the third, in fact, the "maximum program" - bringing the company to the leaders of direct sales in the region or country. Of course, these plans should be made taking into account the individual characteristics of the employee, the area of his work and the accumulated client base.
