Tagged: sales incentives

The Danger of a Hyper-Focused Sales Culture

We all know that economic incentives are critical to promoting performance.  Going back to the days of Adam Smith, the U.S. economic growth is the result of a basic motivation – hard work can result in significant revenues/profits. Companies create incentives for their employees as well – sales performance is linked to salary, bonuses and promotions.  We have observed skewed sales incentives, such as the...

The Dangerous Mix of Incentives and “Misconduct”

We often hear about the dangerous risk to a company’s culture from rigorous sales incentive programs.  Like most issues, the answer to this issue is not cut and dried. On the one hand, we have a glaring example of failure – the Wells Fargo case.  Financial sales staff were subjected to an incredible sales program – for each client, a sales employee was required to...