Glossary
Compensation restructuring
Changing compensation to accurately reflect rep performance and value.
Compensation may need restructuring if it's not accurately reflecting sales reps’ performance and value.
Restructuring happens when reps are overpaid (typically due to poor forecasting) and the company isn’t earning enough profit, therefore must decrease commission values.
Compensation may also be restructured as a final warning to underperforming reps, by reducing guaranteed salary to emphasize performance-based commission.
Restructuring happens when reps are overpaid (typically due to poor forecasting) and the company isn’t earning enough profit, therefore must decrease commission values.
Compensation may also be restructured as a final warning to underperforming reps, by reducing guaranteed salary to emphasize performance-based commission.