Exploring the Complexity of ROI in Sales Compensation Design

The Return on Investment (ROI) of sales compensation design is a complex concept that goes beyond just revenue growth. Organizations must define what 'R' means to them, whether it is sales growth, employee retention, or launching new products. Sales compensation is a part of a larger model that includes sales strategy, coverage, and enablement layers, making it challenging to attribute revenue solely to the sales compensation plan. It works in conjunction with various other factors such as the coverage model and sales process changes.