A common cost of incentive management that is either overlooked or, at best, challenging to quantify is dispute resolution. It is not uncommon to incur a cost of $1,000 to resolve at $100 error. As the person expected to oversee and account for budgets and cost containment, the leader of a finance team is often saddled with managing costs that are loosely tracked or not tracked at all.
One of the more frustrating, time-consuming and costly aspects of old fashioned methods of incentive management has always been errors in sales commission payments that lead to payroll disputes. Not only do disputes create more administrative costs, they can erode the trust of the sales team. Sales representatives that don’t trust that they will be compensated for their efforts accurately and in a timely manner will be less motivated to perform, and likely pursue opportunities to game the system.
Reduce Incentive Disputes
With Glocent’s Sales Transaction Intelligence (STI) gathering capabilities, which promotes accurate sales incentive reporting and error-free sales compensation calculations, both sales employees and management can trust that incentive payments will be consistent and reflective of true sales transaction data. Glocent can also handle complicated commission plans like split commissions or rewards incentives based on non-revenue data sources. Sales managers and commission administrators can also access commission details to make adjustments when needed. Employees can also access their sales activity online, or using mobile phones, before payment is processed in order to double check records and eliminate payroll disputes before they arise.
Dispute Resolution Process
The detailed sales information used by Glocent not only creates accurate sales compensation payments, but it can also lead to a smooth dispute resolution process. The compensation administration staff can easily track the sales process to find where the error occurred. Sales employees can fill out an online form that demonstrates that all sales activities that would lead to a commission have been completed. As the employee moves through this process, they will often find an error in some part of the sales process that would indicate that the sale had not been completed. Because both management and employees have access to incredibly detailed records of every sale and the incentives associated with them, disputes can be resolved before they even arise.