Volume 2 Issue 6 June 2007

The Smart Way to Model Sales Compensation

Customers gain efficiency and security through an integrated sales compensation system

One of the greatest advantages of automating the commission compensation management process is the ability to easily model sales compensation data and plans. The best-practice approach to sales commission modeling ensures accuracy, efficiency and safety by utilizing a single on-demand environment.

Compel, the leading on-demand sales compensation management solution, was designed as a strategic platform for creating, managing, optimizing and communicating sales compensation programs. This vision has, from day one, included modeling as a key component rather than an afterthought addressed with bolt-on solutions. Centive’s vision has invariably been to deliver an integrated solution that supports the entire commission compensation management process, from plan creation, modeling and commission cost forecasting to data integration, plan and document management, reporting and analytics.

The modern approach — Single Intelligent System

Compel’s mature and time-tested Plan Modeler enables customers to easily create various plan and revenue attainment scenarios within the core Compel solution. Compel enables customers to perform modeling and related cost analysis to evaluate a nearly unlimited number of complex “what-if” scenarios. Customers can instantly clone existing plans, alter and adjust all plan variables - such as rates, tiers, accelerators, overrides, etc. - and then create models that explore related costs based on various projected revenue attainment scenarios.

Costs associated with each model can be evaluated at both the macro (plan) level and the micro (participant) level to ensure costs and associated earnings meet expectations.

Compel is the only solution that enable modeling as a native tool within the core solution. There is no need to purchase a modeling module, no requirement to extract and transfer plan components from one environment to another, and no burden to maintain two separate deployments (production and modeling) in order to perform “what-if” cost modeling. Compel’s temporal data model, cloning, and plan and transaction versioning allow production and modeling functions to reside securely in the same environment without co-mingling of data. By enabling an instant toggle between production and modeled plans and data, Compel ensures an efficient and accurate process for modeling and analyzing “what-if” scenarios.

The old-school approach — Separate Testing and Production Environments

Modeling in other commission compensation management solutions requires two separate environments – one for production and one for testing. This means two separate deployments; maintenance of two separate systems, including organization, products, accounts, rates, overrides, crediting, etc.; and transferring data and plan components back and forth between these two systems. As result, this less efficient approach introduces greater risks of errors, jeopardizing the integrity and synchronization of modeled and production data and plans.

To learn more about Compel and its smart modeling capability follow the links below.

Review Compel Modeling and Forecasting

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