“When you look at people who are successful, you will find that they aren’t the people who are motivated, but have consistency in their motivation.”– Arsene Wenger
Providing a clear and realistic reward strategy helps all the team focus as one to achieve business and individual goals. Pretty much all of us fall foul of seasonality that affects our outcomes, so performing consistently is easier said than done.
There are however key benefits that are worth noting to help improve consistency:
For Staff: We all like to be properly rewarded for our work. Establishing a payment and reward scheme that; rewards production and quality performance, smooth’s peaks and troughs in performance, ensures that teams are correctly rewarded for achievement and ensures it is motivational. It can also give the opportunity where relevant to earn uncapped bonuses.
Even new starters can have an early stage period where basic salary is paid, but any performance achieved will be rewarded. Of course, all staff Key Performance Indicators (KPI’s) need to be easily measured and reconciled so there are no disputes.
For the Business: Provide consistency and structure in order to focus on the minimum level of required activity – productivity, quality and profitability – whilst also incentivising and rewarding above target performance. Establish a basic salary scheme and Bonus scheme which rewards achievement. Align your marketing plan with achievement of a required level of performance and most importantly develop a payment scheme that “irons out” the peaks and troughs so that you are not over paying (or underpaying) that achievement over a given period.
It is important that achievement is clearly rewarded and KPI performance is a key element to ensure that this drives the appropriate behaviour from your team. KPIs should change as the business imperative changes and this in turn will drive and motivate the behaviour of the sale team. It is therefore important to ensure your KPIs clearly reflect overall business need and not just sales targets.
In Summary: A basic salary is paid for achieving a minimum level of performance of “whole of job” which includes (but is not limited to) objectives of the role.
A Bonus scheme is available for specified levels of achievement and for KPI’s which will change from time to time depending on business need. Iron out the peaks and troughs by payment schedules that benefit members of staff as well as the business.
Adding a pinch of consistency to your reward scheme could be your winning formula! After all, the best teams have consistency and chemistry (quote source). Perhaps even a little alchemy!
If you would like to learn more about how to develop a motivational and consistent reward scheme contact us on email@example.com