Career Development Plan

After much deliberation a new compensation plan for the five new sales team members has been constructed. This compensation plan is the result of the InterClean management rating each sales staff team member according to five criteria. The categories are skill, effort, responsibility and working conditions. This proposal will discuss the new compensation plan components, why those components will work and three aspects that comprise a total benefits package for the sales team.

Evaluations of skill sets among the five selected candidates were considered first. Experience was used as a basis by which relevant performance was evaluated. Dennis White, Eric Borden, Terry Garcia, Tom Gonzalez and Shane Huck all have at least five years of sales experience with sanitation products/services. Dennis White who is a year shy of that mark has past sales experience in the auto industry that lends creditability to his sales technique. Sales records of each of the five selected represent a lucent customer service based approach that is in line with the business goals of InterClean. Effort in maintaining and representing the overall business goal of InterClean, the focus on sanitation packages that provide total solutions for our customers is represented well by these salespeople. Desired result of management was to assemble a sales team that combined the forward looking aggressive approach of InterClean sales strategy with the long-term customer care approach of EnviroTech sales staff. InterClean believes that goal has been accomplished by choosing these five salespeople.

Responsibilities of these candidates in their past positions differ somewhat but share common ground generally. Shane Huck and Tom Gonzales bring managerial experience to the table from both sides of the merger. This allows comparison of strategy and technique. Dennis White, Eric Borden and Terry Garcia all share long sales representative experience thus providing a cumulative knowledge of sanitation solution expertise in excess of 24 years. Working conditions for each of the sales staff have been similar with a slight difference in the products that were being represented and the scope of the clientele.

The new compensation plan was devised by using a competency based system. This was decided upon to provide flexibility with assignments. Because it allows for evaluation based on specialties like customer service and generalities like overall product knowledge this system works well for InterClean sales staff who represent both these attributes in their sales approach. Additionally tying compensation to contributions InterClean will be able to retain highly successful salespeople that are capable of cross training employees from various departments who are ready for more responsibility. 60 percent of each team members compensation will be base pay 10 percent will be in the form of profit sharing (stock options) 20 percent will be “at risk” compensation that is flexible an example is additional time off with pay. The remaining 10 percent will be comprised of team output.

Incentives for successful team performance allow each team member to receive a bonus that is linked to the overall success of the team. Because the job function of each salesperson is interrelated at InterClean this portion of the compensation package allows for fair distribution of bonus money to the most successful team.

InterClean will offer a total rewards package to each sales team composed of the following. Team based variable pay, profit sharing and pay according to skills. Sales teams will be ranked by customers internal and external as to their performance and attention to customer needs. Quarterly achievement of objectives and observation by management of situations requiring specialized attention will also be used to rank sales teams. This system will help establish a high performance standard by allowing teams to profit from work in line with the InterClean business direction and overall plan.
Benefits of incentives attached to team performance encourage cooperation between salespeople. They also reward employees who are paid only a base salary. Disadvantages are increased competition between teams. Difficulty in recognizing individual contributions which could lead to some individuals becoming less motivated. There also is the possibility that top performers can become jaded as to their contributions and start feeling as if they are carrying less productive members of the team.
Much effort has been given to the establishment of this compensation package for the sales teams. InterClean management believes this system will provide excellent rewards that are fairly distributed among sales staff and focused on the business goals of the organization.