Sales Performance Management (SPM) solutions are proving to be incredibly valuable for organizations that adopt them. According to research firm Gartner, organizations that implement compensation management solutions can expect to reduce errors by more than 90%, reduce processing times by more than 40% and reduce IT/Admin staffing by more than 50%.
SPM solutions are becoming attractive, not only because early adopters are achieving success, but also because there is increasing pressure on compensation teams to deliver more. Organizations are demanding more than just accurate commission statements that are delivered on time. They need visibility, analysis and oversight into the entire variable compensation process; increasingly, they are relying on their sales operations, compensation and cross-functional teams to provide more sophisticated insights into what is working and what isn't.
While the majority of organizations still manage incentive compensation with homegrown solutions, or complicated Excel spreadsheets, more organizations are retiring these solutions in favor of a more flexible, customizable and streamlined incentive compensation and sales performance management system. With this rapid SPM adoption, new trends are starting to emerge. This paper discusses the top six trends influencing organizations that are considering the adoption of new software solutions to help them improve sales performance and incentive compensation practices.