An Effective Total Rewards Program For Increase Profitability

Decent Essays
Organizations that use a salesforce to help promote its business for increase profitability are challenged to develop a compensation plan that aligns the company’s overall goals. A sales compensation plan is more than a tactical focus, but it is a strategic focus for an organization to that enables the company to remain competitive in the business industry (Thoreson, 2014). State Farm was founded in 1922 by G.J. Merchele, as an auto insurance company. Today, it is one of the leading providers of insurance and financial services with more than 18,000 agents that serve almost 82 million policies and accounts all over the United States (, 2015). State farm offers several employee incentive programs that allow small business owners to give back to its employees (, 2015). In this paper, the author will describe the six features of an effective total rewards program that can contribute to motivating a sale force to produce a high number of clients. The author will describe the behaviors of the sales force that are targeted with the compensation plan. This paper will assess how a value proposition is achieved for current and future employees in the outlined plan. Lastly, the author will indicate how future salespeople may be attracted to this plan.
Six features of an effective total rewards program The sales organization within a company may require the involvement of the HR department to ensure that the organization’s compensation plan is aligned with
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