ETBS is well known among leading managed services vendors for our market comparisons and insights on charge out rates for personnel through our Rate Card Model (RCM). However more recently we have been engaged by a leading consulting firm to provide insight and recommendation of the cost side of the personnel equation for a well known managed services provider currently restructuring its APAC operations.
Our market assessment covered three levels of employee:
- C-suite positions (i.e. CEO, CTO, CMO etc.)
- Senior Service Management (i.e. Operations Director, Head of Customer Service, Head of Delivery, etc.)
- Sales Management and Sales
Our assessment included:
- Average base salary remuneration
- Bonuses and Commissions
- Other incentives
In examining incentive strategies, we found that in industry leading organisations the incentive structures were very much aligned with the impact of the individual or their team on the organisations’ strategy.
- C-level incentives are generally based on overall company performance on specific KPI attached to the role.
- Senior management incentives are almost always based on team performance measures.
- Sales incentives are the most complex, with commissions based on a range of factors including:
- Total Revenue
- New Business vs Renewals
- Industry specific multipliers / accelerators
- Gross Margin Percentage
Other interesting things that came to our attention were changes enforced by the COVID-19 pandemic including:
- The pausing of travel based incentives i.e. Quota or Eagles Club style rewards
- Working from Home – this was a necessity in some countries during lockdowns and was well accepted, it is now an incentive for high performance
The project was designed for quick execution and within 7 days we were able to produce a solid set of data and recommendations covering the brief and extending into focussed strategies for the provision of effective incentives across the organisation. We will be reviewing the progress of our recommendations over the next two years and are looking forward to undertaking more projects like this in the future.
For more information on salary and incentive benchmarking please contact us at firstname.lastname@example.org for an obligation free first consultation.
The team at ETBS would be delighted to assist you in your business improvement journey. To ensure we are the right fit for your needs we offer an obligation free first consultation where we can explore your needs, suggest a course of action and outline costs.