Why It Works

 

The results that CompensationMaster's clients have achieved are due largely to several factors:

• Unique business modeling software
• Focus on the value proposition
• Business model matrix
• Change management methodology

Unique business modeling software

CompensationMaster uses its own powerful business modeling software. Based on expense, revenue and sales force production data, it calculates a correct breakeven point for the company.

The traditional method of calculating breakeven, which was designed for manufacturing companies, delivers incorrect results for services businesses. When the correct methodology is used, the company's financial analysis and projections become more accurate and reliable.

Once the correct breakeven point has been identified, you can design compensation plans with assurance that they will meet the company's financial goals.

CompensationMaster's software supports virtually any type of compensation structure. Graphs and charts allow you to compare different compensation plans, and see what the results would be at any level of production from the perspective of either the sales associate or the company.

Focus on the value proposition

Our goal is to help you design and implement compensation plans that support the value proposition you offer to your sales force – whatever your unique value proposition is.

We never come in and slash expenses.

We listen to what the sales force wants – and what they don't want. Then we work with you to allocate expenses so your company does a better job of meeting their needs.

We do that within the parameters of ensuring financial stability for the company. That gives you and your sales force the security of knowing the company is healthy and will be around for the long term. 

Business model matrix

CompensationMaster uses a business model matrix sometimes referred to casually as the Cash Cow Matrix because the four quadrants are named Cash Cow, Shooting Star, Question Mark and Dog. This growth-share matrix was originally designed for portfolio analysis by the Boston Consulting Group. CompensationMaster has customized and modified it so it can be used for sales force compensation analysis. 

The graph makes it easy for managers to understand where each branch is now, and what recruiting and compensation changes need to occur to take the branch where it needs to go.

Watch a short video about the business model matrix.

Change management methodology

Over the past 20 years, CompensationMaster has evolved its processes for performing needs analyses, designing commission plans, introducing new compensation structures, and managing implementations.

We use a variety of best practices based on that extensive experience. This is how we are able to deliver the high retention rates our clients achieve.

To learn more, schedule a demonstration over the Internet.