Sales Compensation

Breakouts

Monday, October 15, 2007 1:45-2:45 p.m.

A Guide to Sales Contest Planning: How to Optimize Return

Mike Ryan, Senior Vice President-Market Intelligence, MADISON Performance Group

As the utilization of sales contest and other non-cash recognition tools grow, are companies optimizing the return of their programs? Are planners leveraging available tools properly as they strive to grow incremental revenue, sustain competitive advantage, and ignite employee engagement? Attend this session and learn:

how to build (and strengthen) your business case for a sales contest
how web-based programs can reduce costs, improve efficiency, and enhance motivational impact.
how contemporary “direct marketing” techniques can ignite your communication strategy

Monday, October 15, 2007 1:45-2:45 p.m.

Managing Global Sales Compensation Plans: Cultural Differences and the Effect on Sales Compensation Design

Suzanne Galvanek, Associate Vice President-Sales Compensation, AT&T
Joseph DiMisa, Senior Vice President & Sales Effectiveness Practice Leader, Sibson Consulting

As more and more companies look outside of North America to grow revenue, the difficult task of managing a global sales force and the compensation plans that support the sales organization is becoming more apparent. This presentation will explore how companies need to manage sales compensation through country work councils and with various cultural differences to ensure consistent and effective behavior. The audience will learn how AT&T addressed sales compensation and governance from a true global perspective, and the techniques that apply to international sales design and governance. Join Ms. Galvanek and Mr. DiMisa as they discuss:

how to address global compensation design and governance
how culture impacts sales compensation assessment and design
what are country work councils, and how to effectively work with them when designing sales compensation plans

Monday, October 15, 2007 2:55-3:55 p.m.

Pharmaceutical Sales Compensation Design: Highlights from the 2007 Survey

Elliot Scott, Senior Consultant, Towers Perrin
Erich Sachse, Managing Consultant, Synygy

Mr. Scott and Mr. Sachse will discuss key findings from the third annual survey of pharmaceutical sales compensation plan design practices. You will learn how other companies are structuring their sales incentive plans and how those plans are changing in response to market and company dynamics. There will be time for Q&A and interactive discussion at the end to delve into particular issues in more depth. Bring your questions! Join Mr. Scott and Mr. Sachse to learn:

some of the ways in which sales compensation plans are changing and not changing across the industry and come away with a better understanding of the forces driving change
specific ways that pharmaceutical companies are addressing key plan design challenges
how companies are using managed care data in the design of sales compensation plans for account executives and field representatives

Monday, October 15, 2007 4:05-5:05 p.m.

Keys to Multi-Channel Sales Compensation

Estelle Conover, Vice President-Alliance Channels, AT&T
Mark Donnolo, Senior Vice President, MarketBridge

For most companies, the optimal sales model is no longer a single rep effort. Effectively covering opportunities across a range of sales strategies is a true multi-channel endeavor requiring coordination of partner and internal resources. The sales compensation program must support the multi-channel strategy from an internal motivation perspective for direct sales and indirect partner management resources. In the process, the program must also coordinate and complement the company’s partner support programs that may include margins, incentives, and marketing funds. Mr. Donnolo and Ms. Conover will take you through the keys to developing a sales compensation program that fits with your multi-channel strategies. This session will identify:

multi-channel sales comp challenges
essential considerations for sales compensation in a multi-channel environment
complementing partner programs to maximize alignment and minimize conflict

Monday, October 15, 2007 4:05-5:05 p.m.

High-Performance Sales Incentives: Insights and Best Practices from the Health Insurance Industry

Don Gallo, Office Practice Leader-Compensation, Watson Wyatt Worldwide

When it comes to evaluating and redesigning incentive plans, many companies do so based on limited knowledge of best practices. Based on a new survey of health insurers, this session will highlight incentive design, governance, administration, and communication practices associated with growth and profitability. Attend this session and:

understand what sales incentive designs best support growth, productivity, and profitability
gain insight into incentive governance practices at high-performing companies
identify best practices to consider when redesigning your organization’s sales incentive plans

Tuesday, October 16, 2007 1:30-2:30 p.m.

Cat-Herding 101: Enterprise Incentive Governance as a Solution to Sales Compensation Management

Kim Cannon, Senior Vice President-Rewards & Benefits, Washington Mutual Bank
Don Gallo, Office Practice Leader, Compensation, Watson Wyatt Worldwide

This session will showcase how Washington Mutual developed and implemented a best-in-class approach to enterprise incentive governance that strikes a balance between centralization and decentralization and covers over 90 incentive plans, 20,000 employees and $1.3 billion in costs in four businesses. Attendees will learn:

to identify symptoms of poor incentive governance within their own organization
the basic elements of incentive governance, including process, structure, decision authorities, and practices
how to engage with key stakeholders on critical governance issues

Tuesday, October 16, 2007 1:30-2:30 p.m.

Great Plan, Poor Execution: Curing the Implementation Curse

Paul Reiman, Senior Consultant, Buck Consultants
Kathy Ledford, Principal, Sales Compensation Leader, Buck Consultants

You’ve built the perfect plan, and the target effective date is approaching quickly. You know that a bad implementation can ruin even the best of plans—so what do you do? How do you turn the implementation effort from a liability that can detract from the effectiveness of the plan to an asset that enhances the new plan design? In this session, we’ll explore a proven plan implementation roadmap, discuss key success factors, and identify how to overcome the pitfalls we all know about but can’t seem to avoid. Attendees at this session will:

identify the critical components of a sales compensation implementation plan
discuss a proven roadmap that supports effective change
hear practical ideas that you can use in your next implementation process

Tuesday, October 16, 2007 4:00-5:00 p.m.

The Storm After the Calm... When Massive Change Occurs, What’s Next?

Mark Bernstein, Senior Director-Sales Planning, Wyeth Pharmaceuticals
Jeff Kahan, Director-Sales Incentives, Wyeth Pharmaceuticals

Companies are frequently making changes to their sales compensation plans, but when there is a large shift in sales strategy, major overhauls of the plans are often needed. After the immediate change is implemented, what comes next? Join Mr. Bernstein and Mr. Kahan as they present a case study of a massive shift in sales strategy and the corresponding impact on sales compensation plans. Attend this session and:

share best practices for how to manage through the aftermath of a major shift in sales strategy
understand how to leverage the new plan and create a culture shift in your sales force to ensure that the desired behavioral changes are realized
learn to maximize the value of your incentive plan by performing follow-up evaluation and response to new plan changes

Tuesday, October 16, 2007 4:00-5:00 p.m.

Localizing Global Sales Compensation Plans

Peter Katz, Senior Vice President-Corporate Sales, Elsevier
Kevin O’Connell, Managing Partner, Accelerate Consulting Group LLC

How do global sales compensation designers balance consistency with flexibility to meet local regional needs? Case study provides insights on how to develop global sales compensation plans with a common architecture and flexibility to tailor designs to be competitive regionally. Attendees will learn:

the need for consistent, clear, articluted plan design principles agreed to by management
benefits of uniform plan mechanics where possible.
flexible plan components (e.g., target incentive and pay mix) that can be modified to ensure competitiveness with local practices, work rules, and regional market realities

Tuesday, October 16, 2007 4:00-5:00 p.m.

Risk Management for the Sales Process: Sarbanes Oxley and Beyond

Andrew de Lannoy, Managing Director, Gupton Marrs International, Inc.
Nathan Ohm, Marketing Director-Indirect Marketing, Synygy, Inc.

Join Mr. de Lannoy and Mr. Ohm for a comprehensive view of auditing the sales process. Take a look at current changes to Sarbanes Oxley (SOX) 404 requirements in 2007, how to survive a SOX 404 audit, and what risks may exist in the sales process beyond the tests of controls required by SOX. Taking from a recent sales process survey conducted by Synygy and Gupton Marrs, this session will highlight various areas of risks in managing the sales process. Participants will gain an understanding of:

the impact of SOX 404 on today’s sales organization
the minimum requirements and how to survive the SOX 404 audit
what SOX 404 is currently missing and why overlooking these lurking risks can be costly to the organization

Workshops

Tuesday, October 16, 2007 9:45 a.m. – 12:15 p.m.

Individual, Team, or Sales Force-wide Incentives?

Brad Hill, Principal, Tandehill Human Capital
Christine Tande, Principal, Tandehill Human Capital

Incentives can reward performance at the individual, team, or organization level. Which will be most motivational to your sales employees? Which will maximize their overall contribution to the organization? This workshop will review the ten factors that will help you determine which level, or which blend of levels, will have the desired effect on sales performance. Attendees will receive:

an understanding of the key factors that influence whether to use individual, team, or sales force-wide incentives (or an appropriate blend)
market research on individual, team, and organization-wide incentives-which are most prevalent and which are perceived as most effective
a diagnostic to assist in determining which reward/performance level may be appropriate for your organization

Tuesday, October 16, 2007 9:45 a.m. – 12:15 p.m.

Creating Ts & Cs that Add Value to the Sales Compensation Plan

Jerome Colletti, Managing Partner, Colletti-Fiss, LLC
Mary Fiss, Partner, Colletti-Fiss, LLC

Too often overlooked, the Terms and Conditions (Ts & Cs) related to a sales compensation plan can spell its success or failure. The purpose of this workshop is to describe how to organize, write and administer an effective Ts & Cs document. The workshop will include two presentations on best practices and two discussion sessions involving “mini-cases” that participants will use as a basis for offering alternative solutions for a plan of action to resolve the issue.

Participants can expect to leave the workshop with an increased understanding of how to help their company develop, communicate, and administer T&C policies and procedures that maximize sales force motivation and productivity through the compensation plan. Specifically, participants will:

hear about best practices in Ts & Cs policies, procedures, and their on-going management
discuss contemporary issues and challenges associated with Ts & Cs and learn from peers about how they addressed and resolved them
leave with an action plan to audit the effectiveness of Ts & Cs for a particular sales compensation plan

Wednesday, October 17, 2007 9:30 a.m. – 12:00 p.m.

Sales Compensation: The Unbreakable Rules

Donya Rose, Managing Partner, The Cygnal Group

What are the fundamental unchanging principles on which good sales compensation plans are built? There are basic rules based on human nature, behavioral science, and sound financial management which apply across industries, sales roles, and market conditions. If there’s something about your plans that isn’t working the way it needs to, chances are that you’re hitting up against one of "the rules." In this workshop, we’ll discuss the rules, the natural consequences of ignoring them, and the best way to keep your plans in alignment with them. We will discuss case studies to illustrate the key concepts, and will be happy to explore your particular challenges as well. Attendees will learn:

the best and highest use of sales compensation to create value for the company
fundamentals in creating the right risk/reward relationship between the sales person and the company
the most frequently used formulas and payout mechanics, and when to apply each one

Wednesday, October 17, 2007 9:30 a.m. – 12:00 p.m.

Conducting an Annual Physical on Your Sales Compensation Plans

Paul Reiman, Senior Consultant, Buck Consultants
Kathy Ledford, Principal, Sales Compensation Leader, Buck Consultants

What is the shelf life of your sales compensation program? Do you change the plan every year based on sales rep complaints? Do you leave the plan in place until the documents turn yellow with age? Or, do you add value to your business by turning data into information to support good decision-making on sales compensation design. Experience real case examples and learn from other colleagues on how they have assessed the performance of their compensation programs—what to look for, what you will need to do, and who needs to get involved. This hands-on session will:

articulate the need for an annual review of your sales compensation program
demonstrate a proven process for reviewing your sales compensation program from multiple vantage points
examine real examples of audit process results and the design and process changes they suggest

Wednesday, October 17, 2007 9:30 a.m. – 12:00 p.m.

An “Outside-In” Look at Pharmaceutical Sales: How Sales Management “Best” Practices Across Industries Work (or Don’t Work) in Pharmaceutical Sales Organizations

Stephen Crook, Vice President, Sibson Consulting
Joseph DiMisa, Senior Vice President & Sales Effectiveness Practice Leader, Sibson Consulting
Dennis Spahr, Vice President, Sibson Consulting

Participants in this pharma-focused workshop will learn how leading companies are driving greater sales force productivity using sales management best practices and how these best practices can be applied to the rapidly changing pharmaceutical industry. Topics to be covered include: hiring the right sales people; segmenting physicians with precision; increasing selling time and detail impact; arming sales representatives with the tools they need to know their physicians well and what to sell them; and turning your sales managers into sellers, coaches, and leaders. In addition, the latest incentive compensation and quota setting concepts will also be shared. Attendees will learn:

additional tips for giving sales representatives the opportunity to succeed and making sure you measure what matters
how to motivate more sales representatives to meet or exceed quota
the latest sales force structuring and sizing strategies, such as having a right-sized sales force. A simple back of the envelope sizing formula will be introduced to calculate whether your sales force is undersized, oversized, or just right

Roundtables

Wednesday, October 17, 2007 9:30 a.m. – 12:00 p.m.

Staying Ahead of the Sales Talent Retention Curve with Long Term Incentives

Rob Bentley, Senior Consultant, Hewitt Associates

Join Mr. Bentley as he facilitates a discussion on sales force long term incentive (LTI) “best practices”. Review LTI trends, learn current sales LTI practices across industries, and discuss and gain consensus on how LTIs can best apply to the sales organization by type of incentive, role, industry, desired behavior, desired outcomes, etc.

Wednesday, October 17, 2007 9:30 a.m. – 12:00 p.m.

Are You Making the Most of Your Sales Performance Toolbox?

Dennis Spahr, Vice President, Sibson Consulting

Too often, sales compensation is used as the tool to fix a sales organization’s problems when it is a symptom and not the cause. Sales comp must be designed with an understanding of key sales management elements including: customer segmentation, value propositions sales roles, and productivity expectations. Join in as we take a close look at each key sales management element and discuss real life examples of when to use sales compensation as part of a larger solution to your sales problems.

Wednesday, October 17, 2007 9:30 a.m. – 12:00 p.m.

Stop the Madness: Why Incentive Plans Make No Sense for Pharmaceutical Sales Reps

Bob Davenport, Vice President, Hay Group

Today’s primary care pharmaceutical sales rep has been relegated to a role that looks suspiciously like a merchandiser yet they are paid like consultative sellers. And, they work under elaborate sales compensation programs that do very little to drive behavior, require way too much management attention and effort, and do not help in the retention of talented sales reps. This roundtable will make the case against incentive plans for this role and challenge the participants to defend their current practices. Join us as we discuss what the "real" role of the primary care rep looks like, whether incentive compensation plans make sense in this type of selling environment, and alternatives that better reflect the role, increase rep satisfaction, and lower the management burden.

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