Most sales managers get comfortable with their internal legacy software to manage sales compensation Plans. It’s a decision we understand and respect, but very often, the legacy software struggles to keep up with the evolving industry needs.
Even a subtle change in the feature-set or introducing new commission structures can be cumbersome and time-consuming initiatives.
A cloud-based sales commission software can make life easy.
Let us understand the true advantages of going with cloud-based sales commission software. Read on…
1) Struggle to change and evolve:
Most businesses opt for legacy systems for several reasons. Be it the compliance or the cost, they get stuck to legacy systems compromising their performance and conventional compensation management functionality
Sales commission is an integral part of sales performance management. It helps to motivate sales reps and achieve business goals. However, incentive compensation management is a challenging job. Every sales cycle, sales territories, and units have their own set of motivation factors and complexities. Now to cater to them, the sales commission management software needs all the features covered.
And if there is a sudden change in sales incentive commission plans, the software must provide all the functionalities to support them.
Very often, the internal legacy compensation management solutions struggle to keep up with the industry demands and pace. The cloud-based Sales Compensation Management software has the advantage and flexibility to cater to the requirements and make them live on the fly.
2) Roadblock to new sales strategies and planning:
As legacy sales incentive compensation software struggles to evolve or incorporate new features, it often fails to manage the requirements. You introduce new sales incentive plans to boost the productivity of your sales team, and you find your legacy incentive compensation solution is not conducive enough to get the jobs done.
This is because the legacy commission management software was designed and implemented when commission processes, practices, and demands had a different roadmap. But now the time has moved, and your sales representatives might have unique commission aspirations.
A cloud-based commission management solution can help you to manage complex sales commissions. Here is a quick glimpse…
- Admins can create as many objectives/parameters to measure the performance of the sales reps
- With advanced analytics, you can combine parameters to create as many incentive plans as per the requirements through various rates and factors.
- Manage sales performance and track KPIs to understand how individual and team is performing with the default sales performance management software
- Introduce various rates, pay-out scale, and other lucrative commission features for optimum effectiveness of the incentive compensation programs
Some of the internal legacy sales compensation software can have these features, but the expansion, evolution, and flexibility of the cloud-based sales commission software is exciting and can open up many possibilities to an organization by taking care of the sales compensation process.
Even a subtle change in the feature-set or introducing new commission structures can be cumbersome and time-consuming initiatives.
3) Mostly Incompatible with other software:
Many legacy incentive compensation management struggles to integrate with other software and reduce the scope of improving operation and performance. If you want to integrate your sales commission software with the CRM software, the internal legacy software might not be a good option.
In comparison, the cloud-based sales commission software can help you make the most out of your sales operation with flexible integration with other software scaling up your operation, and improving sales productivity.
4) Traditional reporting and poor insights:
As the internal software is built for some specific challenges the organization faces, its reporting dashboard lacks diversity and useful insights. When your sales team expands, and new parameters get introduced to support the incentive management system, you need a feature-enriched dashboard to support the operation.
Today’s robust sales commission software is helping organizations resolve the issues with an enhanced reporting and sales insights. It also provides the flexibility to customize the report to understand the performance of individual sales reps. Enabling cloud-based sales commission software will help you to-
- Create any type of report on the go
- Get accurate business insights
- Zero independence on the third-party tool to extract reports
- Get real-time data on incentive compensation programs, rates, and payments
Sales thrive on data. Check whether your internal legacy commission software provides you all the data that you need or you need to level up your incentive management system?
5) Maintaining legacy tool is a complex task:
Maintaining a legacy system is a big pain for most organizations. You have to nurture a set of developers, DevOps, and testers to ensure the software is live, functioning, and valid. Often it increases the cost.
Investing in a cloud-based commission solution takes away all the pain. You don’t need to nurture the development team anymore. You don’t need to hustle behind the feature development and tracking other requirements at all. Share your requirements with the cloud solution team and enjoy all the benefits. As a sales manager, you can focus more on training, mentoring, planning better sales strategies, and rolling out commission on time without any hassle.
Internal legacy software has been a pillar of success for many organizations. They have served a lot and helped other solutions to understand the process and practice.
But now, when most organizations are going nimble and agile, the internal legacy systems fail to keep up with the pace. Cloud-based solutions are helping organizations adapt to the new requirements.
Sales is a very challenging job, and commission management drives the team to deliver better. Ensure you are investing in the right software to manage your incentive program and build a sales team.
All the best! For queries and any challenges with sales commission best practices, reach out https://atmax.co/commission-incentive-management
