Have you witnessed the havoc wreaked upon teams by a minor, avoidable error? The victim is livid while other stakeholders scamper to fix the error. Now, imagine the same happening while paying out commissions to your sales team. Sales professionals largely depend on commissions for their bread and butter and oversight could cause a lot of suffering. Companies should ensure that commission payments are prioritized and the process is as error-free and efficient as possible.
Impact of erroneous commissions payouts
Attrition
In a world plagued by 'The Great Resignation', companies should take extra care to ensure late or erroneous payments do not affect their sales teams. This could force them to look for greener pastures. Good sales professionals are hard to find; training a new resource takes time, effort, and money.
Sapped morale
Wrong and late payments can have a negative impact on the employee’s morale. Employees and sales reps look forward to the pay date with a lot of anticipation. If there are delays or the payment is not on the expected lines, the morale is hit and they find it hard to concentrate.
Loss of revenue
Loss of morale could lead to a loss in revenue. A company’s revenue is tied to its sales team. And when the sales team is worried about payments rather than sealing deals, companies can lose potential revenue.
Cost of fixing errors
Even a small error requires time, effort, and money to fix. Some errors also impact the entire team or sector, leaving people to work overtime to right the wrongs.
Fines and regulations
When errors slip under the radar, they can have consequences during annual audits. Some errors may accumulate over time due to oversight and lead to major fines and sanctions, which the companies can ill afford. Fines and sanctions also lead to loss of brand image.
How to build an error-free commission process
The impact of an ineffective commission payment process is significant, but there’s a simple panacea: automation.
By automating dreary, error-prone manual tasks, the scope for errors and delays is reduced. It also saves time and revenue, giving the sales professionals more time to work and close deals for their company.
4 benefits of automation
1. Value creation
When your sales staff isn’t worried about recording sales and commissions, they can focus on value creation. More time creating value in sales means more money in the coffers for both the employee and the company.
2. Building an Ecosystem of Trust
Transparency is an important buzzword in sales. The sales rep needs to believe that the company is paying them fairly for their work, and the company must know that the sales rep is furnishing accurate details. Automating this task takes the manual element out and adds a layer of accuracy. With more trust, work becomes more seamless, and success is guaranteed.
3. Collaboration
Sales deals aren’t always straightforward. Some massive deals require collaboration with other sales reps and even third parties. Automation helps address the concerns around split commissions and complex calculations, so sales professionals can focus on selling.
4. More Revenue
Automation helps unlock more cost-saving and money-making opportunities for your enterprise.
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Automating manual labor-centric tasks reduce the need for full-time employees. Also, the time taken to solve complex tasks is significantly lesser through automation.
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Automated data analysis and reports provide action-oriented insights that the sales reps can leverage for better sales pitches.
Blitz’s state-of-the-art platform solution will help your business automate commission payments and wipe out errors. Give your business the Blitz advantage and ensure a happy, productive, and efficient sales team.