What are the objectives of compensation plan?

Objective of compensation plan

Company perspective

1. Motivate sales people
2. Correlate efforts and result with rewards
3. To control sales people’s activities.
4. To ensure proper treatment of customers
5. To attract and keep competent sales people
6. Be economical yet competitive
7. To be flexible and stable

Employee’s perspective

1. Secure income
2. Simple
3. Fair