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What are the major Advantages and Disadvantages comes when assign commission on Sales for Sales Persons along basic pay?

<p>I got a task to prepare presentation for Board of Directors about the positive changes/growth in Sales if Commission put along Basic Salary for Sale Persons.</p> <p> </p> <p>Please share your valuable comments and experiences</p> <p> </p> <p>Cheers!</p> <p> </p> <p>Nauman.</p>

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تم إضافة السؤال من قبل Muhammad Noman Ashraf Khan , Senior SAP SD Consultant , Abacus Consulting
تاريخ النشر: 2014/11/27
Jechonias Joven
من قبل Jechonias Joven , Store Supervisor/ Sales Coordinator , Gulf greetings LLC.

Advantages will be sales person will be motivated and dedicated to his task. Not only will the sales person will achieve more salary but it will drive him to have initiative and eagerness, and desire to achieve his goals..

 

Disadvantages will be sales person will develop personally, an attitude of arrogance. On the business side of the story, it will affect the budgeting side of the business.. comapny should give what is due to his employees..

Meleza Redoblado
من قبل Meleza Redoblado , Salesman , Lulu hypermarket UAE

Once a person searching for a job it already means that they're searching for an income.once a company tell them that there will be a commission once they reached the target it will motivate the worker to work harder because it could help more specially to their family needs and other relatives. Disadvantage comes when the person didn't reach the target and didn't get insensitives they will feel ashamed on their boss specially if their head of the company gets angry why the sales man didn't reach the target.. sales person will be feeling embarrassed and become lazy.

Maria Teresa Portuguez
من قبل Maria Teresa Portuguez , Beauty Consultant , DFS MIDDLE East LLC ADAFZ (LVMH group of companies)

Disadvantage: without commission, staff will slow down on running for the sales target * Unfair for the other products that doesn't have spiff Advantage : general target will be running to be achieved * Staff and company will be win-win situation

attal  khattak
من قبل attal khattak , junior executive monitoring , brt peshawar

if you work on daily you will get commission if u not work so cant get it

Nnah Chibuike
من قبل Nnah Chibuike , sales representative , Gozalo global resources

*In simple words it motivate and improves a sale man. But will be a destroyer in a team

Mohammad Ahmed
من قبل Mohammad Ahmed , External Auditor , Crowe Soltions

More than point to be considered here: Firstly, basic salary is very vital for the sales team to secure the kitchen expenses which mitigate the pressure of securing such life commitments. Second issue, sales commision is a motivational tool the sales team and nothing to do with the basic salary. Usually, the basic salary of the sales team is less than what their coworkers in other departments are getting but they are compensated by the commission. Thx

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