Sales Force Incentives at Service Sales Corporation

Arif Iqbal Rana and Mohammad Kamran Mumtaz

Asian Journal of Management Cases, 2017, vol. 14, issue 2, 160-175

Abstract: The case is about restructuring of the sales force compensation system at Service Sales Corporation (SSC), a large shoe retailer in Pakistan. The organization went through many changes in its supply chain management starting in 2001, when a new COO, Omer Saeed, took over. There was a major increase in sales and the number of shops, and a decrease in the number of salesmen per shop with the net effect that some salesmen were drawing a compensation of ₹25,000–30,000 per month (standard salesmen salary in smaller shops was ₹8,000 per month). When the new COO Amer Mohsin joined in 2009, he was faced with the challenge of designing a salesmen compensation system that was in line with the growth of the organization. The case provides an opportunity to understand how different compensation systems are required as company dynamics change.

Keywords: Salesmen compensation system; sales force incentives; piece rate pay; retail management; supply chain management (search for similar items in EconPapers)
Date: 2017
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Persistent link: https://EconPapers.repec.org/RePEc:sae:anjomc:v:14:y:2017:i:2:p:160-175

DOI: 10.1177/0972820117712306

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