Best Sales Compensation Practice for Telecommunications

Two telecommunications companies merged, including their contact center sales teams, and managed to gain control and cut costs by 50% with Performio ICM.


  • Two telecommunications companies merged and combined their call centers.
  • Both businesses were using Excel spreadsheets for incentive compensation management.
  • The newly formed company wanted to focus and motivate the sales team plus control sales commission from one central point.

The Results

  • Performio achieved an 80% take-up rate within one week of launch.
  • Sales commissions were calculated in 15 minutes.
  • The company achieved a 50% reduction in sales compensation administration costs.
  • Each business area can configure dashboards and reports to show the sales commission data it needs to support informed decision-making.

“We have reduced the time we spend on managing commission calculations each month. Our sales force are more motivated as they can see their numbers tracking clearly against target.”

Sales Director

The Situation

Two telecommunications companies merged into one, including their contact center sales teams. The merger raised the following concerns for the new business:

  • How to align and motivate two teams as one highly performing team.
  • How to manage complex sales commission plans with multiple manager roll ups, various commission rates, product bundles etc.
  • How to manage a dynamic work roster into the process for setting quotas.
  • How can a small sales management team manage a larger sales force, motivate the new sales team and control the sales commission process?

Our Approach

Performio provided a dedicated client service team to work with the client. The first step was to define the business requirements. The next step was configuration. Specifically, Performio looked at:

Data Capture

  • Data was imported as batch files using most of the standard import tools available “out of the box”.
  • Custom imports were created for sales and roster data.
  • The sales transaction table and import was configured out of the box using the custom table module.
  • “Override” functionality was configured to allow manual overrides of calculated results.
  • The Contact Center hierarchy was set up (Sales Representatives reported to Team Leaders who reported to Center Management).
  • A new workflow was implemented to manage amendments to sales and staff rosters.
  • Sales of products were date stamped.

Automated Calculations

  • Performio implemented a two-step process for loading sales results per Sales Representative and Team Leader.
  • Incentive and commission calculations were then run for all payees.
  • Configurable incentive plan worksheets were set up to manage new plans or to modify existing calculations and business rules.
  • Data including weightings, products, rates and product groupings were set up in an easy to edit table.

Communication & Analysis

Various reports were configured for different sales roles:

  • Performance dashboards.
  • Custom table reporting.
  • Incentive statements and payroll file.
  • Sales reporting.
  • Other ad hoc reporting.

Enterprise-Wide Rollout

The Results

  • Performio achieved an 80% take-up rate within one week of launch.
  • Sales commissions can be calculated in 15 minutes.
  • 50% reduction in the cost of administering sales commissions.
  • Each business area can customise its dashboard reports to show the sales commission data it needs to support informed decision-making.


The next steps following the enterprise-wide rollout are:

  • Move to weekly and then daily data imports with calculations running daily. This will allow Sales Representatives to forecast their payments mid-month and align their sales focus accordingly.
  • League ladders and non-cash incentives would be configured as part of the next phase.

“Our compensation plan has many complexities and we were concerned that this was going to blow out costs and prevent the software from functioning properly, Performio was able to take on and manage all complexities with no issues at all.”

Sales Director

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