Insights on Incentives has as its sole purpose the facilitation of thought and discussion on the subject of incentive compensation for banks and credit unions.  Once a month NSS will be sending out an e-mail with one insight on the area of incentive compensation.  The insights will come from our research, discussion with customers and finally, those of you who decide to offer an insight on this important sales management issue.

A current hot topic on the sales tracking and incentive compensation circuit is ranking. In particular, the ranking of individual employees, groups of employees and locations.

The primary benefit of ranking is looking at individuals and/or locations and determining who is out-performing relative to their peer group. More specifically, when you rank positions you get some interesting results. Consider the top 10 performers and look at their behaviors. Clearly there is a list of best practices to be obtained from examining this group’s behaviors. There is also a list of individual and location characteristics that you want to capture and use as input for hiring and management training.

Finally, letting individuals know who the top performers are can be instructive for the organization. Individuals and managers now know where to look for best practices to emulate if they aspire to higher levels of performance and the corresponding recognition.

Insights on Incentives is brought to you by NSS Corp.