One other angle to throw – I skimmed the other comments but this one didn't pop out at me – is when you sell a product that offers annual vs. monthly payment plans. A third option some companies use is pay sales people based on cash.

Get the cash up front? Pay the salespeople up front, even if you have to defer and recognize the revenue over the course of the year.

On the other hand, if all the salesperson sells is a monthly plan to the customer, why should they get the same incentive as closing the annual plan deal? It doesn't bring in as much cash and if your goal is annual deals, then structure the comp plan accordingly.

Glad you liked.

I don't think that anyone would disagree with keeping your reps in the field as much as is humanly possible. But, what Chally's research shows is that clients of B2B sales now expect their salesperson to actually help them achieve the result they promised. They sold it, they own it. They feel abandoned when the sales rep leaves immediately after the sales is concluded, and, a big part of their decision to choose a company is based on the salesperson's commitment to being there to hep them achieve the result promised.

Surely there as many answers to this part of your post as there are companies. Do some companies have an operations team with the sales skills to manage a complex implementation? Sure. Do some companies need the salesperson involved in order to facilitate an implementation? Sure. Is there an ability to involve the implementation team into the sales process to make the hand off easier on the client? Sure. Does this make compensation more complicated? Absolutely!

The rest of the issue, to me, starts to cross the line that reflects specific duties of a specific rep in a specific company in a specific industry. My client companies are B2C (please don't make the mistake many people do and read “B2C” to mean “simple” or “not complex!”).

Many B2C sales-customer relationships are single transactions rather than acting as an initial point of entry for ongoing business from the customer. If you look at sales through this lens, it suggests that some of the others' comments here aren't applicable, because discussions about “sales” are usually viewed through the lens of B2B selling.

Anyway, having said that, I always enjoy reading debate about age-old issues such as business development vs. account management, or sales vs. project management.

And, I agree with Dave Brock when he says “As a sales person, I want to be paid quickly, as a business manager, I want to make certain I get the revenue.”

Your post is good fodder for discussion, Jim.

//keenan

I recommend Achieve Sales Excellence by Howard Stevens at HR Chally. This is an excellent source for understanding the customer's expectations of their B2B salesperson.

I would it were so easy as to simply sell the deal! But then, we wouldn't really be creating all of the value we could, would we?

We are not in disagreement in philosophy, but in execution.

The skills are VERY different for managing a project or delivery of a
project vs selling a deal. Getting to yes is the sale. Delivering
on the commitment is project management, and account management. If
you manage or measure the sale based on revenue recognition, what
happens to the sales people who are brilliant a booking deals,
(getting the customer to yes) when the organization is poor at
delivering?

Managing “SALES” with Revenue Recognition or delivery is mixing two
very different skill sets and objectives. To hold the sales team
accountable for what the entire company owns is a recipe for disaster.

Create two functions: a sales function. Go get the business. Then an
account management or delivery team to deliver and get the revenue.
Keep the success measurement or criteria separate. You can blend the
teams, comp on both on both measurements, but DON'T blend them, they
are too critical to success separately. (I don't like this approach,
but I'm not adverse to it)

As you said, “Sales has to own the customer relationship, they can't
do a deal and walk away, at least if they expect to generate any
future revenue. Sales should be involved in assuring projects are
delivered in a manner that meets the commitments they have made to the
customer, and that the customer is satisfied.” – you are absolutely
right, a great sales person won't. You just don't want to force them
to deliver in order to be deemed successful.

You bring up some great points David. I never said it was easy. It's
just easy for me, cause i can see what's in my head.

Anyone else, what do you think?