Sales force incentives at service sales corporation

Case overview / 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.

Case Areas

Organizational Change, Restructuring Salesman Compensation Management, Retail Management, Sales Force Management

Industry

Business Services Sector

Disciplines

Benefits and Compensation | Business | Human Resources Management | Sales and Merchandising

Geography

Pakistan

Teaching Notes

No

Faculty / School

Faculty of Business Administration (FBA)

Department

Department of Management

Was this content written or created while at IBA?

Yes

Source

Asian Journal of Management Cases

Length

15 pages

Citation/Publisher Attribution

Rana, A. I., & Mumtaz, M. K. (2017). Sales Force Incentives at Service Sales Corporation. Educational and Psychological Measurement, 14(2), 1003–1017. https://doi.org/10.1177/0013164492052004025

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