Experts in Compensation Plan Design
We are committed to providing the best compensation design services, custom and industry surveys, and implementation support to companies who want to strategically align compensation with organizational goals.
Experts in Compensation Plan Design
We are committed to providing the best compensation design services, custom and industry surveys, and implementation support to companies who want to strategically align compensation with organizational goals.
Prosperio Group helps organizations across the world fine-tune their compensation plans to attract and keep good talent and hard workers—and to stay competitive in the industry. We are committed to providing the best compensation designs, custom and industry surveys, and implementation support to companies who want to strategically align compensation with organizational goals.
Incentive Calculation Tools (Excel & Power BI SaaS)
MeasureUp Compensation Surveys
Freight Broker Compensation Book
More at Prosperio Shop
Beth Carroll, the founder of Prosperio, is the lead developer on every project. Prosperio Group has a team of engineers who support Beth behind the scenes, but you can rest assured you will never be "passed off" to a junior developer who has far less experience. Beth is the expert, and she is who you will want to work with. Every client, no matter how small, has direct interaction with Beth.
Beth has over 20 years of experience developing highly motivational plans across a variety of industries. She is a recognized expert, frequent speaker and published author on the topic of sales compensation. She has worked with over 200 companies and has encountered all manner of sales incentive practices. While your situation is certainly "unique" and no other company is exactly like yours, Beth's wealth of experience with many companies allows her to draw on this breadth of experience to develop creative solutions that address your specific and unique issues.
Many of the big firms design plans but do not help with the calculation of the plans. While we respect that some companies do not need this level of support, or have sufficient experience in house to handle it, we are well-experienced at taking plans all the way through to monthly or quarterly calculations using Excel and/or Power BI so that your team can handle much of the on-going support themselves.
We price most of our projects using a fixed fee approach. This means you know exactly what it is going to cost from the start and there are no surprises. The only time the price changes is if the scope changes at your request, meaning you've added additional meetings, additional roles, and/or the data needed more extensive clean up than was initially believed to be the case. We make it very clear what circumstances could cause a scope change and always bring it to your attention ahead of time. That said, 90% of our projects conclude at the price for which they were originally sold.
No hidden fees or mark-ups. Many of the bigger firms quote a fee range (it will always be the high end of the range) PLUS they add on a double-digit "administrative service" fee that is a percentage of the service fees. This can amount to thousands of additional dollars that is not clearly disclosed in the original contract. The majority of our projects are conducted entirely virtually, eliminating any additional out of pocket charges for travel - unless you specifical request that we travel.
Trying to learn more about compensation? Make sure to visit our blog for the latest insights and tips to maximizing your compensation plan effectiveness. As well as plenty of common mistakes to avoid.
In the previous article we looked at the Cradle to Grave organization structure and the common compensation approaches used to go along with those roles. Now we will look at the Split Model, the roles commonly found in this model, and how they should be paid (spoiler…paying everyone a commission (% of the load), while common, is suboptimal).
I’ve been working with freight brokers for over 15 years now, helping them revise their organization structure and align their compensation plans to support the goals of their business. While the number of different possible organization structures is almost limitless, there are really only two approaches, with some variations on each: Cradle to Grave and Split Structure. This article deals with the first; we will address the Split Structure in the next article.
We’ve been working our way through the various ways you can calculate incentive pay and have covered quite a few so far. As a recap, here are the various methods and the articles you can reference to find the content on that method.
A better approach, though I admit it’s harder to explain, is the progressive rate. This pays the higher commission rate only on the dollars within the tier…NOT back to previous tiers or the first dollar. This allows you to get a much smoother payout curve so there is now very little reason to cheat the plan.
On the commission side of our graph (see the article from September 2023), we are moving toward using some sort of “goal” to affect payout, rather than simply paying a straight commission from the first dollar. One of the ways companies initially think of doing this is by deducting the salary or a “seat cost” from the commission calculation. This ensures that commissions are not paid until the employee as covered their costs to the organization, which is usually an approach that CFO’s like… a lot. And it can have it’s place in an organization, particularly when it is just starting up. However, it does have some downsides.
In previous articles we looked at different organization structure such as Cradle to Grave or Split model organizations and I referenced the need to understand different compensation approaches when dealing with split roles so that you can do something OTHER than simply paying everyone a smaller and smaller percentage of the GM$. This article will be the first in a series that will go into detail on these different approaches and how you can learn to select the best one for your various roles.
In this webinar, Beth previews key topics covered for her upcoming training and answers questions from the audience. Learn more strategies to recruit and retain top talent and how to shape your organizational structure to fit your compensation needs.
At the TIA’s recent Lunch and Learn, Beth gave a quick introduction to the most common Freight Brokerage organization structures, compensation methods, and the pros and cons of each.
The Ohio Trucking Association recently hosted their 2021 OTA Annual Conference, presented by Pilot Company, this week in Columbus. Over 160 in-person and virtual attendees joined exhibitors and sponsors for the event. The conference featured outstanding programming, opportunities to network and of course featured speakers, including Beth Carroll.
Earlier this month Beth Carroll was a guest on an episode of OTA on the Air with President & CEO Tom Balzer. For anyone unfamiliar, OTA on the Air features industry experts and thought leaders who provide updates on the regulatory, legislative and compliance environment. Beth will also be one of the Keynote Speakers at this year’s OTA Annual Conference in September.