Sins of Commission: Be careful what you pay for, you may get it

Paying employees based on commission is a very tricking subject, and if done incorrectly it can encourage negative attitudes in the employees, because it is only human to do whatever it takes to make the most money possible. It can make the employees feel like they need to lie, cheat, steal, and work individually rather than as a team in order to get paid the most. In many companies where employees are paid on commission it becomes a competition on who can make the most, and employees lose sight of the real outcome they should be striving for, which is overall company success.

I feel like a commission system has the opportunity to successful and useful, but only if developed and operated correctly. It has the ability to now only pay employees for putting in hard work and going above and beyond, but it also shows them that they are successful and that their work is appreciated. If the culture in an office stresses teamwork and encourages the employees to work together to accomplish sales and work-related tasks, then incorporating a commission system might be successful because the employees already tend to work together.

Companies need to focus on the real outcome, which is customer satisfaction and overall company success, so if the employees can’t focus on the big picture then it is definitely a good idea to stay away from commissions. The first thing that will come between a team and its members is individualistic work and feelings towards work; I suggest that employers first encourage and stress team work, and then they can move to a commission system if they feel it necessary.

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Published in: on October 13, 2009 at 7:33 PM  Leave a Comment  

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