In order to standardize the many different, traditionally grown remuneration structures in the sales area and to focus the employees even more clearly on the ambitious growth targets, a new bonus system for the sales area was to be developed and implemented in a leading food company.
The main challenge here was to "cut off the old braids". At the same time, it was necessary to develop a new system that all employee groups perceive as reasonably fair and that motivates everyone to achieve excellent performance.
In the end, the HR interim manager developed a system consisting of a collective profit-sharing bonus (exceeding the unit's profit targets) and an individual performance bonus (exceeding measurable individual targets). The new model for compensation & benefits gives employees the opportunity to receive up to 20 percent of their collectively agreed salary as additional variable income.
The system works smoothly and has made a significant contribution to positive business results. At the same time, it is an important building block in developing the corporate culture towards a performance culture in which special achievements and measurable success are positively rewarded.