2. Should they hire regional managers first or should they hire one or two more salespeople first, to save money and get more data in terms of what a salesperson could sell?
DigitalThink should hire a couple more salespeople before hiring regional managers. 3. Should the regional sales managers – whenever they were hired – have quotas in addition to their sales oversight jobs? Should Palace have a personal quota?
The regional sales managers should have a quote as Palace should as well; however, their sales quotas should be based upon relationships… 4. What should the relationship be between the quotas for individual salespeople, the total sales force, and the annual revenue plan for the company?
Under Spectrum’s current sales force strategy, there is a separate sales force for each 5. Since the quotas they set would be related in part to the quality of the salespeople they hired, how high should they aim when doing their hiring? How much could/should they pay and what should the mix be in terms of salary, commissions, and possibly stock options? Should commissions be a flat rate or a sliding scale, increasing with the level of sales generated – and should earnings from commissions (and therefore total cash compensation) be capped?
Quotas should be based upon the territory and each territory should represent the same level of opportunity.