Medteech Case Study Summary

If I were Harold, I would redesign the compensation plan at MedTech to accommodate the needs of the organization while also reinforcing the importance of the sales team. While the straight commission plan has worked at MedTech over the past several years, employee feedback and current sales figures show that a change may be needed to increase the effectiveness of MedTech sales representatives. Straight commission plans do promote sales, but there are issues with this type of plan. During slow sales periods, employees may suffer (Johnston & Marshall, 2009). Harold could implement a program that is still based on commission while adding a partial salary option. This would provide security for the employees that could improve morale and promote long-term employment at MedTech (Johnston & Marshall,
The modification of the plan would result in an increased cost to the company, but the return on the investment in the employees would far cover the costs associated since this change would communicate the importance of the sales team and their place within MedTech as important and valued (Moynahan,