Commission percentages to be reduced for new pay plan

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anonymous said:
The new plan is just like runzheimer being sold as a better program but really a benefit to the company and screwing the reps .
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So funny that a German company elected to do business with a mileage management company that shares the name with Gestapo officer. You can’t make this stuff up.

From Wikipedia:
Ludwig Runzheimer (July 28, 1912 – July 6, 1946) was a German Gestapo officer. He joined the Nazi Party in 1934 and trained as a radio operator in the Luftwaffe.

Runzheimer served in the German border police from November 1938 to the outbreak of war in 1939. He then went into the Geheime Feldpolizei and served in the Netherlands, Belgium, France and Russia before he was ordered to Bergen (Norway) in September 1944.

He worked for the Gestapo in Title IV E until the end of the war. He had a central position at the Espeland concentration camp during the last months of the war, where he tortured prisoners.

Runzheimer was sentenced to death for war crimes in Bergen at Gulating Court of Appeal on April 13, 1946. The judgement was not appealed,[1] and he was executed by firing squad at Sverresborg fortress in Bergen on July 6, 1946.
 






It is hilarious that a German company decided to do business with a mileage management company that shares it’s name with a former Gestapo officer.

From wiki:
Ludwig Runzheimer (July 28, 1912 – July 6, 1946) was a German Gestapo officer. He joined the Nazi Party in 1934 and trained as a radio operator in the Luftwaffe.

Runzheimer served in the German border police from November 1938 to the outbreak of war in 1939. He then went into the Geheime Feldpolizei and served in the Netherlands, Belgium, France and Russia before he was ordered to Bergen (Norway) in September 1944.

He worked for the Gestapo in Title IV E until the end of the war. He had a central position at the Espeland concentration camp during the last months of the war, where he tortured prisoners.

Runzheimer was sentenced to death for war crimes in Bergen at Gulating Court of Appeal on April 13, 1946. The judgement was not appealed,[1] and he was executed by firing squad at Sverresborg fortress in Bergen on July 6, 1946.
 












Couldn’t agree more! This plan is designed for the “Millennials” and their fear of believing in their own ability. The new plan caps ones ability to excel financially. Certain senior leadership has such disdain for the “Kingpin reps” and their large volume of business that they convinced Charlie to adopt a plan that makes them less powerful by limiting their pay. Sit by and watch! Over the next year or two you will see some of the “big guns” depart and their territories will be split 5 ways. This is all by design.
If Karl Storz wanted to be fair, they would have offered draws to everyone and have commissions kick in when the draw was met. All this smoke and mirrors makes for a less hungry group of sales reps with awards and recognition going strictly to those based on growth. Their is no consideration or reward given for volume of business and maintaining it just growth from prior year. This type of model may make sense where the items sold are commodities and ordered whether there is a sales rep or not(ie tubing, trocars, laser fibers, drapes, suture etc.). Those are not the type of products this company offers. Everyone should be paid the same rate from dollar $1 without gates and thresholds as qualifiers for their basic pay. This plan is designed strictly to make all reps the same and allow the company to retain more money so as to pay for and hire more Millennials.


anonymous said:
This is an absolute joke, the goal posts shift every year taking money from our bottom line. The company has grown tremendously and yet we keep earning less and less each year. Where is it all going??? besides blind segmentation??? You don't start earning commission dollars until you are tracking above 60% to plan. By giving us a measly base they are reducing our overall income opportunity.. What happened to the old and simple emerging market structure.... 60-75K base and 11% on all new business from dollar 1.. They make this as complicated as possible to dress it up for us and think we are stupid... Normal monthly checks that people are used to making (20K+) in full commission territories are gone, those folks would rather stay full commission-- and the smaller territories can't even reach their minuscule NRD's from previous years on a monthly basis with these small bases... It's over. The base salaries need to be higher and the percentage to earn commission should start at 40 or 50%. And the bullshit response is if you exceed numbers you will be rewarded... Top heavy with everything needing to line-up to make any really money. Just like the quarterly bonuses from last year.... That's not realistic, its a shame what this place is turning into.
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The sales which actually move the needle in territories are lengthy, complex, with long implementation post sale. In order to keep sales people motivated through that process a rep needs to understand exactly what they will make with a win, and what their time is worth.

The new comp structure is big mistake.
 






I agree. The current comp plan is what works for a implant/consumable product . This plan is going to bite the company in the ass . I’m getting the resume polished . This is a intense job and not worth the pay in the new plan . I’ll go make the same with a car better retirement and better qol elsewhere .
 






i love the new carrot I mean comp plan who doesn't want to get paid on 40% of 60% on a third of sales with a possible payout of an inflated quota at 100% only if 4 gates opene and three get shut with 7 qualifiers . Going to turn my alarm off and work if I feel like it motivation is gone if I don't know if I will be paid for my effort . The managers can not even explain the plan what a mess
 


















Thanks for your feedback Javier . We all know you can't sell and only reason you got this was because of your va and only Dr. friend. you have risen above your level of competence
 






Who is going to actually speak up and call a spade a spade this national business meeting? There is zero motivation in the sales force with this comp plan.. Not one happy rep... socialistic approach ruining the company. you cannot put a blanket comp plan on everyone, cost of living in different cities, etc... We need to offer full commission, a base of 65-70K and earn from dollar 1 of sales, and possibly a guarantee for some folks. This is so far off the ledge, whoever we paid to consult us, got this one so wrong. The truth is in the numbers, it's so messed up.
 






Plan is terrible unless you like just drawing a salary. Charlie has let Wise and his bunch sell him on the bs that he needed a plan to level the playing field. They brought in a consultant that took a consumable approach and put it on top of a capital company. Huge mistake. All that can be counted on now is our salary and our 2% commission as the rest of the plan is full of hurdles to disincentize the reps with consistently big territories. I was told this is all designed to cause the collapse of the large $ reps and expedite segmentation across the board. Bill and Ali will get their way as there are lots of reps looking to get out. Don’t expect to hear about it though, it will all happen over the next year.


anonymous said:
In El Segundo and just learned details of new pay plan. It is quite awful unless you are a low earner. It will hurt the people it was intended to help the most. Entails a small base pay with reduced commissions and potential for smaller bonus at the end. The carrot to get bonus will be at differing thresholds. Bottom line is the pay will be significantly less for those not at plan and those that do well will make about the same. All that has happened is the company has more controls on what the reps are paid with more opportunity to have commissions forfeited. This by no means is positive but more smoke and mirrors to make things appear something that they are not. It all stems from the belief by certain individuals inside the home office that sales reps are overpaid. Company should be ashamed of themselves. Until Charlie finds a pair, it will continue to get worse.
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Morale is at an all time low! Now we get to listen to management tell us this week how great of a plan it is and how luckily we are. A total load of baloney. This has Furtaw’s pawprints all over it. All the plan does is holds back commissions until,you pass thru all the thresholds or gates or ladders or double loops that it takes a mathematics degree from Stanford to figure out, and gives it back to you or if you don’t hit all those things gives it to someone else. All planned by Charlie’s henchmen to runoff the long tenured reps that have bailed them out every year when things were close. This is a relationship business and not a commodity business. We sell Capital not widgets. This will be the end of the work horse reps as the motivation is not there.

anonymous said:
Plan is terrible unless you like just drawing a salary. Charlie has let Wise and his bunch sell him on the bs that he needed a plan to level the playing field. They brought in a consultant that took a consumable approach and put it on top of a capital company. Huge mistake. All that can be counted on now is our salary and our 2% commission as the rest of the plan is full of hurdles to disincentize the reps with consistently big territories. I was told this is all designed to cause the collapse of the large $ reps and expedite segmentation across the board. Bill and Ali will get their way as there are lots of reps looking to get out. Don’t expect to hear about it though, it will all happen over the next year.
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This travesty by the management committee has killed the reps spirit last night there were little groups everywhere discussing the plan and many, many are already planning their exit. Consistent theme is the new plan will be better for everyone is just insulting to our intelligence. Completely a redistribution of income and most people will be on salary with little commission potential.
 






























It will take a few months for people to get interviews and pass background checks. I bet after first quarter is when you will see the exodus begin. Others will wait to see how bad the first few paychecks are and then start the 2-3 month interview process. Starting March in my eyes
 












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