Rewarding Talent: A bonus scheme to attract and retain key people

In today’s competitive business landscape, attracting and retaining top talent is more crucial than ever. Chloe Carey, our HR consultant worked with one client recently to redefine their bonus scheme for senior directors. The goal was to create a structure that not only rewards business development but also encourages active involvement in the sales process. 

What was the catalyst? 

The client, a mid-sized architectural firm based in London with ambitious growth targets, recognised that their existing bonus scheme was not effectively motivating all of their senior directors.  The scheme lacked clear metrics and failed to align with the company’s strategic objectives. Chloe was brought in to give a fresh perspective and share her expertise.  

The approach 

Chloe began by conducting a thorough analysis of the company’s sales process, identifying the key stages and their alignment with business goals. This involved: 

  1. Facilitated Workshops & Stakeholder Interviews: Engaging with senior directors and other key stakeholders to understand their perspectives and gather insights on what motivates them. 
  2. Market Benchmarking: Comparing the company’s bonus scheme with industry standards to ensure competitiveness. 
  3. Performance Metrics: Identifying the key performance indicators (KPIs) that align with business development and sales involvement. 

The solution 

Based on the findings, Chloe proposed a revamped bonus scheme with the following key elements: 

  1. Clear and Measurable KPIs: Alongside the new scheme Chloe introduced CRM (customer relationship management) software, specific KPIs related to business development activities, such as securing new clients, expanding existing accounts, and contributing to strategic sales initiatives. 
  2. Tiered Bonus Structure: To ensure fairness and motivation, the bonus scheme was tiered, offering higher rewards for the more intensive parts of the sales process, exceeding targets and achieving exceptional results. 
  3. Regular Reviews and Adjustments: The scheme included provisions for regular reviews to adapt to changing business needs and market conditions. 

The Impact 

The implementation of the new bonus scheme has had an immediate positive impact. Senior directors feel more motivated and engaged. They know that their efforts in business development and sales are now being recognised and fairly rewarded. The company now also has the mechanisms in place to see any increase in new client acquisitions and overall sales performance. 

Conclusion 

A well-structured bonus scheme can drive business success. By partnering with Chloe and Elephants Child, our client was able to create a bonus structure that not only incentivised senior directors but also aligned with its strategic goals and growth plan. This collaborative approach ensured that the bonus scheme was both fair and motivating, driving the right behaviours and ultimately contributing to the company’s success. 

If you would like to review how you recruit and retain the talent you need to help your business to grow, please get in touch.