How the plan becomes pay. Quota arrives from the capacity plan; compensation decides how each role earns it and what each unit of the plan costs the company.
Boxes marked ↗ open the page for that part of the model.
How to read this
- Comp is the price on the plan, not the plan itself. If the cost of sales comes out too high, the fix is in capacity or territories, not in quietly raising quotas.
- Every measure points at a definition that already exists. If a rep cannot find the field their pay is calculated from on the Stage definitions page, the plan will produce disputes.
- Crediting rules are written and approved before the deal closes. Deciding them after close turns every split into a negotiation.
- Paying on booking keeps the incentive close to the work; the clawback window is what stops it rewarding customers who leave early.
- Disputes per quarter is the honest test of a plan. A rising count usually means a measure or a crediting rule is ambiguous, not that reps are difficult.
Where it connects
Diagram source: 20-comp.drawio 20-comp.svg
