Taking the principles of successful incentive programs
and strengthening them by making them meet the
requirements of the business world, that is to prove ROI.
Incentive Programs are widely used and accepted as a means of achieving business objectives, especially sales objectives, but there has always been a certain mystique about the real effectiveness of these programs. WHY?
The simple answer is that while company executives have proven that incentive programs can motivate their audience, they have spent little or no time learning about the impact of these programs on their overall business.
Performance measures of incentive programs, if taken at all, do not contain the analysis or information required for a solid presentation to a Board of Directors or Executive Committee. This type of measurement has been perceived as unattainable or simply too difficult to perform. Until now...
A Real Management Tool
Incentive Programs are frequently referred to as a gimmick or worse, as a scheme, and oftentimes rightly so. With a shift in perspective you’ll view them in a different light, as a new and very effective management tool. This is a tool that can increase profits or reduce manufacturing defects and much more. It can stop bad behaviors and start good ones.
Once you see its power and potential, you can improve any department or facet of your business. Your incentive program can produce actual bottom-line profit rather than being viewed as a line item on the budget. We know this sounds too good to be true, and it’s hard to believe something so powerful could be so unknown.
Incentive programs have been around for years and their results have been well publicized, with headlines like, “New Sales Program Yields 300% Increase.” This headline sums the problem up very well. Incentive programs have been used almost exclusively for sales, and their results have been so overstated, that any realistic business person would instantly dismiss them as “ridiculous.”
Dawson’s ROI Model has been implemented with companies big and small and has proven that ROI Incentive Programs go far beyond the sales department, and can yield a very respectable ROI. While 300% is silly, a well-run program can outperform other management tools and produce an ROI that betters traditional investments.
The big difference between traditional incentive programs and an ROI Incentive Program is taking the principles of successful incentive programs and strengthening them by making them meet the requirements of the business world, that is, to prove ROI. No company would make a serious investment, of time or capital equipment, without first verifying ROI. The ROI Incentive Programs implemented using Dawson’s ROI Model will not only meet that test, they will exceed it like nothing else could.
We typically report returns of 10 to 30%, yielded from working with just about any department, from accounting to manufacturing, and everything in between. Yes, including the sales department. Dawson's ROI Model creates what we call “True ROI”.