Drive: The Surprising Truth About What Motivates Us is a new book by author Daniel H Pink. In his 2009 book he advances the notion that paying commissions to salespeople is possibly a wrong method to motivate. He argues that companies would positively influence salespeople by removing the carrot and the stick. He goes on to assert that paying a straight salary improves the customers’ experience, promotes teamwork and collaboration and reduces the complexity with which management has to grapple. His case studies should make for good reading.
This idea might sound anathema to many in sales and sales management. However, it is also clearly the case that many in sales fail despite having the carrot of a commission and the stick of not being able to put food on the table over their heads. Pink, reportedly, has case studies as proof and demonstrates that sales have increased where the commission structure has been removed.
I look forward to reading the book to see whether he has a compelling case or not.