Reward Heads

Case Study: Commission Structure Re-design - Technology Sector

"Fair on paper. Not in reality."

Client

A professional services consultancy with a relationship-led sales model.

Solution

Redesigned commission structure aligned to overall portfolio growth and strategic priorities.

Challenge

Inconsistent commission outcomes, perceived unfairness, lack of confidence in scheme effectiveness.

Impact

Clearer incentives, improved alignment, fairer and more sustainable reward approach.

"We knew our commission structure wasn't quite working, but we couldn't pinpoint how best to fix it without creating new problems. Reward Heads helped us step back and see what was really going on. The result is a much clearer, more aligned approach that makes sense commercially and is far easier to explain internally."

Context

The organisation operates in a complex, relationship-driven market where revenue is built over time through long-term client relationships, multiple touch points, and influence-based rather than direct selling. Sales managers are experienced, well-paid in base salary, and manage diverse portfolios. Therefore, Reward needs to reflect influence, growth, and long-term value rather than short-term transactions.

The Problem

  • Commission outcomes varied significantly across similar roles.
  • Rewards were not always aligned with effort, contribution or overall value to the business.
  • Legacy client positions distorted earnings.

Which meant:

  • Leadership lost confidence that scheme was driving the right behaviours.
  • Growing perceptions of unfairness and concern around pay equity.
  • Increasing commercial tension and difficulties having transparent conversations.
  • Limited financial visibility and confidence.

The Tension

Leadership held differing views on what commission should reflect. Some wanted alignment to portfolio growth, others questioned individual attribution altogether. Long sales cycles, difficulties setting accurate targets, strong base pay, and strategically important accounts made the scheme difficult to evolve without creating further issues.

What Reward Heads did

  • Diagnosed how commission worked in practice and where outcomes were distorted.
  • Aligned leadership on commercial and people-focused priorities and non-negotiables.
  • Designed a commission approach focused on net portfolio growth and contribution.
  • Supported implementation through clear communication and governance.

Business Impact

  • Greater alignment between reward and strategy.
  • Improved leadership confidence.
  • Better visibility and control over reward spend.

People Impact

  • Clearer understanding of earnings.
  • Reduced perception of unfairness.
  • More transparent and credible reward framework.

Which resulted in …

Commission moved from being a source of tension to a tool that actively supported the business. Leaders can now make defensible decisions, reward supports long-term growth, and the organisation can scale without constant redesign.

If this feels familiar …

Many organisations reach this stage as their commercial model evolves faster than their reward structures. At Reward Heads, we help organisations cut through complexity and make reward actually work.