Ask Victoria: Compensation Plan Or Software First?

May 19, 2013 By admin Leave a Comment

You need them both, but if you have neither yet, which should you acquire first? The answer may surprise you. The sequence matters.

Important Pieces

Compensation plan and software are each important pieces in the jigsaw puzzle you’ll complete as you work to build and launch your network marketing or party plan company. The software you acquire needs to not only calculate commissions and bonuses accurately each time, but it also must support the reporting needs of your compensation plan for your company and its independent representatives.

Not All Alike

Just as there are differences in the features provided by each software provider, not all software providers provide the same support for all types of compensation plans. It would be costly if you discovered after you entered into a contract with a software company that it can’t or won’t program some or all of your compensation plan. If this happened, you would either need to change software providers or change your compensation plan. Both options could be expensive.

Unknown Costs

Until you show your completely designed compensation plan to a software company, you won’t know the cost of having them program it. While software companies may tell you how many hours they budget and that some or most compensation plans “fit” the budget, this doesn’t help you to know the total cost of programming your compensation plan.

Conclusion

Whenever possible, have your compensation plan designed before you become a client of an MLM software company. As you can see, the sequence matters.

For more information about MLM software, go to MLM Software Advice.

Jay Leisner, the President of Sylvina Consulting, is a top compensation plan and direct selling expert, a trusted adviser to new and established network marketing and party plan companies. For more than 30 years, Jay has enjoyed assessing and improving network marketing, party plan and referral marketing companies across the globe.

Jay Leisner and Victoria Dohr authored the top-rated book for new and young network marketing, referral marketing, and party plan companies, "Start Here: The Guide to Building and Growing Your Direct Selling Company".

Available in English and Spanish. This startup guide contains 250 pages of wisdom that will guide you through the right steps to start and continue on your journey to build a successful direct selling company.

You will save thousands of dollars and hundreds of hours of your time using the information you will read in our book.

In 1986, Jay began his career in direct selling by working for a major direct selling software provider. First as a software developer and later as a project leader and a business analyst, Jay worked closely with new and established network marketing and party direct selling companies to provide them with software solutions to meet their unique requirements.

Jay contributed in many ways to the success of large implementation projects for many companies. Jay also worked with dozens of smaller companies to assist each of them in various capacities to provide them with the systems they needed to help their businesses to grow faster.

Along the way while working with them, he learned the secrets of successful direct selling companies and the challenges faced by them. In true entrepreneurial spirit, Jay’s decision in 1999 to start Sylvina Consulting as a direct selling consulting company was driven by what he saw was a need for answers, advice, and solutions.

In 2004, 2006, 2009, 2014, and 2018, Jay gave presentations on compensation plans, recognition, and field leadership development at conferences held by the US Direct Selling Association.

He traveled to South Africa in 2015, 2016, and 2017 to conduct workshops on compensation plan design and recognition programs for member companies of the South African Direct Selling Association.

In 2017, Jay spoke at the Canadian Direct Sellers Association Meeting on the importance of recognition.

More than just a compensation plan expert, Jay is exceptionally skilled at advising new and established companies on business strategies. Before offering advice or solutions, he asks important questions to understand each client’s specific concerns and goals.

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