Remove Fixed Costs Remove Metrics Remove Sales
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Variable Compensation: All HR Needs to Know

AIHR

Variable compensation, also known as variable pay , is supplementary compensation typically tied to performance goals measured by specific metrics. Historically, variable pay programs have been implemented for sales teams. Sales commission : A payment for selling a product or service based on a percentage of the revenue.

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A Practical Guide to Training Evaluation

AIHR

Phillips added a fifth level, which is return on investment (ROI) – a metric that is incredibly valuable for HR leaders to demonstrate to decision-makers the importance of training. As an example, let’s say you ran a training program for sales agents on the skill of door-to-door sales training. – Cost per unit.

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3D Printing Will Revive Conglomerates

Harvard Business Review

That gave it a steadier cash flow to cover the costs of its large fixed cost investments, but did not eliminate the unused capacity of plants dedicated to one kind of product. Headquarters provides accountability and perhaps better metrics than the divisional managers might otherwise have.

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4 Types of Activist Investors and How to Spot Them

Harvard Business Review

Despite metrics showing impressive overall company performance, the company’s capital deployment strategy was not maximizing shareholder dividends and/or buybacks. However, free cash flow per share remained impressive at both companies, and fixed cost ratios remained somewhat intact. Example: Jolly Inc.

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The U.S. Media’s Problems Are Much Bigger than Fake News and Filter Bubbles

Harvard Business Review

Like marketers, politicians obsess over messaging (what journalists would call “content”) and a few key metrics that historically have determined success: amount of television advertising, number of “foot soldiers,” intensity of get-out-the-vote operations, and voter demographics. Expectations matter.

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