If you have read Jim Collins’ book Good to Great, one trait he found in companies who went from good to great was having “the right people on the bus.” Having the right people on the bus translates to having the right people working for you. For a manufacturers’ rep firm, your outside sales force is a critical part of the organization.

This month, Agency Sales magazine looks at compensation programs. There are many ways to compensate salespeople and each has its strengths and weaknesses. Regardless of the plan, there is one common rule that must be followed: it must work for both the business owner as well as the salesperson. If it works for one but not the other, it will ultimately fail. It’s not much different from the relationships between manufacturers and manufacturers’ reps. Those have to work for both as well.

Do you work as business partners with principals? Do you have a relationship where there is a high level of trust and respect? Works really well, doesn’t it? Do you have the same type of relationship with your salespeople? The concept should work as well with them. It is interesting to note the similarities in the two levels of relationships. The compensation program offered by principals motivates the manufacturers’ rep business; your compensation plan for employees should do the same.

Make sure you have the right people on your bus, compensate them fairly and treat them in a trustworthy manner, with respect. Works wonders for those who have the trust and respect, maybe it’s time to put the concept to the test in your business if you don’t.

Speaking of the manufacturer-manufacturers’ rep relationship and trust and respect, the MANA educational effort in 2011 will focus on just that. We are planning an integrated program for our members, reps and manufacturers, which will help to develop high trust and respect relationships.