3 Signs & 2 Red Flags That Show It’s Time to Switch to Commission Tracking Software
It takes time to run commissions calculations because it requires attention to detail and careful recordkeeping. But how much time could your company save if you stopped wasting hours on manual processes?
Organizations that use automated commission tracking software can eliminate the 3 time-wasting manual processes below. If any of these sound familiar, you may want to consider a switch yourself. If you’re seeing the red flags listed below, you will definitely want to switch – now.
3 Manual Processes Slowing Down Your Commissions Process
We all know that manual processes and data entry result in more errors, more time spent fixing those errors, and more headaches in general. Let’s think beyond the obvious and look at the extreme time wasters caused by manual commissions processes.
1. Manual Commissions Calculation
If your company is performing any manual commissions calculations, it is time to make a change to an automated solution. Some examples of manual processes include:
- Manually tallying your commissions amounts
- Manually splitting commissions
- Manually tracking paid and unpaid receipts on commission-related invoices
Your company can automate all these processes.
2. Manual Invoice Adjustments
Does your staff manually reduce commissions each month for invoices with overdue payments? Does your accounting team reduce commissions for returns, trade discounts, or terms discounts? Think of all the time you could save if you switched to commission tracking software.
3. Manual Report Distribution
Manual report distribution requires:
- Printing reports to PDF
- Attaching those PDFs to emails
- Writing emails; and
- Sending them on a deadline
This may only take 15-20 minutes a week, but that adds up to more than 2 whole working days per year. Wouldn’t you rather your staff spend that time on more valuable business activities?
Are Your Manual Processes at the Breaking Point? 2 Red Flags
Still not sure whether your staff is unavoidably spending time or wasting it? Pay attention to the following 2 key indicators.
These red flags show that your manual commissions calculation processes are at the breaking point:
- It takes more than 5 minutes to track down historical commissions
If your staff has trouble tracking down historical commissions or requires significant time to pull historical commission data together from various systems, that is a big, red warning flag. It shows that either your data is siloed in one person’s computer or that your data is scattered across too many sources. Either way, your company would be in trouble if you needed to produce commissions data on a deadline.
- Your salespeople are finding mistakes in your calculations
If your salespeople start finding mistakes in their commissions, they may start looking for a new employer. Your salespeople are spending time calculating their own commissions on your time, so they know what they are due. If you don’t meet their expectations, you can lose their trust. Automated software helps improve their trust because it increases transparency and reduces mistakes.
The Right Time to Switch to Automated Commission Tracking Software
When your staff is drowning in time-consuming manual processes, they won’t have a clear idea of which specific manual processes are stealing their time and yours. We created this list to help them identify where they can take back some of that wasted time. If these manual processes sound familiar, we recommend you start looking into commission tracking software sometime soon.
If you see red flags, you will want to move fast. Select and implement your new automated system within the next few months for fewer headaches over the long run. Want to start reducing headaches right now? Check out the best commissions software for Microsoft Dynamics GP.
Reach out to EthoTech to ask about commissions software
Since 2002, companies across every sector have relied on EthoTech for the right tool for tracking, calculating, and paying variable compensation. We provide solutions, integration, and support that is focused solely on integrated variable compensation software for Microsoft Dynamics. It’s all we do, and we do it better than anyone.