ERP Internals/Modules/Sales Compensation

Sales compensation allows management to set sales compensation policies that reflect business objectives, calculate sales compensation based on information from Order Entry/Invoicing, and send it to Payroll for processing. Sales Compensation allows management to monitor the performance of sales staff and spot problems early. Commissions are calculated according to user-defined rules. They can be based on who sold the goods, when they were sold, how many were sold, and what types of goods were sold. A "draw" is a payment made in advance of an actual sale. Sales Compensation allows both recoverable and non-recoverable draws. Not every ERP package has a separate Sales Compensation module although all the large ones do.



Sales people are either employees handled through Payroll or contractors handled through Accounts Payable. Thus Sales Compensation share the Employee table with Payroll and the Supplier group of tables with Accounts Payable. The first table in Sales Compensation is the Salesperson table which contains one record for every salesperson. The second table is the Contract table which contains one record for every sales contract. The third table links Contracts with Inventory Items.

Data Exchange


Sales Compensation sends transactions to Payroll or Accounts Payable depending on the type of salesperson.