This impact on reward system for employee performance takes a look at anchor insurance company agency system, staff motivation and compensation plan.
In the quest to foster a motivated and engaged workforce, crafting an effective compensation plan is paramount. Such a plan not only serves as a means of financial reward but also plays a crucial role in shaping employee motivation and organizational culture. Understanding the intricate dynamics of compensation and its impact on employee morale and performance is essential for businesses striving to cultivate a high-performing team. These presentations offer a comprehensive exploration of the various facets of compensation planning, shedding light on how rewards influence employee motivation and the steps involved in designing a compelling compensation strategy.
Motivation lies at the core of employee engagement, driving individuals to perform at their best and contribute meaningfully to organizational objectives. By delving into the relationship between compensation and motivation, these presentations provide valuable insights into how different types of rewards can impact employee behavior and job satisfaction. From monetary incentives to non-monetary recognition, understanding the diverse factors that drive motivation is key to designing a compensation plan that resonates with employees and fosters a culture of excellence.
Effective compensation planning entails a structured approach that takes into account organizational goals, market trends, and employee preferences. These presentations offer a roadmap for navigating the complexities of compensation planning, outlining the key steps involved in developing a robust rewards system. By providing actionable strategies and best practices, they empower businesses to align their compensation strategies with their broader talent management objectives, driving employee engagement, retention, and ultimately, organizational success.
A Brief History of Anchor Insurance Company Limited
Anchor Insurance Company Company Limited established in 1989 is owned by Akwa Ibom State Government. The company was licensed to transact only General Business by then. In 1992 Life/Pension Class of insurance was added to its business portfolio, thereby attaining the status of a Composite Insurance Company. In 1998, there was a wave of rationalization through recapitalization requirements by the Government and Anchor Insurance Company Limited met its recapitalisation conditions and was registered by the NAICOM as a composite insurance company. Life Assurance Salesmanship Effective Selling and Six Cylinder Points
Presently, the company operates with an authorized share capital of Two Hundred Million Naira (N200 M) with N90 million fully paid up.
Business Scope
The company underwrites general business, special risks and life/pension. Your training for this period will be limited to life/pension marketing. In due course, it will be necessary to give you exposure to the other aspects of our insurance.
Branch Network
The company is not limited to Akwa Ibom State only but has extended its scope of operation to Lagos, Abuja, Port Harcourt, Calabar and Aba - The branches, Ikot Abasi, Eket, Ikot Ekpene, Oron.
Company Performance
I am pleased to inform you that the company is a growing company with records of profit-making. Through your recruitment, the company expects you to contribute your quota to increase its revenue and profit all the more.
The Company's Board of Directors/Management Team
The company has a well-bled and supportive board of directors and a good management team. The board is headed by Prince Kingsley Peters. The management team consists of:
[1]. Mr. N. Ekpe Ukpabio - GM/CEO
[2]. Mr. F. I. Ukpong - DGM/Technical
[3]. G. U. Ituen, Esq - Company Secretary
[4]. Mr. J. S. Obot - AGM (General Business)
[5]. Mr. Marcel M. Udo - AGM (Internal Audit)
[6]. Mr. N. A. Udoessien - AGM Finance)
[7]. Mrs Comfort O. Essien - Controller (Marketing)
[8]. Mrs Comfort J. Akpan - Senior Manager (Head of Admin)
Controlling and Evaluating Selling Performance
Control is primarily concerned with discovering performance deviations from set goals so that corrective action can be taken. Evaluation, while related to control, goes further to consider total effort, including both under-achievement and over-achievement of goals. It helps management to determine training needs and services as a basis for promoting, transferring and terminating staff and also for granting pay rises.
Ways of effecting control include personal supervision of salesmen, requiring them to send in call reports periodically, covering items such as the number of calls made, the names of prospects sold to, total sales for the day, expenses incurred etc. For effective evaluation, it is usual for management to develop norms on factors such as calls per day, cost per call, average order size, cost per order, sales by product line, percentage of market potential realized, etc. Salesmen are then judged on the bases of these established norms.
Motivating Salesmen
Motivation has been defined as a complex of psychological variables that represent forces within the individual which propel him or her to action. A salesman (whether insurance or otherwise) is no exception in being motivated to achieve goals that satisfy him or her the most. The Admin and Sales Manager's task, therefore, is to provide a suitable working environment in which the salesman can achieve his or her aspirations, this has been our practice. Some of the ways which can be used to motivate salesmen are the use of a quota system; compensation by the commission; sales contests; conventions and conferences; and written communication from headquarters. Quotas may be established based on the volume of sales(either in naira or in units of products), number of calls, number of new contracts etc. Quotas, however, should be challenging but all the same attainable with reasonable effort. Contests can be organized for salesmen using cash and non-cash prizes. Sales conventions and conferences bring salesmen and their managers together for a few days outside normal work settings. In addition to providing salesmen with the opportunity for an informal exchange of experiences with fellow salesmen, sales conferences and conventions provide the salesmen with useful information on topics such as products, selling techniques, management's stand and expectations. Furthermore, it instils enthusiasm and inspiration in the salesmen. Written communication can be a very powerful tool in inspiring salesmen to greater effort.
Sales Force Compensation
The company has an attractive compensation plan.
Sales Rep and Consultants Expectation
[1]. Regular income.
[2]. The reward for above-average performance.
]3]. Fair payment for experience and long existence.
Three types of compensation exist:
[1]. Straight sales which are only peculiar to permanent staff.
[2]. Straight commission - peculiar to commission agents.
[3]. Combined salary and commission/allowance.
The case of sales Rep/Consultant is slightly different from 1 and 2, but it is peculiar to number 3. This will be communicated to you in your agency appointment letter.
The advantage of life insurance marketing is that the commission rate is very attractive - 40%, 25%, 20%, 10% and 5% depending on the policy sold, and the commission is paid for a five-year period. All of these are achievable depending on the ability to get more clients.
Grace Period
Three months of grace are allowed for the Sales Rep/Consultants within which allowances paid will not be tagged to production. Consequently, after the grace period, allowances paid shall be tagged to production.
There is always a reward for the best producer - The Best Achiever's Award. If the target is met consistently the Sales Rep shall be converted to permanent staff. In the Marketing Department most of the staff started as Sales Rep. but today, through hard work, they are permanent staff.
Training
Effective training is a strength to develop the missing operating competence viz; skill, knowledge, attitude and behaviour. The company does not hesitate to train its staff as you can bear witness.
The Company Policy
The company has put in place rules and regulations to guide the conduct of its employees in the workplace. These rules and regulations are intended to be in place to enable the smooth running of the organization. You are therefore required to comply with the rules, regulations and practices of the company.
[1]. Hours of Work
[a]. Starting and closing time
- Mondays through Thursdays - 8.00a.m. - 5.00p.m.
- Fridays - 8.00a.m. - 4.00p.m.
[b]. Lunch Period - There is One-hour lunch break.
[2]. Attendance Requirement and Records
[a]. The company has a register/time book which you are to sign in and out at the close of work daily.
[b]. Method of reporting lateness - closing of time-book is 8.05a.m.
[c]. Absence should be reported through your immediate superior officer to the Admin.
[3]. Performance Review
[a]. Your advancement will depend on your production standard and attitude.
[4]. Personal Telephone Calls
[a]. This facility is strictly for business.
[b]. Can be made during working hours if urgent.
[c]. Incoming calls only when urgent.
Offences That Can Attract Instant Termination
[1]. Insubordination or wilful disobedience in carrying out reasonable requests of the superior officer or refusing to accept a job assignment is not allowed.
[2]. Inefficiency e.g., failure to do the amount and quality of work expected of you.
[3]. Repeated tardiness and absenteeism.
[4]. Fighting or attempting to injure others on the job or on company premises.
[5]. Stealing from the company or from any employee.
[6]. Not remitting the premium.
[7]. Wilful damage to the company's property.
Dress Code
- Dress corporate - Mondays through Thursdays while Fridays are optional for full traditional attire.
- Patience and understanding are important since you will work with all types of persons, such as age, training, education, experience and background.
- Talk things over with your immediate superior officer.
- For any problem encountered in the course of selling that requires the company's assistance, I wish to assure you that the company is always willing to assist both financially and morally.
Food for Thought
Your depth of understanding will account for your outstanding performance. Be identified with your job, that is, do it with all your heart. Do not see it as a punishment or burden for it is the access road to where you are going. Desire to be a participant and not a spectator. Remember, fans are for fun, only players get the prizes. Do you want the prize? Then be a player.
Distinguished ladies and gentlemen, I hope that I have been able to say a little in respect of the above topic.
Thank You and God bless.
This paper was presented by the Head of Admin, Mrs. Comfort J. Akpan at the Life Assurance and Pension Marketing and Agency Workshop Holding at the company Head Office in Uyo - on 10th April 2001.
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