| Topic Name: |
Offer from CAP and ACN |
| Message Name: |
commission only at cap |
| Date Posted: |
01/30/2006 |
| In Reply To: |
Hello zagmag,
Thanks for the kind regards. The important component to this is that it "feels good" for both parties (and ultimately for the clients).
With respect to your questions:
Process: At ACN, the process was quite rapid. Met with the senior Service Line Partner, followed by a few Industry/OG Partners (all on the same day mind you). No HR involvement other than my providing them with references and consent forms for criminal and personal background checks. The process was a little more laid back at CAP - met with a couple of VPs and one other Senior Manager. Decision was made within a few days.
Quota: This is something that ACN is trying to standardize across the various RSDs - This is a prescribed number and is non-negotiable. The CAP quota is larger than the ACN quota from a pure attainment perspective. I think there is more wiggle room with CAP as this is a rebuild in the Midwest.
Comp: Base + Commission tied to Sales/Bookings (not revenue), accelerators for over-achievement + MBO bonus for organizational/group/corporate performance + signing bonus. Incidentally, the CAP offer is virtually identical (minus the signing bonus)
I know a number of IBM folks. Mostly PwC Consulting BDMs who stayed on following the acquisition. "Beware" is all I can say. Everyone I know that is operating in a BDM/Associate Partner capacity at BCS is looking to get out (even those that are hitting their numbers). I don't know all of the details so I can't be of more help. I Hope some of the postings on this board have been useful though!
Cheers |
| Message: |
I don't usually post to these boards. I just read them and chuckle. However, as an experienced sales guy with Cap for a number of years, I thought you and others may benefit from the straight scoop about how sales compensation works here.
At Cap, a commissioned sales person is called a "Business Developer and is paid only base plus commission. I am pointing this out because your post says a few things that are absolutely not part of the sales commission structure at Cap and you should recognize them going in despite any words of assurance others may be giving you. These are:
1) First of all, there are no accelerators for over achievement. Commission rates are strictly a function of projected contribution margin and the percent of the work that is offshore. They created a ridiculous table based on these two variables that determines the commission rate for a particular deal. The rate does not change whether you are at 25% of quota or 225% of quota.
2) If you are on sales compensation at Cap, you are not eligible for ANY other bonus. This has not been bad for the past 5 years as Cap's crappy results meant there were no meaningful bonuses paid to the poor sods doing the actual work anyway. But, do not fool yourself, you cannot get sales commissions and also get a bonus based on company or group performance at Cap.
You should also be aware that there is a huge "subjective" component to the awarding of sales credit at Cap. Cap pays less for farming than for hunting, and lots less for extensions than for new work. The problem is that these are not scientific terms and determining which category a sale falls into is more art than science. The credit awarded is determined by the account or unit VP. I found myself negotiating this aspect with my accoount VP every single month in 2005. You can get badly screwed if you work for the wrong guy or dont know how to make things sound like new work.
Meanwhile, if you can sell and no one cheats you out of the credit, you can make a boatload of money on the Cap plan. Average commission rate for a domestic deal is around 1.5% of the booked value. The annual cap is a hefty $750k. I have been on this plan for several years and have made tons more money than I would have as a base + bonus senior manager.
Personally, I am going to move on this year. The problem has become that I sell stuff that Cap no longer seems to have the depth of resources left to deliver with quality. I keep getting the "B" team when I need the "A" team if I am going to grow my account. Since successful selling leverages the personal relationships you have built with clients, it is a very uncomfortable way to operate.
In any case, best of luck with your decision. Just because the firm is not successful does not mean you cannot have big personal success at Cap.
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