Lupin relies on Kennect to conduct accurate performance appraisals for 6000+ sales reps
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Sales team strength
6000
Founded
1968
Industry
Pharmaceutical
Introduction
Performance appraisal is one of the most important activities in an organization. One that every employee looks forward to. The main goal of this activity is to ensure a fair and transparent evaluation of every employee’s performance in the past year.
The most common approach to designing an evaluation process is to bring together various important KPI components that align with the organizational goals. And assign them weights in the ratio of their significance. Almost all of these components are objective, while some weight is reserved for MBOs, which are subjective. The design is finalized at the beginning of the year and communicated to all the reps. At the end of the year, a scoresheet of each employee is generated by measuring their performance on each of the metrics.
This entire process of designing metrics, fixing their payout curves, assigning weights, and calculating the score is very similar to how sales heads would design weightage-based SIP plans for their Business units. The only difference being while one affects variable payout, another brings changes in the fixed payout of an employee.
But since the nature of both activities is almost identical, appraisals are valid use cases for an ICM solution.
ROI
- 87% of field forces track their incentives using the Kennect platform (based on Mar’2022 data).
- Kennect’s platform has helped the SFE team in reducing the time spent on incentive calculation by upto 80%.
- It has enabled the sales team to view their sales and incentives in real time. Previously, they had to wait until the end of the month for the sales ops team to reveal their final performance.
Challenges
- Time-consuming and error-prone calculations in excel.
- A lot of time spent by the admin team tracking progress and sending reminders to line managers to submit MBOs.
- Absence of workflows for sharing MBO inputs from a line manager to their seniors for approval.
- No Query management platform meant queries would be addressed via email, making it a cumbersome task requiring multiple teams to collaborate and provide inputs.
Solutions
- Dashboards for managers to review the detailed performance of all of their team members
- Workflow for MBO submission with multi-level approvals
- Dashboards and reports for admin to track progress and mechanism to trigger reminders
- Query module for addressal of any query raised by managers
Key highlights
- 87% of field forces track their incentives using the Kennect platform (based on Mar’2022 data)
- Kennect’s platform has helped the SFE team in reducing the time spent on incentive calculation by upto 80%
- It has enabled the sales team to view their sales and incentives in real time. Previously, they had to wait until the end of the month for the sales ops team to reveal their final performance.
About LUPIN
Kennect started as Lupin's partner for SIP calculations. In a very short time, Kennect was able to deliver accurate SIP payout reports and provide real-time visibility to reps on their commissions. During one of the conversations, we discovered that appraisals were a big pain point as they were being done manually using excel sheets. Various teams like MIS, HR and SFE would bring in data for their respective systems and perform calculations in excel to prepare a final evaluation sheet that would be passed on to line managers. This was an already complicated process which was further complicated when line managers would raise queries. Without a proper workflow, it wasn't easy to resolve queries within expected timelines. Managing exceptions, multi-level approval, etc., was also not possible.
So keeping all the challenges in mind, Kennect added appraisals to its platform and successfully transformed how appraisals are conducted in Lupin.
