A combination of the two systems could be used, with a 75 to 25% ratio, for example. An important element of the compensation plan could be identifying a way that this could be used as an instrument to drive synergies and cooperation between what was formerly Express and Ground. One of the ways to do this could be to create teams of former Express and Ground sales executives and to award joint bonuses (5 to 10%) if these teams reach a certain revenue level. This would ensure (1) a better communication between the two former segments; (2) a better outreach on both Express and Ground markets; (3) resulting synergies, particularly through cross-selling.

At the same time, the formerly Ground employees should also gain access to some of the perks that the Express executives had, such as the President's Club. As seen from the case study, for many of the executives, work is not only about a pure financial recognition and reward, but also about personal recognition from the top management and the other colleagues.

Technology should also be involved in the implementation of the compensation plan, as a way to increase transparency in the organization, particularly since technology is such a big part of ARISE anyhow. Sales executives should be able to track and verify their performances against the set goal online, thus monitoring how well they did in both Express and Ground (so, their performance will be monitored both against their basic area of expertise and against the combine Express + Ground cross-selling).

3. Rationale

One observation at the start of this rationale is that this is not only about the compensation plan and about implementing ARISES. It is about overlapping two organizational cultures and transforming them into one functional one. So, beyond the compensation plan, integration should be supported by joint actions such as team building efforts and support seminars. These actions will have one primary objective:...

With this in mind, it aims to create the appropriate incentives for both Express and Ground by retaining the competitive pay structure that Express has (in a slightly modified form, because the people from Ground still need their time to adapt to this new structure). The use of technology is also justified, because it will improve communication and transparency.
Finally, the idea to create cross-selling teams and reward them accordingly is important because it creates joint interests and objectives. The reward can be obtained only if all members of the team perform to a high level, so they will need to cooperate and communicate. It is also important to note that, since this is an organizational culture issue, it will be a process that could take a certain period of time.

4. Implementation Tactics

In terms of implementation tactics, the focus should be on (1) integrating technology into the process, so that the sales executives have better access to information. This will help both Express and Ground, particularly when accessing areas of sales that were previously unfamiliar to them; (2) fostering communication, including about the compensation plans, ensuring that the sales executives understand their pay, benefits and incentives.

The implementation should also be linked to a proper mechanism of feedback and control that could optimally monitor the evolution of the process. Revenues is a good indicator of whether the implementation is going well, particularly an analysis for cross-selling, along with Express and Ground. This input should be fed into an analysis that could also decide on correctional measures that could or…