If you find that clawbacks
Posted: Sun May 25, 2025 3:36 am
have had a disproportionately negative impact, determine what improvements you can make. For example, you might consider shortening the clawback window or decreasing the percentage of earnings that sales reps forfeit.
5. Automate the clawback implementation process
A manual clawback process places a great burden on finance and accounting teams, both in terms of workload and stress. It’s a complicated process that impacts important teams and functions. That’s why we recommend leveraging an incentive compensation management solution that enables you to fully automate the clawback process when a deal triggers the provision.
Automating clawbacks will also help to prevent hostility between afghanistan phone number list finance and sales. When clawbacks happen automatically, sales reps may be less likely to feel like the finance team is actively choosing to “take their money” from them and more likely to assess what they can do to avoid repeating the same scenario moving forward.
Use clawback clauses to incentivize, not punish
Ultimately, the impact of a clawback clause relies on two variables: intent and execution. If you implement a clawback solely to maximize profit, without prioritizing fairness and transparency, these provisions can hurt your business in the long run. On the other hand, if you take a deliberate and empathetic approach to clawbacks, you’ll help reps sell more effectively and deliver meaningful value to the business.
5. Automate the clawback implementation process
A manual clawback process places a great burden on finance and accounting teams, both in terms of workload and stress. It’s a complicated process that impacts important teams and functions. That’s why we recommend leveraging an incentive compensation management solution that enables you to fully automate the clawback process when a deal triggers the provision.
Automating clawbacks will also help to prevent hostility between afghanistan phone number list finance and sales. When clawbacks happen automatically, sales reps may be less likely to feel like the finance team is actively choosing to “take their money” from them and more likely to assess what they can do to avoid repeating the same scenario moving forward.
Use clawback clauses to incentivize, not punish
Ultimately, the impact of a clawback clause relies on two variables: intent and execution. If you implement a clawback solely to maximize profit, without prioritizing fairness and transparency, these provisions can hurt your business in the long run. On the other hand, if you take a deliberate and empathetic approach to clawbacks, you’ll help reps sell more effectively and deliver meaningful value to the business.