BACKGROUND
In an ambitious move to redefine sales incentives and performance culture, Hewlett-Packard partnered closely with Dr. Behnam Tabrizi to revolutionize its sales compensation system: a deeply entrenched yet broken structure that had dampened the motivation of 19,000 sales employees, hindered organization efficiency, and slowed revenue growth. With over 1,500 different compensation plans—many tailored to individuals—the system was fragmented, inefficient, and outdated, leaving sales reps frustrated and disillusioned.
TRANSFORMATION
Working hand-in-hand with HP’s CEO and senior leadership, Tabrizi led an exhaustive internal discovery process, bringing together insights from over 400 sales employees to expose the hidden cracks in the system. The findings were stark: commissions were unpredictable, errors were rampant, and the administrative burden was crushing HR and finance teams. Salespeople, the very lifeblood of HP’s success, found themselves demoralized and disengaged.
Harnessing the principles of rapid transformation, inside-out cultural change, and design thinking, the team reimagined the compensation model—simplifying it from 1,500 plans to just 40—ensuring transparency, fairness, and alignment with corporate growth strategies.
IMPACT
In the words of one sales leader, “For the first time, we felt empowered. Our efforts were valued, our compensation predictable, and our work finally had meaning.”
The HP transformation didn’t just fix a broken system; it became a benchmark for modern compensation strategy worldwide.