Pay For Performance (PFP)

As Motivational factor in telemarketing

industry in Peshawar

Crestech International, BPO

Outbound Call Center
 Introduction
• PFP (Pay For Performance)
• Motivation
• Telemarketing
 PFP
• Pay for performance (healthcare), an emerging
movement in health insurance, in which providers
are rewarded for quality of healthcare services
• Pay for performance (human resources), a system
of employee payment that links compensation to
measures of work quality or goals
• Pay for performance advertising, a new business
model used in online advertising whereby an ad
agency charges a marketer for the results achieved
by the ad campaign
 Motivation
• Motivation is the activation or energization of
goal-oriented behavior.
• The term is generally used for humans but,
theoretically, it can also be used to describe the
causes for animal behavior as well. This article
refers to human motivation.
• According to various theories, motivation may be
rooted in the basic need to minimize physical
pain and maximize pleasure, or it may include
specific needs such as eating and resting
 Telemarketing
• Telemarketing (known as telesales in the
UK and Ireland) is a method of direct
marketing in which a salesperson solicits to
prospective customers to buy products or
services, either over the phone or through a
subsequent face to face or Web
conferencing appointment scheduled
during the call.
 Literature Review
• In this issue, we spotlight several recent
publications regarding pay-for- performance
programs and financial incentives for quality care
and employees motivation.

• The concept of paying for performance is

becoming increasingly popular in telemarketing
industry. 100 incentive-based programs have
spawned across the globally, driven mainly by
purchasers and payers such as the government,
employers, and employer groups. To date, little is
known about the impact of these nascent
initiatives.
• The true impact of pay-for- performance would
be seen more long term. As pay-for-
performance programs mature, additional
studies like this one will help elucidate whether
paying for better quality is truly increasing
motivation in telemarketing industry.

• Performance-based pay is about motivating

people, and developing performance-oriented
cultures. Employees, who are not motivated by
financial rewards, can be encouraged with non-
financial rewards
 Methodology
• As PFP is a very broad topic, so we have applied it in
telemarketing industry in Pakistan, Peshawar. The age
segments of employees (dialing agents) vary from 21 to
28. Data will be collected through different types of
methods which includes short interviews with the calling
agents and their management as well. We will also
collect data with the help of questioners and experts
opinion regarding Pay for Performance in telemarketing
industry.
• To understand the impact of PFP we will also compare
the traditional salary method with it, and its comparison
with other telemarketing firms in the same geographical
boundary (i.e. Peshawar).
• We will also collect secondary data from difference
sources which include different websites, newspapers,
articles, marketing magazines, and primary data from
online outsourcing experts.
 Objectives
• To understand the determinants of effective PFP
systems.
• Identify the critical variables related to the
selection of the most appropriate PFP
• System.
• Review the evidence on the effectiveness of
different PFP system.
• Determine the relative advantages and
disadvantages of the various PFP systems.
• To understand the term motivation and its
relation with PFP system.
• To study the impact of PFP on employees
motivation in telemarketing industry
• Measurement of increase/decrease in
sales
• Employees satisfaction; whether they are
satisfied with PFP or not
• Pay Per Performance Verses Hourly paid
Telemarketing
 Interviews Conducted
• Top Management (C.E.O Rizwan Khan)
• Middle Management
 Floor Manager (Waseem Shaikh)
 Floor Supervisor (Jason Asterada)

• CSR/TSR
 New Agents
 Experienced
 Crestech International and Lords
Telecommunication
Levels PFP Traditional PFP PFP
Salary Motivates Motivates
(YES) (NO)
Manage 23 % 67% 92% 8%
ment

New 7% 93% 97 % 3%
Agents
Experien 79% 21% 100% 0%
ced
Agents
 Questioner for Motivation in
Telemarketing
• Do you know what is expected of you at work?
• Do you have the materials and equipment you need to do your work right?
• At work, do you have the opportunity to do what you do best every day?
• In the last seven days, have you received recognition or praise for doing
good work?
• Does your supervisor, or someone at work, seem to care about you as a
person?
• Is there someone at work who encourages your development?
• At work, do your opinions seem to count?
• Does the mission/purpose of your company make you feel your job is
important?
• Are your associates (fellow employees) committed to doing quality work?
• Do you have a best friend at work?
• In the last six months, has someone at work talked to you about your
progress?
• In the last year, have you had opportunities at work to learn and grow?
 References
• http://en.wikipedia.org/wiki/Pay_for_performance
• http://www.workforce.com/section/09/article/23/5
• http://en.wikipedia.org/wiki/Motivation
• http://performance-
appraisals.org/faq/indexemployee.htm
• http://en.wikipedia.org/wiki/Telemarketing
• Crestech International (Staff)