This case study is an extension of our previous implementation for a Frozen Food Delivery company, where Odoo was implemented to streamline order, delivery, and warehouse operations.
As the company scaled, it became necessary to implement a transparent and automated incentive tracking system for the sales team based on actual sales performance and payment collections.
Problem Statement
The company has a team of salespeople who receive orders through multiple channels (phone, WhatsApp, email). Each salesperson manually entered orders into Excel and tracked their own sales performance. The incentive structure was defined but lacked:
- Automation in calculating incentives
- Transparency for sales team and managers
- Accuracy in aligning incentives to collected payments
- Consolidated reporting across different timeframes (monthly, quarterly, yearly)
Business Rules for Incentives
- Incentives are given only if full payment is received.
- Monthly Incentive: 1% on collected order value if monthly target is achieved.
- Quarterly Incentive: Additional 0.5% if quarterly target is achieved and collected.
- Yearly Incentive: Additional 0.5% if yearly target is achieved and collected.
- Reports required:
- Incentives per salesperson (Monthly, Quarterly, Yearly)
- Total incentives paid for a specific period
Solution Implemented in Odoo
1. Salesperson Target Management
- Custom fields and views were added in Odoo to:
- Set monthly, quarterly, and yearly targets per salesperson
- Track actual order value and payment collected against targets
- Set monthly, quarterly, and yearly targets per salesperson
2. Order & Payment Validation
- Automated validation checks implemented to:
- Consider only “Fully Paid” orders
- Tag them as "Closed Orders" linked to the responsible salesperson
- Consider only “Fully Paid” orders
3. Incentive Calculation Engine
- A custom incentive engine calculates:
- Monthly incentive @1% on collected order value
- Additional 0.5% for achieving quarterly and yearly targets
- Monthly incentive @1% on collected order value
- Incentive is only applied to the value for which payment is fully received
4. Incentive Dashboard & Reporting
- Custom reports developed for:
- Salesperson-wise incentive performance by month, quarter, and year
- Summary of total incentives paid per period
- Drill-down capability into qualifying orders for each incentive
- Salesperson-wise incentive performance by month, quarter, and year
Sample Use Case
Salesperson A
- Monthly Target: $5,000
- Orders Closed: $6,000
- Payments Received: $6,000
- Monthly Incentive Paid: $60
Quarterly Summary
- Quarterly Target: $20,000
- Orders Closed: $22,000
- Payments Received: $21,000
- Quarterly Incentive Paid: $105
Yearly Summary
- Yearly Target: $65,000
- Orders Closed: $65,000
- Payments Received: $65,000
- Yearly Incentive Paid: $325
If at any point, payment is not fully received, the order is excluded from the incentive calculation.
Business Benefits
Benefit | Before Odoo | After Odoo Implementation |
Incentive Calculation | Manual and error-prone | Fully Automated with validation checks |
Visibility on Sales Performance | Limited and delayed | Real-time dashboards and reports |
Motivation & Fairness | Subjective and inconsistent | Transparent and rule-based |
Management Control | No centralized reporting | Period-wise reports for leadership |
Conclusion
With this extension to the Odoo system, the frozen food company has now achieved:
Objective-based incentive distribution
Real-time tracking of targets and collections
Motivated and performance-driven sales culture
Accurate and auditable payout process
This enhancement strengthens Odoo’s role as the central business nerve center, ensuring fairness, accuracy, and motivation in sales operations.