Sure, it’s a great question.

This is the role of sales managers. They should be ensuring that known bad deals don’t happen. Mostly by auditing every deal. Usually it’s pretty quick and easy to tell if a deal is good or bad if you are trying to be objective.

If a salesperson won’t accept this rule - fire them.

Thanks. Sounds like the right thing to do!

I heard from some CEOs that they vest sales bonuses over a 2-3 year period to incentive longer contracts.

But that of course makes the whole incentive scheme more complicated!