Incentive Compensation Management (ICM) is a structured method MLM companies use to reward distributors for performance, helping drive sales and build loyalty. It includes designing commission plans, setting bonus incentives, defining performance metrics, and tracking results with real-time analytics. When aligned with business goals, ICM encourages distributors to reach sales targets, recruit new members, and retain customers, all while reinforcing fairness and transparency. A robust system increases sales performance and keeps top distributors engaged, fostering long-term stability.