Employee Compensation

By Bonnie Schindler Private, for-profit companies in the United States rely heavily on cash incentives to motivate and retain executives and employees, according to the recently released 2013 Vivient Consulting and WorldatWork “Incentive Pay Practices Survey: Privately Held Companies”survey of private-company incentive-compensation plans. This survey was conducted...

By Jeff McCutcheon (and co-authored by Dave McDaniel, Board Advisory). “If you don’t know where you are going, you may wind up someplace else.” -Yogi Berra For executive compensation, achievement of corporate strategy is the destination; pay levels, pay programs, and metrics provide the route. As inevitably...

By Dave Ryan Aligning Pay and Performance: The Compensation Committee’s Ongoing and Essential Role The strategic needs of any company are many and complex. These needs include developing leaders, balancing performance and retention needs, and creating and maintaining a performance culture. Board compensation committees play an essential role...

By Don G. McDermott Public companies have long used stock options and other equity-based incentives to reward their executives. As a result, stock options have become an extremely lucrative portion of the total compensation for executives of publicly traded companies. Considering the enormous amount of wealth...

By Don G. McDermott Today's compensation approaches, like the rest of the business world, are changing rapidly. As a result, the bridge that connects compensation strategy to the overall business strategy may have been weakened by the frequent shifts that characterize business today. Consider the following scenario:...

By Dave Ryan At this point, most company executives agree that pay-for-performance plans are an effective tool not only to align the employee’s behavior with the company’s goals, but also to attract and retain the best talent. The question is, if they are so great, why...

By Dave Ryan Given the important and sensitive nature of compensation, I believe that credible and well-managed compensation programs are important to every company’s success. All companies face challenges like competition for critical talent, rapid changes in the business environment, and increasing investor, legislative or regulatory...