Compensation Insights BLOG

Changing technologies, markets, sales approaches and customer expectations required companies to maintain a laser focus on business during the recent Great Recession. As a result, many organizations’ compensation structures received little attention and today are dangerously out of sync with the realities of the marketplace....

By Jeff McCutcheon and Rich McGinley Given the rapid growth in share repurchase arrangements, we believe it is necessary for compensation committees to closely review the relationship between buybacks and incentives and carefully consider the role of unintended consequences within the executive performance management process.  In...

By Paul McConnell and Mark Gressle In supporting a company’s strategy, the board must adopt compensation programs that are aligned with the strategy and allow managers to participate meaningfully in the value they create for shareholders. Consequently, Boards and managers must explain to institutional investors and...

Learn about the benefits and some of the key considerations in using deferred compensation incentives to boost executive and company performance. Discover ways deferred compensation plans can be set up to emulate bonuses, long-term incentives and even equity-based compensation. Read about a retail case study...

Private companies are increasingly adopting public company governance practices such as using formal Compensation Committees consisting of internal or external Board members.  Unlike publicly traded companies where a Compensation Committee is a requirement, private companies establish formal Compensation Committees for reasons such as the desire...

By Bertha Masuda Deciding on individual bonus awards is an important exercise to ensure pay for performance.  However, many companies struggle with how to use discretion in finalizing bonus awards.  In a recent Vivient survey of private companies, almost 60% of companies rated the level of...