We believe strongly that Directors today need to venture beyond so-called best practices, beyond check-the-box compliance, and beyond the obvious to ensure executive pay programs meet their organizations' unique strategic and talent needs.
This "Compensation Committee Agenda" report focuses on specific and practical recommendations for how Compensation Committees can get there by closely addressing five related fundamentals of good pay design and governance:
- Business Strategy: Does your pay program align with your business value drivers?
- People Strategy: Does your pay program support your talent management strategy?
- Performance Measurement: Does your pay program reward the right performance?
- Good Governance: Is your pay program informed or dictated by external pressures?
- Clear Communication: Does your pay program resonate with executives and shareholders?