As with all business decisions, their effectiveness depends on the quality of the information used to make those decisions.
Each year, compensation committees are presented with mountains of pay data and analysis. Unfortunately, there are many common reoccurring issues with this data that may paint an incomplete or confusing picture for the committee. And in the worst cases, the information may be misleading or simply wrong.
In this webcast from the NACD and Pearl Meyer, we review the most common weaknesses of executive pay data and analysis. We also offer several questions that directors can ask to uncover any of these issues and improve the quality of the information that the committee uses for executive compensation decisions.
