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You don't have to be a builder to know that to create a quality structure, a solid foundation is key. Unfortunately, many executive compensation programs are designed and validated based on peer groups that neither management nor directors believe represent the company's desired talent profile, current business cycle stage, business mix, and/or end-market customers -- a shaky foundation indeed! This panel will explore how to define the purpose of your peer group, select companies based on that purpose, and determine if multiple peers groups or an index are more appropriate than industry-defined/size-specific groups. It will also look at the pay implications of selecting inappropriate peers and what the peer group signals to the market about the company's culture and performance expectations.