Fair Pay, Fair Play: Aligning Executive Performance and Pay

ISBN-13: 9780470571057 / Angielski / Twarda / 2010 / 304 str.

Robin Ferracone

Opis

A timely look at how to evaluate and determine executive pay Recognized as the leading expert on executive compensation, Robin Ferracone combines her own 20 years of experience with interviews with executives and compensation committees to provide a clear examination of and guidance on determining pay packages, actions, and designs. and Over the past 25 years, the author has created a database of executive pay across 44,000 companies, broken down by company performance, company revenue and industry. Using this data, the author provides boards and individuals evaluating executive pay with the ability to analytically determine an appropriate compensation package.

• Provides real-life stories, perspectives, and insights from thought leaders on executive compensation
• Contains interview with compensation committee members, executives, academicians, government leaders, and shareholder activists
• Research based on 44,000 companies broken down by performance, revenue and industry

Offers a timely resource on a hot button topic.

Spis treści

Preface.

Part I: Fair Pay.

Chapter 1: Same Problems, Different Context.

Chapter 2: Shareholder Value: A Good Indicator of Long–Term Success.

Chapter 3: The Anatomy of Performance–Adjusted Compensation (PAC).

Chapter 4: The Performance and Pay Alignment Zone.

Chapter 5: The Alignment Report.

Chapter 6: From Maligned to Aligned.

Chapter 7: Patterns of Misalignment.

Part II: Fair Play.

Chapter 8: The Root Causes of Misalignment.

Chapter 9: Aggressive Target Pay.

Chapter 10: Turbo–Charged Upside.

Chapter 11: Conventional Goal–Setting.

Chapter 12: Short–Term Gain; Long–Term Pain.

Chapter 13: Flattening the Curve.

Chapter 14: Ad Hoc Decisions.

Chapter 15: Decision–Making Influences.

Chapter 16: Creating and Maintaining Alignment.

Epilogue: Holding Companies Accountable.

Appendix A: Analytic Methodologies.

Appendix B: GICS Sectors.

Appendix C: List of Interviewees.

Notes.

Acknowledgments.

The Author.

O autorze

Robin A. Ferracone is founder and executive chair of Farient Advisors LLC and founder and CEO of RAF Capital LLC. Ferracone is a thirty–year veteran of the executive compensation consulting world and has worked at Farient Advisors, Mercer, SCA Consulting, and Booz Allen & Hamilton (now Booz & Company). She has been a senior advisor to executives and compensation committees for over thirty years and has served on both for–profit and not–for–profit boards. In 2003, she received the WorldatWork Distinguished Service Award.

Blurb

Praise for Fair Pay, Fair Play

"I like the way that Ferracone tells real–world stories on executive compensation, as recounted by board members and executives on the front lines, and she backs up these narratives with well–researched statistics. Her way of looking at performance–adjusted pay is highly innovative and offers insights that we had previously not seen."
Roy J. Bostock, non–executive chairman of the board, Yahoo! Inc.

"This book is the best authoritative source on executive compensation today. It takes an extremely complex topic and boils it down to its simplest terms: alignment between pay and performance. Ferracone′s Alignment Model gives us a way to test and analyze alignment in our companies. In a word it is superb! The Alignment Model is a tool that boards, executives, and investors alike can use. This book is required reading for every compensation committee member, CEO, head of HR, and institutional investor in America."
Alexander L. Cappello, chairman and CEO, Cappello Capital Corp.

"Ferracone provides a set of principles combined with actual accounts of how companies can achieve pay–for–performance alignment on a sustainable basis. Making this happen is critical to building trust and a high–performance culture."
Richard Floersch, chief HR officer, McDonald′s

"Ferracone does an excellent job of describing how executive performance and pay should be aligned. She combines quantitative research with qualitative commentary from those who are on the front lines in determining executive compensation. This combination makes the book eminently readable and a very useful guide."
Ed Lawler, author, Rewarding Excellence

"By constructing a highly fact–based and thoughtful road map, Ferracone has taken the emotion and fear out of executive compensation decision making. Following the recommendations and analyses contained in this book will enable struggling boards and compensation committees to execute better, and well–performing boards to flourish."
Anne C. Ruddy, CCP, president, WorldatWork