Executive Compensation Diagnostic

  • Is your strategy clear?
  • Can it be translated into action?
  • Is it measurable?
  • Does it have the potential to transform your business?
  • Do you measure the true drivers of value in your business?
  • Do you link your executive compensation to what drives value – key strategic and financial measures as well as relative share price?
  • Are your executives motivated to create a dramatic upside for shareholders?
  • Is there a downside for mediocre performance?
  • Are key front-line employees focused on the same goals and motivated to deliver results?
  • Do incentives reinforce a “performance culture”?
  • Is your compensation system simple and transparent?
  • Does everyone understand how pay is linked to performance?

Source:
Making Sense of Executive Pay
by Marcia Blenko
Bain & Company, 1/1/2003

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