The IPO market has remained strong for a while now. Equity compensation is a huge part of compensation at IPO. Yet, for all the publicity stock-based compensation receives, it is still mostly a mystery to those involved. Most of us know that an Initial Public Offering is a way to get your company’s stock into...
We love data. In fact, compensation professionals seek out data like artists desire southern exposure in New York or kids crave waterslides in the summer. Data is our friend. It helps guide us and it provides credibility for our decisions. But, we must always beware of prepackaged data. This type of data is our “frenemy”....
Often your HR person is also your benefits, recruitment, training, organizational development, problem resolution and party planning resource. Even though pay is just a small part of an HR professional’s expertise, your company should have access to the same experience and expertise as the larger companies you compete with. Why should your company be at...
Many smaller companies have both limited time and expertise to spend on their compensation programs. Faced with immediate needs many companies find themselves halfway down a road before planning out where they are going. In an ideal environment, these companies would pull over to the side of the road, get their bearings and start over....
In our world of sound bites and summaries, statistics are playing an increasingly important role. They are the basis of infographics. They are used in catchy headlines. They provide support for arguments, both real and imagined. They also provide ammunition for the ongoing wars about compensation, engagement and more. The real question is should they...
Recently, Financial Times published an article titled “Share price windfall reignites debate over executive pay.” Reigniting a fire that has not died down for decades seems a bit much, but let’s talk about it. The article focuses on how quantitative easing has increased share prices for companies in the UK. One argument is that this...
It’s an age-old negotiation. Pay me more and I will perform. Perform better and I will pay you. So, what comes first, the payment or the performance? Hay Group’s Annual CEO Compensation Survey was released last week. The results show the highest weighting ever (31%) for long-term performance plans. Was this a result of executive...
Multinational companies have enough complexities, why add to them? This is a refrain I hear from people who promote “global” programs in which a single tool is used across all regions to help build a corporate culture. For the sake of simplicity, let’s will call this the vanilla plan. In all the years I have...
Dan Walter, Performensation In recent presentations I have heard several compensation professionals from the UK refer to their “Shareholder Spring” of 2012. The reference is to the raising of voices from shareholders. While we all love a little hyperbole, I believe that their Shareholder Spring was barely a fling. The UK’s Shareholder Spring led to a...
This article carries forward the theme started with a question about what to do when a company can’t or doesn’t want to offer stock options. My first response, “Competitive Compensation Without Stock Options,” covered units, phantom awards and appreciation rights. The world of Long-term incentives (LTI) is vast. Some companies get comfortable with one “family”...
