Executive Compensation
Executive Compensation – Past, Present and Future Executive compensation has traditionally been handled separately and differently than compensation for the other 95% employees in the organization. The goal has been to recognize the unique input of the executive on the performance of the overall organization and utilize compensation strategies that support long-term organizational goals. Although intended to encourage long-term decision –making, developments in executive compensation during the 90’s have encouraged executive compensation practices that support the individual executive’s goals and do not support the long-term goal of the organization – maximizing shareholder value.