June 26, 2008
Will the Consultant Be There When Needed?
When hiring – or evaluating the performance of – a compensation consultant, one area of focus should be time availability. The committee needs to know its consultant will be available to discuss issues when needed – and the consultant should expect the same of committee members. From the committee’s standpoint, the consultant should not be overloaded with other client work and be reasonably available for in-person, and not just telephonic, meetings with the committee.
A senior consultant is usually the lead person on an account, but the committee should be aware of the extent to which assignments will be undertaken by a more junior person. While the latter may be competent to respond to most factual questions, the committee needs assurance that the most experienced consultant will respond when an opinion is needed regarding a particular course of action.
In turn, the consultant should explain to committee members that doing a good job requires candor from and accessibility to the committee – not just when the compensation committee chair requests a meeting, but also when the consultant believes there is an issue that deserves further consideration.
– Dave Swinford, Pearl Meyer & Partners