March 2, 2009
Aligning Compensation Incentives with Corporate Objectives
– Broc Romanek, CompensationStandards.com
In this podcast, David Koenig, Founding Partner of Ductilibility, discusses how companies can align their compensation incentives with risk management objectives, including:
– How work regarding risk and pay ties into today’s environment
– How a compensation incentive system with objective performance metrics might actually lead to misalignment between an employee’s incentives and the company’s operational objectives
– Whether corporate codes of ethics are effective in preventing risky behavior, including the “risk manager’s dilemma”