Chapter 2Performance Measurements and Standards
Before going any further, it is important to take time to identify and describe measurements and standards of performance that can be used in determining compensation for executives. A standard, or stated objective, is intended to improve performance (typically, by a stated amount).
UDERSTANDING PERFORMANCE MEASUREMENT
Vision, mission, and objectives were defined and described in Chapter 1 (“Executive Compensation Framework”). Performance is the extent to which the company achieves the stated objectives. This means the objectives not only have to be described but the outcome has also to be measured. ...
Get The Complete Guide to Executive Compensation 3/E, 3rd Edition now with the O’Reilly learning platform.
O’Reilly members experience books, live events, courses curated by job role, and more from O’Reilly and nearly 200 top publishers.
