Unless the top line of company executives are held accountable for and judged by their contribution to the company’s risk management and mitigation efforts, including importantly CSR and sustainability performance, the company will struggle. Without senior commitment and engagement, the system only ever allows for minor ‘bug fixes’.
Decisions in companies, brands, and businesses are never based either on a single argument, or the consequence of a single person’s ‘way’. Rather, companies have, to an extent, their own personality.
Key Question: a decision taken by this organisation – is it largely independent from, or a necessary consequence of, the decision(s) that the individuals within the organisation have taken?
CEO pay is an ongoing topic. Stock options are a regular part of their pay package.
The way CEO pay packages handle stock options may foster short-termism. Or contribute to remedy it. Some thoughts.