Executive Compensation and Performance Measurement
...balancing innovation with practicality to align executive compensation with performance

Our Perspective
Leadership compensation is a broad, complex, and controversial arena. The goal of aligning pay delivery with value creation becomes ever more challenging when charged with the interests of diverse stakeholders—from plan participants and shareholders to institutional shareholder groups, advisory services, regulators, and, at times, even the media.

At SBCG, we help clients focus on how to best motivate and reward leaders for meeting meaningful performance standards that build sustainable shareholder value. Our quest is to arrive at objective answers to two questions:

1. What is the optimum compensation approach given the organization’s unique profile?
2. What level of pay is appropriate in order to reward contribution and performance, fuel motivation, and fairly share the value created between executives, other employees and shareholders?

Our experience shows us that there are a series of design choices to consider based on a company’s distinctive circumstances—its strategy, business and market characteristics, talent requirements, culture, management style, and performance and rewards strategy. We help clients make these choices in a way that contributes to the corporation’s long-term success.

We believe the four keys to success are based on experience and understanding of:

• The company’s critical challenges and drivers of success.
• The appropriate balance between practical reality and theoretical purity.
• The impact a given design will have on a company in its business environment.
• Potential consequences of a given design under different future scenarios.

Our executive compensation and performance measurement practice brings to bear all of our experience, creativity, technical expertise, and business acumen to create executive compensation structures and plan designs that serve an organization’s unique needs, drive performance, and build value.