Page 616 - Bruce Ellig - The Complete Guide to Executive Compensation (2007)

602 The Complete Guide to Executive Compensation

Table 10-8. (continued from previous page)
Action Basis Proposed by Approved by
Establish targets Competitive data CEO Board of directors
Company long- ↓
range forecasts Executive compensation
committee
Determine eligibility Job grade Director, Compensation Executive compensation
Salary level and Benefits committee (corporate
Organizational level officers)
Employee compensation
committee (nonofficers)
Grant individual Corporate CEO Executive compensation
awards performance Division president committee (corporate
Unit performance ↓ officers)
and potential Director, Compensation Employee compensation
and Benefits committee
For Perquisites
Establish/amend Competitive data Director, Compensation Executive compensation
other plans Employee attitude and Benefits committee (over
surveys $25,000 per year)
VP HR
Obtain competitive Comparable size/ Director, Compensation Executive compensation
data industry and Benefits committee(corporate
officers)
Employee compensation
committee (all others)
Establish/amend plan Competitive data CEO CEO
Internal equity ↓ Employee compensation
Employee compensation committee
committee Director, Compensation
Director, Compensation and Benefits
and Benefits
Give to individual Job grade CEO Executive compensation
plan Salary level Director, Compensation committee (for CEO)
Organizational level and Benefits Executive compensation
committee(corporate officers)
Employee compensation
committee (all others)
For Short-Term Incentives

Obtain competitive Comparable size/ Director, Compensation Employee compensation
data industry and Benefits committee
Amend plan Competitive data VP HR/Finance Shareholders
Company ↓
performance Employee compensation
committee
↓
Executive compensation
committee
↓
Board of Directors
(Continued on next page)