Corporate Governance: The Jack Wright Series #6-CEO Performance Appraisal and Compensation (A)

Case Solution

John L. Colley, Wallace Stettinius
Darden School of Business ()

The process by which the Board determines the composition of the CEO’s compensation instruments and the level of compensation is one of the most important aspects of Board responsibility. In addition, the board of directors must evaluate the CEO’s performance, many aspects of which are necessarily related to various compensation methods. This case provides a vehicle for discussing many aspects of these issues.

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