Duckworth Industries, Inc.–Incentive Compensation Programs

A private company is considering an introduction of a longrun incentive compensation system in which payoffs to managers are determined by the economic value added for shareholders by their individual business units. The proposed new system is compared to a number of earlier incentive schemes utilized by the firm.

Executive Pay and the Credit Crisis of 2008 (B)

When the recession lasted until 2009, the US government tried to limit executive salaries and excessive risk. The debate intensified about what constitutes undue risk and how best to contain it. This case describes the government’s restrictions on executive compensation for TARP recipients and addresses the debate on executive compensation and incentives that encourage undue …

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Hikma Pharmaceuticals Governance Journey

The case begins with Said Darwazah, president and CEO of Hikma Pharmaceuticals, the multinational generics company, anticipating the company’s annual general meeting in 2017 and considering changes made the previous year to address the concerns of proxy advisors and some shareholders on Hikma’s dependence on a joint chairman. / CEO position, the long tenure of …

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PrimeStone Capital and dormakaba

London-based activist hedge fund PrimeStone Capital has identified a potential investment in Swiss security firm Kaba. PrimeStone believes the company is undervalued because it has postponed several financial goals and believes it can help by proposing a new executive compensation plan with incentives. The company’s performance is improving and PrimeStone must decide whether its presence …

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Regina Broadband’s Earnings Conference Call (A)

Rhonda Magee, a new employee at Regina Broadband, is tasked with preparing slides for the upcoming conference call on the company’s results. The company had grown well through acquisitions, but was now pursuing an organic growth strategy. Recent changes had raised potential questions about the company’s leadership and compensation. As a policy, Regina’s management gave …

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Carlos Ghosn: The Rise and Fall of an Automobile Legend (B)

Carlos Ghosn, a Lebanese and French Brazilian, is in many ways one of the most famous automotive managers of the late 20th and early 21st centuries. This is a two-part case on his career, leadership, and his decision-making. Part A begins in 1999, the beginning of Ghosn’s arrival in Japan, where he embarked on a …

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Regina Broadband’s Earnings Conference Call (B)

Within 3 minutes of releasing the fourth quarter and year-end results, Regina Broadband stock fell more than 25%. The company’s CEO and CFO realized they needed to quickly rethink and refine the message they would convey to Regina’s shareholders and investors during the afternoon conference call that will take place in 15 minutes.

Collaborating for Growth: Duane Morris in a Turbulent Legal Sector

By the late 2000s, the Duane Morris Law Firm had grown from a growing American law firm to a major global player. The firm’s unique collaborative corporate culture, which included a transparent data-driven compensation system, integration of practice groups across multiple offices, and rewards for attorneys with shared responsibility, had contributed to the firm’s success …

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The SimpleTel Dilemma

Until recently, SimpleTel was a star in the telecommunications industry and the CEO was a darling of the analyst community. A few years ago, SimpleTel found itself in a situation where customers were migrating to smaller local telecom providers to avoid overloading the SimpleTel network. At this point, SimpleTel management decided to invest heavily in …

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