Name
Debunking Relative TSR for LTIPs
Session Format
TR Talk
Key Topic Area
Executive Compensation
Target Attendee Experience Level
Intermediate: Hands-on and Practical Application
Description
Despite the best intentions, most LTIP performance share plans are not great at driving the desired behavior in managers. In fact, due to their risk and uncertainty, these plans often have a lower perceived value by the employee than the actual cost to the company. Join Gregory Milano, Founder & CEO of Fortuna, as he presents new research exposing the limitations of Total Shareholder Return (TSR) as a performance measure. You’ll learn about alternative performance test designs through two insightful case studies that sidestep the pitfalls associated with traditional plans, offering a fresh perspective on enhancing motivation and aligning employee value with organizational costs.
Takeaways
- Gain insights into the common challenges faced by LTIP performance share plans and understand why they may fall short in motivating managers effectively.
- Acquire practical knowledge on alternative performance test designs, offering innovative solutions to overcome the inherent risks and uncertainties associated with traditional plans.
Speakers