My experience is that for organizational success and sustainability to be achieved, an organization needs to ensure that things are done right at operational level and that the right things at strategic levels. This assumes that all other factors are, however, remain constant. This means that given factors like the current economic downturn, an organization can still fail after doing things right and/or doing the right thing. Notwithstanding this, however, an organization should always ensure things are done right and the right things are done.

Onegi P Jenaro, MBA

(that major shareholder is the US taxpayer, and I for one, am glad to see some action in this area)

In private enterprise, if either by poor business execution or just bad luck, a company gets into a financial situation where they need to raise money to continue business operations, when a new major shareholder comes in, and fronts the money to keep things rolling, they most assuredly have the right to pay the executives they CHOOSE to keep, the kind of compensation that they feel is prudent.

chuckles… just my 2 cents…

Thanks for the encouragement. Maybe CEO bonuses based on five year results. No bonuses for the first 4 years of your tenure.

Michelle

In answer to your title question– when executive incentives begin to motivate results at a time delay appropriate to executive LoW. How to encourage that happening? Wish I were smart enough to figure that one out.

Thanks for the comment. There is definitely something wrong with this picture.

Michelle

Mark may be right that the only solution is for big time investors to step in and demand accountability from the Directors.