Is this practice gaining momentum....more of a CEO's compensation tied to long term performance goals and not stock price and its impact on e-Learning/performance management?

Last week I had a post on The Wide Road.....Why Does Achieving Performance Objectives Sometimes Leads to Business Failure?

As an interesting side note, the very same day--Wednesday, October the 18th edition of the Moving the Market/Tracking The Numbers/Outside Audit section of the Wall Street Journal had an article titled 'Verizon CEO Pay is Tied to Goals' by Sara Silver.

Essentially, the article discusses the change in CEO's compensation plan from long-term rewards based company stock performance to now tying part of CEO Ivan Seidenberg to certain strategic objectives.

According to company spokesman, Eric Rabe, "If Mr. Seidenberg's compensation were based solely on the stock performance, he would have a disincentive to make the investment that we believe is not a provision to make sure we do the right thing for longterm health of the company."

I think this is a brave step by Verizon. It will be interesting to see if other companies follow and the market will respond positively.   In light of the principles and application of  competency management/talent management/performance management, it  certainly makes sense for the long term as long as the company has linked it to moves that reflect market shifts, which in this case, it seems they have, but since I am not familar with the telcom industry, its hard to say.  Just thought it was interesting.....

elearning	learning management systems
elearning podcasts	Competency Management

Dave Boggs
SyberWorks, Inc.
SyberWorks e-Learning Podcast Series
SyberWorks LMS e-Learning Implementation Podcast Series