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  • May 2002 (Revised October 2002)
  • Background Note

Incentive Strategy II: Executive Compensation and Ownership Structure

By: Brian J. Hall
This case analyzes incentive strategy from the perspective of a company's board of directors and owners. The focus is the role that executive compensation and ownership structure (the composition of, and financial structure between, a company's owners) play in... View Details
Keywords: Governing and Advisory Boards; Executive Compensation; Ownership; Behavior; Motivation and Incentives; Perspective; Strategy; Value Creation
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Hall, Brian J. "Incentive Strategy II: Executive Compensation and Ownership Structure." Harvard Business School Background Note 902-134, May 2002. (Revised October 2002.)
  • Editorial

Elon Musk's Unusual Compensation Plan Isn't Really About Compensation at All

By: George Serafeim
Earlier this year, Tesla shareholders approved likely the largest compensation package ever awarded to a CEO—for a CEO who clearly doesn’t need the money. Elon Musk is already incredibly rich and also doesn’t seem particularly motivated by further wealth. So why do it?... View Details
Keywords: Tesla; Elon Musk; Innovation; Investor Communication; Investor Relations; Short-termism; Long-termism; Disruption; Executive Compensation; Business and Shareholder Relations; Communication Intention and Meaning; Mission and Purpose
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Serafeim, George. "Elon Musk's Unusual Compensation Plan Isn't Really About Compensation at All." Harvard Business Review (website) (May 1, 2018).
  • November 2011
  • Teaching Note

WrapItUp: Developing a New Compensation Plan (Brief Case)

By: W. Earl Sasser, Jr. and Rachel Shelton
Teaching Note for Product #4362 View Details
Keywords: Empowerment; Middle Management; Human Resource Management; Compensation; Incentives; Motivation; Management; Motivation and Incentives; Compensation and Benefits
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Sasser,, W. Earl, Jr., and Rachel Shelton. "WrapItUp: Developing a New Compensation Plan (Brief Case)." Harvard Business School Teaching Note 114-364, November 2011.
  • May 2019
  • Supplement

Kjell and Company: Motivating Salespeople with Incentive Compensation (D)

By: Doug J. Chung
Kjell & Company was a Swedish retail electronics chain. The company’s products consisted of home electronics and accessories. The company was noted for its excellent customer service and a fair “one-for-all” HR policy. Historically, the salespeople had been compensated... View Details
Keywords: Salesforce Management; Compensation and Benefits; Motivation and Incentives; Change Management; Behavior; Electronics Industry; Sweden
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Chung, Doug J. "Kjell and Company: Motivating Salespeople with Incentive Compensation (D)." Harvard Business School Supplement 519-096, May 2019.
  • Research Summary

Board Independence and the Design of Executive Compensation

In this project, I analyze the compensation decisions of boards of directors. Compensation decisions not only serve to motivate executives, but also affect a board's reputation for independence. Although greater managerial influence over the board has the obvious... View Details
  • January 2011 (Revised April 2020)
  • Case

Executive Compensation at Talent Partners

By: Richard S. Ruback and Royce Yudkoff
Talent Partners' CEO was very successful at growing the business and establishing its leadership position. He was compensated with a mix of salary and options and he did not own any equity in the company. The options were set so that if Talent Partners achieved its... View Details
Keywords: Executive Compensation; Stock Options; Compensation and Benefits
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Ruback, Richard S., and Royce Yudkoff. "Executive Compensation at Talent Partners." Harvard Business School Case 211-073, January 2011. (Revised April 2020.)
  • October 2024
  • Article

Founder-CEO Compensation and Selection into Venture Capital-Backed Entrepreneurship

By: Michael Ewens, Ramana Nanda and Christopher Stanton
We show theoretically that a critical determinant of the attractiveness of VC-backed entrepreneurship for high-earning potential founders is the expected time to develop a startup’s initial product. This is because founder-CEOs’ cash compensation increases... View Details
Keywords: Entrepreneurship; Venture Capital; Executive Compensation
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Ewens, Michael, Ramana Nanda, and Christopher Stanton. "Founder-CEO Compensation and Selection into Venture Capital-Backed Entrepreneurship." Journal of Finance 79, no. 5 (October 2024): 3361–3405.
  • March 1991
  • Case

Kodak and Polaroid: Consumer Compensation

By: John A. Quelch
Citation
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Quelch, John A. "Kodak and Polaroid: Consumer Compensation." Harvard Business School Case 591-015, March 1991.
  • 05 Dec 2014
  • Working Paper Summaries

Seesaws and Social Security Benefits Indexing

Keywords: by Matthew Weinzierl
  • 2004
  • Other Unpublished Work

Executive Compensation

By: Thomas R. Piper
Keywords: Executive Compensation
Citation
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Piper, Thomas R. "Executive Compensation." October 2004.
  • 2023
  • Working Paper

Founder-CEO Compensation and Selection into Venture Capital-Backed Entrepreneurship

By: Michael Ewens, Ramana Nanda and Christopher Stanton
We show theoretically that a critical determinant of the attractiveness of VC-backed entrepreneurship for high-earning potential founders is the expected time to develop a startup’s initial product. This is because founder-CEOs’ cash compensation increases... View Details
Keywords: Entrepreneurship; Venture Capital; Executive Compensation
Citation
SSRN
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Ewens, Michael, Ramana Nanda, and Christopher Stanton. "Founder-CEO Compensation and Selection into Venture Capital-Backed Entrepreneurship." Harvard Business School Working Paper, No. 20-119, May 2020. (Revised September 2023. Forthcoming at Journal of Finance.)
  • Article

Compensation and Incentives: Practice vs. Theory

By: George P. Baker, Michael C. Jensen and Kevin J. Murphy
Keywords: Compensation and Benefits; Motivation and Incentives; Practice; Theory
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Baker, George P., Michael C. Jensen, and Kevin J. Murphy. "Compensation and Incentives: Practice vs. Theory." Journal of Finance 43, no. 3 (July 1988): 593–616. (Reprinted in Michael C. Jensen, Foundations of Organizational Strategy, Harvard University Press, 1998.)
  • June 2016
  • Article

Corporate Governance and Executive Compensation for Corporate Social Responsibility

By: Bryan Hong, Zhichuan (Frank) Li and Dylan B. Minor
We link the corporate governance literature in financial economics to the agency cost perspective of corporate social responsibility (CSR) to derive theoretical predictions about the relationship between corporate governance and the existence of executive compensation... View Details
Keywords: Corporate Social Responsibility; Incentives For CSR; Non-financial Performance Measures; Agency Costs; Board Independence; Institutional Holdings; Managerial Power; Motivation and Incentives; Corporate Social Responsibility and Impact; Executive Compensation; Corporate Governance
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Hong, Bryan, Zhichuan (Frank) Li, and Dylan B. Minor. "Corporate Governance and Executive Compensation for Corporate Social Responsibility." Journal of Business Ethics 136, no. 1 (June 2016): 199–213.
  • May 2019
  • Supplement

Kjell and Company: Motivating Salespeople with Incentive Compensation (C)

By: Doug J. Chung
Kjell & Company was a Swedish retail electronics chain. The company’s products consisted of home electronics and accessories. The company was noted for its excellent customer service and a fair “one-for-all” HR policy. Historically, the salespeople had been compensated... View Details
Keywords: Salesforce Management; Compensation and Benefits; Change Management; Behavior; Electronics Industry; Sweden
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Chung, Doug J. "Kjell and Company: Motivating Salespeople with Incentive Compensation (C)." Harvard Business School Supplement 519-095, May 2019.
  • August 2002
  • Background Note

Customer Benefit Stack

By: Das Narayandas
Describes a process to understand customer benefits created in industrial markets using the metaphor of a customer benefit stack. View Details
Keywords: Customer Satisfaction; Customer Value and Value Chain; Marketing Strategy; Product Marketing; Manufacturing Industry
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Narayandas, Das. "Customer Benefit Stack." Harvard Business School Background Note 503-028, August 2002.
  • January 2017 (Revised May 2019)
  • Case

Kjell and Company: Motivating Salespeople with Incentive Compensation (A)

By: Doug J. Chung
Kjell & Company was a Swedish retail electronics chain. The company’s products consisted of home electronics and accessories. The company was noted for its excellent customer service and a fair “one-for-all” HR policy. Historically, the salespeople had been compensated... View Details
Keywords: Salesforce Management; Compensation and Benefits; Change; Decision Making; Electronics Industry; Sweden
Citation
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Chung, Doug J. "Kjell and Company: Motivating Salespeople with Incentive Compensation (A)." Harvard Business School Case 517-090, January 2017. (Revised May 2019.)
  • February 2008 (Revised May 2011)
  • Background Note

A Note on Compensation Research

By: Robert G. Eccles, Boris Groysberg and Ann Cullen
This note provides guidelines to consider and reviews the sources available for compensation research. Having an understanding of the “outside option,” that is effectively the average salary being offered for a position in a specific type of firm is an important... View Details
Keywords: Decision Choices and Conditions; Compensation and Benefits; Jobs and Positions; Research
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Eccles, Robert G., Boris Groysberg, and Ann Cullen. "A Note on Compensation Research." Harvard Business School Background Note 408-114, February 2008. (Revised May 2011.)
  • January 2020
  • Article

Compensation Consultants and the Level, Composition, and Complexity of CEO Pay

By: Kevin J. Murphy and Tatiana Sandino
We provide fresh evidence regarding the relation between compensation consultants and CEO pay. First, firms that employ consultants have higher-paid CEOs—this result is robust to firm fixed effects and matching on economic and governance variables. Second, while this... View Details
Keywords: Consultants; Benchmarking; Incentive Pay; Executive Compensation; Complexity; Motivation and Incentives; Governance
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Murphy, Kevin J., and Tatiana Sandino. "Compensation Consultants and the Level, Composition, and Complexity of CEO Pay." Accounting Review 95, no. 1 (January 2020): 311–341.
  • 2019
  • Working Paper

Compensation Consultants and the Level, Composition, and Complexity of CEO Pay

By: Kevin J. Murphy and Tatiana Sandino
We provide fresh evidence regarding the relation between compensation consultants and CEO pay. First, firms that employ consultants have higher-paid CEOs—this result is robust to firm fixed effects and matching on economic and governance variables. Second, while this... View Details
Keywords: Consultants; Benchmarking; Incentive Pay; Executive Compensation; Complexity; Motivation and Incentives; Governance
Citation
SSRN
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Murphy, Kevin J., and Tatiana Sandino. "Compensation Consultants and the Level, Composition, and Complexity of CEO Pay." Harvard Business School Working Paper, No. 18-027, September 2017. (Revised March 2019. Accepted and forthcoming at The Accounting Review.)
  • June 2017 (Revised May 2019)
  • Supplement

Kjell and Company: Motivating Salespeople with Incentive Compensation (B)

By: Doug J. Chung
Kjell & Company was a Swedish retail electronics chain founded in 1988 by brothers Marcus, Mikael and Fredrik Dahnelius. The company operated 84 stores, all company-owned, located mainly in the metropolitan areas of Sweden’s most popular cities: Stockholm, Gothemburg... View Details
Keywords: Salesforce Management; Compensation and Benefits; Motivation and Incentives; Change Management; Behavior; Electronics Industry; Sweden
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Chung, Doug J. "Kjell and Company: Motivating Salespeople with Incentive Compensation (B)." Harvard Business School Supplement 517-133, June 2017. (Revised May 2019.)
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