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Business Policy Development and Implementation, Section D: 1-4 - Essay Example

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Business Policy Development and Implementation, Section D: 1-4 First Name M. Last Name Institutional Affiliation Business Policy Development and Implementation, Section D: 1-4 1. Executive Compensation and the Golden Parachute Executive compensation is the monetary remuneration and non financial incentives an employee is provided in exchange for the services he or she rendered in the organization…
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Business Policy Development and Implementation, Section D: 1-4
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Download file to see previous pages There is what is commonly called “competitive benchmarking” (Elson & Ferrere, 2012, p. 9). The golden parachute was Russia’s greatest ever; this was the result of a shareholder’s dispute. In the light of executive compensation to attain organizational goals, an executive employee should be remunerated above or parallel to the market value. This can ensure employee retention as part of realizing the goals of the organization. Another option as shareholder suffrage on executive remuneration would as well connote a fair and just management stipulation. References Elson, C. M, & Ferrere, C. K. (2012). Executive superstars, peer groups and overcompensation--cause, effect and solution. Retrieved from http://papers.ssrn.com/sol3/Delivery.cfm/SSRN_ID2159998_code50254.pdf?a stractid=2125979&mirid=1 Kramer, A. E. (2012, December 17). Mining executive receives payout of $100 million, Russia's largest ever. The New York Times. Retrieved from http://www.nytimes.com/2012/12/18/business/global/norilsk-nickel-pays-strzhal ovsky-100-million-severance.html?_r=0 Lawler, E. E., III. (2012, October 09). Outrageous executive compensation: Corporate boards, not the market, are to blame. Forbes. Retrieved from http://www.forbes.com/sites/edwardlawler/2012/10/09/outrageous-executive-compensation-corporate-boards-not-the-market-are-to-blame/ 2. Organizational Restructuring Organizational restructuring alters stipulative scheme, information dissemination, and management framework of a certain organization (Tearle, 2011). SMART Technologies, Incorporated has undergone corporate restructuring (“SMART Announces Corporate Restructuring,” 2012), and personnel development is a very significant facet on it. The employees themselves are the central participants in the restructuring of an organization. The restructuring of SMART has twofold aspects: first, decentralization has been sighted by the entity as the optimum recourse in developing customer service in the fields of education and enterprise; second, the latter will denote cost reduction by almost $40 million. Stakeholders, such as employees, will have to adapt corporate culture alterations, undergo training and redeployment designs, conform to amended HR policies, and accept remuneration modification. Customers will also experience a better customer service once the restructuring has been implemented. References SMART announces corporate restructuring. (2012, December 11). Yahoo! Finance. Retrieved from http://finance.yahoo.com/news/smart-announces-corporate-restructuring-13000377.html Tearle, R. (2011). Restructuring organizations. Retrieved from http://www.changedesigns.net/public/team/leading_teams/Leadership-after-an organizational-restructure.html 3. Visionary Leadership Perspective Visionary leadership connotes the creation of a favorable picture of the future that stimulates the interest of the members of an organization and supplies course for future specific management functions. Visionary leaders tell their subordinates where they are going, but not on how they would get there. The followers have the freedom to innovate, test, and take gauged risks (“Leadership Styles,” 2012). This arrives into two types: charismatic leadership connotes qualities of leaders that generate strong connection with them and their followers while transformational leadership explicates the production of ...Download file to see next pagesRead More
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