Chief Executive Officer Compensation in the Financial Industry
– … Even with these losses, Jamie Dimon was given a raise because of the growth of the company. In a CNN money article, Stephen Gandle justified the ride in Jamie Dimon’s compensation, “Most studies show that CEOs are paid based on what investors think their company is worth, or market capitalization, not actual earnings or stock price movement. At the end of 2011, JPMorgan had a market cap of $136 billion. The company now has a market cap of $212 billion. Based on the 2011 ratio (market cap to salary), Dimon should get paid $35 million this year” (Gandle)….
Chief Executive Officer Roles and Their Effects on Large Corporations
– Chief Executive Officer Roles and Their Effects on Large Corporations The Chief Executive Officer is responsible for the success or failure of the company. They are responsible for the operations, marketing, strategy, financing, and the creation of company culture, human resources, hiring, firing, and compliance with safety regulations, sales, etc.This all falls on the CEO’s shoulders. The CEO’s main function is to set a strategy, vision and values for the company. The senior management team can help develop this strategy….
Corporate Governance and Separating the Board Chairperson from the Chief Executive Officer
– Corporate Governance and Separating the Board Chairperson from the Chief Executive Officer Numerous reports on corporate governance have emphasised the desirability of increasing the number of outside directors on boards. An equally important and related issue is a growing insistence that the role of chairman and chief executive should be separate, though on this issue there is less unanimity in the U.S. than in other countries. Choosing the right Chief Executive officer is the key task for the board of directors….
The Importance of the Chief Information Officer
– The Chief Information Officer is also known by the title Information Technology Director. According to the US Department of Labor, “Chief Information Officers are responsible for the overall technological direction of their organizations.” (bls.gov). Contained within their various functions the Chief Information Officer has the ability to conduct the hiring of Information Technology professionals and other support personnel that can ably assist in accomplishing information technology related projects….
Effectiveness of Non-Executive Directors
– The effectiveness of non-executive directors is becoming to be seen as critical for the contribution to the effectiveness of corporate governance in providing investor protection. Relevant situational and sectoral experience enhances the effectiveness of non-executive directors. Jebb (1998) cited in Ahwireng-Obeng, Mariano and Viedge (2005) suggests that it is a better strategy to hire non-executive directors who have experience in similar as well as other sectors and situations that the company is likely to face than search for a particular expertise in a director….