Executive Compensation and Corporate Financial Performance in Brazilian Companies

2012 ◽  
Author(s):  
Elizabeth Krauter
Keyword(s):  
Financial Performance ◽  
Executive Compensation ◽  
Corporate Financial Performance

scholarly journals The impact of directors’ tenure on executive compensation and corporate financial performance

2013 ◽  
Vol 10 (2) ◽  
pp. 164-172
Author(s):  
Sylvie Berthelot ◽  
Julien Bilodeau ◽  
Katy Davignon
Keyword(s):  
Financial Performance ◽  
Executive Compensation ◽  
Positive Impact ◽  
Independent Directors ◽  
Corporate Financial Performance ◽  
Senior Executives ◽  
Corporate Executives ◽  
The Impact

This research examines the impact of the tenure of independent directors on senior executives’ compensation and corporate financial performance. We assume that as the term of tenure or seniority of directors usually defined as “independent” increases, their independence can become compromised because of the relationships they build with corporate executives. The results show that although the tenure of independent directors has a positive impact on senior executives’ compensation, it has no significant impact on corporate financial performance. This result tends to support the contention that seniority should be taken into account in studies using director’s independence as a variable

ANALISIS FAKTOR PENENTU KOMPENSASI EKSEKUTIF DAN HUBUNGAN KOMPENSASI EKSEKUTIF DENGAN KINERJA PERUSAHAAN

2013 ◽  
Vol 11 (3) ◽  
Author(s):  
Dyan Vidyatmoko ◽  
Bunasor Sanim ◽  
Hermanto Siregar ◽  
M. Said Didu
Keyword(s):  
Financial Performance ◽  
Executive Compensation ◽  
Structural Equation ◽  
Equation Model ◽  
Product Diversification ◽  
Learning Performance ◽  
Market Area ◽  
Job Complexity ◽  
Positive Correlation ◽  
Volume Output

The objectives of this research were (1) to analyse determinants of the influencing factors of the Indonesian Estate State-owned enterprises’ executive compensations; and (2) to analyse the relationship between compensation executive and firm performances. Statistical methods used for analysing these objectives were Structural Equation Model (SEM), contingency analysis, regresion analysis and qualitative analysis. The study found out that from all identified variables, executive decision mechanism, job complexity, firm size, firm ability to pay compensation, and product diversification and market expansionhad positive correlation and significant influenced to executive compensation. Human capital, business risk, executive employment market had significant correlations to executive compensation. The research had also shown a result that executive compensation provide positive correlation and significant influence towards financial performance (EBIT), customer performance (sales volume, output price, market area), internal process performance (OER target, OER realisation), and growth and learning performance (number of training investment, number of employees participated intraining). However, executive compensation did not give positive correlation and significant influenced towards financial performance (ROE) and customer performance(market share). This research also showed that direction of executive compensation was heading to company’s performance and not the opposite way.

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