The basic objectives of executive compensation have been the same since the rise of large companies in the late 19th century: provide strong incentives to increase shareholder value, retain key talent and limit shareholder cost. What’s changed over time is the dominant approach to achieving these objectives. In the first half of the 20th century, companies relied heavily on fixed sharing to achieve the three objectives. Since then, public companies have shifted their focus from fixed sharing to competitive pay in the labor market. READ MORE