The economic consequences of the global pandemic have rendered the incentive remuneration performance targets irrelevant for many companies. For companies negatively impacted, most financial objectives for 2020 have become unattainable. However, for the fortunate companies benefiting from the pandemic - especially the essential goods and service providers - some objectives may have already been achieved and no longer function as an incentive for 2020.
How should we deal with the influence of the virus on company performance at the end of the year? Should employees be punished because the company goals determined last year have become unattainable – despite the fact that employees have shown a great deal of flexibility and supported drastic measures? This goes against common sense.
The presentation begins with a market perspective with Richard Thoroe, a compensation expert from Swiss compensation consultants Agnès Blust Consulting. He will describe his clients' experiences and explain the results of his broad-based surveys on how corporations respond to Covid challenges in their compensation practice, starting in the video at 15:05.
There are several methods for adjusting the compensation plans for the Covid year. According to Richard Thoroe, these are hardly used. It is expected that this will change during the course of the year and compensation experts need to be prepared to answer these questions. The seminar shows how this can be managed.
After the credit crisis of '08, performance expert Dr. Hermann J. Stern and his financial research company Obermatt developed solutions that reliably identify manager performance even in turbulent times. The nature of these solutions and how they are applied in the context of the global pandemic is the closing topic of this 90-minute webinar. Starting at 33:57 Hermann Stern presents solutions for relative performance measurement in the Covid year using the examples of Geberit, AstraZeneca, and Manpower and discusses resistance in the company.