3 ms·
If a CEO or other C-level sets some targets, then you’d think they would be held accountable for missing them. But from what I’ve seen, this is very rare. So th
by doctor_eval 4y ago
If a CEO or other C-level sets some targets, then you’d think they would be held accountable for missing them. But from what I’ve seen, this is very rare. So the board is just as responsible for what happens as the CEO.
I have seen cases where the board holds executives accountable, and that results in a better company lead by competent executives. But that kind of accountability is unusual in small companies because the board and executives are often one and the same group.
If there’s anything I’ve learned over my career it’s that the theoretical structure of a company has no inherent relationship to reality. If the CEO, chairman and board members are all mates then they will pat each other on the back until well after the iceberg has ripped a hole in the side of the ship.
- lovich 4y agoIt expands beyond just one company’s corporate leadership once you have members who are on multiple boards. https://en.m.wikipedia.org/wiki/Interlocking_directorate https://en.m.wikipedia.org/wiki/Interlocking_directorate This also makes it so that they care less about any one particular company failing when they decide to hand out a leadership position to an incompetent buddy
- cornel_io 4y agoC suite comp is largely stock, so they are held accountable financially, their compensation literally rises or falls directly with the company's value.
- doctor_eval 4y agoWell, that's the theory. There is normally a cash component, and I guess that's how they make their living.