Fortuna Advisors CEO Greg Milano discusses flaws in corporate incentive plans that encourage bad behaviors, from financial manipulation to more subtle agency costs that impact companies’ long-term performance. As the late Michael Jensen said, “It's not how much you pay that matters. It's how you pay." The conversation hones in on the use of Relative Total Shareholder Return (TSR), a measure whose volatility leads to poor linkage to actual performance and undermines executives’ confidence in their long-term incentive plans (LTIPs).  Want more insights from Executive Rewards experts at WorldatWork’s Total Rewards conferences? Purchase the Total Rewards’24 On-Demand Highlights package available through Sept 30, 2024 here, or lock-in your savings today and register to join WorldatWork in Orlando for Total Rewards ’25!