Analysis of the remuneration effectiveness for organization senior management staff

Abstract

Purpose: the authors create the guidelines for rapid analysis of senior management personnel of commercial organizations effectiveness on the basis of their annual reports and supplement these recommendations in relation to organizations –- industry leaders. Discussion: the remuneration effectiveness of the top executive organizations management is the most important factor in the overall efficiency of the business. However, this aspect of the economic entities work is not always clearly disclosed in their internal and external reporting documents. In order to develop a simple and accessible approach to the analysis of the remuneration effectiveness of the supreme executive bodies in commercial organizations, the authors summarized and clarified the relevant developments of Russian scientists and showed how conduct the proposed express analysis on the example of Sberbank. Results: the authors offered the methodological recommendations for the analysis of the remuneration effectiveness for senior executive management in commercial organizations of different industries on the basis of their annual reports. Moreover, the authors supplemented these recommendations for leading organizations. It is worth noting that the independent parties – regulators, rating agencies, consulting companies evaluate the economic efficiency of the leading organizations.