TY - JOUR
T1 - The effects of CEO pay structure on corporate social performance
AU - Deckop, John R.
AU - Merriman, Kimberly
AU - Shurti, Gupta
N1 - Copyright:
Copyright 2006 Elsevier B.V., All rights reserved.
PY - 2006/6
Y1 - 2006/6
N2 - Corporate social performance (CSP) is increasingly viewed as an important business outcome by researchers, investors, and society as a whole. Furthermore, empirical research indicates that CSP is positively related to corporate financial performance. These considerations lead to the question of whether CEO pay is properly structured to provide incentive to the CEO to improve firm CSP. In a sample of 313 firms, the authors found that a short-term CEO pay focus was negatively related to CSP, whereas a long-term focus was positively related to CSP. Implications of these results for future research and CEO pay design are presented.
AB - Corporate social performance (CSP) is increasingly viewed as an important business outcome by researchers, investors, and society as a whole. Furthermore, empirical research indicates that CSP is positively related to corporate financial performance. These considerations lead to the question of whether CEO pay is properly structured to provide incentive to the CEO to improve firm CSP. In a sample of 313 firms, the authors found that a short-term CEO pay focus was negatively related to CSP, whereas a long-term focus was positively related to CSP. Implications of these results for future research and CEO pay design are presented.
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U2 - 10.1177/0149206305280113
DO - 10.1177/0149206305280113
M3 - Article
AN - SCOPUS:33646192705
SN - 0149-2063
VL - 32
SP - 329
EP - 342
JO - Journal of Management
JF - Journal of Management
IS - 3
ER -