Linking Environmental and Social Performance Indicators to Executive Bonus: A Case Study Analysis

Case Study Analysis
Name of the Students

Introduction
 The executive bonuses when linked to the performance of the firm
brings out better overall results.
 However, earlier just performance measures were used to understand
the standing of the firm
 At present various sustainability as well as social issues indicators are
being used
 The presentation highlights the findings of the case study and present a
set of measures to link the executive pay and the performance in these
parameters.

Relating environmental indicators to
executive bonus
 According to Chore and Eccles(2014), the bonuses of the employees are
based on the progress which they tend to make on their corporate
sustainability goals and environmental performances.
 The fundamental concept of the Key performance indicators has been
used as the benchmark system
 The sustainability has become more of a demand is because there have
been a wide range of corporate developments
 Hence, there needs to be a set measures in order to ensure that the
manager`s performance can be measure adequately.

Indicators to be used
 The different indicators to measure the environmental and sustainability
performance of an organization are present as follows:
Utility
consumption
measure
Waste
generation and
management
Vehicle fuel use
Green house
gas indicators
Radioactive
and metal
waste

Utility consumption measure
 The utility consumption measure serves to be a
good measure of employee performance.
 The higher the utilities the more the organization
needs to improve the scenario.
 The utility Consumption indicator tends to measure
the amount of utility which a business has
consumed at a particular period of time in order to
carry out the operations of the business (Bratton
and Gold 2017).

Waste generation and management:
 The waste generated and the manner in which it is managed serves to
be good measure of the performance of the firm.
 it is very important for the business to ensure that they keep a check on
their waste emission
 Hence, when executive bonus is linked to this indicator, they shall
ensure that the waste generated is to the minimum.