Need more math help! How come Ginni's pay didn't decrease commensurate with shareholder return?
Virginia M. Rometty IBM
Shareholder Return -22.6% Pay Change -5.6%
2018 $17.6 million
2017 $18.6 million
https://www.wsj.com/graphics/ceo-pay-2019/
Need more math help! How come Ginni's pay didn't decrease commensurate with shareholder return?
Virginia M. Rometty IBM
Shareholder Return -22.6% Pay Change -5.6%
2018 $17.6 million
2017 $18.6 million
https://www.wsj.com/graphics/ceo-pay-2019/
Because Ginni picks the board, and the board sets the pay incentives. Why is IBM buying back stock EVEN after Wall Street figures out it was financial engineering. BECAUSE Ginni gets paid to grow earnings per share. Everyone at IBM runs to how they get paid. Case closed. Ginni, the exec. Management team, and even the board use IBM as their own piggy bank. Watson ran the company independent of how he got paid. (honestly you can do that when you own the company). Under Watson innovation boomed. Ginni runs the company for earnings per share. Innovation has been on vacation. Tell me what is the last big world changing IT innovative idea IBM introduced? You had to think about it didn’t you. If you don’t innovate, you play me too go to market strategy. That never ends well. Does this sound familiar for IBM’s go to market strategy under SAM and Ginni? Until they clean house exec management team wise, and focus on what brought you to the party (innovation) the story will not change. 1-2 % growth gotten by hook or by crook (stock buy backs).