- Oct 2, 2008
- Dallas, TX
The real question is what are the CEO's risks? He has none. He may run the company into the ground, but that isn't his burden to bear as he walks away with his bag of money. The CEO is the guiding hand of the company. He is compensated handsomely for shouldering the responsibility, reaps the rewards when the company does well and isn't affected by his failures. There's something to be said for inserting a performance clause into his contract, since performance evaluations take place regularly at the bottom of the food chain. You fail at your job on the assembly line and you're history. You fail as CEO and the worst you can expect is a huge severance.