You are the HR VP for the Carringten Auto Brake Lining Company. A recent economic downturn has seriously affected the auto industry and your company, as well. Your company has merged with two other brake component companies in an effort to gain production efficiencies and lower unit costs. You are the lead HR person for the new entity. Based on your analysis of the three previous executive compensation approaches, you have decided with board approval to redesign the executive compensation for the new combined organization.
Describe the components of an executive compensation plan. Explain how these components can help support organizational strategies, attract candidates to the executive team vacancies, and retain the other current executives.