Citation Matching

Citation Reference: Rewarding Performance ¶ 1

Citation Guidance: Performance is greatly influenced by the extent to which individuals are held accountable and how they are rewarded. It is up to management and the board of directors to establish incentives and other rewards appropriate for all levels of the entity, considering the achievement of both short-term and longer-term business objectives. Establishing such incentives and rewards requires appropriately assessing and prioritizing risks and developing detailed risk responses. Conversely, under a program of incentives, those individuals who do not adhere to the entity's standards of conduct are sanctioned and not promoted or otherwise rewarded.