Creating a New Framework to Judge CEOs


The metrics for evaluating CEOs are often misleading – many of these measurements encourage managers to aim for shareholder return, rather than the long-term health of their company. CEOs should be paid for the long-term growth of their companies, so that instead of “running their operations into the ground,” they can be establishing a company that has staying power. The key to that? Creating a psychologically safe workplace for employees. If CEOs are encouraged to create positive workplace cultures that support overall growth, the managers under them will most likely follow suit. It’s a win-win for everyone involved in the company, from the board of investors to the lowest level employees. You can read more on this topic at The New York Times.