When GE offered its CEO 250,000 performance share units tied to performance targets achieved over five years,it was using which method of matching rewards to the accomplishment of strategic objectives?
A) strategic-funds method
B) segmentation method
C) long-term evaluation method
D) individual evaluation method
E) weighted-factor method

Question

Quizplus · Accepted Answer

The long-term evaluation method matches rewards to the accomplishment of strategic objectives over a longer period of time, typically three to five years. This is because the achievement of strategic objectives often takes time, and rewards should be aligned with the long-term success of the company. In this case, GE offered performance share units tied to performance targets achieved over five years, which aligns with the long-term evaluation method.

When GE Offered Its CEO 250,000 Performance Share Units Tied