Rowe, Andrew D. and Liu, Lisa Shifei (2010) Exploring the remuneration ‘black box’: establishing an organizational learning insight into changing remuneration committee ‘social worlds’. Working Paper. Warwick Business School, Coventry.

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Abstract

Current executive compensation research posits a need to extend analysis beyond principalagent theory in order to explore the complex social influences and processes implicated in Remuneration Committee (RemCo) decision-making (e.g. Bender, 2007; Kakabadse et al, 2006; Main et al., 2007), particularly given the current uproar surrounding reported levels and structuring of executive remuneration. We respond to this international need by highlighting how innovative organizational learning theorizing can be integrated into further investigations of the remuneration ‘Black Box’, in order to focus attention upon the nuances of what and how organizational learning takes place in the remuneration process. Additionally, we note the importance of investigating the main actors and particularly their performance of complex roles within their rapidly evolving ‘social worlds’. By exploring the organizational learning phenomena implicated in executive remuneration, we argue that practitioners, regulatory bodies etc. can appreciate further the implications of their respective decision-making.

Item Type:	Working or Discussion Paper (Working Paper)
Subjects:	H Social Sciences > HD Industries. Land use. Labor
Divisions:	Faculty of Social Sciences > Warwick Business School > Accounting, Markets & Organisations Faculty of Social Sciences > Warwick Business School
Library of Congress Subject Headings (LCSH):	Organizational learning -- Research, Wage bargaining -- Research, Knowledge management, Decision making
Publisher:	Warwick Business School
Place of Publication:	Coventry
Date:	19 February 2010
Number of Pages:	26
Status:	Not Peer Reviewed
Access rights to Published version:	Open Access
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URI:	http://wrap.warwick.ac.uk/id/eprint/2938

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