notices - See details
Notices
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Savio Cardozo (not verified)
6th February 2015 | 6:36am

Hello David
Thank you for your interesting analogy of professional sports.
I have found that the only effective way to minimize the principal-agent problem is through compensation, using Economic Value Added as the measure of performance.
The beauty of this measure is that it is simple to measure, can apply to divisions within corporations or private companies, and it addresses the needs of both the fleeting and buy and hold shareholder.
I very much enjoyed your fascinating article, particularly the closing line on reaching consensus on not just the end goal but agreeing on the means used to get there. Like you elegantly phrased it, it is a message of hope and call to action.
While I believe that all people have good intentions I also firmly believe that compensation is the crux of influencing desired outcomes, and with an increase in consciousness, the path to the outcomes will hopefully have a positive impact on all constituents.
Thank you again for the article - it has greatly contributed to my new mental training on mindfulness.
Best wishes
Savio