Aligning Executive Compensation with the New Health Care Paradigm: What the Board Needs to Know

Strong health care leadership has never been more important – or more demanding – than it is today. Reform-era chief executives must combine competencies in leadership, strategy development and execution to steer their hospitals and health systems through unprecedented transformational change. The thoughtful and meticulous construction of performance-based incentive compensation programs, overseen by knowledgeable and engaged health care governing boards and their compensation committees, are also critical to success.

This three-part Monograph series, published by the AHA’s Center for Healthcare Governance, offers guidance on proactively considering best practices in executive pay, including the changing role of incentive compensation, good governance practices to mitigate risk, and choosing appropriate peer comparison data to support the compensation decision-making process.

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