S2E4: Do Metrics Based on ESG Objectives Belong in Incentive Plans?

Although ESG-related metrics have been around for decades, the rapid adoption of certain metrics into incentive plans is a relatively recent phenomenon. The adoption has in turn led to certain challenges – both with respect to the (often politicized) question of whether to include such metrics in incentive plans in the first place, and how to assess their relative impact. In this episode, Mark and Aalap are joined by Jan Koors to try and lower the political temperature around this topic and focus on whether and when it is appropriate to include ESG and other non-financial metrics in incentive plans.