Still very much as relevant today as it was back in the aftermath of the 2008 financial crisis.

It is import to balance motivational variable bonus payments with fixed remuneration and strike the right balance between the two.

Bonuses and performance related pay is important in attracting the talent to lead organisation. Nonetheless several insights arise from the report:

1. Fixed pay should be enough to attract related talent

2. Bonuses value need to consider the industry context. Mid or low tier competitors in a specific industry should not be paing multiplies compared to industry leading companies.

3. Financial KPIs alone are not enough to determine bonus payouts. Future risk imported into the company in the quest to meet the financial objectives should be considered. Many times this can be achieved by partial deferral of present bonuses against future possible risks.

4. Economies like US, UK, Australia, New Zealand or Singapore seem to be at the forefront of malfeasance. Nonetheless this trend is being picked up quickly by developing economies as India.

5. Natural controls exercised by owner seem to suffer because of short termism and an decreased sense of responsible investing on the shareholder side.

6. This is not an issue without solution. Careful design of remuneration schemes, proper controls exercised by an independent Remuneration Committee and clear and transparent communication to stakeholders of remunerations can ensure sustainability and accountability

Interesting that the economies with a much longer view regard remuneration so differently. This is a massive cultural difference between East and West which is borne out by the subtle but inexorable dominance of the far east in world markets.

Human nature dictates (certainly in western culture) that short-term gain is all that an individual aspires to. Politicians are caught in this trap, again a cultural issue rather than a corporate one.

Remuneration systems based on actual sustained growth in the business must be the better solution.

What kind of business "holds 40% of bonuses against future risks"? How would you reflect this in your P&L? Tantamount to admitting that the bonus structure is excessive!

Bonus must incentivise by agreement. Targets must be understood and achievable, and bonus based on the ability of the individual to actively improve the outcome for the business and themselves. And should NOT sit in isolation from the rest of the organisation.