Company C got rid of a director because his interests failed to align with the...

CIMA BA4 Question Answer

Company C got rid of a director because his interests failed to align with the shareholders'.

They've recently hired a new director, and they are keen to avoid a repeat scenario.

Which of the following could the company do to ensure the new director works with the best interests of shareholders in mind?

Select ALL that apply.

Give bonus payments to the director when he hits the company's targets.

Implement an incentive scheme to reward the director when he works in line with the interests of shareholders.

Ensure the deliverance of a detailed and comprehensive Chairman's message.

Widen the remit of the governance report to includes details about the the company's strategy, business model and risks.

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