To: Simon MGC 401 Students From: MGC 401 Professors Date: August 14.

2011 Re: Memo Format This is a memo in memo format. It is meant as a reference or template for memos. All written assignments for the remainder of MGC 401 must be submitted in this format. Note that there is NO greeting (Dear Mr./Mrs/Sir, etc.) in a memo. To: is the person to whom you are writing. From: is your name. Date: is the current date. Re: is the subject or topic covered in the memo. You must have all of these at the top of the paper with a space between them. The body of the memo should contain all vital information on the subject or topic covered. It is acceptable, even recommended, to use a bulleted or numbered list:

asize information

The memo will be graded using the same standards as previous papers: 1. Grammar/ Usage/ Syntax/ Format (40 points) 2. Content (60 points) 3. A deduction of five (5) points per day will be assessed to late papers

I am the Chairman of the Board of XYZ Corporation, a Fortune 500 company. I would like your recommendation on changing our current CEO/Presidents compensation program from the current salary stock option plan to equity share performance. Use a one page memo format. Use FACt. Support your recommendation, your analysis.

To: ??? From: Kunal Agarwal Date: October 23, 2013 Re: Recommendation on changing our current CEO/Presidents compensation Program. Assessing CEO compensation is always a complex and tricky procedure. The reasons for having an appropriate compensation program are multifold. It has to drive the companys business strategy and growth as well as create value for the shareholders. I recommend that the current salary stock option be changed to equity share performance. A Fortune 500 company like XYZ Corporation is immensely critical and I think equity share performance is the pertinent option between the two. This is due to the following reasons: It will motivate the CEO to focus on strategic business growth as it will link the advancement of the origination with the benefits the CEO receives. In contrast the stock option provides value due to increase in price of the share irrespective of the relative performance. It will drive annual performances without losing sight of long term goals and objectives. This will provide more credibility to the company as unusually high compensations can damage its reputation by creating value for the shareholders and communicating a sense of trust and integrity. Bringing the CEO compensation in alignment with the employees will increase the trustworthiness of the CEO as a leader as It displays fairness within the work environment. I advocate changing the current CEOs compensation program from the salary stock option plan to the equity share performance one. It will help drive the organization towards growth in the long term.