IPO Human Resources Strategies

IPO

During IPO planning, apart from complying the corporate governance requirements of stock exchange, a comprehensive HR review is also highly important to ensure long-term business success and the creation of shareholders' value

The compensation scandals have aroused increasing shareholders' scrutiny on executive compensation. Potential investors and analysts tend to assess "shareholder awareness" of HR system. Companies should forge robust alignment of interests between top management and shareholders, and enable executives' pay to fluctuate meaningfully with company performance over time to promote value creation and reinforce short/long term business strategies

Companies should consider the four aspects of pre and post IPO HR strategies as below: