Our popular “Meet the Speaker” series, featuring interviews with speakers at the 24th Annual NASPP Conference, is great way to get to know our many distinguished speakers and find out a little more about their sessions in advance of the Conference.
NASPP: Why is a panel about consultants particularly timely right now?
Dee: Many departments are being asked to do more and more without a lot of additional resources, so hiring consultants is becoming more and more common. Our panel is composed of individuals who have worked as consultants and have hired consultants. We will share our experiences so you can leave with a better understanding of how to hire the right person—or firm—for the work that you need. And with the increased demand for consultants, people might be tempted to travel down the consulting career path themselves. We will point out the pros and cons, and share some insights into the world of equity consulting.
NASPP:What is a common mistake companies make when hiring consultants and how can they avoid this?
Dee: Most companies do not use an RFP process when hiring a consultant. And that leads to misunderstanding, scope creep, and unhappy companies and consultants. We will highlight the importance of an RFP (even if it just a scope of work!) and share how this can greatly enhance the overall experience—for both the company and the consultant!
NASPP:What is the silver lining to hiring consultants who specialize in stock plan administration?
Dee: Consultants in our industry are very experienced. As a result, they often add more value than initially envisioned when a consulting project is scoped out. This benefits the consultants as well as the companies hiring the consultants. Plus, adding consultants to your network is a definite asset in the equity compensation world.
NASPP:What is something people don’t know about you?
Dee: My real name is Dolores, but everyone calls me Dee, except for my family. They call me Lori.
The 24th Annual NASPP Conference will be held from October 24-27 in Houston. This year’s program features close to 100 sessions on today’s most timely topics in stock and executive compensation; check out the full agenda and register today!
Instead of the usual NASPP To Do List, today I have ten things for you to do at the 24th Annual NASPP Conference (in addition to going to the sessions, of course). The Conference begins next Monday, October 24 in Houston, TX. We are taking online registrations through this Thursday, October 20, and we are happy to accept walk-in registrations onsite.
Listen to the Know Before You Go Podcast: Can’t be bothered to read this list? I’m happy to read it to you: check out my podcast, Ten Things to Do at the 24th Annual NASPP Conference. It will only take less than ten minutes of your day. You can find the podcast in iTunes or your favorite podcast source by searching for “Equity Expert.”
Ok, here are my ten things:
1. Conference App: Your digital guide to the NASPP Conference, the app includes the attendee list, the agenda, session materials, speaker bios, and maps. But it’s more than that—we’ll use the app to push out important announcements about happenings at the Conference. Download the app today and can get started on the PhotoPlay game, which will earn you a chance at a $200 gift certificate or breakfast with Senator Wendy Davis.
2. Opening Night Welcome Reception: Start the Conference off on a high note by attending the opening night welcome reception, sponsored by Computershare and featuring the Purple Rain cocktail. Make new friends and catch up with people you haven’t seen since last year.
If you are an issuer attending for the first time, be sure to attend the First-Time Attendees’ Reception, just before the opening reception. You can meet the NASPP leadership, our chapter presidents, and get a head start on making friends.
3. Wake Up for the Keynotes: Don’t stay out too late, because you’ll want to get up early for our keynote presentations. On Tuesday morning, we’ll feature Wendy Davis, the former Texas Senator and founder of Deeds not Words. Then on Wednesday morning, I will unveil the NASPP’s new website and our new look. It’s going to be great and you don’t want to miss it.
4. Check Out the Presentation Arena: The Presentation Arena is a stage in the exhibit hall where we will host fast-paced, 20 minute talks during the refreshment breaks and the lunches—sort of conferencing for people with short attention spans.
5. Have a Discussion: Our small group discussions, offered during the breakout sessions, are a great way to connect with other attendees on the challenges you are struggling with today. Each session is a facilitated discussion among attendees. Come prepared to share your own questions and experiences—no panelists, no presentation, and no PowerPoint. Search for “small” in the app to find a handy list of all of them.
6. Get More Out of Lunch: The luncheon roundtable discussions on Wednesday are another great way to connect with your fellow attendees. Grab lunch, find a table discussing a topic you are interested in, and join the discussion.
7. Ask an Expert: The NASPP is the largest gathering of subject matter experts in the industry—if you have questions, our Conference is a great place to get answers. Consult an expert in the Ask the Experts booth or visit one of the nearly 40 other subject matter experts who have volunteered to be available for questions in their booths. These are not sales people; it’s an impressive list of subject matter experts who can answer technical and practical questions on stock compensation. There’s no reason to leave the Conference with unanswered questions.
8. Grab a Latte: You should also be sure to check out the NASPP Café. The Café is set up in the 4th floor HUB, outside of the exhibit hall and is a convenient place purchase a latte or other fancy coffee drink, relax for a moment, or have a conversation. UBS has sponsored the Café and has worked with our event staff to create a coffee-house feel.
9. Visit the Smoothie Bar: New this year, we are introducing the NASPP Lounge, which is also located in the 4th floor HUB, outside the exhibit hall. The lounge is another place where you can take a moment to relax, enjoy a conversation with a colleague, and buy a glass of wine, a soda, or whatever your beverage of choice is. Charles Schwab, the lounge sponsor, will be hosting a smoothie bar in the lounge during the morning breaks on Tuesday and Wednesday.
10: Earn a Chance at $200 (and see the Monte Carlo Raffletron in Action). One way to do this is to take the PhotoPlay challenge, which is a game included in the Conference app. It is sort of like a scavenger hunt that you complete by taking pictures. You earn points for each challenge you complete. For each 50 points that you earn by 1:00 PM on Wednesday you are entered in a raffle to win a $200 Amazon.com gift certificate. Some of the challenges are worth up to ten points—you could earn a raffle entry by completing as few as five challenges.
In addition, you could win the chance to have breakfast with Senator Wendy Davis. The 15 players with the highest scores at the end of the opening reception will be invited to breakfast with Senator Davis on Tuesday morning.
Another way to earn a chance at a $200 Amazon.com gift card is to participate in the Passport game. Your conference bag will include a passport that you can have stamped by each of the exhibitors. Every stamp you collect earns you another entry in the raffle.
Aon Hewitt will be selecting the raffle winners for both the PhotoPlay and the Passport games using their nifty Raffletron 2400 at 2:30 PM in the presentation arena. If you haven’t seen the Raffletron in action, you should definitely check it out.
The first ever joint meeting of the Austin, Dallas, and Houston NASPP chapters will be held in conjunction with the 24th Annual NASPP Conference. Join the chapters for the following presentation:
Topic: ESPPs: Hot or Hype? ESPPs are hotter than ever….or so you keep hearing. They have to live up to very high standards: encourage broad based employee stock ownership, minimize compensation cost, help employees save for the future, to name a few. Should you believe the hype? There’s been a lot of talk about the resurgence of the ESPP, but what are companies actually doing? Harrison Celone and Patrick Gabel of Aon Hewitt will identify the latest trends in ESPP design and how various plan design features impact participation rates. (Monday, October 24, 2:00 PM)
The meeting is open to everyone; you don’t have to be registered for the Conference to attend. In addition, all attendees are invited to the Conference Opening Reception following the meeting.
Our popular “Meet the Speaker” series, featuring interviews with speakers at the 24th Annual NASPP Conference, is great way to get to know our many distinguished speakers and find out a little more about their sessions in advance of the Conference.
NASPP: What is the most critical thing NASPP Conference attendees need to know about equity compensation offered globally?
Jon: The importance of making well-informed decisions concerning what, where, and to whom to offer equity compensation around the world.
NASPP:What are one best practice companies should implement?
Jon: Involve compensation, tax, finance, legal and other stakeholders in the decision-making process.
NASPP:What is the silver lining to your topic?
Jon: By including stakeholders in the process, the company will make better decisions and as a result have a more successful global equity compensation program.
NASPP:What is your favorite restaurant or tourist attraction in Houston?
The 24th Annual NASPP Conference will be held from October 24-27 in Houston. This year’s program features close to 100 sessions on today’s most timely topics in stock and executive compensation; check out the full agenda and register today!
Our popular “Meet the Speaker” series, featuring interviews with speakers at the 24th Annual NASPP Conference, is great way to get to know our many distinguished speakers and find out a little more about their sessions in advance of the Conference.
NASPP: What is a common misperception about stock plan administration?
Elena: Everyone believes that once you are an experienced administrator, there is little chance of making a mistake with regards to the administration processes. What we’ve found, however, is that often knowing “too much” can lead to trouble if we don’t stay on guard. Being very comfortable with a topic can lead to dangerous assumptions (e.g., “the meaning of this term or phrase is obvious”). Particularly in an area like equity compensation, where there are so many stakeholders involved, it is easy to forget that groups outside of the plan administration team may require detailed and specific communication, or may not interpret unclear terms in the same manner as a knowledgeable administrator. Of course the experience gained as an administrator is incredibly valuable, but it is important to remember that in many cases, reviewing a communication or process as someone with fresh eyes to the space can prevent a host of possible issues from cropping up down the road.
NASPP:What is one action should companies be taking now?
Elena: If you haven’t yet, now is the time to sit down with all of the teams involved (HR, Payroll, Finance, Legal) and review the administration processes together. Sending around emails and checklists isn’t sufficient until all parties involved have sat around the table together and gone through the processes step-by-step so that everyone understands the entire process and can raise any questions or red flags to the group. If you don’t do this, then inevitably these things will be raised when you are trying to actually execute the process—and likely when you’ve got a payout or reporting deadline to meet!
NASPP:What is the worst horror story you can tell about administrating stock plans?
Elena: At a client that was fairly new to us, there was an administrator who had been managing equity compensation for quite a long time, though was fairly new to the specific company. The plan wasn’t huge, so she managed most of the day-to-day administration herself. Things went smoothly until one of the executives came to her asking why a restricted award had vested at a certain price. Only then did she realize that she had been processing all of the vests with the wrong price. At her previous company they had used the closing price the day prior to lapse, and without being told otherwise when she took over the plan, she assumed the same (it makes sense, right—gives them time to process the lapse the day of, get an adjusted close, etc.). Her new employer, however, was using the day-of-lapse close price! While a seemingly tiny difference, some of the execs had large enough vests that the difference for tax purposes mattered, and the company had to bring in a law firm as well as their tax team to identify the best way to address the solution with regards to both taxes reported and paid and disclosure reporting. All of the items were resolved, but needless to say, a simple mistake caused a tremendous headache!
NASPP:What is something people don’t know about you?
Elena: Prior to entering the world of equity compensation, I was a management consultant and did work with microfinance in developing markets. I had the opportunity to spend months working in Peru, Bolivia and Nicaragua with organizations that give loans as small as $50 to women to start or run local businesses. It was amazing to see that a loan of this size could have as much (or more!) impact on a community as do much larger incentives in developed markets. This experience is part of what drew me to Plan Management Corp.—the focus on working with small to mid-cap companies to provide equity compensation as a way to invest in their employees and their business, even when they don’t have the same access to capital or cash as larger companies. I still believe that’s one of the most impactful aspects of equity compensation.
The 24th Annual NASPP Conference will be held from October 24-27 in Houston. This year’s program features close to 100 sessions on today’s most timely topics in stock and executive compensation; check out the full agenda and register today!
Our popular “Meet the Speaker” series, featuring interviews with speakers at the 24th Annual NASPP Conference, is great way to get to know our many distinguished speakers and find out a little more about their sessions in advance of the Conference.
NASPP: What is a common misperception about laws outside the United States?
Nicholas: It is often wrongly assumed that stock plan law and regulation is uniform throughout the EU. Employers should be aware of each jurisdiction’s particular requirements. For example, under the Danish Stock Option Act, employees in Denmark retain all rights to stock options, whether vested or unvested. Employees are entitled to receive a share of the awards to which they would have been entitled according to agreement or custom, proportionate to the length of their employment in that accounting year, had the employee still been employed. Employees’ rights under the Act cannot be waived, so companies may find that former employees have rights under the stock plan, despite their employment having terminated.
NASPP:What is one action should companies be taking now?
Nicholas: Prepare for and respond to Brexit—get in touch with your legal team! Although it may be some time before there is any clarity on the implications of Brexit on stock plans and UK employment law, attendees should continue to monitor developments and have contingency plans in place.
NASPP:What is the silver lining in global stock plan compliance?
Nicholas: Securities may not be sold to U.S. citizens before they are registered with the SEC, and the SEC registration process can be costly. However, there are various exceptions that allow foreign companies to issue securities to US citizens without SEC registration. Exemptions include: Rule 701, Regulation D, and Regulation S. Rule 701 is designed specifically for equity compensation plans, but can also be used for plans which offer deferred compensation obligations, which are deemed “securities.” Regulation D provides that equity awarded to individuals who qualify as “accredited investors” are exempt from registration. Regulation S is an exemption for certain grants made outside of the United States to non-US recipients, provided that certain resale restrictions and holding periods are satisfied.
NASPP:What is your favorite restaurant or tourist attraction in Houston?
Nicholas: I enjoy visiting the Gerald D. Hines Waterwall Park. It is a multi-story sculptural fountain that sits opposite the south face of Williams Tower in the Uptown District of Houston. The fountain and its surrounding park are beautiful!
When I am in Texas, I like to sample the barbecue. I love the smoked brisket, pulled pork and homemade sausages at Killeen’s BBQ in Pearland. Some of the more unusual items on the menu, like the brisket tamales, are really delicious too.
The 24th Annual NASPP Conference will be held from October 24-27 in Houston. This year’s program features close to 100 sessions on today’s most timely topics in stock and executive compensation; check out the full agenda and register today!
Our popular “Meet the Speaker” series, featuring interviews with speakers at the 24th Annual NASPP Conference, is great way to get to know our many distinguished speakers and find out a little more about their sessions in advance of the Conference.
Josh: Many times, HR functions and HR leadership are viewed as administrative positions that don’t offer much in the form of company strategy and vision. Our panel removes this stigma from HR Leadership by offering techniques and approaches to make HR more strategic to the company, valuable to the C-Suite, and integral in the board room. This is a presentation about using long-term incentive equity to leverage and increase HR’s internal worth.
NASPP:What is a common mistake HR leaders make and how can this be avoided?
Josh: HR leaders often fail to insert themselves and offer up strategic solutions to company operational issues. They become reactive to the company’s talent needs instead of getting out ahead of the problems before they become an issue. Companies must encourage their HR leaders to get out of their comfort zone, be more hands-on as issues arise, and shift their focus toward operational alignment.
NASPP:What is the most innovative response you’ve seen from a company experiencing a talent crisis?
Josh: We spent three years working with a client to design executive compensation programs without any HR involvement. The Chairman & CEO and CFO did not believe in the strategic nature of HR. Due to this, the Board had no interaction with HR. The company started experiencing a market downturn, a talent shortage and a surge of shareholder activism. Finally, the senior HR leader stepped up to offer solutions to the talent shortages, engaged with operational leaders to understand their needs, and created a strategic vision for talent going forward which the Board utilized to calm the activists. The HR Leader was promoted to the SVP Level and started attending all Compensation Committee meetings as a valued resource.
NASPP:What are your favorite restaurants in Houston?
Josh: Being a Houstonian, I love the variety of restaurants and cuisines offered in our diverse city. Close to downtown and by cuisine:
The 24th Annual NASPP Conference will be held from October 24-27 in Houston. This year’s program features close to 100 sessions on today’s most timely topics in stock and executive compensation; check out the full agenda and register today!
Our popular “Meet the Speaker” series, featuring interviews with speakers at the 24th Annual NASPP Conference, is great way to get to know our many distinguished speakers and find out a little more about their sessions in advance of the Conference.
NASPP: What is the most critical thing NASPP Conference attendees need to know about tax reporting?
Keyoor: 6039 reporting requirements and how to successfully manage them.The panel will review W-2 requirements for domestic and mobile international employees as well as provide tips, tricks and gotchas based on the panel’s wealth of expertise and experience.
NASPP:What are one best practice companies should implement?
Keyoor: A reporting calendar and a detailed procedural document are a must to maintain.
NASPP:What is the silver lining here?
Keyoor: Tax reporting requirements are not as cumbersome as perceived. Maintaining a good calendar and using the right resources will make things a lot easier and less time consuming.
NASPP:What is your favorite restaurant in Houston?
The 24th Annual NASPP Conference will be held from October 24-27 in Houston. This year’s program features close to 100 sessions on today’s most timely topics in stock and executive compensation; check out the full agenda and register today!
Our popular “Meet the Speaker” series, featuring interviews with speakers at the 24th Annual NASPP Conference, is great way to get to know our many distinguished speakers and find out a little more about their sessions in advance of the Conference.
NASPP: What is the most critical thing NASPP Conference attendees need to know about ESPPs?
Tonya: Plan design is so important for ESPPs. Through design of the plan, you can meet the company’s objective, relieve the administrative burden, and increase employee participation.
NASPP:What is one action should companies be taking now with respect to ESPPs?
Tonya: I’d encourage everyone with responsibility for an ESPP, or who may be considering an ESPP, to join me in a little sleuthing. Pull out your magnifying glass and really study how the plan is designed. Some ESPP plan designs suffer from “off-the-shelf-it is,” and small tweaks can pay big dividends in reducing administrative burden. In our session, we will cover some topics that I suspect many have never even considered, including fractional shares, transfer restrictions, purchase dates and different plans for different sources of income.
NASPP:What is the silver lining to ESPP sleuthing?
Tonya: The great news is that many small plan design or administrative improvements can be quickly and easily implemented in most cases. Once an ESPP has been approved by shareholders, there are very few changes that would require further shareholder approval. There is a huge opportunity to improve ESPP efficiency by implementing new processes, or, at most, taking a change to the board for approval.
NASPP:What is something people don’t know about you?
Tonya: Most people will think I am shy because I am not outspoken in a crowd. So, I write spoken word poetry. I am not wordy but I am able to rhyme about real life events.
If employee stock purchase is your profession
I’ll confess to you, it is my obsession
With a discount, look-back, and broad based
My ESPP enthusiasm is not misplaced
The company decides to the make the investment
The design of the plan is the perfect agreement
Meeting the company’s objectives
While increasing employees’ perspectives
ESPP … It is really a great opportunity
Despite this poem being so cheesy
Building relationship between the company & employee
With a goal to increase shareholders exponentially!
The 24th Annual NASPP Conference will be held from October 24-27 in Houston. This year’s program features close to 100 sessions on today’s most timely topics in stock and executive compensation; check out the full agenda and register today!
Our popular “Meet the Speaker” series, featuring interviews with speakers at the 24th Annual NASPP Conference, is great way to get to know our many distinguished speakers and find out a little more about their sessions in advance of the Conference.
NASPP: What will your panel cover at the NASPP Conference?
Aaron: Our panel will help guide you through what can be a rather tumultuous and emotional process—communicating about corporate actions. You will hear a real case study from Pinnacle Entertainment, with key insights from a global perspective. At the end of the presentation you will have a game plan for managing corporate action communications while strengthening your employee morale and buy-in to the larger corporate culture.
NASPP:What is a common mistake companies make and how can they avoid this?
Aaron: Companies commonly assume that their employees understand stock plan basics, when in fact they often do not. This lack of basic knowledge can be exacerbated by complex changes (like corporate action) and when companies communicate with employees across many markets. You can remedy this by allowing for sufficient time to communicate in layers of increasing complexity, by designing basic financial literacy training at the front end, and by employing best practices in terminology management (both in English and in all of your employees’ languages) to ensure consistency.
NASPP:What is the silver lining here?
Aaron: The silver lining is that in facing employee communications in what is often perceived as a negative context (corporate action) you can gain the trust of employees by carefully explaining implications (and offering sufficient information for employees to take smart action) and work to improve morale and cooperation by focusing on the positive impact of new changes both in terms of the company itself and long-term in terms of compensation potential.
NASPP:What is something people don’t know about you?
Aaron: Few people know that I am a man of the arts. I am a singer-songwriter, writing for voice with either guitar or piano. To feed my love of the theater I’ve recently joined the board of StageQ, Madison’s LGBT community theater company. We strive to increase visibility of queer people in the arts, creating new opportunities for community involvement with a special focus on creating safe and fulfilling opportunities for homeless queer youth.
The 24th Annual NASPP Conference will be held from October 24-27 in Houston. This year’s program features close to 100 sessions on today’s most timely topics in stock and executive compensation; check out the full agenda and register today!