I wrote a while ago about the new imperative for incentive compensation systems in banking (follow this link for that article http://bit.ly/rFlffE.) That was all about the Federal Reserve and their guidance on Sound Incentive Compensation Policies.
I was happy to see the following video (follow this link for the video http://bit.ly/vfSMwS) on Bankdirector.com. The video entitled Incentive Compensation Plans: Balancing Risk Vs. Reward features Kevin Blakely, SR VP and Chief Risk Officer of Huntington Bancshares. It runs about 3 1/2 minutes and in it he discusses managing the risk in incentive compensation plans, how to minimize risk taking and the role of the Chief Risk Officer in incentive compensation. He provides some insights as to how Huntington Bancshares addressed these challenges and manages the risk in incentive compensation.