At this point, Dodd-Frank requires that banks report on their pay and performance alignment.

FORBES: Lessons Learned in the Aftermath of the Banking Crisis

With relative TSR, companies can have confidence that the plan captures something that investors care about, and that the plan is likely to produce good pay and performance alignment.

FORBES: Performance Share Plans -- The Best of Both Worlds

As companies contemplate how they will satisfy investor and SEC requirements, they will be well served if they put themselves to a three-pronged test: (1) Are our programs and goal-setting processes geared toward pay and performance alignment? (2) Do our decision-making processes and actions around executive compensation drive alignment? (3) Does our firm have a culture that actually values alignment?

FORBES: Does Your Culture Value a Fair Deal?