Employment of executives
The Board of Directors appoints members of Executive Management and determines their remuneration.
The Chair Committee reviews the performance of the executives. As part of the Organisational Development Process, succession planning is reviewed by the Board.
The Executive Management has established a number of executive committees to assist or implement Executive Management's decisions. To ensure the organisational implementation of our strategy, Executive Management has established a Management Board consisting of the chief executive officer, executive vice presidents and senior vice presidents.
Further, executive committees include the Research Portfolio Committee responsible for management of the research portfolio and the early device portfolio, the Product Development Committee responsible for management of the product development and device portfolios and the Disclosure Committee overseeing Novo Nordisk’s disclosures to the capital markets.
Executive remuneration is governed by the applicable Remuneration Policy adopted at the Annual General Meeting, while the Remuneration Principles adopted by the Annual General Meeting in 2019 still governs long term incentive programmes granted to executives until 2020.
The remuneration consists of a fixed base salary, a short-term cash-based incentive, a long-term share-based incentive, a pension contribution, and other benefits.
Remuneration to Executive Management members is further described in the Remuneration Report, which is submitted to the Annual General Meeting for an advisory vote.