Top Paid Directors

[PurpleCanary 5,558]

[quote user="TIL 1010"]This salary and bonuses cover our season in the Championship for which some here claim he was paid a bonus for promotion. I believe the players took a hit on the contracts of 40% as a result of a clause regarding relegation. That 40% i am sure i read somewhere and i will no doubt be corrected if i am wrong so taking that i am right can someone tell me if Mr. McNally took a 40% drop as well as the players at the period ending 30th June 2014 ? If he did not take that drop he therefore takes the credit when we get promoted but not the consequences of relegation.[/quote]According to the accounts the player-wage figure for the relegation season was £37.6m. For last season in the Champioship it was £34.8m. That is a fall of 7.4 per cent rather than 40 per cent.McNally did take at least some of the consequences of relegation, in that while he received a financial bonus that season (since we got PL money) he did not receive a footballing-target bonus, and so his overall pay package fell from £1.6m to £1.1m. A fall of 31,5 per cent.What is not clear, because the wording of the accounts was then changed to a (I assume deliberately) more opaque formulation, is whether he received a financial bonus last season. Given that we missed what must have been our previously-set financial target (ie PL money from being in the PL) I believe he should not have done. The moral logic is that he should have ended up misisng out on one footballing bonus and one financial bonus.

[Peanuts 150]

I don''t think it''s that relevant as has been said already the figures don''t give the whole picture. Certainly it does show that McNally isn''t poorly paid, but that''s a good thing - people complain about little old Norwich so I like that we pay our CE a good wage. Should make it easier to attract a quality replacement when/if he moves on.

If you want to complain about relative performance then turnover would be a more accurate figure - I''d be worried if we had the 7th highest turnover in the PL but were still fighting relegation.

[JF 694]

League 1 to 4 out of 5 seasons in the prem league seems like money well spent to me

[Jim Smith 2,317]

[quote user="TIL 1010"]This salary and bonuses cover our season in the Championship for which some here claim he was paid a bonus for promotion. I believe the players took a hit on the contracts of 40% as a result of a clause regarding relegation. That 40% i am sure i read somewhere and i will no doubt be corrected if i am wrong so taking that i am right can someone tell me if Mr. McNally took a 40% drop as well as the players at the period ending 30th June 2014 ? If he did not take that drop he therefore takes the credit when we get promoted but not the consequences of relegation.[/quote]

Til

The figures from the accounts for the clubs "highest paid director" (unidentified) are:

2012-2013 (prem - stayed up) - £1,640,000 (including £867,000 in performance related bonuses - believe both financial performance and a "staying up" bonus.

2013-2014 (relegated) - £1,119,000 (including £367,500 in performance bonuses for hitting financial targets.

2014-2015 (promoted) - £1,137,000 (including £551,250 in performance bonuses for achieving targets (not just financial) in the year.

The above would suggest said directors basic package last year was £585,750 as opposed to something in excess of £750,000 during the premier league seasons.

The 2015 accounts also refer to "Directors" being paid a further £333,334 in long term incentive payments but are unspecific as to who these went to or indeed if they are on top of or part of the £1,137,000 figure. Its ambiguous.

In fairness to the director in question therefore his salary does appear lower at championship level than prem level and there are consequences on relegation although I find the £367,500 bonus in a season we got relegated a little obscene and it seems that whatever happens, the figures seem to get to around the million mark every season. If we go down this season will be interesting to see the figures plus also if there are any other directors on the payroll these days!

[Crafty Canary 495]

Purple canary wrote:

Oh dear indeed. You have not a clue whether anything you have said in your first paragraph about other clubs is factually correct. It is all weasel-worded ("not doubt" and "would include") hopeful guesswork that is easily recognised as such. And of course it is relevant that it costs West Brom the salaries of two directors, since two are doing the executve-director work for which we pay just one.

Oh dear here we go again. You have not a clue what the two executive directors of WBA do but assume it adds up to McNally''s work hence your claim we pay one director for the work of two at WBA. How do you know it doesn''t go well beyond that? You don''t of course but you won''t let that hinder your point scoring. Jeremy Peace has a strong reputation for being very P&L conscious so I would doubt very much that he would pay both himself and another director a combined total in excess of McNally for the same effort.

[can u sit down please 0]

It''s my understanding that mcnumpty is not bonused on football performance.

[TIL 1010 4,744]

Thanks indeed Jim for sorting out those figures.Ambiguous to a degree as you say due to not having complete clarity on how these bonuses were arrived at. I will join you in the statement that £367,500 does seem a tad obscene in the face of relegation. Blimey the bankers and fat cats get slammed for being paid bonuses despite poor performances yet i will have to bow to those claiming Mr.McNally deserves every penny. Hypocracy obviously does not play a part. [:D]

[morty 0]

[quote user="TIL 1010"]Thanks indeed Jim for sorting out those figures.Ambiguous to a degree as you say due to not having complete clarity on how these bonuses were arrived at. I will join you in the statement that £367,500 does seem a tad obscene in the face of relegation. Blimey the bankers and fat cats get slammed for being paid bonuses despite poor performances yet i will have to bow to those claiming Mr.McNally deserves every penny. Hypocracy obviously does not play a part. [:D][/quote]So do you want to pay the going rate for a CEO of a Premiership football club, or do it on the cheap and be "little old Norwich?"If this is the going rate for a CEO of a company that turns over, what ,80 million pounds a year, then thats what is costs.He still gets paid less than most of the players, why are we not whingeing about that?

[TIL 1010 4,744]

I wonder how much the CEO has got at Bournemouth and Swansea over the years because it was only a short time ago both clubs were plying their trade in League Two ?

[morty 0]

[quote user="TIL 1010"]I wonder how much the CEO has got at Bournemouth and Swansea over the years because it was only a short time ago both clubs were plying their trade in League Two ?[/quote]Who knows?Go and find out and report back to us[Y]

[TIL 1010 4,744]

Maybe you could tell us what the formula is for '' the going rate '' that you refer to Morty ?

[morty 0]

[quote user="TIL 1010"]Maybe you could tell us what the formula is for '' the going rate '' that you refer to Morty ?[/quote]So you didn''t bother going and finding out then?[:D]

[TIL 1010 4,744]

Stop trying to be clever Morty as obviously that would take time even on Google but as they got paid peanuts in comparison to our CEO from the most recent accounts i think it would be fair to assume it has been that way for both Bournemouth since their meteoric rise from League Two and Swansea who almost ceased to exist both within the last few years.........unless of course you tell me otherwise ?How are you progressing with that formula for the going rate. I realise you are of course busy at the moment on other social media sites jumping all over people with a different take on things to you. [;)]

[morty 0]

[quote user="TIL 1010"]Stop trying to be clever Morty as obviously that would take time even on Google but as they got paid peanuts in comparison to our CEO from the most recent accounts i think it would be fair to assume it has been that way for both Bournemouth since their meteoric rise from League Two and Swansea who almost ceased to exist both within the last few years.........unless of course you tell me otherwise ?How are you progressing with that formula for the going rate. I realise you are of course busy at the moment on other social media sites jumping all over people with a different take on things to you. [;)][/quote]So you can''t be bothered to find out facts to back up your argument, and would rather just ramble on randomly.No problemo[Y]

[TIL 1010 4,744]

No Morty it is not a ramble it is my opinion i am expressing which obviously is a problem to you and i will take that as a no to you having the formula for the going rate. I took your reference to it being with factual knowledge to what it was but it appears not ?

[morty 0]

[quote user="TIL 1010"]No Morty it is not a ramble it is my opinion i am expressing which obviously is a problem to you and i will take that as a no to you having the formula for the going rate. I took your reference to it being with factual knowledge to what it was but it appears not ? [/quote]The going rate is whatever a company is willing to pay an employee.Norwich City were willing to pay David McNally what they paid him.Its not rocket science fella.

[TIL 1010 4,744]

Ah i see so it is just a random figure plucked out of the air. Best i not mention that we did not have to poach him from another club then and reach a settlement figure for his services. That was where i might just understand how the ''going rate '' was arrived at. Fair enough but i wont bother to ask who sets these bonus targets at NCFC as that would probably be another 5 pages.

[Ray 111]

The average of the DM figs is £942,000 in round thousands. Eight are paid more and twelve are paid less.

Man Utd (top of the ''CEO'' League) turnover was circa £400M, NCFC circa £42m, although that was a Championship year, so accepting Morty''s extimate of £80m for this year, Ed Woodward gets approx twice the salary our CEO gets but manages a turnover between 5 to 10 times the size, all the other top 6 are obviously less.

The amount NCFC pay their CEO is not perhaps the issue, surely the key issue is are we getting valur for money, repeating the formula for value, which is V = F/C, where F = Function (Performance) and C = Cost.

There are methods of calculating and numerisng ''F'' but I''m not minded to do it because it really needs a team of ''approriate'' people to decide certain criteria. Having set ''F'' there are three ways to improve ''V'', one by reducing ''C'', another by improving ''F'' or a combination of both.

So, a question which could be asked is; is there someone out there who would cost less for the same level of ''F'' or it may be there is someone out there who would cost more but would provide a greater ''F''. TBH I''m not sure we would want to reduce ''C'' massively and reduce ''F'' slightly, which would still give a higher value to ''V''.

[morty 0]

[quote user="TIL 1010"]Ah i see so it is just a random figure plucked out of the air. Best i not mention that we did not have to poach him from another club then and reach a settlement figure for his services. That was where i might just understand how the ''going rate '' was arrived at. Fair enough but i wont bother to ask who sets these bonus targets at NCFC as that would probably be another 5 pages.[/quote]Plucked out of the air by the people paying his wages, yes.Well I would assume its the board, wouldn''t you?

[Les 0]

http://4.bp.blogspot.com/-VcrNn8AiWMc/Tq2CavD4Y1I/AAAAAAAABCs/iv07lVmamsE/s1600/Someone+is+wrong+on+internet.png

[TIL 1010 4,744]

[quote user="Les"]http://4.bp.blogspot.com/-VcrNn8AiWMc/Tq2CavD4Y1I/AAAAAAAABCs/iv07lVmamsE/s1600/Someone+is+wrong+on+internet.png[/quote][Y] [:D]

[morty 0]

[quote user="Les"]http://4.bp.blogspot.com/-VcrNn8AiWMc/Tq2CavD4Y1I/AAAAAAAABCs/iv07lVmamsE/s1600/Someone+is+wrong+on+internet.png[/quote]You off to bed already fella?

[morty 0]

[quote user="TIL 1010"][quote user="Les"]http://4.bp.blogspot.com/-VcrNn8AiWMc/Tq2CavD4Y1I/AAAAAAAABCs/iv07lVmamsE/s1600/Someone+is+wrong+on+internet.png[/quote][Y] [:D][/quote]Theres no right or wrong here, just mainly over reaction from certain parties that already had an axe to grind.Norwich City offer Mcnally a salary with bonuses, he takes it. Thats pretty much the end of it. If thats the rate Norwich City want to pay, it''s not Daves fault, is it?Its just as well I''m here to talk some of you down off the ledge.

[Jacko 0]

Whilst I accept comparing football to everyday business isn''t realistic, if hypothetically a CEO took up a post at a failing company and helped oversee the following:

- Best reputation, performance and customer satisfaction for 20 years.

- Almost tenfold increase in turnover within 3 years; and

- Eradicating of all external debt.

Then I''d suggest they''d be paid more than 1 million a year after bonuses. He''s worth the money even if it is a bit steep relative to others in the market.

[Highland Canary 76]

The market determines salary awards much like it determines ticket prices.

[norfolkbroadslim 223]

How can our pauper owners afford to pay McNally so much????

[Les 0]

Its just as well I''m here to talk some of you down off the ledge.I''m sure you push some over the ledge.[:D][:D]

[Jim Smith 2,317]

[quote user="Jacko"]Whilst I accept comparing football to everyday business isn''t realistic, if hypothetically a CEO took up a post at a failing company and helped oversee the following:

- Best reputation, performance and customer satisfaction for 20 years.

- Almost tenfold increase in turnover within 3 years; and

- Eradicating of all external debt.

Then I''d suggest they''d be paid more than 1 million a year after bonuses. He''s worth the money even if it is a bit steep relative to others in the market.[/quote]

Thing is though football is not like any other business and the above has been achieved through promotion to the premiership rather than some form of inspired stewardship. Yes he''s clearly competent and an improvement on Doncaste but I reckon we''d all fancy our chances of balancing the books of a business if someone gave us £70m a year for doing nothing and we had 26,000 people turning up every week regardless of the quality of the product. It''s not quite the same as taking a normal consumer business and increasing its turnover by several hundred percent.

[norfolkbroadslim 223]

Time for more popcorn!

[PurpleCanary 5,558]

[quote user="can u sit down please"]It''s my understanding that mcnumpty is not bonused on football performance.[/quote]He was in 2011, 2012 and 2013, but not in the relegation season of 2014. Whether he was last season is impossible to tell from the accounts because, as I posted earlier, the wording of that section on bonuses has been changed.