We are no longer looking just inside at how we are going to manage our internal compensation. It is what we are going to tell people about this and not just telling the VP of HR or maybe not even just telling the CEO when they drop by, but actually going to the outer world which is the Board and Wall Street. Compensation managers aren´t going to be issuing reports on their own that are going to go external to the company, so obviously it is going to be going up to the top of the HR function and then out through investor relations - probably working with the Compensation Committee of the Board - but nonetheless when matters of compensation come up it is going to be the compensation managers who are going to have to take the lead in putting together the data, explaining the data, explaining the policy, and the reasons behind those policies. 

A number of years ago, and in fact even now, many people are wondering why the compensation manager would be reporting anything to Wall Street. What would the people at JP Morgan care about what a compensation manager is doing? The context behind this is that human capital intangibles matter.  It has become quite clear to anybody who studies the stock market that a great deal of value of any given organization is not from the tangibles but from the intangibles.  Intangibles can be things like brand or the relationship with customers, but human capital is a big part of the intangibles of any organization today.

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