{
  "docId": "019dd923-5ca1-7489-b633-e726c3075bde",
  "docSlug": "4e37d83ee6e25fae",
  "documentTitle": "Oil Gas EP Incentive Compensation",
  "authorId": "AlvarezMarsal",
  "authorName": "Alvarez & Marsal",
  "documentKindSlug": "consulting-deck",
  "documentKindLabel": "Consulting deck",
  "sourceTypeSlug": "strategy_consulting",
  "sourceTypeLabel": "Strategy consulting",
  "presentationDate": null,
  "orientation": "portrait",
  "aspectRatio": 0.773,
  "pageNumber": 9,
  "pageCount": 32,
  "prevPage": 8,
  "nextPage": 10,
  "slideType": "industry_trends",
  "function": "analyze_data",
  "density": "dense",
  "nDataPoints": 12,
  "notes": "The chart shows that larger companies (Top Quartile) are more likely to use 'Part Formulaic/Part Discretionary' plans, while smaller companies (Bottom Quartile) lean more towards 'Discretionary' plans.",
  "elementsJson": [
    "headline_text",
    "paragraph",
    "bullet_list",
    "bar_chart_grouped"
  ],
  "metadataConfidence": 1,
  "imagePath": null,
  "slideHref": "/slides/019dd923-5ca1-7489-b633-e726c3075bde/9",
  "deckHref": "/decks/019dd923-5ca1-7489-b633-e726c3075bde",
  "deckJsonHref": "/decks/019dd923-5ca1-7489-b633-e726c3075bde.json",
  "deckAnchorHref": "/decks/019dd923-5ca1-7489-b633-e726c3075bde#slide-9",
  "components": [
    {
      "bbox": null,
      "kind": "callout",
      "text": "As shown in the chart below, the majority of E&P companies maintain some form of discretion with respect to their AIPs. However, larger companies tend to use less purely discretionary plans.",
      "attrs": null,
      "subkind": null,
      "toolName": "Visual emphasis",
      "toolSlug": "visual-emphasis",
      "confidence": null,
      "componentId": "019dd951-a675-704b-b9a7-9b70fa2571ea",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": {
        "h": 0.35,
        "w": 0.9,
        "x": 0.05,
        "y": 0.55
      },
      "kind": "chart",
      "text": "Discretionary vs. Formulaic by Market Capitalization",
      "attrs": null,
      "subkind": "bar-grouped",
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "2345c803-2f55-413e-b2f5-b83fea0c7e62",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": {
        "h": 0.18,
        "w": 0.9,
        "x": 0.05,
        "y": 0.31
      },
      "kind": "list",
      "text": "Formulaic – The plan utilizes predetermined performance criteria with established targets that will determine payout, and the compensation committee does not have discretion to adjust payouts (other than negative discretion).\nDiscretionary – The plan may or may not utilize specific, pre-established performance criteria, but the compensation committee maintains absolute discretion to adjust payout levels upward or downward.\nPart Formulaic / Part Discretionary – The plan utilizes certain metrics in which payout is determined formulaically and others in which payout is determined at the discretion of the compensation committee.",
      "attrs": null,
      "subkind": "bullet",
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "09e693ed-cd94-4eb8-95c4-723021e22705",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": null,
      "kind": "metric",
      "text": "Percentage of Companies: 68%",
      "attrs": null,
      "subkind": "primary",
      "toolName": "Quantification",
      "toolSlug": "quantification",
      "confidence": null,
      "componentId": "019dd951-a675-704b-b9a7-9efabd2c8d55",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": {
        "h": 0.06,
        "w": 0.9,
        "x": 0.05,
        "y": 0.18
      },
      "kind": "paragraph",
      "text": "As is the case with most industries, companies in the E&P sector generally provide an opportunity for executives to participate in annual incentive plans (AIPs), also commonly called bonus programs. AIPs utilize performance metrics that are generally measured over a one-year period.",
      "attrs": null,
      "subkind": "paragraph",
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "549c18c6-c8f0-4555-a052-a7993b9ad685",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": {
        "h": 0.05,
        "w": 0.4,
        "x": 0.05,
        "y": 0.07
      },
      "kind": "title",
      "text": "ANNUAL INCENTIVE PLANS",
      "attrs": null,
      "subkind": "headline",
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "2587c80e-af2c-453c-9c15-67ec993efb7e",
      "frameworkName": null,
      "frameworkSlug": null
    }
  ],
  "metrics": [
    {
      "metricRaw": "Percentage of Companies",
      "numberRaw": "68%",
      "numberKind": "percent",
      "actionTitle": null,
      "calloutText": "As shown in the chart below, the majority of E&P companies maintain some form of discretion with respect to their AIPs. However, larger companies tend to use less purely discretionary plans.",
      "numberScale": null,
      "numberValue": 68,
      "metricFamily": "survey_sentiment",
      "numberCurrency": null
    }
  ],
  "tools": [
    {
      "name": "2x2 matrix",
      "slug": "matrix-2x2",
      "agent": null,
      "layer": "slide",
      "matchId": "74945c42-366b-4bbb-897a-e8aa8d321948",
      "evidence": "chart/bar-grouped: Discretionary vs. Formulaic by Market Capitalization",
      "confidence": 0.7
    },
    {
      "name": "Action Titles",
      "slug": "action-titles",
      "agent": "Architect",
      "layer": "slide",
      "matchId": "019dd95a-10d4-718b-9f58-c42ad5b1faf6",
      "evidence": "Sub-header 'DISCRETIONARY VS. FORMULAIC' frames the categorization",
      "confidence": 60
    },
    {
      "name": "Annotation",
      "slug": "annotation",
      "agent": "Designer",
      "layer": "slide",
      "matchId": "019dd95a-10d4-718b-9f58-d2159a9340c3",
      "evidence": "Each bar labeled with its percentage value directly",
      "confidence": 65
    },
    {
      "name": "Color Strategy",
      "slug": "color-strategy",
      "agent": "Designer",
      "layer": "slide",
      "matchId": "019dd95a-10d4-718b-9f58-ce2504a2006e",
      "evidence": "Three categorical colors for Formulaic / Part / Discretionary applied consistently",
      "confidence": 70
    },
    {
      "name": "Small Multiples",
      "slug": "small-multiples",
      "agent": "Designer",
      "layer": "slide",
      "matchId": "019dd95a-10d4-718b-9f58-cbb6a83eb338",
      "evidence": "Same three-bar grouping repeated across four quartile categories",
      "confidence": 75
    }
  ],
  "frameworks": [
    {
      "name": "AIP Plan-Type Taxonomy (Formulaic / Part-Formulaic / Discretionary)",
      "slug": null,
      "matchId": "019dd95a-1ca5-70bb-bba1-37cbd9fd8454",
      "evidence": "Slide labels its own three-category framework with definitions",
      "confidence": 70
    }
  ],
  "arcBeats": [
    {
      "to": 19,
      "from": 8,
      "beatId": "019dd95a-0682-776c-8e36-cfce13a66087",
      "arcName": "The Onion",
      "arcSlug": "onion",
      "beatName": "Deeper Layer",
      "beatSlug": "onion-deeper-layer",
      "evidence": "Annual incentive plan and LTI mechanics decomposed",
      "position": 3,
      "confidence": 55,
      "parentBeatName": "Development",
      "parentBeatSlug": "development"
    }
  ],
  "loops": [
    {
      "to": 11,
      "from": 8,
      "name": "Pattern Hunter",
      "slug": "02-pattern-hunter",
      "bestFor": "Time-pressed audiences, building consensus, when data is strong",
      "matchId": "019dd95a-07fe-70ce-8d3f-5dd8fd38592c",
      "evidence": "Quote intro plus 3 data slides each adding evidence about AIP prevalence and structure",
      "position": 3,
      "objective": "Aggregate AIP evidence (discretion type, metrics, market-condition response) into pattern about plan design",
      "structure": "Evidence A -> Evidence B -> Evidence C -> Pattern/Conclusion",
      "confidence": 70,
      "description": "Group multiple pieces of evidence that together point to a pattern or conclusion"
    }
  ],
  "imagePathAlt": null,
  "thumbSrc": null,
  "thumbSrcAlt": null,
  "locked": true
}