Yesterday, my Foolish colleague Kris Eddy told you about the incentive plans that some universities have in place for their football coaches. Kris suggested that the folks in Corporate America might want to take notes on how to motivate their CEOs. I can't argue with that. But there are also some aspects of college ball that all too closely mirror the darker side of CEO compensation.
Exhibit A: Charlie Weis.
The University of Notre Dame had great expectations that Weis would shake down the thunder when he took over the program in 2005. The university was so excited, in fact, that it offered Weis a new 10-year contract just halfway through his first season, not long after the Irish almost beat a top-ranked USC squad. That's right -- Notre Dame lost a big game, but Weis got a reward. Talk about irrational exuberance.
Fast-forward to this week, and Weis has joined the ranks of America's unemployed. Don't feel too sorry for him, though: Thanks to that 10-year deal he struck with Notre Dame, Weis walks away with around $18 million, according to The Sporting News. Not bad for a guy who racked up an unimpressive 35-27 record.
The corporate world is rife with garish tales of CEOs who run their companies into the ground, but walk away with a bundle of cash and benefits. Think Home Depot
What lessons can we take from this cautionary tale? Whether you're a fed-up sports fan or an investor tired of seeing failed company bigwigs make out like bandits, feel free to vent your frustrations in the comments box below.
