The world of executive compensation has changed during the past few years. Never before has there been more attention paid to the finer details of compensation programs, and the roles of key players in the executive compensation process have changed dramatically.

In most companies, it is now the job of the board compensation committee to govern executive compensation - and for good reason. Board members have a fiduciary responsibility to manage not only the costs of the executive pay program, but also to ensure its link to long-term value creation for all of the company's constituencies.

However, as the board has taken over the process, some companies have overreacted to the shift in the governance landscape by leaving many HR practitioners - who used to be the strategists and administrators behind the plan - out in the cold. The irony of this outcome is, given the current demands on executive pay programs, it's more important than ever for HR to play a central and critical role in the process. The best way for HR to do that is to gain perspective on what makes a good executive compensation program and provide proactive support for the committee.

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Amit