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Philip Soran

Chair of the Board at SPS COMMERCE
Board

About Philip Soran

Philip Soran (age 68) is an independent director of SPS Commerce and currently serves as Chair of the Board; he has been a director since 2010 and previously served as Lead Independent Director from October 2, 2023 to May 16, 2024 . He is a former public-company CEO (Compellent Technologies) and serial technology founder/executive with extensive SaaS, technology, M&A, and governance experience .

Past Roles

OrganizationRoleTenureCommittees/Impact
Compellent Technologies, Inc.President, CEO, Director2002–2012Co-founded and led a publicly traded software company
XiotechPresident, CEO, Director1995–2001Co-founded network storage business
Flipgrid, Inc.Executive Chairman2015–2018Executive leadership for edtech platform
FoodsbyDirector2017–2024Board service at food delivery company
Spineology Inc.Director2018–2024Board service at medical technology company

External Roles

OrganizationRoleTenureCommittees/Impact
Piper Sandler Companies (public)Director; Lead Director2018–present; Lead Director 2018–2024Lead director responsibilities; ongoing public company board service
OriginaDirector2022–presentTechnology services governance

Board Governance

  • Independence: Soran is an independent director under Nasdaq rules .
  • Board leadership: Chair of the Board (2014–2017; 2022–2023; 2024–present); previously Lead Independent Director (Oct 2, 2023–May 16, 2024) .
  • Committee assignments: Member, Compensation & Talent Committee; Member, Finance & Strategy Committee (not chair) .
  • Attendance: The Board met 6 times in 2024; each director attended at least 75% of Board and committee meetings, and all directors attended the 2024 annual meeting .
CommitteeRole2024 Meetings
Compensation & TalentMember5
Finance & StrategyMember6
AuditNot a member7
Governance & NominatingNot a member5

Fixed Compensation

YearCash Fees ($)Stock Awards ($)Option Awards ($)Total ($)
202473,000 91,163 91,237 255,400
  • Program design (2024): Non-employee directors receive annual equity grants totaling $182,500, split equally between stock options and an elected mix of restricted stock or DSUs; quarterly vesting; options strike at FMV; DSUs held until end of service, with deferral up to 10 years . Cash retainers include Board Chair $61,000 and committee membership retainers (Comp & Talent $7,000; Finance & Strategy $5,000) .
  • Changes effective May 13, 2025: Elimination of stock options; annual/initial equity increased to $200,000 (RSUs/DSUs); Board Chair cash retainer increased to $85,000; other cash retainer adjustments (Governance Chair to $8,500; Comp & Talent non-chair to $7,500) .

Performance Compensation

  • No performance-linked components for director pay disclosed; annual director equity is time-based (RSUs/DSUs) and 2024 included options; no PSUs or performance metrics tied to director compensation .

Other Directorships & Interlocks

CompanyPublic/PrivateRoleInterlock/Conflict Notes
Piper Sandler CompaniesPublicDirector; Lead Director (2018–2024)No related-party transactions disclosed for 2024 at SPS; no interlock concerns flagged
  • Related-party transactions: None in 2024 (covers directors and immediate families for transactions >$120,000) .
  • Policy oversight: Audit Committee approves related-person transactions; directors recuse if interested .

Expertise & Qualifications

  • Skills: Financial literacy; SaaS; technology; senior leadership/corporate governance; talent/HR; sales/customer engagement; M&A; international operations .
  • Board skills matrix shows broad financial literacy and technology exposure across nominees (including Soran), with average director age 59 and tenure 7.9 years .

Equity Ownership

HolderCommon Shares OwnedOptions/awards exercisable or vesting ≤60 daysTotal Beneficial Ownership% Outstanding
Philip Soran18,852 17,982 36,834 <1%
Unvested Restricted StockOptions OutstandingOptions Exercisable
117 17,982 17,698
  • Ownership guidelines: Non-employee directors must own ≥5× the annual non-chair cash retainer ($175,000 for 2024); compliance required within 5 years; as of March 19, 2025, each non-employee director had met the requirement or was within the 5-year window .
  • Hedging/pledging: Prohibited for directors; no short sales, derivatives, hedging, or pledging allowed under Insider Trading Policy .

Governance Assessment

  • Positive signals:
    • Independent Chair with deep operating and governance experience; prior Lead Independent Director tenure enhances independent oversight .
    • No related-party transactions in 2024; robust related-person review policy .
    • Strong director ownership guidelines and anti-hedging/pledging policies support alignment .
    • Board and committee attendance above minimum expectations; all directors attended the annual meeting .
    • Director compensation modernization in 2025 (eliminating options; increasing RSU/DSU grants) aligns with prevailing governance practices .
  • Watch items:
    • Dual influence as Board Chair and member of the Compensation & Talent Committee warrants continued monitoring for balanced oversight, though independence is affirmed and committee is fully independent .
    • Option holdings persist from prior grants; transition to RSUs/DSUs in 2025 mitigates potential option-related incentives .
  • Broader governance context: SPS received 96% say-on-pay approval in 2024, indicating investor support for compensation practices and governance oversight .

Insider Trading and Filings

ItemStatus
Section 16(a) compliance (2024)All directors/officers compliant; two late filings related to RSUs were for executives (Juckniess, Thingelstad), none indicated for Soran