Been on overbooked flights in the US on several occasions, admittedly sometime back and it was handled easily and very promptly by the cabin crew requesting for volunteers, bribing the passengers and upping the rewards until the required number was achieved, the rewards ended up being significant.
The problem has been created by poor planning by the airline, surely all of the passengers on the plane have the same right to be there and many have arrangements that are awkward to change, so the only fair thing to do is to compensate the passengers who are inconvenienced.