What is the full form of CEO?

What is CEO?

The full form of CEO is Chief Executive Officer. The designation of CEO is the highest in any company and the board of directors is responsible for choosing a CEO. CEOs have the responsibility of making major decisions and managing all the resources and operations of their company. They report directly to the board of directors of their organization. They also act as a link between the board of directors and corporate operations.

Roles and Responsibilities

The roles and responsibilities of CEOs differ on the basis of the organization where they work. Harvard Business carried out a study and found out the following about CEOs −

• Busy in meetings 72%

• Work alone 28%

• Making relationships 25 %

• Business and functional review 25%

• Making strategy 21%

• Organization and culture 16%

• Crisis management 1%

• Customer relations 3%

Here are some of the roles and responsibilities of CEOs −

Making strategies for daily operations

Managers of different departments work under the CEO and look after the daily operations. CEOs have to know the results of these operations and collect them so that a long-term plan can be made for the success of a company.

Changes and plan implementation

CEOs implement the plans and tell about the changes to the operations manager. CEOs also have to keep an eye on the ongoing operations so that the long-term goals should be fulfilled.

Maintaining relations

CEOs are the face of the company as they have to keep relationships with customers and the media. CEO may have to arrange press conferences and also communicate to the public to tell the changes made in the company.

Communication with other leadership executives

A growing company has more executives and they have to report to the CEO. The CEO needs to collect data by taking meetings to the progress of work and their departments.

Report to Board of Directors

A CEO of a company has to report to the board of directors who are responsible for the success and performance of a company. CEO let the boar know about the new plans and strategies and the progress of the company and departments.

Characteristics of a CEO

If you want to become a successful CEO, you should have the following characteristics −

Take pressure

You will have to take pressure and handle it because the position is very high profile and you have to manage various roles and responsibilities.

Business strategy development

You to make business strategies and plans for different departments.

Leadership skills

You need to have strong leadership skills to lead the managers and executives of different departments. You also need to hire excellent people as managers for different departments so that the goals of the company can be met easily.

Excellent communication skills

You need to have excellent communication skills as you have to deal with the media, the public along with employees of the company.

Types of CEO

CEOs are of different types and we will discuss about them here in detail

Figurehead CEO

A Figurehead CEO is responsible to look after the demands of the business. They have less contact with the employees and they usually work alone. They have to make strategies so that the business can run smoothly.

Coach CEO

A Coach CEO is responsible for providing training to the staff of his organization. They also have the ability to develop talent and concentrate on the strengths and weaknesses of the employees. These CEOs have the responsibility to guide the staff so that they can develop skills and get promoted to other senior positions.

Critical Thinker CEO

A critical Thinker CEO is responsible for the growth and development of a product or service as they have a scientific or technical background. They have to meet the goal of selling the product or service with the help of their team. They also need to hold meetings with their teams to develop their skills.

Democratic Leader CEO

A Democratic Leader CEO is responsible for creating a collaborative environment in a company. He has to build trust in his team and encourage the members so that the team can work well. This helps in increasing productivity

Autocratic Leader CEO

The role of an Autocratic Leader CEO is similar to a military commander as his role is to control everything. These CEOs do not take any advice from the staff but they have the capability of producing good results. The goals set by these CEOs are easily achievable because they have the ability of building up a strategic environment.

Best Friend CEO

These are the CEOs that are always available to the staff. They interact with each employee of the organization, deal with their problems, and provide solutions. These CEOs treat all the employees equally and inspire them so that they can provide the best results.

Visionary CEO

The Visionary CEOs are creative in nature and have problem-solving ability. They can imagine different ideas and share them with the company to make them a reality. They let the employees know about the clear goals. They also make effective plans so that the goals in their vision can be easily fulfilled.

Founder CEO

These are the CEOs who have established a company from scratch. They have the ability of organizing everything. They can work on weekends and late nights so that they can achieve the goals of their organization. They hold meetings with different departments regularly to know about the progress of their work.

How to become a CEO?

If you want to become a CEO, you need to have a lot of experience in a particular industry. Here are the things which you need to have to become a CEO −

• Get a bachelor's degree in the industry in which you want to work

• Start working in a small organization so that you can promoted to the top management easily

• Find the industry in which you love to work

• Make connections on social media and other means which will help you in the development of your career

• Get experience of management

• Career moves should be made strategically

• Get the master’s degree

Skills needed to become a CEO

Are you dreaming to become a CEO? You need to develop the following skills −

Communication and interpersonal skills

CEOs have to communicate with different people like employees, managers, shareholders, media, etc. They need to develop good communication skills to tell their messages easily

Decision Making

CEOs are responsible for making decisions regarding different departments. They also are responsible for earning revenue for the company. They need to have good decision-making skills to direct the operations of the organization.

Leadership

CEOs need to be good leaders as they have to lead different departments of a company. They need to develop skills in their staff and encourage them to increase productivity.

Problem-Solving

Problem-solving skill is another great thing for becoming a CEO. A CEO has to provide different solutions for various problems so that the operations can run smoothly and the company achieves its goals easily.

Difference between COB and CEO

COB can be expanded to Chair of the Board. The responsibility of the COB is to look after all the operations of an organization but he does not have any right to overrule the board. The decisions of the CEO can be rejected by the board. There are situations where the role of COB and CEO is played by the same person. But they are divided between two persons in big organizations.

Difference between CEO and CFO

The full form of CFO is Chief Financial Officer. A CEO has to manage the general operations of a company while the CFO is responsible for looking after the financial aspects of an organization. The CFO is responsible to know the financial strengths and weaknesses and make strategies to overcome the weaknesses. Financial planning is also in the hands of the CFO.

Difference between CEO and COO

The full form of COO is Chief Operating Officer. The COO is the head of the HR department and is responsible for the payroll, recruitment, and training. The COO also has to manage administrative duties.

Conclusion

The full form of CEO is Chief Executive Officer. A CEO is responsible for making decisions so that the company can achieve its goals easily. He is a link between the board of directors and corporate operations. CEOs need to have good decision-making, and problem-solving skills along with communication skills as they have to communicate with different people.

FAQs

1. What is the full form of CEO?

CEO stands for Chief Executive Officer.

2. Can the CEO and owner of the company be the same person?

In the case of a small organization, the CEO and owner of the company can be the same person.

3. How can I become a CEO?

You need to have a bachelor’s and a master’s degree along with communication, decision-making, and problem-solving skills. You also need to have a good experience in a particular industry.

4. How many types of CEOs are there?

CEOs are of several types and they are listed below

• Figurehead CEO

• Coach CEO

• Critical Thinker CEO

• Democratic Leader CEO

• Autocratic Leader CEO

• Best Friend CEO

• Visionary CEO

• Founder CEO

5. Is the CEO the highest employee in an organization?

Yes! A CEO is the highest employee in an organization