CEO of a company
Let us know about What are the main responsibilities of a CEO and its importance.
The term CEO is a foreign word that is increasingly used in business communication . It was introduced with globalization and the need for someone to be responsible for the strategy and vision of large companies in the international market.
But generally most companies have a General Manager, however the CEO role is more used in large multinational companies, requiring a person with skills and abilities to lead the entire organization.
What is its importance?
First, the reason the CEO is so important is that, by and large, he is the biggest representative of a company in the entire market.
Furthermore, the success of an organization is often attributed to the image of a highly competent and pragmatic CEO, a rare characteristic not found by any executive or manager who has been with the company for a long time.
And when talking about listed companies , the importance of the CEO is always mentioned. Typically, these executives are responsible for a complete reorganization of the company so that they can achieve good results.
In this way, it will make your stocks appreciate substantially. Therefore, it is clear that its importance for the company’s employees is very high.
Characteristics of a CEO
We all know the profile of a CEO: they are outgoing, self-promotional and risk takers. But are these stereotypes true? What characteristics really set CEOs apart from other executives? And, most importantly, what makes successful CEOs different from other CEOs?
In today’s fast-changing markets, with digital disruption taking place in every business, this issue has never been more important.
An executive director must have the right traits to be a great leader. To begin with, executive positions must have a portfolio that combines technical, financial, and operational skills. In addition to intellectual and practical competence, CEOs typically have:
1-Courage, passion and intensity
Great CEOs are always willing to change. Leaders are always forward looking, setting ambitious goals and often relying on their intuition.
They have initiative, are quicker to capitalize on opportunities, and are more likely to take high-level risks. Their intensity and passion for growth and development make them charismatic and persuasive people.
Leaders know that taking risks and making large-scale changes can lead to exponential growth or drastically fail.
A key difference between a good CEO and a great CEO is the ability to bounce back and move forward quickly.
The excellent professional is open to learning from their mistakes and will work to transform unforeseen situations into positive results.
CEOs who remain open to learning are those who continue to open up growth opportunities. In fact, one of their greatest skills is to show curiosity about what they don’t know—and then use the time and energy to fill that gap.
Some CEOs may not be organized in the conventional sense, such as keeping a desk clean and tidy, but all successful CEOs remain organized and focused on their strategic approach to solving business problems.
Having an organized mindset is knowing which issues are tangential and which priorities are crucial for effective leadership. Without organized thinking, difficulties start to appear and can hide the main problems.
Top executives share excellent communication skills. They are able to convey information in a language that keeps parties neutral — does not cause or instigate unnecessary conflict — and is easily understandable so that effective action can be taken.
Most CEOs know the value of competencies, and many spend time and effort refining their communication skills to improve the team and the company as a whole.
There is a difference between having a lot of great ideas in theory that have no real world application and knowing what can and cannot be done within a company. Ideal CEO candidates are able to remain inquisitive and realistic at the same time.
They are extremely conscientious, like pieces on the chessboard, and realize first of all how certain moves will affect the company’s position, but they are also willing to consider solutions that others might see as unconventional.
The candidate for CEO must demonstrate that they have the ability to build relationships with clients and co-workers to achieve management excellence.
Good relationships help to develop better job opportunities, in addition to loyalty and a good image for the CEO and the company.
One of the greatest traits a CEO can have is the ability to “read people” and adapt management style.
Not everyone has the same learning style and if the Executive wants his company and its employees to be successful, it is important to be able to adapt to the needs of your employees.
As a great leader in a company, it’s critical that the ideal CEO be able to create a healthy and collaborative work environment .
It’s his job to give employees the tools they need to succeed, and he must be able to teach and train in ways that inspire his team to succeed and keep employees aligned with organizational strategy and culture.
13 Main responsibilities of a CEO
Once CEOs set a clear course for the business, they must participate in matters that relate to managing people.
Developing an astute understanding of your team’s needs and motivations and then getting people on board — driving them to performance and aligning them around the goal of value creation — enables more successful results.
The CEO‘s duties are what he actually does, the responsibilities he doesn’t transfer, after all, some processes shouldn’t be delegated.
Creating culture, modeling values, building the management team, giving final approval on how money is spent are, in fact, activities to be performed by the CEO.
Many budding CEOs think fundraising is their most important duty. However, even with the creation of funds being necessary, the contribution lies in building a viable business with the money raised.
A CEO’s responsibilities include:
- create, communicate and implement the organization’s vision, mission and general direction, managing the development and implementation of the company’s global strategy;
- direct, guide, and evaluate the work of other executive leaders, including presidents, vice presidents, and directors, depending on the organization’s reporting framework—in this process, the CEO makes sure that defined strategic direction is underway across the company;
- solicit advice and guidance, where appropriate, from a Board of Directors;
- formulate and implement the strategic plan that guides the direction of the company or organization, ensuring that its creation involves significant contributions from the company;
- overseeing the complete operation of a company in accordance with the direction set out in the strategic plans — this includes designing the organization in a way that facilitates and supports operations;
- maintain awareness of the competitive external and internal landscape, expansion opportunities, customers, markets, new developments and industry standards;
- look at possible acquisitions or sale of the company in circumstances that will increase shareholder value;
- represent the organization for civic and professional association responsibilities and activities in the local community, state, and country;
- participate in industry-related events or associations that will enhance the CEO’s leadership skills or the organization’s reputation and potential for success, and make sure team members understand that each employee is responsible for helping the company maintain industry ties;
- demonstrate the leadership necessary to make the organization’s mission a success—this leadership includes providing a vision that attracts followers and all other aspects;
- create a learning organization that will continue to grow and improve employees’ skills (only if these key players continue to learn and develop will the company succeed at the desired level);
- ensure that the organization’s leaders experience the consequences of their actions, whether through reward and recognition or performance training and disciplinary actions.
- assess the organization’s success in achieving its objectives — it is important that each strategic objective is measurable or that the results can be described in a picture agreed upon and shared by the team;