In a company, the CEO is typically considered to be at the top of the organizational hierarchy. However, there are some positions that are higher in rank than a CEO. Who might that be? The answer, surprisingly, is not as simple as you might think. Depending on the company and industry, there can be many different titles for those who rank above a CEO.
For example, if you work for a public company, company directors are above the CEO. If you work for a private company, it could be owners or board members who rank above the CEO. In most organizations, the positions above the CEO include Chairman of the Board, President and Vice President. If your company is a start-up, then in some sense, a start up advisor could be seen as also being higher than the CEO. In this article, we will explore the different titles that can be found above a CEO in an organization, their role, and how their responsibilities enhance the overall success of the company.
Chairman Of The Board
The Chairman of the Board is elected by other members of the board. The Chairman's role includes representing shareholders at meetings and running sessions in which all directors are present. During these times, it is typically required that board members be impartial so as not to undermine the CEO.
Additionally, the Chairman is responsible for appointing new directors and must disclose any conflicts of interest. In some cases, the Chairman may also be in charge of human resources or even the compensation committee.
President
The President is the highest-ranking member of the management team and reports directly to the board. He or she holds significant influence, and is responsible for setting corporate strategies and managing all functions of an organization.
Some may consider the President to be a more hands-on version of a CEO. However, it's important to note that there can be more than one President in an organization.
A President can be seen as potential successors to the CEO role if it becomes vacant.
Vice President
A Vice President (VP) is appointed by the President and typically oversees a specific area of the company, such as marketing or finance. They are responsible for developing and implementing policies in their area of expertise, as well as reporting to the President.
Director
A Director is a member of the board who is appointed by the shareholders. They typically have significant experience in business and possess expertise in a certain area, such as accounting or marketing. Directors are responsible for setting broad policy, reviewing financial reports and electing and dismissing members of management.
An Owner Or Board Members (If Privately Owned)
An owner of a company is responsible for making strategic decisions and overseeing daily operations. This person has a strong influence on virtually every aspect of how their company is run.
Conclusion
There are several roles that can be found above a CEO in an organization, each with its own unique responsibilities and duties. It's important for CEOs to understand what these roles are and how to work others to help the company achieve success. If you're looking for more information on any of the roles mentioned in this article, let us know.
On our blog, we cover additional topics around entrepreneurship, business, and marketing, such as: “What's the difference between mentoring and coaching?” and “Should I pay myself a salary from my LLC?”. Be sure to check our blog page for even more information.
