CEO Full Form, Roles & Responsibilities

A CEO is regarded as the highest-ranking executive within a company's management team. Their role is irreplaceable as they are responsible for the company’s direction, strategy and overall success. In a company, there is typically only one CEO. 

What is the Full Form of CEO?

The full form of CEO is Chief Executive Officer. The CEO represents the highest position in a company or organization. They are in charge of management and administration of the business. The CEO is perhaps the most senior executive or administrative officer in charge of overseeing the company's overall operations and revenue. They report directly to the chairman or board of directors (depending on what’s outlined in Articles of Association).

They are responsible for policy implementation, employee inspiration, motivation, and encouragement. An ideal CEO must possess experience, strong work ethics, and knowledge of business networking. CEOs in the government and non-profit sectors usually strive to accomplish goals related to the organization's objective, including increasing literacy or decreasing poverty rates. 

Roles & Responsibilities of CEO

The roles and responsibilities of CEO are as follows:

• One key responsibility of a CEO is developing the company's vision and strategy. They lead employees, make crucial choices, interact with stakeholders, and oversee the business's finances. 

• In order to promote a creative and cooperative culture within the corporation, the CEO establishes long-term goals and develops a strategic plan to achieve them. Their leadership is crucial in leading the business towards the right direction and making sure that every department teams up to accomplish shared objectives.

• To make sure all efforts align with the decided business strategy, the CEO collaborates with the executive team and guides employees toward achieving mutual goals. 

• The CEO approves human resources policies, including management, development and succession planning for the senior executive team while taking into account factors like diversity, inclusion and equal opportunity.

• They must keep the chairman informed regarding all the important matters of the company.

• They are responsible for ensuring the successful execution of strategy after Board approval and the efficient application of Board decisions.

• The CEO must consistently assess the corporation's business's strategic direction and operational performance.

• They must give budget and financial plan recommendations to the Board and see to it that they are carried out after Board approval.

• They play an important role in developing the company’s strategy and objectives while having regard to the company’s responsibilities to its shareholders and wider stakeholders such as customers, suppliers and employees.

• CEOs lead effective engagement and communication with the business’ shareholders as well as other relevant stakeholders.

• They must regularly review the organization’s organizational structure. If appropriate and necessary, they must recommend changes to the Board.

Skills Required to Become CEO

The following skills are essential for becoming a successful CEO:

• Entrepreneurial spirit with exceptional leadership and organizational skills.

• Ability to perform well in pressure situations.

• Remarkable public speaking and communication skills.

• Analytical and problem solving skills.

• Proven experience in a key managerial position or as a CEO.

• Deep knowledge of corporate finance and performance management concepts.

• Understanding of a variety of corporate operations, including finance, PR, and marketing.

• Knowledge about best general management and corporate governance practices.

Famous CEOs across the World

Here are some of the most famous CEOs across the world. 

• Elon Musk: Elon Musk is one of the richest people on Earth. Since 2008, he has been the CEO of Tesla, an automobile company. He is also the CEO of SpaceX, a company that makes rockets and spacecrafts, since 2002.

• Sundhar Pichai: Pichai Sundararajan, more popularly known as Sundar Pichai, is the CEO of Alphanet Inc. and its subsidiary Google since 2015.

• Tim Cook: Since 2011, Tim Cook has been Apple’s CEO. He has guided the company to major growth and success since his appointment.

• Satya Nadella: Satya Narayana Nadella is CEO and chairman of Microsoft. He succeeded Steve Ballmer in 2014 as CEO and John W. Thompson as chairman in 2021.

• Salil Parekh: He is the Chief Executive Officer and Managing Director of Infosys since 2018. He has almost three decades of global experience in the IT services sector.

Conclusion

A CEO holds the highest executive position in an organization. They play an important role in shaping the vision, strategy and success of a company. They actively participate in decision making, communication with stakeholders and make sure the business plans are executed properly. The leadership of a Chief Executive Officer directly impacts the company’s growth and long-term sustainability. Many CEOs across the globe showcase how effective leadership can take businesses to the next level.