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What is the full form of CEO

CEO: Chief Executive Officer

CEO stands for Chief Executive Officer. It is the most senior corporate officer or administrator in any organization who looks after overall management and administration.

The CEO of a corporation or company directly reports to the chairman or board of directors. He is responsible for making changes by applying policies and motivating the employees. A lot of hard work, experience, and business networking are needed to become a CEO. The board and the company's shareholders choose the CEO.

CEO full form


The Company's chairman or board of directors set a lot of responsibilities for the CEO. Some of the CEO's responsibilities are:

  • Makes major corporate decisions
  • Makes the healthy working environment
  • Motivates the employees of the organization
  • Makes a change in policies and strategy
  • Leads all the operations of the organization
  • Assigns responsibilities to its sub-ordinates
  • Oversees fundraising planning and execution
  • Assists in the selection of board members
  • Oversees the production, marketing, promotion, delivery, and quality of products and services
  • Recommends annual budget and wisely manages resources of the organization
  • Assures the products or services of the organization are in line with the vision and mission of the organization.

Note: In some companies, the same position of CEO is referred to as MD (Managing Director) or ED (Executive Director). MD is especially used in British English and CEO in American English. Both can be referred to as synonyms.

Educational Qualification to become a CEO

There is no specific educational qualification to become a CEO of an organization. This is a topmost post and is appointed by the board of directors of an organization, but it is seen that most of the CEOs have an MDA or a technical degree.

Related chief positions

In Corporate America, many senior executive positions begin with the initial C, which refers to "chief." In corporate jargon, this group of senior executives is known as the C-suite or C-level.

In smaller businesses or those that are currently in the startup or expansion phases, for example, the CEO may simultaneously function as the CFO, the chief operating officer (COO), and other responsibilities. A stressed-out executive and a lack of clarity could come from this. Giving one executive-level person many titles can seriously disrupt a company's continuity and eventually have a detrimental impact on its long-term profitability. In summary, executive-level positions inside an organisation can soon get confusing in terms of assigned titles and the responsibilities that go along with them.

The Distinction between the CEO and COB

The CEO is in charge of a company's daily operations. In contrast, the board of directors, which is headed by the COB (Chair of the Board), is in charge of managing the entire business. The board has the authority to override the CEO's decisions, but the board cannot be overruled by the chair of the board. In actuality, the chair and the other board members are regarded as peers. While it is possible for the CEO and board chair to be the same person in some situations, most businesses divide these responsibilities between two people.

The Distinction between the CEO and CFO

A company's chief financial officer is known as the CFO. CEOs oversee all business activities, whereas CFOs are solely responsible for financial issues. A CFO evaluates a business's financial strengths and offers suggestions to strengthen its flaws. The CFO also manages a company's financial strategy, including investments and capital structures, and keeps track of cash flow. In order to generate returns to shareholders, CFOs, like CEOs, concentrate on maintaining financial discipline and promoting margin and revenue development.

The Distinction between the CEO and COO

After the CEO, the chief operating officer (COO) is frequently ranked second highest. In addition to administrative functions, the head of human resources is accountable for hiring, legal, payroll, and training.

The Differing Roles of Leadership Positions, Including the CEO

There are several additional leadership positions, some of which might or might not involve a CEO. Other frequent names are:

Founder: A company's founder is the person who founded the business. They played a key role in the establishment of the business, developing the organisational structure, bylaws, and articles of incorporation right away. A founder may be someone who is now employed by a company or someone who founded the business but has since departed. The CEO might be referred to as both simultaneously (i.e., Founder/CEO) if they were involved in the company's founding.

Chairperson: A chairperson is a presiding officer who presides over a group or committee. They may go by the titles of chairs, chairman, or chairwoman. A chair may also be referred to as a president. The group of people is typically given a certain task or set of responsibilities, and the chairperson is in charge of overseeing the group. For instance, the management of a Board of Directors is frequently overseen by a chairperson. If a CEO oversees a committee directly, they may serve as its chairwoman.

Owner: An owner is a financial stakeholder in a firm who typically holds equity in it. Given that a firm may have several owners, an owner may be entitled to a percentage of the earnings in accordance with their own weight. A person may be referred to as a part-owner if there are multiple owners. If they have a financial interest in the business, the CEO could also be an owner.

Director: This term can be used to describe a variety of roles. A director may be in high management or an executive position, depending on the organisational structure of the corporation. Second, a director could be a member of the organization's board of directors. Although a CEO can hold the position of director, they typically hold a higher degree of employment than directors. A director, on the other hand, supervises a CEO's activities. Hence a CEO is not a director.

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