Difference Between CEO and President
Who is a CEO?
The highest-ranking executive in a company is the CEOCEOChief Executive Officer is the full form of CEO. He is the most senior member of a corporate organization, an executive who oversees the whole administration and operations of the company and reports directly to the board of directors and chairman, with the sole purpose of generating wealth for the company’s stakeholders and shareholders. read more (Chief Executive Officer). Their primary responsibilities are making corporate decisions and looking after the overall operations and its resources. The CEO always acts as the main point of communication between the Board of directors and corporate functions. The CEO also has a position on the Board.
The role and responsibilities of the CEO are not fixed but vary from company to company depending on the size and the overall structure.
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Who is a President?
The President is mainly considered the leader of the organization. The relationship between CEO and President varies depending on the organization’s structure. The role of the President is loosely defined as the powers of the President differ widely in different companies. These powers can come into practice only by law.
In an organization, human resources continuously strive for the organization’s progress apart from the products, services, and strategies. The CEO and President are the two key people who hold the strongest position in the organization.
CEO vs President Infographics
Key Differences
- The Chief Executive Officer is the most senior in any organization. The President is subordinate to the CEO. Also, the Chief Executive Officer is accountable to the board of directorsBoard Of DirectorsBoard of Directors (BOD) refers to a corporate body comprising a group of elected people who represent the interest of a company’s stockholders. The board forms the top layer of the hierarchy and focuses on ensuring that the company efficiently achieves its goals.
- read more, while the president is accountable to the CEO. Shareholders are the company’s ultimate owners, and the Board of directors is responsible to the shareholders.President looks at micro-level things and is responsible for handling short-term goals. They are accountable for handling regular business operations Business OperationsBusiness operations refer to all those activities that the employees undertake within an organizational setup daily to produce goods and services for accomplishing the company’s goals like profit generation.read more, logistics, and employee management. On the other hand, the Chief Executive Officer has to look at things from the macro perspective and has a long-term vision. His job is to formulate plans to forecast growth and strategies for the company’s future. In small organizations, the CEO is responsible for micro and macro perspectives.The CEO’s prime focus is to maximize a company’s wealth which will help him build the legacy and goodwill for his organization. In the case of a public company, these factors are synced in the company’s share price returns. As discussed earlier, the President’s goal is short-term; hence his prime motive is year-on-year profit maximization.The CEO looks after the plans, and the President looks after the execution.The CEO’s motto is “doing the right things,” while the President’s motto is “doing the things right.’” The President strives for efficiency while the CEO strives for effectiveness.Success to the CEO is organizational substantiality, while corporate growth is for the President.Legacy achieved is the way to measure CEO’s performance, while the company’s performance is the way to measure President’s work.
Comparative Table
Conclusion
Looking at the above points, the difference between the roles and responsibilities of the Chief Operating Officer and the President may be quite clear; these differences apply to large organizations. However, a single person may perform these roles in small organizations that lack financial and human resource accounting.
These roles might differ in focus, areas of expertise, knowledge, skillset, vision, view, etc. However, both roles’ ultimate objective is the company’s growth and success.
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