CEO vs. President: Comparing the C-Suite Roles

A chief executive officer, or CEO, is the highest-ranking executive position at a company. The CEO’s role is to formulate, guide, and maintain the company’s big-picture strategic plan, which determines its overall direction and profitability. The CEO oversees senior management and C-level executives like the president (which is typically the CEO’s second-in-command), the chief financial officer (CFO), the chief operating officer (COO), and the chief marketing officer (CMO).

A company’s CEO is also the main conduit between its senior executives and board of directors, to which they report business developments. In some cases, the CEO may hold a seat on the board of directors or serve as its chairman. The board members may also set the responsibilities of a CEO, which can include everything from public relations to overseeing causes related to the organization’s mission statement.

A CEO’s job description encompasses many different elements of a business operation. Here are some responsibilities of a CEO.

1. 1. Creating company policies: A CEO makes strategic decisions to increase a company’s valuation and meet the long-term goals of its employees and stakeholders. These policy decisions include the development of marketing strategies, forging connections with other companies, managing resources, and setting the tone of the company culture. These variables can increase shareholder value, employee motivation, and customer satisfaction.
2. 2. Overseeing day-to-day business: Many CEOs take a hands-on approach to their company’s day-to-day operations by administering corporate governance or by-laws through their directives. In the case of smaller companies or startups, this may include everything from human resources to team-building. CEOs of nonprofit organizations may even lead fundraising efforts.
3. 3. Managing the C-suite: The CEO leads and guides the C-suite or executive team, which may include senior management, depending on the company’s organizational structure. With advice from the board of directors and shareholders, they carry out the company’s strategic goals and vision by assigning directives to executives and senior management.

A president is the second-in-command to the CEO within a company’s corporate structure. Their main responsibility is to execute the CEO’s long-term plan by formulating short-term strategies and overseeing daily business operations. Large companies will typically separate the roles of CEO and president and assign them to different people. However, small businesses may combine these roles.

A conglomerate made of several businesses may have multiple presidents in charge of running their own sectors. For example, a large media conglomerate might have a different president for every TV network under its corporate umbrella.

Here are some responsibilities of a company’s president:

1. 1. Overseeing finances: A president creates and regulates the company’s budget to ensure that it can meet its financial targets and remain profitable. Regulating the budget requires them to remain constantly apprised of the financial inner-workings of the company.
2. 2. Running daily operations: The president works with the CEO to develop the business strategy and create the framework needed to accomplish the company’s long-term goals. In addition to implementing the business strategy, the president monitors the company's performance to evaluate its success.
3. 3. Seeking out funding: The president spearheads funding efforts and scouts potentially advantageous partnerships that can help grow the company.
4. 4. Supervising lower-level executives: The president oversees lower-level company executives, like vice presidents, directors, and managers. Presidents should possess excellent communication skills to help their direct reports understand and internalize company strategy to implement it as intended.

The difference between a company’s CEO and the president depends on the specific company structure. In most cases, the CEO is the highest-level executive at the company, and the president is second-in-command. The president aids the CEO in executing the company’s mission through meetings with vice presidents and management.

However, in certain companies, CEOs may also serve as both president and the public face of the company. Additionally, a CEO may be the managing director and chairperson of the board of directors at a smaller company.

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