Companies around the world use a standard corporate hierarchy, with the chief executive officer (CEO) at the top of the pyramid. Though the role can be stressful, a 2023 Deloitte survey indicated that optimism is high among CEOs. Despite economic uncertainty, 45% of all CEOs expect strong or very strong growth in their organizations, and they’re excited about what the future holds.
Though the chief executive officer job description and salary vary significantly from one industry or organization to another, the vast majority of CEOs find their jobs fulfilling. They enjoy playing a critical role in their companies’ success. CEOs are in increasingly high demand, especially in the health care industry. An online Executive Master of Health Administration (EMHA) degree program can help aspiring executives build the skills and knowledge to succeed and reach the C-suite.
What Is a Chief Executive Officer?
CEOs are the top-ranking executives in a company. They oversee operations at the corporate level, manage resources and serve as liaisons between other executives and boards of directors. Some organizations may refer to their CEOs by other titles, including founder, president, executive director or managing director.
CEOs for very large multinational organizations spend much of their time gathering information and making high-level decisions. Some CEOs start out as founders and sole employees, meaning that they have a more hands-on role and engage directly with clients.
The Chief Executive Officer in Health Administration
In the health care industry, the chief executive officer job description is similar to that of CEOs in other fields. For example, hospital CEOs are responsible for budgeting, resource management and strategizing. But the particulars of this industry mean the job comes with some extra challenges, opportunities and considerations. Hospital CEOs must also push for top-level health care quality, adhere to state and federal regulations and establish standards for excellence within the organization.
Ultimately, CEOs in health administration ensure that every facility and department within their organizations operates as efficiently as possible. They ensure that their facilities are sufficiently staffed and have the tools and equipment to provide the best possible patient care. CEOs do all of this while adhering to the budget and strategy.
Chief Executive Officer Job Description
Chief executive officer job descriptions and work environments can vary quite widely depending on the organization, but on average, they tend to enjoy decent work-life balance. According to data published by Zippia, CEOs worked an average of 36 to 40 hours each week in 2022; this is on par with a traditional workweek in the U.S.
During work hours, however, CEOs must juggle a lot of duties in order to run their organizations as strategically and efficiently as possible.
Key Job Responsibilities for Chief Executive Officers
While a CEO’s duties may vary depending on the size of the company and its industry or niche, some responsibilities, such as budgeting and public relations, apply to CEOs across the board. The chief executive officer role includes the following duties:
- Budgeting. CEOs work alongside chief financial officers (CFOs) to ensure financial success. Budgeting may involve eliminating redundant assets or departments, mitigating expenses, investing in new technologies that will drive growth and finding opportunities to reduce spending or improve financial health.
- Resource management. CEOs manage different types of resources depending on the industry. Resources may include suppliers, vendors, employees and third-party services. CEOs are ultimately responsible for distributing assets to maximize benefits and profits.
- Strategy and goal-setting. CEOs must set attainable goals for their organizations, and then strategize ways to realize them.
- Leading C-level officers and management. CEOs serve as heads of management, meaning that all other officers and managers report to them. CEOs set the pace and course and use leadership skills to keep everyone aligned.
- Public relations. CEOs often serve as the public face of a company. Many CEOs answer to the general public, even in times of crisis. CEOs regularly participate in press conferences, interviews and fundraisers. Ultimately, they help the public better understand their companies’ role and purpose within the community.
- Monitoring industry changes. CEOs monitor changes within their industries and apply what they learn to their operations. They also look for potential opportunities to merge or acquire new companies that may facilitate a company’s growth or reputation.
What Skills Does a Chief Executive Officer Need?
Performing the duties as defined in a chief executive officer’s job description requires honing several important skills that allow them to fulfill their roles and responsibilities. These skills include the following:
Leadership. Leadership skills are the most fundamental skills that a CEO can possess. Above all else, CEOs must be able to lead in a way that inspires and empowers others within their organizations.
Communication and collaboration. CEOs work with everyone in their companies, from the stakeholders and investors to the employees that engage with clients. They’re also responsible for cultivating and maintaining a positive business culture. Because of this, CEOs must have strong communication and collaboration skills.
Growth mindset. A growth mindset is characterized by the ability to embrace small setbacks as learning experiences and celebrate small victories. Every decision a CEO makes should focus on company growth, so this mindset is vital. The growth mindset is also crucial for developing emerging leaders within organizations.
Ethics. Ethical leadership is one of the most important skills CEOs should possess. Aside from maintaining a positive morale among employees, good ethics build and maintain a company’s reputation with the public.
Decisiveness. Important decisions can be stressful, so CEOs must feel confident and comfortable making them. They must also have the ability to commit to the decisions they make, and they must be able to explain those decisions to stakeholders and other members of the corporate hierarchy.
Agility and innovation. The world is always changing, and CEOs must remain agile in the face of adversity, technological growth, regulatory evolution and organizational challenges. Creativity and innovation are also important for ensuring that a company remains relevant as times and consumer preferences change.
Approachability. CEOs who are friendly and approachable can completely transform a company’s business culture and drive morale. Approachability is also important for soliciting important employee feedback, which can be used to improve and streamline operations.
Chief Executive Officer Salary
According to the U.S. Bureau of Labor Statistics (BLS), chief executives in health care and social assistance settings earned a median average salary of $169,440 in 2022. The top 10% of all chief executives earned more than $239,200. The chief executive officer salary varies significantly based on experience level, industry and organization size.
Employment Outlook for Chief Executive Officers
The BLS reports that demand for top executives across all fields is projected to climb by about 3% between 2022 and 2032, which is roughly on par with the projected average growth among all careers. Demand for qualified leadership and industry-specific knowledge will drive this growth. A 2022 Challenger, Gray & Christmas survey found that hospital CEO turnover spiked in that year, spurring higher-than-average demand for executive leadership positions in the health care field.
Lead a Team of Health Care Professionals in an Executive Role
While the chief executive officer job description varies, a CEO’s importance and influence remain the same across all industries.
In the health care industry, CEOs are responsible for ensuring that patients receive the best and most efficient care possible while helping their organizations grow and thrive. Discover how the online EMHA degree program at USC Price can prepare you to lead a team of executives to success.
Recommended Readings
7 Reasons to Pursue an EMHA Degree
5 Ways an EMHA Can Advance Your Health Care Career
Turnover in Health Care: Why Health Care Worker Satisfaction Matters
Sources:
The Balance, “Chief Executive Officer (CEO) Job Description”
Deloitte, “Winter 2023 Fortune/Deloitte CEO Survey”
Healthcare Business Today, “The Ever-Changing Role of the Healthcare CEO”
Indeed, “What Is a Chief Executive Officer (CEO)? Definition and Role”
Indeed, “What Skills Should a CEO Have?”
Investopedia, “Chief Executive Officer (CEO): What They Do vs. Other Chief Roles”
McKinsey & Co., “Actions the Best CEOs Are Taking in 2023”
Modern Healthcare, “Hospitals Grapple With a Surge of CEO Exits”
U.S. Bureau of Labor Statistics, “Top Executives”
Zippia, “How Many Hours Do CEOs Work?”