Question

How much impact does a CEO, a COO, or other senior leader have on an organization? Is their impact more long term than short term?

Answer 1

The CEOs, COOs or Other senior leaders are accountable for leading the development and execution of the organization with a view on the aim of the company and long-term goals by not harming the shareholder value. Even the day to day organizational decisions depends upon the leader. The senior leader acts as a direct liaison between the Board and management of the organization and also communicates on behalf of the Company to shareholders, employees, Government authorities, other stakeholders and the public.

The leader is the person who can influence and direct the activities of an organized group to accomplish set goals by communicating with them. Therefore leadership is premised on interpersonal relationship and leader must belong to a group. Every organization consists of major elements like the management, time, people and task within an organization which must interrelate effectively to achieve the objectives and goals. Leadership can be considered as the management function concerned with a continuous search of the best way to influence subordinates to achieve goals and objective within the continuous process of coordinating the resources; man, money and material.

The role of a senior leader in the group is to provide direction, coordination of the activities of the members constituting the group and to ensure consistency. The leadership style and the quality of leadership are reflected through the organization and the attitude of the subordinate in the performance of their task and the organizational performance. The employee performance and corporate excellence are influenced by the leadership style.

The good leadership can contribute to the corporate behaviour by the employee, targets will be easily met and eventually, there will be the employee and the employer’s satisfaction.

The impact of a senior leader on the organization will last even if the leader leaves. The succession plans of the organization can manage the organization function effectively with a new leader. The policies and strategies developed by the preceded will affect the company for a period of time. The firm may face some difficulties for a period of time when one CEO moves on, but the effective function of the new one can win all hurdles.