Leadership roles are often differently nuanced in an established, internationally dominant large company or in a start-up, in the process of being scaled up. In the process of thinking about and becoming an entrepreneur, we need to know both sides and understand the full spectrum of the scale between them, so that we can plan appropriately for our own and our peers’ roles.

In order to be aware of the roles in which we can be most effective, it is important to know ourselves, our skills and our knowledge. However, as we develop both hard and soft skills, our perceptions of these skills may change. If we can see where we find our role within our company, we need to consciously build the competencies to do this.

Almost everyone in a startup wants to be CEO 🙂 But let’s take a look at what that means, what other roles there are and what you need to consider when dividing up responsibilities or deciding who to look for to manage those areas. Let’s also examine what kind of soft skills are needed for the different roles. 

The CEO is the first person in the company and the main decision-maker – that’s why he or she has the greatest responsibility for important decisions, because it is the CEO who puts the final word at the end of the sentence in the life of the organization. The CEO is responsible for the success of the company and is therefore also held accountable for failures. In order to make decisions, the CEO must be able to see the whole organization at work: what is happening with the company’s finances, the choice of staff, how the organization’s marketing plan is working, what is happening in the research and development department, how the internal communication structure of the company is.

In the long term, the CEO’s position is inherently part of the board, with an important role on the board and in management. The CEO is not necessarily the chairman of the board, but can hold both positions at the same time, and can be CEO. The CEO is supported by the heads of the functional areas, who are more involved in the day-to-day, practical running of the company. The larger the company (eg a multinational) and the more employees, the more the organization is divided into units, with both smaller and larger bosses managing the employees – they may also make decisions, but they are responsible for each work stream to the person above them, ultimately the CEO.

To grow our business, it is important to understand that the position of CEO is often confused with that of owner. While it is common that the CEO often has an ownership stake (share option or some other arrangement), the larger the company, the more the CEO position and ownership are split and the more there can be a short-term conflict of interest, which is why it is important to align our ideas for development with our goals.

COO – The chief operating officer (COO) is a senior executive tasked with overseeing the day-to-day administrative and operational functions of a business. The COO typically reports directly to the chief executive officer (CEO) and is considered to be second in the chain of command. In some corporations, the COO is known by other terms, such as “executive vice president of operations,” “chief operations officer,” or “operations director.”

• Depending on the CEO’s preference, the COO often handles a company’s internal affairs, while the CEO functions as the public face of the company, and thereby handles all outward-facing communication. 
• Skills required to be a COO include strong analytical, managerial, communication, and leadership skills. 
• There are generally seven different types of COOs that are best suited for different situations and different companies .

CFO – The term chief financial officer (CFO) refers to a senior executive responsible for managing the financial actions of a company. The CFO’s duties include tracking cash flow and financial planning as well as analyzing the company’s financial strengths and weaknesses and proposing corrective actions. The role of a CFO is similar to a treasurer or controller because they are responsible for managing the finance and accounting divisions and for ensuring that the company’s financial reports are accurate and completed in a timely manner. 

• The CFO is a financial controller who handles everything related to cash flow, financial planning, and taxation issues.
• The CFO is often the highest financial position and the third-highest position in a company, playing a vital role in the company’s strategic initiatives.
• Financial reports completed under a CFO must adhere to financial standards.
• People interested in becoming a CFO must have an academic and professional background in finance, economics, and/or analysis.

CTO – A chief technology officer (CTO) is the executive in charge of an organization’s technological needs as well as its research and development (R&D). Also known as a chief technical officer, this individual examines the short- and long-term needs of an organization and utilizes capital to make investments designed to help the organization reach its objectives. The CTO usually reports directly to a company’s chief information officer (CIO), but may also report to the chief executive officer (CEO) of the firm.

• A chief technology officer (CTO) is an executive who is responsible for the management of an organization’s research and development (R&D) as well as its technological needs. 
• Depending on the company, a CTO may play one of several roles, including strategic planner, customer relations liaison, and overseer of infrastructure.
• Becoming a CTO often involves at least 15 years of IT experience, along with a graduate degree and certifications in computer sciences and business administration.

CSO or CISO – The term chief security officer (CSO) refers to a company executive responsible for a company’s physical and digital. This means a company’s CSO is in charge of securing its personnel, physical assets, and information. As such, CSOs typically take care of online safety protocols, risk management, and responding to security incidents. The importance of this position has increased in the age of information technology due to the dangers of hacking, ransomware, and data theft.

• The chief security officer (CSO) is also an executive responsible for the safety and security of company data, personnel, and assets.
• CSOs are responsible for preventing data breaches, phishing, and malware, by developing robust safety protocols and crisis management.
• These executives may also be responsible for physical security, such as preventing trespassers and protecting physical assets.
• Some tech companies may have a chief information security officer instead of a CSO, reflecting their focus on cybersecurity.
• CSOs are increasingly in demand, due to the specialized nature of their skill set.

Training exercise: Project teams should have a meeting to develop their ideal imaginary leadership team. To do this, they use the individual soft skills they have previously gathered, who is strong at what and the results of the Belbin group dynamics test.

Tools for the exercise: Notes from previous training exercises. Flip-Chart, Post-it – 4 colors, Blue Tech, Markers