Reaching the upper echelons of a company is rewarding, from both a personal and financial perspective. For many people, becoming a C-suite executive is the culmination of many years of hard work and sacrifice. By the time they reach the c-suite, they are at the peak of their career. It is a sweet moment of triumph.
But what does it take to reach this level of leadership within a company? What skills do you need and what pathway should you follow? Read on to learn more.
What is the C-Suite?
The C-suite is the highest leadership position within a company or organization, with C standing for “chief” in a corporate title. If your job role starts with “chief”, you are the leader of your department, whether this happens to be Human Resources, the finance department, security, or IT. The buck stops with you and it’s your job to lead your team in all areas.
C-suite executives have oversight over their area of the business. When there are problems, people in the C-suite are tasked with making decisions. It can be a high-stress job, as C-suite executives are answerable to stakeholders, and if they make bad decisions, it is usually their head on the chopping block.
Naturally, pay and benefits are enhanced to compensate for the high-stress nature of the job, which is often why people strive to reach the top tier of management in a company or organization.
Why Aim for It?
Salaries increase the higher you climb up the corporate ladder. The average salary of a C-suite executive is around $270k, but if you become a Chief Executive Officer and ultimately in charge of the entire company, you can expect to make in excess of $750k a year. Most C-suite executives also receive performance-related bonuses on top of their base salaries, as well as other benefits.
Of course, money isn’t everything and not everyone works hard purely for a financial reward. Some people strive to reach the C-suite because it is a challenge. Being in such a lofty position within a company means making high-stakes decisions. If you thrive on high pressure and enjoy the buzz of difficult situations, or you like the idea of managing multi-million-dollar budgets and being responsible for a roster of employees, a C-suite job could be your dream come true.
And finally, reaching the C-suite means you have honed your skills to be the best you can be. For anyone with ambition, it’s the culmination of years of hard work. Why settle for a mediocre position as a middle manager when you can work a bit harder and achieve greatness within an organization? This is a job you can be proud of, and if you want the respect of your peers, a C-suite position is essential.
Jobs in the C-Suite
Any job with “chief” in the title is a C-suite job. The main positions are outlined below:
- CEO – a Chief Executive Officer is the most senior position in the C-suite. CEOs are in charge of the C-suite and they usually have the final say in all decisions. A CEO will report directly to the board and other stakeholders and may also have a seat on the board. In smaller companies, the CEO may also be the owner/founder of the company. In a large organization, the CEO is the public face of the company. Well-known examples of CEOs you many have heard of include Mark Zuckerberg, Tim Cook, Jeff Bezos, Bill Gates, and Warren Buffet. Although it might seem like all CEOs are men, this isn’t the case. There are a few women who have broken through the glass ceiling and reached the C-suite – good examples include Karen Lynch, the CEO of CVS Health, Mary Barra, CEO of General Motors, and Rosalind Brewer, CEO of Walgreens Boots Alliance.
- CFO – a Chief Financial Officer is in charge of the company’s finances. They usually come from an accounting background and are tasked with ensuring the company complies with IRS and accounting standards. It isn’t an easy job and a good CFO must be able to handle stress. They must also be detail-oriented and comfortable with numbers.
- COO – a chief operating officer is a second-in-command to the CEO of a company. Their role is overseeing the day-to-day operations of a company, which includes managing the company’s operational budget. Naturally, they will have to work closely with the CFO as well as the CEO. Many COOs have a background in finance, so they are comfortable with budgets. There was a time when a COO would have used the job as a stepping-stone into the role of CEO, but these days, the job is viewed as an end goal because it offers just as good financial and personal rewards.
Other roles in the C-suite include chief marketing officer, chief information officer, chief human resources manager, chief security officer, chief compliance officer, and chief green officer. Each role is specialist but there is always overlap with the other roles in the C-suite, which means everyone must work together seamlessly when making decisions that affect the company.
Different C-Suite Pathways
The most common way to reach the C-suite is by working your way up inside a company via internal promotion. Long tenure doesn’t guarantee a job in the C-suite, but when you work for a company for 15+ years, you have gained a lot of useful insights into how the company works, as well as built relationships with the people you will be working with and managing.
This pathway is one that many employees try to follow. After all, loyalty is a great selling point if you have worked your way up from the mailroom and gained valuable institutional knowledge along the way. If you love working for the company, this is a worthy route to take. The downside is that you must be able to prove to your peers that you have what it takes to reinvent yourself, as they might forever see you as a middle manager. You must also be willing to evolve as the company changes, as nothing stays the same, particularly in today’s tech-focused marketplace.
The next pathway to the C-suite involves building a successful business. As a business grows, the business’s owner will take on increasing levels of responsibility. Assuming that you have what it takes to run a large business, there is a good reason to assume you will end up in the C-suite, rather like Mark Zuckerberg has done as the founder of Facebook or Bill Gates as the founder of Microsoft.
Not all business founders are cut out for a place in the C-suite. Some prefer to move on once the business has achieved a certain degree of success as, for them, the challenge lies in creating a new business rather than working in a successful venture.
Finally, the nest most established pathway into the C-suite involves being recruited externally. This might happen if there are no internal candidates suitable for the role, or you have specific skills needed to perform the job.
Candidates who have achieved great success in similar roles and have steered their previous companies to success in challenging conditions are likely to be head-hunted when a C-suite role becomes available.
If this pathway to the C-suite sounds right for you, it’s important to hone your skills in a variety of challenging roles, build a strong personal brand, and develop your experience.
Education
The right education doesn’t guarantee you a spot in the C-suite, but it most assuredly helps smooth the way. Attending college and studying for an MBA, for example, is not just about learning the skills you need to excel in the role of COO or CFO. It also gives you the opportunity to network and meet the people you will one day be working with. Make no mistake, a great number of C-suite roles are acquired through networking. Often, positions are not advertised at all, and successful candidates are approached privately to see if they might be interested in the role.
While working your way up from the mailroom is an excellent way to reach the C-suite, don’t overlook the power of education to smooth the way. A business degree from Harvard or Columbia will always stand you in good stead thanks to the connections you make, but there is just as much value in studying for a business degree later.
For example, the MBA is widely considered to be the gold-standard qualification for anyone hoping to reach the C-suite, but it requires candidates to have experience before they apply. Part-time study is the best way to achieve an MBA, as you can continue learning the skills you need on the job while hitting the books in the evenings and at weekends.
Online MB programs from Kettering are a great example of MBAs that teach candidates the skills they need to smash their way into the C-suite. While the MBA was originally designed for engineers, it is now applicable for anyone hoping to reach the executive level. You can even customize your degree with a choice of modules. For example, if you have your eye on the COO role, you can study finance and operations management, which will stand you in good stead later.
For an ambitious manager, the MBA is the way to go.
Develop the Right Skills
There are many skills you need to reach the C-suite, but leadership ability is the most important. C-suite executives must be effective leaders. They have tough decisions to make so they can’t afford to procrastinate or appear weak. Strong leaders inspire others and are comfortable making difficult decisions. As a leader, it is your job to motivate your team and set a good example. You must also cope with pressure.
Aspiring C-suite executives need to show initiative. They don’t sit around waiting for others to point them in the right direction – they take the bull by the horns and sign up for tasks others might not want. They are happy to relocate for a new project or work overtime if it means finishing a task on time. Look for mentorship opportunities where you can learn the skills you need to thrive. Don’t wait to be asked – approach someone you admire and show them what you have to offer.
It’s important to build a strong personal brand. As we have already mentioned, a key number of C-suite executives are recruited externally, by head-hunters and people already in the C-suite. A strong personal brand will help you shine in a sea of mediocre candidates.
Establish strong relationships with co-workers and colleagues who reflect the same values. Make sure you establish a reputation for strong leadership, and as a team player. Demonstrate your can-do attitude and be fair and ethical in your working life. You want people to think of you positively when your name is mentioned.
Be diligent about networking, online and offline. Make sure your online profile reflects who you are, your achievements, and what you hope to achieve in the future. Ensure your online profiles on social media are consistent and don’t deviate from your brand values.
If you decide the best way to reach the C-suite is by working your way up from a junior role, make sure you choose the right company as your springboard. Gaining useful experience in junior roles is a great idea, but it’s pointless if there is limited scope for advancement within the company. Look for a junior role in a national or global company, where you can gain valuable experience running large divisions or even overseas branches. This is the kind of experience that counts.
Many C-suite executives have a solid background in finance. If you are certain you want to aim for the C-suite, consider studying accounting or taking finance modules in a business degree. This will greatly increase your chances of reaching the C-suite before you hit 40.
Becoming chief of anything is a laudable goal and perfectly achievable if you have the right skills. Set out your ambitions on paper and see how long it takes to hit your interim targets. With the right level of ambition and focus, you could easily be sitting in the C-suite by the age of 40.
