Chief Executive Officer (CEO)
The highest-ranking executive responsible for a company's overall strategy and operations.
What is CEO?
The Chief Executive Officer (CEO) is the highest-ranking executive in a company, responsible for setting corporate strategy, overseeing operations, managing the senior leadership team, allocating capital, and representing the company to investors, customers, and regulators. The CEO reports directly to the board of directors and serves as the primary liaison between the board and management. Under the Sarbanes-Oxley Act of 2002, public company CEOs must personally certify the accuracy of financial statements. CEO performance is evaluated annually by the board's compensation committee using financial targets, operational metrics, and long-term strategic milestones.
Example
Tim Cook became Apple's CEO in August 2011, succeeding Steve Jobs. Under Cook, Apple's market capitalization grew from approximately $350 billion to over $3 trillion by 2024, driven by services revenue expansion and iPhone market share. Cook's compensation in FY2023 totaled approximately $63 million, including equity awards tied to performance.