
What it Takes to Be a Chief Executive Officer in 2025
To lead at the highest level, you must understand what being a chief executive officer truly demands. In today’s fast-paced business world, the CEO plays a pivotal role in shaping strategy, driving innovation, and delivering long-term value. If you aspire to this top leadership role, you must prepare to embrace complexity, lead digital transformation, and inspire diverse teams—all while keeping your organization agile and competitive.
This article explores what it means to be a chief executive officer, from responsibilities and reporting structures to the evolving path to leadership. It also highlights how forward-thinking CEOs use AI to enhance decision-making and drive growth.
What is a CEO (chief executive officer)?
The chief executive officer is the highest-ranking executive in a company, and is responsible for setting the strategic direction and ensuring the organization meets its goals. You act as the public face of the company, align stakeholders, and guide the executive team.
Your role as a CEO is not just to manage—it is to lead with purpose. You make high-impact decisions that affect the company’s culture, operations, and financial health. In many organizations, you are also accountable to the board of directors and serve as a critical link between corporate governance and operational execution.
Whether in a multinational firm or a high-growth startup, the influence of the chief executive officer extends across every function, making this position one of extraordinary responsibility and opportunity.
CEO roles and responsibilities
As a chief executive officer, your responsibilities go far beyond overseeing daily operations. You define the vision and mission, communicate them across all levels, and create strategies that turn goals into measurable outcomes.
Key responsibilities include:
- Strategic leadership: Set long-term goals, monitor industry trends, and ensure strategic alignment across departments.
- Organizational management: Supervise executive leaders, set performance standards, and guide operational decisions.
- Stakeholder communication: Engage with investors, board members, employees, and external stakeholders.
- Cultural leadership: Shape and maintain company values, ethics, and workplace culture.
- Risk and change management: Anticipate market disruptions and lead the organization through digital or structural transformation.
Every action you take as a chief executive officer should move the company closer to its goals, while staying resilient in an unpredictable marketplace.
Which roles report directly to the CEO?
As CEO, you oversee the company’s executive leadership team, which includes key officers responsible for business-critical functions. You must guide and align their efforts to ensure seamless execution of the company’s strategy.
Typical direct reports to the CEO include:
Chief Financial Officer (CFO): Manages budgeting, forecasting, and overall financial performance.
Chief Operating Officer (COO): Oversees internal operations and ensures process efficiency.
Chief Technology Officer (CTO) or Chief Information Officer (CIO): Leads technology and innovation.
Chief Marketing Officer (CMO): Drives brand strategy and customer engagement.
Chief Human Resources Officer (CHRO): Shapes talent acquisition, development, and retention.
Each of these leaders brings domain expertise, but as CEO, you must unify them under a shared vision, holding them accountable for collective success.
Career path to become a CEO
To rise to the position of chief executive officer, you must build a diverse portfolio of skills, experiences, and leadership achievements. Most CEOs begin their careers in functional roles such as finance, operations, or marketing before transitioning into general management or C-suite positions.
To accelerate your path to CEO:
- Gain cross-functional experience and lead major business initiatives.
- Build expertise in strategy, finance, and technology.
- Develop your leadership presence and communication skills.
- Take on P&L responsibilities and demonstrate consistent results.
- Pursue advanced learning, such as an executive education program tailored to business leadership.
Some of the programs designed for leaders and change-makers are:
MIT Professional Education Technology Leadership Program
The MIT Professional Education Technology Leadership Program is built for ambitious leaders ready to drive innovation and scale digital transformation in their organizations. This high-impact, multi-modular program combines the rigor of in-person learning at MIT’s iconic Cambridge campus with the flexibility of live virtual sessions. Under the guidance of world-renowned MIT faculty, you will explore the intersection of technology, strategy, and leadership to unlock the full potential of emerging technologies like AI.
Key program highlights:
- Faculty-led learning: Engage with top MIT faculty through a powerful combination of on-campus modules and interactive virtual sessions.
- Strategic leadership focus: Master leadership frameworks and proven strategies to embed digital technologies into core business operations.
- Innovation and impact: Learn to identify, implement, and scale innovation initiatives that deliver tangible business value across industries.
Global Health Care Leaders Program from Harvard Medical School Executive Education
The Global Health Care Leaders Program (GHLP) by Harvard Medical School Executive Education is a groundbreaking multi-modular experience designed for senior healthcare professionals seeking to lead with vision and impact. Guided by renowned Harvard faculty and leading industry experts, the program empowers you to navigate complex health systems, manage multidisciplinary teams, and drive strategic transformation across the healthcare landscape. Combining immersive in-person modules with dynamic virtual sessions, GHLP delivers a truly global and interactive learning journey.
Program highlights:
- Experience a hybrid format that blends on-campus learning at Harvard with live virtual sessions for maximum flexibility and engagement.
- Gain the tools to lead successful change management initiatives and build high-performing, empowered teams.
- Develop innovation-driven leadership skills, from strategic ideation to real-world implementation, to shape the future of healthcare.
Duke Advanced Leadership Program in Health Sector
The Duke Advanced Leadership Program in Health Sector is an intensive 8-month multi-modular journey crafted for healthcare professionals who aim to lead transformative change in a fast-evolving industry. Delivered in partnership between Duke University’s Fuqua School of Business and the Duke University School of Medicine, the program offers a powerful blend of business acumen and healthcare expertise. You will engage with faculty from both schools, gaining actionable insights, strategic frameworks, and leadership capabilities to drive innovation and impact.
Why choose this program:
- Specifically designed for healthcare leaders ready to lead innovation and navigate industry transformation.
- Learn to shape a forward-looking strategic vision to achieve and sustain competitive advantage in healthcare.
- Build and apply growth strategies by understanding and leveraging key healthcare value drivers in a global context.
Experience matters—but so does how you prepare yourself to lead in a complex, digital-first world. Top-performing CEOs continually adapt, learn, and push boundaries to stay relevant.
How AI implementation can help CEOs in better business outcomes
As a chief executive officer, you must embrace technology to drive growth and improve decision-making. Artificial intelligence (AI) has become a powerful tool to gain deeper insights, automate processes, and anticipate customer needs.
Ways AI supports CEO-level decision-making:
- Predictive analytics: Make informed strategic choices based on real-time data.
- Process optimization: Use AI to reduce inefficiencies in supply chain, HR, and finance.
- Customer intelligence: Leverage AI to understand market shifts and personalize offerings.
- Risk mitigation: Identify and respond to potential threats faster than traditional methods.
- Talent management: Use machine learning to improve hiring, retention, and performance evaluation.
Integrating AI into your leadership approach enables smarter decisions and sharper execution. As a chief executive officer, you must lead this transformation and ensure your organization stays competitive.
Conclusion
Being a chief executive officer requires more than vision—it demands strategic insight, technological fluency, and unwavering leadership. From managing complex operations to steering digital transformation, your role shapes the organization’s culture, performance, and long-term value.
To thrive in this position, you must build a wide-ranging skill set and surround yourself with leaders who support your strategic goals. Investing in an executive education program is a powerful way to accelerate your leadership readiness. Trusted executive education platforms offer access to world-class programs that help high-potential leaders like you take the next bold step in your career.
Your journey to becoming an exceptional CEO starts with understanding the role—and preparing to lead it with confidence.
FAQs
Not always. While founders often serve as CEOs, a CEO can be appointed by a company’s board of directors and may not own any equity. Ownership and executive leadership are distinct roles, although they sometimes overlap.
The CEO holds the highest-ranking executive role in the company. The CFO and COO are typically part of the executive leadership team and report directly to the CEO, each focusing on finance and operations, respectively.
CEO compensation varies widely depending on company size, industry, and performance. In the United States, the average CEO salary for large public companies ranges from $496,864 to over $1 million, excluding bonuses, stock options, and incentives, which can significantly increase total earnings.