The position of the executive director of an enterprise or LLC is considered one of the most prestigious, so most applicants strive to get it. But it is worth remembering that the director has a number of serious responsibilities. So, before accepting a tempting offer, you need to familiarize yourself with the job descriptions in order to avoid problems in the future.
What is this position?
Executive Director- this is the head of an enterprise or LLC, which reports directly to the general director, the meeting of founders. Often such specialists work at enterprises of medium and large businesses.The CEO is responsible for the actions of the company government bodies- tax, prosecutor's office, court. He is obliged to speak on behalf of the organization at various seminars, conferences and meetings, to resolve all issues with local authorities, to work with trade union organizations.
The terms of reference are determined by the charter and founding agreement. The General Director may delegate part of his duties and rights to the Director.
Job description
The job description is the main document that defines the rights and obligations of the executive director. Its content directly depends on the type of activity of the company, but at the same time, when compiling it, the management must rely on the Labor Code of the Russian Federation and other regulations in the field of labor activity.AT job description indicates:
- The procedure for the selection and appointment of the executive director.
- Candidate requirements - work experience, requirements for vocational training and education.
- Requirements for knowledge in certain areas of law, economics and business.
- Job Responsibilities executive director.
- Specialist rights.
- A responsibility.
Professional and personal qualities of the director
The profession of an executive director requires the fulfillment of a number of job obligations, on the basis of which a number of professional requirements are put forward for specialists:- Only a person who has higher education related to the economy or the profile of the company.
- He must have experience in this field, know the nuances of the work of companies of this type. Of course, often employees who have been working in the company for a considerable time are appointed executive directors, but sometimes a person from outside who worked at a similar enterprise is also taken to this position.
- Knowledge of laws and regulations related to the activities of the organization is required. This is due to the fact that he is responsible for the operation of the enterprise, including violations in the conduct of business and activities.
- The executive director must have experience in negotiating, business meetings, be able to plan the work of the enterprise.
Speaking of personal qualities, it is important to note the presence of such personality traits: purposefulness, desire for leadership, resistance to stress, discipline, analytical skills, organization.
Main responsibilities
The main responsibilities of the Executive Director include:- Control over the work of the company, its departments and branches. He is obliged to draw up plans for the development of the company, monitor their implementation. Often, the executive director has to come to check on the enterprise.
- Control over the work of employees. The executive director is obliged to draw up orders, fine or reward employees.
- Selection and approval of candidates. He has the right to entrust the conduct of interviews and selection of candidates to one of the company's specialists or the head of the department, as well as independently select personnel for further work. In addition, the executive director is also responsible for training personnel - organizing courses for them or sending employees to third-party institutions to improve their professional literacy.
- Supervision of the work of the personnel department. The executive director is obliged to check all the documentation that personnel officers draw up (starting from employment contracts and vacation schedules and ending with).
- Check the receipt of money to the account from counterparties, monitor the payment of dividends, control all expenses of the organization. If violations are found in financial sector, he is responsible for them in the same way as the chief accountant.
- Conduct business meetings, negotiations with clients, organize meetings of shareholders.
- Work with audit companies to check the work of departments.
- Provide High Quality provision of services and manufactured goods.
In most organizations, the main emphasis is on control over the execution of orders and orders, work plans, as well as on the operational development of planning.
Rights of the Executive Director
In addition to duties, the executive head has a number of rights that he can exercise.- To offer the management of the company a number of measures and innovations aimed at improving the work of the company, increasing economic efficiency.
- Distribute work among subordinates within their authority. So, the executive director can instruct to hold an action or event, collect data to analyze the work of the enterprise.
- Work with banks by opening corporate accounts.
- To perform certain actions and transactions, issue a power of attorney to company employees (for example,).
- Open new vacancies in accordance with business needs.
- Within the framework of the legislation, decide on the distribution of funds received by the organization, their spending.
- Ask for help from the CEO or other senior management.
- Require additional leave and receive all social guarantees.
A responsibility
Any managerial position provides for the onset of liability in case of violation of certain obligations, their functions as a leader. So, the head of the enterprise is responsible to the management and owners of the company for:- The quality of work of both the organization as a whole and its individual departments.
- Damage to company property. Often this is due to violations of job descriptions. responsible persons, safety equipment. In the event of force majeure circumstances, liability does not arise.
- Violations in the workplace during the presence of the General Director at work. These are safety violations, and the absence of employees in the workplace.
- The efficiency of the enterprise, which is determined by the financial well-being of the organization, its reputation.
- Making decisions that adversely affected the work of the company, its reputation.
The executive director is responsible for violations not only before CEO or the owners of the company, but also before the law. Especially if these are violations in the legislative or financial sphere of the company.
Video: Who is a CEO
You can learn more about who an executive director is, what his duties and powers are from the video. It describes in detail the specifics of the work of a specialist, the main requirements for him:
The executive director is one of the company's leaders and a key person responsible for the financial well-being of the company, planning the work of departments and branches, holding corporate meetings and events. The duties and rights of a specialist are prescribed in the job description, which the specialist must familiarize himself with when occupying a new position.
The duties of the executive director of an LLC, as a rule, are regulated by the internal regulations of the enterprise and job descriptions.
On the one hand, the position of an executive director at an enterprise is quite prestigious, on the other hand, it requires considerable responsibility and a serious approach. This work involves the performance of many functions, including control over financial condition organization and activities of staff.
The applicant for this position must be not only a highly qualified specialist, but also possess such qualities as responsibility, purposefulness, organization and, of course, stress resistance. Quite often, business owners put forward in relation to candidates such a requirement as having work experience in the managerial field.
The article provides information on the field of activity of the executive director, his duties and opportunities, as well as the assigned responsibility. In addition, you can familiarize yourself with the list of requirements for candidates for this position.
Who is the Executive Director, the scope of his activities
The presence of the post of executive director in the enterprise is not mandatory. According to the legislation, each business entity must have its own head, empowered to act in the interests and on behalf of the enterprise. This person can be either an executive or a general director. As a rule, information about the presence of a position of this kind is prescribed in the charter of the LLC.
The position of executive director is quite multifunctional. His duties and powers are fixed in the relevant job descriptions, the content of which is established by the founders of the company and depends on the production need.
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Job descriptions do not unified form Therefore, their design is at the discretion of the members of the society. Despite the lack of uniform requirements, the document must still be structured.
The structural components of instructions, as a rule, contain the following information:
- the name of the position, in accordance with the data that are recorded in the charter of the company;
- a list of requirements to be met by a candidate for the post;
- duties and powers of the executive director, responsibility for non-compliance with instructions, as well as improper performance of other obligations stipulated by the contract.
The responsibilities of the executive director are usually fixed in labor agreement or contract under which he exercises his labor activity. In addition, this information is prescribed in the statutory documents of the company.
The standard list of duties includes:
- control over the quality of operations performed by other employees, as well as over the activities of the enterprise as a whole;
- active participation in planning the work of the organization and forecasting results, development of short-term and long-term projects;
- analysis of the productivity of the entire society, as well as its structural units;
- conducting personnel policy companies;
- analysis of the provision of the enterprise with raw materials, as well as the tools necessary for doing business;
- identification and elimination of miscalculations in the work of the organization;
- personnel management.
Note! The presented list is not exhaustive and can be supplemented by the founders of the LLC if necessary.
Powers and opportunities
The main condition for the proper fulfillment of obligations is that the executive director has the necessary rights and powers.
So the executive director has the right to:
- obtaining the information necessary for the implementation of the obligations assigned to him;
- presenting to the founders of the company a requirement for the proper performance of their duties by them;
- management of subordinates, if the tasks required for execution do not contradict the job descriptions of the latter;
- submission to the founders of rationalization proposals for improving the efficiency of the enterprise;
- certify documents with his signature within the framework of the powers granted.
Degree of responsibility
In accordance with the law, in case of improper performance of obligations, the executive director may be held legally liable, namely:
- disciplinary (violation of internal regulations, job descriptions);
- administrative;
- criminal;
- civil law (causing material damage).
Requirements for candidates
Most enterprises put forward the following requirements for candidates for the position:
- education should correspond to the field of activity of the organization;
- have at least 3 years of experience in leadership positions.
Requirements relating to race, gender, and age of the applicant are contrary to applicable law, so their presentation is not applicable.
Added to site:
Job description of the executive director [name of organization, enterprise]
This job description has been developed and approved in accordance with the provisions Labor Code Russian Federation and other normative acts regulating labor relations in the Russian Federation.
1. General Provisions
1.1. The executive director belongs to the category of managers and directly reports to the general director of the organization (enterprise).
1.2. The position of executive director shall be taken by a person with a higher professional education and work experience leadership positions in the relevant industry for at least [value] years.
1.3. The executive director is accepted and dismissed from work by the decision of the [general meeting of founders or other body of the organization, enterprise].
1.4. The Executive Director must know:
Legislative and regulatory legal acts regulating the administrative, economic and financial and economic activities of an organization (enterprise), resolutions of federal, regional and local authorities state power and management that determine priority areas for the development of the economy and the relevant industry;
Methodical and normative materials other bodies related to the activities of the organization (enterprise);
Profile, specialization and features of the structure of the organization (enterprise);
Prospects for technical, economic and social development industries and organizations (enterprises);
Tax and environmental legislation;
labor law;
The procedure for compiling and agreeing on business plans for the administrative, economic and financial and economic activities of an organization (enterprise);
Market methods of managing and managing an organization (enterprise);
Basic principles and methods of forecasting;
The procedure for concluding and executing economic and financial contracts;
The procedure for the development and conclusion of labor agreements (contracts);
The procedure for the development and conclusion of sectoral tariff agreements, collective agreements and regulation of social and labor relations;
market conditions;
Scientific and technical achievements and advanced production experience in the relevant industry;
Economic and financial management of an organization (enterprise);
Organization of production and labor;
Rules for conducting inspections and documentary audits;
Fundamentals of office work;
Ethics of business communication;
Psychology of business relations;
Principles, methods of personnel management;
Strategic and marketing aspects of management;
Rules and norms of labor protection;
- [Enter what you want].
1.5. Professionally important qualities: [list qualities].
1.6. During the absence of the executive director, his duties are performed by [position, full name].
2. Job responsibilities of the employee
The Executive Director has the following responsibilities:
2.1. Management of the daily financial and economic activities of the organization (enterprise) in accordance with the constituent documents.
2.2. Organization of work and effective interaction of all structural divisions organizations (enterprises), taking measures to improve the efficiency of the organization (enterprise).
2.3. Management of all functional divisions of the organization (enterprise) through the heads of these divisions subordinate to him.
2.4. Provides:
Fulfillment of orders, orders of the higher management of the organization (enterprise);
Implementation and compliance with approved regulations, standards, instructions;
Organization of work of all departments for the implementation of approved plans;
Keeping records of the implementation of planned targets;
Checking compliance with the deadlines for the submission of reporting and other documents.
2.5. Organization of administrative and economic activities on the basis of widespread use the latest technologies, progressive forms of management and organization of labor, scientifically based standards of material, financial and labor costs.
2.6. Together with the General Director, the development and implementation, as well as the improvement of organization (enterprise) management methods.
2.7. Participation in the development of the strategy of the organization (enterprise).
2.8. Planning the needs of the organization (enterprise) in resources and tools.
2.9. Control and improvement of business processes.
2.10. Budgeting for the entire organization (enterprise).
2.11. Management of all operations of the organization (enterprise) in terms of financial control.
2.12. Carrying out regular financial and economic analysis of the organization (enterprise). Informing the results of the analysis of the higher management.
2.13. Development and construction of organizational structure.
2.14. Planning the needs of the organization (enterprise) in personnel, making decisions on the hiring and dismissal of employees.
2.15. Taking measures to provide the organization (enterprise) with qualified personnel, rational use and development of their professional knowledge and experience, creation of safe working conditions for life and health, compliance with the requirements of environmental protection legislation.
2.16. Ensuring compliance with labor and production discipline, promoting the development of labor motivation, initiative and activity of the personnel of the organization (enterprise).
2.17. Control over the development and implementation of incentive schemes for personnel, depending on the priorities of the organization (enterprise).
2.18. Ensuring the correct combination of economic and administrative management methods in discussing and resolving issues of material and moral incentives to improve performance, applying the principle of material interest and responsibility of each employee for the work entrusted to him and the results of the work of the entire team, payment wages within the stipulated time.
2.19. Representing the interests of the organization (enterprise) in public authorities and in interactions with partners.
2.20. Ensuring that the enterprise fulfills all obligations to the federal, regional and local budgets, state non-budgetary social funds, suppliers, customers and creditors, including bank institutions, as well as economic and labor agreements (contracts) and business plans.
2.21. Protection of the property interests of the organization (enterprise) in courts, public authorities and administration.
2.22. [Enter as required].
3. Worker's rights
The executive director has the right:
3.1. Make proposals to higher management to improve the work of the organization (enterprise).
3.2. Independently make decisions and organize their implementation by employees of the organization (enterprise) within their competence.
3.3. Represent the interests of the organization (enterprise) in relations with individuals and legal entities, public authorities and administration.
3.4. Act on behalf of an organization (enterprise) without a power of attorney.
3.5. Open current and other accounts in banking institutions.
3.6. Dispose of the funds and property of the organization (enterprise) in compliance with the requirements of the relevant regulations, the charter of the organization (enterprise).
3.7. Conclude employment contracts (contracts).
3.8. Issue powers of attorney for civil law transactions, representation, etc.
3.9. Require the management of the enterprise to assist in the performance of its professional duties and exercise of rights.
3.10. For an additional vacation to the main one.
3.11. For all social guarantees provided for by law.
3.12. Other rights provided for by labor legislation.
4. Responsibility of the employee
The Executive Director is responsible for:
4.1. For failure to perform or improper performance of their official duties provided for by this job description - to the extent determined by the current labor legislation of the Russian Federation.
4.2. For causing material damage to the employer - within the limits determined by the current labor and civil legislation of the Russian Federation.
4.3. For offenses committed in the course of carrying out their activities - within the limits determined by the current administrative, criminal, civil legislation of the Russian Federation.
4.4. The executive director is personally responsible for the consequences of his decisions that go beyond his powers established by the current legislation, the Charter of the organization (enterprise), other regulatory legal acts, as well as: - for the results of the organization (enterprise);
For untimely or unreliable provision of information on the implementation of work plans by departments of the organization (enterprise);
for daily management and further development of the organization (enterprise);
For budgeting, for profit and loss both for the entire organization (enterprise) and for specific projects;
For failure to ensure compliance by employees of subordinate departments labor discipline.
4.5. [Enter as required].
Head of Human Resources
[initials, last name]
[signature]
[day month Year]
Agreed:
Head of the legal department
[initials, last name]
[signature]
[day month Year]
Familiarized with the instructions:
[initials, last name]
[signature]
[day month Year]
Most often, when they see signs with the inscriptions “general director”, “executive director” or “chairman of the board of directors”, people think that this is “anyway”, and “general” for solidity. Unfortunately, sometimes even start-up entrepreneurs who draw up the charter, for example, companies with limited liability do not know how an executive director differs from a general director.
In fact, there are differences and they are quite significant. In order not to look misunderstood (or even worse, funny), you need to know this difference in order to correctly name the corresponding position. Sometimes there are smile-inducing positions, such as CEO.
Before defining the difference between a CEO and an executive, let's look at what they have in common. First, both lead a team of subordinates. Secondly, both are accountable to a higher authority, and also bear responsibility to it. Finally, thirdly, both can be appointed and removed from office by the owner of the enterprise. Appointment and dismissal procedures are usually clearly written in the company's charter, contract, job description.
CEO
The phrase "general director" implies that there is a "director" in his subordination. Structure large enterprises often provides for the positions of financial director, director of personnel, production, and so on. In this case, the head of the enterprise (company, organization) is the general director who heads the management of the company. It is he who is responsible for the activities of the entire organization. His position is fixed by an order that establishes the structure of the enterprise, as well as functional responsibilities top managers assigned to him.
The terms of reference of the CEO are described in more detail in his job description and contract. When a large diversified enterprise is established, this position is fixed by the charter.
When establishing a limited liability company, the supreme body is general meeting participants. Russian legislation quite broadly interprets the name of the participants in the company who have a share in statutory fund.
Read also: Customer Service Manager Job Description
They may be referred to as founders, members or directors. In the latter case, the chairman of the meeting (sometimes it is the member of the company with the largest share in the authorized capital) is called the general director. However, in this case, he is not responsible for operational management organization. Sometimes the board of founders, headed by the chairman of the board, approves the general director for the operational management of the company.
The CEO is fully responsible for:
- financial condition of the enterprise/organization entrusted to him;
- development of the enterprise, increase in sales/revenues, profits;
- compliance of the structure of the enterprise with its profile of activity, development program;
- representation of the interests of the enterprise, interaction with commercial organizations, state bodies;
- compliance with the law;
- maintaining an effective personnel policy, especially among the middle management;
- development and adjustment of plans for the development of the enterprise;
- reduction of non-production costs;
- efficient use of enterprise assets.
In more detail, the rights and obligations of the general are described in his contract ( employment contract), as well as in the job description. These documents must be necessarily coordinated (approved) by the owner of the enterprise or an authorized body.
Executive Director
The executive director can manage the enterprise, both as a whole and its individual divisions. It all depends on the size of the organization, its functions and purpose. Let's consider such situations in more detail.
In the event that the general director heads the board of participants (founders) of a limited liability company, then the operational activities of the enterprise are managed by the executive director. That is both the general director and the executive director are responsible to the owner. The difference in this case is not significant, but lies in the legal wordings fixed by the constituent documents.
In the case of a large structured enterprise, there are significant differences between the CEO and the CEO. Let's consider this using the example of an enterprise that is headed by a general director, and along with other directors, there is a production director in his subordination. The latter is not responsible for:
- the financial position of the enterprise as a whole;
- correct payment of taxes, financial discipline;
- conducting accounting, legal support activities of the organization;
- mistakes in conducting marketing policy, raw material supply;
- use of the organization's assets;
- for the development of internal acts, the structure of the organization;
- for interaction with self-government bodies and federal authorities.
The main focus of job responsibilities executive director is done to control the execution (orders, orders, instructions) and operational planning. In addition, in the job description of the executive director (as in other job descriptions of managers), special attention is paid not only to duties, but also to rights. This principle is also consistent with our proposed sample job description of the executive director.
Job description of the executive director
APPROVE
CEO
Surname I.O. ________________
"________"_____________ ____ G.
1. General Provisions
1.1. The executive director belongs to the category of managers.
1.2. The executive director is appointed to the position and dismissed by the order of the general director.
1.3. The Executive Director reports directly to the General Director.
1.4. During the absence of the executive director, his rights and obligations are transferred to another official, which is announced in the order for the organization.
1.5. A person who meets the following requirements is appointed to the position of executive director: higher professional education, work experience managerial work in the relevant field for at least 3 years.
1.6. The Executive Director must know:
- fundamentals of civil, commercial, financial, tax law;
- labor legislation;
- structure and development strategy of the company;
- forms and procedure for financial settlements, the procedure for processing financial transactions, organization of workflow in commercial activities.
1.7. The Executive Director is guided in his activities by:
- legislative acts of the Russian Federation;
- Charter of the organization, Rules of internal work schedule, other regulations of the company;
- orders and directives of the management;
- this job description.
2. Responsibilities of the Executive Director
The Executive Director performs the following job responsibilities:
3.1. Organizes the work and effective interaction of production units and structural divisions of the company.
3.2. Participates in the development of the company's development strategy.
3.3. Conducts operational financial and economic analysis activities of the company and divisions.
3.4. Organizes, monitors and is responsible for the implementation of all orders of the General Director.
3.5. Works on improving the system of motivation (remuneration) of the company's employees and is responsible for its implementation.
3.6. Responsible for compliance with labor discipline, execution of orders and orders.
3.7. Responsible for the proper organization of office work in the company, legal and economic development of agreements, contracts, agreements, etc.
3.8. Draws up operational plans (monthly and ten-day) of the company and approves them with the CEO.
3.9. Controls the activities of units to implement the approved plans.
3.10. Identifies and eliminates shortcomings in the work of the company independently and with the management.
3.11. Performs individual official tasks and assignments of the General Director.
3. Rights of the Executive Director
The executive director has the right:
3.1. Represent the interests of the company in relations with other organizations within its competence.
3.2. Within the limits of his competence, sign and endorse documents, issue orders under his signature.
3.3. Establish job responsibilities for subordinate employees.
3.4. Request from the structural divisions of the enterprise information and documents necessary for the performance of his duties.
3.5. Submit for consideration by the head of the enterprise submissions on the appointment, transfer and dismissal of subordinate employees, proposals for encouraging distinguished employees and for bringing to disciplinary and financial responsibility violators of production, labor and financial discipline.
3.6. Submit proposals for improvement of the work related to the responsibilities provided for in this instruction for consideration by the management.
3.7. Require the management of the enterprise to ensure the organizational and technical conditions and execution of the established documents necessary for the performance of official duties.
4. Responsibility of the Executive Director
The Executive Director is responsible for:
4.1. For non-performance and / or untimely, negligent performance of their duties.
4.2. For non-compliance current instructions, orders and instructions for the preservation of trade secrets and confidential information.
4.3. For violation of the internal labor regulations, labor discipline, safety and fire safety rules.
