What is an Interim CEO?

An interim CEO is a person appointed by the board of directors assume the role of chief executive officer during a transition period or following the abrupt departure of the company’s former CEO.

These CEOs are tagged with the “interim” label because they have not officially received the title of full-time CEO; however, they take full responsibility for the CEO role while he holds the position.

Interim CEOs are often called upon to “steady the ship” in times of great turmoil. Most often, an interim CEO is hired by a company’s board of directors or shareholders. Compensation for interim CEOs will most likely be similar to that of a regular full-time position. CEO salary and benefits.

Key points to remember

  • An interim CEO is often appointed when a company unexpectedly loses its CEO.
  • A CEO is a company’s top executive and is often the public face of the company.
  • The duties of an interim CEO (or full-time CEO) include liaising between company operations and its shareholders and its board of directors, managing major company actions and even daily operations of small businesses.
  • CEOs can serve on a company’s board of directors, but not interim CEOs, depending on the circumstances.

How an interim CEO works

Although traditionally companies call from their existing employee base when hiring an interim CEO, companies can bring in interim CEOs from outside the company.

An interim CEO often performs the same duties as a CEO. They are responsible for the large-scale, day-to-day running of a business or business, especially in small enterprises.

One reason for this is that the skills sought for interim CEOs are usually unique, as they are often called upon to manage a crisis, as opposed to day-to-day business operations. A CEO is responsible for hiring staff and will pay particular attention to hiring management positions. A CEO also manages the financial decisions of the company.

An interim CEO may be appointed by a company’s board of directors to take on the role of chief executive officer when a company faces a public relations disaster.

Sometimes an interim CEO remains in place and other times they pass after a full-time CEO has been identified and hired. A president of a company normally ranks below the position of CEO, but sometimes, depending on the size and type of company, the roles of CEO and president will be in the same position.

Concrete example

A recent example of an interim CEO taking over a company was after from Equifax major data breach in September 2017. Richard Smith, CEO of Equifax, who resigned in September 2017 over criticism of his handling of a major cyber attack, was replaced by Paulino do Rego Barros Jr., who immediately took an apology for the data breach. and the introduction of ways to help those affected. He held this position until January 2020.

What is the difference between an interim CEO and an interim CEO?

Generally, an interim CEO is one who is CEO for a set period of time. An interim CEO can be appointed CEO for various reasons with a fixed term and after the expiration date, he is no longer CEO. An interim CEO is one who assumes the position of CEO for an indefinite period of time; usually until a new CEO is appointed.

Which title is superior to CEO?

Chairman of the board is a higher title than CEO. A president can hire, fire and evaluate a CEO. A CEO is the highest position in a company’s operational structure; however, a board can decide who the CEO is, and therefore the chairman, who leads the board, has power over the CEO.

How long do interim CEOs last?

Interim CEOs can last for different lengths depending on the company; usually, however, they do not last long. Interim CEOs are appointed for the time it takes to find another CEO, and that can usually be done fairly quickly. Companies usually have a short list of people they would like to approach as CEO, so after negotiations a new CEO can start quite quickly after an interim CEO takes the job.

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