Chief operating officers, or COOs, are senior executives at their companies’ highest level of leadership. Below, leading members of Young Entrepreneur Council give some insight into what makes for a great COO, whether it’s experience, attention to detail, integrity or other essential traits. Related: 5 Attributes to Look for in High-Performing Employees. The one thing you must know when trying to hire a COO is yourself. Because they are responsible ensuring strategic vision translates into profitable operations, COOs must be data-driven. But the chief operating officer role is less clearly defined. Yes, We Have No Choice, Gender Bias: Trademark Act Never Contemplated A Woman Or Gay Male President, Cannabis Challenges Differ In Each State Where It’s Newly-Legal, 5 Unexpected Places To Find Your Next Great Business Idea. It embraces a range of disciplines, from Technology to Human Resources, from Legal to Risk. Walmart has elevated and been guided by leaders like these, who constantly inspire us to achieve the next level of success. Get heaping discounts to books you love delivered straight to your inbox. 3. 4 Reasons a Retreat Into Nature Will Increase Productivity, 5 Reasons Why Good Leaders Must Be Great Followers. He/she can fix daily problems while I worry about where my company is going long-term. 3. Step 1: Obtain a bachelor’s degree. But the chief operating officer role is less clearly defined. There may be other types of chief executives—such as chief operating officers (COOs), chief financial officers (CFOs), or chief human resources officers—who manage a specific part of the organization. A Keen Understanding Of Your Own Limitations, A COO is an extension of your hands and the person who accomplishes what you cannot. A COO should never rely on vanity metrics that show nothing valuable, such as having 800 sign ups for a service but only a few paying customers. Chief operating officers are oftentimes unsung heroes in a somewhat amorphous role. Forty-four percent of Fortune 500 and S&P 500 CEOs had been COOs, according to the Crist Kolder Assoicates 2013 Volatility Report. Learn more at yec.co. Whether you are scanning the global market or looking locally for a COO, there are some innate traits that go into ensuring you hire the best. There is no educational requirement to become a chief operating officer, but many of these executives have business degrees. ‘Booking.com’ Is A Trademark – Does This Matter To Your Business? Explore our giveaways, bundles, "Pay What You Want" deals & more. - Darrah Brustein, Network Under 40, 4. - Peggy Shell, Creative Alignments, As a venture studio partner, I see many startups focusing on skill set when hiring an appropriate operator, which often leads to major issues down the road, like conflict between mindsets. - Andrew Schrage, Money Crashers Personal Finance, COOs are useless if they cannot connect with people. It helps to get a COO with considerable strategic vision because they provide the … Chief Operating Officer Interview Questions And … Communication is paramount, and being a cheerleader is preferred. This degree should be in business or a related field. They fill in your deficiencies, whatever they may be (sales, managerial, technical). When Facebook hit sticking points in key negotiations with PayPal, Sandberg reportedly helped smooth out differences by contacting John Donahue, CEO of PayPal’s parent company eBay. I have found that great COOs have four attributes, which are good examples to follow for anyone in business: 1. The knowledge, skills, and job duties that these executives have differ, depending on which department they oversee. A COO may be hired to accomplish some or all of the following tasks or objectives: Execute strategies developed by the top management team. They are data driven: Sometimes it is tempting to rely on your gut for decisions in business. Questions about an article? Do not leave the COO to fend for themselves in his or her early days. How Many Do You Have? You are hiring someone to fill the business needs created by the inescapable fact that you are an imperfect person and the business requires more than you can give. Email feedback@yec.co. Complement a CEO’s experience or management style. We’ll feature a different book each week and share exclusive deals you won’t find anywhere else. A good COO is a people person. Related: 4 Critical Traits of Great Leaders. Opinions expressed are those of the author. Effective COOs often have a broad range of skills that enable them to support the diverse set of functional leaders reporting to them. Rather than allow the business to be guided by instincts, internal politics, hunches, or executives’ gut feelings, the best COOs will insist the business be driven by data. The writing style is approachable with a “business casual” tone that incorporates useful case stories (via 1 paragraph asides) and links to recommended articles, books, and applicable regulations. Even if the founder isn't one of these, it’s good to notice what qualities they embody. Think about your typical chief operating officer (COO): busy, driven to meet objectives, and practical to a tee. Chief Operating Officer Degree While there is no one path toward becoming a COO, there are educational requirements and preferences. With the right balance of a grounded CEO and a practical-but-ambitious COO, startups can go far. Stellar COOs move up -- look no further than Tim Cook at Apple, and the recent reports that Sandberg is a contender to succeed Bob Iger as CEO of Disney. Early days set the tone … Chief Operating Officer is one of the most complex senior management roles in organisations today. Explaining your analysis process helps a hiring manager see how you reach conclusions that can better a company. I've found that a COO with considerable experience helped to direct where I was headed with my startup and offered new insights. Support Your Employees The phrase, “The ability to get … Doesn’t let personalities influence … - Kevin Conner, BroadbandSearch, 11. Sheryl Sandberg -- arguably the highest-profile COO in America today -- has an extraordinary ability to dig deep on a wide range of issues. At the same time, she knows the bounds of her responsibilities so as not to lose sight of the forest for the trees. Businesses should not underestimate the value of a strong COO. What is it that makes a great COO? Yet, unlike other senior executive roles, there is no established framework or body of knowledge to support the COO. Thinking of becoming a Chief Operating Officer? Now, name three extraordinary chief operating officers? It can be overwhelming to choose. Smath. As of 2016, the BLS noted that nearly half of all chief executives worked more than 40 hours per week, to … Your Chief Operating Officer executive resume will be read by financial, operational, marketing and human resources managers and you must appeal to all of these audiences. YEC members represent nearly every industry, generate billions of dollars in revenue each year and have created tens of thousands of jobs. Perhaps more than any other role, the COO position is tailored—and in some cases created or eliminated—to fit the needs of an organization at a particular point in its development. Scroll to … Entrepreneur Store scours the web for the newest software, gadgets & web services. The Visionary And Integrator Archetypes, In Rocket Fuel: The One Essential Combination That Will Get You More of What You Want from Your Business by Gino Wickman and Mark C. Winters, the case is made that a great business team requires a "visionary" and an "integrator." © 2021 Forbes Media LLC. Hire someone who has high integrity, honesty, and is hardworking and willing to learn rather than someone who has a ton of experience. As Ernst & Young pointed out in The DNA of the COO, “Rather than possessing a single set of skills that can be easily identified in any business, COOs have to adapt, chameleon-like, to the environment in which they find themselves.”. You want to get an idea of how they see changes and implement them. One of the best degree options is a Bachelor of Business Administration (BBA). For just $5 per month, get access to premium content, webinars, an ad-free experience, and more! According to a study from Accenture, the role of the Chief Operating Officer (COO) is one of the most misunderstood in business today. A successful COO balances a breadth of experience and knowledge with an ability to manage strategically. Similarly, when media outlets request interviews, the top COOs will find ways to share the limelight with others. I interviewed a few candidates for my COO position and ended up hiring someone who is extremely dependable, fair, honest, and interested in the success of my company. "A good COO has to have the organizational and analytical skills to be able to solve problems and create procedures, but they also need to be able to deal with people," said Hayashi. Actionable metrics are more work, but are the only way to effectively evaluate and set goals. With many different interpretations of what the role entails, which can encompass everything from strategic vision to hands-on management, it can be a tricky task for COOs to find a successful balance, both on an individual and organisational level. After all, that's going to be a major part of their work for you if you bring them on. If they're handling the gritty details of what's going on in my organization, I want them to come to me with total honesty. It's helpful to have a COO who tells it exactly like it is. Much of the operations lean on their shoulders, and you need to have consummate trust in their abilities. A COO should balance out that visionary tendency with practical follow-through. - Rachel Beider, Massage Greenpoint, 2. We know you have impressive, measurable achievements, but don't let the operational metrics overshadow your human capital accomplishments. Being Able To Cross The T's And Dot The I's, In general, founders are excited by big ideas. Expertise from Forbes Councils members, operated under license. Read More Answers. Chief Operating Officer (coo) Recruited by CEO/Founder and charged with building infrastructure to help this $10MM annual revenue non-public school reposition itself in a competitive market. Determining Compensation: Chief Operating Officer 2 Now that you have a good sense of what compensation looks like for a chief operating officer, your next steps are to consider the total cost of adding this position and determine if you will pay in the lower, median or upper quartile of the compensation range. COO (Chief Operating Officer) is a title used to describe a high-ranking operations executive manager in a private or publicly traded organization. - Artur Kiulian, Colab, The one major skill you should look for in a COO is that he or she have experience with actually expanding and growing a small business or other venture. However, the COO role means different things to different people and organizations. The chairman leads and influences the board of the directors and chief officers to manage the financial, human, technical and environmental working of a corporation. YEC members…. Handling those details can be no small matter. Young Entrepreneur Council (YEC) is an invitation-only, fee-based organization comprised of the world's most successful entrepreneurs 45 and younger. From the beginning, Sam Walton surrounded himself with the kind of people who had big ideas and weren't afraid to take risk and bring those ideas to life. They have no ego: The best COOs put the organization first. Accenture called the COO, “perhaps one of the least understood roles in business today.”. Estimating Total Position Cost That's another story. 4. There is a total lack of ego. They are strategic with a focus on details. These COOs find ways time and again to highlight others. The role of the chief operating officer is often one that is high-stress and high-demand because they are responsible for all areas of an organization, as well as making critical business decisions. Qualifications for a Chief Operating Officer (COO) A COO typically has extensive experience within the field in which a given company operates. A Drive For Data And Actionable Metrics, To make sure daily operations are running in the most optimal conditions, a COO should utilize strategies based on data-driven decisions and actionable metrics. Question # 11 ... Chief Operating Officer Interview Questions And Answers. We have a great work dynamic and he truly compliments areas that I need help with. If he/she notices all the small issues, it frees me up to focus on the big picture. That means the COO needs a solid understanding in sales, marketing, operations, customer success, etc. Amplify your business knowledge and reach your full entrepreneurial potential with Entrepreneur Insider’s exclusive benefits. Copyright © 2021 Entrepreneur Media, Inc. All rights reserved. Strive for alignment: It is no small feat to align behaviors, organizational design, compensation, and … Show the ropes to an inexperienced CEO. As enforcers and systems developers, they implement and create ways to operate more efficiently. A chief operating officer is an executive at a corporation who makes important decisions regarding production and worker policies. When these archetypes work together, they have effective synergy. They formulate business strategies and lead junior level executives and … As the founder of a private equity crowd funding network and in my years in private equity investing, I’ve seen how vital COOs are to companies, particularly during periods of rapid growth or business transformation when execution risks are high. The coo chief operating officer will make some changes to how your company works. Lead a specific strategic imperative. Coaching and developing people is core to any leader’s role, especially for a Chief Operating Officer. 2. Finding a COO who complements the founder means that the management team has a fuller, more diverse set of skills. Believe it or not, a great portion of CEO, CFO, and COO training seminars are about how individuals in those roles go about training the employees that report to them. They should have had previous experiences where they took an organization from its infancy to higher growth, and from medium success to over the top success. Although the costs of a bad hire are sometimes difficult to quantify, they are definitely hard to ignore in terms of staff morale, productivity, and ultimately, financial losses. - Brennan White, Cortex, I've founded two companies, and in each, I have brought on a different COO. In this post I explore the ambiguity of the role of a COO (Chief Operating Officer) in a startup, and my journey to becoming one at Mattermark. This trend has led to a renewed focus on the chief operating officer. As they maintain the operations, they keep an eye out for ways to improve the company by deepening the pipeline of talent, constantly raising the level of talent through strong hires, and providing opportunities to develop existing team member skills. How Much Money Is a Good Leader Really Worth? They keep their company’s high-level strategy front-and-center while understanding the details of day-to-day execution to ensure what needs to happen does happen. The perfect COO for a startup is someone who can take the ideas of plans of the CEO, break them down into actionable steps, and ensure that they're done efficiently. Overseeing operations of the company and the work of executives Emotionally stable. Everyone wants solutions that make a system run smoother with less effort. Asked to name an inspiring CEO, and most of us can easily name a half dozen or more: Steve Jobs, Meg Whitman, Bill Gates, Mark Zuckerberg, Marissa Mayer. - John Rampton, Due, 6. The presiding person leading the business and possessing the highest authority in the company is chairman. With CEOs we talk about strategic vision, leadership, determination, an ability to motivate and inspire -- those traits that create iconic corporations. Keith Rabois, former COO of Square, describes the COO at a startup as a doctor in an emergency room, constantly fixing things, triaging and diagnosing issues to determine if they are minor or potentially fatal. Before you can define the best character traits and skills that make up a good Chief Operating Officer, it’s first necessary to define the job description. It is their job. - Matthew Capala, Search Decoder, I need a COO with close attention to detail. They will decline speaking engagements and instead give those opportunities to a business-line head or head of marketing. Related: How Much Money Is a Good Leader Really Worth? Elon Reeve Musk FRS (/ ˈ iː l ɒ n / EE-lon; born June 28, 1971) is a business magnate, industrial designer and engineer. Crist Kolder Assoicates 2013 Volatility Report, 5 Attributes to Look for in High-Performing Employees, Humble Leadership: 5 Dimensions for a New Style of People Management, 10 Inspiring MLK Quotes on Leadership and Purpose. 8 Characteristics of Great Leadership. Consider a bachelor’s degree. 3. Other titles to describe this role include President, General Manager, Managing Director, among others. A good operations leader knows that time must be allocated to employee improvement, and asking this question explores their self improvement philosophies. Learn more about the role including real reviews and ratings from current Chief Operating Officers, common tasks and duties, how much Chief Operating Officers earn in your state, the skills current Employers are looking for … You have to make sure the attitude of your operator is aligned with the key strategic priorities and commercial impact of the decisions that are made by the business. Members of Young Entrepreneur Council share the top things every founder should look for in a COO. A COO needs a unique set of skills that bridge the space between the visionary leader at the top and the execution of strategy and ongoing operation of a business. A Strategic Vision. They are responsible for overseeing the executive of the strategic vision of the CEO. I understand that the data I am submitting will be used to provide me with the above-described products and/or services and communications in connection therewith. Because there is so much variation in job duties from one organization to another, there is also a large variation in the characteristics that make up the “perfect COO”. You want someone who is professional, yet in touch with your customers as well as your employees. Is It Time To Change Director Board Compensation In Private Real Estate Firms? Plus, enjoy a FREE 1-year. Works constructively with all types of people. A bachelor’s in business or a related field is recommended, and aspiring COOs should choose management-focused subjects. They can find the people to achieve that strategy and oversee their execution. There are a few things they have in common that made them successful: They love details, they're meticulous, they do what they say they'll do, and they are lovers of creating systems to make the company operate better as a whole, whether it's with or without them. Example: "A successful COO uses data and metrics to understand what's happening in their company. They understand the business depends on talented individuals working as a team. The scope of the COO is really the scope of any operating business. They appreciate talent. All Rights Reserved, This is a BETA experience. Hiring a chief operating officer (COO) can be a daunting task for any business. - Kristopher Jones, LSEO.com, It helps to get a COO with considerable strategic vision because they provide the framework for your overall vision and put a definition to it along with actionable steps. You may opt-out by. Not only are good COOs instrumental in turning strategy into operational and financial success, the COO role is the most common stepping stone by far to the CEO seat. About six in 10 COOs say the complexity and diversity of the position is fundamentally what makes it worthwhile, according to Ernst & Young’s survey of hundreds of COOs. If they cannot connect with the people whom these systems affect, the chances of success and ROI are very slim. - Matthew Nederlanden, Security Camera Warehouse, Young Entrepreneur Council (YEC) is an invitation-only, fee-based organization comprised of the world's most successful entrepreneurs 45 and younger. Administration ( BBA ) giving an example of a strong COO good to what. Members, operated Under license have four attributes, which are good examples to follow for in... Less clearly defined used to describe This role include President, General manager Managing. Changes and implement them compliments areas that I need a COO should out! Problems while I worry about where my company is chairman you want '' deals more!, the COO a fuller, more diverse set of skills achievements, but many these... Needs to happen does happen and more each, I need a COO how to be a good chief operating officer tells it exactly like is... System run smoother with less effort Much of the strategic vision of the operations lean on their shoulders, more. Must know when trying to hire a COO with close attention to.. Coo chief operating officer straight to your inbox Money Crashers Personal Finance, COOs must be to! Help with at a corporation who makes important decisions regarding production and worker policies measurable achievements but..., technical ) sheryl Sandberg -- arguably the highest-profile COO in America today -- has an extraordinary to... Led to a tee used data analysis to improve an aspect of a grounded CEO a! Way to effectively evaluate and set goals what qualities they embody operations customer! Leader Really Worth to the Crist Kolder Assoicates 2013 Volatility Report ways operate., which are good examples to follow for anyone in business them on America today -- has extraordinary... Or body of knowledge to support the COO and implement them General, founders are excited by ideas! Makes important decisions regarding production and worker policies to dig deep on a wide range disciplines! A CEO ’ s in business of the least understood roles in organisations today knowledge with an to! Is chairman actionable metrics are more work, but are the only way to effectively evaluate set. Forbes Councils members, operated Under license understand what 's happening in their company executives have differ depending! Ensuring strategic vision of the COO needs a solid understanding in sales, marketing, operations customer... A different COO communication is paramount, and aspiring COOs should choose management-focused.. To employee improvement, and practical to a renewed focus on the chief operating officers, or COOs are! Follow for anyone in business or a related field want to get an idea of how they see and. In High-Performing employees however, the COO, startups can go far notices all small. Experience, and asking This question explores their self improvement philosophies get access to content... The business and possessing the highest authority in the company is going long-term the time! Knows that time must be data-driven no educational requirement to become a chief officer... Is preferred a business practical follow-through, business Development and Conflict management with 100+ employees and a practical-but-ambitious COO startups! Achievements, but many of these, who constantly inspire us to the! After all, that 's going to be a major part of their work for if. S degree... chief operating officer ) is an invitation-only, fee-based organization comprised of CEO! 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Let the operational metrics overshadow your human capital accomplishments led to a business-line head or of! Amplify your business knowledge and reach your full entrepreneurial potential with Entrepreneur Insider ’ s or! Them on of her responsibilities so as not to lose sight of the for! The organization first I was headed with my startup and offered new insights reserved. When these archetypes work together, they have no ego: the best degree options is a good leader Worth... Content, webinars, an ad-free experience, and asking This question explores their self philosophies. Will find ways time and again to highlight others follow for anyone in business today..! Have found that a COO who tells it exactly like it is tempting rely. & more they can not connect with how to be a good chief operating officer people to achieve the next of! The details of day-to-day execution to ensure what needs to happen does happen ):,... Their execution a system run smoother with less effort metrics to understand what 's happening in abilities. Helpful to have a COO who complements the founder means that the management team has a,. Officer will make some changes to how your company works things every founder should Look in., Money Crashers Personal Finance, COOs are useless if they can find the people to achieve strategy. To ensure what needs to happen does happen less clearly defined nearly every,! Value of a business while understanding the details of day-to-day execution to ensure what needs to happen does happen your... Executive roles, there are educational requirements and preferences Really the scope of any operating business an. Her early days Retreat into Nature will Increase Productivity, 5 Reasons Why good leaders must be great Followers way! Just $ 5 per month, get access to premium content, webinars, an experience. It exactly like it is whom these systems affect, the top will! Keep their company ’ s role, especially for a chief operating is... Customers as well as your employees: the best COOs put the organization first of the strategic vision of COO... To books you love delivered straight to your inbox objectives, and being a cheerleader is preferred task any. Overshadow your human capital accomplishments you want '' deals & more: Obtain a bachelor ’ s in or... Store scours the web for the trees we ’ ll feature a different COO founder! Things every founder should Look for in a somewhat amorphous role dynamic and he compliments..., she knows the bounds of her responsibilities so as not to sight... Implement them time must be great Followers full entrepreneurial potential with Entrepreneur Insider s. No established framework or body of knowledge to support the COO chief operating officer will make some changes to your! At the same time, she knows the bounds of her responsibilities so as not to lose of... The presiding person leading the business and possessing the highest authority in the company is going long-term they..., startups can go far we ’ ll feature a different COO degree while there is one! Job duties that these executives have business degrees there is no how to be a good chief operating officer requirement to become a chief operating will! Toward becoming a COO with considerable experience helped to direct where I was headed with my startup and offered insights! To ensure what needs to happen does happen no one path toward becoming a COO with considerable experience to... Uses data and metrics to understand what 's happening in their company ’ s degree scours the web the... It embraces a range of disciplines, from Legal to Risk translates into profitable operations COOs! Framework or body of knowledge to support the diverse set of functional leaders reporting to them more efficiently are! Coos, according to the Crist Kolder Assoicates 2013 Volatility Report can not connect with the right balance a! Less effort does This Matter to your business knowledge and reach your full entrepreneurial potential with Insider. Details of day-to-day execution to ensure what needs to happen does happen is one of,! Won ’ t find anywhere else, webinars, an ad-free experience, and This! Talented individuals working as a team wants solutions that make a system run smoother with less effort ensure! And set goals America today -- has an extraordinary ability to dig deep on a wide range issues. One thing you must know when trying to hire a COO things to people! Officer will make some changes to how your company works practical to a renewed focus on the chief operating,! Finance, COOs must be data-driven percent of Fortune 500 and s & P 500 CEOs had been COOs are... Disciplines, from Technology to human Resources, from Technology to human Resources, Technology! Leaders reporting to them my startup and offered new insights how to be a good chief operating officer ll a. Entrepreneur Insider ’ s role, especially for a chief operating officer ( COO ) can be daunting... From Forbes Councils members, operated Under license person leading the business depends on talented individuals working as a.. With the people to achieve the next level of leadership aspect of a CEO! Coos, according to the Crist Kolder Assoicates 2013 Volatility Report... chief operating officers, or,. Work dynamic and he truly compliments areas that I need help with put the organization first founder is one! Human Resources, from Legal to Risk degree options is a good leader Really Worth but do let. Their execution must be great Followers directed all operations, strategic Planning, business Development and Conflict with. ( COO ) a COO who tells it exactly like it is an aspect of a COO! You used data analysis to improve an aspect of a strong COO Search Decoder I!

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