Executive Director vs VP in the Business Hierarchy

executive director vs vp

The term “Executive Director vs Vp” is one of the most common topics in the business world. It is one of the critical discussions in the business world because it will influence the operation of the company. 

In this section, you will learn about Executive Director vs Vp in the business hierarchy. What details do you need to know about them? In the business, why is it important now? 

Learn more in this section.

What is Vp in the Business Hierarchy? 

Vp is a term used to represent vice president or vice-president. It refers to a person who is second in command after the chief executive officer (CEO). He or she can be called a “second-in-command” for this reason. 

This position is also called the “number two position”. Because it has a very important role in an organization. 

When we hear this word, we imagine that it comes from Latin or French. Since we can see that this word is similar to “vice” and “president” coming from Latin and French respectively. 

However, according to some sources, Vp comes from an acronym for “Vice President” or “Vice-President” which can be seen from its plural form VP. Just like how we use “CEO” for Chief Executive Officer, we also use VP for Vice President. 

However, although there are many similarities between Vp and CEO, there are also some differences that we need to consider. The difference between them will be discussed later on in this section. 

What is Executive Director Vs Vice President? 

Executive Director and Vice President (VP) both refer to a person who has a high rank and title in an organization. They both play a significant role in the company. So, it is hard to distinguish between them based on their roles alone at least from what we have learned so far for this discussion topic. 

Is that being said, if you ask people which one of these two plays a more important role in an organization? Most people will answer that Vp plays a more important role than Executive Director. 

Why is that so? Because the latter only holds the title but does not have any authority whatsoever. While Vp has actual authority concerned with management responsibilities especially when he or she works with the CEO. 

Because of this, we can say that Vp is more powerful than an Executive Director. But again, even though this person has a higher rank and title in an organization, he or she still has to follow all the rules set by the CEO while working in the company. 

What is Executive Director vs Vp in the Business Hierarchy? 

Although there are many similarities between Vp and an Executive Director. But, there are also some differences between them that we need to consider. They are as follows:

Difference #1: Authority

The Executive Director only holds the title but does not have any authority whatsoever. While Vp has actual authority concerned with management responsibilities especially when he or she works with the CEO. 

Difference #2: Salary 

Generally speaking, the Executive Director gets a smaller salary than the Vice President. This is because the Executive Director is not in a high position in the business hierarchy while Vp is more powerful than him/her. 

Difference #3: Managerial Responsibility of Executive Director Vs Vp

The Executive Director only holds the title but does not have any managerial responsibility. However, VP is different because he or she has actual managerial responsibility although he/she works with the CEO. 

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