In a company, what is the Executive VP role? How do they help for a better company future? How much do they earn? We will answer each question in this article.
What is the Executive VP Role in a Company?
The Executive Vice President (EVP) is the second-highest level in a company hierarchy. It is a senior management position and it has the responsibility to oversee the company’s daily operations. Moreover, he has to make sure that the company is profitable and growing. The EVP must control the company’s brand and image. He must oversee all departments and make sure that the departments are delivering their mission for better business results.
In a company, an EVP can be called as Chief Operating Officer or Chief Executive Officer depending on the situation. In the United States, there is no difference between COO and EVP roles. But in Europe, however, COO means Chief Operating Officer while CEO means Chief Executive Officer. Both of them have the same role and responsibility but different titles.
How Does EVP Help a Company?
The main role of an EVP is to help a company to grow its business. The CEO or a President will give him a task to increase sales, expand into new markets or develop new products for better business results.
The EVP must take care of operational matters that support the growth strategy. Such as people issues, technology development, marketing, finance, and budgeting. He must ensure that all departments are working as one team to achieve business results as planned by the CEO or President of a company.
How Much Do They Earn?
The salary of an Executive Vice President depends on his experience, education level, and other factors such as industry, country, and other variables. In 2012, an Executive Vice President who has more than 10 years of experience can earn an average salary of $169K per year according to Glassdoor salary estimate based on 537 salaries reported anonymously by employees in the United States. However, this number may vary depending on the country where he works because salaries vary from country to country according to living costs in each country.
For example, in France, an Executive Vice President with 10 years of experience can earn up to €174K per year.
How to Be an Executive VP?
There are some steps to be an EVP. First, you have to be a manager or supervisor for at least 5 years to be an EVP. An experienced manager can become an EVP after 10 years of experience.
Second, you must have an MBA degree with a high GPA to be an EVP. Usually, the companies require an MBA degree from prestigious universities such as Stanford Graduate School of Business, Harvard Business School, or Wharton Business School.
Third, you must have demonstrated leadership skills, passion for business, and strong management skills to be an EVP.
The Executive Vice President role is very important for a company’s growth. A successful EVP must have excellent leadership, management, and people skills. He must be able to control the company’s operation and help the CEO or President of a company to achieve better business results. He must work together with all departments of a company to ensure that the company is growing at the fastest pace. The salary of an EVP also depends on his experience, education level, and other factors.