Resetting the Logic of the COO’s Role

In contrast to many other C-suite roles, that of the COO has had a turbulent recent history. And uncertainty about its future often still lingers.

There are several reasons why the COO role has struggled to fully cement itself within today’s C-suite. Some companies may opt instead to split operations responsibilities between several executives. In others, the CEO may decide to handle operational issues directly.

But in many companies, across a range of industries and regions, changing market dynamics now provide a chance to clarify the inherent logic of the COO’s role, at least for those willing to take on the challenge.

New business dynamics redefining an old role

The following factors underscore the need for an operational leader, especially within an increasingly complex and global business environment:

• A daunting regulatory environment

• A tougher emphasis on efficiency and cost management, including a drive to transform many core aspects of the business

• The need to expand into new markets in the pursuit of growth

• This need is further exacerbated by the increasing speed of change, from ever shorter product development life cycles to a continuously evolving technology.

The effects of this are clearly felt by today’s COOs. One in three of those polled say that increased complexity and a wider set of tasks has been the most striking change in their job over the past five years.

Read more