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Total Categories: 7
A Chief Executive Officer (CEO) is exclusively responsible for the financial management of an organization, reporting directly to shareholders.
Answer: False
The CEO's responsibilities extend beyond financial management to overall organizational leadership, and they typically report to the board of directors, not directly to shareholders.
The responsibilities of an organization's CEO are primarily determined by the CEO themselves, based on their individual expertise.
Answer: False
A CEO's responsibilities are formally established by the organization's board of directors or another governing authority, not solely by the CEO's self-assessment or expertise.
CEOs in nonprofit organizations primarily aim to maximize the financial value of the business, similar to their corporate counterparts.
Answer: False
CEOs in nonprofit organizations focus on achieving mission-related outcomes, which contrasts with the profit-driven objectives of corporate CEOs.
A CEO's communication roles are restricted to internal discussions with management and employees, precluding public statements.
Answer: False
A CEO's communication responsibilities often include speaking to the press and the public, in addition to internal engagement with management and employees.
The CEO is ultimately accountable for a company's business decisions across various functions, including operations, marketing, and human resources.
Answer: True
The CEO bears comprehensive accountability for all business decisions across diverse functions such as operations, marketing, business development, finance, and human resources.
The CEO of a political party is typically responsible for managing the party's legislative agenda, not fundraising.
Answer: False
The CEO of a political party is often entrusted with the critical task of fundraising, particularly for election campaigns, rather than primarily managing the legislative agenda.
What is the primary role of a Chief Executive Officer (CEO) within an organization?
Answer: To serve as the highest-ranking corporate officer responsible for overall management.
To whom does the CEO of a corporation or company typically report?
Answer: The board of directors.
How do the objectives of CEOs in nonprofit and government sectors generally differ from those in corporations?
Answer: Nonprofit and government CEOs aim to achieve outcomes related to the organization's mission, often guided by legislation.
What is the CEO's ultimate accountability within a company?
Answer: For the company's business decisions across various functions, including operations, marketing, finance, and HR.
What is one of the typical responsibilities of a CEO in terms of business strategy?
Answer: Being an active decision-maker on business strategy and other key policy issues.
Who determines the responsibilities of an organization's CEO?
Answer: The board of directors or another governing authority.
What is a key function of the CEO of a political party?
Answer: Fundraising, particularly for election campaigns.
What is the significance of the CEO's position within the C-suite?
Answer: The CEO is frequently assigned the role of the main manager and holds the highest-ranking officer position.
The term 'chief executive officer' was first attested in the early 19th century, specifically referring to leaders of corporations.
Answer: False
The term 'chief executive officer' was first attested as early as 1782, referring to governors and other leaders of the executive branches of the Thirteen Colonies, not corporate leaders in the 19th century.
The acronym 'CEO' originated in the United States in 1914, according to the Oxford English Dictionary.
Answer: False
According to draft additions to the Oxford English Dictionary, the acronym 'CEO' originated in Australia in 1914, with its first American usage cited in 1972.
In the United States, 'chief executive officer' and 'executive director' are generally interchangeable terms used across both business and nonprofit sectors.
Answer: False
In the United States, 'chief executive officer' is primarily used in the business sector, while 'executive director' is predominantly used in the not-for-profit sector, and these terms are generally not interchangeable.
As of 2013, the use of the term 'director' for senior charity staff in the UK is encouraged to clarify their legal duties.
Answer: False
As of 2013, the use of the term 'director' for senior charity staff in the UK was deprecated to prevent confusion with the distinct legal duties of a charity director or trustee, which are typically non-executive and unpaid.
In what year was the term 'chief executive officer' first attested, and in what context?
Answer: 1782, referring to governors of the Thirteen Colonies.
According to draft additions to the Oxford English Dictionary, where did the acronym 'CEO' originate?
Answer: Australia.
In the United States, what is the typical distinction between the terms 'chief executive officer' and 'executive director'?
Answer: CEO is used in the business sector, while Executive Director is used in the not-for-profit sector.
Why was the use of the term 'director' for senior charity staff deprecated in the UK as of 2013?
Answer: To prevent confusion with the legal duties of a charity director or trustee, which are typically non-executive and unpaid.
Which of the following is NOT an alternative title for a Chief Executive Officer mentioned in the source?
Answer: Chief Operations Officer.
In the United States, the board of directors is often considered functionally equivalent to the supervisory board in a dual board system, with an executive committee handling daily operations.
Answer: True
The US corporate governance structure, with its board of directors and executive committee, is often compared to the dual board system found in some other countries, where a supervisory board oversees an executive board.
The California Corporate Disclosure Act defines 'executive officers' as the five most highly compensated officers who also sit on the board of directors.
Answer: False
The California Corporate Disclosure Act defines 'executive officers' as the five most highly compensated officers who do not also sit on the board of directors.
In a sole proprietorship, the sole proprietor is considered the executive officer.
Answer: True
In a sole proprietorship, the individual sole proprietor holds the designation of executive officer.
The Chief Operating Officer (COO) and Chief Financial Officer (CFO) are examples of subordinate executives who typically report to the CEO.
Answer: True
The COO and CFO are common examples of subordinate executive officers who manage specific functional areas and typically report directly to the CEO.
In a dual board system, the CEO presides over the supervisory board, which is responsible for day-to-day business.
Answer: False
In a dual board system, the CEO presides over the executive board, which handles day-to-day business, while the supervisory board is a separate control body selected by shareholders and presided over by a chairperson.
In countries with a dual board system, what is the primary function of the supervisory board?
Answer: To serve as a control body, selected by shareholders and presided over by a chairperson.
How does the California Corporate Disclosure Act define 'executive officers'?
Answer: The five most highly compensated officers who do not also sit on the board of directors.
Which of the following is NOT typically considered a common subordinate executive officer reporting to the CEO?
Answer: Chief Legal Counsel (CLC).
In the US corporate governance structure, what is the executive committee often comprised of?
Answer: Division/subsidiary heads and C-level officers who report directly to the CEO.
What is the primary focus of the Chief Reputation Officer role when viewed as emphasizing the modern CEO's dual role?
Answer: Driving the organization's culture and serving as its external face.
In a sole proprietorship, who is considered the executive officer?
Answer: The sole proprietor.
The Sarbanes-Oxley Act provides industry-wide standards for evaluating CEO competency and aligning executive team performance with shareholder interests.
Answer: False
While the Sarbanes-Oxley Act sets legal standards for financial reporting, there is a recognized lack of industry-wide standards for evaluating CEO competency or aligning executive team performance with shareholder interests.
One proposed initiative to improve CEO evaluation involves a standardized questionnaire for annual reviews and recruitment, which can also be used for succession planning.
Answer: True
A proposed initiative suggests using standardized questionnaires for annual CEO reviews and senior executive recruitment, which can also serve as a framework for evaluating candidates in succession planning.
Executive compensation has seen a significant decrease relative to the average worker's wage in the US since 1965.
Answer: False
Executive compensation has dramatically increased relative to the average worker's wage, with the US ratio rising from 20-to-1 in 1965 to 376-to-1 by 2000.
Investors have shown decreasing interest in having a say over executive pay in recent years.
Answer: False
In recent years, investors have increasingly demanded more say over executive pay, reflecting a desire for greater accountability and alignment with company performance.
The Executive Institute suggests that a board should inquire about emerging PESTEL risks and opportunities when evaluating its CEO.
Answer: True
The Executive Institute recommends that boards ask their CEOs about emerging PESTEL (Political, Economic, Social, Technological, Environmental, Legal) risks and opportunities as part of a comprehensive evaluation.
The rise in executive compensation is solely attributed to intense competition for top talent.
Answer: False
Observers hold differing views on the rise in executive compensation, attributing it to either intense competition for top talent or a lack of effective control by compensation committees, not solely the former.
What is a major criticism regarding the selection and performance evaluation of CEOs?
Answer: There is a lack of an established standard framework for evaluating and governing CEO performance.
What was the approximate ratio of CEO pay to average worker's wage in the US by 2000?
Answer: 376-to-1.
What is one of the top questions the Executive Institute suggests a board should ask its CEO regarding strategy?
Answer: What are the emerging PESTEL risks and opportunities?
What is one of the two main differing views regarding the rise in executive compensation?
Answer: It is primarily due to intense competition for top talent.
The percentage of women Fortune 500 CEOs increased from 5% in 2018 to 10.4% by 2023.
Answer: True
The representation of women among Fortune 500 CEOs indeed rose from 5% in 2018 to 10.4% by 2023, indicating a gradual increase in gender diversity at the top executive level.
The Rockefeller Foundation awarded a grant in 2023 to promote more men as CEOs.
Answer: False
In 2023, the Rockefeller Foundation awarded a grant to Korn Ferry to research and implement a plan specifically aimed at helping more women become CEOs, addressing the existing gender imbalance.
One of the reasons cited for the lack of gender diversity in CEO roles is the existence of old boy networks and tradition.
Answer: True
The existence of 'old boy networks' and traditional norms are indeed cited among the reasons contributing to the persistent lack of gender diversity in CEO positions.
What percentage of Fortune 500 CEOs were women in 2023?
Answer: 10.4%.
What initiative did the Rockefeller Foundation launch in 2023 regarding CEO diversity?
Answer: A grant to Korn Ferry to research and implement a plan for helping more women become CEOs.
Which of the following is NOT cited as a reason for the lack of gender diversity in CEO roles?
Answer: A universal preference among women for non-leadership roles.
The concept of a 'celebrity CEO' suggests that corporate achievements are primarily due to broad corporate factors rather than individual talent.
Answer: False
The 'celebrity CEO' concept attributes corporate achievements largely to the unique talents of individuals at the top, often promoted by publicists and business journalists, rather than broad corporate factors.
Guthey et al. argue that celebrity CEOs are self-made individuals who achieve their status through sheer personal effort.
Answer: False
Guthey et al. contend that celebrity CEOs are not self-made but are rather constructed through widespread media exposure, with their personas symbolically representing broader business dynamics.
Research by Ulrike Malmendier and Geoffrey Tate in 2009 found that firms led by award-winning CEOs consistently outperform their peers.
Answer: False
Research by Malmendier and Tate in 2009 indicated that firms led by award-winning CEOs subsequently underperform in both stock and operating performance.
Neuroscientist Tara Swart suggests that individuals with psychopathic traits tend to avoid chaotic environments in the workplace.
Answer: False
Tara Swart suggests that individuals with psychopathic traits often thrive in chaotic environments and may even intentionally create such conditions in the workplace.
The book *Snakes in Suits* explores the concept of psychopathic traits in executives.
Answer: True
The book *Snakes in Suits*, co-authored by Robert D. Hare, specifically delves into the manifestation of psychopathic traits within executive roles.
Emilia Bunea encourages excessive worry about psychopathic managers to ensure employees address issues with difficult bosses.
Answer: False
Emilia Bunea cautions that excessive worry about psychopathic managers could discourage individuals from corporate careers and deter employees from constructively addressing issues with difficult bosses.
What is a core aspect of the 'celebrity CEO' concept?
Answer: Corporate achievements are largely attributed to uniquely talented individuals at the top.
What did research by Ulrike Malmendier and Geoffrey Tate in 2009 indicate about firms with award-winning CEOs?
Answer: They tend to underperform in terms of stock and operating performance.
According to neuroscientist Tara Swart, how do individuals with psychopathic traits often behave in the workplace?
Answer: They tend to thrive in chaotic environments and may intentionally create chaos.
What caution does Emilia Bunea offer regarding concerns about psychopathic managers?
Answer: That excessive worry could discourage individuals from corporate careers and deter employees from addressing issues.
What potential negative consequence can arise when a CEO internalizes their celebrity status?
Answer: Hubris, leading to excessive self-confidence and decisions that attract celebrity journalists rather than benefit the company.
Who is one of the co-authors of the book *Snakes in Suits*, which explores psychopathic traits in executives?
Answer: Robert D. Hare.
No questions are available for this topic.