How To Become a CEO

September 25, 2024 in [ Business & Management ]

A CEO speaking and managing a office meeting

A chief executive officer (CEO) is the top executive at a company or nonprofit organization. Typically, CEOs handle the high-level decision-making for the organization, establishing the mission and vision of the company and developing strategies for organizational change and growth. Learn more about how to become a CEO and the importance their job carries.

In This Blog:

What Is a CEO?
What Do CEOs Do?
What Education and Experience Does a CEO Need?
Best Degrees for CEOs
What Skills Does a CEO Need?
Where Do CEOs Work?
Advancement Opportunities for CEOs

What Is a CEO?

CEO gazing outside of office building window

45%

Percentage of Fortune 100 CEOs who earned a B.S. in a business field¹

CEOs are expected to take full responsibility for the company’s outcomes. However, CEOs don’t steer the company alone. They collaborate with the C-suite, which typically includes other top executives like the chief operating officer (COO) and chief financial officer (CFO), along with others. Are you curious about the career pathway for an aspiring CEO? Below, you can learn how to become a CEO.

What Do CEOs Do?

Chief executive officers are responsible for shaping the overall direction of their organization, providing competent leadership and planning, directing and coordinating the organization’s strategies and activities. They work toward achieving the company’s mission, such as by planning expansion and growth and fostering an ideal company culture.

What do CEOs do on a daily basis? It varies, but typical tasks may include the following:²

Leadership
The CEO is the senior-most executive at any organization, and all other executives and employees look to the CEO for leadership.

Collaboration
The CEO must collaborate with other C-suite executives, who each report to the CEO.

Reporting
CEOs are responsible for reporting on the company’s performance to the board of directors.

Media and Public Relations
The CEO serves as the public face of the organization, and must often address the media and the public.

Performance Tracking
A CEO is responsible for keeping track of the organization's overall financial performance and adjusting strategies as needed.

Work Culture
CEOs are charged with establishing and maintaining or improving the company’s workplace culture so that it serves all stakeholders and supports success.

Strategic Direction
CEOs oversee the overall direction of the organization, establishing its long-range plans and ensuring they are implemented properly.

In order to do their job well, CEOs need to keep a close eye on how the organization is doing at any given time. However, they also need to look to the future, developing long-term plans and identifying appropriate strategies to guide the company in the right direction.

What Education and Experience Does a CEO Need?

There is no universal career pathway that all aspiring CEOs must follow. They come from a range of academic backgrounds and work experiences, but in general, the process of how to become a CEO might look like this:

High School Diploma

You can begin preparing to pursue a career as a top executive as early as high school. Try to take as many business-related courses as you can, and look for opportunities beyond the classroom to develop important skills. For instance, you might join the student government to work on your leadership skills and the debate team to improve your communication skills. You can also look for volunteer opportunities, entrepreneur-related clubs and other leadership opportunities.

College Degree

CEOs are generally expected to have at least a bachelor’s degree in a business-related field, such as business administration or public administration. Some CEOs may come from an academic background closely related to their industry, such as engineering. After earning a bachelor’s degree, you may need to earn a master’s degree as well, such as a Master of Business Administration (MBA).³

Undergraduate Certificates

There are a variety of certificate options for leadership, communication, industrial and organization psychology, innovation and corporate entrepreneurship, and more.

Internships

Aspiring C-suite executives like CEOs are typically expected to have extensive work experience, including managerial experience.³ You can work on developing your resume by seeking internship opportunities in college. Look for business-related internship opportunities in a field or industry that interests you.

Entry-Level Roles

CEOs may hold a wide variety of entry-level roles. Many worked as associates, analysts or consultants early in their careers, while others worked as account managers, project managers, sales managers or even software engineers or developers. Many of them worked in a role related to business development or sales. Entrepreneurial-minded CEOs may establish their own companies.⁴

Professional Certifications

Most CEOs aren’t generally expected to hold a professional certification, although some of them may have a certification related to their previous role. Occasionally, an organization might expect a CEO to be a certified public accountant (CPA).³

As you can see, there is no single universal pathway toward becoming a top executive. As you work toward your career goal, look for opportunities to take on more responsibilities, particularly managerial responsibilities, and strive to develop a professional reputation for competent leadership and accountability.

Best Degrees for CEOs

Top executives like CEOs all follow their own career pathways before arriving at the top-ranking role in an organization. Although there is no single way to become a CEO, and a variety of academic and work backgrounds may be valuable, aspiring CEOs may be best served by earning a bachelor’s degree related to business or to the specific field of the type of company they wish to lead.³

For example, if you decide to start by earning a bachelor’s degree in business management, you would likely explore topics such as organizational behavior and management, servant leadership and strategic business development. After earning a bachelor’s degree, you might gain some work experience before heading back for your MBA.³

A degree for a corporate executive may cover topics such as:

Global business environment
Servant leadership
Managerial strategies
Business communications
Managing projects
Economic concepts

GCU Recommends These Degrees for a Corporate Executive

While there are no strict requirements as to the type of degree you should earn to pursue a career as a CEO, a business-related degree for a corporate executive is generally preferable. In addition to exploring business management competencies, you’ll have opportunities to develop critical soft skills like communication and leadership.³

Bachelor’s Programs

Master’s Programs

Doctoral Programs

Other Programs

What Skills Does a CEO Need?

Future business leaders will need extensive work experience to rise to the top, during which they are likely to have plenty of opportunities to develop key skills for the position.

A diverse range of skills can enable a CEO to lead an organization with purpose and integrity, including the following:³

Communication
Decision-making
Leadership
Problem-solving abilities
Time management

Organization
Cultural awareness
Professional networking
Accountability
Strategic thinking

The median annual wage for a chief executive officer can vary widely, depending on the company they lead, as well as other factors such as their years of experience, industry and geographic location. According to the U.S. Bureau of Labor Statistics (BLS), the median annual salary for top executives as of May 2023 was $206,680.⁵

The BLS projects steady growth for all types of top executives in the coming years. From 2022 to 2032, the BLS estimates job growth for all types of top executives to be 3%, as fast as average, accounting for an estimated increase of 124,200 new jobs.⁶

Where Do CEOs Work?

Both for-profit companies and nonprofit organizations alike may be led by CEOs.

All types of industries need CEOs, including the following:⁷

Professional, Scientific and Technical Services
A CEO may head up a scientific research firm, a software development company or similar tech or professional services company.

Social Assistance
Nonprofit social service organizations hire CEOs to provide direction, strategic planning and fiscal accountability.

Manufacturing
Manufacturing is one of the many industries that hire CEOs to lead companies.

Healthcare
Healthcare companies, such as insurance carriers, rely on CEOs to provide leadership.

Self-Employed
CEOs aren’t only found in large corporations; a CEO may also be an entrepreneur leading a small company.

Advancement Opportunities for CEOs

Because CEOs are the top-ranking executive in their organizations, there are limited opportunities for further advancement. However, increases in pay or stock options might be considered a type of advancement. Other CEOs may advance by pursuing CEO roles at more prestigious companies or by transitioning to the board of directors. Still others are serial entrepreneurs who may sell the company they founded before moving on to the next venture.⁸

If you’re a highly motivated individual who is passionate about pursuing the top job in your chosen industry, you can build a strong academic foundation at Grand Canyon University. Explore the Colangelo College of Business’ business and management degrees today.

Work Your Way Toward Becoming a CEO

GCU is dedicated to helping their students become leaders within their field.

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¹ Whitler, K.A. (2019, Oct. 12). New CEO Study: The Undergraduate Degrees of Fortune 100 CEOs. Forbes. Retrieved July 22, 2024.

² Hayes, A. (2024, June 29). Chief Executive Officer (CEO): Roles and Responsibilities vs. Other Chief Roles. Investopedia. Retrieved July 22, 2024.

³ U.S. Bureau of Labor Statistics. (2024, April 17). How To Become a Top Executive. Occupational Outlook Handbook. Retrieved July 22, 2024.

⁴ Mejia, Z. (2018, Oct. 10). The 10 Most Common First Jobs Held by CEOs. CNBC. Retrieved July 22, 2024.

⁵ The earnings referenced were reported by the U.S. Bureau of Labor Statistics (BLS), Chief Executives as of May 2023, retrieved on July 22, 2024. Due to COVID-19, data from 2020 to 2022 may be atypical compared to prior years. BLS calculates the median using salaries of workers nationwide with varying levels of education and experience. It does not reflect the earnings of GCU graduates as Chief Executives, nor does it reflect the earnings of workers in one city or region of the country or a typical entry-level salary. Median income is the statistical midpoint for the range of salaries in a specific occupation. It represents what you would earn if you were paid more money than half the workers in an occupation, and less than half the workers in an occupation. It may give you a basis to estimate what you might earn at some point if you enter this career. Grand Canyon University can make no guarantees on individual graduates’ salaries. Your employability will be determined by numerous factors over which GCU has no control, such as the employer the graduate chooses to apply to, the graduate’s experience level, individual characteristics, skills, etc. against a pool of candidates.

⁶ COVID-19 has adversely affected the global economy and data from 2020 to 2022 may be atypical compared to prior years. Accordingly, data shown is effective September 2023, which can be found here: U.S. Bureau of Labor Statistics, Occupational Outlook Handbook, Top Executives, retrieved on July 22, 2024.

⁷ U.S. Bureau of Labor Statistics. (2024, April 17). Top Executives: Work Environment. Occupational Outlook Handbook. Retrieved July 22, 2024.

⁸ Vault. (n.d.). Chief Executive Officers. Retrieved July 22, 2024.

Approved by the academic program manager of the Colangelo College of Business on Aug. 29, 2024.

The views and opinions expressed in this article are those of the author’s and do not necessarily reflect the official policy or position of Grand Canyon University. Any sources cited were accurate as of the publish date.