CEO - Administrerende Direktør
The chief executive officer (CEO), or just chief executive (CE), is the most senior corporate, executive, or administrative officer in charge of managing an organization – especially an independent legal entity such as a company or nonprofit institution. CEOs lead a range of organizations, including public and private corporations, non-profit organizations and even some government organizations (e.g., Crown corporations). The CEO of a corporation or company typically reports to the board of directors and is charged with maximizing the value of the entity, which may include maximizing the share price, market share, revenues, or another element. In the non-profit and government sector, CEOs typically aim at achieving outcomes related to the organization's mission, such as reducing poverty, increasing literacy, etc.
Board of Directors - Bestyrelse
A board of directors is a group of people who jointly supervise the activities of an organization, which can be either a for-profit business, nonprofit organization, or a government agency. Such a board's powers, duties, and responsibilities are determined by government regulations (including the jurisdiction's corporations law) and the organization's own constitution and bylaws. These authorities may specify the number of members of the board, how they are to be chosen, and how often they are to meet.
Chairman of the Board - Formand
The chairman (also chair) is the highest officer of an organized group such as a board, a committee, or a deliberative assembly. The person holding the office is typically elected or appointed by the members of the group, and the chairman presides over meetings of the assembled group and conducts its business in an orderly fashion.
Auditor - Revisor
An auditor is a person or a firm appointed by a company to execute an audit. To act as an auditor, a person should be certified by the regulatory authority of accounting and auditing or possess certain specified qualifications. Generally, to act as an external auditor of the company, a person should have a certificate of practice from the regulatory authority.
Real Owner - Reel Ejer
Reelle ejere er fysiske personer, der direkte eller indirekte ejer eller kontrollerer en tilstrækkelig del af en virksomhed, eller som udøver kontrol ved hjælp af andre midler. Som udgangspunkt anses det som en tilstrækkelig del, hvis en person ejer eller kontrollerer 25% eller mere af virksomheden. Dog er denne procentdel kun en indikator på reelt ejerskab. Virksomheden skal nemlig tilsikre oplysninger på mulige reelle, og foretage en vurdering af om registrering skal ske.
Legal Owner - Legal Ejer
En legal ejer er den formelle ejer af virksomheden, og kan både være en person eller en virksomhed. Dette gør sig ikke gældende for en reel ejer, som kun kan være en fysisk person. De legale ejere er alle personer og virksomheder, som råder over mere end 5% af et selskabs kapital eller stemmeret. Derudover skal den præcise beholdning af ejerandele og stemmerettigheder registreres for reelle ejere. Hvorimod legale ejeres beholdning og ejerandele angives i intervaller.
Stakeholder - Interessent
Stakeholders are people, separate organizations or groups with direct or indirect interests in the company's success. A large or small business' stakeholders range from creditors and employees to shareholders, owners, labor unions and the surrounding community, according to Business Dictionary's website. The type of stakeholders for a business depends largely the company's legal definition. For example, a corporation can sell stock and have shareholders, while a sole proprietorship or business partnership cannot do so legally.
Founder - Stifter
An organizational founder is a person who has undertaken some or all of the work needed to create a new organization, whether this is a business, a charitable organization, a governing body, a school, a group of entertainers, or some other kind of organization. If there are multiple founders, each can be referred to as a co-founder. If the organization is a business, the founder is usually an entrepreneur. If an organization is created to carry out charitable work, the founder is generally considered a philanthropist.
Shareholder - Aktionær
A shareholder is someone who owns shares in a corporation. Generally, corporations are owned by several shareholders. For example, Google is a publicly traded corporation with almost half a million shareholders. Other corporations are closely held, meaning that there are only a few shareholders
Corporate Ownership - Virksomheds Ejerskab
While an argument can be made that corporations can’t truly be owned, it is widely agreed upon that the shareholders of the corporation are owners, but not legal owners. Legal ownership means having the ability to make actual business decisions or use the company’s assets. The shareholders aren’t the actual true owners of the business. While they aren’t legal owners, they are still considered owners due to their ownership in stock.
Such ownership will depend on the percentage of shares that each person carries in the corporation. For example, someone who holds 51% of the shares in a corporation owns a controlling interest in it; therefore, he or she has greater voting and other decision-making power.
The shareholders have the following rights:
- The right to receive a portion of the corporation’s net revenue
- The right to vote on the board of directors
- The right to inspect corporate records
- The right to sue for wrongful acts committed by the board, i.e., breach of fiduciary duty, fraud, illegal conduct
- The right to sell their stock
- The right to dividends
- The right to purchase more stock if another public offering is made
With regard to the second right, all shareholders have a right to vote for who will be on the board, giving them some sort of oversight as to how the business will be run, as they run the company for the benefit of the shareholders. Additionally, as noted above, if a shareholder owns a significant amount of shares in the business (i.e., 51%), then he or she might even be able to appoint the board alone.
If a shareholder wants to sell his stock to another person, but still holds beneficial ownership over the shares, he can do so by turning over the rights to his shares without turning over title. If this occurs, the third party will be the registered owner of the stock, but there is a document that will specify the original shareholder as the true holder of the shares. This also means that the original shareholder will continue to have the above-mentioned rights as all other shareholders.
Liquidator - Likvidator
In law, a liquidator is the officer appointed when a company goes into winding-up or liquidation who has responsibility for collecting in all of the assets under such circumstances of the company and settling all claims against the company before putting the company into dissolution.
Most organizations have three management levels: first-level, middle-level, and top-level managers. First-line managers are the lowest level of management and manage the work of nonmanagerial individuals who are directly involved with the production or creation of the organization's products. First-line managers are often called supervisors, but may also be called line managers, office managers, or even foremen. Middle managers include all levels of management between the first-line level and the top level of the organization. These managers manage the work of first-line managers and may have titles such as department head, project leader, plant manager, or division manager. Top managers are responsible for making organization-wide decisions and establishing the plans and goals that affect the entire organization. These individuals typically have titles such as executive vice president, president, managing director, chief operating officer, chief executive officer, or chairman of the board.
These managers are classified in a hierarchy of authority, and perform different tasks. In many organizations, the number of managers in every level resembles a pyramid. Each level is explained below in specifications of their different responsibilities and likely job titles.
The top or senior layer of management consists of the board of directors (including non-executive directors and executive directors), president, vice-president, CEOs and other members of the C-level executives. Different organizations have various members in their C-suite, which may include a Chief Financial Officer, Chief Technology Officer, and so on. They are responsible for controlling and overseeing the operations of the entire organization. They set a "tone at the top" and develop strategic plans, company policies, and make decisions on the overall direction of the organization. In addition, top-level managers play a significant role in the mobilization of outside resources. Senior managers are accountable to the shareholders, the general public and to public bodies that oversee corporations and similar organizations. Some members of the senior management may serve as the public face of the organization, and they may make speeches to introduce new strategies or appear in marketing.
The board of directors is typically primarily composed of non-executives who owe a fiduciary duty to shareholders and are not closely involved in the day-to-day activities of the organization, although this varies depending on the type (e.g., public versus private), size and culture of the organization. These directors are theoretically liable for breaches of that duty and typically insured under directors and officers liability insurance. Fortune 500 directors are estimated to spend 4.4 hours per week on board duties, and median compensation was $212,512 in 2010. The board sets corporate strategy, makes major decisions such as major acquisitions, and hires, evaluates, and fires the top-level manager (Chief Executive Officer or CEO). The CEO typically hires other positions. However, board involvement in the hiring of other positions such as the Chief Financial Officer (CFO) has increased. In 2013, a survey of over 160 CEOs and directors of public and private companies found that the top weaknesses of CEOs were "mentoring skills" and "board engagement", and 10% of companies never evaluated the CEO. The board may also have certain employees (e.g., internal auditors) report to them or directly hire independent contractors; for example, the board (through the audit committee) typically selects the auditor.
Helpful skills of top management vary by the type of organization but typically include a broad understanding of competition, world economies, and politics. In addition, the CEO is responsible for implementing and determining (within the board's framework) the broad policies of the organization. Executive management accomplishes the day-to-day details, including: instructions for preparation of department budgets, procedures, schedules; appointment of middle level executives such as department managers; coordination of departments; media and governmental relations; and shareholder communication.
Consist of general managers, branch managers and department managers. They are accountable to the top management for their department's function. They devote more time to organizational and directional functions. Their roles can be emphasized as executing organizational plans in conformance with the company's policies and the objectives of the top management, they define and discuss information and policies from top management to lower management, and most importantly they inspire and provide guidance to lower level managers towards better performance.
Middle management is the midway management of a categorized organization, being secondary to the senior management but above the deepest levels of operational members. An operational manager may be well-thought-out by middle management, or may be categorized as non-management operate, liable to the policy of the specific organization. Efficiency of the middle level is vital in any organization, since they bridge the gap between top level and bottom level staffs.
Their functions include:
- Design and implement effective group and inter-group work and information systems.
- Define and monitor group-level performance indicators.
- Diagnose and resolve problems within and among work groups.
- Design and implement reward systems that support cooperative behavior. They also make decision and share ideas with top managers.
Lower managers include supervisors, section leaders, forepersons and team leaders. They focus on controlling and directing regular employees. They are usually responsible for assigning employees' tasks, guiding and supervising employees on day-to-day activities, ensuring the quality and quantity of production and/or service, making recommendations and suggestions to employees on their work, and channeling employee concerns that they cannot resolve to mid-level managers or other administrators. First-level or "front line" managers also act as role models for their employees. In some types of work, front line managers may also do some of the same tasks that employees do, at least some of the time. For example, in some restaurants, the front line managers will also serve customers during a very busy period of the day.
Front-line managers typically provide:
- Training for new employees
- Basic supervision
- Performance feedback and guidance
- Some front-line managers may also provide career planning for employees who aim to rise within the organization.