Top management responsibilities, especially those of the CEO, involve getting things accomplished through and with others in order to meet the corporate objectives. Top management’s job is thus multidimensional and is oriented toward the welfare of the total organization. Specific top management tasks vary from firm to firm and are developed from
an analysis of the mission, objectives, strategies, and key activities of the corporation.
Tasks are typically divided among the members of the top management team. A diversity of skills can thus be very important. Research indicates that top management teams with a diversity of functional backgrounds, experiences, and length of time with the company tend to be significantly related to improvements in corporate market share and profitability. In addition, highly diverse teams with some international experience tend to emphasize international growth strategies and strategic innovation, especially in uncertain environments, to boost financial performance.
The CEO, with the support of the rest of the top management team, must successfully handle two primary responsibilities that are crucial to the effective strategic management of the corporation:
(1) provide executive leadership and a strategic vision and
(2) manage the strategic planning process.