Do you want to learn more about Executive Management vs Senior Management? Which has the higher position? If so, this section is perfect for you to learn. Let’s take a look.
Executive Management vs Senior Management – Which has the Higher Position?
As you may already know, in the corporate world, there are multiple levels of management. The lower-level ones are usually employees, while higher-level ones are called managers. Senior management is one step higher than executive management.
Executive management or top management is another name for senior management. However, senior management can be used to describe the highest-level managers.
For example, the President of the United States is the highest executive officer in America. The position of President is held by an individual who also holds the position of executive officer. Hence, he or she is the highest level manager in America. However, in some organizations, the chief executive officer (CEO) and the president are separate positions.
A CEO manages an entire company while a president manages a division or department. Hence, the president has a higher rank than the CEO. On the other hand, in most organizations, a CEO is also the president.
Executive Management vs Senior Management – The Difference
Below are some questions that may help you understand the difference between the two positions.
What Does Executive Management Do?
Ans: Executive management is responsible for implementing the company’s overall long-term goals and objectives. They are responsible for making key decisions on how to achieve the company’s goals. At times, they may delegate tasks to lower-level managers or employees.
What Does Senior Management Do?
Ans: Senior management is responsible for overseeing all of the company’s daily operations and activities. They are responsible for leading employees to achieve the company’s goals.
They are also responsible for making decisions on how to make the company profitable. They must be able to make key decisions at all times. For example, they may have to make decisions on which product to produce, which employee to fire, or whether or not to acquire a new company.
Executive Management vs Senior Management – Salary
Below is the salary of executive management vs senior management.
Senior Management
- Base Salary: $125,000 – $210,000
- Bonus: $50,000 – $100,000
- Signing Bonus: $25,000 – $40,000
- Stock Options: $10,000 – $15,000
- Performance Bonus: Up to 50% of base salary
Chief Executive Officer (CEO)
- Base Salary – $185,000 – $1.5 million.
- Annual Bonus – $100,000 to more than 1 million dollars.
- Signing Bonus – 4 to 6 million dollars
- Stock Options – $2 million
- Performance Bonus – up to 100% of base salary.
To Conclude
As you can see, the difference between executive management vs senior management is not just the range of power and responsibility, but also the salary. A senior manager usually gets a higher salary than an executive manager. However, in some organizations, an executive manager may get more bonuses and stock options than a senior manager.
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