More about C-level roles

Dear Bob ...You described the CFO position as one of providing information ("C-level," Advice Line, 3/14/2007). That actually sounds like a good description for a CIO, so I'll assume you meant that the CFO provides information about the financials.I suspect CFO is a bigger strategic player in a financial services company, more like a COO of a manufacturing company. In the same way, a CIO could act more as a COO

Dear Bob ...

You described the CFO position as one of providing information ("C-level," Advice Line, 3/14/2007). That actually sounds like a good description for a CIO, so I'll assume you meant that the CFO provides information about the financials.

I suspect CFO is a bigger strategic player in a financial services company, more like a COO of a manufacturing company. In the same way, a CIO could act more as a COO at a (non-financial) information services company.

Do you see any patterns to whether there is a COO or not? And how is that guilded by, or how does it influence, the roles of the CIO and CFO?

- Just curious

Dear Curious ...

Here's how I see it, not that I have any access to eternal truth:

CIOs aren't providers of information. At best they're responsible for the tools and technology used to provide sufficient levels of assurance that the information a company maintains is accurate and secure. CIOs have little or no role in providing the information itself.

I don't think CFOs play much of a different role in a financial services company. Depending on the company, other roles (actuaries, investment managers and brokerage services, to give three examples) drive the products-and-services end of things. I'm sure it depends on the individual company, though. In some, one or more of these might report to the CFO although I doubt it's typical.

I know of two factors that tend to determine whether a company has a COO. The first is the focus and temperament of the CEO. The second is whether the company is centralized or decentralized.

CEOs who have a strong external, market focus (and who are smart enough to recognize that their focus doesn't define the limits of importance) value strong COOs to make sure the company can deliver what they envision and promise to the marketplace. Decentralized companies rarely have a place for a COO, because all of the operational action is in the independent business units (IBUs).

Each IBU, though, might easily need a COO, depending on the focus and temperament of the head of the IBU.

- Bob

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