The Chief Financial Officer (CFO) and Chief Operating Officer (COO) are two of the most important positions in a company's senior management. The CFO is responsible for analyzing and reviewing financial data, reporting on financial performance, preparing budgets, and monitoring expenses and costs. On the other hand, the COO is responsible for the daily operations of the corporation. In terms of hierarchy, the CEO is the highest senior management position in a company, followed by the COO and then the CFO.
The CFO works at a level under the direction of the CEO along with other senior management positions. The CFO's role is mainly related to finance, as they are in charge of developing and maintaining relationships with investors, banks and other financial institutions. Depending on the needs of the company, some financial directors also act as liaison to the board of directors. The functions of a CFO influence the company's success, but they should still be accountable to the CEO.
In top management, executive directors (CEOs), chief financial officers (CFOs) and chief operating officers (COOs) are usually considered “superior” to vice-presidents. The CFO directly assists the Chief Operating Officer (COO) in all business matters related to budget management, cost-benefit analysis, forecasting needs and obtaining new funding. Overall, it is clear that a COO is higher than a CFO in terms of corporate hierarchy. The COO is responsible for overseeing all operations within a company while the CFO is mainly responsible for managing finances.
Both positions are essential for a company's success and should work together to ensure that all aspects of a business are running smoothly.
