When you scan the giant corporation, it may look as if it is running profitably. Daily function has no discernible problematic activity. However, confusion can ensue if there is not a well-structured Corporate Business Structure. The smoothly operating business contains leadership in all divisions that maintains order.
It is general knowledge that at the top is the Chief Executive Officer, Chief Operating Officer, Chief Financial Officer, Vice President and possibly more than one. The largest corporations have multiple Vice Presidents, one for each division.
The world was a simpler place prior to the twentieth century, with smaller companies. Ownership was held by family members, partners or people who at least knew each other. With the advent of public ownership, a huge gap formed between owners and those in important company positions.
Currently the large international company trades stocks and bonds on one or more exchanges. They may perform trading on more than one of the global exchanges. Small companies were much different in how they ran the operation.
There is now a two-tier corporate structure. The hierarchy is topped by the board of governors, also known as the board of directors. The shareholders, those individuals who own shares, or stock in the corporation vote them into office.
If a shareholder has the majority of stock in his or her possession, he or she is in control of how the company is run. Not one, but two types of representatives serve as directors. Officers who serve are the CEO, the COO or the CFO.
A second type of representative is an independent who is chosen from outside the corporation. The directors keep tabs on the managers and monitor their activities. Multiple directors often participate in the monitoring.
At the top of the Corporate Business Structure, the executive and directors are sitting. It is their responsibility to maintain the running of the giant company in the way the stockholders request. Each year the stockholders can express their dissatisfaction when the yearly voting takes place by voting them out of office.
It is general knowledge that at the top is the Chief Executive Officer, Chief Operating Officer, Chief Financial Officer, Vice President and possibly more than one. The largest corporations have multiple Vice Presidents, one for each division.
The world was a simpler place prior to the twentieth century, with smaller companies. Ownership was held by family members, partners or people who at least knew each other. With the advent of public ownership, a huge gap formed between owners and those in important company positions.
Currently the large international company trades stocks and bonds on one or more exchanges. They may perform trading on more than one of the global exchanges. Small companies were much different in how they ran the operation.
There is now a two-tier corporate structure. The hierarchy is topped by the board of governors, also known as the board of directors. The shareholders, those individuals who own shares, or stock in the corporation vote them into office.
If a shareholder has the majority of stock in his or her possession, he or she is in control of how the company is run. Not one, but two types of representatives serve as directors. Officers who serve are the CEO, the COO or the CFO.
A second type of representative is an independent who is chosen from outside the corporation. The directors keep tabs on the managers and monitor their activities. Multiple directors often participate in the monitoring.
At the top of the Corporate Business Structure, the executive and directors are sitting. It is their responsibility to maintain the running of the giant company in the way the stockholders request. Each year the stockholders can express their dissatisfaction when the yearly voting takes place by voting them out of office.
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