You’re likely wondering: What determines CEO pay? Whether you’re planning to become a CEO or you serve on a board that’s determining what to pay a new CEO, the following factors can all influence CEO compensation.
1. Obtain a Relevant Bachelor’s Degree
The first step involves completing an undergrad program. Prospective CEOs often major in business, corporate law, or another major relevant to their desired career path. Many CEOs hold masters or doctorate degrees, while others rise through the leadership path based on their work ethic and proven track record for success.
2. Build a Career and Gain Experience
A CEO’s compensation is also dependent on their career path and body of experience. A professional with a wide range of experience, leadership qualities, and ability to navigate challenging business decisions shows great potential for being chosen as CEO.
3. Demonstrate Leadership and Achievements
Naturally, you’ll also want to take every opportunity to display leadership qualities and rack up achievements. Take the lead on projects, ask for difficult tasks, and demonstrate tangible business results. Become known as a go-getter with an empathic capability that enhances every team you lead.
4. Build a Strong Professional Network
CEOs typically have deep networks of other high-level business professionals. Consider finding a mentor to help you develop leadership skills and guide you on the path to CEO.
5. Seek Opportunities for Advancement
Lastly, never miss an opportunity to advance your career and take on bigger and bolder projects. In order to reach the position of CEO, one must first become a manager, department head, and executive, while demonstrating success at each stage of leadership.
