What do chief operating officers do in today’s business world? How can you determine if your company truly needs one?
In his book The Second in Command, Cameron Herold explains that COOs serve as more than just operations managers—they’re second-in-command leaders who complement the CEO’s strengths and weaknesses. They take on various roles, from explaining business operations to implementing systems and maintaining company culture.
Keep reading to discover the six key roles of COOs and learn whether hiring one is the right move for your business.
What Chief Operating Officers Do
Traditionally, the term COO means Chief Operating Officer. However, according to Herold, a COO doesn’t necessarily need to be in charge of operations. So, what do chief operating officers do in an ideal business world? Herold contends that they should be your second-in-command who’s in charge of everything that you can’t be—either because you lack the expertise, don’t like it, or would be more impactful by focusing your attention elsewhere. Your COO should be your perfect puzzle piece—they should thrive in all the areas that you don’t so that together, you create a complete picture.
(Shortform note: While Herold mentions that COOs are traditionally in charge of operations, he never specifies what “operations” are. Experts explain that these operations typically include marketing and sales, research and development, and production. Like Herold, they add that the COO’s specific role is determined by their working relationship with the CEO, not simply by their job title. Further, reiterating Herold’s point that operations isn’t the COO’s only responsibility, 2023 research shows that only a third of the average COO’s time is spent on operations—the rest goes toward long-term strategic planning and overseeing people.)
The 6 Roles of COOs
When you hire a COO, you must determine which roles you need them to take on, and, by default, which roles you’ll abdicate. These are the most common roles that a COO may take on.
1. The COO explains the inner workings of the business to a CEO who focuses more on the technical side of things. For example, this COO will keep the CEO up to date on things like marketing, finance, or HR. This doesn’t require the COO to be an expert in all these areas, rather to have excellent communications skills and the ability to comprehend the basics of many different topics.
(Shortform note: To effectively stay up to date in all areas of the business, the COO likely needs to meet with department heads often. To make these meetings effective, experts make a few recommendations—for example, set an agenda, track progress toward current goals, identify areas of improvement, and set new goals.)
2. The COO questions the CEO and points out when things can be improved, aren’t working, or could fail.
(Shortform note: Pointing out flaws and pushing back against ideas can be difficult. To do so without upsetting the other person, ensure your criticism addresses the idea rather than the person, offer alternative suggestions, and provide logic and rationale for your feedback.)
3. The COO puts systems into place to achieve the vision and goals the CEO puts forth. This may require them to enforce new systems of accountability, designate roles to leaders, hire new department heads or specialists, and so on.
(Shortform note: In Traction, Gino Wickman says that to successfully manage people and enforce systems, you must create an accountability chart. An accountability chart outlines each main department in your company, who’s in charge, who reports to whom, and what each person’s role is (what they’re responsible for). This makes it easy to maintain accountability, designate tasks and roles, and determine which systems (if any) need to change.)
4. The COO seeks to create harmony within the company and ensures the company culture matches the CEO’s vision. This requires them to hire the right leaders and replace leaders who don’t fit the company. This also may require them to call leadership team meetings where everyone can discuss issues or have debates so everyone’s on the same page.
(Shortform note: In The Advantage, Patrick Lencioni provides additional advice to help you harmonize your company. To align leaders, alter your hiring processes to prioritize people whose behaviors and values align with the culture, even if they don’t have all the desired skills—skills can be taught; values can’t. Similarly, let go of employees who can’t align with the culture, even if they’re skilled. Further, leadership meetings should happen frequently—daily 10-minute administrative meetings, weekly progress meetings of 45-90 minutes, monthly strategic meetings of two to four hours, and quarterly three-to-five day developmental meetings that are three to five days long.)
5. The COO designates tasks to others and provides them with the resources they need to learn and grow. The COO can’t specialize in every area of the business and accomplish every task that needs to get done, so knowing how to delegate tasks and grow people is crucial.
(Shortform note: In The Effective Executive, Peter Drucker explains that effective leaders grow their employees by teaching them to leverage and maximize their areas of strength rather than improve on their weaknesses. To help accomplish this, Drucker recommends assigning people tasks and roles that not only fall into their strengths, but that also challenge them to take their abilities to the next level. This will ensure they’re practicing and improving their talents.)
6. The COO serves as a model for the company culture at all times. They must uphold the company’s beliefs and values and behave how they want the rest of the company’s employees to behave.
(Shortform note: Patrick Lencioni argues that leaders should not only model the company’s culture, but should clearly name the components that define it—the organization’s core purpose, behavioral values, success strategies, and top priority—and frequently reiterate these components and their dedication to them through newsletters, emails, meetings, and word of mouth. Naming cultural components will make sure everyone clearly understands expectations, and regularly reaffirming your commitment to these components will inspire the same commitment from employees.)
What COO Do You Need?
Now that you know what a COO can do, you must determine what you need your COO to do. For a company to thrive, Herold says that leaders must focus only on the tasks that they’re best at. Therefore, hiring a COO requires you to determine what you’re best at and find a COO who’s best at the important things you’re not.
To do this, Herold recommends making a list of all the tasks you do in a month and sorting them into four categories: things you’re bad at, things you’re okay at, things you’re good at, and things you’re great at and love doing—your superpowers. Immediately delegate the things you’re bad and okay at—assign them to other leaders or an assistant, or find a way to automate them. The things that you’re good at but don’t love, which also tend to be higher-stakes tasks, are the ones that you’ll need a COO to manage. These high-stakes areas should be the COO’s superpowers.
(Shortform note: Accurately assessing our strengths and weaknesses can be difficult due to our blind spots—behaviors or tendencies that others notice but we don’t. In Thanks For the Feedback, Douglas Stone and Sheila Heen provide some advice that can help you uncover your blind spots and get a more accurate idea of your strengths and weaknesses. For example, if you’re receiving the same type of feedback about yourself from more than one source, consider the truth in it even if your immediate assumption is that it’s not true. Further, get input from another person—share your perception of your strengths and weaknesses with them and see if they agree, disagree, or have something to add.)
Once you’ve figured out the responsibilities you need a COO to take on, determine what level of support you need. It’s possible that you may not need someone as serious as a COO—taking on a COO is a long-term commitment that will have a financial and cultural impact on your company. Herold says to consider the following factors:
1. If the tasks you would designate to a COO aren’t super high-stakes and you’re more looking to free up your time, can you hire an executive assistant instead?
(Shortform note: Executive assistants usually perform tasks like organizing documents, answering and returning phone calls, keeping records, taking notes at important events and meetings, scheduling, and other administrative duties.)
2. Instead of a COO, can you hire department heads and designate your high-stakes tasks to them? For example, could you hire a head of finance or head of marketing?
(Shortform note: Most businesses have the following departments (and department heads) that you should consider delegating tasks to before hiring a COO: human resources, operations management, information technology, marketing, sales, accounting and finance, and research and development.)
3. If you don’t have that many high-stakes tasks to designate, can you hire a part-time COO who also works for other companies?
(Shortform note: Part-time or “fractional” COOs usually have a limited number of tasks they can take on since they don’t work full-time and aren’t the CEO’s counterpart to the extent a full-time COO would be. They’re typically limited to tasks like strategic planning, process management, project management, and team development.)
4. If your high-stakes tasks are temporary crises that will go away once solved, can you hire a consultant to help you work through them rather than a COO?
(Shortform note: There are many types of business consultants to consider based on your needs. For example, communications consultants help you manage your image (both inside and outside of the organization), environmental consultants help you monitor your company’s environmental impacts, and legal consultants advise you on legal affairs.)
Exercise: Identify Your Superpowers & Missing Puzzle Pieces
To ensure your company is as effective as possible, Herold says you must focus only on your superpowers and delegate all the other tasks on your plate to your COO or other lower-level employees. This way, you can use your energy most effectively.
- What are all the tasks you do on a monthly basis as CEO? List these tasks here. (You may want to complete this exercise over the span of a month, adding to the list as you go so you don’t forget anything.)
- Copy and paste your list of tasks into the box below. Beside each one, note whether it’s a superpower, something you’re good at, something you’re okay at, or something you’re bad at.
- Select all the tasks you’re good at but that aren’t your superpowers and paste them into the box below. If there are any highly critical tasks that you’re bad or okay at, and that can’t be delegated to a lower level employee (like a department head or assistant), also include them in the list below. These will be the superpowers you need your COO to have.
- Now, select all the tasks you’re bad and okay at that weren’t included in the above list and then copy them below. Then, for each one, write down the name of an employee you could delegate the task to from now on.