The chief executive is the executive head of the organization. S/he represents the top management. His/her main duty is to define long term direction and scope of the organization. He has ultimate responsibility for its success. S/he leads the formulation and implementation of the strategy. S/he is guided by the board of directors. Since strategic management involves teamwork of multiple participants, the CEO plays the key roles in:

  1. Formulation of strategy: Strategy Provides future direction and scope to the organization for gaining competitive advantage. The roles of CEO in strategy formulation are:
    1. Key Strategist Role: The CEO plays the role of chief architect in defining vision, mission and objective of the organization.  He conceptualizes and crafts strategies to achieve objectives.
    2. Decision making role: The CEO makes strategic decisions related to strategy formulation. CEO makes strategic choice from among strategic option for achieving This role involves risk-taking.
    3. Resource planning role: This role of CEO involves coordinated allocation of significant resources to plans. Such plans can be organization-wide or related to strategic business unit for function. Resources can be people, money, technology, time and information.
    4. Negotiator role: Strategy must fulfill the expectations of various stakeholders of the  organization. The CEO balance conflicting interests of stakeholder by negotiating disputes. The stakeholders can be owners, customers, employees, suppliers, government, labour unions, and financial institutions. CEO ensures the acceptability to strategy by stakeholders.
  2. Implementation of Strategy: Implementation is putting strategy into action. The chief executive ensures that strategies are operationalized in His/her roles in strategy implementation are as Follows:
    1. Information Role: The CEO disseminates information about strategy to the implementers within the organization. S/he serves as a spokesperson for strategy implementation. Effective communication serves as the key to effective implementation of strategy.
    2. Leadership Role: The CEO assumes overall leadership for the implementation of strategy. He/she inspire trust and self confidence among implementers of strategy. CEO ensures participation of those who involve in implementation. CEO motivates them for higher productivity and also provides direction for implementation.
    3. Organizer Role: The CEO is an organization builder. S/he determines the structure for strategy S/he establishes reporting relationship and span of control and assigns authority and responsibility for positions and people in the organization for key result areas.
    4. Resource manager Role: The CEO ensures efficient and effective mobilization, allocation and utilization of resources for implementation of strategy. Budgets are prepared for management of resources.
    5. Monitoring role: The CEO monitors and evaluates the performance results of strategy implementation. S/he takes corrective action to resolve performance