Managing Director Job Description
The Managing Director (MD) is the most senior role in any company. With ultimate responsibility for the company’s performance the Managing Director will report in to the Chairman and shareholders whilst leading a Board of Directors.
What are the Primary and Secondary Responsibilities of a Managing Director?
The Managing Director is responsible for many aspects of the business.
Primarily the Managing Director will be responsible for implementing company policy and any changes to it. As the aims of business are focussed towards growth, profits and increasing shareholder return it is the responsibility of the MD to ensure that the company strategy is geared towards this. It is also the role of the Managing Director to convene a Board of Directors and manage any communication between the Board and the Chairperson/Shareholders.
On a secondary level there are a number of other responsibilities that the Managing Director may have. The Managing Director will be responsible for representing the company in public at events or with the press. They will be responsible for leading, coaching and mentoring other board members and supporting their professional development. The MD will work alongside other board members to identify operational performance measures and will require an understanding of finance related issues in order to analyse company performance.
What Skills are needed in the Managing Director Role?
A typical skill set for a Managing Director would include:
- Visionary leadership
- Ability to motivate a workforce
- Effective management and delegation
- Communication and negotiation
- PR and presentation skills
- Understanding of a multi-faceted business operation
- Strong financial acumen
- Planning and forecasting
- In depth knowledge of markets and changing business environments
- Complex problem solving
- Effective decision making
What is a typical MD workload?
As Managing Director it is your responsibility to ensure the business performance heads in a positive direction. You should expect a demanding and high-pressured role with long hours however much of your time will be spent in meetings, visiting departments or in your office planning and taking time to consider the company’s strategic direction.
You will not need to worry too much about dealing with the basic day to day issues of taking cold calls or managing admin responsibilities as you will have a personal assistant to take care of this. The role may at times feel lonely but for many the high pressured nature and rewards of success are worth it.
What are the benefits and challenges of the MD role?
The responsibility for growing a business, creating jobs and providing shareholder return whilst making a difference to society can be incredibly satisfying. As well as this remuneration can be significant, not just in terms of salary but also bonuses, company shares and other work related benefits.
However along with such great rewards come challenges. The role will be high pressured and driven towards results. At times it can appear to be a very lonely role, with the Managing Director isolated as the key decision maker. These pressures may also come at a detrimental cost of your work life balance with tight deadlines and work pressure meaning long hours.
What are the salary expectations of an MD?
Salary expectations for a Managing Director are high. Managing Director salaries in small businesses would typically start around £65k per annum. Average salaries for Managing Directors would be between £65k-£200k however for many the salary range will be even higher.
What is career progression like for an MD?
Although the Managing Director position is the pinnacle role within an organisation this does not mean it is the end of a career. MDs within small businesses may look to move on to take up roles in medium and large companies.
As the career develops a time may come to move into a Chairperson role within the business, acting in a support and guidance capacity to the new MD. Furthermore there may be opportunities to undertake Non-Executive Director positions on the boards of various other companies.
Finally as a Managing Director with experience there would be no shortage of other companies interested in hiring you for consultant and interim roles.
Tips for writing a Managing Director CV?
- Include a profile in your CV which identifies your style of leadership and management to potential employers and highlights a particular area of success relevant to the new post e.g. A Visionary leader with a track record of increasing gross profit margins in FMCG.
- Use Situation, Action and Result (SAR) to demonstrate achievements which had an impact on productivity and profitability in your last role.
- Familiarise and integrate all the keywords for the role and sector which the business operates in.
- Remember to include any associations you may have with professional bodies to improve the integrity of your application.