Types of Managing Directors: Roles and Differences

Directors are responsible for managing and directing company affairs. Usually, a group of directors is present in a company that looks out for different matters and ensures compliance with regulations. However, one person, the managing director, is responsible for overall affairs. In this guide, we’ll analyse the different types of managing directors and their roles in managing duties.

• What are the Different Types of Company Directors?
• What are the Roles of the Executive Director?
• What is the Role of Appointing Non-Executive Director?
• What is the work Responsibility of the Managing Director?
• Does My Company Need any Director?

What are the Different Types of Company Directors?

Within a company, directors assume distinct roles:

• Executive
• Non-Executive

While both roles share similarities, the non-executive role is notably different, as these directors have little to no involvement in business management.

What are the Roles of the Executive Director?

Executive directors are responsible for managing company chores on a day-to-day basis. This includes everything from buying to selling assets, recruitment, human resources department finance, and look-out contracts.

If there is more than one director in your company, they are often assigned different tasks, like managing the finance department. The primary core of the director is to file the account with the company’s house. In turn, if filing is late, the director will be fined. Let’s explore in detail the role of the company director in shaping a company.

What is the Role of Appointing Non-Executive Director?

Non-executive directors only have part-time jobs and concentrate on specified projects. Their only role is to provide a point of view on selected projects and improve their efficiency. Moreover, they are not concerned with day-to-day chores but are involved in designing the policy to help lead the company.

What is the work Responsibility of the Managing Director?

Managing directors are sometimes considered Chief Executive Officers. They oversee the activities of other business directors. At any given time, there is only one position for this company director.

Does My Company Need any Director?

Any company needs one director to ensure smooth ongoing work and company success. However, a private limited company should have two directors due to the excess workload and be separated from the company secretary.

You might have learned about the types of managing directors in detail. If you require help managing an account, contact us today.