Business organizations without effective managers are like a nation without a visionary leader. In such a situation, organizations would simply not be able to maintain that excellent level of harmony and rapport which is requisite for effective functioning and operability. Thus, it is inevitable to have managers at the executive levels, who are responsible for the overall success and planning. There are several functions performed by these executives, such as:
- Defining the future plans of an organization and developing the vision, mission, and objective statements
- Managing and supervising the various functional units or teams operating in the enterprise, such as finance, marketing, sales, manufacturing, etc.
- Defining an appropriate structure and platform for smooth flow of communications and decisions
- Managing overall business risk
- Search, analyze and adopt lucrative business opportunities and proposals, etc.
Executive positions are limited and whenever these are opened, are celebrated with a large number of applications from eligible candidates. Thus, a candidate must prepare sincerely for the interview sessions by reading the frequently asked interview questions.
21 Best Executive Level Interview Questions To Study
1. How Important Is Motivation Of Organizational Employees?
This question tests your knowledge and understanding of the various aspects of employee motivation.
Sample Answer
Sir, employees are the assets of any business enterprise and without them, an organization would simply lack the smooth execution of its operations. Thus, it is necessary to motivate them. There are various techniques to motivate employees, with my favorite ones being:
- Regular promotion and pay hikes
- Recognition and
- Incentives in the form of loyalty rewards
2. How Can You Ensure That An Organization Maintains Its Growth Rate?
Every business organization grows at a certain growth rate. This parameter could be checked on a variety of bases with sales/revenue being the primary one that is used most widely. This question tests your knowledge and understanding of the various strategies used to maintain growth rates.
Sample Answer
Sir, for me the best indicator of the growth rate is the revenue earned by the company. Thus, I would lay efforts to enhance the sales and the profitability of the company. In order to do so, I would ensure that:
- The marketing efforts of the company are channelized and directed with a clear understanding of the ultimate outcome
- The existing or newly launched products satisfy the expectations of the customers
- The production costs are minimized and controlled
3. What Is Your Understanding Of Capital Budgeting?
Being at the executive level, you will most certainly be required to identify the various expansion opportunities and business proposals. Using the techniques of capital budgeting you can analyze those proposals, thus you must be aware of the same.
Sample Answer
Sir, capital budgeting is a proposal evaluation technique, which uses the concepts of the time value of money to examine the profitability of different investment proposals. There are several rates of returns using which the projected or anticipated cash flows are discounted to obtain their present values. Post this, the net present value of cash inflows is compared with the present value of expenditures to determine the profitability of the proposal.
4. Diversification Is Risky, But Recommended. How Can You Reduce This Risk?
Being at the executive level, you will most certainly be required to identify the various expansion opportunities and business proposals.
Sample Answer
Sir, I completely agree with the statement mentioned above. Diversification is a technique to expand the business operations, by tapping a market that is absolutely new and unexplored. It could be launching of new product line, which is completely different from the existing one. Like every new venture, diversification is also risky, but to grow in size and maximize the shareholder’s wealth, it is necessary to diversify. A complete, diligent, and appropriate analysis of the new product, its features, its cost of production, and selling price, would definitely reduce the risk factor involved.
5. What Is Financial Leverage and Its Significance?
Working at the executive level you will most certainly be required to make crucial financial decisions, and thus you must have an excellent financial literacy.
Sample Answer
Sir, in simple terms, financial leverage refers to the usage of debt, such as bank borrowings, external commercial borrowings, debentures, bonds, etc. They are known as debt instruments and carry a fixed coupon rate attached with them. An organization uses financial leverage to augment its return on equity share capital.
6. Please Share The Effect On NPV Using IRR As The Discounted Rate Of Return.
Working at the executive level you will most certainly be required to make crucial financial decisions, and thus you must have a knowledge of core commerce.
Sample Answer
Sir, NPV stands for Net present value, which is the difference between present cash inflows and cash outflows. IRR, on the other hand, stands for Internal rate of return. When an organization uses IRR as its discounting rate, then, its NPV is always equal to zero.
7. What Are The Various Assets Of Digital Marketing?
While working at the executive level, you will most certainly be charged with the marketing team, including its entire supervision and management.
Sample Answer
Sir, These are:
- Websites
- Mobile applications
- Social media sites, such as, Facebook, Instagram, Twitter
8. What Is A Transformational Appeal In Advertising?
While working at the executive level, you will most certainly be charged with the marketing team, including its entire supervision and management.
Sample Answer
In the world of advertising, there are a variety of ways to impress, attract and explain to the customers the benefits of a product. A transformational appeal is a specialized form of advertising in which, the focus is laid entirely upon the experiences that a consumer would gain after consuming and/or utilizing the product, instead of its features or dynamics.
9. Fixed Production Costs Can Not Be Reduced. Comment.
Working at the executive level you will most certainly be required to make crucial production decisions.
Sample Answer
This statement is partially true. Fixed costs are the costs that do not fluctuate with the level of activities, and remain stagnant or constant. These can not be reduced, in essence, without lowering down the scale of operations or the size of the firm. However, if an organization wants to consolidate and aspires to reduce the level of activity then in that case it can reduce its fixed costs.
10. How Will You Absorb Overheads Of A Mechanical Department In Absorption Costing?
Working at the executive level you will most certainly be required to make crucial production decisions.
Sample Answer
Sir, the best way to do so, is by using machine hours as the cost driver. The total relevant cost pool can be divided using the machine hours as a cost driver and a driver rate could be obtained, that would be, overhead or cost per machine hour.
11. What Are The Motivational Factors That Stimulate You To Work?
The motivational factors of an individual not only keep him or her vigilant at the workplace, but also makes him a responsible and committed employee. Thus, an interviewer is always interested in knowing these motivational factors, which will help him to analyze your overall personality. These motivational factors are always personal and are majorly influenced by one’s own circumstances, living conditions, and desires. As an ideal response, always share an original response and avoid all the generic answers.
12. Working At An Executive Level Involves A Lot Of Challenges. How Do You Manage Your Stress Levels?
Stress management is a common expectation from every business organization. Thus, you ought to develop some strategies and techniques using which you can manage your stress levels and deliver exceptional performance all the time.
13. Do You Like Animals? If Yes, Kindly Share Your Favorite One.
This is a master evaluator, which might look simple and easy prima facie. However, it is not, as you will certainly be required to have some extra or additional preparation in terms of knowing some corporate-friendly animals and their attributes. After finding the requisite information, try framing an appropriate answer.
14. Being At Executive Level, You Will Be Required To Work On Multiples Tasks. How Do You Prioritize?
It is common for business organizations to allot more than one business task, to be executed on a single working day. Thus, you will be needing an effective and productive prioritization technique, using which you will be able to prioritize several business tasks. There could be several such techniques, and you are advised to share your tested one.
15. Failure Impacts Adversely. How Do You Handle Failure?
Life is a roller coaster ride, you can never be always successful and can never fail time and again. One day everything changes. However, failure leaves a deep and devastating impact on human minds. It is a common expectation of business organizations, that you must be aware of the techniques, following which, you can handle your failure.
16. What Can You Offer Us That Someone Else Cannnot?
This is just another variation of, What is your best strength? Analyze yourself completely and answer this question in style. Further, try framing an answer that corresponds and relates to the desirable corporate qualities, which could be understood post analyzing your job description.
17. What Are Your Salary Expectations?
It is common for interviewers nowadays to ask about your salary expectations during an interview session itself. As an ideal response to this interview question, you must always share a salary figure, which is not random and based on some diligent market research. While conducting research, you are expected to note down the salaries offered in your industry for a similar profession and calculate or find out the median salary. You must quote an expected salary, which is closer to this median, and try to refrain from quoting any salary figure, that is either too high or too low from your finding.
18. Describe Yourself In One Word.
This is a tricky interview question, as you will be required to summarize the different traits and attributes of yours, into a single word. Choose this single word wisely, after conducting detailed scrutiny of your personality and approach. Further, the selection of your “one word” must be influenced by the job description issued by your employer and also the business tasks that you expect to perform, once you are selected.
19. Why You Chose Us?
This question helps an interviewer to know about your level of seriousness or commitment towards the business organization, you wish to work for. Prepare sincerely for this interview question by tapping the official website of the company and note down all the relevant facts and figures, including historical achievements. Compile all the findings into a well-drafted answer and share it with your interviewer.
20. When Can You Start?
Through this question, an interviewer wants to know about your availability. This question in no way guarantees your selection, rather requires you to share an exact date, post which you will be available to work with the company. Every question matters and thus, Prepmyacreer recommends covering this question in detail by reading the different sample answers associated with this question.
21. Do You Have Any Questions For Us?
It is a common habit of the interviewers to ask this question so as to conclude an interview session. Through this question, an interviewer wants to know and solve all your major apprehensions in regards to the organization, its working culture, ethics, rules, guidelines, etc. Skipping this question can prove detrimental to your overall selection, as by doing so you will simply limit your personality evaluation. Thus, we recommend always asking a few relevant questions based on the model questions mentioned below:
- What are the various allowances and incentives that are offered by the company to its senior or top level employees?
- Please share a list of all the existing and upcoming projects, so as to decide upon the employment opportunity in a better way.
- Is it the policy of the company to extend vacations and other leisure trips to its top level employees for rejuvenation and break from work?
Closing an interview session in style matters a lot, and has the capability to enhance your selection chances considerably. Thus, always prefer to end your interview session in a perfect manner or we can say in style.
References
- https://journals.sagepub.com/doi/abs/10.1177/1362361320981319
- https://link.springer.com/article/10.1057/s41291-019-00091-1
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Sandeep Bhandari is the founder of PrepMyCareer.com website.
I am a full-time professional blogger, a digital marketer, and a trainer. I love anything related to the Web, and I try to learn new technologies every day.
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