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What Does a Regional Director?

K. Kinsella
K. Kinsella

A regional director oversees the operations of a major company within a certain geographic area. In some instances a regional director may sit on a corporation's board of directors, but in most instances firms simply use the term "director" to distinguish senior management from site or departmental supervisors. Regional directors usually have a degree of autonomy as they are ultimately responsible for revenue generation within their designated area of responsibility.

Typically, a regional director oversees company operations in a specific area. Managers who oversee production in those locations are the direct reports of the regional director. The director hires, coaches and fires managers while each manager normally has the responsibility for hiring and firing his or her own staff. A regional director may report to the company chief executive officer, chairman or president. Some major companies have an extra tier of management in which case the regional director may report to a supervisor who oversees a company's operations across a wider geographic area.

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Woman posing

Corporations release annual sales and budget forecasts and each regional director is responsible for helping the firm to meet or exceed these goals. Revenue generation goals are divided among regional directors based upon the results of previous year. The director then divides the area wide goal between the local offices and company locations. Directors have to ensure that revenue goals are assigned correctly so that each manager receives a goal that is achievable based upon factors such as staffing, past performance and local economic trends. Generally, directors have the authority to re-assign goals mid-year if certain branches exceed expectations and others fall short.

Regional directors have to develop new ways to increase revenues whether by increasing sales of improving efficiency by eliminating costs. If an area of the company fails to generate sufficient profits then the director may have the authority to cut costs by eliminating staff positions or even closing poor performing company locations. Directors oversee the regional budget and must make strategic decisions such as deciding how much to spend oo marketing or advertising. In many instances, regional directors receive performance based bonuses and therefore stand to directly profit from making sound business decisions.

Many companies require regional directors to have college degrees in subjects such as business or finance. Some firms even require directors to have advanced degrees as well as several year's of management experience. Companies often seek directors from outside firms while other companies prefer to promote successful managers into director positions.

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