It's not a great time to be a manufacturing CEO, at least not if you have any expectation of a salary increase. According to a recent study conducted by accounting and consulting firm BDO USA, CEOs at midmarket manufacturing companies saw their salaries drop by 6% over the past year; the only other industry where CEOs saw a salary decrease is retail, where the decline was 1%. The average increase, of the eight industries studied, was 6% (see chart at right).
It's even worse if you're a manufacturing CFO, since the average salaries dropped by 12% last year. But for CFOs as a group, it's mostly good news, with salaries overall being up 5%.
"The CFO role is undergoing a period of notable change, as even more is expected of today's CFOs," explains Randy Ramirez, a senior director at BDO. "CFOs are no longer just the keeper of the numbers, but instrumental to executing the broad business strategy, from growth through acquisitions and maximizing existing assets to navigating an increased financial and industry-specific regulatory environment. As the position evolves, pay rates across some industries are starting to meet those new demands."