More companies are fusing COO responsibilities into other top roles, giving CFOs, CTOs, and presidents direct control over execution as well as their functional strategy. This isn’t about title inflation. It’s survival. In an environment defined by complexity, speed, and constant disruption, companies need leaders who can think cross-functionally, act decisively, and drive results across the entire enterprise.

“There is tremendous pressure on organizations now to adapt to changes at a scale and complexity we haven’t seen before,” Anat Lechner, clinical professor at NYU Stern, tells my colleague Lily Mae Lazarus. “The COO has to grow another wing, so to speak.”

That evolution is reshaping the C-suite. Salesforce and PayPal are among the companies that have recently fused operational and financial leadership to streamline decision-making and break down traditional silos. The same shift is happening for CTOs, as organizations recognize that technology is no longer a separate pillar of business. The COO’s mandate now extends beyond supply chains and logistics to include scaling AI initiatives and overseeing platform transformations.

Ultimately, companies are betting that the future belongs to leaders who can deliver operational excellence through a cross-functional lens. “The new conversation is about COOs as strategic partners,” says Lechner. “You have to manage long-term vision and short-term execution. If you can’t think cross-functionally and lead with emotional intelligence, you won’t last.”

This evolution has turned the COO into one of the most powerful springboards to the CEO seat. Nearly half of the new CEOs in 2024 rose from president or COO roles, underscoring that operational leadership is no longer a secondary skill set—it is the defining currency of executive success. Companies want leaders who can think and operate across multiple dimensions simultaneously, and hybrid COO roles are increasingly becoming the ultimate proving ground.

On the topic of operating chiefs, Fortune is hosting its second-ever COO Summit on June 9–10 in Scottsdale, AZ. Interested in attending or know someone who might be? Shoot me a line at the email below. Among the highlights are candid succession talks with former COOs who leaped to CEO, including Chipotle Mexican Grill’s Scott Boatwright and Brooks Running’s Dan Sheridan.

Ruth Umoh
ruth.umoh@fortune.com

Today’s newsletter was curated by Lily Mae Lazarus.

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News to know

Steep U.S. tariffs on China led to a sharp decline in Chinese imports as companies rushed to avoid higher costs. It’s worsened an already strained supply chain. Fortune

President Donald Trump claimed that Chinese President Xi Jinping had called him and that he had secured “200 deals” on trade despite no confirmation from Beijing or evidence of finalized agreements. FT

IBM is trying to reestablish itself as a key player in the tech world, but recent earnings and doubts over its AI initiatives show it still has much to prove. WSJ

President Donald Trump gave mixed messages on a potential millionaires tax, saying he isn’t opposed but worries it could hurt the GOP’s election chances. Fortune