Director of Operations Salary
The national average salary for Directors of Operations is $87K per year; by contrast, Ericsson Inc. pays at a significantly higher rate, offering average pay of $164K. Soaring salaries can also be found at UnitedHealth Group, Fresenius Medical Care Holdings, Inc., and Jiffylube, where earnings of $120K, $105K, or $105K are standard for Directors of Operations. This overview is based on answers to PayScale's salary questionnaire.
Job Description for Director of Operations
One of the major responsibilities of a director of operations is employee management, making sure as many as hundreds of individuals are productive. Directors of operations also may be in charge of making purchases related to production. Research and development are also typically overseen by a director of operations.Read More...
This position requires negotiation skills, as negotiation is something that must be done with vendors and sellers on consistent basis. Most of the time, the directors are required to have an advanced college degree and several years of experience within their industry. In some cases, directors also have professional certification that enables them to focus on establishing improvements and defining goals for the company. Most of the time, the director will work closely with the chief financial officer and board of directors and it is very important for the director of operations to have excellent communication skills.
Director of Operations Tasks
- Implement, manage and evaluate operation processes and procedures, in accordance with the standards and procedures set out by the organization.
- Ensure that operational processes stay within agreed upon budgets and timelines.
- Assist in developing strategies and implementation plans to improve and standardize all aspects of operations.
Common Career Paths for Director of Operations
Though not the most common occurrence, Directors of Operations sometimes become Senior Vice Presidents of Operations, where the average income is $180K per year. The most common career progression for Directors of Operations leads to becoming a VP of Operations, where average pay is $123K annually. However, many Directors of Operations also opt to become Executive Directors. Typically, an Executive Director brings home $75K.
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Popular Skills for Director of Operations
Survey results imply that Directors of Operations deploy a substantial tool kit of skills at work. Most notably, skills in Strategic Planning, Strategic Project Management, Team Leadership, and Process Improvement are correlated to pay that is above average, with boosts between 12 percent and 16 percent. Those listing Human Resources as a skill should be prepared for drastically lower pay. Sales Management and Organizational Development also typically command lower compensation. Those educated in Operations Management tend to be well versed in Project Management and Budget Management.
Pay by Experience Level for Director of Operations
Median of all compensation (including tips, bonus, and overtime) by years of experience.
Directors of Operations with a rich background of experience are typically rewarded with larger paychecks. Although individuals who have less than five years' experience earn $64K on average, people with five to 10 years benefit from a notably larger average of $82K. Directors of Operations bring in $100K after working for 10 to 20 years. Individuals who report more than two decades of experience seem to make only slightly more than folks in the 10-to-20 year range; the more senior group sees median earnings in the comparatively modest ballpark of $114K.
Pay Difference by Location
Directors of Operations will find that San Francisco offers an impressive pay rate, one which exceeds the national average by 33 percent. Directors of Operations will also find cushy salaries in New York (+21 percent), Atlanta (+21 percent), San Diego (+19 percent), and Houston (+16 percent).
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