ExecutiveRecruitment-InterIMExecutives
01 May 2008
Interim Managers enable organisations with a significant degree of additional flexibility and a fresh perspective...
We are undergoing a seismic economic shift at present: one in which the certainties of 15 years sustained growth are replaced with tighter financial realities, changed priorities, and new challenges. Adaptability will be a key determinant of those that emerge from this downturn ready to take advantage of renewed economic growth, and HR tools do not come more adaptable than interim management.
For those unfamiliar with the concept, interim management is the leasing of executive talent for defined time frames, usually for purposes of addressing skill shortages, overseeing internal projects, integrating new acquisitions after M&A activity, and compensating for the unavailability of key executives (e.g., through sickness, sabbaticals, succession planning difficulties, etc).
As an HR tool, its application is universal: all types of companies avail of it and do so in all kinds of circumstances. In the boom years, much of our work entailed helping those who had difficulty in sourcing scarce talent, or who needed help in such areas as product innovation or entry into new geographical markets.
Now, with the economic outlook more overcast, we expect to find a greater demand for executive talent with the experience to steer younger companies (the boom time babies) through the less benign climate awaiting us. We also reckon that more firms will resort to interim management to fulfil immediate managerial needs - without the expense of a permanent hire.
It is important to recognise that interim managers are not temp workers, nor are they to be confused with management consultants. A key differentiating factor and one that epitomises the advantage of interim management over more conventional HR solutions - is that interim managers hit the ground running, contributing and making a value-added difference from the moment they begin an assignment. In essence, while management consultants say; interim managers do!
Of course, parachuting a total stranger in among permanent employees is not without its problems, but this is rarely a serious issue, because the typical 'interim' is a highly qualified and experienced individual with the maturity and people skills to successfully handle such situations.
A particular strength is the fresh perspective that they, as an outsider, can bring to an established management function or department. Many of those we have placed on assignment have experience not just of different companies, but different industries entirely, and their 'take' on how particular tasks are discharged can be illuminating and enervating for those they work amongst. A common feedback we get from clients is that interim managers leave behind a managerial 'footprint' with their host firm - a permanent contribution to the corporate culture that lives on long after they've completed their assignment and moved on.
Although the practice is well established in the USA, Britain, and many mainland European countries, Ireland is a relatively late starter in interim management, although the gap is closing fast. This is expected to accelerate further, now that many of our HR departments are finished (temporarily, we hope!) with the game of 'catch-up' that typified so much of the boom years.
With demand for executive talent coming more into balance, we can expect more people will consider interim management as a career option. Managers on assignment earn good money, well in line with what they might expect from full time employment. The nominal daily rate charged for their services is higher than that for a full timer, but cognisance should be taken of the need to provide for pension, holiday entitlements, etc.
And the flexibility and adaptability of interim management works well for many individuals. Assignments are part-time, which allows for the development of personal business or lifestyle ambitions. Also, many executives have discovered that working as an 'interim' is a way of maintaining a current CV (and income) during the years when family needs are given priority.
From CIPD's People Focus - Summer 2008 Volume 6: No. 3