INTERIM MANAGEMENT SYNOPSIS

 INTRODUCTION

Over the last decade, interim management has matured from a ‘distress purchase,’ used to fill an unexpected gap in the organisation, to a strategic investment used to give a momentum & direction to new initiatives.

Companies are under increasing pressure to perform, whilst facing skill shortages and the requirement to control overheads.

In order to adapt to the increasing rate of change in the market, companies are adopting different strategies, including a more flexible approach to human resources, usually their largest overhead area.

Interim management can play a vital role in this strategic resourcing

WHAT IS AN INTERIM MANAGER

An interim manager is an experienced professional fulfilling a short-term assignment at a company & bringing a specific skill set that is not already in the company, but that is essential to it’s next level of development, be that financial survival or the launch of a new venture.

The role of an interim manager is unique and is a relatively recent phenomenon.

It should not be confused with the role of a non-executive director who takes on a long-term but hands-off role. Nor is it the same as a management consultant. An interim manager works in the business on a short-term contract, whereas a consultant acts only as an advisor to the management team.  

WHY USE AN INTERIM MANAGER AND WHAT ROLES DO THEY FULFIL

Companies use interim managers because the success rates are high.

A much used phrase is that ‘interim managers are sensibly over-qualified for the job’- most are over 40 & bring a wealth of experience from senior positions in a variety of industries.

Interim managers usually thrive on challenges and hard work, and combined with their experience this makes them ideal for a variety of short-term roles within a company such as

           covering unexpected absences of key employees, up to MD level.

            implementing change.

            managing difficult or time critical projects.

            looking objectively and ‘non politically’ at the organisation.

 CHOOSING THE RIGHT INTERIM MANAGER

The relationship an interim manager has with the company is key. However long the contract is for the interim manager is part of the business for that period and has a line responsibility within it. They are required to make decisions and, unlike management consultants, have no external agenda to meet.

Many companies choose to use interim managers from outside their own industry, in order to help the management team ‘think outside the box’. Interims are able to challenge the status quo and propose changes to what had previously been accepted as ‘the way things were done.’ This can be done without threatening the incumbent managers, as the interim manager is not looking for promotion or to stay in the organisation.

An outsider holding a line management position can act as a role model and set an example for employees.

A successful contract that fulfils the companies requirements will often lead to the company using the interim manager again when they have another problem to solve or project to complete, so it is in everyone’s interests to work directly on achieving the objective, rather than merely advising or ‘politicking’

The interim manager obviously needs the technical skills required by the particular assignment. In addition, however, he must have the people skills to hit the ground running and carry the rest of the organisation with him. Unlike a normal job he does not get his authority from the time he has been with the company and the level he has been promoted to. An interim manager gets respect for his ability to fulfil the contracts requirements from day1.

 THE FUTURE

Initially it was large organisations that embraced interim management. Now, however, growing numbers of smaller firms are opting to take on an interim manager to enable them to develop aspects of their business. It is often more economical for small companies to hire an interim manager with skills they don’t possess, because the long-term gains exceed the initial financial outlay and the interim manager leaves as soon as the task is completed.

Interim management is now evolving into a fundamental part of the business landscape, and is providing significant benefits for those companies far sighted enough to utilise its benefits. 

Companies are now using interim managers in the same way as they use other professional advisors on the basis that there is no way management teams can possess, on a permanent basis, the skills that a company needs to face up to its ever-changing challenges.