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Interim management is the temporary provision of additional management resources and skills. Interim management can be seen as the short-term assignment of a proven heavyweight interim executive manager to manage a period of transition, crisis or change within a company. In this situation, a permanent role may be unnecessary or impossible to find at short notice. Additionally, there may be nobody internally who is suitable for, or available to take up, the position in question.
History
The concept of interim management arose during the 1970s in the Netherlands, where permanent employees were protected by long notice periods and companies faced large costs for terminating employees.
Factors
There are several factors that make interim management the popular resourcing option that it has become today:
- Speed. Interim managers can be in place within days as opposed to weeks (essential when time constraints are paramount).
- Experience. Interim managers will be more than qualified for the position they are taking on and will therefore be stepping down in responsibility. They will also have past experience of similar challenges to the ones they are about to face. They should be equipped to have an immediate effect and be productive from the outset, minimising the risk of things going wrong and, more importantly, ensuring success.
- Objectivity. Unencumbered by any previous involvement in company processes or staff relationships, interim managers should provide a fresh perspective and be free to concentrate on what's best for the business.
- Accountability. Rather than taking on a purely advisory role (as a management consultant would), interim managers are responsible and accountable line managers who will implement and manage a business or project in their own right.
- Effectiveness. Operating at or near board-level gives interim managers the authority to effect significant change or transition within a company — unlike a temp, they're not just there to ‘hold the fort’.
- Commitment. Interim managers are typically committed to an interim career. For them, this is never just something they are doing until a suitable permanent position is found. A good interim manager should enjoy the challenge of the different assignments, take great pride in maintaining the highest standards while realising that they are only ever as good as their last job.
There are a number of different business situations that could result in the need for an interim manager. Typically, these could be situations such as crisis management, sudden departure, managing change or transition, MBOs and IPOs, mergers and acquisitions, and project management.
The interim management concept has now taken root in the UK, Germany, and Belgium, and is spreading elsewhere, most notably in Australia, the US, France, and Ireland.
