Posted in Human Resources Articles, Total Reads: 2665
, Published on 30 March 2013
Interim Management means deploying senior executives for short term temporary roles. It is basically a temporary provision of management resources and skills. It can be role of a Head of Human Resource Department, a CEO, etc.
Interim Management is used majorly in three situations:
Continuity: In the situation where quick fix or temporary replacement is required for a position in an organization. Example a CXO level person or a manager at a high position had a sudden death and there is no succession planning done. In that situation an Interim manager is hired.
Crisis: In the situation when company is going through crises and troublesome stage like recent crisis situation in Maruti Suzuki India Limited, Manesar Plant. To handle such situations an Interim manager is hired to help sort out the problems.
Project: It is used in case of specialized work demand; it is basically a step change for increasing company’s productivity in a specialized area by special project like Post-Merger stage.
Interim Management is important because it is changing the way business works today and is in alignment with the needs and requirement of the changing business dynamics. It offers an individual an optional career path and suitable specially for those who don’t like to work all along the year and wants to maintain work life balance. It offers company a flexible bandwidth and speed to the operations of an organization and thus it can move faster in this fast changing and demanding world of business.
Strict Hire and Fire policies in countries: As many countries have high regulations concerning hiring and firing of employees, therefore, interim management contract is a good alternative solution for them.
Lay-Offs: With the recession and economic slowdown scenario, interim management is a viable option for a company.
Flexibility: In the scenario of uncertainty, the requirement of a company to remain flexible it can use Interim Management as an option. Interim Management concept is more interactive and hence highly flexible.
Equalization of Resources:Although internal transactions are cheaper but due to job uncertainty fear amongst employees, interim management can be a good option.
New Industries that requires transactional policy:For Example:- Defence Industry: Technology comes for shorter time period and then changes quickly
Willingness to be an Entrepreneur: It can be seen as a trend in the business world that usually after reaching the age of 40 years+, the employees want to become entrepreneurs, so Interim management can be a handy tool for them.
Stages of the ‘Project lifecycle’
Following are the stages of lifecycle of a Interim Manager on a particular assignment or a project :
In this the company/client talks to Interim manager and discusses on whether to hire him or not or whether to hire any Interim manager or not. In this they discuss about what are the company’s or client’s requirements and how Interim manager will fulfill them. All this is discussed in a meeting or so.
The Interim manager diagnosis the whole situation and comes out with what all needs to be done to fulfill the requirement of stakeholders. More light is thrown on the issues highlighted by the client earlier. This stage takes few days.
The Interim manager gives a detailed proposal talking about the objectives and plan. He may challenge the clients requirement as per his expertise.Interim manager is responsible to provide most effective solution to the problem.
The interim manager is responsible for project implementation, tracking its progress , get feedback and improvize according to that.This is the most important stage of the whole process and consumes maximum time.
The interim manager ensures that objectives set earler have been met by him and that the client is satisfied. The interim manager is concerned of the assignment’s success rather than the length of his tenure. After this here is often end of the interim manager - client relationship.
Characteristics of an Interim Manger
Charismatic:He should have a personality such that employees should willingly try to follow him and work for him.
Self Starter: He should take initiatives and be a driving force for others in order to achieve an organization’s goal.
Open to New Experience: He should be open to new challenges and experiences at work place and should facilitate the role of change agent within organization.
Not just a Consultant but an Implementer too:He should not only give suggestions as to how a company can improve on various critical parameters but also implement those suggestions in a company.
Is India ready for Interim Management?
Indian Business Market is ready for it. Although, it is relatively a newer concept in India but it will be a success because Indian Business Market has a large interim resource and can have access to it pretty easily. Although Indian companies do have problems with confidentiality, credibility and accountability of Interim managers but as the concept will grow over the period of time with experience it will hopefully be able to change the mindset of business houses.
Another factor for its success in India can come from the demand and requirement of the business houses, of having not just a consultant who can advice them a solution for the problem but one who can implement those solutions too in a company. This is exactly where Interim Manager Concept can come into play.
It is said that people consider interim management as a career option after the age of 40 and in India this figure rises to 50 years. So, it can be useful for us if we plan our career properly and develop the skills and attributes of pursuing a career in Interim Management Field after gaining experience of certain years.
Although there’s an argument to it by youth that is in their age group with not much at stake they can experiment with their career and consider Interim management as an option where they can think about developing their career. So from youths perspective considering Interim Management as a career option is a good move.