Top Ten Tips on Employing an Interim Executive
1. Have an ideal candidate in mind to ensure you pick the right person for the job. List as many desirable criteria as possible. Ensure you have defined the right balance of management skills, technical know-how and industry sector experience.
2. Make your decisions speedily as the best interim executives can get snapped up quickly.
3. Don’t ignore talent from another location. Most Interims are prepared to work away from home and this increases the talent pool available to you.
4. Remember that interim managers can speak openly to you, their client, about changes such as job losses because they don’t have emotional attachments to companies and they bring another perspective.
5. Agree the aims and timescales of the assignment at the outset, so that both parties know their objectives. Then review as the assignment progresses.
6. Ensure the interim executive understands your needs from the start. A written statement of objectives is essential.
7. Clarify the role of the interim executive to your permanent staff, so that they understand the person is being taken on for a defined period of time and can transfer skills to permanent employees.
8. Give them the authority and job title that is required to perform the role successfully.
9. Don’t make pay comparisons to permanent staff. It is misleading because the interim executive is paid a contracted fee and does not enjoy benefits such as holiday pay and superannuation. To determine an appropriate daily rate, a good rule-of-thumb is to pay 0.8% to 1.0% per day of the equivalent annual salary.
10. Interim executives can work for any size company. They are especially valuable to an SME that lacks skills in certain areas but is not able to justify employing someone full time. Remember, a three day a week structure cuts the expense by 40% or more.