Interim Management

What is Interim Management?

Interim Management is a set of activities with defined time, objectives, result and scope, carried out by and individual (an Interim Manager) within an organization aimed at specific, agreed business results based on co-operation and participation in risk and profit in the scope of intended results. The most important aspect of the Interim Manager's work is increasing the value of an organization in a given area and reaching the predefined objectives.

Who is Interim Manager?

Interim Manager is a highly qualified expert in organization management. They have many years of well-documented experience on the highest management levels, often as CEO's and Board Members. Using their knowledge they propose directions for change, prepare solutions and supervise their implementation; their work is evaluated based on results.

Interim Management - most common applications

  • Change management;
  • Short term demand for highly qualified staff;
  • Turnaround and restructurings;
  • Stepping in for an absent manager;
  • Expert support;
  • Consulting and implementation.

Advantages of Interim Management for the client

  • Strengthening or completing the management structure organization-wide or in selected areas;
  • Streamlining of individual business processes;
  • Efficient way to solve a particular problem within the organization;
  • Opportunity to work with the best managers from Poland and abroad;
  • Access to the Interim Manager's impressive knowledge and experience;
  • Saving time and money necessary to employ and train new staff;
  • No cost of full time employment;
  • Option to link the fee to successful realization of the project (part of fee based on results).

The Interim Management market

Origin

Interim Management (IM) first arouse in the Netherlands in the 1970's as a way of escaping a restrictive labour code, under which employers were obliged to pay very high severance payments to the employees who were being fired. Managers, confident in their value on the market, agreed to work for higher fees for defined periods of time or only for the length realization of a predefined task, waiving the employee protection offered by the law. It was a win-win situation; although the employers had to pay higher individual fees, they did not have to pay the severance payments and had a guarantee of result, for which they engaged the Interim Manager; the Interim Managers, on the other hand, received a higher fee for their high competences but had to participate in the risk and the success of the client.

The market today

At the moment, the IM in highly developed countries, such as the Netherlands, the United Kingdom or Germany is estimated at tens of thousands of professionals. In UK alone, size of the IM market is estimated at GBP 1.5 billion (source).

Judging from past experiences, we can say that Interim Management is a form of activity that becomes especially popular in times of economic crisis. Examples from western countries, with a well developed IM services market, confirm that.

Interim Management met the challenges of a difficult market in crisis. There are several reasons for this.

  • In times of economic change, there are more "free" managers on the market, as they lose their jobs as result of redundancies. On the other hand, companies are looking for ways to survive the crisis, optimize costs, implement changes.
  • Engaging an Interim Manager is a short-term cost for the company, directly linked to the effects and time of his work, it does not generate additional employment related costs, such as social insurance, taxes or, in case of a new full-time employee, trainings. From the point of view of the company, these are actual advantages allowing to cut costs in a difficult period.
  • Therefore, Interim Management, being a flexible form of work, allows to realize specific tasks and projects in a situation, were recruitment in the organization is frozen and there is no agreement to employ new people.

The Polish Interim Management market is estimated at several hundred active professionals and several thousand people ready to start such form of professional activity. They are highly qualified managers, with Polish and international experience and a trail of successfully completed projects.

Interim Management Reports

Reports on Interim Management in Poland and internationally: