Why hire an Interim Executive over a full time one?
September 29th 2023 | Posted by Phil Scott
Leadership change often strikes a debate among other employees working within the company. Any change made at the leadership level is marked with emotion, stress, and tension, especially if the director’s exit is enforced.
However, life goes on and for-profit, and non-profit organisations, in particular, can hire interim executives, and see a visible difference in their company’s outlook. As a CEO, owner, managing director, or President of your organisation, you are responsible for filling the void and an interim executive can be your most ideal choice.
You know business and non-profits organisations from all over the world prefer hiring an interim executive over a full-time executive? It’s because retaining a full-time executive on permanent basis comes at a cost—a cost that is beyond any measure. Higher salaries, more control over organisational day-to-day affairs, decision-making power and leverage etc. are some of the things, which you as a president of the company need to afford. On the contrary, hiring an interim executive may or may not be easy, but it can provide you the flexibility, and time to plan organisation’s future goals and objectives in accordance with organisation’s strategic vision and mission.
What are the benefits of hiring an interim executive on a contractual basis?
A full-time executive can be costly for organisations of all sizes and hierarchy. On the contrary, hiring an interim executive on a contractual basis can be cost-effective for organisations looking to cut their costs.
A full-time executive may require a lot of paperwork to mark a formal hiring as a fulltime employee who will get all the entitlements such as bonuses, annual leaves, and different perks and privileges. On the other hand, all what an interim executive will have to do is sign a contract that will reflect a formal contractual hiring between an individual and organisation. This means very little or no paperwork is generally required when it comes to hiring an interim executive.
Boost Morale and Productivity
Filling the void left by any top leader working on a key project or post is never easy. However, an interim executive, through specialized skills and talents can make their presence felt, and empower everyone in the organisation. They can boost the morale, and overall productivity in the workplace. Moreover, they can enable your organisation to adjust more quickly and easily to workload fluctuations.
Are there any drawbacks?
Every time you commence a new project, regardless of how skilled or unskilled you consider yourself to be, you need training. Keeping this perspective in mind, an interim executive hired on a contractual basis might also require training, which can be both costly and time-consuming.
The interim executive directly hired at the leadership level gets access to sensitive information of the organisation straightforwardly. This can be dangerous for organisations as they can possibly lose their critical information if interim executives are not screened properly prior to hiring.
The decision to hire an employee as an interim executive or a full-time executive should be mad on a case-by-case basis. However, an interim executive in employment crisis situation can fill in the gap temporarily, and meet workload fluctuations.
If you are interested in hiring an interim executive, contact us to help you find the perfect candidate for your business.