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Interim

4th October 2007, Page 56
4th October 2007
Page 56
Page 57
Page 56, 4th October 2007 — Interim
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Which of the following most accurately describes the problem?

management

Looking to fill an employment gap or get someone in to run a restructure? Dylan Gray looks at the advantages of buying in the skills — without any long-term commitment

Is your business keen to expand into different markets, or are you planning a specific project but don't have the in-house skills to move it forward? Interim management could be the answer.

Interim management, a relatively new phenomenon, is the short-term hiring or leasing of a specialist executive to address short-term tactical or strategic challenges It can be separated into various sections, such as project/programme management and gap management.

A project/programme interim manager would be an alternative to retaining a management consultant. If a company is undertaking a project and is broadly clear on what must be achieved, but does not have anyone in the organisation with the relevant knowledge or skills, an interim manager could help.

Similarly, a gap interim manager may be the alternative to hiring a specialist on a permanent basis. It may be that someone has been promoted, seconded, resigned, or is on maternity leave.The company might not have the resources to fill the vacant position in-house, but does not want to stop progress in that particular area.The interim manager could also help to hire a replacement.

Short-term cost

While the terminology alone of interim manager might put off small companies,their use is by no means limited to large organisations. According to the Interim Management Association (11MA), the cost between a permanent employee and an interim manager is comparable. Of course this depends on the manager's experience and nature of the assignment. Management and consultancy service Executive Interims claims interim managers charge 160041,500 per clay, whereas management consultants will cost £1,2(X) to f3,000 per day.

The 1MA says that, in its experience, interim managers are not generally seen as a threat by other employees, as they bring in other expertise for a limited period The time scale also gives them a certain immunity from internal corporate politics, making it easier for them to operate through unpopular channels and without having to be concerned with the long-term impact on the individual.While the interim manager or a consultant would be brought in to manage a specific j ob that needs a Certain skill,the latter will advise the company on how to do the task, while the interim manager will take action.

A survey by the IMA shows the average assignment length is 108 billable days. Its figures show 40% of interim managers stay for up to 60 days; 29 % for 61-120days. Only 3% had assignments lasting more than a year.

Statistics show the whole interim management sector has only a small presence in the transport industry, accounting for just 5% in the private sector. However, with a high proportion of transport firms in crisis or needing redirection, that could change.

Reasons for assignment are varied. According to the MA, change/transition and programme/project management are the most common, followed by business improvement, gap management and crisis management. Growth, start-up, turnaround, closure or sell-off, merger and acquisitions complete the line-up.

Handing over

If your interim manager is implementing new procedures within your organisation, it is crucial that part of their brief is to train someone to take over once the process is completed. Part of their value to your firm is that they can pass on some of the skills they brought. So how does this translate into the logistics sector?

As an example, a livestock haulier running 10 trucks has felt the pain of recent foot and mouth disease outbreaks, and decides to diversify into hauling other agricultural products such as grains. The firm has all the staff it needs, but not the skills, and it has vehicles although some would need modification or replacement.

This is where the interim manager comes in. From the start, he manages the transition from livestock haulier to agrarian haulier.

Bringing previous experience of change management or similar and with a background in agricultural haulage, the interim manager would organise aspects from the transformation to the training, or take on specific tasks, leaving the haulier free to exploit his contacts for new contracts.

The interim manager is available for a set period, after which he is redundant.The exlivestock hauler does not have to find a new manager he can work with or pay long term in order to achieve his goal.

CONTACTS

MN W. inte ri m ma nagement. co .uk www.executive-interims.co.uk

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