The FNMT was created by interim management firms in order to help structure the market.
The first “Interim Management” firms appeared in the United States and the Netherlands in the 1970s. In France, the activity appeared in the late 1980s, and today the sector experiences a growing success. The French market is currently estimated at around 300 to 350 million € with a 20% to 25% annual growth rate.
Most interim management projects are carried out at top executive and board levels.
More precisely, 70 to 80% of the projects concern general, financial, human resources or industrial site management. The industrial sector remains the biggest interim management consumer, insuring 60% of projects. The remaining 40% is divided between services and distribution.
Definition of Interim Management
Interim Management is the use of high-level external operational skills during a limited period of time in order to accomplish a specific mission. The reasons why a company chooses to employ an interim manager may vary:changing management and restructuring
- recovering of critical situations
- managing change or outsourcing a service
- crisis management
- filling a vacancy (i.e. sudden departure, illness…)
- development of activities: developing abroad, new product development, growth support…
- M & A
- process improvements: new technology adoption, implementation of a new accounting system…
- special projects: change of the group strategy, accompanying an IPO, setting up a reporting or budget processing.
- creation of a company (start-up)
All of the above are exceptional situations and urgent circumstances that imply a rapid implementation of solutions. They are the very purpose of the interim management.
The Interim Manager: A man of action
Interim management is more than merely “temping”.The objective of the interim manager is not merely to reinforce staff during an agreed period of time. The outcome of the assignment and the profile of the managers are more specific. The manager tends to have an “oversized” profile regarding the assignment. The objective of the assignment is attained by the application of a methodology determined beforehand in accordance with the interim management firm.
“The temping executive manages continuity, the interim manager manages change”
Interim management is not the same job as consulting. Interim managers are doers. They take action in their assignments, and integrate fully with company personnel, unlike the consultant who remains an external actor.
“They roll up their sleeves and get to work”
There are several key assets that qualify an interim manager :
- Solid experience: Professional experience is a key factor in the interim management trade. The typical job profile requires at least 15 to 25 years of professional experience in high responsibility positions preferably abroad.
- Mobility: The assignment can be admissioned anywhere in France or abroad. Therefore mobility and availability are essential.
- Adaptability: companies that employ interim managers are generally facing emergency situations. They need a manager who will be 100% operational.Adaptability : Companies using interim management services typically find themselves in situations that require the incoming manager to be almost immediately fully operational.
- Leadership: An interim manager must be able to mobilize teams in stressful situations. A natural leadership temperament is requested.Leadership : An interim manager needs to be able to motivate and mobilise his team in difficult situations. Consequently, leadership skills such as a natural authority are essential qualities of an interim manager.
- Orientation towards objectives and results: The interim manager is an independent contributor, and must be able to quickly choose a solution that will generate results. His work is goal driven, never politically driven.
Terms and salary
The salary of an interim manager depends on his level of qualification but it represents at least 80,000 € annual gross salary. That being said, salaries also vary according to the sector in which the manager is involved and the type of mission he is assigned. The average pay of a manager is often 120-150 000 € gross annual salary.
Methods of operation:
- Temporary Contract
The interim manager is an employee of the temporary employment firm that presents him/her to the customer.
- Fixed term contract (CDD)
For the duration of the mission, the interim manager is an employee of the firm who has taken responsibility for the mission and pays him/her.
- Umbrella Company
The interim manager is an employee of the umbrella company that pays him/her and charges a fee to your client. The interim manager remains independent without need to create his/her own company.
An executive may work in interim management as an independent by creating your own company.
Why do this job?
The benefits of trade are many:
- Autonomy : The interim manager remains with the company for a specific period of time, and therefore does not partake in its internal policy. He/she is independent of all strategic considerations regarding his career and can therefore concentrate fully on his job.
- Project mode: Each assignment involves a new company, new employees and a different issue. Each project therefore brings new challenges, which makes the work environment interesting and diverse.
- Intellectual challenge: In the interim management business, workforce training is an essential part of the profession. The manager continues gaining in experience and developing technical skills and practices.
- Time Management : The manager has the freedom to seek and eventually reject a project. He can decide to take several months off between two assignments. This may however be a down side regarding the profession. There may be long undesired inter-contract periods.
Why work for an interim management provider?
In principal, there are two different ways to work as an interim manager: independently, by creating your own company or in cooperation with an interim management provider. The advantages of the latter, for both manager and client, are linked to the support structure it offers, such as :
- Reputation : An interim management provider is constantly building its reputation and its name quickly represents a certain standard of quality. In working for an interim management provider, the manager benefits from this reputation and might find it easier to find new assignments. The members of FNMT are committed to delivering processes ensuring professionalism, quality and ethics in interim management services.
- Project Portfolio : The scope of the provider’s network often enables it to offer projects to its managers that they would not have had access to otherwise. Consequently, the interim manager’s benefit lies not only in enlarging his project portfolio, but strengthening his personal network.
- Project Monitoring : Interim managers work in cooperation with provider intern mission directors who are able to offer support as well as an objective and independent perspective. Furthermore, they accompany the manager in the triangular relationship “client-manager-provider”.
- Team Structure : Providers are able to offer a multidisciplinary team to handle the client company’s situation.
Why do the job with an interim management firm?
There are two ways to work in the profession: as an independent by creating a company, or in collaboration with an interim management firm. The main advantages of the latter option are related to the support that the interim management can offer the manager and customers.
• Importance of reputation for an interim management firm: A firm is constantly working on building a good reputation and offering a “brand” quality standard.
The members of the FNMT have agreed to implement a labelling process, therefore guaranteeing a general code of conduct for its members. Working with one of our firms insures the manager reputation and support.
• Assignments: Through network of the interim management firm, the interim manager will have access to assignments difficult to obtain through personal networks.
• Project management: The interim manager is accompanied by a business advisor, who gives him support and provides independent and objective perspectives.
• The team rather than the individual: This is an opportunity for the firm to provide a multidisciplinary team in a business situation.