Cognitive Bias

One of the earlier interim industry benefits (>10 years ago, before the 2008 financial crisis), was an independent interim’s ability to challenge client ‘cognitive bias’, for example, by suggesting betters solutions to ‘the way things are done around here’.

The interim’s ability to tactfully challenge came from experience across many clients and, especially, many sectors.

Client Challenge Example

I recently challenged cognitive bias at a Contracting industry client. Long-standing family and industry mind-sets and practices were tested to create new solutions collaboratively.

Example solutions included technologically advanced (for a ‘basics’ industry), end-to-end digital transformation of core processes and clean data sources for better decision making, having endured paper-based processes and dirty data for many years.

Imagine, if you will, basically educated road workers using mobile devices to capture risk assessment evidence (photos), to track job workflows and to reschedule work priorities; quite a transformation!

The client also turned around from loss-making to profitable in nine months on the back of this, and other cognitive bias challenges.

Commodity Driven Candidate Selection

The Interim Service Provider (ISP) challenge to clients’ mind-sets via their selected candidates appears to have taken a back seat in recent years. It has been replaced by narrowly specified candidate sector experience and CV brokerage introduced from contractor/commodity recruitment practices.

Interims now tend to meet with clients via ISPs selected for client sector fit rather than the ability to champion change and transformation based on broad skillsets and agnostic sector experience.

I think this practice does not well serve UK Plc and the client-ISP-interim industry.

As one respected interim recruiter put it recently: “'More of the same' only results in 'more of the same'.”

IR35 Likely Effects

An evaluation of the proposed 2020 IR35 changes is a likely dramatic impact on the current interim and contractor industries.

There will be a confirmation of independent interims outside IR35; and contractors becoming ‘part and parcel’ of the client and inside IR35, effectively employees.

The New (former) Interim Approach

The commodity-based marketing practices which entered the interim space ten plus years ago will be replaced, if not already, by consultative approaches to client solutions, above, say, £700 per day interim rates.

Multiple CVs emailed to clients will become passé, and ‘chats over coffee’ will make a comeback for both ISPs and interims to more fully explore solutions to critical client problems.

One recently visited IIM Platinum recruiter said he does not send CVs to clients, preferring to book coffee slots for clients to see three interims he knows can do the job.

I encourage clients and interims (when in an assignment, as clients) to take up this approach and ask ISPs to send interims they trust and know can do the job, rather than wade through copious CVs to select people, to then see as well.

Why should clients do all the work?

Perhaps this new approach could also serve clients in contractor selection?

Client Education

Key to a transition away from CV brokerage to chats over coffee with interims known to be able to do the job is client education.

Interims (per the IIM Surveys) find 60% of their assignments themselves, and ISPs the remaining 40%.

In my view, both interims and ISPs must educate clients in new ways of getting the best ideas, talents and capabilities for critical client change and transformation needs.

All three parties in the interim industry will win by preferring a consultative interim industry approach over client CV filtering.

ISPs will need to let go, though, of their fear of losing business by not sending many CVs to clients just in case they might send the right one.

ISP Branding

Another interim recruitment group I recently met has for quite some time separately branded their interim and contractor businesses not to confuse clients, and to focus consultants with the right skills on the right approach that fits the required client solution (interim or contractor).

Risks to Avoid

A risk I see (and two other ISPs recently visited), is the commoditised approach to interim engagement lacks sustainability.

Larger consulting houses (to whom commoditised CV brokering is anathema to their business models), will gain further market share in value-adding change and transformation work; and perhaps the interims too.

Another risk is interims forming interim practices with marketing capabilities to build on their 60% self-sourced engagements.

ISP Recommended Changes

A question for ISPs: how are you discerning, separately branding, marketing, and appropriately resourcing with skilled consultant’s client offerings?

For example:

• Do you make a distinction between interim and commodity approaches in your recruitment processes – are they clearly defined, or confused – to best serve the client base?
• Should your interim and contractor/commodity offerings have separate brands?
• Are your consultants then working with the right approaches and client connections?

Summary

It is difficult to challenge client cognitive bias (a major client benefit) in a CV. However, half-hour chats with clients about their challenges and discussing, among other things, ways other industries solve similar problems is where enhanced interim industry value-add will be gained.

All three parties (client-ISP-interim) will then be served better, and the reputation of the interim industry will grow in response because of the progression to a consultative approach.

Addendum

Of course, consultants do challenge cognitive bias. However, they lack the hands-on and in-depth leadership engagement that interims are renowned, to see what is happening deep inside clients’ businesses.

 

Article by Simon C Jones, Interim Finance Director/IIM Director

 

 

 

 

 

 

 

 

Does the engagement of an interim manager ensure project success?

Bringing in additional project management resources can not only save a failing project but also help define what constitutes project success at an early stage

Projects fail all the time. What constitutes a project’s success and how it is defined will differ from organisation to organisation.

The standard expectation for a successful project is that it’s delivered on time, on budget and is of the right quality. This is often the case if the project has been competently managed and led.

It is, however, much more important that the business case and the benefits are made clear at the beginning of a project and readjusted along the journey, because this is the real measure of a project’s success.

Projects fail because the latter point hasn’t been realistically set out, the requirement has changed due to market or economic forces, or there has been a lack of communication at all levels.

If a project’s success is determined by its delivery in line with expectations, then the person who has set the guidelines will have a determining factor as to the success or failure of the project. This is usually the project sponsor, the person who “owns” it.

Project governance is the key to success, and business managers should be involved along the way to ensure the project is delivered in line with expectations.

Formal project governance is the big change we have seen over the past few years, and this was a response to the lack of ownership and control by the very people who require and fund the outcome of projects – the business managers.

A project running behind budget and time would usually be seen as a failure, but in fact a project’s success is determined by the benefit it delivers to the business, and if that means the cost and completion date have to be moved with the agreement of the stakeholders, then so be it.

Interim managers are often bought in to rescue “failing” projects. This can make perfect sense, because having a fresh set of eyes on the situation and making the necessary changes to drive the project forward can get the project team and its sponsors realigned.

There are real benefits to doing this, not least because once the project is underway and costs have been incurred, it can be difficult for the project team to pull it back on track. An interim manager can ensure that stakeholders become realigned to the outcomes and that people are ready for the change the project was intended to deliver.

Finding and retaining the right resource is challenging but critical. Once the right skill set has been defined, engaging externally can sometimes be the only option.

A more fruitful solution is sometimes to resource externally to lead the project from the outset, with someone whose only focus is to enable change and who won’t be drawn in to business as usual.
One of the key ingredients is to spot the warning signs and act immediately.  Planning is paramount to the success of a project, and it is important to define what constitutes success at the early stage of the process. It is often the case that the project manager will be held to account if the project is deemed to be a failure, but actually the project sponsor is the person truly responsible for the project’s success. If the expectations have not been realistic, if communication has been poor, if the original business need has changed, and if adequate training has not been provided, then this all points to the project sponsor.

Taking this back to grassroots, there could be a cultural problem if the business is not one that is used to embracing change: the people won’t have the motivation to make it work and hence it’s another pointer towards project failure.

The adoption of a strong, centralised project management office (PMO) allows for the transfer of knowledge and sharing. Knowledge-sharing and best practice will help ensure the future success of projects.

If this is led with a good PMO director and appropriate, experienced project managers, not just certified project managers (as this only shows they understand a method), then at least the risk of failure is minimised. Again, interim managers can be engaged to set this up.

Ensuring project success is not easy. If it was, there would be far fewer failed projects. There are, however, good practices to adopt in order to minimise the risk of failure. If the proper planning, communication and governance is adhered to, stakeholders’ expectations are properly managed and the right business requirements have been set, then you stand a fighting chance.

After all, nobody sets out to fail or to do a poor job, but one of the key ingredients is to spot the warning signs and act immediately. If that means bringing in an additional resource, then it could be money well spent.



Follow the link below to read the article in Executive Grapevine as featured in The Guide to Interim Management

https://www.executivegrapevine.com/content/article/magazine-2018-02-06-does-the-engagement-of-an-interim-manager-ensure-project-success

TOP 5 MEETING TIPS FOR INTERIM ASSIGNMENTS

TOP 5 MEETING TIPS FOR INTERIM ASSIGNMENTS

If you're counting down the days till your next meeting for an assignment, these helpful hints will help you get in the right frame of mind in order to leave a lasting impression in the meeting and secure the assignment.

1. Do your research 

Preparation is the key to a successful meeting and to getting that assignment you desire.  It is the little things that make the big difference.  Fail to prepare, and prepare to fail.  You are certain to be asked specific questions about the company, so make sure you've done your homework on things like their last year's profits, employees, competitors and recent successes, contract losses, latest product launches etc.  Also take a look at the latest developments in the industry so you can converse with confidence if it’s a sector you are unfamiliar with. Doing some research on the individuals you are meeting is always a good idea to find common ground you can build on to quickly build rapport.

2. Practice key interview questions & answers 

Although there is no set format that every client meeting will follow, there are some questions that you can almost guarantee will crop up. You should prepare answers to some of the most common questions about your personal strengths and weaknesses, as well as being able to explain why you would be the best Interim for the assignment.  Build on past successes and what you did in a similar situation, what you delivered and the return on investment for the client.

3. Look the part 

Appearances shouldn't matter, but the plain fact is that you are often judged before you've even uttered a word. Make sure your shoes are polished; you have a smart business suit on with a crisp shirt and business tie.  After all you are in a business meeting and should dress appropriately.  

4. Stay calm 

Good preparation is the key to staying in control. Plan your route, allowing extra time for any unexpected delays, and get everything you need to take with you ready the night before.  Don’t oversell yourself.  Let your achievements speak for themselves but don’t come across as someone who is desperate for the assignment.  If you have been off assignment for a while, it’s not their fault.

5. Ask questions 

You should always have some questions for your interviewer to demonstrate your interest in the business. Prepare a minimum of five questions, some which will give you more information about the assignment, some which delve deeper into the culture and goals of the company and some that help scope the assignment brief and map out key objectives.

Good luck!

Growth in the Interim market set to continue

We have seen a strong start to 2015 with increased numbers of mandates for assignments for interim executives to help deliver  transformation plans.

This growth is reinforced by the latest Ipsos MORI survey published by the IMA (Interim Management Association) which reports that the average number of enquiries per member is up by almost a quarter (23%) for Q4 compared with the same period in 2013.

A particular field of growth has been the private sector rising from 51% in Q3 to 67% in Q4. Finance remains a strong area even though the number of assignments has dropped from 46% in Q3 to 39% in Q4.  Financial institutions need to respond to regulatory changes imposed by the UK government or European Parliament and there will always be an on-going need for skilled managers to work on short-term projects to deliver change.

Other reported trends are the increased use of interims within the life sciences industry following an increased number of mergers and acquisitions taking place. Senior interims are being placed to offer expertise and support challenged management teams.

Whilst the pending UK election undoubtedly poses risks and decisions on capital expenditure and employment are likely to become more susceptible to delay; a changing economy still drives the need for the use of interim managers and this is a trend set to continue.

Statistics would suggest that experienced Interim managers are to remain an important resource for some time to come.

Construction set to drive UK economy

According to the CPA (Construction Products Association), the Construction sector is predicted further growth of 23%  by 2018. These statistics are reinforced by CIBT (Construction Industry and Training Board) who predict as many as as 200,000 new jobs being created over the next 5 years.

What does this mean for the sector and how does this translate for recruitment? Figures suggest an increased confidence in the sector with companies now required to upskill their existing workforce and attract new talented recruits capable of adopting new technologies in order for businesses to maintain their competitive advantage in the workplace.

One reported problem however is the lack of interest expressed by young talent in a career in construction.  This is a problem as  economic growth depends on finding this talent to fuel it.

The challenge for any company in a volatile environment is attracting and appointing the right candidates quickly to strengthen the leadership team and bridge the skills shortage to meet modern methods of construction technologies.

Macallam Interim recognise that it is people that build success and the breadth and scale of our experience enables us to appoint executives to help drive business  forward. We work in partnership with our clients in order to develop strong relationships that benefit all those involved.

For a confidential discussion please call 01423 704153

What does Building Information Modelling (BIM) really mean for the Construction sector?

Building  Information Modelling (BIM) is not a new phenomenon.  Its adoption is however slowly starting to gather pace as the 2016 Government compliancy due date draws closer. By 2016, Government procured constuction builds / projects will require BIM level 2.  This is going to be a real game changer as it is the first truly global digital construction technology and will soon be deployed globally. 

Whilst smaller SME’s see this as an industry challenge, some larger contractors are recognising the business benefits that BIM represents to the company as a whole. Recognisng that BIM know-how can accelerate their position and help to maintain a competitive advantage in the market place. Having the know-how means having the right people and talent in place to ensure BIM benefits are fully realised throughout the company.

BIM should not be seen as only a technical requirement but a whole new approach to working  both in terms of people and processes. Whilst on face value data appears to be the key driver, it essentially translates into collaborative working across multi disciplines.  Any change should be core to the company and it is skilled Project Managers that are needed to create capable project conditions ready for the use of BIM.

It is clear that people are going to be central to the successful implementation of BIM processes and as more companies realise  the company benefits of BIM there will be added focus on recruitment of the right people both to fulfill permanent positions and for short term help though the engagement of Interim Executives.

BIM  is still not common practice within the industry but businesses in the sector should not run the risk of being left behind.

For more information please see;

https://www.gov.uk/government/uploads/system/uploads/attachment_data/file/34710/12-1327-building-information-modelling.pdf

If you would like a confidential discussion about how we might help by providing people to get your business ready, then please call 01423 704153.