International survey of Interim Managers who the interim managers are and what they do

Transcription

1 International survey of Interim Managers 2016 who the interim managers are and what they do Senior Management Worldwide (SMW) is the longest running and most successful international partnership of Interim Executives providers. With member firms in 17 countries and associates across the globe, SMW helps organizations with strategic leadership in temporary assignments. Together the partnership has developed an effective organization which has made SMW specialists in introducing rapid solutions for performance improvement to our clients.

2 International survey of Interim Managers 2016 Senior Management Worldwide (SMW) is the longest running and most successful international partnership of Interim Executives providers. With member firms in 17 countries and associates across the globe, SMW helps organizations with strategic leadership in temporary assignments. Together the partnership has developed an effective organization which has made SMW specialists in introducing rapid solutions for performance improvement to our clients. The International survey of Interim Managers conducted by SMW approached over Interim Managers in 12 countries for participation. The Netherlands, Spain, Turkey and USA did not participate in the survey, but have comparative values from local surveys completed in The purpose with the survey is to introduce who the interim managers are and what they do More and more people are starting to understand the value of Interim Executives; thus SMW sees continued growth in the service offering of interim managers. For clients, Interim Executives are considered more of a strategic leadership service than gap filling.

3 SMW international survey of Interim Management Country coverage Interim managers Average 53 years age 3 years as IM 200 working days/year 66 % in assignments 55 % C- level 23 % non-executive 15 % female

4 PERSONAL Age The and age groups remain the largest groups with 54%. In Poland, Hungary and China we would find a new generation of leaders In the + 40 age groups. Gender There is an increasing number of female Interim Managers globally. In Sweden some 25 %, UK over 30 %. Rest of Europe less than 20 %, and APAC over 35 % Years of experience as IM More and more executives are seeing the advantage and challenge in working as Interim Managers. The interim management industry is growing globally and stands for strong values in top quality leadership. 33 % of the Interim Managers are newcomers with 1-2 years in the market. Looking for work flexibly and within different businesses or sectors. 23 % have been in the market for over 5 years. More and more people are starting to understand what an Interim Manager can do and how they accomplish it

5 Age USA 70 % are baby boomers years Gender 2,3% 7,4% < 40 years Years of experience as an Interim Manager 20,9% years 15,5% years 14,6% 28,7% 25,2% years years 12,3% Female Male > 60 years 12,6% 33,7% 1-2 years 3-4 years 85,4% 23,1% 18,3% 5-9 years years > 15 years

6 Permanent employment vs IM The most of the interim managers are committed to Interim Management. 43 % could be interested in a permanent employment 57 % are committed to Interim Management Many clients are in search or recruiting processes to complete the organization when the interim managers have accomplished their assignment. They either develop talents in an internal employee or help the organization find new talent in an executive search process. The interim managers hit the ground running in the contract and quickly accomplish excellent results that are handed over to the client when the job is done. For many of those guys the client offers them a permanent position which ordinarily would be attractive, but instead they refused because they are committed to Interim Management. Average working day over the past years To work full time or part time as an Interim Manager would be a personal choice. 56 % are working less than full time, which would be an option for the clients looking for the best candidate to get the job done. Flexibility in full time/part time is most valuable.

7 Average working days on assignments over the past year as Interim Manager? USA Less than % Less than % More than % 34,3% 40,7% Less than 100 days Permanent employment vs Interim Management. To work as an Interim Manager is a career commitment for many executives. What is your preference - to consider permanent employment or to be committed to Interim Management? USA Yes 86 % No 14 % Less than 200 days 25,0% More than 200 days 56,6% 43,4% Yes, I could be interested in permanent employment No, I am committed to Interim Management

8 PROFILE, POSITIONS AND INDUSTRIES Current commitments to board positions Beside the profession as an Interim Executive many interim managers have taken Board positions. 37 % as Executive Members 15 % as Chairman 34 % as Advisory or in supervisory board Level where you normally operate as IM 53 % Level 1 - Board Level Executive, CEO, President, MD, CFO, GM or VP roles 24 % Level 2 - Non executive Director (NED) 24 % Level 3 - Line manager

9 Board positions Do you currently have any commitments to Board positions? Advisory, supervisory board 33,6 66,4 Chairman, NED 14,8 85,2 Executive Member 36,8 63, Do you currently have any commitments to Board positions? No Do you currently have any commitments to Board positions? Yes

10 At what level do you normally operate as an Interim Manager? All responses years Level 3 Line managers 23,8% Line Manager 23,24 Executive 55,50 Serie1 Executives 52,6% Non Executive 21,26 Level 2 Non Executive 23,6%

11 Current work status Interim managers accept part time contracts from time to time to have the flexibility to accomplish in Board level or Advisory commitments. For clients, a part time contract would give them opportunities to get more value for their money for a high caliber Interim Executive at a reasonable cost. 1/3 of the Interim Managers are between contracts. Average duration of IM contracts Most contracts last for 6 12 months or with a duration of more than a year. Number of assignments the last three years With an average duration of one year, 90 % of the interim managers have completed 2-3 assignments the last three years.

12 Work status, duration and accomplishment 1. What is your current work status? What is the average duration of your interim contracts? Less than 3 months 3 6 months 6 9 months 22,1% 9,0% Full time Part time 33,3% 41,9% 9 12 months More than 12 months 20,3% Not on assignment 24,8% In how many assignments have you accomplished over the last three years? 6,4% 2,9% 24,7% 24,0% 37,7% 52,9% More than 6 assignments

13 Major functional experience or position The largest areas of functional experience are Finance, Marketing and Sales, COO manufacturing and Human Resources years years HR 8% HR 8% 4% 4% CFO 22% 3% 4% CFO 22% 2% 3% 5% 3% 2% 5% 1% 2% COO Manuf 9% COO Manuf 16% COO Adm 10% M&S 31% COO Adm 8% M&S 28% CFO/FD Prio 1 Group Controller Prio 1 Marketing & Sales Prio 1 COO Administration &staff Prio 1 COO Manufacturing engineering Prio 1 COO ICT Prio 1 CIO (Information) Prio 1 CIO (Technology) Prio 1 Procurement Prio 1 Supply chain/logistics Prio 1 HR Prio 1 CFO/FD Prio 1 Group Controller Prio 1 Marketing & Sales Prio 1 COO Administration &staff Prio 1 COO Manufacturing engineering Prio 1 COO ICT Prio 1 CIO (Information) Prio 1 CIO (Technology) Prio 1 Procurement Prio 1 Supply chain/logistics Prio 1 HR Prio 1

14 Industry sector experience We have asked the Interim Managers for the priority 1, 2 and 3. Top sectors in prio 1 are 56 % Manufacturing/Engineering 50 % Banking/Insurance/financial services 47 % FMCG 47 % Biotech/Pharmaceutical/Chemical 45 % Automotive 42 % Public sector We present the Industry sectors experience in the following charts.

15 In which Industry sectors are you most experienced (%)

16 Market changes over the last five years 75 % of the Interim Managers would find the market changes to the same numbers enquiries or more opportunities over the last five years. Market changes over the last 12 months 76 % of the Interim Managers found market growth for their experience and profile over the last 12 months. 45 % found the same number of opportunities as last year 31 % found more opportunities than last year. We know that the number of enquires would reflect the business or economic cycle in countries where we serve the clients. It is important to understand when clients are operating globally. I quickly realized I had to have my own style and strategy and find my own way. - Brad Grey

17 How has the market for your experience and profile changed Over the last 5 years? Over the last 12 months? More opportunities 39,2% Fewer opportunities 24,2% More opportunities 30,9% Fewer opportunities 23,6% Same number 36,6% Same as last year 45,5%

18 Fee rate changes 63 % of the Interim Managers found no change or charged the same fee rate and 18 % charged higher fee rates over the last year. All years More/increasing 17,7% Less than recent years 19,2% More/increasing 16,8% Less than recent years 19,8% Same/no change 63,1% Same/no change 63,4%

19 Highest P&L responsibility Working as an Interim Executive calls for a proven track record in Executive positions, VP roles etc. Interim Managers are not specialists, they are leaders with P/L experience, driving change, performance improvement or turnaround in critical situations. All responses years > 200 M 24,4% < 20 M 21,0% More than 200 M 23,8% Less than 20M 17,3% M 19,2% M 17,0% M 19,5% M 15,1% M 20,0% M 22,6%

20 International experience 67 % Domestic companies with international operations 57 % International companies in a domestic market 32 % Expatriate experience 20 % Have been in assignments (away from home) further afield Over the last couple of years, the offering of Interim Executives has turned to be an international service. It is significant that Interim Executives bring strategic leadership and capacity to the clients. Focus is on driving change and result oriented managers. Before you are a leader, success is all about growing yourself. When you become a leader, success is all about growing others. Jack Welch

21 Personal strongest capabilities We have asked for the strongest capabilities in five leadership roles or strategic scopes. Value in a range from 1-5. (5 is highest) Growth 53 % in the range of 4-5 Turnaround 52 % in the range of 4-5 M&A integration 47 % in the range of 4-5 Change Management 58 % in the range of 4-5 Non-executive 39 % in the range of 4-5 International organizations have reduced costs down to the bone in management resources which means that lack of leadership in change is one of the most common areas of high risk. The road to success is always under construction Arnold Palmer

22 Experience and strengths What is your experience of Executive or Senior Management positions within international organisations? Of the examples listed below which do you believe are your strongest capabilities? 1 is low and 5 high. Of the examples listed below which do you believe are your strongest capabilities? Please evaluate below in a range of 1-5, in which 1 is low and 5 high. 80,0% 70,0% 60,0% 50,0% 40,0% 30,0% 20,0% 10,0% 0,0% 67,1% Domestic companies with international operations. 56,4% International companies as country/regional manager etc? 31,2% Expatriate in international companies? 19,7% Assignments further afield as Interim Manager 100% 90% 80% 70% 60% 50% 40% 30% 20% 10% 0% 20,5 20,2 8,8 13,8 16,8 24,1 11,1 11,1 19,3 25,8 15,5 18,8 13,3 15,9 18,3 26, Growth Growth M & A integration M & A/integration 14,7 21,1 29,6 26 Turnaround Turnaround Change management Change management 23,9 36,5 16,5 25,9 Non-executive - no P/L Non-executive - no P&L

23 The requested fee for an assignment is per day or per month. Monthly fees assume full time positions. Service providers charge a margin of % on top of the expected fee for the interim manager. What is your expected fee per day? Alternatively, what is your expected fee per month (assuming a full time position)? 11,0% 5,6% 20,1% 6,6% 9,2% 13,2% 13,4% 7,3% 28,5% 15,1% 29,3% 21,3% >1400 N/A 19,2% Less than

24 Expected fee per day CFO/FD CFO/FD all years N/A N/A 6,0% >1400 > ,3% ,3% ,3% ,1% ,0% 0,0% 5,0% 10,0% 15,0% 20,0% 25,0% 30,0% 0,0% 5,0% 10,0% 15,0% 20,0% 25,0% 30,0% 35,0%

25 Expected fee per day M & S All responses years N/A N/A >1400 > ,0% 5,0% 10,0% 15,0% 20,0% 25,0% 30,0% 0,0% 5,0% 10,0% 15,0% 20,0% 25,0% 30,0% 35,0%

26 Expected fee per day COO Adm All responses years N/A N/A >1400 > ,0% 5,0% 10,0% 15,0% 20,0% 25,0% 30,0% 0,0% 5,0% 10,0% 15,0% 20,0% 25,0% 30,0% 35,0%

27 Expected fee per day COO Manufacturing All responses years N/A N/A >1400 > ,0% 5,0% 10,0% 15,0% 20,0% 25,0% 30,0% 0,0% 5,0% 10,0% 15,0% 20,0% 25,0% 30,0%

28 Expected fee per day HR All responses years N/A N/A >1400 > ,0% 5,0% 10,0% 15,0% 20,0% 25,0% 30,0% 35,0% 0,0% 5,0% 10,0% 15,0% 20,0% 25,0% 30,0% 35,0%

29 CHANNELS TO MARKET Which are your channels to approach client opportunities The route to market for an interim manager is their personal network or service providers. There is a mix of contacts with service providers and personal network. But, 22 % is dedicated only to the personal network and 10 % is dedicated only to service providers How many service providers in your network 58 % are approaching 1-3 service providers for enquires. In Germany and UK 35 % of the Interim Managers are approaching more than 6 service providers for enquires.

30 Channels to market Personal network/service providers Which are your channels to market for approaching client opportunities? How many Service providers do you have in your network for interim management opportunities? 100% Personal contacts in my network 15,9% 24,5% 21,8% 100% Through a Service provider/ other intermediaries 9,8% 30/70 Personal network/service providers 27,0% 57,1% 23,1% 50/50 Personal network/service providers 20,8% 70/30 Personal network/service providers 1 3 Service providers 3 6 Service providers More than 6 providers

31 Evaluation of channels to market Service providers and personal network are extremely important for getting new enquires. Service providers 51 % extremely important 40 % most important Personal network 78 % extremely important 19 % most important New client leads 24 % extremely important 54 % most important LinkedIn/Facebook 12 % extremely important 48 % most important

32 Please evaluate your channels to market Service provider/intermediar ies Personal network New clients (new inquiries) Social media/linkedin/face book Local business networks Professional IM organizations Chambers of Commerce Less important 9,3 2,3 22,2 40,4 40,8 41,2 79,1 Important 40 19,4 53,9 47,9 42, ,4 Extremely important 50,7 78,3 23,9 11,7 17,1 15,8 2,5

33 Senior Management Worldwide (SMW) is the longest running and most successful international partnership of Interim Executives providers. With member firms in 17 countries and associates across the globe, SMW helps organizations with strategic leadership in temporary assignments. Together the partnership has developed an effective organization which has made SMW specialists in introducing rapid solutions for performance improvement to our clients.