Interim executive client presentation

Interim executives - Improving An

Organisation’s Performance

Stephen Bell, Partner Interim Management

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The role of interim executives in creating flexible and nimble organisations

In the last few decades we have seen a dramatic increase in the complexity and volume of challenges facing organizations. A fluid economic environment, the need to embrace technology, new business models and informed consumers mean the need to change and adapt is critical to survival. The risk in not addressing these organizational challenges in a timely manner is seen every day in organizations losing market share and not being relevant to their customers, just ask Kodak, Blockbusters and Sears. Organizations need to source the capabilities and build capacity to enable them to nimbly adapt; but in Canada we were stuck on hiring practices based on a 1950’s model, that is until the last few years…….

We have started to experience a dramatic rise in the use of interim executives to address capacity and capability challenges within organizations. In Europe, who adopted the use of interim executives over a decade ago there is a recognized goal to have 20% of their senior workforce as interims to give them the flexibility to change the collective skillset of senior management to match the needs of the organization. The Harvard Business Review stated that organizations who adopt this model will be able to build a competitive advantage and that interim executives will change the hiring model for all organizations. The indication is that Canada is changing are you?

Interim executives are subject matter and industry experts with a proven track record of managing change and delivering results within a broad range of challenging scenarios.

There are 2 types of interim executives

‘Traditional interims’ - can fill gaps immediately in an organization enabling continued stakeholder engagement whilst assessing the position and searching for the right permanent candidate

‘Strategic interims’ - are subject matter experts who are injected into organizations for a defined period of time to address business challenges, accelerate transformation, drive projects and realize commercial opportunities

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Interim executives and their role in the building capacity and capability

Interim executives can give you a more flexible, nimble, cost effective and faster solution to address a current issue

which is impacting your customers and/or employees.

‘In desk’ adding value within 10 days of initiating the search

The strategic interims allow organisations to ‘buy in’ the key skills that are needed to evolve their organisation, to drive

efficiencies or address critical issues without burdening the company with the costs of those specific skills in the long

term.

Most organisations know what the issues are and a strategic interim who has experience tackling that problem will

come in for a defined period of time and then exit allowing the organization to operationalize and continue their change

programs.

The large management consulting firms used to be a regular solution to this problem but they are very expensive, are

more focussed on theory rather than pragmatic, just-in-time application/execution and are geared towards larger scale

projects.

© Knightsbridge Human Capital Management Inc.

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Some articles from respected journalists around the world

In the last two years we have seen a lot of print dedicated to the rapid change in resourcing strategies and the number

of companies using interim executives. Please review the links below to gain their perspective too

http://www.iod.com/connect/leadership/articles/the-rise-of-interim-management

https://hbr.org/2012/05/the-rise-of-the-supertemp

http://www.afr.com/p/business/companies/the_rise_of_the_suite_super_temp_XJDTZv6izZXbLcst3UyuaO

http://www.cnbc.com/id/47415271#.

http://edition.cnn.com/2012/05/22/business/permanent-temp-career/

© Knightsbridge Human Capital Management Inc.

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When to hire an interim executive

Searching for cost efficiencies

Period of significant restructuring

Developing your bench strength

Bridging a succession planning issue

Injecting new ideas and perspective

Projects or change initiatives that require special expertise

Leaves of absence or sudden departures

Strategy redesign and review

New system implementation or upgrade

Help in launching a new initiative or product or service

Desire to reduce spend with consulting firms – i.e. Deloitte, PWC, BCG

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Some real life examples of our service

Interim VP Finance is able to save 18% of operating expense in 6 months

A government agency was looking to uplift the overall offering of its finance team. The individual needed to work closely with the senior management team to identify opportunities to drive cost out of the organization and build a new financial plan. After 1 month the plan was presented and accepted by the board and the interim drove the key projects to realize the efficiencies. The interim then hired and trained a permanent successor and moved on to their next challenge

Bottom line: The interim VP completed the job in 6 months which was 3 months quicker than expected, saving time and money. They also helped develop and retain permanent staff. The client described this high-powered individual as “a perfect cultural fit.”

Interim CEO hired to create strategic plan uncovers critical safety issues

The board of a public utilities commission needed a strategic plan to move to a for-profit model. The client had been without a CEO for 18 months and its decision process was multi-layered and complex. Knightsbridge placed an interim CEO with an engineering background and the needed political sensitivity, who had also run a business and could drive the strategic document creation.

Bottom line: The interim CEO found some unknown safety hazards, fixed them, and then developed the strategy. To the board’s delight, he also deftly handled the chair, who had been overseeing operations. Original schedule: 6 months. Actual schedule: 6 months, plus 5 -month renewal to complete the plan.

Interim VP HR helps fast growing company manage the pains of growth

A fast growing technology company had a sudden departure of their HR leader and our interim was bought in to help the organization through the next phase of their growth. They needed to ‘buy in’ her experience of working for a company that had grown from $5m to $48m and build the right HR platforms. Employee engagement improved significantly within the 6 month engagement as she rolled out training and development programs. The interim was so successful and happy in her assignment the client bought her onboard permanently and she is still there.

Bottom line: Laying the platform for growth through buying in future state experience

Interim COO completes viability study in 2 months, saves millions

A private equity firm urgently needed to decide whether to turnaround or divest a money-losing industrial cleaning business. Knightsbridge presented an interim COO with logistics experience who had also run similar a business. He had proven ability to assess market potential and existing staff and processes, and justify a recommendation on the future of the business.

Bottom line: The interim COO recommended divestiture. He completed the project 2 months ahead of schedule, saving two months of losses. The client was delighted with Knightsbridge’s speed and choice of executive.

Interim VP IT quickly replaces an underperforming predecessor

A new CEO was unsatisfied with the value of the IT team so they hired an experienced VP IT to provide a 1 month assessment of the team. After presenting their review the CEO asked the interim to extend their mandate and drive some key projects including assessing and hiring their permanent replacement, overhauling the PMO, PeopleSoft upgrade of finance and HR modules and build a new IT strategy to present to the board.

Bottom line: A fast and effective uplift of the overall value of the IT team at minimal cost

Interim Head of Communications creates and executes a branding initiative driving new revenue streams

A charity was entering into a new partnership which gave them a once in a decade opportunity to drive their brand and increase overall donations. The interim was able to create and execute a communications strategy that has elevated the organization. The assignment went so well that the charity saw the ROI on this role and hired the interim on a permanent basis

Bottom line: The charity invested in their branding and received a significant increase in their donations from new and traditional revenue streams

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© Knightsbridge Human Capital Management Inc.

Value of hiring interim executives

Injects new ideas and perspective

Immediate impact as they hit the ground running

Greater control than when using a consulting firm – they are directly accountable to you

Develops your bench strength

Bridges a succession planning issue

Significantly cheaper than hiring a consulting firm and you get a subject matter expert who has a proven track record

Buying in specific skill sets or knowledge for a defined period of time

Defined cost – you set the project cost before they arrive and it is the strategic interim’s job to deliver in that timeframe

Limited liability – 1-2 weeks’ notice and no further obligations

Focussed on delivery – not bogged down by politics if empowered effectively

Speed of delivery – in desk within 2 weeks

An objective view point

Flexibility of assignment – from a few days due diligence to a full company turnaround

Cost effective – they will pay for themselves from the benefits they bring to your organisation

The interim executive is delivery focused, driven by results and will leave a legacy

Achieves your objectives in a shorter time span

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Why hiring an interim executive is better than hiring a consulting firm

Higher expertise at lower cost

Interim executives are usually very high calibre individuals, often having significantly more expertise and experience

than you would get from a consultant. On average the cost is less than 50% the cost of engaging a consulting firm !!

Closer relationship with you and better integration into the organisation

The interim executive becomes a member of your organisation. They report to you, staff report to the executive, and if

desired the interim executive can fulfil all the normal duties that you would expect (such as conducting appraisals,

project planning and control, producing regular reports, etc.).

Better follow-through

They don't just produce reports and advise on the course of action to be taken: they 'do it', implementing whatever

changes are needed.

More ownership

Because the executive is temporarily part of the company, responsible for implementing changes and will face the

consequences of that implementation, there is usually a much greater degree of ownership of the project.

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The process

This is a contingent service, you have no financial liability until you select and hire a professional and they start working

with you. You only pay for each day they work.

At the start we ensure there is a really clear brief about your specific deliverable outcomes. This helps us to identify the

right interim manager in terms of skills and experience.

We then seek out the most suitable candidate for each interim management position from our close network of

experienced interim managers and our extensive database. Once we have established who is currently available, we

shortlist and send you details of a maximum of three people.

As well as helping to select the correct person to meet your interim management positions, Knightsbridge also assists

during the selection process with the administration, reference taking, and assessments.

We pay the interim manager and they are our employee.

© Knightsbridge Human Capital Management Inc.

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What some of our clients say

Your team is without equal as partners. They understand us and our market and have been able to scale with us as our needs evolve and expand. We’ve always found Knightsbridge to be a great fit with our culture, across all interactions.

Knightsbridge provides individuals who can hit the ground running and deliver value for our company. They’ve proven to be a great way to solve our most immediate challenges.

Steven E. Diakowsky CEO

Allan Candy

Knightsbridge provided an immediate solution when we had a recent termination in a key role. The interim manager was on boardwithin days, made a significant impact and delivered impressively while we searched for a permanent replacement.

I highly recommend the Knightsbridge team.

Susan Martin, Director HR

The Arthritis Society

We needed a seasoned, solid human resources professional to start immediately. Knightsbridge found us that person within weeks of our initial meeting. By hitting the ground running, the interim executive allowed us to decide whether to hire her, pursue a full-blown search, or reorganize. You gave us time to think, deliver and make the best decision for our organization.

Janet Corey Executive Director, HR Services

Cineplex Entertainment LP

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ABOUT KNIGHTSBRIDGE HUMAN CAPITAL SOLUTIONS

Knightsbridge is a human capital solutions firm that truly integrates the expertise of finding, developing, and optimizing an

organization’s people to deliver more effective solutions that maximize their investments in people and deliver better performance.

Today, organizations need a different kind of human capital partner; one with a broad perspective to solve their increasingly complex

human capital challenges. Knightsbridge was created from its inception to be different, by bringing together teams of specialists with

an integrated perspective across recruitment, leadership and organizational development, learning, and career and workforce

management. These specialists challenge assumptions and work as a team to diagnose the underlying issues limiting organizational

performance. The result is more objective advice and effective solutions that are customized and implemented to fully meet a client’s

specific needs achieving greater people and team productivity.

Knightsbridge works with clients across North America, the UK and Australia. We have strategic alliances with Career Star Group for

career transition services and Amrop, the world’s largest executive search network.

Knightsbridge is proud to be recognized as one of “Canada’s Best Managed Companies”, and to support the United Way, Junior

Achievement, and the Canadian Business Hall of Fame as the national partner.

Knightsbridge has the people you need, when you need stronger people.

www.knightsbridge.com

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Stephen Bell

Partner – Interim Management

sbell@knightsbridge.com

416 928 4747

Janice Kussner

Partner – Executive Search

jkussner@knightsbridge.com

647 777 3162

FOR MORE INFORMATION, PLEASE CONTACT

Collin MacLeod

Partner – Recruitment Solutions

cmacleod@knightsbridge.com

416 928 4534