Recruitment vs Interim / Temporary Management


''Hiring Considerations And Aspects of Pemanent And Temporary Staff & The Growth Of Independent Knowledge Workers''

Company’s demands on staffing in capacity and skills are dictated strictly by the market demand, the competitive position and the economic climate. Making processes more effective, efficient and qualitatively better (resources: staff, materials and other assets) is increasingly forcing companies to flexibilisation of the workforce and the associated deregulation of labour; the reduction of the number of rules. Higher productivity, less rigidity, but also a better quality. A quality of work that is in right balance with the needs of the employer (work-related factors) and the employees' job satisfaction/experience.

The result of the 4th industrial revolution and in particular the increasing flexibility of labour is today a constant challenge of the board of directors, chief human resources officers and already noticeable changes are implemented; less rigid employment contracts, labour organisation, labour contents, labour relations, working conditions or employment conditions. After concentrating primarily on production and supporting processes, the management and specialised knowledge processes and its functions are now subjected to a transformation.

Independent knowledge-based workers comparable to our independent management contractors - executive interim managers and temporary managers - are part of this rapidly changing and developing market segment. Nowadays, in the USA and UK, already over 30% of the national workforce are freelancers, and their share is fast growing. The expectation is that this will be over 50% in 2027! In ASEAN we do not yet have such numbers, but here too the amount of freelancers and especially knowledge workers will increase significantly.

Undeniably, this means that companies will focus explicitly on their core competencies and will adjust their staffing accordingly. For our management service, this means, in addition to an increase of reorganisation assignments, recruitment and the contract services of temporary staff will merge and grow towards each other. Nevertheless, in our view, the essential demand of the customer remains; permanent appointment or temporary staff hiring, but more than ever this will be a well-considered choice.

Reason to hire temporary staff / knowledge workers
• speed
- a direct solution to a problem, temporary staff, is immediately available and has no long-term recruitment processes
• exceptional knowledge
- not available within your own company or on the labour market
• temporarily required
- there is a unique situation or a one-off project; hence only a temporary contract can be entered into
• cost efficient
- only serving that unique situation or one-off project
• proven expertise
- to be able to perform directly through experience
• knowledge transfer
- input has a positive effect on coaching, training and education permanent employees
• development
- development through fresh and impartial insights

Proven experience or talent
The big difference between engaging temporary knowledge workers and appointing temporary staff is usually experience
• knowledge workers
- is proven experience and puts this knowledge into service for the temporary assignment, this requires a great adaptability
• talented job applicants for permanent jobs
- are primarily focused on career promotion, more responsibility and better employment conditions

Image: Executive Search / Recruitment versus Interim Management / Temporary Management - the differences and client considerations

Client considerations hiring permanent or temporary staff (knowledge workers)
- how to instruct agency and monitor the selection
- how to inform and keep potential candidates motivated
- when contracted; how is the on-boarding and job supervision organised
• (long term) fit
• candidates availability, starting date
• time, work (cost time spend on selection procedure and role, and decisions to be made)
• risk, both of an unfilled positionof and a failed appointment
• costs & return on investment
• intermediary consultant experience, support and additional services
• contact level agency
• order volumes
• salaries, conditions & benefits, all costs and margins

Interim management & temporary management hiring aspects, hiring temoprary staff / knowledge workers
• unexpected, only sometimes as a precaution
• momentary need
• unique assignment (solve issues, special mission)
• intake is to define the “job” assignment
• urgency/speed: intake & nomination 3 - 6 days, contract and start within 2 weeks
• extraordinary expertise & experience (professional & situational) and overqualified
• a pool of associates: pre-screened, pre-elected & cooperation
• project plan with deliverables
• principle & progress management (monitoring assignment)
• additional services, expertise & support
• shared responsibility (client - agency)
• only contacts, period 3 to maximum 18 months
• contacts are decision makers; shareholders, advisory boards, CEO (sometimes through stakeholders, ambassadors/alliances)

Executive search & recruitment hiring permanent staff aspects
• planned positions
• appointment after: 2 – 20 weeks
• given job description
• given target profile
• permanent or contract
• process find & select candidates
• contacts: hrm, directors, managers

Read also difference interim management versus temporary management