I don’t have to tell you that adaptability and flexibility are essential for a company’s success. This holds particularly true for the Human Resources or People and Culture (P&C) function, which plays a critical role in shaping a company’s culture, hiring the right talent, and helping teams stay connected and engaged. If you’re between HR leaders or have reached the size where you need your first VP, HR, or CPO, hiring someone on an interim basis has a lot of advantages.
I know firsthand how much leaders worry about bringing in interim leadership from the outside. After all, it’s a big investment of both time and money. They wonder whether this person will really “get” their culture, whether they’ll build systems and processes that work and last, and if the team can learn to trust someone whose departure is inevitable. I want to address the pros and pitfalls of hiring an interim leader, but first let’s start with the basics.
When Should You Hire Interim Help?
The decision to hire an interim HR leader should be driven by specific circumstances and needs within your organization. Here are some scenarios I’ve seen where hiring interim HR support makes the most sense:
- Leadership Vacancy: When your HR department is experiencing a leadership gap due to a sudden resignation, retirement, or extended leave. The right interim HR leader can step in, maintain what’s working, and make sure upcoming HR programs and initiatives don’t fall through the cracks. They’ll also provide direction to other members of the HR team.
- Critical Events: If your organization is embarking on HR-specific event such as a merger, acquisition, restructuring, or getting ready to IPO, you don’t want a vacuum in HR leadership. An interim leader can bring the expertise needed to execute these big milestones and with support of the HR team and executive teams.
- Peak Workload: During peak seasons or when you’re facing increased HR workload, hiring an interim HR leader can alleviate the strain on your existing HR team, making sure they can meet their goals without getting overwhelmed.
- Skill Gap: Sometimes, organizations require specialized skills for a limited period, such as creating a plan to increase engagement and connection, or defining the right hybrid work model. Interim HR leaders can bring these skills on short notice preventing you from having to make a full time, permanent hire for a short-term, time sensitive need.
Choosing the Right Candidate
Lots of leaders know when they need help, but the fear of selecting the wrong person can easily prevent them from taking action. Choosing the right interim HR leader is crucial. The wrong person, especially in a leadership role, can be incredibly disruptive. Here are some ideas about how you can effectively evaluate senior HR candidates:
- Alignment with Objectives: Clearly define your goals and expectations for the interim HR leader. Even though this is an interim role, take the interview and hiring process seriously. Look for candidates with a track record of achieving similar objectives in their previous full time or interim roles.
- Expertise: Assess the candidate’s HR expertise and industry knowledge. Ensure they possess the specific skills and experience required for your organization’s unique challenges. Avoid creating criteria so narrow that no one will qualify.
- References Work: Ask for references that will help you gain insights into their work ethic, communication skills, and ability to quickly adapt to new environments. To uncover their development areas, ask questions like what kind of support will make them most successful and what would make them even ten percent better.
- Cultural Matters: The best and easiest definition of culture is “the way we do things around here.” Someone who is used to a lot of structure and hierarchy may struggle in a dynamic startup. Someone who has worked in multiple industries can bring you fresh ideas and perspectives. It’s not about “fit” but whether they’ll thrive in your organization and what they can add.
Is Interim Hiring Really Cost-Effective?
Hiring an interim HR leader can be a cost-effective solution for several reasons:
- Reduced Overhead: Interim leaders are hired on a contract basis, which eliminates the need for long-term salary commitments, benefits, and other overhead costs associated with full-time employees.
- Specialized Skills on Demand: You can access specialized HR expertise when you need it most, without investing in training or development programs. When the need has been satisfied, the interim leader can roll off.
- Faster Time-to-Hire: Traditional hiring processes can be lengthy, delaying critical HR initiatives. Interim leaders can start quickly, minimizing downtime. Typically a firm that specializes in interim support has qualified people ready to start on short notice.
- Scalability: Interim hiring gives organizations the flexibility to scale up or down based on their needs. This allows them to optimize costs and headcount according to the organization’s budget and hiring plan.
Risks of Interim HR Leadership
While hiring an interim HR leader offers many benefits, it’s still important to be aware of risks and pitfalls to avoid:
- Too Strategic: Some interim leaders may focus more on strategic planning and less on day-to-day HR operations or implementation. They want to deliver a plan that someone else can execute on. Ideally, you want to choose a candidate who can strike the right balance between leading and doing.
- Unapproachable: Some senior HR leaders bring valuable insights but may not be approachable to all employees. The best leaders for interim assignments will support everyone in the organization and are not above connecting with employees and answering their questions.
- Short-Term Focus: Interim leaders may prioritize short-term results over creating long-lasting HR systems and processes. This is something else to ask about during interviews and when checking references. Hire someone who demonstrates that they care about the durability of what they put in place.
In conclusion, hiring an interim HR leader can provide your organization with the agility it needs to adapt quickly to changing needs. By understanding the benefits, evaluating candidates effectively, and managing potential risks, you can benefit from Ythe advantages of interim HR leadership to keep your people and culture function on track even in times of change.
