Not all businesses are ready to commit to hiring a full-time leader.
- Be a start-up business.
- Not have the budget for the position.
- Not have enough leadership work to justify the expense.
Whatever the reasons, the best solution is to outsource and hire a fractional leader. So, what is a fractional leader exactly? Well, a fractional leader is a cost-effective solution that adds value to a leadership team.
- Is usually part-time
- Is onboarded for short periods
- Helps guide departmental operations
- Is part of an executive team
- Helps with finance, marketing, and sales
What Is Their Typical Schedule?
A fractional leader:
- Works one to two days a week, and their tenure with their clients’ organizations is usually short-term. Their contract duration is dependent on the company culture and work ethic of the organization.
- Is typically temporary, as this position is not permanent. This leader works for clients for a couple of months a year, and although this schedule is flexible, their contract duration is dependent on how much assistance their clients may need.
- Spends more time with an organization in the beginning and tapers off over time.
- Is hired to make necessary and, at times, complex changes. In addition, they implement effective processes and strategies and set foundations to reach goals for the future of a business.
- Brings their leadership style to the party with a fresh take on setting goals.
Why Should We Hire a Fractional Leader?
Here are seven benefits for you to consider.
1. Develop Strategic Planning
All winning teams have one thing in common – a foolproof strategy! They also have a leader that can strategize objectively. Without a strategic plan, businesses are likely to take on too many goals with adverse outcomes. A fractional leader provides vital insights to meet the goals of the business.
2. Execute Ideas
A business needs a leader to help execute groundbreaking ideas. A strategy on its own is no good and won’t elevate the business. Companies need people to do the work, and hiring a full-time leader often inhibits the ability of the team to get the job done.
Invest in your business by hiring a part-time fractional leader. This way, you can invest in the right tacticians to do the job for you.
3. Provide Financial Strategies
The financial and accounting staff are often too busy focusing on historical data to concentrate on financial planning. Hiring a financial expert as part of a management team will add a fresh perspective. A fractional leader focuses on understanding what the financial figures say and will bring finances into perspective.
4. Provide Invaluable Insights
A leader who has been through upturn and downturn periods will offer invaluable insights. Growth, acquisitions, and other pressure points in accountancy and finances need addressing. Having an objective point of view from a fractional leader leads organizations through challenges and results in a smoother transition for business owners.
5. Add Stability
Who will fill the shoes of the CFO of your company if there’s a gap? A fractional leader can fill open roles on a part-time basis; thereby, keeping the business functional. Fractional leaders can step in during interim periods and attend to the needs of the company immediately. A fractional leader can also assist with a new hiring a full-time leader. And if the organization realizes a full-time hire is no longer necessary, the fractional leader can move into the full-time role.
6. Help Grow Business
Many businesses don’t have the expertise to help their businesses grow and often lack leadership in special projects, such as:
- Remodeling finances
- Raising capital
Hiring a fractional leader can provide an expert who knows the business and can get projects done efficiently and on time.
7. Develop and Mentor Staff
Developing and mentoring internal staff can prove challenging. And as a result, many companies are using the services of a fractional leader to do the job. Smaller businesses often don’t have the internal knowledge to develop financial and accounting staff. Therefore, the expertise and experience of a fractional leader to mentor and train staff could prove beneficial.
AZUL Can Help Your Company
Azul helps companies just like yours turn complete disorder into brilliant results. With over 25 years of experience, we’ve been creating close relationships with our clients through consultancy, peer groups, and strategic connections. Contact us today! Soon you and your organization will make better decisions, become superior leaders, and achieve sterling results.