The Executive Marketing and Sales Podcast: Episode 1 Benefits of Interim Management

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Interview with Paul Travis.

How does interim management work?

Well you know your question is so simple yet it’s indicative of much larger things that are going on. There is so much change in today’s business world. It’s very different from how things used to be thirty years or forty years ago. For example, when someone was talking about getting a new car he/she was referring to purchase – where money might have been owed but the ownership was still under the person’s name. Now in the last couple of decades, the institution of car leasing came about and therefore now you have the flexibility. Well I used this as an example because of the mechanism of employment is starting to change. Interim management is a manner or is a means of bringing in talents to accomplish specific objectives and solve specific challenges within companies. But its more like a rental, more like a lease, than it is acquiring a new asset or bringing on somebody who is going to be a long term employee. Instead of spending 3 to 12 months searching for the perfect candidate and putting them through the recruiting process, a hiring company brings in an interim manager very quickly, usually weeks instead of months and that person’s assignment is limited by definition so the interim manager seeks to complete the mission. This is really in contrast to the dynamic where a W2 executive might come aboard and then start to look for things within the organization that naturally align with what they are doing and so they sort of justify their position. In fact those individuals typically expand their division and they want to make themselves important within the company. They hire staff and all the new responsibilities that they have created, then go about filling those positions. But it’s a different thing than interim management.

What would you say are the main benefits of a company using intern management?

Well as I was just alluding to, the speed of being able to bring on talent and to solve problems is a great one. There’s also the philosophical issue of executing real work rather than keeping a chair warm. And then there’s other benefits both tangible and intangible that are pointed out in the book Leadership on Demand. For example objectivity: bringing in somebody who who can assess challenges with a much broader scope in mind. There are times to market, bringing somebody in who can focus and get new products out, being responsive to competitive changes as opposed to the way things have always been done. There’s also the ability to change a corporate focus, by bringing somebody new in, for example an interim CMO marking officer might focus on how to get a product positioned. And then after 6 months they might bring in another CMO who really focuses on going to market. So it’s no longer about positioning. There are other great benefits, for example compliance with publicly held companies. Changing out a W2 vice president is considered by the SEC is a material event and has to be disclosed. Where as interim manager is not.

Great, what size companies would you say typically use interim management?

Well since interim management is a mindset and paradigm change rather than a specific answer to a given problem. It’s useful by companies of all sizes. There are chapters in Leadership on Demand dedicated to the specific benefits in case studies for early stage companies. There’s another chapter which covers interim management in large establishment companies.

And what differentiates what you do for a company compared to a consulting company?

That’s a great question, in particular because one of my non-profit roles is as president of the Pacific Northwest chapter of the Institution of management consultants. I am very well versed in consulting as well as in interim management. In general, consultants operate externally to the organization as much as they’re customers are within the organization and they go in to understand what the challenges are. At the end of the day they have no real authority to see that their recommendations are implemented. They don’t have hiring and firing authority. I really can’t tell you how many CEO’s I’ve spoken with over the past decade who have brought in consultants whom write a great report on the solution to a problem. Then I’ve seen someone turn away from their desk and pull out a great leather binder with a report on it and they tell me they had consultants come in and assess their problems, but nobody actually spearheaded the implementation of that solution or it was given over to employees to implement from an internal mindset. Einstein said, it was hard to solve problems from the same manner of thinking that they were created. So interim executives go inside the organization and have a reporting authority, the change happens because they drive it. And to be honest, if they stay too long after three, six, nine, twelve sometimes eighteen months they end up facing the risk of becoming part of the problem. They lose their objectivity.

What would you say are the biggest challenges companies face when trying to grow revenues?

This is a great way for me to use the classic consultant response which is: it depends. For large companies their revenue challenges tend to be centered around their own success and all of their momentum they have gained. The process of becoming a large company has created systems, that processes, procedures, customer channels and product lines. So if they see the opportunity it’s really like changing the direction of a battle ship. They are very slow to take advantage of new revenue opportunities. My experience personally is more in smaller-mid markets companies where the challenges are at the other end of spectrum and tend to be scale. So they just don’t have the talent to pull off big ideas or sometimes they don’t have enough mind share with dealers to be able to launch new programs. Or maybe they are trying to do so many different things with limited resources that a better outcome could be obtained by focusing on one major initiative and hitting a home run.

And how does interim management help companies grow the revenues?

Well you know every situation is different but in a prescriptive manner I would say that the president or CEO should ask those direct questions to the interim management candidate. Does this person knows what they are doing and will the interim management executive execute? Because that is the whole point of this. On that topic there is something I would caution against because it has happened to me numerous times and that is, don’t ask for a references until you’re ready to make a buying decision. As I’m with clients day after day, I think about it from their perspective. After you have a problem solved would you want a call on a weekly basis to discuss how something has gone. No you want to read a reference letter or a case study and only check in with them if you’re ready to buy. And you just need somebody who can serve as a human validation point.

How can companies that are interested in interim management find you?

They find me on the web or though a recommendation from one of my clients. Almost everywhere these days there is a lot of information known whether you’re buying a car or if your looking up a new appliance or your looking at a new resource for your company. There is a lot you can find out, for example my direct URL is www.meetpaul.us and you can read my bio and I have a blog that is full of the way I think about marketing. It also highlights success stories and also failures and other things which could have been done differently. That blog is at www.marketing-2020.com. And then we can have a conversation about what their specifics are. If I’m the right person, then I’ll structure or suggest a structure that we can go with to the next value of evaluation and if I’m not the right person then iIll bring in a partner of a another company where it would be a better fit for them. So I’m always looking for a way to win.

Paul what blogs and books are you reading at the moment in the marketing field?

I have to say that I have a lot of books on my bookshelf and I’m much more successful when reading things online than carrying books around with me. As I’m focused on bringing social media into the mainstream. I like to watch sites like www.mashable.com and I also like Seth Godin’s work and a lot of forward thinkers on twitter, like Guy Kawasaki.

Great! Thank you Paul for joining us today, how can companies find you or get in touch with you?

If they haven’t remembered the websites that I mentioned before like www.meetpaul.us and www.marketing-2020.com. The great thing these days is that every search engine that I know of of will find me if you type in my name, Paul Travis and marketing. I would be happy to chat with them to see if I’m the right person or where there’s a service organization that I can point them to. You always have to chat with somebody.