COMPARING ROLES: INTERIM MANAGER VS. CONSULTANT
Interim Managers are typically hired for an operational role within the company. They take on specific positions, often at the leadership level, and are directly integrated into the business’s daily operations. Their focus is on managing tasks and actively contributing to project execution.
Management Consultants, on the other hand, are usually engaged for strategic consulting projects. Their role is analytical and advisory; they assess existing structures, develop strategies, and provide recommendations. However, the implementation of these recommendations typically lies with the company or a hired interim manager.
Difference 1: Focus on Tasks – Execution vs. Consulting
- Interim Managers are primarily focused on operational execution. They often join companies to take direct responsibility, make decisions, and lead projects. Their aim is to achieve tangible results, often by assuming roles such as Interim CEO, Head of Sales, or Project Manager.
- Management Consultants focus on strategy and analysis. They help companies by analyzing structures and processes, identifying weaknesses, and proposing improvements. However, they rarely take on operational responsibility for implementing these strategies.
Example: A company planning a digital transformation might hire consultants to develop the digital strategy and identify actionable areas. An interim manager would then oversee the project management and implementation of this strategy, such as leading the introduction of new IT systems.
Difference 2: Duration of Engagement – Short-Term vs. Project-Based
- Interim Managers are often hired for a specific period or to bridge gaps in leadership. They are flexible and typically stay with the company for six to twelve months, sometimes longer if the project requires it.
- Management Consultants are usually engaged for project-based work, often for shorter, more intensive periods. They typically work for several weeks or months to deliver analysis and recommendations, handing off the project afterward.
Example: An interim manager might work for 12 months as a temporary department head, managing ongoing processes. A consultant might support the company for a few months by conducting a market analysis and delivering strategic insights.
Difference 3: Integration in the Company – Operational vs. External
- Interim Managers are deeply embedded within the company’s structure. They are part of the team, attend meetings, and are involved in daily operations. Acting like internal leaders, they serve as visible points of contact for the team.
- Management Consultants remain external and operate as neutral, objective advisors. They work closely with the leadership team but typically do not engage directly with employees or daily operations.
Difference 4: Cost Structure and Flexibility
- Interim Managers work on a day-rate or monthly fee basis and can be engaged flexibly for the required duration. Since they work on a project basis, there are no long-term commitments like bonuses or pensions. For longer operational tasks, interim managers are often more cost-efficient.
- Management Consultants usually operate on an hourly or project-based fee structure, often tied to specific project goals. Consulting projects can be costly, especially if they involve large teams of consultants with specialized expertise.
WHEN TO CHOOSE INTERIM MANAGEMENT
Interim management is particularly suitable when a company needs to fill an urgent vacancy or requires operational leadership for project execution. Common scenarios for interim managers include:
- Bridging Leadership Gaps: Interim managers take on the responsibilities of a vacant leadership position to maintain stability.
- Crisis Situations: When immediate and decisive action is needed, interim managers often provide an efficient solution.
- Specialized Projects: For tasks requiring specific knowledge and long-term execution, such as implementing a new ERP system or reorganizing a department.
WHEN TO CHOOSE MANAGEMENT CONSULTING
Management consultants are a great choice when a company faces a new strategic direction, such as entering new markets or undergoing digital transformation. Consultants are also valuable for analyses and long-term strategy development:
- Strategic Realignment: Consultants analyze markets, evaluate new business opportunities, and develop long-term strategies.
- Organizational Optimization: Consultants assess internal processes and provide recommendations for improving efficiency.
- Market and Competitive Analysis: Consultants have the tools and expertise to conduct detailed market research and deliver strategic insights.
CONCLUSION: TWO SOLUTIONS FOR DIFFERENT NEEDS
Interim management and management consulting are both valuable solutions, but with different focuses. While interim managers take on operational responsibilities and integrate into the company, consultants focus on strategic analysis and advisory roles.
The choice between interim management and consulting depends on the company’s specific needs:
- If the goal is to define a strategic objective or conduct an analysis, management consulting is the better choice.
- If the need is for operational implementation and leadership, interim management is ideal.
Many businesses benefit from combining both approaches: a management consultant develops the strategy, and an interim manager executes it. This way, the entire value chain—from strategy development to implementation—is covered, providing optimal support for the company.
