How to commence an HR interim or consultant career
Want to be an HR interim or HR contract consultant?
Over the course of a professional career, it is not uncommon for an individual to have goals and objectives to be achieved. It could be to secure a Director or VP job title within 10 years, secure a CHRO role for a high growth start-up, move to a particular industry or company brand, complete a significant project, or achieve a certain level of financial reward. We’ve met professionals from all specialist areas of the HR function, who have mapped out their career trajectory or pathways for the next “x” number of years and those people have great purpose for what they think they need to achieve at certain milestones, in order to meet their objectives. In those instances, any request to change role responsibilities and /or employer is met with caution and evaluated with the long-term plan in mind.
The interim contract and consultant market is becoming an increasingly popular route for many senior-level professionals who have achieved most or all of their professional milestones, and seek a new change of direction in their career. Arguably, leaving the “security” of a corporate, salaried role becomes one of the biggest career decisions that an experienced and respected person can make, given the wide ranging risk potential and impacts for them both professionally and personally. If you’re contemplating such a move, there are challenges that you will likely need to work through in order to make this career transition as successfully, and smoothly as possible.
When is the best time to commence an HR interim career?
In an ideal world, the move from employee to interim should take many months to allow for the significant preparation that should ultimately increase your chances of being successful in the long term. I am not saying this is the only way as I am aware of many successful HR executives who have quickly secured an interim position or multiple contract roles with very little preparation or even accidentally.
I do however urge all HR professionals to do their research before launching their interim or consulting careers. Identify 4-5 trusted people in your HR network, ideally a mixture of people who have made the transition from salaried employee to freelance consultant, and 1 or 2 trusted specialist recruiters, to give you the “low down” on current market trends and what to expect before moving your career down the interim pathway. It is important to understand trends now and in the foreseeable future, what skill sets are in hot demand and/or most frequently required, and how you would fit in compared to your interim peers.
Be mindful that the interim market typically has busy and quieter periods – in Europe as an example, July, August and December are usually quieter months due to hiring leaders being on holiday. An experienced interim will always try to secure assignments that commence and cover through these periods or take planned time off themselves during quieter times.
What skills are required from HR interim contractors and consultants?
Work for interims is usually driven by demand for very specific skill sets, so understanding what you can bring to the market, and identifying your USP is vital. Could you position yourself as a deep subject matter expert within a particular industry or specialism and how can you reinforce this? Look for opportunities to develop deep expertise whilst you are permanently employed - perhaps project work, transformation programs, or certified professional development programs you can complete, with your long-term goal in mind.
Remember, when you work as an interim you will have to pay for your own learning courses, conferences and additional qualifications, and will not get paid when you complete them while on an assignment.
Make sure you have built an interim specific CV - this isn’t written the same way, or viewed the same way as CV’s or Resumes for salaried employees and you’ll find significant details on this here.
Do HR contractors need to know how to run a business?
Setting up as an interim contract worker is effectively like starting a small business. You will be responsible for all finance, legal, IT, HR, sales, and marketing matters without access to the support functions that you might have been used to as an employee. The list below is is by no means all of the activities an interim professional is responsible for beyond delivery on interesting work projects, and an advanced knowledge of these will certainly help set you up for success:
Initial Set up – determining your company name, effecting company registration, insurances, opening a business bank account, maybe effecting a logo and letterhead.
IT – Depending on your location it is a legal requirement to have your own website and work email address. In addition, you may want to consider using IT systems rather than paper to track your work, contacts, billings, and project information. Excel is the cheapest option but a purpose designed database or CRM should give you a more functionality. Online security should be factored to ensure confidentiality for yourself and your clients. Will you have your own servers or work through the Cloud? What tools do you need for remote communications? What will you do in the event that your system crashes or have a data security breach, or simply have struggles with enabling a key piece of software or an app?
Sales & Marketing – An interim is ultimately responsible for securing their next assignment, and whilst specialist recruitment agencies can support the process, it is vital that you’re prepared to do the groundwork for your own business development. Self promotion can be done using many approaches including the utilisation of comments and blogs on social media, writing publications, free sharing of information, building an interim network, attending and speaking at conferences and networking events.
Legal – If you are engaging directly with an organisation it is essential to have a formal agreement in place so both parties have a clear and written understanding of expectations of work to be done, and delivery results to be achieved. This is a legal binding contract of services and it ensures both sides are protected and should prevent any issues with payment. Make sure the contract covers any eventualities of early cancellation, late payment and debt recovery, and clarity for intellectual property ownership. Additionally, with the spread of formal Privacy legislations, you’ll need to ensure you’re compliant for any database you utilise for your business.
Finance - It is typically the last part of the cycle for an interim, but if not done correctly, payment could be delayed or withheld. An understanding of the invoice process is vital for any interim professional and chasing payments can be an unfortunate circumstance. On occasion, a business client may delay or refuse to pay, which may result in you needing to engage a 3rd party to assist, but be aware of the additional costs. Regular book keeping becomes essential to avoid missing expenses receipts and invoices, and you’ll need to stay up to date on what deductions are allowable, complete an annual review of accounts and submit the appropriate tax payments within each year.
Whilst some, if not the vast majority of these elements can be outsourced, this will ultimately affect how much income you get to “take home” on a monthly basis. Undertaking a quality, small business course should give you the right grounding and confidence to manage the majority of elements directly and help you to better plan and manage your business affairs, and any third party suppliers.
What mindset is needed to be an HR interim or consultant for contract work?
Securing your first interim role is usually the hardest for many, who are still uncertain or less confident about launching into the “great unknown”. Searching for that role whilst serving notice from your current employer is ideal, but it's rarely possible to give 100% focus given the pressures and demand of your “day job”.
Typically, the first Monday morning as an interim (if you don’t have already have an assignment in place) will be the strangest. Going from being an employee and being part of a team, to working independently will be exciting, but nerve racking. It is important to stay motivated, show tenacity, and be proactive not just at the beginning of an interim career but throughout.
One of biggest frustrations of new interim professionals, is not getting to own a project “cradle to grave”, and not getting to innovate or evolve solutions through the entire project life-cycle. Instead an interim is typically appointed to complete a certain piece of work which could be at the beginning, middle, or end of a project. Trying to learn the history of the project and rework it mid implementation, may not be welcome, unless you’ve been brought in with a remit to rescue it from failing. Whilst you will likely be made to feel welcome as a part of the HR team for the duration, you won't now necessarily be involved in or asked to contribute on strategies, and you may not have the opportunities for mentoring, wider stakeholder relationship management or thought leadership.
You will need to find the balance between delivering on the objectives expected of you, adding “bonus” value, and avoiding distractions. The reputation and success of an interim professional is built upon delivery and anything that prevents this happening, even if done with your best intentions, experience and knowledge, could actually damage your reputation in the market.
Don’t forget to nurture your network as a HR consultant or HR interim
The HR community are traditionally great networkers, and this can be a valuable tool for long term success in the interim market. Look to connect with likeminded HR interims who will be to offer advice, support, and possible work project leads. HR interim professionals brought in to scope out significantly wide ranging projects, will often turn to their trusted network to contribute additional specialist expertise. And they’ll trend towards people they know who will only enhance their own professional reputations, and potential for delivery success. It is also a common practice for specialist interim recruiters to ask their HR professionals whether they can recommend anyone who could be suitable for a position. Reconnecting with ex-business leaders and not just HR colleagues is vitally important - a Finance Manager whom you worked with 8 years ago might now be the CFO who has just signed off on an interim HR project that could be perfect for you.
Do HR interims and consultants have a better work/life balance?
As an interim one of the biggest pluses is that you can control when you work versus when you want to take time out, and budget accordingly. There’s a little bit of “feast and famine” risk though - you might go for months or years with work projects fitting neatly into the time you want to dedicate for earning money. Likewise, you could go for months or years with very few opportunities to secure the kind of work you like to do, or to secure any type of work at all.
Also, when you are on an assignment and working to a critical deadline for a project, there will inevitably be difficult decisions on prioritising work and personal commitments. I know instances of family events and holidays being missed, when an interim needs to meet delivery promises and protect their financial well-being. Arguably an interim will have even more demands put on them while on an assignment compared to a permanent employee, and will have more pressure when their reputation and chance of future business is on the line.
Should I become an HR interim or consultant?
There is no perfect formula nor assessment for who will be a successful contractor on a sustainable basis within the HR profession. So I urge you to be as self aware, honest, and realistic as possible about whether you have the DNA to be happy in the long term with this type of arrangement, and whether you are able to assume the financial risks that come with being self employed. There is not always the “fall back” option to return easily to the salaried corporate world, especially in markets with an oversupply of senior level job seekers. Certainly, the success of your career change will rest heavily on your own efforts. Making the transition into the interim market should be taken as seriously as any career move, and I strongly advise you to research and plan before making the jump to ensure you’re making the right choice, and to give you every opportunity to be successful, fulfilled, and well rewarded financially.
“Entering the interim world is very much like playing on children’s roundabout in the park. It is not advisable to jump straight on the roundabout when it is spinning fast and hope you can hold on without falling off. However, if you plan to step on when it slows down and decide how you are going to steady yourself, you will have a greater chance of success and enjoy the ride. ”
About the Author
Ian Mael is valued across his HR network for his diligent communications and authentic partnerships. As the leader for interim HR executive hires at Carter Morris, he brings over 15 years of recruitment experience for multi sector hires within demanding deadlines for the full range of specialist roles within the HR profession.