In uncertain times, experience and flexibility offer both reassurance and effectiveness. This may explain the continued rise of fractional hiring.
A June 2023 article from Catalant, a platform that connects companies with vetted independent consultants, highlighted the rise of fractional executives. Citing data from the Bureau of Labor Statistics, it noted that temporary business management roles increased by 18% from 2021 to 2022—and by 57% since 2020.
Catalant’s own analysis also showed an increased demand for fractional roles noting,” When critical skills are hard to come by and resources are tight, hiring an experienced specialist on a dynamic, part-time basis allows for far more flexibility in the face of uncertainty. We most often see this type of work in PE-backed companies doing turnaround transformational work, M&A, capital raises, and cases where the experience of someone who has ‘been there, done that,’ is desired, but without the full-time need.”
The three use cases cited in the article align with what we commonly see at CommsCollectiv, though they only begin to scratch the surface:
Filling a role during a search
Using fractional executives for roles that are important, but not full-time
Taking a “try before you buy” approach (if the talent is open to full-time)
All Things Innovation summed it up perfectly: “Fractional employment is not just a trend but a strategic approach to talent management in the modern workplace…fractional hires offer a way to access the experience and skills needed to fuel growth without the overhead of full-time executive positions. As this employment model continues to evolve, it will likely become an integral part of how companies think about staffing and innovation in the future.”