Part-time senior leaders drive strategic growth in companies

MASSACHUSETTS, UNITED STATES — Organizations are increasingly turning to fractional executives to fill critical leadership roles. 

This trend, which has gained significant momentum in recent years, allows companies to access top-tier talent without the long-term financial commitments associated with full-time hires.

“Being fractional isn’t about a specific scope or project. It’s about playing a key role in the leadership team and being included in the organization chart,” explained Karina Mikhli, founder of the online community Fractionals United.

The rise of fractional leadership

The concept of fractional leadership has surged, with over 110,000 individuals on LinkedIn identifying as fractional leaders in early 2024, compared to just 2,000 in 2022. 

This can be attributed to several factors, including advancements in technology, the normalization of remote work, and shifting priorities in the wake of the pandemic.

Rob Smith, a fractional chief digital officer, told the Harvard Business Review, “With all the technology available today, I don’t need to be physically in the same place to be effective. It’s allowed me to work for multiple companies at once.”

Benefits and challenges of fractional leadership

Startups and small and medium enterprises (SMEs) are early adopters of fractional talent, as they often lack the resources to justify full-time senior hires. Large organizations are also exploring this model for roles in emerging areas like digital innovation and AI. 

Fractional leaders provide a cost-effective way to access specialized skills and bring fresh perspectives to the table.

“A power asymmetry exists that makes it difficult for employees to tell the CEO what they need to hear,” explained Jason Voiovich, a fractional chief marketing and product officer. 

“As a fractional, not being dependent on a single company for my income, I have a heightened sense of responsibility and feel empowered to initiate difficult conversations.”

Fractional leaders often act as advisors and mentors to other executives. Barry Hurd, a fractional chief marketing officer, noted, “I’ve worked with a couple of CMOs who have hired me to simply double-check their work. I act as the executive coach, bringing my 30 years of wisdom and experience.”

This dynamic can enhance the overall leadership team’s effectiveness and foster a culture of continuous improvement.

However, not all roles are suitable for fractional coverage, and not every experienced executive is cut out to be a fractional leader. 

These leaders must excel at managing their time across multiple clients and industries, often juggling diverse tasks. John Arms, a fractional CMO, emphasizes the need for a giving mindset and commitment to serve multiple clients effectively.

Organizations must also ensure that the fractional executive’s expertise aligns with their specific needs and growth stage.