Hybrid working is the strategic challenge of the decade. Why?
Mid-market companies are facing enormous challenges. Customer expectations have shifted dramatically, and staffing shortages will be an ongoing problem. Freeman Clarke co-founder and CEO Graeme Freeman explains how the flexibility of hybrid work will be key to keeping workers and customers happy.
Freeman Clarke is the largest and most experienced team of part-time, or fractional, IT leaders. We work exclusively with organizations looking to use IT to grow their business. For an informal conversation, contact us and we’ll be in touch.
Hybrid working: The challenge of the decade
Hybrid working is the strategic challenge of the decade for mid-market business leaders. Why do I say that?
Business is all about relationships. And in-person, face-to-face contact builds relationships like nothing else. Companies selling engagement apps and collaboration tools say otherwise, but they have a vested interest in their own nonsense.
Since the ‘war for talent’ began — the enormously competitive landscape for recruiting and retaining top talent — we’ve seen that the magic behind great companies is employee engagement. And the hybrid workplace is now a crucial part of that. The winners will be those businesses with a hybrid workplace that attracts and engages the best people.
The pandemic complicated the issue. Many companies are finding that the talent they recruited during the pandemic don’t have the same connection to the company.
The challenge now is to create deep ties, rather than allow loose ties to become normalised. And all of it must be within the hybrid paradigm.
A lack of staff engagement hurts a business. Some surveys suggest 40% of staff globally are considering leaving their current job. In that environment, strategic progress is impossible — simply maintaining stable operations becomes the all-consuming focus.
As the cliché says, every challenge is an opportunity. This is your chance to redefine where, who, and how you recruit. It’s an opportunity to reconsider which parts of your business are insourced and outsourced. It’s even an opportunity to redefine the processes and systems that underpin your entire business.
In the meantime, you can take smaller, more immediate steps to solidify engagement — and ironically that’s by reinventing face-to-face meetings.
It’s so easy to communicate from home, so an in-person meeting must be something better. Treat each one as a valuable opportunity. Every face-to-face meeting should be as productive, enjoyable, and enriching as possible. A couple of suggestions:
Be considerate with their time. Bear in mind the time, aggravation, and resources consumed in travel to the meeting, as well as the length of the meeting itself.
Bring your A-game. When you’re leading a face-to-face meeting, give it your full effort and attention. Plan ahead. And expect the same of everyone else.
Get everyone involved. Let everyone know what’s expected of them beforehand, and then ensure they all get involved.
Remote engagement requires a more strategic approach. Hybrid environments need efficient systems and operations. Effective outsourcing requires seamless systems integration. And all of the above requires a vision and world-class leadership.
If you want to discuss how this should look for your business, then please get in touch. We’ve been helping mid-market businesses create systems and work environments for new hybrid strategies — I’d be delighted to see how we can help your company.
Freeman Clarke is the largest and most experienced team of part-time, or fractional, IT leaders. We work exclusively with organizations looking to use IT to grow their business. For an informal conversation, contact us and we’ll be in touch.
What is a virtual CTO?
A Chief Technology Officer, or CTO, is a critical role in a mid-market business. A CTO is a Board-level position accountable for just about all technology in the company, from hardware to software to teams and suppliers. Reporting to the CEO, the CTO drives innovation, efficiency, and effectiveness across the business.
A ‘Virtual CTO’ or ‘vCTO’ has similar responsibilities, but they are usually more limited in scope. Whilst a full-time CTO makes a long-term commitment to a business, a vCTO will be brought in for a specific task, such managing an ERP project, or shoring up cyber security and compliance.
Virtual CTOs have become more common during the pandemic, as many businesses found themselves with specific immediate needs during lockdown. However, for an ambitious business with medium- to long-term growth plans, a vCTO may not be the best choice.
On the other hand, a fractional CTO will take responsibility for the day-to-day as well as larger projects. A Virtual CTO will, by definition, have a certain distance from the business. But a fractional CTO can deal with the people, process, and technology issues of a mid-market company.
‘Fractional’ simply means ‘part-time’. It is a Board-level position, with the full responsibilities of a CTO. It just provides more flexibility and affordability for a mid-market company.
(Click here for more details on the role of the CTO.)
Who needs a Virtual CTO?
Mid-market companies will turn to vCTOs for a number of reasons. They may need a CTO with very specific experience. Or perhaps the business could use an outsider’s perspective on its technology and growth plans. One very common reason is money: since vCTOs are by definition part-time and/or contract employees, they cost less than a regular CTO.
Fractional CTOs, however, provide benefits in the short-, medium-, and long-term, while remaining an affordable choice.
What do Virtual CTO Services include?
The services a vCTO provides will be specific to the needs of the company. They may take a broader view, providing an overall vision or strategy. Or they may spearhead a specific project, such as a front-end redesign, or purchasing and implementing new software. Whatever the brief, a good CTO needs excellent technical skills and communication skills, as they have to clarify their role to investors, the Board, and staff.
How much does a Virtual CTO cost?
The salary of a full-time CTO will range from £100,000 to £230,000 per year, depending on the experience of the candidate, the role, and geography. A Virtual CTO will be less expensive, but the exact cost will depend upon the length and complexity of the assignment. A fractional CTO, however, can ramp up or down as needed.
Are there many CTO jobs?
There are hundreds of open CTO positions across the UK, but the competition is high. It can be a challenging, secure, and well-paying job, with the possibility of making a real difference to a company, so it’s a sought-after position.
Job seekers should also consider fractional CTO positions, which offer more flexibility and variety. At Freeman Clarke, we specialise in fractional CTOs. Click here to get in touch.
‘The Freeman-Clarke model has worked well for us at an important time of change. Our fractional CTO’s professionalism and “can-do” approach meant delivery of a number of critical projects which have brought our IT systems up to date. Our CTO’s ability to pick up on the complex technology of our industry, combined with his IT capabilities, has resulted in a stronger, more secure IT environment.’
Why Freeman Clarke?
Quality. Our unique model provides a cost-effective way to get the best talent in the business on your team. We hand-pick IT leaders on the basis of their skills and experience and their ability to fit in to the culture of a mid-market business like yours.
Business-minded. We are business people, and we speak your language. Our IT strategies are always tuned to the needs of the business and commercial realities.
Independence. Our CTOs are completely independent. We make no arrangements with suppliers, so you can know that our recommendations are completely objective.
Flexibility. We don’t insist on an upfront payment or commitment to a six-figure sum. We demonstrate value every day, or else just tell us to stop immediately. It’s as simple as that.
Affordability. Our people are the best in the business, but as you take a fraction of their time the price point is affordable. We set our prices appropriate to the mid-market and we don’t cross-sell or upsell.
Freeman Clarke is the largest and most experienced team of part-time, or fractional, IT leaders. We work exclusively with organizations looking to use IT to grow their business. To find out more about how we could add value to your business, get in touch.
What is a virtual CIO?
A Chief Information Officer, or CIO, is a crucial role for a mid-market business. It is a Board-level position with ultimate responsibility for technology, teams, and suppliers. Reporting to the CEO, they provide clear oversight of systems, processes, data reporting, and staff.
A ‘Virtual CIO’ or ‘vCIO’ is a hired gun who often takes a narrower role, rather than deal with the day-to-day technical needs of the company. A vCIO may be brought on for a specific task, such as creating bespoke software or beefing up cyber security.
A vCIO brings certain limitations. The post-pandemic technical needs of businesses are expanding. It’s unclear how many workers will return to offices or continue to work remotely, for example, and a vCIO may see these complications as beyond the scope of their work.
A fractional CIO, in contrast, will take responsibility for the day-to-day as well as larger projects. Whilst a vCIO will, by definition, have a certain distance from the business, a fractional CIO can deal with the people, process, and technology issues of a mid-market company.
‘Fractional’ simply means ‘part-time’. It’s still a Board-level position, with the full responsibilities of a CIO. It just provides more flexibility and affordability for a mid-market company.
(Click here for more details on the role of the CIO.)
Why do you need a Virtual CIO?
Every business right now runs on technology. It is simply impossible to have a thriving business in the twenty-first century without it. A high-quality CIO is a must-have for any ambitious company. But CIOs, with their decades of experience in all aspects of technology and IT, tend to command high wages.
Mid-market businesses tend to use Virtual CIOs as a way of getting strategic value without paying a full salary. Fractional CIOs, however, provide better strategic benefits and continuity whilst remaining an affordable option.
What are CIO services?
So what does a vCIO do? Whilst a regular CIO will have full responsibility for all things technical in a business, a vCIO will have narrower responsibilities depending upon the needs of the company. They may include:
Strategic assessment of the company’s current technology
Assessing and improving cyber security
Implementing a complicated project, such bespoke software or an ERP system
Assess and improve regulatory issues and compliance
How much does a virtual CIO cost?
A CIO salary can range from £180,000 to £250,000 per year, depending upon the demands of the position and the location of the company. The experience of the candidate also affects salary. A virtual CIO will cost less, since they work on an as-needed basis. This may not always be the best decision though, since ‘as-needed’ doesn’t create continuity for a business. A fractional CIO, however, can ramp or down as needed.
How do you hire a CIO?
Employment or personnel firms will help a business find a vCIO, usually for a fee. A better alternative may then be a fractional CIO, who will provide a mid-market business with the right combination of affordability and continuity of service, without a markup. At Freeman Clarke, we specialise in fractional CIOs. Click hereto get in touch.
‘Freeman Clarke provided us with the perfect individual to be our CIO. He quickly connected with Exigent’s high-energy culture and international footprint, and he helped to get colleagues excited about the possibilities of change.’
Why Freeman Clarke?
Quality. Our unique model provides a cost-effective way to get the best talent in the business on your team. We hand-pick IT leaders on the basis of their skills and experience and their ability to fit in to the culture of a mid-market business like yours.
Business-minded. We are business people, and we speak your language. Our IT strategies are always tuned to the needs of the business and commercial realities.
Independence. Our CIOs are completely independent. We make no arrangements with suppliers, so you can know that our recommendations are completely objective.
Flexibility. We don’t insist on an upfront payment or commitment to a six-figure sum. We demonstrate value every day, or else just tell us to stop immediately. It’s as simple as that.
Affordability. Our people are the best in the business, but as you take a fraction of their time the price point is affordable. We set our prices appropriate to the mid-market and we don’t cross-sell or upsell.
Freeman Clarke is the largest and most experienced team of part-time, or fractional, IT leaders. We work exclusively with organizations looking to use IT to grow their business. To find out more about how we could add value to your business, get in touch.
What does an Interim CTO do?
A Chief Technology Officer (CTO) is responsible for technology, teams, and suppliers. They drive innovation and efficiency across the business.
Sometimes a company may be between CTOs and will hire a CTO as a stopgap. Thus an interim CTO, by definition, will be replaced by a permanent hire. This can create confusion and a lack of continuity for a company.
A better choice may be a fractional CTO. ‘Fractional’ simply means ‘flexible’ and can mean ‘part-time.’ But a fractional CTO can stay with your business for years, providing strategy and continuity. And because they work on a fractional basis, it’s more affordable and cost-effective than a permanent hire.
Who needs to hire an interim CTO?
There are a number of situations that may drive a CEO to seek an interim CTO. Sometimes a company looks for an interim CTO to develop bespoke software. Or a start-up may need technology leadership to provide credibility to investors. A mid-market company may want an interim CTO to help it through a period of rapid growth. Finally, a company may seek an interim CTO to keep the IT and technology working well until they can find someone permanent.
In our experience, a fractional CTO has been a better choice in every one of these scenarios. An interim CTO, by definition, is for the short-term; a fractional CTO can help with the same short-term issues, but their long-term commitment means a more comprehensive and strategic approach. And you aren’t stuck with a contract: a fractional CTO can ramp up or down depending upon client needs.
Managing business systems, including the processes, people, and technology needed to make them work well (such as training, data standards, and documentation)
Delivery of digital initiatives that likely encompass customers, partners and suppliers
Ensuring compliance and risk management (for example, GDPR, PCI, ISO27001).
How much do CTO Interim Services cost?
Surveys by recruitment companies indicate a pay range from £100k to £230k per year, depending on the exact scope of the job and geography. An interim CTO will often work on a day-rate, and that can add up quite quickly.
A fractional CTO, in contrast, is a fixed, predictable cost that works out to be (of course) a fraction of a total salary. At Freeman Clarke, we specialise in fractional CTOs, from a few days per month to full-time, or even entire teams. Click here to get in touch.
How to Hire an Interim CTO
There is no shortage of agencies who specialise in interim CTOs. When considering an interim CTO, consider the following points:
Why have they chosen the interim lifestyle? Will that make it difficult for them to engage with your company’s culture and values?
Do they have an interest in the long-term viability of their work?
When their interim is complete, will they still be available for questions?
Do they have arrangements with the suppliers they recommend, or are they independent?
If any of these questions are not answered to your satisfaction, it is likely your business is better off with a fractional CTO.
‘Freeman Clarke aligned our IT with our business strategy. Our systems now provide much greater support for our staff, reducing wasted time, costs, and problems. The culture and practices within our IT team have changed radically, and they are now a critical contributor to our success.’
Why Freeman Clarke?
Quality. Our unique model provides a cost-effective way to get the best talent in the business on your team. We hand-pick IT leaders on the basis of their skills and experience and their ability to fit into the culture of a mid-market business like yours.
Business-minded. We are business people, and we speak your language. Our IT strategies are always tuned to the needs of the business and commercial realities.
Independence. Our CTOs are completely independent. We make no arrangements with suppliers, so you can know that our recommendations are completely objective.
Flexibility. We don’t insist on an upfront payment or commitment to a six-figure sum. We demonstrate value every day, or else just tell us to stop immediately. It’s as simple as that.
Affordability. Our people are the best in the business, but as you take a fraction of their time the price point is affordable. We set our prices appropriate to the mid-market and we don’t cross-sell or upsell.
Freeman Clarke is the largest and most experienced team of part-time, or fractional, IT leaders. We work exclusively with organizations looking to use IT to grow their business. To find out more about how we could add value to your business, get in touch.
The three top post-COVID concerns of mid-market CEOs
We’ve been getting a surge of calls from mid-market CEOs. They’re wisely planning for the end of the pandemic, but we keep hearing the same three concerns. Find out what they’re worried about — and the one answer to all of them. (Hint: they’re all about creating value and risk management.)
Freeman Clarke is the largest and most experienced team of part-time, or fractional, IT leaders. We work exclusively with organizations looking to use IT to grow their business. For an informal conversation, contact us and we’ll be in touch.
Mid-market report: Four steps to navigating inflation
It sounds like something from the deep past of the 70s, like disco balls and flared trousers. But inflation is back. In the US, it’s over 5%. And the Bank of England warns it could reach 4% in the UK.
While we don’t see it reaching the heights of the bad old days, these relatively high levels of inflation — and the consequent interest rate hikes — may lead to changes in business fundamentals that we haven’t seen for some time.
As in any emerging situation, the question for us is, what does this mean to our mid-market clients? A few days ago, our US and UK Regional Directors had a virtual conference to discuss that very question.
The stories from our clients are dramatic:
Prices for shipping and building materials have doubled
Petrol prices up 40% in the US, 20% in the UK
Wages are up in hospitality and retail
Lawyers and other experts are raising their rates
Rates for certain IT skills have lurched up to shocking levels.
So we do believe that there is cause for concern. But we’ve been listening to our clients and thinking hard about it, and we also believe there are ways of managing inflation.
Here is what we are recommending to our mid-market clients:
1. Strategise.
Take a step back and look at your markets and customers and revisit the basic strategic questions: what do they want? How do we give it to them?
2. Speed up reporting.
Demand, costs, prices, and supply are changing rapidly; pricing and purchasing decisions need to be made swiftly. So you likely need faster internal information flow for your reporting.
3. Automate to reduce costs.
Replace aging ERP systems. Integrate your processes. Use bots for the first line of customer service—consumers are used to them at this point. You won’t be able to automate everything, nor should you. But where can you?
4. Improve online experiences.
Look at your front end through a customer’s eyes. Is the product imagery and information detailed enough? Attractively presented? Are you delivering a simple user experience for even complex purchases?
Inflation is affecting almost every business sector from construction to investment management. But the real danger isn’t pricing, it’s complacency. It’s adapt or die: the winners will be those companies continually reassessing the opportunities, staying alert, and moving quickly.
Freeman Clarke is the largest and most experienced team of part-time, or fractional, IT leaders. We work exclusively with organizations looking to use IT to grow their business. For an informal conversation, contact us and we’ll be in touch.
The three-step strategy for hybrid working
The pandemic took us all by surprise, but we’ve had our eyes on hybrid working for some time.
In 2018, we wrote a CEO’s Briefing on Working from Home, prompted by the first sustained decline in UK railways’ season-ticket sales in its entire 150-year history. Urbanization and commuting remain established ‘mega trends’ across the world, but there were signs in both the US and UK that office working was on the wane.
Of course, with the pandemic, this gradual trend became a sudden flip. And what a flip: a US surveyfrom late 2020 reported that the jump in remote-working was from 20% to 71%.
For many companies, there was a mass evacuation from the office conducted with little time to plan, and even less time for a strategy. Nevertheless, during the months that followed, people and companies adapted to new ways of working and found ways to cope.
Unlike the rapid flip required by the pandemic, this time there is scope to plan and strategise.
As the pandemic eases, many companies are looking again at office working, home-working and hybrid arrangements. Unlike the rapid flip required by the pandemic, this time there is scope to plan and enact a thought-through strategy.
We propose that your approach should be based on the following steps.
1. Strategise.
Remind your senior leaders of your business objectives and how your business stands out in the market. What makes it special in terms of customers and value? This should drive planning for you and other decision-makers in your organisation.
For example, if your market is highly commoditised, then of course this is an opportunity to look at offshoring further roles to lower costs (or to automate more roles and eliminate some costs altogether).
If your business thrives on creativity, however, we recommend that you bring your people together, because thereis no substitute for the spark of brilliant people, in a room, face-to-face.
If you are competing to recruit rare talent, then perhaps home or hybrid working allows you to recruit more easily — to cast the net wider and to offer a better package than your competitors.
If you emphasise great service, then think about what your customers want, rather than what you want.
2. Segment.
Your plans for home, office or hybrid working should be rooted in the role profiles within your company. Not all office jobs have the same profile and needs; what makes sense for a credit control clerk may not make sense for a product designer.
Consider your roles in terms of:
The frequency, complexity, and ambiguity of their interactions with other people,
Their need for supervision or help,
And, of course, their access to suitable home-working facilities and/or their need for specialist office equipment.
Your adoption of home, office or hybrid working should be based on the needs of the role rather than the department or seniority.
3. Optimise.
It’s easy to do hybrid working badly. Meetings where half the team are in the office and half are remote can easily leave the remote workers feeling excluded. Getting the best from all your people requires more deliberate communications and inclusion; even more clarity on roles, processes, and controls; and investment in technology that supports hybrid working patterns.
In particular:
Hybrid working must be part of the culture of the company. People need to see how the hybrid way of working has become part of the day-to-day and feel that they are still part of the company even if they’re rarely in the office. This is particularly important for engaging new starters.
Set clear expectations of how work gets done, for instance defining when their physical presence is expected. Perhaps it’s okay to attend company-wide meetings on video, but weekly departmental meetings should be in person.
Go overboard with communication: send out information on all channels, engaging everyone at all levels, and encouraging them to take part.
Recognise that not everyone has a great working environment at home. Whereas senior staff can use the spare annex, junior staff may have to work from their bedroom.
Need help with your hybrid working strategy? Get in touch.
One of our colleagues remarked that the pandemic was the first time that communication with his offshore providers had worked properly, because they were equals in video meetings rather than side-lined. This anecdote shows how easily we can get it wrong and lose so much of what people have to offer.
But when done right, hybrid working offers the opportunity to attract the best, to lower costs, and to reduce the impact on the environment. We have a unique opportunity right now to improve service to our customers and increase productivity and job satisfaction. Let’s make the most of it.
Freeman Clarke is the largest and most experienced team of part-time, or fractional, IT leaders. We work exclusively with organizations looking to use IT to grow their business. For an informal conversation, contact us and we’ll be in touch.
What is an IT Director’s salary?
An IT Director supervises technology, teams and suppliers. They focus on delivery of IT services to support and improve a company.
What is the salary for IT directors in the UK?
Surveys by recruitment companies indicate an IT Director salary can be up to £150,000 per year. The salary of an IT Director will vary by the experience of the candidate, but where they work also matters. IT Director salaries in the London area tend to be the highest, but CTOs can certainly earn high salaries in other cities across the UK.
With all these factors – experience, geography, the quality of the candidate and the needs of the business – it can be complicated to assess an IT Director’s salary.
How to determine an IT Director’s salary?
When we are selecting IT Directors, we look at the following indicators to benchmark their experience and value which helps in determining their salary:
1. Does the IT Director understand the business well, as opposed to just the technology? Do they have strong connections with other business leaders? When they introduce changes to a company, does it drive improvements across a range of areas and activities? Similarly, do they focus on improving key business activities that drive business performance – not just activities more narrowly related to IT or technology?
2. Do they introduce best practice or simply good practice? For example, do they stay informed about the most recent cybersecurity tactics and products? Are they knowledgeable and experienced in modern automation tools to remove repetitive business administration tasks?
3. Do they have excellent team leadership and management skills? Can they grow a high-performing, loyal, and cost-effective internal team? Similarly do they effectively negotiate price, contract and service management arrangements with suppliers?
Ultimately, the position of IT Director is extremely important and can have a huge impact on a business. The IT Director’s salary needs to reflect that. (For more information about the role itself, see our explanation here.)
If you have questions about the role of the IT Director and their salary, we can help. We interview, screen, select and develop more Board-level IT leaders than any other organisation. We’re always happy to discuss the recruitment process or any other IT challenges or opportunities.
Why Freeman Clarke?
Freeman Clarke is the largest and most experienced team of part-time (we call it ‘fractional’) CIOs, CTOs and IT directors. We work exclusively with ambitious mid-market organizations, and we frequently help our clients to use technology to beat their competition.
To find out more about how we could add value to your business, Contact Us and we’ll be in touch for an informal conversation.
What is a CTO salary?
A Technology Officer (CTO) is responsible for technology, teams and suppliers. They drive innovation and efficiency across the business.
What is the salary for CTOs in the UK?
Surveys by recruitment companies indicate a CTO salary can be up to £230,000 per year. The salary will vary by the experience of the candidate, but where they work also matters. CTO salaries in the London area tend to be the highest, but CTOs can certainly earn high salaries in other cities across the UK.
With all these factors—experience, geography, the quality of the candidate and the needs of the business—it can be complicated to assess a CTO’s salary.
How to determine a CTO salary?
We simplify determining CTO salaries by using three key factors:
1. Does the CTO look to the horizon—to market leaders and emerging technology—in order to bring innovation and new ideas to the business? Are they genuine leaders in digital, custom software, and identifying market opportunities? Do they continually learn and ensure they are at the top of their game?
2. Do they take a leading role in improving efficiency, effectiveness, and driving business value? Do they create new starting points and innovations to open the door to new business strategies? Or is their job to simply meet the agenda set by more senior leaders?
3. Finally, do they take broad ownership for delivering change? For example, does the CTO facilitate discussions with other leaders within the organisation and potentially outside? Do they work as equals with other Board-level leaders to meet overall objectives? Are they credible and knowledgeable when dealing with investors and other external stakeholders?
Overall, the CTO is an extremely important position that can have a huge impact on a business. The CTO’s salary needs to reflect that. (For more information about the role itself, see our article, What is the meaning of CTO?)
If you have questions about the role of the CTO and their salary, we can help. We interview, screen, select and develop more Board-level IT leaders than any other organisation. We’re always happy to discuss the recruitment process or any other IT challenges or opportunities.
Why Freeman Clarke?
Freeman Clarke CTOs work on a ‘fractional,’ or part-time model. This provides a business with first-class technology leadership without the full-time cost.
Our fractional CTOs are uniquely suited to mid-market businesses. They have outstanding technical expertise. They are strategic thinkers. They understand how to use technology to drive growth. But they are also suited to the culture and reality of mid-market business.
Whatever the remit, our CTOs operate from the fundamental idea of linking a business’s systems and digital strategy to business objectives. This should be the goal of every innovative company because when the two disciplines are connected, we see real, sustainable growth.
To find out more about how we could add value to your business, Contact Us and we’ll be in touch for an informal conversation.
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Graeme Freeman
Co-Founder and Director
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