The Association of Providers AIMP from the DACH region recently conducted its 18th Provider Market Survey, involving 20 providers from Germany, Austria, and Switzerland. Three partners of SMW were involved in the development of this study: Alpha Management (Germany), Top50! (Switzerland) and P+P (Austria). The survey provides valuable insights into the state of the interim management sector in the region. In this article, we summarize the key findings of the survey and offer our perspective on the implications for businesses and the interim management industry.
Market volume bounces back
One of the most encouraging trends revealed by the survey is the significant increase in the market volume. It has surged to the pre-Corona level of 2.4 billion euros, indicating a robust demand for interim managers and a promising economic recovery in the DACH region. This resurgence is a positive sign for businesses in need of flexible and expert leadership solutions.
Rising daily rates reflect value
The average daily rate paid by customers for interim managers has seen a substantial increase, reaching almost €1,200. This uptick in compensation underscores the appreciation of businesses for the specialized skills and adaptability that interim managers bring to the table. It’s clear that organizations are willing to invest in top-tier interim talent to navigate complex challenges.
Declining number of Interim Managers
However, amidst these positive trends, there is a notable concern. The survey indicates that the number of interim managers in the DACH region has been steadily declining since 2017, with the current count standing at 12,600. Several factors may contribute to this decline, including economic uncertainties and the challenges of identifying and securing qualified interim professionals. Nonetheless, the continued demand from medium-sized companies (500-1,000 employees) for interim management suggests that the need for these services remains strong.
Strategic decision-making
The survey highlights that the decision to engage an interim manager is primarily made at the top management level. This reaffirms the view that interim management is regarded as a valuable tool for strategic corporate management and control. The involvement of top executives in selecting interim managers underscores the critical role they play in driving organizational change and transformation.
Sector dynamics
Mechanical engineering and the automotive sector continue to dominate the utilization of interim managers, accounting for 34% of assignments. However, it’s noteworthy that the consumer goods sector (food/non-food) is rapidly catching up. This shift may indicate changes in consumer behavior and evolving global supply chain dynamics that require agile and experienced leadership.
Focus on key functions and scenarios
Interim managers are most frequently deployed in corporate functions such as finance, senior management, human resources, and production. The primary reasons for their deployment include change management, classic project work, project vacancies, and restructuring. These roles align with the strengths and expertise of interim managers, positioning them as valuable assets during times of change and uncertainty.
Conclusion
The findings from AIMP’s latest provider market survey in the DACH region present a mixed picture for the interim management sector. While the resurgence in market volume and increased daily rates reflect optimism and demand, the declining number of interim managers is a concerning trend.
Nonetheless, the survey reaffirms the strategic importance of interim management in corporate decision-making, as top-level executives continue to recognize its value. The evolving sector dynamics and the expanding areas of application further underscore the adaptability and versatility of interim managers.
Overall, the survey’s results indicate that interim management remains a vital and evolving field in the DACH region. As businesses continue to face complex challenges, there is room for growth and development in the industry, making it an exciting space to watch in the coming years.
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