Navigating difficult times: The interim manager as a strategic driver of restructuring
By Interim Search
Expert: Professor Ola Bergström, School of Business, Economics and Law, University of Gothenburg
In times of economic uncertainty and restructuring, interim managers face particularly complex challenges. We recently had the opportunity to speak with Professor Ola Bergström at the School of Business, Economics and Law at the University of Gothenburg – a leading expert in transition and labor market issues – on what it takes to lead change in difficult times and how interim managers can act as strategic drivers in times of decline.
The pitfall of leadership: Fear of change
When companies are forced to restructure, it is often assumed that resistance to change will be particularly strong. However, Ola Bergström believes that this assumption is a pitfall in itself. He explains that resistance to change can occur in both upturns and downturns. In many cases, resistance can be worse when business is going well. When the company is performing poorly, it can be easier to gain understanding for the need to implement changes.
Ola emphasizes the importance of daring to act:
”The issue arises when one has overly high expectations of the opposition, and consequently is apprehensive about implementing necessary changes when everyone is aware that things must change.
As an interim manager, it can be easier to view the business objectively and identify areas where change is needed. It is important to quickly familiarize yourself with the organization's actual situation in order to act with credibility. But once you have decided to implement your expectations, it is important to understand your employees' needs and any concerns they may have about change. According to Ola, the key to success is consistent and open communication.
”Experience from research is clear: communication is key. Even if you don't have any news to share or any new announcements to make, it's important to communicate. Openness and clarity are crucial.”
From crisis to control: Strengthen your brand through responsible processes
Even when restructuring involves staff reductions, the interim manager has a unique opportunity to protect, and even strengthen, the company's employer brand. It's about demonstrating responsible leadership throughout the process.
As an interim manager, it is crucial to identify the company's transition agreements at an early stage. The Swedish transition system offers professional advice on planning and change management as well as on conducting difficult conversations. By utilizing this support, you ensure a responsible process that maintains staff confidence, strengthens the company's brand, and secures future recruitment capabilities.
Ola elaborates on this argument:
”The focus must be on what is best for the business and on creating the right conditions for the future. For companies with no experience of staff reductions, the process can feel difficult, while experienced organizations use the system strategically to develop their business. When those who have been made redundant receive qualified support in finding new employment, management can free up energy to build the future together with the employees who remain.”
Build trust: History, insight, and anchoring
To build understanding and trust, Ola emphasizes the importance of two main areas:
- Understand the history. The interim manager must quickly map out the organization's previous experiences of change in order to avoid old pitfalls.
”Learn from history by listening to those who have been there before. These may be sensitive issues, but by really listening, you create the best conditions for success.” - Ensure acceptance and compliance Trust in the interim manager is strengthened when the change process is structured and in line with Swedish agreement models. Involving the right stakeholders at an early stage is crucial for the process to be perceived as legitimate.
”In international environments, expectations regarding change processes can vary. As an interim manager, you will achieve the best results by combining clear direction with a solid understanding of Swedish regulations. By engaging in professional dialogue with the organization's stakeholders and ensuring that you have the support of your key stakeholders, you will build the legitimacy required for a successful journey.”
By combining historical insight with transparent communication, the interim manager can navigate complex cutbacks and turn challenges into success. The key lies in inclusive dialogue and constructive cooperation with the organization's stakeholders, which creates the stability required for successful change management.
Strengthen your skills as an interim manager
Would you like to deepen your strategic expertise in leading complex change and restructuring processes?
Interim Search offers, in collaboration with School of Business, Economics and Law at the University of Gothenburg a leading academic program for experienced leaders: Interim Management Professional Program.
The program provides you with the latest research-based insights and tools to successfully lead in interim roles, with a particular focus on change management.
