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HR Transformation: Why the interim vs permanent debate is missing the point

HR leaders discuss Interim vs permanent debate
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HR transformation has become one of the defining leadership challenges facing organisations today.

Whether driven by operating model redesign, shared services, HR technology, workforce planning, AI, organisational design or cost optimisation, HR functions are being asked to fundamentally rethink how work gets done while continuing to deliver day-to-day performance.

As these transformation agendas become broader and more interconnected, one question repeatedly emerges:

Should we hire a permanent transformation leader, bring in an interim specialist, or engage external consultants?

It’s an understandable question. However, our conversations with senior leaders responsible for leading large-scale HR transformation programmes suggest the interim vs permanent debate may be framed too narrowly.

The organisations making the greatest progress are rarely choosing between permanent leadership, interim expertise and consultancy support. Instead, they combine all three, with each playing a distinct role in delivering change.

Rather than asking who should deliver transformation, leading organisations are increasingly asking a more nuanced question:

Which capabilities do we need to own, which do we need to borrow, and where do we need independent challenge?

The answer rarely rests with a single hire. Instead, the strongest transformation programmes are built around a deliberately designed ecosystem that combines leadership, specialist expertise and external perspective in a way that reflects the complexity of the challenge itself.

Why the interim vs permanent debate misses the point

There was a time when transformation could reasonably be treated as a project. An organisation might implement a new HR system, redesign a function or centralise a service before returning to business as usual.

That distinction is disappearing.

Today’s HR Transformation leaders are often managing multiple, overlapping programmes simultaneously. HR technology implementations sit alongside operating model redesign. Workforce planning informs organisational restructuring. AI initiatives create new questions around capability, skills and job design. Cost transformation, culture change and shared services programmes frequently run in parallel.

One HR Transformation Director described operating within a global matrix where global, regional and local teams were initiating transformation activity simultaneously:

“Sometimes I’ll only find out about a piece of work that global thought was a good idea when it’s almost too far gone.”

The experience reflects a broader challenge facing many HR Transformation leaders today.

Rather than delivering a single programme, they are increasingly responsible for coordinating a portfolio of interconnected change initiatives. They must also ensure the organisation retains the capacity to absorb them. As transformation agendas become more complex, organisations need a broader mix of capabilities. No single individual, hiring decision or external provider can realistically meet every requirement.

Organisations require strategic ownership, specialist delivery expertise, governance discipline, independent challenge and additional capacity, often at the same time. The question is therefore no longer whether permanent is better than interim, or whether consultancies add value. It is how those different capabilities can be combined most effectively to deliver sustainable change.

Three capabilities every transformation programme needs

Across our conversations, a consistent pattern emerged.

The strongest transformation functions weren’t built around one exceptional individual. They were built around three complementary capabilities:

Ownership – leaders who understand the organisation and remain accountable for long-term outcomes.

Borrowed expertise – specialists who bring experience, capacity and delivery capability at critical moments.

Independent challenge – external perspectives that test assumptions, improve decision-making and reduce delivery risk.

Different organisations combine these capabilities in different ways, but the principle remains remarkably consistent.

Ownership: why permanent leadership still matters

Despite the increasing use of flexible talent, every conversation reinforced the importance of permanent transformation leadership. The strongest Heads of HR Transformation were doing far more than sponsoring programmes.

They were aligning HR, Finance, Technology and Operations behind shared priorities. They were securing investment, navigating governance and ensuring transformation remained connected to business strategy rather than becoming a collection of disconnected initiatives.

Their greatest advantage wasn’t technical expertise, it was organisational intelligence. They understood how decisions were made, where influence sat and how to move programmes through complex governance structures.

As one transformation leader explained:

“How do you ultimately get an investment case through the channels to get it on the desk of the CFO?”

That knowledge is difficult to replicate externally.

Many transformation programmes don’t stall because the solution is wrong. They slow because competing priorities emerge, executive alignment weakens or governance becomes more complicated than expected.

Permanent leaders provide continuity through that complexity. They own relationships, maintain momentum and remain accountable long after a project team has moved on.

Borrowing expertise: where interim leaders create value

If permanent leaders provide ownership, interim specialists provide something equally valuable: experience at the point of greatest need.

Across the leaders we interviewed, organisations consistently brought in interim specialists to solve challenges that required expertise they either didn’t possess or only needed temporarily. Typical examples included programme mobilisation, PMO leadership, programme governance, shared services, HR technology implementation, M&A integration and the recovery of struggling transformation programmes.

As one leader explained:

“We switched out the head of the PMO and brought in an independent contractor.”

The decision wasn’t driven primarily by cost. It reflected a need for greater independence, stronger accountability and someone who had successfully delivered similar programmes before.

A significant part of the value lies in that experience. Having delivered multiple transformations across different organisations, high-quality interim leaders develop pattern recognition that is difficult to replicate internally. They often recognise emerging risks earlier, understand where programmes typically lose momentum and can quickly identify the practical interventions needed to maintain progress.

Interim expertise also enables organisations to increase capability without permanently increasing headcount. Transformation demand is rarely constant, and the skills required to mobilise a programme are often different from those needed to embed it. Borrowing specialist capability at the right moment allows organisations to respond without creating permanent structures around temporary needs.

Independent challenge: the role of consultancy support

Consultancies continue to play an important role in HR transformation, but not always in the ways organisations traditionally expect.

The leaders we spoke with were generally selective about where advisory firms created the greatest value. Rather than asking consultancies to own delivery end-to-end, many used them at key decision points. External perspective often improved the quality of significant investment decisions. This included operating model design, transformation readiness assessments, benchmarking, business case development and access to specialist expertise that internal teams did not possess.

Several leaders also highlighted the importance of maintaining independent challenge throughout major programmes. Rather than relying solely on delivery partners to provide assurance, organisations increasingly sought independent perspectives capable of challenging assumptions and reducing delivery risk.

As one transformation leader explained:

“We wanted somebody who was independent enough not to have skin in the game.”

This distinction is an important one. While transformation programmes undoubtedly benefit from external perspectives, they also require individuals who are willing to challenge assumptions rather than simply validate existing plans. The most effective leaders viewed consultancy support as a way of improving decision quality and strengthening outcomes, rather than replacing internal accountability.

Building capability rather than dependency

The strongest organisations weren’t simply focused on delivering today’s transformation successfully. They were thinking carefully about the capabilities they wanted to retain once the programme was complete. Several leaders described using experienced interim specialists not only to accelerate delivery, but also to strengthen capability within their existing teams.

As one Head of HR Transformation explained:

“What we wanted to do was build future capability.”

In practice, this often meant pairing interim leaders with internal colleagues through “two-in-a-box” models, allowing knowledge, delivery disciplines and transformation expertise to be transferred while programmes were underway. Rather than creating dependency on external support, organisations were using interim specialists to build programme management, change and transformation expertise within the function itself. Several leaders highlighted examples where interim leaders either moved into permanent roles or helped develop internal team members who would ultimately take ownership of future transformation activity.

The organisations doing this well view transformation as an opportunity to leave the function stronger than they found it, not simply complete a programme.

Designing a transformation ecosystem

Taken together, these conversations point towards a broader conclusion.

HR transformation has outgrown the idea that a single leader can carry responsibility for an increasingly complex agenda. Instead, successful organisations are building transformation ecosystems.

At the centre sits a permanent leader who owns outcomes, aligns stakeholders and provides continuity. Around that core sits a flexible network of specialist capability: interim programme leaders who accelerate delivery, technical experts who solve specific challenges, change professionals who support adoption and advisers who provide independent perspective when critical decisions need to be made.

Each plays a distinct role within the transformation ecosystem. Permanent leaders provide ownership and continuity; interim specialists contribute targeted expertise and delivery capability; while consultancies bring independent challenge, external perspective and specialist insight.

Together, they create a delivery model capable of managing both today’s priorities and tomorrow’s change.

Several leaders also highlighted the risks of getting this balance wrong. When organisations under-resource transformation, or expect one individual, one consultancy or one team to solve every challenge, delivery becomes fragmented, competing priorities multiply and benefits become increasingly difficult to realise.

Transformation is rarely constrained by ambition. More often, it is constrained by capability, capacity and the ability to bring the right expertise together at the right time.

A better question for HR leaders

For CHROs and senior HR leaders, this changes the conversation considerably.

The challenge is becoming less about the traditional interim vs permanent decision and more about understanding the role permanent leaders, interim specialists and consultancy partners can play within a broader transformation ecosystem.

Organisations rarely struggle because they select the wrong type of resource. More often, transformation programmes encounter difficulties when a single appointment, team or provider is expected to solve every challenge. The leaders making the greatest progress recognise that successful transformation depends on combining ownership, specialist expertise and independent challenge in a way that reflects the scale and complexity of the agenda they are trying to deliver.

As HR transformation becomes increasingly interconnected, success is unlikely to come from choosing between permanent leadership, interim expertise or consultancy support. Rather, it will come from understanding when each creates the greatest value and how they can be brought together to deliver change successfully.

How are you resourcing transformation?

As HR transformation programmes become increasingly complex, many organisations are rethinking the balance between permanent leadership, interim expertise and advisory support.

At BIE, we work with organisations across Business Advisory, Interim Management and Executive Search, helping them access the leadership and specialist expertise needed to shape, deliver and sustain change.

If you’re reviewing how to structure or resource an HR transformation programme, we’d be happy to share our perspective and discuss how other organisations are approaching similar challenges.

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