Fractional COO
Minimize your risk while optimizing your growth by leveraging Fractional Executives.
Optimize your Operation with a Fractional COO
The business world is constantly evolving and finding the right partners to grow with you is essential to success. That’s why more and more companies are turning to fractional Chief Operations Officers (COO) as a solution for their business processes, strategy and operations needs.
What is a Fractional COO?
Fractional Chief Operations Officers (COOs) are a relatively new concept in the business world, but they are quickly gaining popularity, particularly among startups. These professionals are experienced operations executives who work on a part-time or project basis rather than as full-time employees. In this case study, we will explore how a fractional COO helped a startup become more efficient, create processes that optimized efficiency, and ultimately helped the company grow rather than go out of business.
- Developing and deploying operational strategies
- Managing and overseeing the organizations day-to-day operations (supply chain, manufacturing, logistics)
- Identifying and implementing process improvements that increase efficiencies and reduce costs
- Providing guidance and support on operational related matters
- Identifying and mitigating operational related risks
- Providing a sounding board and support to existing leadership and operations team
- Helping recruit and develop talent
- Drive strategic initiatives such as M&A and development of new products
- Oversee the current operations team
Fractional COOs are ideal for early to mid-stage companies that are growing or lack the budget to hire a full-time COO. They also provide the flexibility to scale up or down depending on the company’s needs.
What are the benefits of a Fractional COO?
Fractional COOs bring significant value to any sized company. Their benefits include:
- Cost Savings – Provide the same level of expertise as a full-time COO, but at a fraction of the cost.
- Objectivity – Brings an outside perspective and can help the organization identify areas for improvement.
- Access to Expertise and Experience – Bring a wealth of experience and expertise to help an organization and can help navigate the complex operational landscape..
- Support to Existing Management Team – Provide guidance, mentoring and support to the current management team as it pertains to operations.
- Access to More Operations Skills – Have experience across a range of industries and technologies that they can apply to your organization.
- Drive Strategi Initiatives – Help the organization identify and implement strategic initiatives such as M&A or the development of new product lines.
- Flexible – Flexibility with hours and the ability to scale up and down on a moment’s notice.
Many companies that employ fractional COOs still maintain their own operations teams. Their Fractional COO guides and directs those teams as needed to help avoid costly mistakes and keeps technology current.
Case Study: A Fractional COO Optimizes Operations
Company: The company is a B2B manufacturing supplier that provides a unique service solution for small and medium-sized businesses. The company was founded by visionary entrepreneurs with a strong manufacturing industry background but little experience in operations. They have been able to develop a product, basic processes and attract a few customers, but they have struggled to scale their operations and maintain profitability.
Challenge: The company’s founders recognize they need help with their operations but lack the budget to hire a full-time COO. They also need to gain the expertise to keep things going long-term. They need someone to help them create and execute an operations strategy that will drive growth and increase their customer base while being profitable.
Solution: The company decided to hire a fractional COO to help them with their operations efforts. The fractional COO brought a wealth of experience and expertise to the table. They could help the startup create a comprehensive operations strategy that includes a mix of process design, cost management, and team management.
The fractional COO worked closely with the founders to understand the company’s unique value proposition, target audience, and current operations. They then created an operations plan that includes tactics such as process automation, resource optimization, and team management. The fractional COO also helped the startup to develop a strong internal culture and communication, which was crucial for building a cohesive and efficient team.
Result: With the help of the fractional COO, the company increased its customer base by 30% in the first six months while also reducing its operational cost by 25% in the first year. The company’s team is also more cohesive and efficient, which helped to generate more leads and sales. The fractional COO also helps to create a solid internal culture and communication that helps to increase employee satisfaction and retention.
Summary
A fractional COO can be a cost-effective solution for startups and other growing companies needing help with their operations efforts but lack the budget to hire a full-time employee. These professionals bring a wealth of experience and expertise to the table. They can help startups create and execute a comprehensive operations strategy that drives growth, increases their customer base, and helps the company to maintain profitability.
Want to Learn More?
A fractional COO may be the solution if your company is looking for a way to save money while still getting the operations expertise you need. Reach out to NeoGig to learn more about how a fractional COO can help your company unlock growth.