The Fractional Employee Future

by Braden Kelley

The Fractional Employee Future

In my last article 10 Reasons to Hire a Part-Time Chief Innovation Officer, I looked at the reasons why an organization might want to hire someone part-time to lead their innovation efforts (a follow-up to my previous post Hiring the Right Chief Innovation Officer).

Now I’d like to explore the idea of a fractional employee in a much broader context with you. A few years ago in my popular white paper Harnessing the Global Talent Pool to Accelerate Innovation commissioned by Innocentive, I introduced the idea of building a global sensing network along with other ways that companies can reach outside their four walls to speed up their ability to innovate. I have continued since then to hypothesize that successful organizations of the future will possess more porous boundaries, becoming less like castles keeping everything inside their walls and more like atoms, freely combining with other atoms to form the molecules the market requires just-in-time.

Organization of the Future

Purpose and Passion

One of the key tenets of this belief is that purpose and passion are the key to unlocking the full potential of any human, and that inherently companies do a very job of unlocking either in their quest to match resumes with job descriptions.

In an effort to develop and retain employees, and fill discrete project needs, some companies are reaching beyond the job description to try and tap into more of the knowledge, skills, and abilities of the people they hire. One way this happens is through HR initiatives like the internal internships at Cisco, where a Finance employee with an interest or passion for marketing, could do an internal internship in Marketing, spending a small number of hours each week working on a discrete project with a resource need.

Outside of the organization, there are an increasing number of avenues for employees to use their un-tapped knowledge, skills, and employees to satisfy their quest for passion and purpose. These include challenge driven marketplaces for both crowdsourcing and open innovation, places like Innocentive, 99 Designs, Idea Connection, Crowdspring, and others.

Traveling the Hyperloop Ten Hours a Week

But now, we are starting to see direct to talent (DTT) models emerge. The latest example of the fractional employee model comes from Dirk Ahlborn of Hyperloop Transportation Technologies (HTT), rethinking how companies are built in the first place. Instead of hiring full-time, salaried employees, Ahlborn has decided to crowdsource the labor to part-time workers and offer stock options in lieu of salary, successfully attracting about 450 workers, based in more than a dozen countries, moonlighting from organizations like NASA and Boeing.

HTT requires crowdsourced labor to commit to a 10-hour workweek to be eligible for stock. “The guys are working for stock options — they’re doing 10 times better job [than paid employees],” says Dirk Ahlborn.

Companies like Aecom, one of the world’s largest engineering design firms, are joining individuals in participating in the potentially “transformative” project, as a way to get employees executing mundane projects for the company to also get excited about building something new.

“I always tell everyone it’s a marathon, not a sprint,” Ahlborn says. With 450 workers accumulated over the past couple of years and growing, Ahlborn adds, “It is becoming a movement.”

The Way Forward

From internal internships, to challenge-driven external innovation, to crowdsourced projects, to fractional employee initiatives, the world of work is changing as companies seek to accelerate to match the pace of continuous change and the continuous innovation expectations that come along with it.

If we go back to the Organization of the Future graphic above, you’ll see that job descriptions often overlap not just with employee knowledge, skills, and abilities but those of customers, partners, suppliers, and other employees as well.

Organizations seeking to increase their organizational agility will not only use tools like the Change Planning Toolkit™ but will also change their thinking about how they get work do

ne and will do a better job of recognizing when and where to tap into the abilities of other employees, partners, suppliers, and even customers to achieve the outcomes that will allow them to continue to surprise and delight their customers, clients, or constituents.

And this means embracing a fractional employee future.

Are you ready?

Get the Harnessing the Global Talent Pool to Accelerate Innovation white paper

Sources: Innovation Excellence, MSN

This article was originally featured on Linkedin


P.S. If you’re looking to hire a Chief Innovation Officer (an Innovation Enablement Leader) on a full-time or part-time basis, drop me an email and I can either tackle the role or find someone else who can!


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Braden KelleyBraden Kelley is a popular innovation speaker, builds sustainable innovation cultures, and tools for creating successful change. He is the author of the five-star book Stoking Your Innovation Bonfire and the creator of a revolutionary new Change Planning Toolkit™ coming soon. Follow him on Twitter (@innovate) and Linkedin.

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