Fractional HR: Private Equity Firms’ Biggest HR Solution

Private equity firms often face the challenge of not having a dedicated human resources (HR) team to handle the various HR needs of their portfolio companies. This can lead to HR tasks falling by the wayside, or being handled by individuals who may not have the necessary expertise or time to devote to them.

One solution for private equity firms is to utilize a fractional HR professional. A fractional HR manager is an HR expert who works on a part-time or project-based basis, rather than being a full-time employee.
A fractional HR professional pointing at the various areas in human resources

There are several benefits to using fractional HR in private equity firms. First and foremost, it allows private equity firms to access the expertise and knowledge of a seasoned HR professional without the cost of hiring a full-time employee. This can be particularly useful for private equity firms that do not have the resources to hire a full-time HR team.

In addition, a fractional HR professional can bring a fresh perspective and outside expertise to the HR function of a portfolio company. They can provide guidance on best practices and help identify areas for improvement.

Another advantage of using a fractional HR professional is the flexibility it provides. Private equity firms can bring in a fractional HR professional on an as-needed basis, rather than committing to a full-time employee. This allows them to scale their HR support up or down as needed, depending on the needs of their portfolio companies.

There are also cost savings to be had by using a fractional human resources professional. Private equity firms do not have to pay for benefits, vacation time, or other employment costs associated with a full-time employee. This can help to keep HR costs under control, particularly for smaller private equity firms.

Don’t overlook the importance of effective HR management. Using a fractional HR professional can be a valuable solution for private equity firms looking to support the HR needs of their portfolio companies. With the expertise and knowledge of a seasoned HR professional, private equity firms can improve their HR function and identify areas for improvement. The flexible, project-based nature of fractional HR professionals allows private equity firms to scale their HR support up or down as needed, while also saving on employment costs such as benefits and vacation time. Overall, utilizing a fractional HR manager can be a cost-effective and efficient way for private equity firms to address their HR needs.

About The Christopher Group

Here at The Christopher Group, an executive human resources search firm, we have a team of experienced HR professionals who specialize in placing high-level HR executives into part-time or project-based roles.

We understand the unique HR needs of private equity firms and can help to match them with the right fractional HR professional. Whether a private equity firm is looking for an HR expert to handle a specific project, or needs ongoing HR support on a part-time basis, TCG can assist in finding the right fit.

In addition to finding the right fractional HR professional, we can also provide support and guidance on how to effectively utilize a fractional HR professional. Our team of HR experts can advise on best practices for managing a part-time HR team, and help private equity firms to maximize the value of their fractional HR resources.

TCG is a valuable resource for private equity firms looking to utilize a fractional HR professional. With our expertise and experience in placing top-level HR executives into part-time or project-based roles, we can help private equity firms find the right fit and effectively manage their fractional HR team.