Fractional Executives and Consultants: When Healthcare Practices Should Hire Each

In today’s evolving healthcare landscape, companies often need specialized expertise to drive growth, solve complex problems, or manage transitions. Two popular options for bringing in external expertise are fractional executives and consultants. Both can be key partners in a practice's success, but knowing which to pick, and when, is critical to maximizing their impacts.

What is a Fractional Executive?

A fractional executive is a part-time or interim leader who takes on an operational leadership role within an organization. They integrate into the company’s leadership team, making strategic decisions and overseeing execution of initiatives. Typically, fractional executives work with companies that need high-level expertise but are not ready for—or do not require—a full-time executive. These leaders usually act, think, and operate like a true employee of the organization and are held to performance

When to Choose a Fractional Executive:

Ongoing Leadership Needs: If your company requires executive oversight but does not yet need a full-time position, a fractional executive can fill the gap.
Scaling and Growth: Businesses experiencing rapid growth may need seasoned leadership to scale operations efficiently without committing to a long-term hire.
Turnaround or Transformation: When a business is restructuring, entering a new market, or undergoing a significant transition, a fractional executive provides hands-on guidance.
Budget Constraints: Hiring a full-time C-suite leader can be costly. A fractional executive offers expertise at a fraction of the cost while delivering executive-level impact.

What is a Consultant?

A consultant is an external expert hired to provide strategic insights, recommendations, and solutions for specific business challenges. Unlike fractional executives, consultants typically do not hold operational leadership roles but instead deliver advisory services and project-based solutions.

When to Choose a Consultant:

Short-Term, Defined Projects: If you have a clear problem or initiative—such as implementing a new system, conducting market research, or improving operational efficiency—a consultant can provide targeted expertise.
Objective, Third-Party Insights: Consultants bring an outside perspective and can diagnose organizational issues without internal biases.
Specialized Knowledge: When dealing with niche challenges like compliance, technology integration, or regulatory changes, a consultant’s specialized expertise can provide critical guidance.
Training & Development: Consultants often create strategies, frameworks, and training programs that your team can implement after their engagement ends.

Making the Right Choice

The decision between a fractional executive and a consultant depends on your business needs:

If you require hands-on leadership, accountability, and long-term strategic execution, a fractional executive is the right choice.
If you need a fresh perspective, expert recommendations, or short-term, high-level guidance, a consultant may be the better fit.

In some cases, businesses benefit from both. A consultant might help identify issues and design a strategic plan, while a fractional executive executes and operationalizes the strategy.

By understanding the differences and strengths of each role, you can make informed decisions that align with your business objectives, ensuring you receive the right expertise at the right time.

Whether you are looking for a fractional executive or a consultant, Dogwood Enterprises is ready to build a relationship that will help your practice solve its challenges and reach new heights. If you’re unsure which is right for your organization, a conversation with an experienced professional in either capacity can help guide the decision. Ready to connect? So are we!