Part-time CTO vs Full-Time CTO: How and When to Hire
Considering hiring a CTO?
Feeling unsure about next steps?
It can be challenging to make hiring decisions, especially when you’re not clear on the role you need to fill.
In this article, we’ll do our best to provide you with a clear comparison between full-time and fractional CTOs. By its end, you should have a much better sense of whether a full-time or fractional CTO best suits your company’s goals, objectives, and structure.
And if you’d like to learn more about how to hire a CTO, our guide will help take you through the process, step by step.
Save Precious Time in Your CTO Search
Download our PDF guide which offers you a comprehensive guide on the pivotal qualities essential for a CTO. It delves into areas like technical knowledge, strategic planning, leadership, problem-solving, and communication.
Additionally, this PDF provides a detailed CTO interview guide and resources for further understanding, making it an invaluable resource for businesses aiming to hire a CTO.
The CTO Role, Explained
Before we dive too deeply into the nuances between a fractional vs. full-time CTO, it’s important to understand the role itself.
A CTO, or Chief Technology Officer, is a c-suite executive responsible for overseeing all aspects of a company’s technology and technical strategies. It’s a multifaceted role requiring a breadth of skills in strategy, leadership, communication, collaboration, and resource management. (1,2)
While the specific responsibilities of a CTO can and do vary from one organization to another, their core responsibilities remain the same.
In smaller companies or startups, a CTO might be more directly involved with hands-on tasks like coding and dev ops. In larger organizations, the CTO oversees the individuals performing those tasks, and instead is more focused on strategy, leadership, and decision-making.
What is a Fractional CTO?
In simple terms, a fractional CTO is a contracted, or part-time, CTO. They are recruited to your company on a project-specific basis, providing guidance and expertise.
But that doesn’t necessarily entail a short-term contract. A common misconception when considering hiring a fractional CTO is that they’re “here today, gone tomorrow.”
In fact, you can hire a fractional CTO on a long-term, or even indefinite basis, and they’ll still retain their fractional capacity. This can be an excellent solution for a smaller company, a company without technology as its main focus, or a company with a cap on their technology spend.
As a concept, fractional work isn’t limited to the role of a technology leader, or CTO. Fractional CFOs, CMOs, and even CEOs exist, and they’re invaluable assets to the companies they represent. (2)
What to Look For In A CTO
Ultimately, you’ll choose who fits best within your company.
To that end, we’d like to provide you with some insight regarding the skills and traits shared by CTOs worth their salt, so you can feel confident moving forward.
The CTO you choose should be able to serve your company in quite a few ways, regardless of their full-time or fractional status.
A competent and capable CTO possesses a variety of hard and soft skills. On the hard skills side, you’ll want to look for qualities like technical expertise, business acumen, and a history of innovation.
Regarding soft skills, they should be a strategic thinker, who can align technology initiatives with overall business goals. Strong communication skills are also important, as is the ability to lead teams. Adaptability is another marker of a capable CTO, as that’s a sign they can keep up with new developments and emerging technologies. (3)
Technology projects are often complex, and can face multiple setbacks. Having a CTO who is patient and persistent means they are more likely to see projects through to completion.
By now, you might have some idea as to whether a fractional CTO may be right for you. But what is a fractional CTO, exactly?
Shared Role Elements: Fractional & Full-Time CTO
While there are several key differences between full-time vs. fractional CTOs, the core elements of their roles are quite similar.
So, when you’re at the evaluation stage, you may want to determine that your candidate possesses many, if not all, of the following skills and abilities. (3)
Continuous Leadership and Strategic Direction
A CTO is a leader of technology and teams. They recruit, develop, and retain top technical talent, fostering cultures of innovation and collaboration. They also provide guidance and leadership to the company’s engineering and IT teams. This can involve setting technical standards, best practices, and architectural guidelines.
CTOs also oversee the development and deployment of strategies aligned with a company’s overall goals and objectives. Moreover, they need to stay current with the latest in tech trends and advancements. This involves being the decision-maker when it comes to the adoption and leveraging of new technologies, exploring new solutions to benefit the company they represent.
Comprehensive Technology Management
Covering a broad range of responsibilities, comprehensive technology management refers to the planning, implementation, optimization, and governance of technology within a company. It touches on nearly every other section listed here, from infrastructure management to cyber security.
Product Development and Innovation
Since technology is constantly evolving, a CTO might also collaborate with product managers and development teams to facilitate the development of desirable, market-ready products and services – while certifying that anything new, and the company in general, complies with relevant laws and regulations related to technology, data privacy, and security.
Vendor Relationships and Partnerships
Relationship-building is a major part of any c-level role, but especially so in the technology sector. CTOs nurture relationships with technology vendors and partners to facilitate needed access to tools, technology, and resources.
Communication
CTOs communicate the company’s technology strategies and initiatives to the rest of the c-suite, stakeholders, and occasionally, the public. They also ensure understanding between tech teams and non-tech teams, disseminating information to all parties involved.
Unique Role Elements
To envision how the roles of a full-time and fractional CTO differ, it might help to envision a Venn diagram where each role is a circle, overlapping significantly in the center.The previous section outlined the overlap, and these sections will illustrate what remains in each circle, or the more unique role elements of a full-time vs. fractional CTO.
Fractional CTO
Cost-Effective Technology Guidance
Whereas a full-time CTO receives a full-time salary, a fractional CTO works the hours as determined by their contract.
If your company is of a certain size, or has determined a certain spend on full-time roles, a fractional CTO might be a great fit long-term – especially if you’ve identified gaps in your technology governance or compliance needs.
Even in larger companies, a fractional CTO can be an asset. They could be recruited as an in-house consultant, providing objective insight into existing strategies and systems.
Having the expertise of a fractional CTO can add a layer of support and guidance that exceeds the monetary cost of bringing them on board – meaning, they can be a very wise investment.
Flexibility for Tech Teams and Short-Term Projects
Flexibility is the key word when it comes to fractional work, especially for a fractional CTO.
If your company’s calendar is packed with a roster of short-term projects, a fractional CTO can step in and address them as needed, providing support that varies from project to project.
And if you simply don’t need a full-time CTO, but still need the strategic thinking, vision, and knowledge of compliance a CTO brings, you’ll still reap those benefits on a scale that works for you.The most critical aspects of a CTO role are preserved on a fractional, as-needed basis.
Specialized Expertise
Fractional CTOs bring a wealth of expertise to a variety of companies, but they also bring a wealth of industry connections. An in-house CTO that’s been with one company for years might not have the contacts or leverage to tap their contacts, while a fractional CTO on a contract has more leeway.
Full-Time CTO
Full-Time Focus
It may go without saying, but a full-time CTO is just that, full time. They are plugged into the happenings of the company on virtually every level, including departments outside of their own.
This means an increased focus on what a fractional CTO might consider the “small” things, or lower-priority items that can get left out of an otherwise limited schedule.
Company Culture
When any hire is made, there are effects on the company culture. A full-time CTO may feel more like part of the team, and therefore feel more invested in the company in general.
This can have positive effects on company culture, as team members who feel invested generally do contribute positively, and feel more comfortable doing so over someone who is present on a contract basis.
Growth & Development
While a fractional CTO needs to maximize their time, a full-time CTO will have the leeway and leverage to allocate their time in accordance with organizational and cultural needs.
This can translate into self-generated projects, additional initiatives, and activities that may not be in their direct scope of work, but will ultimately benefit the company.
Comparison of Roles and Responsibilities
| Full Time CTO | Common to both | Fractional CTO |
| Full-Time Focus | Continuous Leadership | Cost-Effective |
| Growth & Development | Product Development | Flexible |
| Company Culture | Strategic Direction | Specialized Expertise |
| Innovation | ||
| Technology Management | ||
| Vendor Relationships | ||
| Stakeholder Communication |
When to Choose a Fractional CTO
One distinguishing factor of fractional CTOs is their depth and breadth of experience. Typically, a fractional CTO would be coming to you after having served as a full-time CTO, sometimes within multiple companies.
If you are part of a startup or small business, a fractional CTO can provide instrumental support, helping to establish previously nonexistent systems that are essential for operations to continue.
And if you’re in a larger company, a fractional CTO can provide a level of expertise that cuts down drastically on the number of hours needed to solve a problem or launch a product.
Especially when you’re trying to extract the most value for your dollar, a fractional CTO can handle your top-level goals without the investment required of a full-time hire.
It’s an example of the 80/20 rule, or Pareto principle, where it’s thought that 80% of results come from 20% of effort. In the case of hiring a fractional CTO, that 20% can go a very long way.
In general, understanding the level, duration, and priority of projects on your company’s roadmap will allow a fractional CTO to slot themselves in exactly where they’re needed. Without that understanding, you may be investing in a lengthy contract where little gets done.
Finally, as your company grows or its needs change, you may want to reconsider whether a fractional or full-time CTO is the best choice. Another benefit of a fractional CTO is that they can create the systems and structure that will dovetail with the hire of a full-time CTO.
Seamless Integration of an Interim CTO
In certain scenarios, your company might require the expertise of a CTO, but only for a limited period. This is where considering an interim CTO becomes relevant. Much like a fractional CTO, an interim CTO can step in to bridge a gap or lead a specific project. However, the decision between an interim and a full-time CTO hinges on several critical factors, such as the duration of the need and the specific goals of your organization.
To gain a deeper understanding of how an interim CTO could fit into your company’s strategy, and how it compares to a full-time role, we recommend exploring our detailed article: “Interim CTO vs. Full-Time CTO“. This resource will provide you with insights into making the best choice for your current and future needs.
When to Choose a Full-Time CTO?
When considering a full-time vs. fractional CTO, the factors that tip the scales in favor of a full-timer are scope of work, length of initiatives, and level of involvement.
For example, when a larger company has technology as a core competency, a full-time CTO can devote their time and focus to defining and executing long-term technology strategies. (4)
And if organizational culture is a priority, a full-time CTO may be more willing and able to contribute, simply because doing so requires an elevated degree of involvement and commitment that is part and parcel of a full-time role. (4)
Regardless of company size, if you’re looking to establish, overhaul, or maintain a company culture that will last a year or more, an in-house or full-time CTO might be the ideal choice.
Conclusion
- The longer your plans and the more complex your technological initiatives are, the better they may be served by a full-time CTO.
- The tighter your budget and the more immediate your needs are, the more likely it would be to hire a fractional CTO.
- Of course, making the decision to hire is never easy.
- You can make finding and hiring the right CTO a little easier by downloading our guide.
Save Precious Time in Your CTO Search
Download our PDF guide which offers you a comprehensive guide on the pivotal qualities essential for a CTO. It delves into areas like technical knowledge, strategic planning, leadership, problem-solving, and communication.
Additionally, this PDF provides a detailed CTO interview guide and resources for further understanding, making it an invaluable resource for businesses aiming to hire a CTO.
You deserve the best for your business – let us help you choose wisely.
Do you need a part-time (fractional) CTO?
https://www.remote-work.io/what-is-a-fractional-cto-why-theyre-in-high-demand/
https://adevait.com/leadership/fractional-cto
https://www.techcxo.com/fractional-cto-services/
https://esteemed.io/blog/2022/01/21/why-hire-a-fractional-cto/
https://fountaincity.tech/services/cto-services/services/cto-services/
Do you need an interim CTO?
We can help. Please see our CTO services page for more information or contact us below.
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