How to manage projects when you have in-house and independent contractors

The 21st Century has seen a dramatic transformation in the dynamics of the workplace. Whereas, in the 1990s, a workplace tended to consist of permanent staff based in one core location with defined offices and roles, today’s work environment is much more nebulous.

This flexible way of working has benefits for both employers and employees alike. Looking at the range and volume of contracting roles available, such as the tech jobs on Motion Recruitment, it is possible to see the broad impact that working flexibly is having on industry as well as on individual lives. However, it does require another level of organization and communication in order to ensure that everyone is doing the job that they are required to do, wherever they are, and whatever their contract type is. By implementing a few clear project management guidelines, it is possible to facilitate smooth working between in-house teams and independent contractors.

1. Clear Role Definitions and Expectations

One of the most critical steps in managing projects with a mixed team is to clearly define roles and expectations from the outset. This involves not only delineating the specific tasks each team member is responsible for but also setting clear expectations regarding communication, deadlines, and deliverables.

• For In-House Teams: In-house employees often have a deeper understanding of the company’s culture, processes, and long-term goals. They may be expected to take on broader roles, such as project management or coordination, and serve as the primary point of contact for independent contractors. In-house teams should also be responsible for maintaining project continuity and ensuring that the work aligns with the company’s overall objectives.
• For Independent Contractors: Contractors, on the other hand, are typically brought in for their expertise in specific areas. Their roles should be more focused, with clearly defined deliverables and deadlines. It’s crucial to establish the scope of work, payment terms, and performance expectations upfront to avoid any misunderstandings later.

Setting these boundaries and expectations early helps prevent overlap in responsibilities and ensures that everyone understands their role in the project’s success.

2. Effective Communication Strategies

Effective communication is the cornerstone of successful project management, especially when working with a combination of in-house teams and independent contractors. The potential for miscommunication increases when team members are dispersed, working in different time zones, or using different communication tools.

• Regular Updates and Meetings: Establish a regular cadence for updates and meetings. For example, weekly status meetings can help keep everyone aligned and provide a forum for addressing any issues that arise. These meetings should include both in-house employees and contractors to foster a sense of inclusion and ensure that everyone is on the same page.
• Centralized Communication Tools: Utilize project management and communication tools that allow for seamless collaboration. Platforms like Slack, Trello, Asana, or Microsoft Teams can help in centralizing communication, file sharing, and task tracking. Ensure that both in-house teams and contractors are proficient in using these tools and that they are integrated into the daily workflow.
• Transparent Communication Channels: Encourage open and transparent communication. In-house teams should keep contractors informed about any changes in the project scope or deadlines, while contractors should feel comfortable reaching out if they encounter challenges or need clarification.

By establishing clear and consistent communication practices, project managers can bridge the gap between in-house teams and contractors, fostering a collaborative environment where everyone feels engaged and informed.

3. Cultural Integration and Team Building

When managing a project with a hybrid team, it’s important to cultivate a cohesive team culture. Independent contractors may not have the same level of commitment or understanding of the company culture as in-house employees, which can lead to a disconnect in how the team operates.

• Inclusion in Team Activities: Whenever possible, include contractors in team meetings, brainstorming sessions, and social activities. This inclusion helps them feel more connected to the project and the team, leading to better collaboration and performance.
• Understanding Cultural Differences: Be mindful of any cultural differences that may exist, especially when working with contractors from different regions or countries. Sensitivity to these differences can prevent misunderstandings and promote a more harmonious working relationship.
• Team Building Exercises: Consider virtual team-building exercises that can help bridge the gap between in-house employees and contractors. These activities don’t need to be elaborate but can go a long way in creating a sense of camaraderie and shared purpose.

Integrating independent contractors into the team culture enhances their engagement and can result in a more motivated and productive workforce.

4. Performance Monitoring and Accountability

Ensuring accountability is another critical aspect of managing a hybrid team. Independent contractors, who may be juggling multiple clients, might not always prioritize your project unless clear accountability measures are in place.

• Setting Milestones and Deadlines: Break down the project into smaller tasks or milestones with specific deadlines. This approach allows you to monitor progress more effectively and ensures that contractors remain focused on delivering their assigned tasks on time.
• Regular Performance Reviews: Conduct regular performance reviews for both in-house teams and contractors. For contractors, these reviews can be more frequent and tied to payment schedules, ensuring that they deliver quality work on time. Feedback should be constructive and aimed at improving performance and alignment with project goals.
• Use of Project Management Tools: Leverage project management software to track tasks, deadlines, and deliverables. These tools can provide visibility into the progress of the project and make it easier to hold both in-house teams and contractors accountable.

By implementing robust performance monitoring and accountability practices, project managers can ensure that all team members contribute effectively to the project’s success.

5. Flexible Management Styles

Managing a hybrid team requires flexibility in leadership and management styles. Contractors may require a different management approach than in-house employees due to their independent nature and the varying levels of control you have over their work.

• Tailored Management Approaches: Recognize that contractors are generally more self-directed and may not need or appreciate micromanagement. Instead, focus on providing clear guidelines and the resources they need to succeed, while allowing them the autonomy to complete their tasks.
• Adapting to Changing Needs: Be prepared to adapt your management style based on the project’s needs and the dynamics of the team. For example, if a contractor is struggling with a particular task, you might need to provide more support or consider reallocating resources.
• Encouraging Autonomy: Encourage autonomy among contractors while maintaining open lines of communication. This approach can lead to more innovative solutions and a stronger sense of ownership over the work being done.

Flexible management ensures that both in-house teams and contractors are supported in ways that suit their working styles, ultimately leading to better project outcomes.

6. Legal and Compliance Considerations

Working with independent contractors introduces additional legal and compliance considerations that must be carefully managed to avoid potential issues.

• Clear Contractual Agreements: Ensure that all contractors sign clear, legally binding contracts that outline the scope of work, payment terms, intellectual property rights, confidentiality clauses, and any other relevant terms. These contracts should be reviewed by legal counsel to ensure compliance with local labor laws and regulations.
• Classification of Workers: Be vigilant about correctly classifying workers as independent contractors versus employees. Misclassification can lead to legal issues, including fines and penalties. Understand the legal definitions in your jurisdiction and consult with HR or legal experts as needed.
• Data Security and Confidentiality: Independent contractors may have access to sensitive company information. Ensure that they are aware of and comply with your company’s data security and confidentiality policies. Non-disclosure agreements (NDAs) are often a good practice in such cases.

By addressing these legal and compliance issues proactively, you can minimize risks and ensure that your project runs smoothly.

Conclusion

Managing projects with a combination of in-house teams and independent contractors requires a balanced approach that fosters collaboration, ensures accountability, and aligns all team members with the project’s objectives. By clearly defining roles, establishing effective communication strategies, integrating contractors into the team culture, monitoring performance, adopting flexible management styles, and addressing legal considerations, project managers can navigate the complexities of hybrid teams successfully. This approach not only leads to the successful completion of projects but also leverages the full potential of a diverse and dynamic workforce.