Posts Tagged ‘operations management’

The Fractional COO Hiring Mistakes That Cost You Customer Loyalty

Thursday, August 21st, 2025

Hiring a fractional COO seems like a smart move when you’re growing. You want help with operations. You want less stress. And you want your business to scale without breaking things.

But here’s what most entrepreneurs miss: customer service suffers when you hire the wrong COO.

They don’t always cause chaos on day one. It’s usually subtle. You’ll see more complaints, slower replies, missed details. And by the time you realize it, your customer experience is already broken.

This is common in small businesses trying to scale quickly. You bring someone in to build better systems, but those systems end up creating distance between your team and your customers. That’s not just an ops problem. It’s a trust problem.

If your customers don’t feel seen, they won’t stay. And no amount of operational cleanup will fix churn if your COO doesn’t factor in the customer journey from day one.

Here’s how that happens—and how to avoid it.

What Does a Fractional COO Actually Do for Customer Service?

A fractional COO runs your operations without being full-time. They help with systems, processes, and scaling. That includes managing internal workflows, improving delivery pipelines, and making decisions that affect how work gets done.

But the best ones do more than backend work. They influence how your customers feel when they work with you.

If the COO rebuilds your workflow, it changes how fast you respond. If they tweak the delivery system, it changes how consistent your product is. And if they train your team poorly, your customers feel it.

Operations and customer service aren’t separate. They’re two sides of the same thing.

Think about how often support teams rely on the systems built by operations. When tickets fall through the cracks, it’s often because those systems weren’t built with the customer in mind. A good COO understands that what happens behind the curtain affects what customers see and feel.

So when you’re hiring, you’re not just hiring a process builder. You’re hiring someone who shapes how your customers experience your brand—whether you meant to or not.

The Biggest Mistakes Entrepreneurs Make When Hiring a COO

Mistake 1: Hiring based on a resume instead of results.

Some COOs look perfect on paper. Big titles. Big companies. But that doesn’t mean they’re right for your business. What worked in a 300-person org may not work in your 10-person team. Especially not if you’re still wearing five hats and handling client calls yourself.

Mistake 2: Ignoring the impact on the customer.

Most entrepreneurs talk about “systems” during the interview. But they forget to ask: “How will your systems help our customers?” That question alone can filter out the wrong candidates. If they hesitate or talk only about internal efficiency, you’ve got your answer.

Mistake 3: Thinking the COO is only internal.

They’re not. Their decisions touch sales, support, and fulfillment. If they don’t think about the customer journey, they’ll build systems that frustrate people instead of helping them.

Mistake 4: No onboarding expectations.

You hire a COO and expect them to fix things. But they need clear goals. Without those, they’ll build what they think you need—not what your customers actually want.

These mistakes don’t just cost you time. They can quietly break your brand. The fix isn’t more hiring. It’s smarter hiring. Start with clarity. Make sure your COO knows that success means more than fewer meetings—it means happier customers.

Scaling Your Business Starts With Fixing Your Service Gaps

You can’t scale a mess. It gets bigger, but worse.

Hiring a fractional COO can fix that—if they focus on customer service too.

For example:

  • A slow onboarding process? They can automate it.

  • Inconsistent service? They can build training and SOPs.

  • Too many customer complaints? They can redesign your support systems.

But if you don’t tie scaling goals to customer experience, your COO will miss the mark.

Growth should make things smoother, not louder.

Let’s say your company is growing fast, but customers keep emailing the wrong person, getting delayed replies, or receiving half-baked answers. A strong COO can see that pattern and ask, “Why is this happening?” Then they fix the root system issue. Not just the symptom.

This is where many COOs fall short. They focus on speed. They don’t measure satisfaction. But if you build a machine that runs fast and forget who it’s running for, you’ll lose the trust that got you to this stage in the first place.

Why Operational Leadership Fails Without a CX Mindset

The COO isn’t just a taskmaster. They’re a translator between your vision and the customer’s experience.

If they’re only thinking about productivity, they’ll cut corners that matter. Customers notice when wait times grow. They notice when your team rushes or makes mistakes. And they remember.

That’s why CX should be part of every ops decision. Not a separate initiative. Not an afterthought.

The COO has to be trained to ask, “How will this feel to the customer?” If they never ask that, don’t hire them.

Operations that aren’t aligned with CX goals become internal busywork. And the disconnect shows up fast. Missed follow-ups. Broken handoffs. Gaps between departments. It all becomes friction for your customer—and stress for your team.

If you’ve ever had to apologize to a customer for something that “wasn’t your fault,” odds are high that your ops weren’t built with the customer in mind.

That’s not just a system failure. That’s a leadership gap.

5 Signs You Hired the Wrong COO (And What to Do About It)

You won’t always know on day one. But here are the signs.

1. Your team feels more confused, not less

A good COO brings clarity. A bad one adds noise. If you keep hearing “I’m not sure who owns that now,” you’ve got a problem.

2. Customers are waiting longer

Fewer updates. More tickets. Slower delivery. If the customer experience is getting worse instead of better, that’s on operations.

3. You can’t track the changes they made

If you don’t see new systems or documentation, they’re guessing. They should be building structure, not working off memory.

4. Team morale drops

If your team avoids them or seems stressed, pay attention. People don’t hide from leaders they trust.

5. You’re still doing the things they were hired to fix

If you’re still stuck in operations, something’s off. You’re not supposed to be the fallback for the systems they own.

What to do:
You don’t need to fire them right away. But reset expectations. Focus on CX KPIs. Make customer feedback part of their scorecard. If they push back on that, they’re not aligned with your business goals—and they’re probably not your person long-term.

From Operations to Outcomes: Aligning Your COO with Accountability

At Accountability Now, we see this all the time. Entrepreneurs want help scaling. But they hire based on pressure, not on purpose.

That’s why we recommend three things:

  • Set clear CX goals during hiring. Include NPS or service-related outcomes.

  • Tie operational success to customer outcomes. Don’t track tasks—track experiences.

  • Use weekly review systems. If your COO can’t explain what changed and why, something’s wrong.

Too often, small businesses focus only on deliverables. But outcomes matter more. A COO who builds a project tracker but ignores team communication is just adding tools, not solving problems.

You don’t need a superstar. You need someone who listens, builds, and cares about your customer as much as you do.

That kind of alignment doesn’t happen by accident. It happens when you lead with intention. And if you want help setting that standard, we’re here.

Final Thought

A fractional COO can help you scale. But the wrong hire will cost you trust.

Don’t just ask, “Can this person build systems?”
Ask, “Will those systems make our customer experience better?”

That’s what separates good hires from great ones.

If you’re unsure whether your operations are helping or hurting your customer relationships, you don’t have to figure it out alone. At Accountability Now, we help business owners set the right expectations, hire smarter, and build systems that work—for your team and your customers.

Not a pitch. Just an open door if you need it.

Why Fractional COO Services Are the Smartest Way to Scale Your Financial Services Firm

Friday, June 6th, 2025

Scaling a financial services firm isn’t just about revenue. It’s about operations. It’s about timing. And it’s about leadership. That’s why many firms are turning to fractional COO services.

These services offer executive-level operations support without the full-time cost. In financial services, that can be a game-changer. You can grow without burning out your team or stretching your internal systems too thin.

Operations is usually the last place financial firms look when they want to grow. But in reality, it should be the first. That’s where a fractional COO fits in. They make sure your growth won’t collapse under its own weight.

What Is a Fractional COO and Why Financial Firms Are Turning to Them

A fractional COO is a Chief Operating Officer who works part-time or on contract. You get their leadership without hiring a full-time executive.

In financial services, growth creates complexity. Compliance increases. Staff grows. Technology stacks multiply. Operations become harder to manage. A fractional COO helps simplify that.

They step in, look at how things run, and fix what’s broken. They keep your firm moving without making you hire another exec.

The best part? They also bring a fresh set of eyes. Most financial firms are too close to their own systems to see what’s not working. A fractional COO has seen dozens of models. They know what works. And what doesn’t.

They work well for teams that don’t yet need—or can’t afford—a full executive. Instead of waiting until you’re in trouble, you can bring in real help now.

And because they’re not full-time, they’re more flexible. You scale their hours with your needs. That’s a big win for growing firms.

Full-Time COO vs. Fractional COO: Which Makes More Financial Sense?

Hiring a full-time COO can cost $200,000–$400,000 per year. That doesn’t include benefits, equity, or onboarding. For many financial firms, that’s too much too soon.

Cartoon of a business interview with a Fractional COO and interviewer at a desk

Fractional COO services are different. You pay for what you need. It could be 10 hours a week. Or 20. You set the scope.

More importantly, they can often show ROI faster. A full-time hire might take months to get going. A fractional leader can start in a week.

You also avoid the pressure of making a long-term executive hire too early. That saves money—and stress.

Another big difference is risk. A full-time hire is a long-term bet. If you make the wrong choice, it’s expensive and hard to unwind. A fractional COO gives you executive-level impact without the long-term lock-in.

And because fractional leaders usually work with several firms, they bring in ideas and processes that are already proven. You’re not paying someone to figure it out. You’re paying someone to bring clarity and action fast.

Building a Financial Services Business Plan? Start With Operations Leadership

Most business plans in financial services focus on revenue and compliance. Few focus on operations. That’s a mistake.

If you plan to grow, operations must scale too. Without it, bottlenecks form. Employees get overwhelmed. Customers get frustrated.

Fractional COO services help here. They build processes that can grow with you. They set up systems now, so you don’t have to fix things later.

It’s not about writing more pages in your business plan. It’s about making sure your plan can actually work in real life.

Operations might not feel urgent when you’re writing your plan, but it becomes urgent when things start breaking. If your team is drowning in tasks, your client experience suffers. If your tools don’t connect, your data falls apart. A fractional COO solves this before it becomes a crisis.

They’ll look at your business plan and ask, “How are we going to pull this off?” And then they’ll make sure you can.

If you’re updating your business plan this year, consider making operations one of the first sections you upgrade.

Scaling Operations in Financial Services Without Burning Out Your Team

Growth is great until your team can’t handle it. When ops are weak, people work harder, not smarter. That leads to burnout. It also leads to mistakes.

A fractional COO changes that. They shift your structure from reactive to proactive. Instead of managing chaos, your team runs a system.

They take the weight off your existing staff. You don’t need to ask your office manager to become your operations leader. You don’t need to burn out your partners doing everything themselves.

What you need is to get an experienced pro who builds what exactly you need—and leaves when you don’t.

In regulated industries like financial services, burnout isn’t just a problem—it’s a liability. Exhausted teams miss things. Compliance slips. Clients lose trust. That’s expensive.

A fractional COO reduces that risk. They create structure and build capacity without forcing you to overhire.

The best part? It’s scalable. You don’t need to go all-in on day one. Start with what you need. Expand if it makes sense. Pause if it doesn’t.

This isn’t about adding pressure. It’s about giving your team room to do what they do best—without the stress.

Fractional COO Meaning: Not Just a Consultant in Disguise

Some people think a fractional COO is just a fancy consultant. That’s not true. Consultants advise. A fractional COO executes.

They don’t hand you a slide deck. They manage projects. Set up systems. Hire and train teams. Lead meetings. They own outcomes.

That ownership matters. Your team doesn’t need more ideas. They need help making the right ones happen. A fractional COO steps into the mess and starts moving things forward.

They’re not sitting on the sidelines. They’re in the meetings, on the calls, working side-by-side with your team to get it done.

How This Role Fits Into Your Org Chart Without Upheaval

Adding a fractional COO doesn’t mean reshuffling everything. They work alongside your leadership team.

They don’t take over but rather support what you’re already doing—and make it smoother.

Most financial firms don’t need a total re-org. They just need someone who can see the gaps and fill them without creating chaos.

This role works well even if you’re still small. Whether you have 5 people or 50, they fit in without disruption.

Cost Comparison: Salary, Equity, and Burn Rate

A full-time COO might cost you $300K+ in salary and stock. That’s before bonuses. A fractional COO might cost you $5K–$15K per month.

You don’t give away equity or commit long-term. You just solve problems faster.

And when you compare that monthly cost to what you might lose in inefficiencies, errors, or delays, it’s often a better investment.

Many firms don’t calculate the true cost of weak operations. But it shows up in lost deals, missed deadlines, and client churn. A fractional COO helps stop that bleed.

Speed to Impact: Why Fractional Wins for Urgent Growth

Hiring full-time can take 3–6 months. Onboarding takes longer. A fractional COO can start this week.

If you’re scaling fast—or struggling now—you don’t have time to wait. That’s where the fractional model shines.

You also get to test what works before making a long-term move. That reduces hiring risk and lets you scale responsibly.

Many firms use fractional leadership as a bridge. Others keep it long-term. You can decide as you go.

Where Most Financial Firms Miss the Mark in Operations

Most owners wait too long to invest in operations. They hire sales first. Then compliance. Then marketing. Ops comes last.

That’s backwards. If ops can’t handle growth, everything else breaks.

A fractional COO flips that. They build a base so everything else runs better.

If your back office can’t handle more clients, your revenue will stall. If your processes aren’t repeatable, your team won’t scale. It’s not about being fancy. It’s about being ready.

How Fractional Leadership Solves Long-Term Execution Gaps

Many firms launch with strong visions. But visions need systems. A fractional COO connects vision with execution.

They turn plans into results. Without them, execution stalls. And growth slows.

You don’t need more ideas. You need someone to make your best ones work. That’s the gap fractional COOs fill. They take your goals and build the path.

This isn’t theory. It’s practical, in-the-weeds work that keeps the engine running.

Delegate, Don’t Dump: The COO’s Role in Strategic Load-Sharing

You don’t need to do it all. But you also can’t just dump tasks on your team. That’s where a COO helps.

They take on the right tasks—and build systems so no one gets overwhelmed.

It’s not about offloading everything. It’s about leading smarter.

Your team wants to do good work. They just need room to breathe. A COO helps give them that.

Bottom Line: If you’re running a financial services firm and trying to scale, operations matter. A lot.

Fractional COO services give you the leadership you need without the overhead you don’t.

And hiring one is easier—and smarter—than you think.

If you’re ready to explore this path or want to talk through what a fractional COO might look like for your firm, the team at Accountability Now has helped financial firms at all stages. No pressure. Just clarity.

Fractional COO vs. Full-Time COO: Finding the Right Fit for Your Business

Sunday, September 1st, 2024

At some point, every growing business reaches an inflection point. You’ve pushed growth with hustle, but things start to break—systems, timelines, maybe even your own energy. That’s when the question hits: Do we need a COO? And if so, should they be full-time or fractional? It’s a big decision, and it’s not just about budget. It’s about where your business is, where it’s heading, and what kind of leadership will get you there without overextending or stalling out. In this guide, we’ll break down the differences between a fractional COO vs full-time COO, explain where each fits best, and give you a clear path for deciding what makes sense for your business right now.

What Does a COO Actually Do?

A COO bridges the gap between strategy and execution. While CEOs shape vision and market position, COOs handle the daily grind—streamlining workflows, managing teams, improving internal systems, and ensuring consistent execution. They’re the ones turning 12-month goals into daily action plans. But beyond operations, a great COO brings calm to chaos and clarity to complexity.

For small and mid-sized businesses, especially founder-led ones, the COO often becomes the “integrator”—someone who takes big-picture thinking and grounds it in results. They help avoid the trap of reactive leadership and build a foundation for scale. But the type of COO you hire can change everything—from your pace of growth to how your leadership team operates day-to-day.

That’s why understanding your options isn’t just smart—it’s essential.

What Is a Fractional COO?

A fractional COO is a seasoned operations leader who works part-time across multiple companies. Think of them as an on-demand executive—available when needed, without the cost or commitment of a full-time hire. They often step in during transitions, growth phases, or when a founder realizes they can’t be both the visionary and the operator.

Benefits of a Fractional COO

  • Cost-Effective Leadership: Most small and mid-sized businesses can’t afford to hire a full-time executive, especially one with 15+ years of experience. A fractional COO offers that same experience—at a fraction of the cost.

  • Flexible Engagement: You can bring them in for 10 hours a month or 20 hours a week. That adaptability is perfect for seasonal changes, launches, or restructuring.

  • Strategic Breadth: Many fractional COOs have worked in multiple industries and business models. That range allows them to draw from a wider toolbox, offering ideas your team may not have considered.

Forbes reports that 70% of SMEs cite cost savings as the key reason they opt for fractional executive leadership.

What to Watch For

But there are tradeoffs. A fractional COO can’t drop everything at a moment’s notice. They may not be embedded enough to drive deep culture change. And while most are ethical professionals, it’s critical to set clear terms around confidentiality and client overlap.

If you’re looking for agility, diverse thinking, and a financially sensible step forward, a fractional COO might be exactly what you need—especially if your team is already strong but stretched.

What About a Full-Time COO?

A full-time COO is deeply embedded in your business. They sit in leadership meetings, manage department heads, and carry forward the operational strategy daily. If your business is scaling fast, managing multiple verticals, or struggling to get consistent output from its teams, this level of commitment might be essential.

Full-Time COO Responsibilities and Advantages

  • End-to-End Oversight: A full-time COO can drive change from strategy through execution, providing consistency across operations, finance, HR, and more.

  • Culture Leadership: Beyond systems, they help shape the tone of the business. A great COO promotes accountability, mentorship, and momentum.

  • Trusted Partnership: For CEOs, especially founder-owners, a strong COO provides a counterbalance—someone who brings structure to the CEO’s ideas and ensures they don’t get lost in execution.

According to McKinsey, 80% of companies with a full-time COO report improved long-term execution and alignment.

The Tradeoffs

But there’s a cost—financially and structurally. Full-time COOs command six-figure salaries, plus benefits and long-term incentives. You’re also committing to a slower ramp-up and more intensive onboarding. And depending on their background, their experience might be narrow—great in one industry, less effective if yours shifts.

Still, for businesses ready to scale operations aggressively or enter new markets, a full-time COO offers the stability and bandwidth to make it happen—without burning out your leadership team.

When Should You Hire a COO?

Deciding to hire a COO—fractional or full-time—starts with your current challenges. Are you dropping balls? Are departments siloed? Is your growth outpacing your systems? The right COO model should address those pain points, not just look good on an org chart.

1. Business Size and Complexity

If your company runs lean, a fractional COO can help you put in the right processes without adding major payroll. If you’re managing large teams or multiple revenue streams, a full-time COO may be needed to keep things aligned.

Harvard Business Review notes that COO-led businesses experience a 22% lift in operational efficiency.

2. Budget and ROI

Money matters. Fractional COOs give you high-level expertise without long-term cost. But if you need someone leading operations every single day, that’s worth the investment—provided the role is clearly scoped and tracked for ROI.

3. Short-Term Projects vs. Long-Term Growth

If you’re building for an exit, launching a product, or restructuring, go fractional. If you’re doubling headcount or entering new markets, a full-time COO ensures consistent leadership across that transition.

PwC’s data shows that 90% of companies with full-time COOs achieve long-term growth goals faster.

4. Industry Demands

Certain industries—like healthcare, manufacturing, or compliance-heavy sectors—may require deep, specific knowledge that only a full-time hire can bring. Others benefit from the cross-industry lens a fractional leader offers.

5. In-House Talent

Your current team may be capable but overwhelmed. A fractional COO can plug gaps and coach mid-level leaders. If you’re building systems from the ground up, you may need someone embedded, full-time.

Still On the Fence?

You don’t need to figure it out alone. Talk to peers, review your operational pain points, and get clear on your growth goals. Many businesses start with a fractional COO, then transition to full-time once the ROI proves itself. Others stay fractional long-term and love the flexibility.

It’s not just a question of leadership—it’s a question of fit, pace, and stage.

A trial engagement can be a great way to test the waters. A 90-day sprint with a fractional COO can uncover whether you need more—or less—than you thought.

The Final Takeaway:

Choosing between a fractional COO vs full-time COO is more than a hiring decision—it’s a leadership strategy.

  • Fractional COOs deliver flexible, senior-level support ideal for lean teams, project-driven needs, or transitional stages.

  • Full-time COOs bring continuity, deep integration, and culture-building, best suited for businesses scaling aggressively or dealing with complex operational needs.

You don’t have to guess. Start with where you are. Outline what you need. Then choose the structure that gets you closer to operational clarity without overextending.

And if you’re unsure where to begin, that’s where we come in.

At Accountability Now, we help founders and business owners cut through noise, solve bottlenecks, and build operations that scale. Whether you need a fractional leader or a blueprint for hiring a full-time COO, we’ve guided dozens of teams to the right structure—and the right results.

When your systems work, your business grows. Let’s make that happen.

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