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Full-time employee

As explained in Think Like a CTO

A full-time employee is a person hired directly onto an organization's payroll to work an ongoing full-time role under an employment relationship.

A full-time employee (FTE) is a team member hired directly onto an organization’s payroll for an ongoing role. Unlike a project-bound contractor, an FTE contributes beyond immediate delivery: building relationships, shaping company direction, developing colleagues, and carrying responsibility across projects. section 4.1.1

Consider an FTE when the organization needs:

  • Direct client interaction and longer-term thinking. section 4.1.1
  • Someone to grow or manage a team, shape company direction, or contribute across multiple projects. section 4.1.1
  • A sustained investment in career development, quality, client satisfaction, and organizational profitability. section 4.1.1

The trade-off is commitment and cost. An FTE typically receives a fixed salary, may receive healthcare or pension benefits, performance bonuses, and possibly stock options or shares. Hiring requires defensible reasoning and data because the expense is substantial; termination also requires applicable procedures, communications, and time. section 4.1 section 4.1.1

Choosing an FTE

A defined user-experience assignment or database-extraction job with a clear start and stop may suit a contractor. A role requiring client relationships, team management, and influence across projects is better suited to an FTE. section 4.1.2 section 4.1.1

Figure 4.1 Types of resources

Compare full-time employment with contracting, outsourcing, onshore resourcing, and offshore resourcing before committing to a staffing model. section 4.1

How Think Like a CTO covers it

How deep it goes
Explains responsibilities, compensation, benefits, selection criteria, and termination constraints, but defers attraction, interviewing, onboarding, and performance-management procedures.
Examples
Contrasts defined user-experience or data-extraction tasks with client-facing, team-management, and cross-project responsibilities.
What it assumes
Assumes basic workforce-planning awareness while distinguishing employment resources and their trade-offs from the ground up.
What you can do after
Evaluate whether an ongoing role merits direct employment by weighing duration, responsibilities, budget, skills, and organizational impact.
How it connects
Connects full-time employees with contractors, outsourcing, onshore resourcing, offshore resourcing, recruiting, onboarding, and performance management.

Related concepts

This explainer was generated by Manning's knowledge graph from the text of Think Like a CTO. The section links point to the parts of the book it draws on.