what are the benefits of executive coaching?

They are as diverse as the people that are coached. That being said, a team of executive coaches from Royal Roads Coaching found that coaching “helps individuals learn and “habitualize” skills, approaches, and/or ways of thinking that are specific to their own development opportunities, goals and needs.

As a result of coaching, individuals have:

  1. Gained a broader perspective or range of options for addressing business issues
  2. Increased their business contribution by maximizing their strengths and compensating for any gaps in their skills
  3. Improved the effectiveness and results of their teams
  4. Gained confidence
  5. Recognized and moved past obstacles
  6. Developed their strategic capabilities
  7. Become more effective leaders by gaining insight and clarity to make more objective, thoughtful and confident decisions
  8. Clarified their priorities and remained focused on them
  9. Developed a renewed motivation for accomplishing their objectives
  10. Realized their opportunities for making a positive business impact”

ROI:

Anyone considering coaching for their organization will want to consider its’ return on investment (ROI). Below is a short overview of the literature in regards to Coaching ROI.

  1. Increased Effectiveness 529% ROI (financial benefits from employee retention boosted this to 788% times ROI) – Merrill C. Anderson, Metrix Global, 2001 (http://www.metrixglobal.net/images/pdfs/metrixglobal_coaching_roi_briefing.pdf)
  2. “Asked for a conservative estimate of the monetary payoff from the coaching they got, these managers described an average return of more than $100,000, or about six times what the coaching had cost…” – Fortune magazine (2/19/ 2001)
  3. 689% return – INDUSTRIAL AND COMMERCIAL TRAINING VOL. 38 NO. 3 2006, pp. 122-127

Vernita Parker-Wilkins in Industrial and Commercial Training Vol. 38 No. 3 lists the results of research into coaching benefits.

The findings went as follows, senior leaders reported one or more of the eight business areas were impacted by their coaching experience:

  1. Improved team work was cited by 58 percent of the leaders as having been impacted by through coaching.
  2. Team member satisfaction was identified by 54 percent of the leaders as being influenced by what they did differently as a result of their coaching experiences
  3. Increased retention was cited by 31 percent of the leaders as a consequence of their coaching
  4. Increased productivity was cited by 31 percent of the leaders as a business outcome from their coaching
  5. Increased quality of consulting was cited by 31 percent of the leaders.
  6. Accelerated promotions were cited by 19 percent of the leaders.
  7. Satisfaction was mentioned by 12 percent as a coaching benefit
  8. Increased diversity (4 percent) rounded out the list of eight benefits.

(Vernita Parker-Wilkins. 2006 Business impact of executive coaching:demonstrating monetary value,. Industrial and Commercial Training Vol. 38 No. 3 Page 125/126)