| Coaching for business executives is a hot topic, | | | | organization. We all know the adage "People don't quit |
| featured recently in many well-known publications, | | | | the company; they quit the boss." Identifying the irritant |
| from The Wall Street Journal to the Harvard Business | | | | that causes someone to resign and developing a |
| Review. These stories have linked coaching to | | | | program to remove the problem or dysfunction can |
| performance improvements in executive | | | | have a direct benefit for the leader and the entire |
| effectiveness, higher executive retention rates, and | | | | organization including the community of relationships |
| increased job satisfaction. As executive coaching | | | | that executive operates in. What criteria should you |
| becomes a mainstream leadership development | | | | consider in selecting a coach? • Get the right |
| approach, many have begun to ask the obvious | | | | skills match. The Harvard Business Review states that |
| business question "Is there a clear return on investment | | | | good coaching is based on "…a small number |
| (ROI) from executive coaching? And if so, what is it?" | | | | of disciplines, including consulting, management, |
| Each coaching engagement is unique, every coach | | | | organizational development, and psychology." I agree, |
| has their own approach and style, and every leader | | | | and would add that the best "mix" will vary, based on |
| has their own set of issues and challenges. There are | | | | the situation and end objective. • Address |
| some "fundamental truths" and patterns to coaching, | | | | core issue(s). If your executive team has done the |
| however each coaching engagement becomes a | | | | offsite "teambuilding" routine, but always seems to |
| unique program and experience. We beleive in the | | | | revert back to the norm, then most likely you have |
| adult learning model where an individual has to be | | | | been addressing symptoms instead of root causes. |
| disturbed about the present state enough to want to | | | | Having an understanding of change management and |
| be coached and enabled to produce a better future. A | | | | the psychological drivers will help dislodge frozen and |
| handful of studies do exist on coaching ROI. A | | | | unsuccessful change initiatives. Focusing on the core |
| MetrixGlobal study pegged the ROI within a Fortune | | | | issues that impact individual behaviors one issue at a |
| 500 company they studied to be 529%; Fortune | | | | time is the best way to impact change. Maximizing ROI |
| Magazine's broad coaching study came in at 570%. | | | | for the business must be done in the context of the |
| The benefits of a high-quality coaching program may | | | | strategy, and desired business outcomes. This is |
| be higher than this because of the subjective value | | | | where identifying the individuals impact on the systemic |
| and impact on people. In fact, one of our clients | | | | outcomes is vital to stimulating the desire to change. |
| describes coaching as his secret weapon. Today's | | | | • Cost. Executive coaching is relatively |
| leaders have a lot to gain from a good executive | | | | inexpensive; we are typrically not talking about a |
| coach. Because coaching is done one on one they | | | | six-figure consulting engagement. In today's "Wild |
| receive feedback in private, where their reputation and | | | | West" of executive coaching, rates can run from less |
| image is protected as they work through issues in a | | | | than $1000 to over $10,000 a day - but in general, a |
| private and confidential setting. There is a freedom to | | | | highly-effective 6 month program can be done for |
| admit vulnerability and an opportunity to tap into an | | | | $25,000-$50,000. This certainly compares favorably to |
| executive coach's experiences, resources and | | | | the annual compensation and dollar contribution |
| network. How can you maximize the ROI of your own | | | | impacted by the executive. The "right" executive |
| executive coaching program? First, let's look at where | | | | coach is almost always worth the price. Its clear that |
| the return comes from. Certainly, there is an | | | | executive coaching is an investment of time, money, |
| expectation of increased effectiveness from the | | | | people and trust. Where else can you invest $25,000 |
| executive; this has been the focus of most of the | | | | and address multi million dollar issues? Next time you |
| traditional ROI studies. And there are soft skills impact | | | | consider how to get the biggest bang for your buck in |
| that may be even more significant than direct dollar | | | | leadership development consider executive coaching. |
| results. Consider the impact of attrition on an | | | | |