Benefits of coaching

Measurements of the impact of coaching consistently show a high return on investment from successful creation of a coaching culture within teams and from executive coaching. The picture with regard to life coaching and basic “sheep dip” training of line managers as coaches is much less clear.

Creating a coaching culture in the team has been shown to have significant positive impact upon:

  • Individual and team performance
  • Retention of talent
  • Motivation and employee engagement
  • Creativity
  • Customer service
  • Communication within the team and with other teams
  • Knowledge transfer and retention

Positive results have also been reported (though not adequately evidenced) from programmes, where line managers have been trained as coaches over several months, supported in applying their learning and supported in educating their team members about the coaching process.

Executive coaching has also been shown in a number of studies to have a positive impact. In particular:

  • Executives are more aware of self and others; and took more responsibility for their actions , according to a UK study of 47 coaching relationships, by Carol Gegner
  • Significant gains in productivity, job satisfaction and financial benefits were recorded in a study by MetrixGlobal (2001). “Coaching produced a 529% return on investment and significant intangible benefits… Including the financial benefits of employee retention boosted the overall ROI to 788%”
  • SA study of 100 executives, their supervisors and their HR directors by US consultants Manchester Consulting found returns on investment as shown in the table below:
Tangible business results Intangible business results
•       Productivity 53%

•       Quality 48%

•       Customer service 39%

•       Reduced complaints 34%

•       Retention (of coachee) 32%

•       Cost reductions 23%

•       Profit 22%

•       Revenue 14%

•       Employee turnover 12%

 

•       Improved relationship with reports 77%

•       Improved relationship, stakeholders 71%

•       Improved teamwork 67%

•       Improved peer relationships 63%

•       Improved job satisfaction 61%

•       Reduced conflict 52%

•       Greater commitment to organisation 44%

•       Improved client relationships 37%

© David Clutterbuck. All rights reserved

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