Study Determines the Business Benefits and Return on Investment for Executive Coaching

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Summary: Studies determine that coaching produces a significant return on investment, with respected research showing a return of 529%. Significant intangible benefits are also measurable.

A case study shows that coaching is a high-impact high-return method for leadership development producing financial and non-financial benefits for organisations. The coaching relationship creates a rewarding environment for self analysis and that enhances decision-making skills, team performance and personal motivation. Productivity and employee satisfaction, both personally and with regards to team performance, were the two areas in the study that are most positively impacted by coaching. An increase in customer satisfaction is also a significant intangible benefit; additionally the volume of work increased along with its quality, with measurable financial benefits to businesses that invest in coaching. The return-on-investment calculations exclude the benefits of increased employee retention and lower attrition rates.

Source: MetrixGlobal. Executive Briefing – a case Study on the Return on Investment of Executive Coaching (2001)