Organisations are increasingly aware about how they use coaching as part of individual development, stressing the importance of context and aligning coaching outcomes with the strategic aims and goals of the business. Even in uncertain economic times, coaching will remain as the management intervention best suited for the turbulent and transforming economic environment organisations now operate in.

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)

A global survey of those involved in coaching, including HR professionals, leadership and development practitioners, coaches, clients and the buyers of coaching services say yes, coaching is worth it. The percentage of those saying that the credibility of coaching is very high or high has risen to 90%, up 10% in the last twelve months. Coaching techniques are being instituted within organisations and it is becoming an established development tool for aspiring leaders and high performers.

Source: Seventh Sherpa Coaching Survey 2012

Coaching is becoming an accepted part of the organisational toolkit. Where it was once uncommon and innovative, it has become a standard intervention, with many organisations using it as a method of developing their employees rather than as a tool to improve poor behaviour. It has become common in all forms of organisational structure – from the intellectual-capital value-add companies in the private sector through to foundations of the public sector, in areas like health, education and policing. It has also spread across all sectors to help build leadership capability and to increase employee engagement.

Organisations are increasingly aware about how they use coaching as part of individual development, stressing the importance of context and aligning coaching outcomes with the strategic aims and goals of the business. Even in uncertain economic times, coaching will remain as the management intervention best suited for the turbulent and transforming economic environment organisations now operate in.

Source: CIPD. Coaching and Buying Coaching Services (2008)

A 2011 report has found that of the world’s major economies, the UK has the highest level of worker stress at 35% where employees are experiencing unreasonable levels of stress. The percentage of stressed employees is higher now than at any other point in the last four years with insecurity about job security and the threat redundancy in light of the uncertain economic environment contributing strongly to these results. Significant reasons for employee stress include: work-life balance, leader effectiveness, manager effectiveness and teamwork.

Source: Kenexa High Performance Institute Worktrends Report on Stress 2011