We know that executive coaching can be an effective tool for increasing individual performance. And, we know these benefits can cascade throughout the organization. A more effective executive leads to a more effective team, and the individuals on that team, in turn, develop their own more effective teams. AIIR Consulting’s own coaching data shows:
- 93% Improved Leader Performance
- 67% Improved Employee Engagement
- 73% Improved Team Performance
- 16X Average Reported ROI
Yet, we also know that the vast majority of coaching programs on the market don’t produce these kinds of results. Why?
Most Coaching Serves the Individual
One problem is that most executive coaching engagements, especially those offered by “coaching for all” providers, focus too much on personal development opportunities for individual leaders. Yes, executive coaching should benefit the individual by providing self-awareness, meaning and motivation. But, executive coaching shouldn’t stop there. Unlike psychotherapy or life coaching, where development is purely for the benefit of the individual client, executive coaching engagements serve two clients: the individual and the organization.
Coaching Should Serve the Individual and the Organization
Pioneers in the field defined the purpose of coaching as: “… to help the client achieve a mutually identified set of goals to improve his or her professional performance and … consequently, to improve the effectiveness of the client’s organization.”
But, as coaching has become commoditized, the second half of the purpose has been lost, which is why most coaching programs fail to deliver the impact and ROI companies need. To create meaningful, measurable results for the organization, executive coaching must align with organizational strategy. AIIR aligns coaching to our client organizations in six key steps over three phases of a project.
How AIIR Aligns Coaching to Organizational Strategy
Before Coaching Begins
To ensure that executive coaching delivers maximum impact, it’s crucial to align coaching initiatives with organizational strategy right from the start. This alignment begins well before the first coaching session.
1. Research. The research phase focuses on identifying and prioritizing the needs of the organization and how coaching can help the organization meet those needs. It takes into account both primary and secondary sources of information, as well as macroeconomic and sector trends.
2. Measurement Strategy. AIIR consults with stakeholders to identify key performance indicators (KPIs) for the individual, the coaching effort, and the organization, and to align on a measurement approach. Our approach to measurement includes both quantitative and qualitative data, and includes baseline data that helps the HR and Talent Leaders we work with tell a story and demonstrate ROI.
3. Design. We leverage a proven four-stage approach called the AIIR® Method (Assessment, Insight, Implementation, Reinforcement) to create sustained behavioral change. In the design phase, we adapt this framework to the organization’s corporate culture.
During Coaching
To maintain the alignment of coaching efforts with organizational strategy, it is essential to continuously adjust coaching activities throughout the engagement. This phase ensures that the coaching process remains relevant and impactful for both the individual and the organization.
4. Technique and Supervision. Our coaching process begins with a rigorous scientific assessment of leaders’ strengths, weaknesses, and derailers. Once these areas are identified, we construct personalized action plans that align personal objectives with organizational goals. These strategies are then implemented through focused 1:1 coaching sessions.
5. Stakeholder Partnership. Engaging stakeholders at multiple levels is critical for maintaining organizational support for coaching efforts. Frequent check-ins and coaching management technology provides transparency for the organization and accountability for the individual leader.
Continued Alignment After the Engagement Ends
Alignment of coaching with organizational strategy doesn’t stop when the coaching sessions conclude. It’s vital to measure the outcomes and demonstrate the value of the coaching program to ensure ongoing support and success.
6. Measuring Results. Proving ROI is critical to a continued organizational support and, ultimately, the success of your program. We use the predetermined measurement methods, KPIs and baseline data to measure the business impact of executive coaching.
An Executive Coaching Case Study
The Challenge
AIIR consulted with one of the largest cable television providers in the U.S. Faced with flagging subscribers and one of the worst customer service reputations in the industry, this organization engaged AIIR Consulting to transform its Consumer Sales organization from a predominantly marketing-focused strategy and culture to one oriented more toward sales and customer service.
The Solution
At the outset of the project, AIIR partnered with the organization to identify relevant KPIs and build a business impact survey. Each coaching engagement began with a developmental history interview, an assessment of leaders’ strengths, derailers, and values, and a 360° survey. We used this information to align individual development plans with organizational goals of forming stronger sales- and customer experience-focused leaders.
We then combined focused 1:1 coaching sessions with frequent stakeholder involvement to create accountability and lasting behavioral change in individual leaders.
The Results
Results of the coaching effort were overwhelmingly positive. Development plans centered around six competencies: team leadership, strategy, personal effectiveness, organizational effectiveness, sales culture and customer experience, and communication and relationship management. 90% of participants reported either meeting (33%) or exceeding (57%) their personal expectations for progress on their Strategic Development Plans, and 95% described their leadership impact as stronger than when the engagement began.
When participants were asked to rate how likely they were to recommend the executive coaching program to others, an NPS score of 86 was calculated. Most importantly, the client reported a 14.5X return on investment.
Conclusion
While executive coaching can create incredible results and return on investment, we know that the vast majority of coaching programs on the market don’t. That’s because, far too often, the goals leaders are pursuing during a coaching engagement aren’t aligned with the organization’s goals. By aligning coaching to the organization’s strategy, companies can leverage coaching to create better leaders, better teams, a high-performing organization, and outstanding results.
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