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Measuring the Success of Coaching ... January Update

Measuring the Success of Coaching

I'm often asked about how to measure the benefits of coaching.

Clients and their managers alike are all looking to find the "right way" to determine whether the effort (and the expense) is producing increased success for the organisation and for the individual.

One method that is used to assess coaching effectiveness is Return on Investment (ROI). And the results are very impressive. For example, a study conducted by US MetrixGlobal LLC indicated that coaching produces an ROI of 689%. Similarly, the results of a study by McGovern et al suggested that the return from coaching was 5.45 times the initial investment.

These studies indicate the tangible organisational benefits of coaching such as improvements in productivity, quality, employee satisfaction and talent retention. There is also some discussion of the intangible benefits including improved relationships with staff, clients, peers and stakeholders, greater self-awareness of the impact of leadership behaviour and also improved interpersonal skills. Overall the results leave us in no doubt with respect to the case for ongoing investment in coaching programs.

That said, one of the biggest challenges in measuring effectiveness is that required behavioural change is usually linked to intangible mindsets and beliefs. Success will be determined by the extent to which coaching creates the impetus for behavioral change - through a change in mindset. The client's ability to impact bottom-line business results will be determined by the degree of mindset change which is both difficult to measure and to attribute exclusively to the coaching process.

So in addition to ROI, there are 3 categories that can be used to guide an assessment of coaching:

Client Response: What did the coachee think of the engagement?

Lessons Learned: What did the coachee learn during the engagement?

Observed Behaviour: What skills and behaviour did the coachee apply on the job?

These are subjective and are typically measured using qualitative methods.

In conclusion, the evidence to support the effectiveness of coaching is clear. It is not a question whether coaching can or should be used - but rather a question of how and where. There is no single method to accurately assess the effectiveness of coaching efforts. Rather it will be a combination of qualitative and quantitative methods that will provide guidance on improving your coaching program.