Sponsored by ExecOnline
Today’s leaders face mounting and unprecedented changes in nearly every aspect of their roles. From managing a hybrid workforce to adopting new technologies like generative AI, leaders are operating in a world of almost constant disruption.
Many are struggling to keep up. According to research from McKinsey & Company, only half of business leaders said their organizations are well-prepared to react to future shocks and disruptions. Meanwhile, a recent survey from AlixPartners found that 59% of CEOs are worried about losing their job due to disruption.
New and emerging leaders aren’t the only ones who need support during disruption. Even experienced executives may require support to willingly embrace change and lead others through it. Every leader could benefit from having an experienced confidant and advisor in their corner to help make difficult decisions.
When it comes to leadership development, coaching is one of the most powerful tools available to help leaders develop and apply new skills quickly, keep pace with shifting market trends, and prepare to step into high-impact roles.
Here’s a closer look at how coaching can play a pivotal role in leadership development at critical moments throughout leaders’ careers.
What is leadership coaching?
Leadership coaching is the process of nurturing new and experienced leaders with personalized, one-on-one support from expert, certified coaches. These coaches provide guidance to help leaders navigate specific business challenges, develop skills and competencies, and reach their professional goals. Coaches can also serve as trusted advisors who provide ongoing feedback about real-world projects and mentor leaders by sharing lessons from their own experiences.
Given its many use cases and personalized applications, coaching can be a valuable tool to help retain, engage, and improve the performance of corporate leaders at various levels. As the Institute of Coaching reports, more than 70% of leaders who receive coaching see improved work performance, relationships, and communication. Further, nearly 9 in 10 companies that invest in coaching end up recouping their investment.
Understanding the pressures today’s leaders face
To be successful, leaders must balance priorities across three key areas: employee needs, organizational needs, and external forces in the business environment. Each of these segments comes with unique pressures and obstacles — many of which are only becoming more prevalent in today’s changing business landscape. That means leaders must continuously develop and hone their skills.
1. Talent pressures
In 2024, more than 77% of HR professionals say they’re having difficulty recruiting for full-time positions, according to the Society for Human Resource Management (SHRM). What’s more, skills gaps are widening, with technologies like AI projected to change the skill sets needed for certain jobs by as much as 68% by 2030.
Given these seismic shifts, managing and leading employees on a day-to-day basis comes with a host of challenges, including:
- Retention and engagement. Leaders must lead with empathy and clearly communicate goals and strategies to effectively retain and engage their teams.
- Skills gaps. Leaders need the skills to coach and develop their direct reports and align their team’s development with evolving organizational goals.
- Generational diversity. With up to five generations in the workforce at the same time, leaders must navigate diverse expectations, communication styles, and work preferences to create inclusive and high-performing teams.
2. Organizational pressures
Organizations as a whole are undergoing significant changes, challenging leaders at various levels to face shifts, such as:
- Hybrid workforces. As many companies transition to a remote or hybrid workforce, leaders need the skills to drive performance and maintain a cohesive culture for teams in different locations — and sometimes even across the globe.
- M&As and workforce reductions. In this uncertain business environment, many companies reorganize, go through mergers or acquisitions, or conduct layoffs. In fact, in February 2024, layoff announcements hit their highest level for the month since 2009. Leaders need the skills to navigate these tumultuous periods and address employees’ emotions and reactions with clarity and compassion.
- Business transformation. As technology transforms the way companies operate, leaders must be able to manage and lead innovative change by helping teams seamlessly adopt new tools and continue to drive business results.
3. Market pressures
Business leaders are also at the mercy of overall market shifts, which can have a major impact on their organizations. Such stressors include:
- Economic volatility. Businesses are still experiencing aftershocks from the massive disruption caused by the pandemic. Looming fears about an economic downturn also make it difficult to forecast revenue. Leaders must be able to assess risk and make strategic decisions in the face of economic uncertainty.
- Technological change. AI is already impacting business operations, but shockingly few leaders have ever used it or understand how it can be used to improve their workflows. According to MIT Sloan Management Review, only 8% of U.S. executives have substantial levels of conceptual knowledge about AI technologies. To adapt, leaders must start exploring the processes, products, or services that can be streamlined or improved by AI tools.
Why integrated coaching and learning is a force multiplier for leadership development
Comprehensive leadership development should include both personalized coaching and tailored learning components. When organizations integrate these two initiatives, they often see amplified results.
That’s because coaches can support leaders with:
- Accountability. Coaches can ensure leaders are progressing through their leadership development plans and meeting their goals.
- Application. Coaches help leaders apply concepts and frameworks to their roles so they can see the immediate, real-world impact of their learning programs.
- Blind spots. Coaches can identify leaders’ capability gaps and recommend customized training programs that leaders can enroll in right away.
In fact, integrating learning and coaching is proven to enhance outcomes and return on investment (ROI). Based on ExecOnline research, leaders who enrolled in coaching in addition to certificate programs were:
- 1.3x more likely to go above and beyond in their role
- 1.5x more likely to apply concepts learned in programs to a real-life business challenge
- 2x more likely to be recognized for their job performance
- 1.3x more likely to believe their company is invested in their development
Coaching at critical moments
When it comes to leadership development, coaching isn’t a one-size-fits-all solution. It can and should be personalized to each leader’s skills, goals, and trajectories. Coaching is particularly impactful when deployed at critical inflection points of a leader’s career. Examples of critical leadership transitions that coaching can support include:
- New managers. Leaders managing people for the first time can work with coaches to develop the competencies to effectively communicate with their teams, strategize to meet organizational goals, and execute high-level projects.
- High-potential (HiPo) employees. Coaches can help develop employees whose strong performance and demonstrated skills have put them on a fast track to higher levels of leadership. These future leaders already have the potential to succeed in new roles, but sometimes need to be nurtured, advised, and guided into this next stage.
- Executive successors. Organizations should have a reliable pipeline of successors who are prepared to fill gaps in leadership and keep business running smoothly. Experienced executive coaches are instrumental in helping successors prepare for critical leadership roles.
- Leaders navigating innovation, change, or crisis. When a company goes through a major product innovation, structural change, or crisis, leaders often need support navigating the specifics of these organizational challenges. Coaches can help guide leaders to adapt to these stressful shifts in direction.
The caliber of coaches matters
As more organizations recognize the need for — and ROI of — coaching, the field of professional leadership coaching continues to grow. According to the International Coaching Federation, the number of global coach practitioners grew by 54% from 2019 to 2022, exceeding 100,000 for the first time. A full 85% of those coaches hold a certification or credential from a coaching organization — up from 74% in 2019.
With such a large pool to choose from, it’s crucial for HR leaders to have processes in place to vet and select the right coaches for their leaders. After all, the quality of coaches can make or break your program.
For example, it’s important to understand the various levels of coaching credentials, such as a Professional Certified Coach (PCC), Associate Certified Coach (ACC), and Master Certified Coach (MCC). It’s even more important to find coaches who have real-world corporate leadership experience that they can draw on to advise your leaders in challenging moments.
ExecOnline partners with vetted, certified coaches from diverse backgrounds. On average, our coaches have an average of 21 years of corporate leadership experience and almost all (94%) hold an MBA, Masters, or PhD. Pairing each leader with an expert who can help them meet their unique goals and drive results.
Accelerate leadership development through personalized coaching
Modern business leaders must be prepared to face multifaceted challenges impacting their teams, organizations, and industries. While leadership development programs and succession plans can help them train for the next stage of their careers, personalized coaching provides the one-on-one guidance and support they need to adapt to these major changes and lead their teams through critical moments.
When integrated properly, learning programs and coaching experiences can amplify results and empower leaders to meet their personal and professional goals — so they can navigate the future of business transformation with confidence.
Interested in learning how ExecOnline’s integrated learning and coaching solutions can help you build agile and resilient leaders? Talk to us.
Post Views: 25,370
