Executive coaching inspires focused leadership in volatile and uncertain times, fuelling growth, performance and engagement.
When I became a trainee lawyer in the 1990s, the first episode of Friends had just aired, and the working world was a very different place. Work structures were hierarchical and deferential, jobs for life and final salary pension schemes a given, and holidays were uninterrupted by WhatsApp, Teams or Slack notifications.
Today, employers face fast-paced technological change, geopolitical and global events, and an ageing, multigenerational workforce with very different expectations.
Coaching can help leaders navigate this complex landscape. In this guide, we’ll discuss what executive coaching is and how it can benefit businesses.
Global Workplace Trends
1. Impact of technological change and AI
Technology and data are transforming business. When working as a People Director at Lloyds Banking Group in the 2010s, I witnessed this first-hand. The Chairman, Lord Blackwell, put it powerfully when he said the Bank had been through more change in the previous 10 years, driven by technology, than in its 250-year history.
Companies had to adapt at pace or risk obliteration - Blockbuster/Netflix cautionary tales loomed large. Leadership demanded the management of change and uncertainty while navigating workforces through major organisational transformation and layoffs. New ways of working had to be adopted fast, together with managing employees’ perception of broken promises on the permanency of employment and benefits.
2. Multigenerational workforces with different expectations and needs
The workforce is ageing; 47% of the UK workforce will be over 50 within the next 5 years. Yet ageism prevails. Gen Z (born between 1997 and 2012), or the “digital native” generation who grew up with the internet and smartphones as an integral part of their lives, are now entering the workforce.
With high costs of living, no jobs for life, and evolving tech skills, Gen Z has different needs and expectations than their parents. Now, AI threatens to replace jobs or certainly transform them. This valuable new generation of workers needs to feel that work has value and purpose is important while maintaining a healthier work-life balance.
Companies need leaders to engage talented multigenerational people to adapt at pace and deliver evolving business goals. Leaders must foster a culture of collaboration and innovation. While each generation faces unique challenges, thriving at work should be the common thread for all employees, ensuring companies stay competitive and retain talent.
3. Demands on leaders
Leaders must provide clear direction and adapt their leadership style to get the best out of diverse teams. Command and control leadership is not effective in this environment.
In my recent interview with Nikki Humphrey, Chief People Officer at Virgin Group, Nikki noted that leaders cannot operate “in splendid isolation” from the world around them. Leaders need high levels of self-awareness, emotional intelligence, resilience and flexibility. This is where coaching is vital.
How Executive Coaching Has Evolved
There has been an exponential rise in the use of coaching in the workplace. Almost half of Fortune 500 companies report using executive coaching in the last 5 years, with studies on ROI reporting boosts to productivity and performance.
Companies recognise that traditional performance tools, such as annual appraisals and 360s, cannot necessarily equip leaders with the tailored support they need to build self-awareness, resilience and a solution-focused, agile approach.
Despite this rise, coaching remains a relatively new concept across senior leadership.
Coaching first appeared in business in the 1930s-1970s, with references to coaching in articles about sales and management. Gordy wrote an article in 1937 about the role of worker development (through coaching and training) to improve factory processes.
In 1974, Timothy Gallwey’s bestseller, “The Inner Game of Tennis” was published, introducing the concept of sports coaching techniques to the business world. Gallwey recognised that the inner mental state was as important to tennis players’ performance as technical skill. The ability to focus on each point and not be derailed by setbacks, controlling negative thoughts, was key. This idea quickly translated to business leaders.
Gallwey’s influence encouraged an approach whereby coaches would not tell coachees how to resolve management issues but facilitate their learning from their own experiences and reaching their own conclusions.
In the 1980s, executive coaching was introduced in the corporate context but was only informally used. The 1990s saw coaching formalised, with the development of coaching courses and the introduction of coaching to organisations as an agent of change and leadership development. The 1980s and 90s saw changes in the global economy, leading to pressure for improved performance and an increased emphasis on the importance of leadership in financial success.
From the 2000s, coaching became increasingly professionalised. Its use moved to a positive development tool for high performers, away from its initial perception as a tool to address underperformance.
Defining Coaching and Its Benefits
There is no single accepted definition of coaching. John Whitmore, drawing on Timothy Gallwey’s inner game model, and widely regarded as one of the founders of coaching, suggested that-
“Coaching is unlocking a person’s ability to maximise their own performance. It is helping them to learn rather than teaching them: a facilitation approach.”
Coaching relationships are partnerships, founded on trust. Coaching creates a non-judgmental, safe but challenging environment for the coachee to identify goals and explore what may be blocking progress, including their own behaviours.
The coach does not advise but uses active listening, strategic questioning and goal setting to enable clients to evaluate their leadership style and its impact on colleagues and performance. Questioning and constructive challenge are used to generate insights and advance the client’s goals.
Coaching uses structures and techniques which are forward-looking and optimistic. Clients emerge from coaching with greater confidence and control over negative thoughts and achievable solutions.
Models commonly used include GROW (Goal/Reality/Obstacles/Way Forward), a structure designed to guide the client to unearth root causes and make meaningful change. Techniques such as the Gestalt Chair exercise help clients to explore different perspectives, putting themselves in others’ shoes to better understand how to engage them successfully.
Change is Now the Norm
The rapid pace of change will only accelerate with AI. Coaching leaders and teams will create the agility, resilience and confidence required to keep up. Of course, AI is coming for coaching, too. Yet, effective coaching is underpinned by strong human connections. AI certainly can’t provide that… for now!
Find out more about your leadership style in our recent article, which delves into the four archetypes of leadership.
About the Author
Rebecca Priestley is the Founder and Director of The Priestley Partnership, an Executive Coaching and Leadership Consultancy. Rebecca’s approach is informed by extensive corporate experience acquired during a distinguished 30-year City career in Board-level leadership roles and executive coaching training at Henley Business School.
