One of the biggest challenges for employers today is how they can retain their high-potential employees. With millennials now making up the majority of the workforce, businesses are trying to figure out how to keep that top talent happy. This requires tremendous leadership skills, both at the management and corporate level. One way to keep your employees happy and productive is to give them prime opportunities to learn new skills.
Although everyone wants better compensation, benefits, and bonuses, today’s workers tend to put a premium on top-notch training. Excellent mentorship programs, coaching, and improved training all rank highly to help keep those employees engaged and learning. You, of course, not only want to keep these employees, but also enable their growth so they can become the managers and executives of tomorrow.
Executive coaching, at its best, helps leaders realize their inner potential, unblock themselves, and find their inspired brilliance. This is why surveys of senior executive have shown that executive coaching has a ROI of almost six times its initial cost. Many executives estimate that the ROI of coaching at theirs companies is between $500,000 and $1 million. It is difficult to think of any other methods that could give you those kind of returns.
Coaching is a long-term investment, one that will improve the performance of your employees and executives through the course of their entire career. Once their issues are unblocked and they have access to their full potential, their productivity will go up, impacting the business across the board in a way that can be quantified. When an executive or manager is coached in ways to inspire and motivate their team, it can help keep a very high level of morale and improve employee retention.
When measuring your coaching ROI, you want to look at a number of different factors:
- Behavior. How employees have changed their behavior for the better since the coaching.
- Learning. How employees are employing the skills taught through coaching.
- Results. Tangible or intangible ways the coaching has impacted your bottom line
Some of the areas where executives have reported a measurable impact due to coaching are productivity, quality of work, customer service, and the overall strength of the organization. It shows improved teamwork among employees, better relationships between the workforce and management, and a huge increase in job satisfaction. These are all factors that play a huge, positive role in employee retention.
Not all coaching techniques are equal, of course, so research carefully to make sure that you find a coach whose results shows a consistent return on investment. Once you find the right match between your organization and a coach, your ROI will go through the roof!
Contact Kathleen Joy, CEO of Lumiere Work to learn more.