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Why Organisations Are Embracing a Coaching Approach to Leadership

The Coaching Academy Blog

Posted: December 2024

In today's rapidly evolving work landscape, organisations across both private and public sectors are increasingly embracing coaching as a leadership approach. This shift reflects a growing recognition that traditional directive management styles are no longer sufficient to foster employee engagement, innovation, and adaptability. Leaders who adopt a coaching mindset are driving higher performance, cultivating resilience, and creating thriving workplace cultures.  Read on to find out how this transformative approach is reshaping the future of leadership and unlocking the full potential of teams.

Sir John Whitmore, one of the thought leaders in coaching for performance states that “It is now widely understood that knowing how to lead people in a coaching style unlocks potential and delivers the highest level of performance and skill.” 

This approach is also recognised in employees across industries who are no longer looking for job for life. They are embracing a growth mindset and looking for their leader to create development opportunities to help them continue to grow and learn throughout their careers.

The rise of coaching in leadership

The Gallup State of the Global Workforce in 2023 showed that only 23% of the global workforce consider themselves to be are engaged and thriving at work”, where they find their work meaningful and feel connected to their team and their organisation. Worryingly, that is less than a quarter of employees with the remaining 77% being disengaged at work, where those employees may feel undervalued and demotivated. This disengagement can lead to a decrease in performance and an increase in employee turnover.  

Effective leaders today prioritise empowering their teams, developing their capabilities, and fostering a culture of accountability and growth. Harvard Business Review recognises this shift, stating, "You can't be a great manager if you're not a good coach." They state that coaching is increasingly becoming integral to the fabric of a learning culture in organisations and that coaching is a skill good managers at all levels need to develop and deploy.

Organisations are now recognising that a coaching approach to leadership empowers employees to develop their skills, solve problems independently, and achieve personal and professional growth. Unlike the top-down, directive approach of traditional management, coaching creates a collaborative environment where leaders act as facilitators rather than supervisors.

By adopting a coaching mindset, leaders can create a culture of continuous learning and growth, where team members feel supported, valued, and encouraged to reach their full potential.

A coaching approach to leadership fosters a sense of ownership and accountability among team members. Rather than simply directing and delegating tasks, leaders who take a coaching approach empower their team members to take the lead on projects, make their own decisions, and find their own solutions to challenges.

Coaching helps to build stronger relationships between leaders and team members. By taking the time to listen actively and ask thoughtful questions, leaders demonstrate that they value their team members' ideas and perspectives. This, in turn, fosters a sense of trust and collaboration, and encourages team members to be more invested in their work.

Furthermore, a coaching approach to leadership can help to develop the skills and abilities of team members. By providing constructive feedback, setting goals, and offering support and guidance, leaders can help team members to identify areas for growth and work towards developing new skills and competencies.

Insights from The Coaching Academy's UK Coaching Trends Research

At The Coaching Academy, our ongoing UK Coaching Trends research recognises an increase in investment in coaching as a leadership approach. Organisations in both the private and public sectors are increasingly approaching us to train their teams in adopting a coaching approach to leadership. These organisations recognise the value of embedding a coaching culture to drive employee engagement, innovation, and long-term success.

UK Government Agency, Low Carbon Contracts Company (LCCC) partnered with us to train their managers on our "Leader as a Coach" program. This case study demonstrates how organisations are reaping the benefits of a coaching culture, including enhanced leadership capabilities and a more motivated workforce. Read the full case study here.

Chanel recognised the importance of nurturing effective leadership within their organisation and partnered with us to train their managers and leaders in coaching as a leadership approach, ensuring it was effectively implemented at all levels of management. Read the full case study here. 

Why a coaching approach to leadership works

The rise of coaching leadership is not just a trend—it’s a proven method for achieving better outcomes. Here’s why:  

  1. Employee Engagement: Coaching fosters a supportive environment where employees feel valued and heard, boosting engagement. 
  2. Performance: By focusing on individual growth, coaching helps employees identify and maximise their strengths. 
  3. Increased Adaptability: A coaching approach encourages continuous learning, enabling teams to adapt in today’s fast-paced business environment. 
  4. Stronger Organisational Culture: Coaching builds trust and open communication, laying the foundation for a collaborative workplace culture.  

How to build a coaching culture

Organisations looking to embed a coaching culture should start by investing in training for their leaders. The Coaching Academy’s "Leader as a Coach" programmes equip managers with the tools and techniques to adopt a coaching mindset and a coaching approach to leadership. These leaders can then cascade coaching practices throughout their teams, creating a ripple effect of growth and innovation.

The future of leadership is coaching

The evidence is clear: coaching as a leadership approach is not only effective but essential for organisations aiming to thrive in the modern workplace. As The Coaching Academy’s research and partnerships demonstrate, embedding a coaching culture drives better performance, deeper engagement, and more resilient teams.

 

For more insights or to learn how your organisation can implement a coaching culture, explore our leadership development programs and case studies. Together, we can shape the future of leadership.

 

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