Coaching Around the World International Trends and the EA Opportunity

1. Coaching Around the World International Trends and the EA Opportunity EA Coaching Presentation 2006 Andy LeFave 512 633-5484 alefave@blairconsultants.com www.blairconsultants.com

2. Introduction • Coaching in organizations around the world • The organizational customer • Evaluation and return on investment • Coaching as an EAP product

3. Why is Coaching Important • Business environment • Organizational structure • Just-in-time development • A need for “soft skills”

4. Coaching in Context • Coaching exists in the context of Learning and Development efforts to support productivity and performance. • The ability of an organization to respond quickly and effectively to change is dependent on the ability of its employees to learn, adapt and evolve. • Coaching has emerged as a way to deliver swift and effective employee development. Case for Coaching – Jarvis, et al

5. The Purpose of Coaching “The purpose of coaching is to produce behavioral change and growth in the coachee for the economic benefit of the client.” Harvard Business Online, December 2004

6. Types of Organizational Coaching • Remedial coaching –designed to support the employee who is not succeeding. • Developmental coaching – designed to enhance the abilities of the successful employee.

7. A Question Of Balance “Coaching is particularly effective when it is focused on driving behavioral change rather then cultural change and when the emphasis is upon positive performance outcomes rather then remedial issues.” - Alec Levenson, Society for Industrial & Organizational Psychology (SIOP)

8. Models of Organizational Coaching • Competency coaching • Performance coaching • Agenda free coaching • Coaching “culture”

9. Competency/Skill Coaching • Focused on the acquisition of a specific competency or skill, (ex. communication) • May follow 360 feedback assessment • May involve a development plan • Time limited

10. Performance Coaching • Overall improvement against a broad set of existing performance metrics • May be an extended consultation augmented with formal learning/training experiences • May be used to accelerate the development of “high potential” employees

11. Agenda Free Coaching • As the name implies, a broad and open focus to the coaching dialogue • Harder to evaluate because there may be no identified objectives • Where coaching goes when it is not given some intentional structure

12. Coaching Culture • A pervasive approach to learning that is used throughout the organization • Requires that employees act as both learner and coach • Generally seen as dynamic and empowering of employees “Coaching culture…….coaching is the predominant style of managing and working together and where commitment to improving the organization is embedded in a parallel commitment to improving the people.” Clutterbuck and Megginson, Making Coaching Work 2005

13. Movement Towards Coaching Culture In a 2005 Survey of HR managers in the UK • 93% said coaching culture is “very important” or “important” to the success of their organization • 72% identify improving individual and business performance as the main objectives for developing a coaching culture CIPD Leadership & Development Survey 2005

14. Coaching Around the World • California • US multinationals • United Kingdom • Europe and South Africa • Asia and Australia

15. California – where it starts • 1980’s • Silicon valley tech centers • Flattened work organizations • Training dep’t accountability & performance consulting • 360 feedback assessment Coaches around since 1930’s Bigalow ’38 sales coaches

16. US Multinationals • Coaching as a Learning and Development tool follow ex-pats overseas • Coaching gets provide to local managers & execs • Coaching migrates to local companies and foreign multinationals

17. Coaching takes off • Coaching gets picked up by the media • Life coaching generates a lot of sizzle • CLOs and Learning and Development managers allocate a growing share of development budget for coaching

18. Q & A with a Shanghai Coach Jeff Hasenfratz is a Shanghai based coach and Mandarin speaker who has lived in Asia for 14 years. He is a founding member of the Hong Kong Coaching Community. He is managing director of Mindsight Exec. Dev. • How much coaching is being done in Asia? • How is that activity distributed across the Asian economies? • How does coaching in Asia differ from coaching elsewhere?

19. Cross Cultural Issues In Coaching • Models of thought • Assumptions

20. The Purchaser of Coaching Services Criteria for coach selection: • Experience in the business world (85%) • Psychology qualifications (50%) • Organizational development knowledge (45%) Ventrone 2005 • Cultural fit and personal style • Positive track record • Structured approach and model • Supervision of the coach Sparrow & Arnott 2004

21. Who is doing the coaching • Former executives and managers • Organizational psychologists • Organizational and leadership development groups • Organizational services groups • EAPS • Independent coaches

22. CoachingCertification • Doesn’t appear to be a top criteria for selection • Serves the coach training industry not the learner • Conveys a possible false sense of competence • Becomes a distraction to getting started

23. Maybe you can already fly • What we already know is generally adequate to start • Our needs are more related to process then content • Much information is out and available for free • Getting started is the best way to learn

24. ICF Coaching Survey A 2003 survey of over 2000 coaches by the International Coaching Federation yielded the following data: • Over 70% had graduated from a coach training program • 45% currently are being coached by another • Less then 10% have a formal mental health background • Coaching is primarily conducted over the phone (61%) • A majority work with individuals and not companies • Average annual coaching income is < $30,000 US

25. Evaluating Coaching • The Coaching Pyramid - a model of understanding coaching value • The importance of evaluation • Current methods of evaluation • Planning your evaluation activities • Conducting an evaluation • Presenting evaluation data

26. Coaching Benefits Pyramid Model Business Benefits  Outer Personal Benefits Clarity and Focus Motivation Inner Personal Benefits  Coach Attributes Process Environment Foundation Factors Leedham 2005

27. The Importance of Evaluation • Makes the business case for coaching • Identify coaching process improvement needs • Quantified results motivate participants • Adds credibility to the coaching “product”

28. Planning an Evaluation • How will the data be used • Requirements in time, money and people • Involving the stake holders • Keeping it simple – but significant • Evaluating the coach is part of the process

29. Current Methods of Evaluation • Pre- and post-intervention stakeholder interviews • Pre- and post-intervention stakeholder surveys (360) • Measurement against defined objectives • Performance appraisal system ratings • Assessment against defined objectives • Business performance indicators • Staff turnover and key staff retention • Feedback from the coach • Organizational and learner evaluation of the coach

30. Evaluation Framework • Level 1.Reaction, satisfaction and planned action objectives • Level 2.Learning objectives • Level 3.Application & implementation objectives • Level 4. Business impact objectives • Level 5. ROI objectives Return On Investment Basics Phillips & Phillips 2005

31. Level 1 Evaluation Reaction, Satisfaction & Planned Action Objectives • Represent the satisfaction of the consumer • Should be connected to broad objectives • Should be quantified when possible

32. Level 2 Evaluation Learning Objectives • Assesses what should result from the learning • Awareness, knowledge and performance • All objectives have quantified implementation measures

33. Level 3 Evaluation Application and Implementation Objectives • Assesses success with learning transfer • Evaluates the expected behavior in the workplace • Identified behavioral objectives • Specific, quantifiable measures

34. Level 4 Evaluation Business Impact Objectives • Assess what the individual has accomplished in the business unit as a result of their learning • Hard data measures are output focused, quality focused, cost focused and time focused. • Soft data measures are customer service focused, work climate focused and work habits focused.

35. Level 5 Evaluation - ROI Return On Investment Objectives • Assesses the economic return when an investment is made in the services. • What is good ROI? • Create a data collection plan • Create an ROI analysis plan • Conduct the evaluation • Include intangibles

36. BCR - (Benefit Cost Ratio)ROI – (Return On Investment) BCR = Program Benefits divided by Program Costs ROI (%) = (Net Program Benefits divided by Program Costs) x 100 Example: A BCR of 2:1 means that for every dollar invested you get 2 back. This is equal to an ROI of 100% which means that for very $1 invested you get back $1 after the costs are covered (you get your investment back plus $1.)

37. Return On Investment (ROI) Return on investment is evaluation that is calculated in financial terms. The financial benefit of coaching vs. the cost. Possible coaching ROI measurements are: • retention • Decrease in expenses • Productivity • Employee satisfaction It is essential to have baseline data for comparison and minimize impact on organizational resources and time.

38. What to present Statement of purpose Description of methods Summary of findings Summary of cost Conclusions and recommendations Whom to present to Coaching team Participants Participants mgt. Client (funding source) Presenting Evaluation Data

39. The EAP Opportunity • The behaviors that will be rewarded in the new business reality are ones that are aligned with, and demonstrably supportive of, the organizational business plan. • Where is the nexus between the organization's need and the EAP and HR areas of competence? • How can EA and HR departments best deliver critical value to the work organization?

40. Human Capital Management • Human Capital Management views people as a resource to be maintained and developed vs. an expense to be managed. • Today’s workplace realities dictate the options that organizations have available to effectively support their human assets. • Coaching is a tool for managing human capital in a way that supports productivity and individual, team and organizational success.

41. Coaching – Strategic or Tactical“Coaching is particularly effective when it is focused on driving behavioral change rather then cultural change and when the emphasis is upon positive performance outcomes rather then remedial issues.” - Alec Levenson, Society for Industrial & Organizational Psychology (SIOP) • The majority of coaching efforts are tactical in concept and delivery. • Targeted intervention • Performance based • Specific performance need • Behavioral change

42. Employee Assistance Coaching • Typical EA services • Assessment • Short-term problem resolution • Mgr/supervisor training • Consultation to management • EA coaching service • 1:1 learning consultations

43. Organizational Development & Coaching • The structure of Organizational Development • Strategic planning • Organizational processes • Strategic interventions • People development • Business Coaching is about developing people at work

44. Continuum of Organizational Services • Organizational Development services outside EA • EA consultation to the organization on human capital issues • EA “soft skill” competency coaching • EA management consultation and training • EA assessment & referral of behavioral health issues that directly impact job performance • EA short term problem resolution • EA “life coaching” • Wellness activities

45. Types of EA Coaching • Remedial competency-based coaching • Identified performance issue • Secondary stakeholders • Undetermined motivation • Developmental competency-based coaching • Proactive performance opportunity • Client is the primary or only stakeholder • Typically high motivation

46. Competencies • Skills or skill sets performed with consistent effectiveness • Clear and concisely stated • Associated specific behaviors • Measurable • Aligned with organization's identified competencies or general business plan (Think 360 Feedback Assessment)

47. Hard Skill Competencies results driven intellectual capacity technical/functional knowledge business process improvement quality focus decision making skill command skills setting direction building teams Soft Skill Competencies develops staff motivational leader managerial courage interpersonal skill emotional awareness emotional composure awareness of others sensitivity patience A Continuum of Competencies

48. EA Competencies What are some of the competencies that we traditionally teach/coach in EAP work?

49. EA Competencies • Communication • Managing change • Emotional composure • People management • Motivating others • Resilience

50. Emotional Intelligence & “Soft Skills” Why EI is emerging as the standard for identifying, measuring and developing “soft skills”: • The ambiguity of “soft skills” • The emergence of emotional intelligence • Emotional intelligence factors as competencies • The EI competency model