BUILDING ROI INTO LEADERSHIP COACHING DEVELOPMENT Webinar

Transcription

1 and WELCOME TO THE BUILDING ROI INTO LEADERSHIP COACHING DEVELOPMENT Webinar

2 Agenda Why measure ROI and Design considerations Client Case ü Evaluation Framework for ROI measurement ü 5 Steps for measuring ROI Q&A PDF of ALAN KAY book we will send the link 2

3 BUILDING ROI INTO LEADERSHIP COACHING DEVELOPMENT Webinar Definitions 3

4 What is Leadership Coaching? Solution Focused Coaching: Supports team members formulate Desired Future for development needs, discover available Resources, build on Strengths and Successes, and move Forward with concrete next steps. It is not guiding, mentoring, advising or teaching. Telling Manager -> Expert Asking Coachee -> Expert 5 6 months TRAINING COACHING PRACTICE An ROI enabling design

5 How is ROI defined? ROI formula: (Benefits - Cost) Χ 100 = ROI % Cost FOR EVERY EURO INVESTED, HOW MUCH IS RETURNED AFTER ALL COSTS HAVE BEEN CAPTURED??

6 Leadership Development pays off 6x 6x 8.8x QUALITY LEADERS TOP 20 FINANCIAL PERFORMANCE 7.4x LEADERSHIP DEVELOPMENT PROGRAMS Source: Global Leadership Forecast 2014/2015 ΕΝGAGEMENT 6

7 Leadership Development pays off but 55% 55% of respondents rated the Return on Leadership Development as only fair to very poor Only 4 out of 10 UK Leaders and HR pros rate their leadership development programs as highly effective. Source: 2015 Korn Ferry Real World Leadership 7500 respondents / 107 Countries Source: The Global Leadership Forecast leaders-respondents / 48 Countries

8 Evaluation Framework 5. ROI 4. BUSINESS IMPACT 3. IMPLEMENTATION 2. LEARNING 1. REACTION Based on the Philips model ROI Institute, Inc 8

9 Client Case example 28 Participants: 14 Managers + 14 members of their teams - Coachees Financial Sector Telling Asking 6 months Workshop: Solution Focused Coaching Leadership COACHING #1 COACHING #2 COACHING #3 Implementation with team New Mindset Change of Leadership style

10 5 Steps for Measuring ROI of Coaching Leadership 1. Define Desired Future 2. Track Progress 3. Identify Visible outcomes 4. Collect & Consolidate 5. Calculate ROI of Quantitative ZOOMING IN ZOOMING OUT 10

11 MEASURING ROI OF COACHING LEADERSHIP DEVELOPMENT Part 1: Zooming IN 11

12 Desired Future à end of the program 12

13 1. Help participant define a Desired Future as a result of the program SOLUTION FOCUSED QUESTIONS What will you see yourself doing differently as coach-manager at the end of the program? How will others know? What will others see you doing differently? Scaling Question Develop my coachee to become more independent. Less time supervising him More time to develop the other members of my team. Scaling: 3

14 Track Progress - from session to session 14

15 2. Track Progress from session to session SOLUTION FOCUSED QUESTIONS What went better since last time? How did you manage? Scaling Question Supervise less closely Before: every morning / Now: once a week. 4 hrs less supervision time. Asking before telling Realized my report already had very good ideas Scaling: 7

16 Identify Visible outcomes Qualitative vs. Quantitative

17 3. Identify Visible Outcomes & Differentiate Qualitative vs. Quantitative SOLUTION FOCUSED QUESTIONS What are you doing differently now as a result of this program? What do others see you doing differently? Outcomes Areas Visible? Type More confident in my managerial role. Improved my delegation skills. I saved 4 hrs weekly Confidence Managerial Skills Time Scaling Question Will Propose this person for promotion. Talent Development

18 MEASURING ROI OF COACHING LEADERSHIP DEVELOPMENT Part 2: Zooming OUT 18

19 4. Collect ALL Visible outcomes & Qualitative - Quantitative COACHING OUTCOMES 28 Participants with VISIBLE Results QUALITATIVE QUANTITATIVE COMMUNICATION / COLLABORATION 11 Individual Outcomes Confidence Managerial Skills TALENT DEVELOPMENT MANAGERIAL SKILLS SALES INCREASE Time PRODUCTIVITY IMPROVEMENTS 16 Talent Development TOTAL 51

20 5. Calculate ROI of AVAILABLE Quantitative outcomes AREAS OF OUTCOMES QUANTITATIVE OUTCOMES COMMUNICATION / COLLABORATION TALENT DEVELOPMENT MANAGERIAL SKILLS SALES INCREASE TIME / PRODUCTIVITY IMPROVEMENTS 64% Increase 3795 hrs yearly

21 5. Calculate ROI of AVAILABLE Quantitative outcomes TIME / PRODUCTIVITY IMPROVEMENTS 3795 hrs yearly ROI formula: (Benefits - Cost) Χ 100 = ROI % Cost TIME SAVINGS VALUE:125,235 PROGRAM COSTS: 58,334 X 100% = 115% PROGRAM COSTS: 58,334 ONLY FROM TIME SAVINGS CALCULATIONS ROI IS 115%. FOR EVERY EURO INVESTED, AT LEAST 1.15 EURO IS RETURNED AFTER ALL COSTS HAVE BEEN CAPTURED.

22 5 Steps for Measuring ROI of Coaching Leadership 1. Define Desired Future 2. Track Progress 3. Identify Visible outcomes 4. Collect & Consolidate 5. Calculate ROI of Quantitative START DURING END AFTER ZOOMING IN ZOOMING OUT 22

23 Suppose you could say Participants --> Leadership Development program à 146 K Investment. 150 Business Impact Outcomes Significantly increased Sales for 64% of participants Customer Satisfaction rates Engagement scores ratings 115 % ROI à from increased productivity. 23

24 Key points Get a ROI enabling design Measure outcomes not expectations. Be creative in finding measuring data Be conservative in coaching attributions Measure the total not all participants produce visible outcomes 24

25 One last thought Providing evidence about coaching is about helping leaders in your organisation see its value. 25

26 and Thank you! -

27 About Atom Wave Designed Coaching and Mentoring development programs for 100+ client-organizations internationally Pioneered Internal Coaching programs since 2002 Shortlisted for the 2014 European and Mentoring Coaching Council (EMCCJ Best program award Solution Focused ICF ACSTH Certification program for INTERNAL COACHES.

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