Confidential and Proprietary LEADERSHIP COACHING: Are You Maximizing Potential? December 2007

2 Employee Engagement & Retention Employment Branding Career Management Strategy Implementation Change Management Performance Management Human Capital Lifecycle Talent Attraction Planning Competency Modeling Individual Assessment Team Assessment Organizational Assessment Coaching Leadership Development Team Development Professional Skill Development Succession Management Outplacement Career Decision Organizational Transition Planning Organizational Transition Implementation Redeployment Scope of Services Attract & Assess Develop Engage & Align Transition

3 Today’s Outline  Why Leadership matters  Coaching defined  The Benefits of Leadership Coaching  Getting a ROI  What’s your batting average and how to improve it!  Next Generation Coaching  Comments / Questions

4 Organizations with top-tier leadership have:  a 9.6% higher total shareholder return over 3 years than the average organization  significantly higher financial value relative to peers (market capitalization) Ref: Corporate Leadership Council Succession Management Survey Leadership Matters! Today’s realities demand: –Larger and more global organizations –Changing global economy –Leaner organizational structures –More dynamic labor markets –Increased importance of human capital –Enhanced leader pipeline to offset demographic trends –Growing leadership capacity –Strong leaders

5 Coaching Definition  Coach: From the middle english expression “coche”: A secure means of conveyance from one location to another  Products of Coaching: Self generating, self correcting, long term excellent performance. (Flaherty: Evoking Excellence in Others 1999)

6 What distinguishes coaching…  From: –Mentoring –Teaching or Consulting –Counseling or Therapy

7 Why a Strategic OD Investment ?  Connected to your business strategy  Addresses retention  Learning insurance for Skill development  Increasing your organization’s existing leadership capacity.

8 Leadership Coaching Benefits to your Organization:  Improved bottom-line results  Effective successions  Valued leaders retained  Improved morale  Increased productivity  Enhanced leadership accountability at all levels  Increasing overall leadership capacity Leaders benefit at every level:  Emerging Leaders or High Value Talent – helping them prepare for the leadership role.  Developing or Mid-Level Leaders – helping them meet challenges in their current leadership positions.  Strategic or Executive Leaders – helping them successfully deal with significant organizational challenges.

9 The ROI of Coaching  Tangible Benefits…  The Manchester (now Right) study attempted to quantify the benefits received by a sample of 100 senior business executives. –Leadership Coaching delivers a ROI of 5.7 times the cost. –70% estimated the value at $100,000 or more.  The effectiveness of training programs is also greatly augmented by adding a coaching component to them.

10 Tangible Benefits

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12 Coaching delivers increasing, sustainable results Crane, Kavanagh, Rackham Limited results Coaching Augments Training

13 Why 40% of Newly Promoted Leaders Fail Within 18 Months  82% Fail to build partnerships and teamwork with subordinates and peers  58%Confused or unclear about what is expected of them  50%Lack of required internal political savvy  47%Unable to achieve their two or three most important objectives  28%Take too long to learn their jobs  25%Lack of balance between work and personal lives

14 Coaching’s Levels of Learning… Incremental Improvement - new skills, practices, doing things better  Re-shaping Patterns of Thinking - revising frames of reference, how one sees the world, and assumptions about the way things work  Transformation – a fundamental shift in how one sees oneself

15 New Year’s Resolutions  What’s your batting average…?

16 New Year’s Resolutions Increasing the Odds  Clearly identify what success looks like.  Define some ways to measure progress and ultimate success.  Publicly declare and invite others to persistently keep you accountable  Enlist supporters in areas of life where it shows up.  Define and then seek winning conditions  Identify potential barriers and develop strategies to overcome.  Learn from success and set backs equally.  If all else fails…

17 Next Generation Coaching Coaching that: –supports the achievement of business outcomes –augments the leadership capacity required to drive business results –enables systemic change –is sufficiently process driven to be repeatable –is measurable –is accountable for a positive ROI

18 Other Questions or Thoughts?