Sherpa Study: Coaching best for Leadership Development vs. Problem Solving

From: 2008 Sherpa Coaching Study
www.sherpacoaching.com

“Why Are Executive Coaches Used?

“In the early days of coaching, most efforts
were directed toward problem-solving and
“career saves”. An executive who wasn’t living
up to expectations was the most likely to
receive coaching. This created a stigma, in
certain circles, about coaching: “There must be
something wrong, or you wouldn’t need a
coach.”

There’s now meaningful movement toward
providing executive coaching as a pro-active
move. More coaching is now devoted to
developing leadership, and a smaller share of
coaching is designed to address specific
problems. As a result, having an executive
coach is not a sure sign of trouble any more. In
fact, it’s become a status symbol, the mark of
an up and coming leader being groomed for
greater possibilities.

The Sherpa survey asked coaches, HR
professionals and coaching clients to share the
ways they saw coaching used. Coaching is
becoming a more widely used leadership
development tool. Over three years’ time, the
use of coaching primarily for leadership
development has picked up from 43% to 50%.
In the same timeframe, coaching to address a
specific problem or challenge has dropped
from a previous high of 37%, down to 32% in
the 2008 survey. The remaining 19% of
respondents tell us that executive coaching is
most needed by people in transition:
promotions, transfers and new hires.

Compared to 2006, about seven percent of coaching has moved from specific problem-solving to
general leadership development. In a billion-dollar business, that represents re-allocation of $70
million dollars over 2006.

Among those who purchase or use coaching services, 70% feel executive coaching is most appropriate
for people who need leadership development.”