Business coaching: how to make it stick

A few pointers.

How do you make coaching stick? This is a question I get asked a lot and whilst there's a lot I would need to know about your particular organisation before I could give specific advice, I thought the following pointers might be helpful:

Follow up initial training

Whilst a typical one or two day coaching skills training course will equip managers with the basic tools and techniques it will only address a change in behaviour. Where behavioural change is not accompanied by a similar change in thinking and attitude it will not stick. A series of follow ups to any initial training is useful particularly where the participants are required to be coached on an ongoing work issue and to regularly report back on their progress.

Include a coaching module on all 'people skills' training

In order to move away from coaching as 'task' to coaching as 'style' it must be seen as part of the overall approach to managing people. It is therefore useful to reflect this need on all people skills training and not just specific coaching workshops.

Get the support of the most senior person you can

Where coaching is seen as merely a skill to learn the involvement of the training department is all that is required. However where coaching is seen – as it should be – as part of organisational and cultural change, it becomes a policy decision that requires the full support of the senior team. However, it is not necessary to get the whole team on board from the start, target the most obvious champion and work from there.

Coach the senior team so that they get the benefits

Many of my coaching skills training projects had their seed in a senior executive being bowled over by the benefits of being coached and wanting that experience to permeate throughout the organisation.

Make sure high performers are coached too

Too often coaching is seen as remedial and people understandably shy away from being seen as needing “special lessons”. We can overcome this through coaching by stealth, i.e. by not labelling it as such – but this seems counter-productive if we are really trying to increase the take up of coaching. An alternative is to very deliberately coach already high-performers. They are highly likely to welcome the initiative and become strong advocates for the approach.

Share coaching success stories loudly and visibly

As above, the positive aspects of coaching should be shouted from the rooftops as much as possible.

Publish the results so that the Executive's greed outweighs their conservatism

We can tie ourselves in knots in trying to evaluate coaching with a degree of precision an academic would admire. However, simpler means are available which nevertheless highlight the sheer irrefutable logic and power of the coaching approach. Some raw statistical evidence backed up with stories and anecdotes of meaningful performance will often be enough to convince even the hardened skeptics.

Include a coaching related KPI in managers' performance reviews

“What gets measured gets done” so the saying goes so if we really want managers to give as much energy and attention to people and well as task matters we should measure their results with equal seriousness

Deal with excuses:

I don't have time...

..yes you do, just differing priorities

The culture works against coaching...

...which is exactly why you need to adopt coaching

My boss doesn't coach me...

...but that is no reason not to coach your people. You may wait a long time for your boss to change but you can change today

I already manage my people this way...

...not according to them you don't

Matt Somers trains managers helping them to become ‘coaches’. He is the author of several books, and his title Successful Coaching in a Week, £6.99 is published by Hodder Education: www.hoddereducation.co.uk

Photograph: Getty Images

Matt Somers trains managers helping them to become ‘coaches’. He is the author of several books, and his title Successful Coaching in a Week, £6.99, is published by Hodder Education. His website can be found here: www.mattsomers.com

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Let's turn RBS into a bank for the public interest

A tarnished symbol of global finance could be remade as a network of local banks. 

The Royal Bank of Scotland has now been losing money for nine consecutive years. Today’s announcement of a further £7bn yearly loss at the publicly-owned bank is just the latest evidence that RBS is essentially unsellable. The difference this time is that the Government seems finally to have accepted that fact.

Up until now, the government had been reluctant to intervene in the running of the business, instead insisting that it will be sold back to the private sector when the time is right. But these losses come just a week after the government announced that it is abandoning plans to sell Williams & Glynn – an RBS subsidiary which has over 300 branches and £22bn of customer deposits.

After a series of expensive delays and a lack of buyer interest, the government now plans to retain Williams & Glynn within the RBS group and instead attempt to boost competition in the business lending market by granting smaller "challenger banks" access to RBS’s branch infrastructure. It also plans to provide funding to encourage small businesses to switch their accounts away from RBS.

As a major public asset, RBS should be used to help achieve wider objectives. Improving how the banking sector serves small businesses should be the top priority, and it is good to see the government start to move in this direction. But to make the most of RBS, they should be going much further.

The public stake in RBS gives us a unique opportunity to create new banking institutions that will genuinely put the interests of the UK’s small businesses first. The New Economics Foundation has proposed turning RBS into a network of local banks with a public interest mandate to serve their local area, lend to small businesses and provide universal access to banking services. If the government is serious about rebalancing the economy and meeting the needs of those who feel left behind, this is the path they should take with RBS.

Small and medium sized enterprises are the lifeblood of the UK economy, and they depend on banking services to fund investment and provide a safe place to store money. For centuries a healthy relationship between businesses and banks has been a cornerstone of UK prosperity.

However, in recent decades this relationship has broken down. Small businesses have repeatedly fallen victim to exploitative practice by the big banks, including the the mis-selling of loans and instances of deliberate asset stripping. Affected business owners have not only lost their livelihoods due to the stress of their treatment at the hands of these banks, but have also experienced family break-ups and deteriorating physical and mental health. Others have been made homeless or bankrupt.

Meanwhile, many businesses struggle to get access to the finance they need to grow and expand. Small firms have always had trouble accessing finance, but in recent decades this problem has intensified as the UK banking sector has come to be dominated by a handful of large, universal, shareholder-owned banks.

Without a focus on specific geographical areas or social objectives, these banks choose to lend to the most profitable activities, and lending to local businesses tends to be less profitable than other activities such as mortgage lending and lending to other financial institutions.

The result is that since the mid-1980s the share of lending going to non-financial businesses has been falling rapidly. Today, lending to small and medium sized businesses accounts for just 4 per cent of bank lending.

Of the relatively small amount of business lending that does occur in the UK, most is heavily concentrated in London and surrounding areas. The UK’s homogenous and highly concentrated banking sector is therefore hampering economic development, starving communities of investment and making regional imbalances worse.

The government’s plans to encourage business customers to switch away from RBS to another bank will not do much to solve this problem. With the market dominated by a small number of large shareholder-owned banks who all behave in similar ways (and who have been hit by repeated scandals), businesses do not have any real choice.

If the government were to go further and turn RBS into a network of local banks, it would be a vital first step in regenerating disenfranchised communities, rebalancing the UK’s economy and staving off any economic downturn that may be on the horizon. Evidence shows that geographically limited stakeholder banks direct a much greater proportion of their capital towards lending in the real economy. By only investing in their local area, these banks help create and retain wealth regionally rather than making existing geographic imbalances worce.

Big, deep challenges require big, deep solutions. It’s time for the government to make banking work for small businesses once again.

Laurie Macfarlane is an economist at the New Economics Foundation