The Cost of Poor Leadership: Why Coaching is a Must for New Leaders
As a leader or manager, do you know how many times you say “no” to your employees every day? According to a study, the average parent says “no” to their children around 23 times per day, which adds up to 700 times a month (Psychology Today). Can you imagine being told “no” that often? It can be demoralizing and demotivating, leading to low morale and a lack of engagement. As leaders and managers, it’s essential to recognize the impact of our words and actions on those around us and create supportive cultures for our employees to thrive.
Unfortunately, good employees leave jobs because of poor leadership and unsupportive cultures. Unhappy employees can transmit that negative energy to clients, leading to decreased customer engagement and sales. Additionally, replacing an employee can be costly, with recent estimates suggesting that businesses pay approximately 20 to 30% of an employee’s annual salary in direct and indirect costs (Forbes).
A poor reputation resulting from high turnover rates can also make it challenging to attract and retain top talent. As a result, it’s crucial for companies to invest in their leaders and provide them with the necessary tools and training to succeed.
One effective tool for developing new leaders is coaching. Coaching provides leaders with a safe space to reflect on their behaviors and decisions, gain insights into their leadership styles, and learn new skills to improve their leadership capabilities. Coaching can help leaders identify blind spots, build self-awareness, and develop strategies to motivate and engage their teams.
Coaching is especially important for new leaders who may have little leadership training and may default to learned behaviors, inherent beliefs, and pop culture stereotypes as their guide and model for the way to act with their employees. With coaching, new leaders can develop the skills and mindset needed to lead effectively and create supportive and engaged cultures for their employees.
Investing in coaching is also cost-effective. According to a study, coaching produced a 529% return on investment for companies (International Coaching Federation). This return on investment is due to the improved performance and engagement of leaders and their teams, leading to increased productivity, reduced turnover, and improved customer satisfaction.
In conclusion, the cost of poor leadership can be high, both in terms of financial costs and negative impacts on employee morale, engagement, and retention. By investing in coaching for new leaders, companies can develop more effective leaders and create supportive and engaged cultures for their employees. The return on investment is significant, making coaching a must for companies that want to succeed in today’s competitive business landscape. Let’s prioritize coaching and ensure that our leaders have the skills and mindset needed to lead effectively and create supportive and engaged cultures for their employees.
- Psychology Today. (2019). How often do parents say no to their kids? https://www.psychologytoday.com/us/blog/the-race-good-health/201909/how-often-do-parents-say-no-their-kids
- Forbes. (2019). The Cost of Losing Employees: It’s More Than You Think. https://www.forbes.com/sites/shephyken/2019/09/01/the-cost-of-losing-employees-its-more-than-you-think/?sh=68b47bf0203c
- International Coaching Federation. (2015). ICF Global Coaching Client Study. https://coachfederation.org/app/uploads/2018/05/2015ICFGlobalCoachingStudy_ExecutiveSummary-2.pdf