The Evolving Role of Coaching And Mentoring In Building High-Performing Teams

3 key strategies every company can employ

What kind of training do you provide for your employees? Perhaps like many companies you’re satisfied with group workshops and seminars — even one-off events. But that doesn’t cut it anymore. 

Today’s work environment demands more than a one-size-fits-all training model — much more. In particular, up-and-coming employees and leaders require more personal, high-level guidance to help achieve both personal and corporate goals.

That’s where coaching and mentoring programs pay dividends. One study, in fact, of a Fortune 500 firm, conducted by MetrixGlobal, found that an executive coaching program delivered a 529% return on investment and significant other business benefits. When the financial benefits of employee retention were added into the equation the overall ROI was boosted to 788%. 

Fortune 500 companies know what they’re doing. MentorcliQ’s 2024 Mentoring Impact Report found that a stunning 98% of them offer mentoring programs and, as a result, enjoy median profits twice those without mentoring. The organization commented that mentoring “is now a must-have solution at Fortune 500 companies, which speaks to its verifiable impact on company culture, employee development, and employee retention.”

A CNBC/SurveyMonkey Workplace Happiness Survey of nearly 8,000 workers across the country found that 91% who have a mentor are satisfied with their jobs, including 57% who are “very satisfied.” At every step on the job ladder, employees who have a mentor are also more likely to say that their company provides opportunities to advance their career, that their contributions are valued, that they have recently been considered for a promotion, and have not thought about quitting. 

I like the way Donna Louise Fitzpatrick, global talent development leader at the human capital management software company, Workhuman, discusses coaching as a vital tool for business success. She says, “In this era, coaching has shifted from a beneficial resource to a strategic necessity. It not only holds the power to fuel transformative change, instill a growth mindset and foster personal and professional development, but also to contribute a positive workplace culture.” 

Fitzpatrick, who has worked for Facebook, Twitter, and Meta, goes on to say, “Companies that invest in coaching programs showcase a commitment to competitiveness, talent retention and future adaptability. As the work landscape evolves, coaching stands as a vital tool for success, shaping resilient individuals and organizations ready to embrace the challenges ahead.”

I’ve personally seen a significant increase in clients seeking high-level executive coaching and mentorship and these are three key areas where I see positive developments unfolding.

Embracing Technology

The integration of technology in coaching and mentoring is arguably the most influential change on the horizon. Digital platforms enable coaches and mentors to reach a broader audience, overcoming geographical barriers. At Ideal Outcomes we’ve begun to work with a virtual business simulation program. In much the same way a flight simulator enables pilots to hone their instincts and practice their flying skills in a variety of situations, the business simulation provides us the opportunity to fly a business and safely practice new skills in a variety of business contexts. 

Tools like AI-driven analytics, virtual reality (VR), and augmented reality (AR) are enhancing the way mentors can offer advice, simulate real-world scenarios, and provide feedback. The future is here.

The Rise of Peer Coaching

Peer coaching, where professionals at similar levels of experience share knowledge and support each other’s growth, is gaining increased momentum. Enabled by social media and professional networking platforms, peer coaching benefits from diverse perspectives and democratizes access to mentoring, which was traditionally reserved for senior-level experts. This shift encourages a culture of continuous, collaborative learning within organizations, fostering a more supportive and interconnected workforce.

One of the top proponents in the country, Leo Bottary, author of several books including Peernovation: What Peer Advisory Groups Can Teach Us About Building High-Performing Teams, says, “Too many organizations are set up with the leadership on one side of the table and the employees on the other, creating a blame culture versus one of learning and growing. Accessing and leveraging an organization’s peer power provides an overlapping and reinforcing dynamic that strengthens culture from the inside. Doing so also builds institutional muscle for detecting shifts in the external environment, allowing it to flex as needed to maximize opportunities and meet challenges. A culture where everyone is in it together is an indomitable force.”

Cultural Intelligence

Coaches with high cultural intelligence bring a broader perspective to their sessions. They are more open to different viewpoints and ways of doing things, which not only enriches the coaching experience but also helps mentees feel valued and understood.

Cultural intelligence allows coaches to navigate various communication styles that differ across cultures. What might be considered a straightforward approach in one culture could be perceived as rude or overly direct in another. Understanding these nuances improves communication and helps in building trust. A coach skilled in cultural intelligence can create an inclusive environment that respects all backgrounds and traditions, and a safe space for all.

It’s all part of developing a healthy, thriving culture which not only encompasses how we share information and communicate with one another, but also how we treat people, how we make decisions, the kinds of policies (or lack of policies) we have, and how we are structured.

As I write in my book Culture Ignited: 5 Disciplines for Adaptive Leadership, “There is no question that culture is a strategic responsibility, and the executive team has the important role of providing oversight to the organization’s culture to ensure its integrity and continuity. Focusing on culture is much more than another form of risk mitigation because culture drives bottom-line success or failure. Investors, regulators, customers, and prospective employees make critical decisions based on their scrutiny of your organizational culture.”

Conclusion

The future of coaching and mentoring is being shaped by a combination of technological advancements, a deeper understanding of human psychology, and a shift toward ethical and sustainable practices. These strategies not only enhance the effectiveness of mentoring but also ensure it is adaptable, inclusive, and prepared to meet the challenges of a rapidly changing world. As these trends continue to evolve, they promise to revolutionize coaching methodologies, making them more effective and far-reaching than ever before.

Jason Richmond is CEO and Chief Culture Officer at Ideal Outcomes, Inc.