Using Leading vs. Trailing Indicators to Measure Coaching Effectiveness

Recent studies have provided decision makers with significant opportunities to incorporate measures of coaching effectiveness using leading versus trailing indicators.  One of these most recent studies actually has been conducted for over 25 years by the Gallup organization. (http://www.gallup.com).

This series of surveys created a link between employee attitudes and perception with the bottom-line performance of their organization.  Think about how critical an issue this is for coaching?  Clearly what the report establishes is that for an organization to perform well financially it must first perform well at the front-line employee level. [This was also validated through work at Sears.  Therefore, we in coaching find ourselves in the driver's seat as what we do is aimed directly at these “leading indicators.”  The study was furthered by information from Curt Coffman and Jim Harter, PhD who described “The relationship between employee perceptions and business outcomes” in an article entitled A Hard Look at Soft Numbers. [Now, out of print, however this material later became the basis for FIRST BREAK ALL THE RULES.]

In the article, Coffman and Harter summarized the “12” questions that could be asked of employees identifying their perceptions about their company and workplace climate.  It also linked the answers employees gave to the questions directly correlated to financial outcomes.  In my opinion, this is a clear convergence of soft and hard outcomes.  The 12 questions are copyrighted by the Gallup Organization and not reproduced here, however I have identified twelve issues that correlate directly to those questions.  These 12 issues can be used by the practicing coach in an organization, as well as in a coaching interaction to more clearly outline organizational issues that frame the context of the workplace.

The issues are in no particular order of importance, in fact, in my research I find that the importance is always user defined.  Some of these issues will be very important to others and not so important to other people.  However the key issues are important and if the workplace is supplying high scores in those areas, the worker’s perception of the workplace climate will obviously be high.  What the Gallup work proves, is that when these issues are perceived to be generally evident in the workplace, that the organization, division or team will cause financial performance to increase as a result of this perception in climate.

In other studies, notably from Hay/McBer, climate has been shown to be responsible for no less than 30% of organizational performance.  One further note is that 70% of climate is explained by leadership/management style issues.  In a study by Ernst & Young in 1998, Measures that matter, non-financial factors were shown to affect 35% of shareholder valuation. Again, we find that coaching and coaching systems can provide significant influence, when successful, on organizational performance.

As coaches, we understand the ability to improve bottom-line performance through increased performance resulting from a myriad of personal and workplace issues.  Clearly this and other related research identifies these leading indicators to the rest of the world.  The following issues are summarized from the 12 Gallup questions listed in the article mentioned above by Coffman and Harter.

1.      Clear Expectations

People need to know what is expected of them.  Different people require different methods of clarification and structure.  However, all in all, clarifying expectations is a major hurdle both in the coaching interaction (STEP 1) and in the workplace.

2.      Tangibles

Do people have what they need to do their work well.  The proper environment, tools and workplace to accomplish or what is expected of them.

3.      Job Match 

In my view, this is critical and one of Deming’s 5 factors of performance.  Did the company properly select, orient, train and match the employee with the job they are expected to do.

4.      Recognition

Does the company recognize the employee in a way that is consistent with the employees needs for recognition and acknowledgement.  We know people are different, what works for one, won’t have value to another.  The ability of the organization to recognize employee involvement, achievement and contribution are essential to promoting high employee perception of the workplace.

5.      Caring Supervision

Another issue that is sometimes taken for granted.  What seems like care to one person (providing a paycheck for work) is not perceived as caring by others.  Herzberg noted in his theory of motivation that money is simply not enough to motivate high performance.  Money is important, but there are other issues—such as caring supervision—that are even more essential.  In the study by Gallup, they found that front-line supervisors were the key.  If your supervisor, the person having direct influence on your job duties cared about you in ways that were meaningful to you, your perception and satisfaction in the workplace was improved.

6.      Positive Development

Encouragement towards your potential; support towards improving your position and positive steps taken—regularly-- on behalf of your progress are key success factors for this issue.

7.      Feedback

Do you receive timely and constructive about your contribution.  Are you able to act as your own authority in determining your performance and is the information and knowledge that you need from reviewing or measurement available to you on a regular basis?

8.      Opinion’s Count

Does the company take into consideration your ideas?  Does the company solicit your opinion in matter that counts in your workplace?  Is there clear evidence that your opinion and the opinion of others—matters?

9.      Connected goals

Does the company’s goals allow me to feel good about the alignment of my own personal goals.  Is the purpose of the company consistent with my own?

10.  Shared vision

This is a little misleading, in that the Gallup question has to do with everyone being committed to doing quality work.  Yet, I felt that when people are committed to doing their fair share of quality work that shared vision exists.

11.  Friend @ Work

I used the @ sign to indicate a changing workplace and that in light of our technological advances, our “friend” could be non-resident.  Friendship at work is important to people and no wo(man) is an island, even in the workplace.  Because we spend so much time at work, we need to establish personal relationships with our peers.  In today’s world, this is fraught with difficulty and innuendo.

12.  Opportunity

People need to have the feeling that they have the opportunity to learn, grow, develop and move onto things that make a difference to them.  Some want promotion, others freedom, less responsibility and others want to contribute.  Whatever it means to have opportunity, each person’s perception of the workplace improves and consequently the bottom-line performance moves along with it—if people perceive opportunity.

These issues present an opportunity of their own to be incorporated into the coaching interaction and through that interaction into the workplace.  Perception really pays.  Leading indicators as represented by these so-called soft issues are precursors to bottom-line performance.  My favorite quote has always been one I thought up years ago in graduate school while daydreaming…

“If you want to hit a moving target, you have to lead it!”

Mike Jay, Master Business Coach

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