How to make investments in coaching pay off in 2025

Leadership has always needed to adapt to adjustments the world is making, and the current pace of change is making that more visible than ever. As a consequence, coaching is also having to evolve; it's not just a good L&D intervention but a strategic necessity. As organisational environments increase in complexity and markets and global societies continue to feel more ambiguous and volatile, many organisations are turning to coaching to future-proof their leadership teams. But coaching comes with a price tag and budgets are feeling more stretched, so People leaders face the challenge of justifying it and focusing it wisely.

The solution to this challenge lies in the profound and long-lasting benefits of coaching, which at times can feel even harder to capture than ROI but are probably the best reason to engage in coaching, particularly with senior leaders. Coaching isn't a quick fix but cn make a demonstrable difference when used in a sophisticated way.

Coaching for resilience

Living with volatility is the norm nowadays. The classic acronym VUCA (volatile, uncertain, complex, ambiguous) is being challenged by BANI (brittle, anxious, non-linear, incomprehensible) and yet leaders still need to lead. AI, biocomputing, blockchain and the metaverse. Shifting generational and societal workforce dynamics. Resilience isn't just a buzzword to have a slide on in management training (I wrote about that here), it's a fundamental attribute that enables good leaders to handle these challenges in an effective way. At’s not just about navigating today’s problems but building the internal capacity to weather future storms.

Some of the basic characteristics of coaching are that it facilitates increased self-awareness self-awareness, emotional intelligence and resilience. Leaders who engage properly with coaching learn how to do more than manage stress, leading individuals and teams through ambiguity, and making decisions under pressure.

Particularly importantly, they also develop the skills to foster resilience within their teams. As we approach 2025 and prepare ourselves for whatever surprises the future will hold (brain-controlled smart phone replacements, I'm looking at you), these are not just ‘nice-to-have’ qualities. Particularly for big organisations with established ways of working that will feel increasingly disrupted they're essential skills.

A leadership team that leans into coaching conversations will be better equipped to bounce back from setbacks and maintain stability in times of crisis. Leaders who have undergone coaching are more likely to be agile and proactive, anticipating challenges before they arise and taking decisive action where that's appropriate - and pausing to reflect in order to make measured decisions when that's called for. As a result, the organisation becomes more resilient as a whole.

As my friend Caroline Beardall ICF PCC FCIPD would describe, coaching is like planting a tree. A lot of the time you don’t see immediate results, but after a year the leader notices they've developed habits that came directly from a moment of insight gained in a coaching session - that little sapling has grown deep roots, providing shelter and stability for new shoots that can now grow with the benefit of a stronger support network.

The next wave of disruption is coming: Are your leaders prepared for it?

Coaching for adaptability

A couple of years ago I had the privilege of seeing the thought process behind defining a nationwide role standard as Chair of the Coaching Professional apprenticeship trailblazer group. Together we determined the knowledge, skills and behaviours that make someone a good coach.

At the time a part of me wanted to dive into a philosophical discussion around the difference between coaching skills and one's identity as a coach. Circumstances led me to take a much more pragmatic approach, but the truth was out: We think about training as a process that takes us from State A (I don't know how to do something) to State B (I now know how to do it). That's fine as a theory - training programmes do serve a purpose, after all - but the nature of all technical skills in the modern world, and leadership specifically, is that the ability to continually learn and adapt, even when doing so goes against one's life experience and every textbook, now turns out to be a critical survival skill.

It might be technological advancements, regulatory changes or unexpected global events, leaders must be prepared to pivot and make decisions, whether or not they have sufficient information to feel confident in them. Coaching enhances a leader’s ability to navigate these changes by fostering a mindset of continuous learning and adaptability.

We all have habits, healthy or not, and we rely on past experiences to inform current decisions. While there's part of this that's unarguably valuable, it can also hinder innovation and adaptability. Coaching challenges assumptions, fosters the embracing of new ways of thinking, and catalyses openness to experimentation.

This sort of mindset will be invaluable in 2025 and beyond, as industries continue to evolve at an unprecedented pace. Coaching encourages people to step out of their comfort zones. By becoming more comfortable with uncertainty and change leaders become more ready to deal with whatever the future holds.

More than that, we see the ripple effect of coaching - leaders who are keen to embrace uncertainty rather than resist it will end up with teams who embrace change, creating a culture of innovation and flexibility.

Coaching for long-term business growth

Perhaps the most compelling reason from an organisational perspective - and within the context of an organisation investing in something that's the only truly valid one - is its potential to drive long-term, sustainable growth. Leaders who are well-coached are not only better decision-makers but are also more likely to inspire, empower and retain their teams. In the highly competitive environment we all operate in nowadays these qualities can set an organisation apart, positioning it for sustainable growth.

Organisations in 2025 with a strong culture of leadership development will have a clear advantage over those that do not. As more employees expect personalised development and growth opportunities, organisations that invest in coaching, whether AI coaching solutions like AIcoach.chat or traditional interventions, will attract and retain top talent.

In short, targeted investment in coaching can be the difference between success and failure in the sort of competitive labour market we're currently experiencing.

A leader who has been coached is more likely to be attuned to the needs of their team members, offering support, guidance and challenge that's needed to succeed. Future-proofing an organisation comes down to investing in leaders today.

So why don't more organisations invest in coaching?

Despite the clear benefits, many organisations hesitate to make this investment. And while I personally disagree with that position, it's easy to understand why. First of all, it's not immediately obvious that the outcomes are worth the cost. ROI is famously difficult to capture, in spite of the outlandish claims some providers make, and in isolation it's pretty much a waste of time. I'm having a big-zero birthday party next week am expecting to make a financial loss on it - that's not a good reason to not have one.

But it's probably not the biggest reason, because most organisations are mature enough to know that the world demands more nuance than a spreadsheet can communicate. No, instead we ought to recognise that the delivery of coaching can often feel like it's misaligned with the organisation at a more fundamental level.

Too many conversations around coaching orbit the concept of personal goals, personal development. What happens when we see the conversation, and even the relationship, as existing for a higher purpose? The opening question, rather than "What would you like to achieve from our time together today?", could be "What would the organisation, or even wider systems, like us to achieve together?"

This sort of approach demands a level of maturity and a particular philosophy among the coaches, naturally, and it also needs the support of strong governance practices that determine purpose, continually develop coaches and monitor the impact at a holistic level.

If you've got responsibility for coaching in your organisation, why not take some protected time out to conduct a proper coaching audit? Hey, if you're serious, get the benefit of an independent view and ask me to do that (I even have a framework we can use to speed things up)! Perhaps that would provide you with comfort around how well you're doing...and perhaps it would identify some gaps where you could use coaching to better prepare your leaders for the challenges of tomorrow.

Organisations that invest in coaching now will have leaders in 2025 and onwards who are resilient, adaptable and capable of driving long-term growth. Now is the time to take action! The decisions organisations make today will determine their success in the years to come.