Coaching is unique, helping individuals to systematize their conscious thoughts about the immediate actions needed to address specific practical issues, and to understand the unconscious processes that may be sabotaging their success. Business coaching is essentially about the results experienced through the dynamic relationship between coach and client, and how those results impact on individual, team and organizational performance.
The new economy based on knowledge integrates sustainable development and innovation objectives, the restructuring of the business environment, at the same time enhancing the broad access to information and knowledge and increasing the possibility of economic globalization and growing social cohesion.
At the same time, after the crisis of 2007-2008, due to the deepening and unprecedented economic challenges and tensions that the private sector started to encounter, it became obvious the need for a change in business under the form of coaching. Thus, along with the need to costs cutting, it is believed that currently, companies are forced to refocus on the importance of employee performance and development in order to increase organisational competitiveness. Given that employees are the most valuable asset of organisations, it is important for the manager to benefit from coaching, to be able to work as a team to build an organization that can successfully work at any difficult time.
Practising new coaching skills, first of all, managers learn how to behave themselves, then, their new behaviour will change the way they relate to employees and then will change the way they are perceived, offering new possibilities for increasing the effectiveness of interactions at work, in order to improve organizational performance.
The concept has a positive impact on performance and employee development, and inspires a significant competitive advantage for an organization as a whole. It is an approach based on the behaviour, relevant to all managers, which should recognize this as an activity that is part of how managers conduct human resources. In this context, there is a growing consensus of opinion supporting the idea that the relationship between the manager and the employee is essential for stimulating a positive discretionary behaviour at work. However, in this context, many factors can represent challenges for this aspiration such as: organizational culture, manager’s time, natural disposition and skills.
As SMEs are operating in competitive and turbulent environments, they are undergoing efforts to constantly improve performance and deliver powerful financial results. According to specialists, coaching will not only increase just the individual potential of employees (intellectual capital), but can also bring, tangible benefits that will support the overall organizational efforts. Currently, coaching is increasingly recognized as a methodology that aims to increase the effectiveness of the dialogue for a better analysis and reformulation of values and goals in order to find solutions to problems.
Business coaching is the process of engaging in regular, structured conversation with a ‘client’: an individual or team who is within a business, profit or non-profit organization, institution or government and who is the recipient of business coaching. The goal is to enhance the client’s awareness and behaviour so as to achieve business objectives for both the client and their organization. Business coaching enables the client to understand their role in achieving business success, and to enhance that role in ways that are measurable and sustainable. Business coaching has a great impact on the development of entrepreneurs’ locus of control and self-efficacy, these leading to organisational growth.
Source: The Bucharest University of Economic Studies