“It's lonely at the top” resonates with many professionals on the journey to leadership. No matter how inclusive a leader's style may be, once someone is in a senior leadership role, their peer network is likely to shrink and feedback loops are increasingly limited. For family business executives, navigating leadership within already established family dynamics can introduce another layer of complexity. And yet, while the leadership journey can be fraught with challenges, it can also provide unique opportunities for growth.
One option that can help business leaders develop and advance their leadership skills is executive coaching. Executive coaches can bring valuable objectivity, broad business acumen and strategies for individual and organizational growth and can support family business leaders as they tackle the competing demands inherent in stewarding the business.
Who Uses Executive Coaches?
Many assume that an executive coach is only for C-suite leaders. In fact, it's often beneficial to engage executive coaches to work simultaneously with both seasoned and aspiring leaders throughout the organization.
Whether in support of the rising gen, high-potential employees, mid-level leaders or those at the very top, an executive coach can help unlock potential, bolster performance and enhance the effectiveness of individuals and the teams they work with. Furthermore, appropriately credentialed and trained executive coaches can prepare leaders for what current and future roles may demand of an individual, so they don't need to learn these lessons from the proverbial “school of hard knocks.” This is especially important for the leader working in their family's business, where all eyes are on them and their personal brand plays an important role toward establishing trust throughout the organization.
The Coaching Process
Leaders sometimes hire an executive coach in response to a presenting concern or because a 360-feedback tool identified opportunities. Others may wish to work with a coach to support continuous improvement and personal goals for growth.
A business may also hire an executive coach as part of a leadership development program, allowing the coach to work on broader leadership team dynamics with multiple leaders. This approach also allows the executive coach to identify and evaluate characteristics necessary to execute on strategic objectives. In these instances, the coach helps to identify and leverage individual and collective strengths as an effective method for alignment and goal attainment.
The executive coach typically facilitates a series of one-on-one meetings. During these meetings, the coach learns of the leader's professional history, while also asking questions to gain a deeper understanding of the leader's perceptions and inner narratives and how these influence their individual, team and even organizational performance. The leader's perceived barriers, relationship experiences, conflicts, successes and aspirations are addressed in the coaching relationship and in ongoing work.
Aside from personal meetings, the executive coach may observe an individual's or leadership group's interactions, evaluate communications or work product and gather additional information, either through 360 feedback sessions or the use of formal organizational assessments. This process results in the identification of clearly defined goals for growth that are uniquely tailored to the leader's needs. Emphasis is placed on a variety of technical and interpersonal skills required for enhanced leadership effectiveness.
While the coaching process can be intensive, the real magic happens when there is complete candor between the executive coach and the leader being coached — making confidentiality and trust vital to the coaching relationship.
Harnessing the Power of Executive Coaching
While developing leadership and interpersonal skills often come to mind as top reasons to work with an executive coach, the family business leader can leverage an executive coach broadly in areas such as:
- Developing long-term and strategic plans
- Navigating organizational change and succession
- Creating strategies and skills for managing family dynamics
- Serving as a sounding board and accountability partner
- Building, articulating and living your vision, mission and values
- Operationalizing the family's values in ways that support strong cultures
- Preserving tradition while embracing change and innovation
- Strengthening conflict resolution skills and enhancing emotional intelligence
Given that family-held enterprises face unique challenges at the intersection of family dynamics and business operations, the coach's professional guidance becomes invaluable. It is therefore essential that the coach has a solid understanding of the organizational structure, culture, history, and goals (both near- and long-term).
An experienced executive coach can help family business leaders develop essential skills, navigate complex relationships and implement effective strategies for growth. By providing an objective perspective and creating safety to explore opportunities for development, coaches can address concerns, facilitate communication and help family members separate personal matters from business decisions. This approach not only enhances leadership effectiveness, but also contributes to the overall health of both the family and the business.
Finding and Hiring an Executive Coach
Executive coaches with deep knowledge about family-held businesses can be hard to find. Further challenges may arise if the coaching engagement involves sensitive family issues and dynamics. Finding the right fit for both the individual and the organization can take some time and thoughtful consideration. Seeking referrals from other families who have worked with executive coaches is often a terrific place to start.
Many universities have family business centers that regularly refer vetted resources to their members. These resources often include executive coaches. Another option is to reach out to consulting firms that specialize in working with families. These organizations typically have executive coaches on staff or a solid network of professionals they can recommend.
Once you've identified potential candidates and are clear about what you hope to achieve, you'll want to do a bit of research and prepare for an introductory dialogue with the executive coach. Following are a few questions you may want to ask as you explore whether the individual is the right fit:
- What is their coaching methodology, and how would they describe their coaching style?
- Do they have a specialty or a particular area of expertise?
- How do they measure progress? How frequently do they meet with clients? Do they meet in person or virtually?
- What kind of training have they received? Do they have an advanced degree in organizational behavior? Have they earned coaching certifications? If so, what certifications do they have, and who issued their credentials?
- What business experience do they have?
- What has been their experience working with individuals in the family business space? How does their approach differ when working with a family executive versus a non-family executive?
- What are some complexities they typically observe, and how do they address them?
- What is their stance on confidentiality? How will your data be used, stored or disclosed?
Upon making your selection, you should expect to begin the executive coaching engagement with a bit of formality, which means a coaching contract/agreement or an engagement letter. Another aspect to consider is the initial planning phase. During this time, the executive coach will be gathering feedback and working to develop a project plan to accomplish particular objectives.
The duration of the engagement is typically based upon several factors, including the scope, goals, breadth and depth of the gap seeking to bridge. Don't be surprised if at the onset of the engagement the executive coach provides a range of dates or milestones, rather than committing to a particular date on the calendar.
Many executive coaches develop long-term relationships with their clients, and there is no one-size for all when it comes to executive coaching. Therefore, effective probing and coming to agreement on the executive coaching relationship and deliverables will be an important element for success. Don't skip this part of the process!
Embrace the Journey
Executive coaching can be transformative for family business leaders, providing a safe place to explore dynamics, challenge assumptions and build essential self-awareness. It can also help develop critical skills necessary for approaching the human side of working with a team and with family members in a business environment. As leaders, it is easy to fall into the trap of seeing people as a problem to solve rather than an important relationship to develop, or to become frustrated about the obstacles that seemingly bring family harmony to a screeching halt. All of us — even the most seasoned leaders — need support and help at times while navigating the leadership journey. The executive coaching process can help you prepare to meet the challenges along the way with grace, authenticity and maybe even a bit of optimism for adventures that await. The leadership journey presents many opportunities, but it doesn't have to feel so lonely.