Jeff Bezos uses a CEO coach. Google’s Larry Page uses a CEO coach. Even Steve Jobs used a coach. Studies prove there’s a relationship between high performance and coaching.
However, two-thirds of CEOs don’t use a coach but close to 100% would be receptive to using a CEO Coach. Why don’t more CEOs use a CEO coach? I’ll explain more in this post.
Why do CEOs use a coach?
Leaders use CEO coaches for a variety of reasons. I’ve been used as a CEO coach for many purposes: a sounding board, a trusted confidant, a sanity check or even a marriage counselor.
One CEO told me:
“You’re equal parts mentor, peer and armchair psychiatrist.”
Many CEOs use a CEO coach over the course of their career. It shouldn’t surprise you – do athletes accomplish success without great coaches? No athlete would be embarrassed they use a coach, yet many CEOs believe they don’t need a coach of their own.
What does a CEO Coach Do?
All CEOs make promises and set goals. They make promises to their investors, team, customers, and family. They set goals to help deliver on those promises.
The best CEO coaches help CEOs keep their promises and meet their goals. Furthermore, it helps if the CEO coach has walked a mile in the CEO’s shoes before.
Promises and goals are different for everyone. The steps required to take a company public are very different from the steps needed to transition the business to a family member or rapidly scale the business.
Any good CEO coach will help the CEO (and others in the business – more on that in a moment) around the results of the business.
First, CEO Coaches need to build a solid foundation.
How does effective CEO Coaching Work?
The only way to be an effective CEO or executive coach is by developing trust with the CEO. Without it, results suffer.
Many CEO coaches will simply start a relationship with the CEO (some without even meeting the CEO – they do everything via video calls or phone calls). However, I’ve found that to build the trust, context is important.
That’s why I spend several days interviewing key stakeholders of a business before I spend any meaningful time with the CEO. I’ve found the ideas and solutions to keep the promises and meet the goals of the business are almost always within the business already. It’s the leadership’s job to unlock that potential. It’s my job as the CEO Coach to help the leadership unlock that potential within themselves and within the business.
After I interview key stakeholders, I prepare myself to spend up to two full days with the CEO – typically offsite and away from the distraction of the office. I let him or her see their people, their leadership style, and their company through my eyes. It’s an intense time with a ton of questions, pressure-testing, and deep thinking.
During the time together, the CEO and I agree on a handful of issues (3-5, not 200) that are standing in the way of them keeping their promises and meeting their goals. These issues are typically strategic and are either being under-invested in or are getting in the way of success. We spend time creating the commitment and actionable plan needed to drive results and get the desired outcomes.
At the end of our time together, it’s incredibly clear. You either change your goals, or you implement the plan we developed together. It’s that simple. And that complex.
This intense, but liberating, session becomes the Six Month plan for CEO coaching. This brings me to the next key point.
Key Areas When Coaching CEOs
There are four main areas I focus on when coaching a CEO: Developing a World-Class CEO, People + Culture, Execution Insurance and being a Canary in the Coal Mine. Let me explain more about the key areas where I coach CEOs.
Developing a World-Class CEO
This is the most obvious area of coaching. The main goal is to ensure the CEO is ready to Scale. Tactically, this all depends on the CEO and their strengths and weaknesses. The quickest way to ensure the CEO is ready to scale is to complete a CEO Competency Mapping Assesment. This simply evaluates the CEO against their job description (which usually isn’t clear). We then develop a plan to help fill in the gaps – either through self-development or by enabling others to help with weaknesses.
People + Culture
While People + Culture can sound soft, this area of coaching is all about ensuring the business has a high-performance culture. Coaching CEOs in this area typically involves some level of assessment and creating a baseline of current talent and thinking through current and future needs.
We’ll also conduct periodic 360s and position competency mapping on key leaders, providing personalized coaching, where needed.
One of the biggest areas we focus on is designing the right org chart. While it sounds unsexy, Org structure drives behavior. It’s crucial to the success of any business.
Once you’ve found product-market fit, your biggest risk is execution at scale. We help design systems in processes to ensure the strategy is translated into execution (or a bad strategy is corrected quick enough). We’ve developed the Growth Playbook to help companies scale after they’ve found product-market fit.
Canary In the Coal Mine
This is the area where CEOs don’t think they will use a coach, but it’s one of the most valuable aspects of working with a CEO Coach. When I coach a CEO, I’m one of the few people talking to other people across the org and with the board. That allows me to be a Canary in the Coal Mine – predicting issues before they show up in the results.
Every Executive Coaching Relationship Needs Accountability
A CEO Coach can easily (and often unintentionally) be shoved into the “therapist” role for the CEO. However, this leads to insufficient accountability. If the CEO Coach is simply a sounding board, how will you know if you’ve moved the needle? The CEO Coach will (or at least should) be judged on results. Simply listening doesn’t drive results.
That’s why I’m extremely intentional about setting not only the six-month goals for the relationship, but I also have my CEOs fill out a Growth Update before every coaching call.
Before every call, I ask the CEO to provide me a quick update on what has happened since our last call, the 1-2 things they want to discuss and the desired outcomes from the coaching call. Paired with our six-month goals, this provides us with an intense level of focus for our time together. We’re able to accomplish a lot in a minimal amount of time. I typically talk to the CEOs I’m working with 1-2 times a month on a formal, planned basis and many informal interactions (phone calls, texts, emails, etc.).
Without the Growth Update, the potential for distraction is high. Accountability is low. Progress is typically stalled.
Every six months, I have every CEO review me and our working relationship. I ask them if they accomplished what they thought we should accomplish and if they would hire me all over again, knowing what they know now. If the CEO wants to, we then dive into what the next six months look like.
Why don’t more CEOs use coaching?
I think more CEOs don’t use coaches because they don’t fully understand how to utilize a coach. CEOs read headlines about other CEOs getting coaches, so they think, “If so-and-so has a coach, so should I….”
There’s even a scene in Silicon Valley where the main character is criticized for his leadership ability. He says, “Well, the Twitter CEO got a CEO Coach, I’ll just get a CEO Coach to fix it.”
That attitude is like going to the gym and telling a trainer you want to train. That’s not helpful. What do you want to train for? Running a marathon? Or being a bodybuilder? Those are both very different training programs.
Not just the CEO
CEOs are notoriously guilty of having the CEO Coach only talk to the CEO. To use the trainer analogy again, that’s like hiring a personal trainer that doesn’t know how well (or bad) you are eating or sleeping. It’s an important part of the puzzle.
Typically, insight from other employees will be key to coaching a CEO and the business. Other employees see the CEO’s blind spots daily. It’s also key to the growth of the business.
Who I Really Coach
While I’m labeled a CEO coach all the time, I’m really the coach of the business. The business is a legal person (it has its own tax number and all). Most of the time, no one is looking out for the business as if it were a person.
The business is like a growing kid (or an aging parent, depending upon the business).
That means I’ve had to disagree with the CEO for the sake of the business. I’ve had to coach CEOs out of their role because it wasn’t right for the business.
The business is my ultimate client.
Furthermore, if the business isn’t successful, the people in the business won’t be successful. This includes the CEO.