Unlock Hidden Potential: The Link Between Manager Coaching and Revenue Performance

Quantifying coaching's impact? Gallup finds coaching lifts manager performance 20-28%. We map this to potential revenue gains in tech (think $25k - $420k revenue per employee value uplift). See why investing in manager coaching is a strategic move for your bottom line. #ManagerCoaching #TechPerformance #LeadershipDevelopment #BusinessImpact #ROI #EngineeringLeaders #ProductLeaders #DesignLeaders

Tech leaders know great managers are key. But how much value does investing in their coaching skills really add? Often, the impact feels intangible.

Gallup research provides a compelling benchmark: teaching managers effective coaching can lift their performance by 20-28% in 9-18 months [1, 2]. That's a significant boost!

Let's connect this to business results using industry revenue-per-employee data and a 12 month coaching program [3]:

• In Entertainment Software (avg. $1.5M/employee), that 20−28% maps to $310k - $440k per employee under that improved manager.

• For Internet Software (avg. $125k/employee), that 20-28% maps to $25k - $35k per employee under that improved manager.

Figure 1:  Coaching lifts of manager performance and revenue

This analysis provides a framework for estimating the financial argument for robust coaching programs in the tech industry. Investing in your managers' coaching abilities isn't just about better 1:1s; it's about driving tangible performance improvements that can echo through your P&L.

Is your organization leveraging coaching as a strategic performance driver?

[1] https://www.gallup.com/workplace/349484/state-of-the-global-workplace.aspx

[2] https://clockify.me/productivity-statistics

[3] https://pages.stern.nyu.edu/~adamodar/New_Home_Page/datafile/Employee.html