Executive Coaches Face Push for Credentialing as Industry Matures

Executive Coaches Face Push for Credentialing as Industry Matures

The International Coach Federation (ICF) is tightening its standards for certified coaches, amid growing calls from corporate clients and regulators to bring order to the largely unregulated coaching market. The ICF's move comes as a surge in demand for executive coaching has created a need for more robust credentialing and accountability.

In Europe, companies such as SAP and BMW have been actively seeking out certified coaches through programs like the ICF's Advanced Certified Coach (ACC) designation. In Asia, Singapore-based corporate coach Yvonne Tan notes that "many of our clients are now looking for coaches with formal training and certification to ensure they get value from their investment." Tan is a certified executive coach herself.

Credentialing Standards

The push for credentialing has been driven in part by concerns over the quality of coaching services. A study by research firm Gartner found that around 60% of corporate clients reported dissatisfaction with their current coaching arrangements, citing poor results and lack of accountability from coaches. Maria Okonkwo, hospitality analyst at Mercer, notes that "without some form of credentialing or certification, it's like buying a used car without a mechanic's inspection - you have no idea what you're getting."

Regulators are also taking notice of the issue. In the UK, the Coaching Federation has been working with government agencies to develop standards for coaching in the public sector, which is expected to be announced later this year.

The ICF's ACC designation requires coaches to complete 125 hours of training and have at least three years of coaching experience. While around 20% of certified coaches in the US hold an MBA or other advanced degree, roughly half of all coaches do not have any formal certification or training.

David Lindqvist, partner at a Stockholm legal consultancy, warns that companies need to be more vigilant when choosing coaches, citing cases where unqualified individuals had claimed coaching credentials. "This is a major issue for businesses," he says, "and it's essential they take steps to ensure the coaches they hire have the necessary skills and expertise."

With the ICF's new standards set to take effect next year, what to watch in 2024 will be how corporate clients and regulators adapt to the changes, particularly in countries with more established coaching industries.