The value of mentoring and coaching in the workplace
Keywords: mentoring, coaching, leadership, resilience, mentalhealth
Date: 14 February 2025, WorkLife Digital
Mentoring and coaching have become indispensable tools for fostering growth, enhancing performance, and driving success in modern workplaces. But beyond organisational performance, these practices offer a powerful means to create a more resilient, engaged, and psychologically healthy workforce.
Enhanced employee performance and productivity
A study found that nearly 70% of businesses reported an increase in productivity due to mentoring, with over 50% noting a positive impact on profits. This boost in productivity and profitability stems from several factors:
Developing high-performing employees: Mentoring helps employees develop their skills quickly, leading to faster promotions. A 2020 survey revealed that mentored employees were five times more likely to be promoted. This accelerated skill development creates a pool of high-performing assets for the company.
Enhanced decision-making: Mentors serve as sounding boards for leaders, allowing them to refine their thinking and prioritise actions. This guidance can lead to more thoughtful and effective business decisions
Building a leadership pipeline: By cultivating potential leaders through mentorship, companies can ensure a steady supply of capable individuals ready to take on higher responsibilities. This internal development of talent can significantly reduce recruitment costs and ensure leadership continuity.
Enhanced problem-solving skills: Mentors provide guidance on navigating complex work-related challenges, improving overall organisational problem-solving capabilities.
Increased innovation: Mentoring encourages the exchange of ideas, sparking creativity and innovation within the organisation.
Improved employee retention: Mentoring programs demonstrate an organisation's commitment to employee growth, fostering loyalty and reducing turnover. According to a Workplace Happiness Survey, nine out of ten employees with a mentor report feeling happy at work. Lower turnover rates translate to reduced costs associated with hiring and training new employees.
Furthermore, coaching and mentoring help create a positive work environment by fostering trust and respect among employees. This leads to stronger interpersonal bonds and a more welcoming atmosphere, which are essential for long-term employee retention.
Benefits to employees
The advantages of mentoring and coaching extend beyond organisational performance, significantly impacting employee well-being:
Mental health support: A Harvard Business Review study found that mentors can help minimise feelings of stress and anxiety among employees. This is also beneficial for executives who may experience isolation or pressure in leadership roles.
Increased job satisfaction: 90% of employees with a career mentor reported feeling happy at work and were also more likely to feel well-compensated and recognised for their contributions.
Skill development: Coaching and mentoring provide employees with opportunities to develop both professional and personal skills, making them more valuable to the organisation. Coaches can also motivate leaders to become more self-aware. This is an essential trait to have as it allows business leaders to recognise their company’s challenges and find ways to rise above these issues.
Career progression: Mentored employees receive constructive feedback and learn industry best practices, which can accelerate their career advancement.
Internal vs. external mentoring and coaching
Both internal and external mentoring and coaching offer unique benefits:
External mentoring and coaching
Objective perspective: External mentors provide a fresh, unbiased viewpoint, free from internal politics or vested interests.
Confidentiality: Employees may feel more comfortable and psychologically safe discussing issues, challenges and frustrations with external mentors, leading to more open and productive conversations.
Broader industry insights: External mentors can offer valuable insights from different industries or organisations, broadening the mentee's perspective.
Internal mentoring and coaching
Company-specific knowledge: Internal mentors possess deep understanding of the organisation's culture, processes, and challenges, allowing for tailored guidance5.
Cultural alignment: Internal mentoring fosters a culture of learning and knowledge sharing across all levels of the organisation.
Career navigation: Internal mentors can help employees navigate the company's specific career paths and opportunities.
Ideally, organisations should strive to offer both internal and external mentoring options to maximise benefits. Regularly assess the impact of your mentoring and coaching programs on employee performance and satisfaction.
The value of mentoring and coaching in the workplace is undeniable. From improved employee performance and engagement to increased profitability and innovation, these practices offer a wide range of benefits that can transform organisations. By investing in well-designed mentoring and coaching programs, business leaders can create a more resilient, skilled, and motivated workforce capable of driving long-term success.
WorkLife Digital is a global mental-wellbeing consultancy driven by the mission to improve the sustainability of businesses. Our psychological wellbeing tool, Worklife Quotient (WL-Q), is modelled on cutting-edge scientific research and provides organisation-wide measurement and intelligence on the mental wellbeing levels and psychological resilience of staff. WL-Q also assesses the impact of organisational practices (i.e. people and culture, leadership styles, organisational purpose and values, social impact) that have a direct influence on staff wellbeing and provides strategic recommendations on addressing risks and promoting strengths.
For more information, get in touch at lisa@worklife.digital
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REFERENCES
www.hbr.org/2019/03/stressed-at-work-mentoring-a-colleague-could-help