Over recent years there has been a significant rise in individuals within an organisation who hold a coaching qualification and go on to operate as an internal coach. This is often in addition to another, more sizeable, role held within the organisation. External coaches, on the other hand, are not directly employed by the organisation and provide coach services across a wide range of organisations and sectors.
For those organisations looking to develop a coaching culture, it is often considered best practice to have a panel of both internal and external coaches available to support the needs of the individuals and teams within the organisation. But how do organisations know when to select an internal or external coach?
This article looks to explore 3 things:
1. Some of the unique benefits and challenges of internal and external coaches.
2. Questions to help determine the best route to take.
3. Characteristics that both internal and external coaches should have in common.
- Some of the unique benefits and challenges of internal and external coaches.
Internal coaches
| Benefits | Challenges |
| Aligned with the organisations culture and values | Might have biases or limitations in perspective because they are part of the same culture |
| Better understanding of internal dynamics and processes | Conflicting roles might make it harder to hold confidentiality |
| May have the ability to observe leaders in action and provide feedback around coaching goals | It can be challenging to manage coaching time and other responsibilities within the organisation |
| An internal coach can more easily align to an organisations larger development program to keep goals consistent | Might be seen as a less credible coach compared to an external coach. Often outside experts will be given greater respect |
| A coachee may be more comfortable working with someone they know | Coachee may withhold sharing of information due to fear of consequences |
| An internal coach may have more time with the coachee and can get to know them better | Increased scope for ethical dilemmas |
| Less expensive which means that they can coach further down the organisational hierarchy | Costs of training, supervision and accreditation |
| Coachees may have a more limited choice regarding which coach they work with | |
| May be harder to end a coaching relationship if any issues arise |
External coaches
| Benefits | Challenges |
| The role of the external coach is often more clearly defined | May take time to build an understanding of the organisations culture and processes |
| Can often offer fresh perspectives which may lead to more innovative solutions | Availability may not meet short-term needs |
| Typically have a more specialist skill set and deeper level of experience across a broad spectrum of coaching philosophies, clients and organisations | Coaching often comes at a higher cost |
| Can offer an enhanced sense of confidentiality through clearly defined boundaries between coach and coachee | May create inconsistencies with the methods of internal coaches, if they are also being used |
| Can provide feedback without fear of judgement from the coachee | The ability to report back themes that could help organisational learning may be more difficult |
| Unlikely to be impacted by the culture or politics of the organisation | |
| Can provide an open environment to question established methods and practices | |
| The coachee would typically choose, through a series of chemistry calls, which external coach they would like to work with. This selection process is highly correlated with successful coaching outcomes | |
| Changing an external coach, if an issue arises, is easier and less damaging to working relationships |
2. Determining the best route
Coaching is not a ‘one size fits all’ solution. Consideration of the organisational context for coaching and the needs of the coachee and then establishing an approach congruent to those aspects is critical.
These questions might help to determine the best route:
What is the purpose of coaching?
- Understanding the specific coaching objectives, and how these fit in with the broader organisations purpose, mission and strategy can help determine which type of coach is better suited to meet the need.
- What are the perspectives of the different stakeholders on the work that needs doing?
What’s the level of expertise required?
- Is a specific focus / skill required: e.g. strategic influencing, leadership communication, wellbeing and resilience, maternity coaching, team coaching, administering psychometric assessments, neurodiversity.
- Does the coachee need reinforcement of internal cultural norms or is a different perspective required?
What is the level of confidentiality required?
- Typically, the more senior the leader, the more likely an external coach will be a better fit. C-Suite executives, their direct reports, and even the next few levels down the organisational ladder tend to prefer anonymity when working with a coach so they can be fully vulnerable and transparent.
Is the individual deemed to be coachable?
- Coaching is a significant investment and if there is a question around coachee readiness then an internal coach may be a great first step. With budgets increasingly limited, external coaches need to be used where they can produce the greatest returns.
What is the budget, timeframe and scale for the coaching engagement?
- Internal coaches might be more cost effective while external coaches can be more expensive but bring specialised expertise.
- Internal coaches may be able to meet a more urgent 1-1 requirement, whilst an external coaching company may be able to help an organisation scale up or down quickly.
Whether the organisation selects an internal or external coach, both should have the following characteristics:
3. What they both should have in common:
- Have undertaken a coaching training programme (and have a specific level of capability around core coaching competencies) and ideally hold a professional coach qualification.
- Membership / accreditation by a professional coaching body, e.g. the International Coaching Federation (ICF), the European Mentoring & Coaching Council (EMCC), the Association for Coaching (AC) and demonstrate practice in accordance with the ethics of the coaching body.
- Evidence of regular, ongoing, continuing personal and professional development and supervision.
- Can handle ethical dilemmas.
- Understand the processes and procedures around confidentiality and safeguarding and contract around these.
- Have a clear detailed agreement with the client organisation and coachee in writing.
In summary, when it comes to choosing between an internal or external coach, organisations will want to weigh up the benefits and challenges of both routes against such factors as the broader context, the specific coaching goals, levels of confidentiality, objectivity required, expertise and budget.
Ultimately, the success of coaching relies on the levels of trust, commitment and collaboration between the coach and coachee, regardless of whether the coach is internal or external.