Business Coaches Are Replacing Consultants. Is That Good?

  • 3 mins read

Over the last few years, many companies have made a major change in their operations: ditching business consultants for business coaches.

While we wont see business consultants going away for good, its clear that a lot of business executives and companies now come with different needs that coaching can fulfill much better than consultancy.

The key difference between the two lies in who will take the actual steps required for change. With business consultants, though some can provide coach-like support, it is common for these individuals to do the work and resolve the target problem. When it comes to coaching, the work is very much done by the person who receives the service.

But to understand why companies are moving from consulting to coaching, lets take a closer look at each of them.

What Is Business Coaching?

Business coaches collaborate with owners, CEOs, and other actors in leadership and management positions in order to improve certain aspects that pertain both to the individual’s skills, and the companys bottom line.

Coaches provide guidance and support to leaders and help them get the results they want both long-term and short-term.

For instance, they can:

  • Help leaders improve their communication skills
  • Assume the role of a mentor
  • Take a holistic approach when helping their clients
  • Guide clients through various processes, and help them overcome their challenges, etc.
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What Is Business Consulting?

A business consultant is an expert in a specific discipline who provides their expertise for a company. For example, if a company wants to improve its IT systems, it may hire an IT consultant for more specialized support.

Business consultants will come in, analyze the issue at hand, and provide a solution designed to solve the issue. In some cases, they may even oversee the implementation of said solution.

Business consultants often:

  • Works in a project-based format
  • Focuses on business problems and not staff challenges
  • Creates an actionable plan to fix business problems, etc.

Why Are Companies Switching from Consultants to Coaches?

Consultants and coaches provide extremely different services. Yet, as companies are turning more and more to coaches for help, there seems to be a change in the needs that companies are looking to address.

There is a need to invest in people, not just company operations. Business coaches work together with CEOs, leaders, and other key staff members to improve a company’s operations, yes, but the approach is vastly different here than in the case of a consultant.

The business coach helps the client improve their approach, enhance the skills they need for the job, and face challenges as a way to also enhance business operations. Companies now realize they need to invest in their people just as much as they invest in their operations.

Are Consultant Gigs Over?

Of course, there is a need for both. Consultants and coaches both provide essential services to improve a company’s health.

But the growing demand for coaches shows that businesses are realizing they can’t ignore the need for stronger leadership anymore.

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