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The Importance and Application of a Coaching Leadership Style in Businesses

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  • Mark Colgate

    (Gustavson School of Business, University of Victoria, Victoria, BC V8P 5C2, Canada)

Abstract

In today’s volatile business environment, command and control leadership is increasingly inadequate for sustaining engagement, innovation and resilience. This review synthesises peer-reviewed evidence on coaching leadership style (CLS) published between 2000 and 2025. A systematic search across four databases yielded eleven high-quality empirical studies and three meta-analyses. The findings indicate that CLS enhances employee motivation, facilitates skill development, promotes psychological safety and strengthens organisational adaptability, while concurrently advancing leaders’ effectiveness and emotional intelligence. Notably, recent trials demonstrate that both virtual and face-to-face coaching modalities produce comparable performance gains. This review also identifies contextual constraints—such as time intensity and crisis-driven situations—where CLS may be less advantageous. Practical recommendations are offered for embedding coaching behaviours into daily management routines, including phased roll outs, leader as coach training and metrics for monitoring engagement and innovation. Future research should prioritise longitudinal, cross-cultural studies that examine CLS efficacy in digitally transformed, post-pandemic workplaces. Collectively, the evidence positions coaching leadership not as an optional enhancement but as a strategic requirement for organisations seeking sustained competitive advantage.

Suggested Citation

  • Mark Colgate, 2025. "The Importance and Application of a Coaching Leadership Style in Businesses," Businesses, MDPI, vol. 5(3), pages 1-14, August.
  • Handle: RePEc:gam:jbusin:v:5:y:2025:i:3:p:32-:d:1720093
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    References listed on IDEAS

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    1. Erik Brynjolfsson & Danielle Li & Lindsey Raymond, 2025. "Generative AI at Work," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 140(2), pages 889-942.
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