Is Executive Coaching Worth It for a Hotel GM?
The short answer
Yes. For most hotel general managers, executive coaching is worth it, as long as three things are true: the GM actually wants to get better, the coaching is tied to clear, measurable goals, and the coach is genuinely skilled. The goals can be about the GM's own leadership, their team, or the property's results. "Skilled" means a credentialed, experienced coach, ideally an ICF Professional Certified Coach (PCC) or Master Certified Coach (MCC).
The research backs this up. Two meta-analyses (studies of studies) found coaching improves performance, well-being and results at work, and the most-cited ROI studies put the return at roughly 5.7 to 7 times the cost. In a hotel, though, the biggest payoff is usually simpler than any ROI number. Your GM stays. And their team stays with them.
I was a young GM who could have used a coach
Early in my career, I was the youngest GM in my company. I worked hard, my numbers were fine, and I still had a lot to learn about leading people. Looking back, a good coach would have saved me (and my team) a few years of trial and error.
Nobody coached me. I got keys, a binder and a P&L, and figured out the leadership part as I went. That's still how most GMs in our industry get made. We promote the superstar operator and hope they figure out the people side on their own. Some do. Plenty learn it the hard way. (Ask me how I know.)
What does the research say about executive coaching?
Here's the best evidence I could find, starting with the most rigorous.
Coaching improves results at work. A 2016 meta-analysis of 17 workplace coaching studies found coaching had a positive effect on outcomes overall, and its biggest effect was on individual-level results, meaning measurable job performance (Jones, Woods & Guillaume, Journal of Occupational and Organizational Psychology, 2016).
It helps on every outcome measured. An earlier meta-analysis found coaching had significant positive effects on performance and skills, well-being, coping, work attitudes and goal-directed self-regulation (Theeboom, Beersma & van Vianen, Journal of Positive Psychology, 2014).
It holds up against a control group. In a near-randomized controlled trial with 180 coachees, coaching produced large improvements in self-efficacy and resilience compared with a waiting-list group. The strength of the coach–client relationship was a key driver (de Haan, Gray & Bonneywell, Academy of Management Learning & Education, 2019).
7x median return, and 86% of companies at least broke even. The ICF Global Coaching Client Study, run by PwC and the Association Resource Centre, surveyed more than 2,100 coaching clients in 64 countries. Of the companies that could calculate ROI, 86% made back at least their investment, and the median return was seven times the investment. 68% of individual clients also made their money back (ICF, 2009).
5.7x average return. A Manchester Consulting study of 100 executives, mostly from Fortune 1000 companies, found companies earned close to six times what they spent on coaching (The Manchester Review, 2001).
529% to 788% ROI. A MetrixGlobal case study at a Fortune 500 company measured a 529% return on executive coaching, which rose to 788% once the value of retaining employees was counted (Merrill C. Anderson, MetrixGlobal).
88% vs. 22.4%. In a public agency, a management training program by itself raised productivity 22.4%. When one-on-one executive coaching was added after the training, productivity rose 88% (Olivero, Bane & Kopelman, Public Personnel Management, 1997).
Honesty time. The ROI studies are older, and many rely on self-reported numbers. Nobody can perfectly separate the coaching from everything else going on in a business. That's why I lead with the meta-analyses and the controlled trial: they show coaching works even when you measure it carefully. So please don't walk into your owner meeting waving 788% like it's a guarantee. Use it for what it is: solid evidence that when coaching is done right, the return is not a rounding error.
Why the coach's credentials matter
"Done right" depends a lot on who is doing the coaching. Anyone can call themselves a coach. A credential from the International Coaching Federation (ICF) means the coach has trained, logged real coaching hours, passed an exam and committed to a code of ethics. The PCC requires at least 500 hours of coaching experience, and the MCC requires at least 2,500.
Clients notice the difference. In ICF's 2022 Global Consumer Awareness Study, 55% of people who worked with a credentialed coach said they were very satisfied, compared with about 27% of those whose coach had no credential. And the controlled trial above found the quality of the coach–client relationship is one of the strongest drivers of results, which is exactly what experienced coaches are good at building.
Does your GM's coach need to have run a hotel? No. It helps, because less time goes to explaining the job. But a skilled, credentialed coach with real experience coaching senior leaders matters more than a hotel résumé.
Why the math works even better in a hotel
Hotels are people businesses. That's not a slogan, that's the P&L. A few numbers worth sitting with:
Managers drive at least 70% of the variance in employee engagement across business units, according to Gallup. In a hotel, the GM sets the tone for every department head, who sets it for every room attendant, line cook and front desk agent.
Replacing an employee costs one-half to two times their annual salary, and Gallup calls that a conservative estimate.
52% of employees who quit say their manager or company could have done something to keep them, and 51% say no leader talked with them about their job or future in the three months before they left (Gallup, 2019). Three months. Not one conversation.
About half of U.S. general managers changed jobs between the summer of 2020 and the end of 2022, according to Hotel Effectiveness data covering more than 6,000 properties. (Yes, that window includes the pandemic. It still stings.)
Now do the GM math. The Bureau of Labor Statistics puts the median pay for lodging managers at about $69,250 a year, and GMs at full-service and resort properties earn well above that. Say your GM makes $100,000. Using Gallup's range, losing them costs somewhere between $50,000 and $200,000. And that's before you count the director of sales who follows them out the door, the projects that stall, and the six months the new GM spends figuring out where everything is (and who everybody is).
A serious coaching engagement usually costs a fraction of one GM departure. If it keeps one good GM, or keeps that GM's leadership team together, it has paid for itself. That's the part no ROI study captures very well... the resignation that never happened.
When is executive coaching worth it for a GM?
From where I sit, these are the situations where coaching pays off the fastest:
The newly promoted GM. A great operator leading leaders for the first time. "Boss tells, employee does" worked fine as a department head. It does not work with an executive committee.
The GM who is the bottleneck. Every decision runs through their office. They're answering email at 11 p.m. and wondering why nobody steps up. (Spoiler: nobody steps up because nobody has to.)
The talented GM with a revolving door. Strong numbers, steady turnover in department heads. The exit interviews all say the same thing, politely.
The GM moving into a regional or area role. Running one building and running the people who run buildings are two different jobs. Most people get a new title and a bigger mileage budget, and that's about it.
The GM with a tough owner relationship. Owner calls that turn into debates. Budget season that turns into a war. You don't have to attend every argument you're invited to.
When is it NOT worth it?
Let me save you some money.
The GM doesn't want it. Coaching is not a punishment. If it's the last step before you let someone go, skip the coaching and have the honest conversation.
There's no goal. "Be a better leader" is not a goal. Delegating more, cutting department-head turnover, raising engagement scores, getting the GM out of the weekly forecast... those are goals.
Nobody measures anything. If you don't measure before, you can't prove anything after.
The coach isn't qualified. A pleasant video call with an unproven coach is, well, pleasant. Your GM deserves a credentialed coach (look for ICF PCC or MCC) with real experience coaching senior leaders.
How do you make sure coaching pays off?
Choose the coach carefully. Check credentials and experience, and let the GM meet the coach first. The relationship is a big part of what makes coaching work.
Listen to everyone else first. Start with stakeholder interviews and a 360 with the GM's boss, peers and direct reports. The leader is usually the worst source on the leader. (Me included. Especially me.)
Agree on success metrics up front. Two or three measures that the owner or regional, the GM and the coach all sign off on. They can track the GM's leadership, the team, or the property.
Practice on the job between sessions. The GM tries something in Tuesday's executive committee meeting and talks it through on Thursday. That's exactly what the 88% vs. 22.4% study shows: training plus follow-through beats training alone.
Check in at the midpoint. Re-interview, re-measure, adjust.
Ask for a guarantee. A coach who believes in the work should be willing to stand behind it.
That's how we run every engagement at Hospitality Leadership Coach (HLC). Our coaches hold ICF credentials, including PCC and MCC. We call our method D²E³: Discover, Design, Execute, Evaluate, Evolve. And every engagement carries our service guarantee.
Why it matters
Leadership positions are positions of trust. Trust from the people you lead. Trust from your guests. Trust given to you by the owners of the building. A GM who learns to lead people instead of policies doesn't just improve the P&L. They make a few hundred people's workdays better, and those people go home to their families.
Better people make better leaders. Better leaders run better hotels.
Invest in the GM. Keep the team.
If you have a GM who could use some help with their leadership, let me know. (Here's more on how we work with hotel teams.) And if you think I missed something, or you flat-out disagree, I'd love to hear it.
Frequently asked questions
Is executive coaching worth the money for a hotel general manager?
For most GMs, yes. Meta-analyses show coaching improves performance and well-being at work, ROI studies put the average return at roughly 5.7 to 7 times the cost, and in hotels the biggest return usually comes from keeping a GM and their leadership team.
What is the ROI of executive coaching?
The most-cited figures are a 5.7x average return (Manchester Consulting, 2001), a 7x median return with 86% of companies at least breaking even (ICF Global Coaching Client Study, 2009), and 529% to 788% in a Fortune 500 case study (MetrixGlobal). Most of these figures are self-reported, so treat them as strong evidence, not a promise.
What credentials should an executive coach have?
Look for an ICF credential. The Professional Certified Coach (PCC) requires at least 500 coaching hours and the Master Certified Coach (MCC) at least 2,500. In ICF's 2022 consumer study, clients of credentialed coaches were about twice as likely to be very satisfied (55% vs. about 27%).
What's the difference between leadership training and executive coaching?
Training teaches the skill. Coaching makes it stick on the job. In one study, training alone raised manager productivity 22.4%, while training followed by one-on-one coaching raised it 88%.
How long does executive coaching take for a GM?
Most engagements run six to twelve months, enough time to set goals, practice on the job, measure progress at the midpoint and re-measure at the end.
Does a hotel GM's coach need hospitality experience?
No. It helps, because less time goes to explaining the job, but a skilled, credentialed coach with experience coaching senior leaders matters more.
Sources
Jones, R. J., Woods, S. A., & Guillaume, Y. R. F., "The effectiveness of workplace coaching: A meta-analysis of learning and performance outcomes from coaching," Journal of Occupational and Organizational Psychology (2016)
Theeboom, T., Beersma, B., & van Vianen, A. E. M., "Does coaching work? A meta-analysis on the effects of coaching on individual level outcomes in an organizational context," Journal of Positive Psychology (2014)
de Haan, E., Gray, D. E., & Bonneywell, S., "Executive coaching outcome research in a field setting: A near-randomized controlled trial study in a global healthcare corporation," Academy of Management Learning & Education (2019)
International Coach Federation, ICF Global Coaching Client Study (conducted by PwC and Association Resource Centre, 2009)
International Coaching Federation, 2022 ICF Global Consumer Awareness Study, as reported by ICF
McGovern et al., "Maximizing the Impact of Executive Coaching," The Manchester Review (2001)
Anderson, M. C., Executive Briefing: Case Study on the Return on Investment of Executive Coaching, MetrixGlobal LLC
Olivero, G., Bane, K. D., & Kopelman, R. E., "Executive Coaching as a Transfer of Training Tool: Effects on Productivity in a Public Agency," Public Personnel Management (1997)
Gallup, "Managers Account for 70% of Variance in Employee Engagement"
Gallup, "This Fixable Problem Costs U.S. Businesses $1 Trillion" (2019)
Mogelonsky, A. & L., "Fixing These Hidden Labor Costs Using Big Data," eHotelier Insights (2023), citing Hotel Effectiveness data
U.S. Bureau of Labor Statistics, Occupational Outlook Handbook, Lodging Managers (May 2025 wage data)
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