CELC Measuring Coaching ROI 3 — Questions and Answers
Question 1: In ROI evaluation, 'intangible benefits' are best defined as:
- Benefits that are too costly or impractical to convert to monetary values (Correct answer)
- Benefits that cannot be observed or reported by participants
- Benefits that occur more than one year after coaching ends
- Benefits that only affect the coachee and not the organization
Correct answer: Benefits that are too costly or impractical to convert to monetary values
Intangibles are real, measurable outcomes (e.g., improved morale) that practitioners choose not to monetize due to conversion difficulty or cost.
Question 2: Which evaluation approach uses a matched comparison group that did not receive coaching to help isolate coaching's effect?
- Pre/post self-assessment
- Control group design (Correct answer)
- Manager observation log
- Time-series analysis
Correct answer: Control group design
A control group that mirrors the coached group but receives no coaching allows direct attribution of performance differences to the coaching intervention.
Question 3: According to the Phillips model, at which evaluation level is data collected on actual workplace behavior change after coaching?
- Level 1 – Reaction
- Level 2 – Learning
- Level 3 – Application (Correct answer)
- Level 4 – Impact
Correct answer: Level 3 – Application
Level 3 (Application and Implementation) measures whether coachees apply new skills and behaviors on the job.
Question 4: A coaching program reduced voluntary executive turnover by 5 executives. If each replacement costs $150,000, what is the benefit attributable to reduced turnover?
- $150,000
- $750,000 (Correct answer)
- $30,000
- $1,500,000
Correct answer: $750,000
5 executives × $150,000 replacement cost each = $750,000 in avoided costs.
Question 5: Which of the following is an example of a 'leading indicator' used in coaching ROI measurement?
- Annual revenue growth reported at fiscal year-end
- Employee engagement survey scores collected mid-program (Correct answer)
- Promotion rates tracked over three years post-coaching
- Board satisfaction ratings at program completion
Correct answer: Employee engagement survey scores collected mid-program
Leading indicators like engagement scores predict future business results and are collected during the program, enabling early course corrections.
Question 6: When a coach applies a 'confidence adjustment' to participant-estimated benefits, the purpose is to:
- Increase the reported ROI to impress stakeholders
- Reduce bias by discounting estimates to reflect uncertainty (Correct answer)
- Convert qualitative data into quantitative scores
- Standardize benefits across different coaching modalities
Correct answer: Reduce bias by discounting estimates to reflect uncertainty
Applying the participant's own confidence percentage to their estimate is a conservative adjustment that accounts for over-reporting bias.
Question 7: Which cost category should be included when calculating the fully loaded cost of a coaching program?
- Coach fees only
- Coach fees plus participant lost-productivity time (Correct answer)
- Participant salary only
- Administrative overhead only
Correct answer: Coach fees plus participant lost-productivity time
Fully loaded costs include all direct costs (fees, materials) AND indirect costs such as participant time away from productive work.
In ROI evaluation, 'intangible benefits' are best defined as: