The Future of IBISWorld Industry

What does this industry offer to private-sector employers who want to develop the talents of their employees? IBISWorld Industry offers a wide range of services to private-sector employers. The services include employee management to enable employers to understand and address the needs of their diverse workforces thereby enhancing their productivity (IBISWorld, 2017). The industry also provides quality assurance training to help private sector employers to maintain the quality of their products and services (IBISWorld, 2017). It also offers business coaching including relevant information and knowledge related to employers’ areas of operation thereby making them informed and able to make informed decisions in their daily activities. The services are customized to meet specific employer needs and offered through the Internet, corporate premises, television, or learning institutions.

Discuss the future of the industry and its major strengths, challenges, and competitors

 IBISWorld Industry has a bright future. First thing, changing customer preferences, needs, tastes, and growing internet penetration in households favor carrying out services online. Therefore, private-sector employers will continue to seek the industry services to remain relevant in their respective areas of operation (IBISWorld, 2017). Similarly, a large number of individuals and employers continue to seek training services to develop their skills and make them productive or employable. As such, the industry is expected to continue to record strong growth.

The industry has some notable strengths including but not limited to the fact that it partially offers its services through technology thus not only reducing its operational cost but also making the services affordable (IBISWorld, 2017). IBISWorld’s Industry Report 61143 further indicate that the industry has a good reputation and adequate skilled workforce for researching and offering timely information for employer training thus making it stable (IBISWorld, 2017).

However, Business Coaching Industry experiences some challenges. First and foremost, the industry has a low capital intensity and high labor intensity implying that salaries and wages account for a high proportion of its revenue (IBISWorld, 2017). The other challenge is that coaches working in the industry comprise of highly skilled and accredited employees experienced in different areas in which they coach. Such employees require high salaries thus increasing industry’s labor expenditures. The Business Coaching sector also has low revenue volatility. According to IBISWorld (2017), most of the services offered in this industry are categorized as discretionary spending thus the revenue acquired is subject to changes based on the amount of corporate profit and dispensable income.     

There is also a growing competition in the Coaching Industry. Notably, advance in technology has made it flexible for potential new entrants since they can offer coaching services from their homes thus increasing competition for employers seeking the services. Some of the competitors include IACET for education and training and International Coach Federation (ICF) for business coaching (IBISWorld, 2017). Moreover, there is a high autonomy, independence, and little regulatory control of starting coaching firms in this industry. Therefore, there is a growing influx of new competitors.

As an HR Manager in Car Manufacturing Business, what might the business coaching industry provide for your business? Select two services you think are best to utilize for the organization and explain why they were chosen.

    IBISWorld provides a wide range of services suitable for HR Managers in Car Manufacturing Business. One of the areas is training on quality assurance. Some of the quality assurance services that the managers can best utilize include coaching on job satisfaction and motivation. Car manufacturing HR managers can speak to quality assurance specialists in the IBISWorld Industry for advice on what skills need to be included in QA training sessions and their value towards the achievement of the firm performance. Low job satisfaction and motivation can lead to high burnout and turnover (Fischer & Beimers, 2009). It costs more than three times to acquire a new worker than to retain the current one (Goodman, 2009). Moreover, the automotive industry is currently competitive. Further information from the training on QA will help to review car manufacturing procedures and policies, improve productivity, efficiency, and competitiveness to survive.

References

IBISWorld. (2017). Business coaching in the US. Retrieved from http://clients1.ibisworld.com/reports/us/industry/default.aspx?entid=1533

Goodman, J. A. (2009). Strategic customer service: Managing the customer experience to increase positive word of mouth, build loyalty, and maximize profits. New York: AMACOM.

Fischer, R. L., & Beimers, D. (2009). “Put me in, Coach”: A pilot evaluation of executive coaching in the nonprofit sector. Nonprofit Management and Leadership, 19(4), 507-522.