Definition
Paul Hersey and Kenneth Blanchard in the late 1960s were the first to describe the coaching leadership style. In 2002, Daniel Goleman went on to document the coaching leader as one of his six leadership styles.
Coaching leaders clearly define roles and tasks of followers, but seeks their input and suggestions too. Decisions are still made by the leader, but the communication style is truly two-way.
Explanation
Coaching leaders are very effective in settings where performance or results need improvement. They help others to advance their skills; they build bench strength, and provide a lot of guidance. The coaching leadership style is most effective when followers are more responsible, experienced, and agreeable.
The coaching leader directs and guides; including providing encouragement and inspiration to help motivate the followers. They create a positive workplace environment; followers know exactly what's expected of them, and they understand the overall strategy of the company.