Skip to main content

Criticality of Emotional Intelligence for business success


Starting a business is very tough and time-consuming and most entrepreneurs would vouch for the fact that it is both physically and psychologically draining experience. Only the most motivated, goal-oriented and passionate people can succeed in their ventures and dare we say most successful entrepreneurs have a high level of Emotional Intelligence/ Quotient (EI / EQ). 




But what is the relation between business success and EI?  Does a person with higher Intelligent Quotient (IQ) but lower EQ stand a better chance at succeeding in business or will a person with a higher EQ more often than not score over a person with higher IQ but lower EQ.




According to Travis Bradberry, co-founder of TalentSmart and author of bestselling book "Emotional Intelligence 2.0"; there is a direct co-relation between EI and success in the workplace. In his research, Bradberry found high emotional intelligence among 90 per cent of top performers, but in only 20 percent of bottom performers.
According to Bradberry, EI is composed of four core skills under two primary competencies

Ø Personal Competence:  Self-awareness and self-management skills. It focuses on your ability to be aware of your emotions and manage your own behavior and tendencies.
  •  Self Awareness: Recognizing your emotions as they build.
  • Self Management: Using awareness of your emotions to control your behavior.

Ø Social competence:  Social awareness and relationship management skills. It is your ability to understand other people’s moods, behavior and motives in order to respond effectively and improve the quality of your relationships.
  • Social Awareness: Perceiving others' emotions.
  • Relationship Management: Using awareness of others' emotions to manage interactions.
Emotional intelligence means to be sensitive and aware of other people's emotions and having the ability to intuitively facilitate improved performance based on this knowledge. It can help you identify when your team members are burnt out, frustrated or have feelings that could impact their work. It also helps to keep your own emotions in check.  EI gives you the most balanced perspective about your course of action thereby leading to higher productivity and better interaction with all the stakeholders.  After all, the ability to successfully interact with others is one of the essential factors for the long-term success of your company. Leaders must be able to communicate effectively and step out of their own emotional comfort zone so as to collaborate with others to take their companies on the path of success.  

Ø Emotional intelligence can be acquired and improved with practice


The best part about emotional intelligence is that people with low emotional intelligence need not despair.  Emotional intelligence can be acquired and improved with practice.  Improved EI also leads to better mental health. So EI not only influences your business results, but also impacts your happiness.  

In the book Making Sense of Emotional Intelligence,  Professors Malcolm Higgs and Victor Dulewicz who researched on EI say, “Investing in EI training improved individuals,’ EI by 18 percent…. Conservative estimates suggest that [this] would lead to a 150 percent increase in pre-tax profits.”

Business owners must keep in mind that their employees are people, who have their own lives, priorities and emotions which drive their thinking and actions.

After all, as an entrepreneur and a business leader you are not responsible just for yourself but are directly responsible for the success of your companies which can only be achieved by driving your employees with empathy and by understanding that your employees are humans first and workers second. 
No wonder Statistics from Harvard, Stanford, and Carnegie Foundation show that 85–87% of our success is due to emotional intelligence soft skills, and personal skills.

For more information please send a mail to vineet@outsourcedcmo.in or visit Outsourced CMO


Comments

  1. Thanks for sharing this blog; I have gotten lot of information about emotional intelligence. Keep posting!!

    ReplyDelete

Post a Comment

Popular posts from this blog

Why is digital marketing important for Medium and Small Enterprises ?

One of the key differentiators of the success of a business is the number of customers that it can reach as more customers mean more sales volume.   One of the technological innovations that helps a business in this direction is digital marketing . It is indeed a boon for MSMEs as it lets you reach your target audience with ease, simplicity and at very low cost. Cost is always a concern for most MSMEs. Why would anyone not want to use the power of the internet with over 3 billion users to further the cause of their own business? But it is a fact that deploying digital marketing for their own benefit seems a herculean task for many MSMEs as they feel that they are not adept nor attuned for the digital world, they also tend to think that they will not reach their target market or they simply do not have adequate information, lack sufficient human resource and tools to manage the digital world. Here is where organisations like Outsourced CMO can help these MSMEs bridge the

THINK AND GROW RICH - VISION PRECEDES SUCCESS

  All entrepreneurs start with an idea and a belief that their vision can have a massive impact. The vision is literally the workshop wherein are fashioned all plans created by the entrepreneur. The impulse, the desire, is given shape, form and action through the vision and mission statement derived from the imaginative faculty of the mind. Ideas are the beginning points of all fortunes. Ideas are the product of imagination. Whoever you are, wherever you may live, whatever occupation you may be engaged in, just remember in the future that any vast empire of wealth and influence grew out of a single idea mixed with the ingredient of a vision. If you are one of those who believe that hard work and honesty, alone, will bring riches, forget this thought! It is not true! Riches, when they come in huge quantities are never the result of hard work alone! Riches come in response to definite demands, based upon the application of definite principles, and not by chance or luck. All ma

Why should Startups look at unsuccessful entrepreneurs as business mentors?

Entrepreneurs, particularly startup entrepreneurs are risk takers. We do not conform to the norms of safe play but are always on the lookout to push the boundary of trade and commerce to develop new opportunities and markets sometimes even where none exist. We know that failure is the stepping stone to success and are not deterred by our own failures but press on towards our goal with single minded determination and take the help of people who have got the experience and calibre to help us. So why is it that we do not even think of taking the help of people who have done it and seen it all but were unable to achieve their goal . Yes we are talking about unsuccessful entrepreneurs! Anyone who embarks on the entrepreneurial journey dreams of his startup achieving great heights in the days to come but the unsavoury reality is that 90% of startups in India fail within the first 5 years. They fail not because of want of dedication, effort or enthusiasm but despi