Emotional intelligence and leadership are two unquestionable skills that every good leader needs to master. Knowing how to read a situation and act accordingly, searching for the best way to address others, is vital when it comes to building high-performance environments and teams.
In fact, emotional intelligence is becoming more and more important nowadays, and strong competition within the market requires that professionals not only have the necessary technical know-how, but also possess skills such as empathy, adaptability and resolution to better understand their team members, how to relate to them and identify their needs, thus achieving enhanced communications and greater productivity.
Do you want to know why is emotional intelligence important in the workplace and how it can impact day-to-day performance? Let us explain all.
According to Daniel Goleman, a psychologist and proponent of the concept of emotional intelligence, emotional intelligence consists of:
Do you still wonder why emotional intelligence is important in the workplace? It's safe to say that emotional intelligence has become one of the most valued leadership characteristics in the 21st century, no matter the field or context. In fact, we can currently point to several CEOs and senior post-holders who demonstrate just how vital it is to possess this ability to lead successfully.
One example is Elon Musk, the CEO of Tesla and SpaceX, for whom the safety and well-being of all employees comes first. That's why he personally takes charge of every safety incident that arises in his factories, going to the site of the accident in person to check first-hand what might have gone wrong. He also gets involved when it comes to looking after employees who have suffered injuries.
Another excellent example of emotional intelligence at work is Indra Nooyi, the former CEO of Pepsi. Indra sent thank-you notes to the parents of her executives. This deed triggered widespread satisfaction and happiness among her employees, with some even declaring it the best thing to ever happen to them. Thanks to this and other gestures of gratitude, loyalty and humanity, Nooyi achieved an internal approval rating of 75%, while PepsiCo sales increased by as much as 80 % in the last 12 years.
Emotional intelligence isn’t about controlling our emotions, but rather knowing how to deal with situations in which uncontrollable emotions arise, using techniques and strategies that allow us to reflect and consider the best option moving forward.
Daniel Goleman himself explains that, despite popular belief, intellectual intelligence (IQ) only accounts for 20% of a person's success. The other 80% is down to emotional intelligence (EI). Meanwhile, according to a study by Capgemini, productivity can increase by up to 20% when team members harness emotional intelligence correctly.
If we consider our own emotions, at any point in our daily routines we might experience various moods, including anger, rage, distrust, sadness, euphoria and helplessness etc, all stemming from relationships with others in the work environment. And that is the reason why emotional intelligence is important in the workplace.
In this sense, there are various techniques to help improve emotional intelligence and leadership at work:
By deploying these or other techniques, such as mental rehearsal, thought regulation, or logical reasoning, we can really hone our emotional intelligence. In this way, we can build up experience that slowly integrates itself into every single one of our decisions, when reacting to both our own feelings and those of others.
Recent research has shown that there is a close relationship between emotional intelligence, leadership and job performance. Likewise, studies show that, in general, women tend to score higher in fields such as empathy, interpersonal relationships and social responsibility, as explained by the book Leadership. The power of emotional intelligence, by Daniel Goleman.
Indeed, Indra Nooyi stressed the importance of not neglecting the feelings of others as a basic element of good leadership, mentioning that "just because you are CEO, don't think you have landed. You must continually increase your learning, the way you think, and the way you approach the organization".
Another great leader, Jacinda Ardern, the former Prime Minister of New Zealand, demonstrated her emotional intelligence and leadership skills in her handling of the Covid-19 pandemic. Among the measures she took, she decided to reduce her salary and that of her ministers by 20%. She was also keen to ensure that confinement was strictly complied with for the good of the citizens, and in a show of empathy and inspiration, revealed that she too was working from home.
This was not the first time that Jacinda Ardern had demonstrated her mastery of emotional intelligence techniques. In the wake of the terrorist attack the country suffered in 2019, Ardern put herself at the forefront of the situation by showing empathy with all those affected, at the same time clearly and resolutely condemning terrorist acts, without resorting to hatred or anger, inspiring the whole country to work together and get ahead.
Meanwhile, the former New Zealand prime minister also shows her more personal side on Instagram, where she combines official messages with other posts related to her day-to-day activity, offering a more approachable and human perspective of her work.
Why is emotional intelligence important in the workplace? Because it can increase team productivity and performance, as demonstrated by the examples seen above, in which the senior managers of large organisations apply emotional intelligence techniques to increase employee satisfaction.
Female leadership has been at the forefront of this field in recent decades, bringing emotional intelligence into the business world and promoting very positive attitudes, which has revealed emotional intelligence to be a useful tool to create successful teams.
In short, developing emotional intelligence skills, techniques and know-how is extremely important for both present and future leaders. That’s why, Banco Santander, in collaboration with The London School of Economics and Political Science, one of the world’s most prestigious educational institutions in the fields of economics and business, launches 1,000 Santander Open Academy | MBA Essentials 2023 – LSE.
In this ten-week, 100% online certificate course, designed so that you can complete it at your own pace, you will quickly and practically learn the essential business skills to make better decisions and achieve greater impact within your organisation. The programme is offered in English, Spanish and Brazilian Portuguese.
This is a unique opportunity to take an in-depth look at the three pillars of business management and leadership taught in an MBA: strategy, finance and leading teams. Additionally, you will be supported by the best mentors and facilitators from the LSE and you will be able to interact with your peers via weekly forums and group dynamics. The course has no cost for the beneficiaries and it is not necessary to have a university degree, nor to be a Banco Santander customer.
Do you want to play a more relevant role in decision-making in your professional environment? Sign up for Santander Open Academy | MBA Essentials 2023 – LSE and whether you get it or not, never stop learning.