Recent research highlights how emotionally intelligent managers not only create pleasant workplaces but also enhance company profitability and customer satisfaction.
- Managers demonstrating empathy and social skills lead to higher profits and customer satisfaction.
- Interview-based research links a 10% rise in managers’ emotional intelligence to a 7% increase in business performance.
- Emotionally intelligent leaders excel in conflict resolution, teamwork, and maintaining high morale.
- Organisations with such leaders show higher innovation rates, better adaptability, and increased overall success.
Recent research underscores the dual benefits of emotionally intelligent managers, who foster a more enjoyable workplace atmosphere while also significantly boosting a company’s financial performance. Managers who understand and empathize with their employees are credited with increasing both profits and customer satisfaction.
The study, conducted by Dr Bilal Zaghmout of York St John University, involved interviewing 150 managers and employees from 30 companies across the UK. The findings reveal that a 10% improvement in a manager’s emotional intelligence is associated with a corresponding 7% enhancement in overall business performance, including profitability.
Dr Zaghmout presented these findings at the British Academy of Management conference, highlighting that higher emotional intelligence in managers leads to markedly better individual and organisational outcomes. “Higher levels of emotional intelligence among managers significantly positively affected both individual and organisational performance,” he stated.
Managers proficient in emotional intelligence were observed to handle conflicts adeptly, promote effective teamwork, and sustain high employee morale. These skills foster increased employee engagement, reduced turnover, and enhanced productivity.
Businesses led by managers with high emotional intelligence report higher levels of innovation and adaptability to market shifts. Consequently, these companies achieve greater productivity, better innovation capacity, and enjoy happier customers, all contributing to increased revenue.
Dr Zaghmout’s research involved a diverse group of managers from various sectors, selected to reflect a broad spectrum of UK businesses. These managers rated their emotional awareness, understanding of others’ emotions, emotional management, and team influence on a scale of 1 to 7, linking these to performance metrics like revenue growth and customer satisfaction.
The study rigorously controlled for variables such as age, gender, industry, and company size to isolate the impact of emotional intelligence on business success.
High emotional intelligence in managers plays a vital role in driving organisational success and fostering a productive, satisfied workforce.
