EQ Business Case 2010(2)

Manager EQ affects motivation, productivity, safety and performance

who display worry, frustration, and bewilderment undermine the entrepreneurial motivation. 28 Incidentally, emotionally intelligent leaders are able to use a wide range of feelings effectively. In some situations a “bad mood” is more useful. For example, in the entrepreneur study above - Brundin, Patzelt, and Shepherd (2008) – the researches found that “negative moods” helped in certain high-risk situations where attention to detail is more critical. In another study, Elsbach and Barr (1999) found that people in negative moods use a more structured approach to decision-making which is effective in some problem-solving situations. 29 Productivity is also tied to the relationship between the individual and the workplace.

Almost a third of someone's productivity can be attributed to four "human" factors. 28% of productivity is predicted by the presence of useful feedback, choice in work, seeing the value of the work, and having a positive climate. 30 In other words, if emotional intelligence helps leaders understand and meet employee’s human needs, it will have a profound impact on productivity and individual success. Perhaps that's one reason why after a Motorola manufacturing facility used HeartMath's stress and EQ programs, 93% of employees had an increase in productivity. 31 Likewise, after supervisors in a manufacturing plant received training in emotional competencies, lost-time accidents were reduced by 50%, formal grievances were reduced from an average of 15 per year to 3 per year, and the plant exceeded productivity goals by $250,000. 32 The growing base of research consistently finds a powerful relationship between emotional intelligence and leadership effectiveness. It is not surprising, then, that experts propose that EQ may be the key to advanced understanding of leadership and social influence. 33

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