The Data is inā€“Emotional IntelligenceĀ Yields Significant ROI
Increasing emotional intelligence levels is a game-changer for leaders, teams, and organizations.
When comparing employee engagement levels, Gallup found that the top- and bottom-quartile business units and teams had the following differences in business outcomes:*
- 81% in absenteeism
- 58% in patient safety incidents (mortality and falls)
- 18% in turnover for high-turnover organizations
- 43% in turnover for low-turnover organizations
- 28% in shrinkage (theft)
- 64% in safety incidents (accidents)
- 41% in quality (defects)
- 10% in customer loyalty/engagement
- 18% in productivity (sales)
- 23% in profitability
With engagement levels being the driver—can you guess what the largest direct contributor to employee engagement is?
According to Gallup, the answer is managers. These key individuals account for a staggering 70% of employee engagement variance.
Organizations with high engagement earn 3.9 times more per share than organizations with varied engagement results.
A study conducted by Ph.D., Daniel Goleman, author of Emotional Intelligence, found that 90% of the difference between average and outstanding managers can be accounted for by emotional intelligence.
It's simple really—Emotionally intelligent managers are game changers for engagement.
Managers with well-developed emotional intelligence outperformed yearly revenue targets by an astounding 15-20% (Pepsico.com).
A Gallup study also found that employees who had managers with high EI were 4 times less likely to leave.
Yet another study found that executives who lacked EI were rarely rated as outstanding in their annual performance review and that their divisions underperformed by an average of almost 20%.
There are countless studies supporting the fact that emotional intelligence at work matters.
Organizations and individuals that choose to ignore these facts risk becoming obsolete.
