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MNC Consulting Group Newsletter
March 2013
The Efficient Organization


EmotionalEQ Improves Productivity


Emotional intelligence (EQ) is the ability to perceive, control and evaluate emotions; not only one's own, but others' emotions, as well. Some researchers suggest that emotional intelligence can be learned and strengthened, while others disagree. Regardless, emotional intelligence is absolutely necessary for productivity. If you don't have solid EQ, you don't have good productivity.


To perceive emotions, one needs to understand nonverbal signals such as body language and facial expressions. Leaders who can read these signals are better able to prevent and diffuse problems. And when problems are prevented, productivity is not hindered.


Emotional intelligence also enables us to prioritize. Those who have well developed EQ are able to discriminate between the important and trivial. In fact, EQ is directly linked to performance. TalentSmart, a company specializing in EQ, tested emotional intelligence alongside 33 other important workplace skills, and found that emotional intelligence is the strongest predictor of performance, explaining a full 58% of success in all types of jobs. In short, focusing on the important promotes efficiency and productivity.


High EQ also helps us to interpret situations correctly. If you've ever seen your boss or co-worker angry, for example, how you react is directly related to your ability to read the situation. If you don't know the reason for the anger, you may react by worrying that the anger is about your work. This increases your anxiety and stress and reduces your productivity. But paying attention to cues about the behaviour or simply asking why the individual is angry is the way to go. In the one instance (worrying), emotional intelligence is low or unused, but in the latter (accurately interpreting cues), EQ is actively engaged.


Regulating your emotions and responding appropriately to situations allows you to maximize your efficiency and productivity. And beyond efficiency and productivity, your emotional intelligence impacts everything you say and do, since it is the foundation for critical skills. It is the strongest driver of leadership and personal excellence.

Pursuit of Profit
All Learning Has an Emotional Base


Plato said that all learning has an emotional base. Indeed, when one looks at performance of those with high IQs and those with average intelligence, there is a difference. A study in the mid-1990s discovered that people with average intelligence outperformed those with high intelligence 70% of the time. As researchers probed into the reasons why, they found that the difference was in emotional intelligence. Those with high EQ outperform those with high IQ.


What does this mean to individuals and organizations? One study found that 90% of top performers are also high in emotional intelligence (although 20% of bottom performers were also high in EQ, but this is not typical). Top performers make an average of $29,000 more per year than people with a low degree of emotional intelligence. In fact, for every point increase in emotional intelligence, there is an average $1,300 annual salary increase.


Organizations that engage their employees at the emotional level by teaching soft skills such as empathy, relationship management, anger management, etc., generally outperform organizations that focus only on the technical aspects of work. It's the soft skills that help employees improve their emotional intelligence and, in turn, improve the organization's performance.


There are five key skills to developing emotional intelligence and decision-making capabilities:

  1. Reducing stress
  2. Recognizing and managing emotions
  3. Connecting with others through nonverbal communication
  4. Using humour and play to deal with challenges
  5. Resolving conflicts positively


Each of these skills builds on the previous skill. By mastering stress reduction, you are better able to recognize and manage your emotions. And by recognizing and managing your emotions, you are better able to connect with others through nonverbal communication, etc. While each of these skills can be learned, the difference in emotional intelligence is in the application of the skills. To change behaviour, it is important to not only learn about it, but to practice the new skill every day. That is how emotional intelligence is developed.


Your ability to manage your emotions effectively is a key tenet of EQ. Ultimately, the higher your EQ, the better your ability to think before you act.


In My Humble Opinion (IMHO)


If you're good at hiding your emotions, you're not alone. In professional settings, I'm pretty good at not saying what I think (and for those of you high on the "F" on Myers-Briggs, let me re-phrase that: "I'm pretty good at not saying what I feel"). Interestingly, some might even mistake me for being low on EQ, but it turns out, that I'm actually quite high (on EQ, not on other stuff). I'd say that being good at not jumping to conclusions is a good indicator of high EQ. IMHO.


"How you react emotionally is a choice in any situation."

Judith Orloff

About MNC Consulting Group
Our goal is to help you to dramatically increase efficiencies that immediately boost your profit margins.


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Extreme Profits is a monthly electronic newsletter discussing how leaders can be more efficient and areas where organizations can save more money. 


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In This Issue
EQ Improves Productivity
All Learning Has an Emotional Base
In My Humble Opinion (IMHO)

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