making the case for increasing ei

Making the Case For Increasing Emotional Intelligence in Your

OrganizationOlivier Madel-Felicite

olivier@infuseeq.com

Acme Financial ServicesWanted: Sales Manager

The Candidates

Carlos Meagan

Carlos

Sales Associate

5 years sales experience

Consistently makes his quotas

Self starter, works independently

Good relationship with clients

Sometimes sets unrealistic goals

Not always a team player

Carlos loves sales

Described as a hunter

Well organized

Solves problems on his ownCarlos

Meagan

Sales Associate

4 years sales experience

Has not consistently made quotas

More of a team player

Good relationship with clients

Doesn’t overextend herself

Uses peer networks well

Meagan prefers the service side of sales

Good at cultivating relationships

Good organizational skills

Consults with others when working on problems

Meagan

What’s Emotional IntelligenceGot To Do With It?

Defining Emotional Intelligence

Emotional Intelligence Defined

• The ability to identify and manage emotional information in oneself and in others.

• The ability to focus emotional energy on required behaviors to get things done.

Stein, S.J., Mann, D., Papadogiannis, P. & Gordon, W., (2009), Emotional Intelligence Skills Assessment (EISA), Pfeiffer: San Francisco

Selection

Development

Leadership

Selection

US Air Force: The Problem

Recruiter turnover = 50% per year

Results of USAF Study

• Retention improved by 92%

• Cost savings over $2,700,000

• Savings in human costs

• High performers:– Worked fewer hours– Reported happier marriages

Sales Associates:American Express

Star Performer Analysis (SPA)

95 100 105 110 115

Total EQ-i

Low Perform ers High Perform ers

Case Study: American Express

Top Sales Associates at American Express Score

Higher on EQ-i

95 100 105 110 115

Total EQ-i

High Sales High Client Satisfaction

Low Perform ance-Com bined Metric High Perform ance-Com bined Metric

Closer Look at High Performance

80

90

100

110

120

Both High High CS High SG Both Low

Star Performer Analysis (SPA)

Leadership

Sales

Customer Service

Technical

Financial services

Insurance

Retail

Manufacturing

Hospitality

Airlines

Reality Shows

Development

Training Coaching

American Express Financial Services Emotional Competence Study

• Two groups:– 12 hours of emotional competence training– No training

• Training group increased overall sales: – 10% more than control group, and – 16% more than sales reps across the company

• Life insurance sales improved 20% more than control sites

• Result = estimated to have produced millions of dollars in increased sales

Leadership

The Study

186 CEO’s from YPO and IA

Completed EQ-i, company financial information, and Perception of Business Challenges Questionnaire

The Results

CEO’s scored higher in 8 of 15 EQ scales than general public

1

The Results

High profit company CEO’s had higher:

Companies were divided into High Profit and Lower Profit

2

Empathy Self-regard

Reality testing

Problem solving

The Results2

We could correctly predict a CEO’s profitability category 87% of the time based on EQ-i score

The Results3

Higher EQ CEO’s reported being less challenged by:

Managing growth

Managing people Training employees

Employee retention

Four Pillars of Leadership and EI

Based on research by:

Marian Ruderman, Ph.D.Center for Creative Leadership, Geensboro, NC

Sample = 302 senior managers and leaders

Ruderman, M.N., Hannum, K., Leslie, J.B., & Steed J.L. (2001). Leadership skills and emotionalintelligence. Greensboro, N.C: Center for Creative Leadership

Being Centered and Grounded

• Knowing your strengths and weaknesses

• Sense of control• Balance work & life• Straightforward• Related to:

– Social Responsibility– Stress Tolerance– Impulse Control– Optimism

Using a Participative Management Style

• Interpersonal relationship skills• Engages others through listening and

communication• Ability to form alliances and partnerships• Puts others at ease• Empowers others• Related to:

– Empathy– Social Responsibility– Interpersonal Relationships– Impulse Control– Happiness

Having the Ability to Take Action

• Willingness and ability to take action

• Seeks advice but acts independently

• Feels secure in decision making

• Make good decisions

• Related to:– Assertiveness

– Independence

– Optimism

Being Tough-Minded

• Shows resiliency• Perseveres in overcoming

challenges• Able to handle pressure• Related to:

– Self Regard– Stress Tolerance– Impulse Control

Who Do We Hire?

Carlos Meagan

Vote For Sales Manager

• Carlos

• Meagan

Who Did We Hire?

Carlos Meagan

Interpersonal Relationships Reality Testing

“A leader's intelligence has to have a strong emotional

component. He has to have high levels of self-awareness, maturity and self-control. She must be able to withstand the heat, handle setbacks and, when those lucky moments arise, enjoy success with equal parts of joy and humility. No doubt emotional intelligence is more rare than book smarts, but my experience says it is actually more important in the making of a leader. You just can't ignore it.”

-Jack Welchformer chairman and CEO of General Electric Co.

Thank You

Olivier Madel-Feliciteolivier@infuseeq.com