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Emotional Intelligence - Does it impact Bottom line ?

September 15, 2014

Business Case FOR  Emotional Intelligence 

 

Following research findings by Dr Cary Cherniss clearly implies "employing emotionally intelligent staff and/or training teams in emotionally intelligent competencies" directly impact profitability of Organisations.

 

  • L’Oreal found that those staff who tested strongly in emotional competence experienced 100% higher sales than average (Hay/McBer Research and Innovation Group 1997) 

 

  • When AT&T’s Bell Labs undertook Emotional Intelligence training over a seven year period research showed that participants experience :  

    • 10% increase in productivity immediately following the program,

    • 20% increase after 6 months 

    • 25% increase in the first year.

 

  • At an American insurance company, agents who tested strong in 5 of 8 key emotional competencies, sold twice as much insurance as those who tested average  

    • $114,000 per annum  versus $54,000 per annum
(Hay/McBer Research and Innovation Group 1997)

 

  • Sales people at Metlife who rated highly in the emotional competence of ‘learned optimism’ sold 37% more life insurance in first two years (Seligman 1990)

 

  • At a national consulting firm, the partners who scored above the median multiple emotional competencies delivered 139% more profit than the average - at a value of $1.2million (Boyatzis, 1999) 

 

  • In an article published by Harvard Business Review ‘How Bell Labs Creates Star Performers’ managers who undertook the training doubled their productivity against the control group.

 

     Reference : Dr Cary Cherniss, prepared for Emotional Intelligence in      

     Organizations 

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