KLE Society’s Degree College, BBA Department 2023

UNIT 3- EMOTIONAL INTELLIGENCE

Emotional intelligence (EI) refers to the ability to perceive, control, and evaluate emotions. The
researchers suggest that emotional intelligence can be learned and strengthened, while others claim
it's an inborn characteristic.

Emotional intelligence is the ability to identify, use, understand, and manage emotions in positive
ways to relieve stress, communicate effectively, empathize with others, overcome challenges, and
defuse conflict. Emotional intelligence impacts many different aspects of your daily life, such as the
way you behave and the way you interact with others

IMPORTANCE OF EMOTIONAL INTELLIGENCE IN LEADERSHIP

1. Perceiving emotions: The first step in understanding emotions is to perceive them accurately In
many cases, this might involve understanding nonverbal signals such as body language and
facial expressions.
2. Reasoning with emotions: The next step involves using emotions to promote thinking and
cognitive activity. Emotions help prioritize what we pay attention and react to; we respond
emotionally to things that garner our attention.
3. Understanding emotions: The emotions that we perceive can carry a wide variety of meanings.
If someone is expressing angry emotions, the observer must interpret the cause of the person's
anger and what it could mean.

COMPONENTS OF EMOTIONAL INTELLIGENCE:

1. Self-awareness: People with high emotional intelligence are usually very self-aware. They
understand their emotion, and because of this, they don't let their feelings rule them. They are
confident- because they trust their intuition and don't let their emotions get out of control.
2. Self-management: This is the ability to control emotions and impulses. People who self
regulate typically don't allow themselves to become too angry or jealous, and they don't make
impulsive, careless decisions.
3. Social awareness: You can understand the emotions, needs, and concerns of other people, pick
up on emotional cues, feel comfortable socially, and recognize the power dynamics in a group
or organization.
4. Empathy: This is perhaps the second-most important element of emotional intelligence.
Empathy is the ability to identify with and understand the wants, needs, and viewpoints of those
around you. People with empathy are good at recognizing the feelings of others, even when
those feelings may not be obvious.
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5. Motivation: People with a high degree of emotional intelligence are usually motivated. They're
willing to defer immediate results for long-term success. They're highly productive, love a
challenge, and are very effective in.
6. Social Skills: Leaders who do well in the social skills element of emotional intelligence are
great communicators. They're just as open to hearing bad news as good news, and they're expert
at getting their team to support them and be excited about a new mission or project.

EMOTIONAL COMPETENCE FRAMEWORK:

1. PERSONAL COMPETENCE:
a. Emotional awareness: Recognizing one's emotions and their effects. People with this
competence:
• Know which emotions they are feeling and why
• Realize the links between their feelings and what they think, do, and say
• Recognize how their feelings affect their performance
• Have a guiding awareness of their values and goals
b. Accurate self-assessment: Knowing one's strengths and limits. People with this
competence are:
• Aware of their strengths and weaknesses
• Reflective, learning from experience
• Open to candid feedback, new perspectives, continuous learning, and self-
development
• Able to show a sense of humor and perspective about themselves
c. Self-confidence: Sureness about one's self-worth and capabilities. People with this
competence:
• Present themselves with self-assurance; have "presence"
• Can voice views that are unpopular and go out on a limb for what is right
• Are decisive, able to make sound decisions despite uncertainties and pressures
 KLE Society’s Degree College, BBA Department 2023
2. SELF-REGULATION:
a. Self-control: Managing disruptive emotions and impulses. People with this competence:
• Manage their impulsive feelings and distressing emotions well
• Stay composed, positive, and unflappable even in trying moments
• Think clearly and stay focused under pressure
b. Trustworthiness: Maintaining standards of honesty and integrity. People with this
competence:
• Act ethically and are above reproach
• Build trust through their reliability and authenticity
• Admit their own mistakes and confront unethical actions in others
• Take tough, principled stands even if they are unpopular
c. Conscientiousness: Taking responsibility for personal performance. People with this
competence:
• Meet commitments and keep promises
• Hold themselves accountable for meeting their objectives
• Are organized and careful in their work
d. Adaptability: Flexibility in handling change. People with this competence:
▪ Smoothly handle multiple demands, shifting priorities, and rapid change
▪ Adapt their responses and tactics to fit fluid circumstances
▪ Are flexible in how they see events
e. Innovativeness: Being comfortable with and open to novel ideas and new information.
People with this competence:
• Seek out fresh ideas from a wide variety of sources
• Entertain original solutions to problems
• Generate new ideas
• Take fresh perspectives and risks in their thinking
3. SELF MOTIVATION:
Achievement drive: Striving to improve or meet a standard of excellence. People with this
competence:
• Are results-oriented, with a high drive to meet their objectives and standards
• Set challenging goals and take calculated risks
• Pursue information to reduce uncertainty and find ways to do better
• Learn how to improve their performance
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Commitment: Aligning with the goals of the group or organization. People with this
competence:
• Readily make personal or group sacrifices to meet a larger organizational goal
• Find a sense of purpose in the larger mission
• Use the group's core values in making decisions and clarifying choices
• Actively seek out opportunities to fulfil the group's mission

Initiative: Readiness to act on opportunities. People with this competence:

• Are ready to seize opportunities

• Pursue goals beyond what's required or expected of them
• Cut through red tape and bend the rules when necessary to get the job done
• Mobilize others through unusual, enterprising efforts

Optimism: Persistence in pursuing goals despite obstacles and setbacks. People with this
competence:

▪ Persist in seeking goals despite obstacles and setbacks

▪ Operate from hope of success rather than fear of failure
▪ See setbacks as due to manageable circumstance rather than a personal flaw Social
Competence
4. SOCIAL AWARENESS:
Empathy: Sensing others feelings and perspective, and taking an active interest in their
concerns. People with this competence:
• Are attentive to emotional cues and listen well
• Show sensitivity and understand others perspectives
• Help out based on understanding other people's needs and feelings
Service orientation: Anticipating, recognizing, and meeting customers needs. People with
this competence:
• Understand customers needs and match them to services or products
• Seek ways to increase customers satisfaction and loyalty
• Gladly offer appropriate assistance
• Grasp a customers perspective, acting as a trusted advisor
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Developing others: Sensing what others need in order to develop, and bolstering their
abilities. People with this competence:
▪ Acknowledge and reward people's strengths, accomplishments, and development
▪ Offer useful feedback and identify people's needs for development
▪ Mentor, give timely coaching, and offer assignments that challenge and grow a
person's skills.

Leveraging diversity: Cultivating opportunities through diverse people. People with this
competence:

• Respect and relate well to people from varied backgrounds

• Understand diverse worldviews and are sensitive to group differences
• See diversity as opportunity, creating an environment where diverse people can
thrive
• Challenge bias and intolerance

Political awareness: Reading a group's emotional currents and power relationships. People
with this competence:

▪ Accurately read key power relationships

▪ Detect crucial social networks
▪ Understand the forces that shape views and actions of clients, customers, or
competitors
▪ Accurately read situations and organizational and external realities
5. SOCIAL SKILLS
Influence: Wielding effective tactics for persuasion. People with this competence:
Are skilled at persuasion
• Fine-tune presentations to appeal to the listener
• Use complex strategies like indirect influence to build consensus and support
• Orchestrate dramatic events to effectively make a point
Communication: Sending clear and convincing messages. People with this competence:
• Are effective in give-and-take, registering emotional cues in attuning their message
• Deal with difficult issues straightforwardly
• Listen well, seek mutual understanding, and welcome sharing of information fully
• Foster open communication and stay receptive to bad news as well as good
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Leadership: Inspiring and guiding groups and people. People with this competence:
• Articulate and arouse enthusiasm for a shared vision and mission
• Step forward to lead as needed, regardless of position
• Guide the performance of others while holding them accountable
• Lead by example

Change catalyst: Initiating or managing change. People with this competence:

• Recognize the need for change and remove barriers

• Challenge the status quo to acknowledge the need for change
• Champion the change and enlist others in its pursuit
• Model the change expected of others

Conflict management: Negotiating and resolving disagreements. People with this

competence:

• Handle difficult people and tense situations with diplomacy and tact
• Spot potential conflict, bring disagreements into the open, and help deescalate
• Encourage debate and open discussion
• Orchestrate win-win solutions

Building bonds: Nurturing instrumental relationships. People with this competence:

• Cultivate and maintain extensive informal networks

• Seek out relationships that are mutually beneficial
• Build rapport and keep others in the loop
• Make and maintain personal friendships among work associates

BENEFITS OF EMOTIONAL INTELLIGENCE:

1. It allows for better team work: Teams with emotionally intelligent members are great at
working together. They have good communication, trust each other, and value each other's
input. When someone makes a suggestion, they're able to respond in a positive and
productive way.
2. You can deal with change: Not many people like change, but Emotional intelligence gives
you the tools you need to deal with any change that comes your way. In the workplace,
many people often face change with a negative attitude and crossed arms; but an
emotionally intelligent person will be much more positive and can inspire other team
members to feel the same way.
 KLE Society’s Degree College, BBA Department 2023
3. You can handle those tough conversations: Whether it's an angry customer or an upset
employee, difficult conversations can stir up all sorts of emotions.
4. It's an essential people skill: Emotional intelligence allows you to quickly build trust with
people, as well as a rapport.
5. It's a key feature of a strong leader: Great leaders understand people; they know how they
work, how to influence them, and how to inspire them. Emotional intelligence will help you
to achieve this understanding in order to be a brilliant leader and guide your team in the
right direction.

STRATEGIES TO IMPROVE EMOTIONAL INTELLIGENCE:

1. Utilize an assertive style of communicating: Assertive communication goes a long way

toward earning respect without coming across as too aggressive or too passive. Emotionally
intelligent people know how to communicate their opinions and needs in a direct way while
still respecting others.
2. Respond instead of reacting to conflict: During instances of conflict, emotional outbursts
and feelings of anger are common. The emotionally intelligent person knows how to stay
calm during stressful situations. They don't make impulsive decisions that can lead to even
bigger problems.
3. Utilize active listening skills: In conversations, emotionally intelligent people listen for
clarity instead of just waiting for their turn to speak. They make sure they understand what
is being said before responding. They also pay attention to the nonverbal details of a
conversation.
4. Be motivated: Emotionally intelligent people are self-motivated and their attitude motivates
others. They set goals and ar resilient in the face of challenges.
5. Practice ways to maintain a positive attitude: Don't underestimate the power of your
attitude. A negative attitude easily infects others if a person allows it to. Emotionally
intelligent people have an awareness ofthe moods of those around them and guard their
attitude accordingly.
6. Practice self-awareness: Emotionally intelligent people are self-aware and intuitive. They
are aware of their own emotions and how they can affect those around them.
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7. Take critique well: An important part of increasing your emotional intelligence is to be able
to take critique. Instead of getting offended or defensive, high EQ people take a few
moments to understand where the critique is coming from, how it is affecting others or their
own performance and how they can constructively resolve any issues.
8. Empathize with others: Emotionally intelligent people know how to empathize. They
understand that empathy is a trait that shows emotional strength, not weakness. Empathy
helps them to relate to others on a basic human level.
9. Utilize leadership skills: Emotionally intelligent people have excellent leadership skills.
They have high standards for themselves and set an example for others to follow. They take
initiative and have great decision making and problem-solving skills.
10. Be approachable and sociable: Emotionally intelligent people come off as approachable.
They smile and give off a positive presence. They utilize appropriate social skills based on
their relationship with whomever they are around.

CORPORATE STRATEGY:

Corporate Strategy is concerned with how companies, like Disney, create value across different
businesses. It takes as given the RC lessons on competitive strategy, and asks how the corporation
can add value over and above that which a business unit creates by it.

CORPORATE LEVEL STRATEGIES:

Corporate level strategy is concerned with the strategic decisions a business makes that affects the
entire organization. Financial performance mergers and acquisitions, human resource management
and allocation of resources are considered part of corporate level strategy.

1. Value-Creating Strategy
A value-creating strategy is one in which the business seeks to edge out its competitors by gaining more
market share. These strategies seek to add real and perceived value to the business, products and services by
exploiting economies of scope - the resources and capabilities of the business that can be shared across the
entire organization to reduce costs and increase efficiency.

2. Value-Neutral Strategy

A business can employ a value-neutral strategy when the organization isn't so much concerned
with allocating resources and manpower as it is with securing its current place within the market In essence,
value-neutral strategy helps shore up the business operations plan.
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3. Value-Reducing Strategy

Businesses also sometimes engage in value-reducing strategies. This happens on an

organization-wide level when the stakeholders or customers perceive that the business is getting too big for its
britches or that only the top-level executives are benefiting from diversification.

INTERNATIONAL CORPORATE LEVEL STRATEGIES:

1. Multi Domestic Strategy

Multi domestic strategy and operating decisions are decentralized to strategic business units (SBU) in each
country. Examples: One of the nations most popular hamburger chains is an example of a multi domestic strategy.
The company researches each country's local customs and foods before creating its menu items and opening
up a store. For example, the restaurants stores in India do not sell any sandwiches made with beef, since the
Indian culture sees cows as sacred.

2. Global Strategy
Global strategy products are standardized across national markets. Example: GE, Apple, Sony and Gillette
pursue a global strategy by competing in all markets, providing the same product for each market, strong
centralized control, identifying customer needs and wants across international.
3. Transactional Strategy
Transnational strategy seeks to achieve both global efficiency and local responsiveness, Example:
A very well-known cola soft drink is one example of a transnational product. This company's beverage
recipe is kept secret and has not changed in many years. The product is sold in over 200 countries
worldwide, and this beverage company retains exactly the same beverage formulation in each country.

Business Strategy: Emotional Intelligent Leadership

Emotional intelligence in leadership:
Emotional intelligence in leadership is referred to as the ability to understand and manage one's emotions,
as well as recognize and control others' emotions and perspectives.
1. Emotional intelligence is necessary for good leadership: An authority on emotional
intelligence in the workplace, notes that In matter what leaders set out to do whether it's creating a
strategy or mobilizing teams to action their success depends on how they do it.
2. Emotional intelligence helps leaders to adapt: Emotional intelligence is a key leadership skill—
and for a leader to truly be effective, they must be masterful at managing their relationships in a positive
way. Being a leader of a group of people is to have a very important relationship with those people.
 KLE Society’s Degree College, BBA Department 2023
3. Great leaders dramatically improve their teams and organizations: When it comes to the
workplace, and especially business, the bottom line is crucial and managers and executives are often
held responsible for successes and failures.

Here are a few that are most related to emotional intelligence.

a) They work to inspire and motivate those around them

b) They focus on collaboration between team members, which creates synergy and a better experience for
employees

c) They "walk the talk," or act with integrity and honesty with every team member
d) They build trust, which stems from consistently acting with integrity and honesty
e) They develop and support others, and they always celebrate the successes of their employees and
encourage them to learn more and develop their skills
f) They always build relationships, which communicates that each team member is valued, and that their
concerns are important and will be addressed.
Emotional Intelligence in Leadership:
1. Self Awareness: If you're self-aware, you always know how you feel, and you know how your
emotions and your actions can affect the people around you. Being self-aware when you're
in a leadership 0 position also means having a clear picture of your strengths and weaknesses, and
it means behaving with humanity.
2. Self Regulation : Leaders who regulate themselves effectively rarely verbally attack others, make
rushed or emotional decisions, stereotype people, or compromise their values. Self-regulation is
all about staying in control.

Element of emotional intelligence:

a. Hold yourself accountable. If you tend to blame others when something goes wrong, stop.
Make a commitment to admit to your mistakes and to face the consequences, whatever they are.
You'll probably sleep better at night, and you'll quickly earn the respect of those around you.
b. Practice being calm. The next time you're in a challenging situation, be very aware of bow
you act. Do you relieve your stress by shouting at someone else? Practice deep-;breathing
exercises to calm yourself. Also, try to write down all of the negative things you want to say, and
then rip it up and throw it away.
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3. Motivation: Self-motivated leaders work consistently toward their goals, and they have extremely
high Standards for their quality of work.
a. Know where you stand: Determine how motivated you are to lead. Our Leadership Motivation Assessment
can help you see clearly how motivated you are in your leadership role.
b. Be hopeful and find something good: Motivated leaders are usually optimistic, no matter what
problems they face. Adopting this mindset might take practice, but it's well worth the effort.
4. Empathy: For leaders, having empathy is critical to managing a successful team or organization.
Leaders with empathy have the ability to put themselves in someone else's situation. They help develop
the people on their team, challenge others who are acting unfairly, give constructive feedback, and
listen to those who need it.
a) Put someone else's position. Ifs easy to support your own point of view. After all, ifs yours!
But take the time to look at situations from other people's perspectives. See our article on
Perceptual Positions for a useful technique for doing this.
b) Pay attention to body language. Perhaps when you listen to someone, you cross your arms,
move your feet back and forth, or bite your lip. This body language tells others how you really feel
about a situation, and the message you're giving isn't positive! Learning to read body language
can be a real asset in a leadership role, because you'll be better able to determine how someone truly
feels.
5. Social Skills: Leaders who do well in the social skills element of emotional intelligence
are great communicators. They're just as open to hearing bad news as good news, and they're
experts at getting their team to support them and be excited about a new mission or project
a. Learn conflict resolution. Leaders must know how to resolve conflicts between their team
members, customers, or vendors. Learning conflict resolution skills is vital if you want to succeed.
b. Improve your communication skills. How well do you communicate? Our communication
quiz will help you answer this question, and it will give useful feedback on what you can do to improve.
c. Leans how to praise others. As a leader, you can inspire the loyalty of your team simply by
giving praise when ifs earned. Learning how to praise others is a fine art, but well worth the
effort.