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The Role of Emotional Intelligence in Organization Development 49

The Role of Emotional Intelligence in Organization Development

© 2014 IUP. All Rights Reserved.

Sangeeta Yadav*

In the fast changing corporate world, employees need to adapt themselves and their ways of working to organizational changes. Organizations are no longer dependent only on people who voice out their opinions. The management leadership has learnt the SMART way to evaluate the performance of an individual considering various dimensions and emotional intelligence. In an era of corporate diversity, emotional competence is the trait that is most needed. The understanding and creation of ideal self is the first step towards achieving emotional competence. The next important objective is taking stock of one’s real self, a balance sheet of one’s strengths and weaknesses. Emotional intelligence plays a prominent role in intelligent decision making. Goleman (2001) found that the emotionally competent individual encounters significantly less perceived stress than the emotionally incompetent. People have different abilities when it comes to dealing with emotions just like they have different abilities in language, logic, mathematics, music, etc. The ability to use one’s emotions in a positive and constructive way in relationship with others is emotional intelligence. To appraise people and to determine the capabilities of an individual, today’s leadership is banking on emotional intelligence. The present paper examines the role of emotional intelligence in the development of an organization.

* Lecturer, Department of Management Studies, CMR Institute of Technology, Bengaluru, Karnataka, India. E-mail: [email protected]

Introduction In today’s world, people who do not adapt to changes may find themselves headed for extinction. At the same time, every person should realize what his strengths and capabilities are. “In a moment of decision the best thing one can do is the right thing. The worst thing one also can do is nothing” (Theodore Roosevelt). Various prominent authors and gurus, including Peter Drucker, have stressed that self-actualization and teamwork are the backbone of a long-lasting and strong management. Having great intellectual abilities may make you a superb fiscal analyst or legal scholar, but highly developed emotional intelligence will make you a candidate for CEO or a brilliant lawyer (Goleman, 1995). Elias (1997) opines that emotional intelligence is the ability to understand and express your emotions to meet the requirements of day-to-day living, learning and relating to others. Emotional intelligence has an impact on self-efficacy through its influence on emotions involved in reacting to important workplace outcomes as highlighted by Gundlach (2003).

The term emotional intelligence draws on two simple concepts: to be intelligent or ‘applying knowledge appropriately’; and to be ‘emotionally astute’ or tuned in or ‘applying feeling appropriately’. This paper looks at the application of knowledge and feelings on a

The IUP Journal of Knowledge Management, Vol. XII, No. 4, 201450

combined or balanced basis or in an emotionally intelligent way by adapting a generalized four-step model of Understand, Learn, Assess and Review:

• Understand: To understand yourself and your goals; • Learn: Learn to adapt and control your feelings; • Assess: Evaluate your personal ability; and • Review: Monitor how well you apply your skills.

Why are organizations interested in emotional intelligence? The ability of an organization to perform depends on the relationships of the people involved, which ultimately relates to the degree of emotional intelligence of its employees and leaders. 50% of work satisfaction is determined by the relationship a worker has with his/her boss. The worker productivity increases when proper support is provided by the supervisor and co-worker. It is difficult to get bigger wins by just improving engineering efforts. Thus, blending knowledge with emotional intelligence can lead organizations to a higher level of success. Emotional intelligence is a prerequisite for effective leadership across borders.

In today’s corporate world, emotions of employees are given utmost importance in successful business units. As such the present study was taken up to examine the different elements of emotional quotient that contribute to the productivity of an organization. The study also intends to explain the significance of emotional intelligence from the perspective of Superiors/Managers (winning people over and using complex strategies like indirect influence to build consensus and support); Subordinates (expressing their views openly and understanding the superiors); and Management (taking several managerial decisions and maintaining good organizational climate).

Literature Review The concept of emotional intelligence has been around for some time in one form or the other: Social Intelligence (1920 – Thorndike); Social Competence (1935 – Doll); Non- intellective Intelligence (1940 – Wechsler); Emotional Thought (1948 – Leeper); Emotional Intelligence (1966 – Leuner); Personal Intelligence (1983 – Gardner); EQ (1985 – Bar-On); Emotional Competency (1989 – Saarni); Emotional Intelligence (1995 – Goleman); and IQ, EQ and MQ (1996 – Dulewicz and Higgs).

Wechsler outlined intelligence as “the aggregate or global capacity of the individual to act purposefully, to think rationally, and to deal effectively with his environment”. In early 1940, his reference to non-intellective as well as intellective elements implied affective, emotional, personal and social factors (Wechsler, 1958). Wechsler was not alone in the race to demonstrate non-cognitive faces of intelligence to be significant for prosperity and adaptation, Thorndike penned articles on social intelligence in the late 1930s (Thorndike and Stein, 1937). Regrettably, the study of these early groundbreakers was largely discounted or forgotten until the early 1980s (1983) when Howard Gardner started writing about multiple intelligence. Gardner anticipated that intrapersonal and interpersonal intelligences are as crucial as the type of intelligence usually measured by psychometric test or by IQ skills.

The Role of Emotional Intelligence in Organization Development 51

Goleman (2001), who pioneered in emotional intelligent movement focusing on emotional intelligence at workplace, says that emotional intelligence is twice as important in star performers as is cognitive ability. According to him, emotional intelligence refers to “the capacity for recognizing our own feelings and those of others for motivating ourselves and for managing emotions well in ourselves and in our relationship”. In other words, what matters is “not just using your head but also your heart”. Thus, emotional intelligence has been broken down into six areas: Self-Awareness, Self-Confidence, Self-Control, Empathy, Motivation and Social Competency.

The model of intelligence is inclined in favor of qualities usually attributed to men with high energy, drive, achievement and competitiveness. Emotional intelligence stresses on significanct characteristics conventionally attributed to women—empathy, self-control, emotional facility, etc. Block (1995), psychologist at the University of California at Berkeley, has made a comparison between two types: people high in IQ versus people high in emotional aptitudes. The difference found is—high IQ had prominent place among intellects from different walks of life. They are ambitious and productive, predictable and dogged, and untroubled by concerns about themselves, unexpressive and detached, and emotionally bland and cold.

It has been realized that rich emotional intelligence leads to sound satisfaction. Hence emotionally intelligent people are cheerful and have a different outlook. The leaders who are rich in emotional intelligence may inculcate in their organizations a sense of enthusiasm, positive attitude, excitement, and atmosphere of mutual understanding and trust through their support to develop a rich atmosphere of quality interpersonal relationships with their co-workers. High quality interpersonal relationships among seniors and their subordinates have been found to produce several advantages for organizations, leaders, and the followers (Graen and Uhl-Bien, 1995; and Gerstner and Day, 1997). A study based on the successes and failures of 11 American presidents from Franklin Roosevelt to Bill Clinton evaluated six successful qualities—communication, political skill, vision, organization, rationalization and emotional intelligence. The findings stated that the key quality that distinguished the successful (like Roosevelt, Kennedy and Reagan) from the unsuccessful (like Johnson, Carter and Nixon) was emotional intelligence.

In the competitive global environment, organizations are showing a greater interest in accepting how employees build and carry on the organizational performance essential for competitive advantage (Becker and Gerhart, 1996). “As much as 80% of adult ‘success’ comes from EQ,” said Goleman, and he asserts that the difference between a ‘good’ leader and an ‘excellent’ leader is 85-95% attributable to emotional intelligence.

Objectives • To know the emotional intelligence of select superiors in an organization.

• To know the opinion of the subordinates about their superiors and how they are perceived by the concerned superior.

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Hypothesis H

0 : There is no significant difference between the superior’s views and subordinate’s view.

Data and Methodology The population considered for this study was the employees of different departments and their respective immediate reporting heads and managers from one of the largest electronics multinational company (name of the company kept confidential on request). Hence, the population was not just focused on one set of people, and it was a combination of various levels. The sample included six managers, and under each manager five subordinates were included. Descriptive research methodology was applied in the study. The quantitative and qualitative data were collected through objective questionnaire to address the various levels of the study. The questionnaire consisted of 20 closed-ended questions for superiors (Appendix 1) and 17 closed-ended questions for subordinates (Appendix 2), and verbal questions to the HR head. As the questions were complex, to know the spontaneous answers of the respondents a brief interaction session was conducted on the sample size. Other relevant information (secondary data) was collected from journals, articles, books, magazines, and web resources.

Results and Discussion The survey data was classified into various criteria, and the summary of statistics is presented in Table 1.

Correlation analysis reveals that there is no correlation between superior views and subordinate views. The results of t-test, comparing the means of X

1 and X

2 (mean X

1 – mean

X 2 = 44.667; SE of difference = 9.335; t-stat. = 4.7847; df = 16), indicate that by

conventional criteria this difference is considered to be extremely statistically significant at 95% confidence level. Therefore, the null hypothesis (H

0 ) that there is no significant

difference between the superior’s views and subordinate’s views is rejected.

Table 1: Summary Statistics

S. No. Criteria Superior Views (X 1 ) Subordinate Views (X

2 )

1. Decision Based on Facts 99 80 2. Risk Taking 99 20 3. Patience 100 30

4. Performance in Tense Situation 80 20 5. Good Lateral Thinker 66 40 6. Self-Confidence 99 40

7. Communication of Weakness 99 50 8. Confidence in Subordinates 100 80 9. Informal Relationship 100 80

SD 12.1769 SD   Variance = 148.277 Variance = 636.111

Mean = 93.555 Mean = 48.888

N = 842 N = 440

The Role of Emotional Intelligence in Organization Development 53

Figure 1: Superior’s View (Self-Analysis and About Subordinates)

120

100

80

60

40

20

0

Strongly Agree Agree Unknown Disagree

1 2 3 4 5 6 7 8 9

Criteria

V ie

w s

(% )

Figures 1 and 2 graphically represent the responses of the participants. The following observations are made:

• Almost 60% of seniors do resolve the faults of subordinates patiently, however at times under pressure they lose control of their emotions.

• Superiors are optimistic of subordinates.

Figure 2: Subordinate’s View (Self-Analysis and About Superior)

90

80

70

60

50

40

30

20

10

0

V ie

w s

(% )

Criteria 1 2 3 4 5 6 7 8 9

Agree Disagree Strongly Agree

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• There exists excellent relationship between them. • About 66% of seniors strongly agree with respect to their abilities of attaining

higher position and this is agreed with by 70% of their subordinates.

• 66% of seniors give their opinion based on facts which is disagreed with by 40% of subordinates who state that judgments are not on realistic approach.

• Subordinates are not convinced with the view that seniors take risks and do often try new ideas.

• About 50% of superiors strongly agree about their lateral thinking which is not accepted by subordinates.

• Communication about weaknesses needs to be done.

Conclusion Emotions need not be a problem at workplace, the right ones augment productivity and workplace harmony, but it takes Emotional Quotient (EQ) to know how to manage them. We, therefore, infer that in an organization there are superiors who are confident, efficient and maintain good relations, but need to be emotionally intelligent, and also superiors who believe and consider the views of their subordinates opting for new ideas. Thus, only when you are self-aware you can manage yourself better. In turn, only if you can manage yourself, you can handle relationships well and hope to achieve personal and professional goals. The importance of emotional intelligence hinges on the link between sentiment, character and moral instincts. Three attributes, i.e., technical skills, IQ or emotional intelligence, are important for a leader.

Recommendations: Counseling sessions can be conducted at regular intervals where the superior has to provide information regarding areas in which the subordinate has to improve. It is suggested that the management may conduct development programs in psychological aspects so that superiors can have better understanding about subordinates. In order to know the job- related behaviors, these aspects can be included in the performance appraisal techniques.

In order to develop the number of emotionally intelligent managers, organizations can utilize Organization Development (OD) techniques like Gestalt Therapy. Employees are the main assets of any organization. Therefore, it is important for the management to consider the feelings of employees and their problems. An organization’s collective level of emotional intelligence determines the degree to which that organization’s intellectual capital is realized and its overall performance.

Limitations: One of the limitations of the study was the heavy reliance on the respondents’ information. The entire study was based on perception, which might change from time to time and therefore the conclusion drawn cannot be generalized.

Bibliography 1. Bateman Jr. Christopher S (2006 ), “A Cross-Cultural Comparison of Emotional

Intelligence and Leadership Styles: A Pilot Study”, Quinnipiac University Leigh Farrell,

The Role of Emotional Intelligence in Organization Development 55

Quinnipiac University, available at http://www.aibse.org/Proceedings/Proceedings% 202006/09%20Farrell,%20Bateman.pdf

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5. Dunn Susan (2003), “An Emotionally Intelligent Workplace Culture: Is It for You?”, available at http://www.ideamarketers.com/? articleid =18585 &wherefrom =LOGIN& CFID=95755105& CFTOKEN=55460789

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12. Gundlach M J, Martinko M J and Douglas S C (2003), “Emotional Intelligence, Causal Reasoning and the Self-Efficacy Development Process”, The International Journal of Organisational Analysis, Vol. 11, No. 3, pp. 229-246.

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16. Luthans Fred (2004), Organisational Behavior, pp. 288-292, 10th Edition, McGraw-Hill Publications.

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Appendix 1

Emotional Intelligence Questionnaire (Superiors)

Emotional intelligence consists of two dimensions: (a) Self-dimension; and (b) Social dimension. Self-dimension deals with self-awareness, self-control and self-confidence, whereas social dimension deals with opinion about others.

The present questionnaire consists of three parts. Part A deals with personal data, Part B deals with self-dimension and Part C deals with social dimension. Do not guess how you should act in future. Be sure to circle the number that most closely applies to you.

5 – Strongly Agree 4 – Agree 3 – Unsure 2 – Disagree

1 – Strongly Disagree

Part A Name:

Age:

Qualification:

Dept.:

Service (No. of years):

17. Lynn Adele B (2005), “The EQ Difference a Powerful Plan of Putting Emotional at Work”, pp. 10-13, Amacom, New York.

18. Panda Yoga Maya (2008), “Emotional Intelligence and Perceived Stress”, The ICFAI University Journal of Organizational Behavior, Vol. VII, No. 3, July, pp. 13-15.

19. Pareek Udai (2004), Understanding Organisational Behavior, pp. 57-59, 1st Edition, Oxford University Press, New Delhi.

20. Rathi Neerpal and Rastogi Renu (2008), “Effect of Emotional Intelligence on Occupational Self-Efficacy” , The ICFAI University Journal of Organizational Behavior, Vol. VII, No. 2, April, pp. 46-53.

21. Thorndike R L and Stein S (1937), “An Evaluation of the Attempts to Measure Social Intelligence”, Psychological Bulletin, Vol. 34, No. 5, pp. 275-284.

22. Wechsler David (1958), The Measurement and Appraisal of Adult Intelligence, 4th Edition, The Williams & Wilkins Company, Baltimore, MD.

Websites 1. www.globalmarketbriefings.com

2. www.measuring-emotionalintelligence.com

3. www.eiconsortium.org

The Role of Emotional Intelligence in Organization Development 57

Part B Self-Awareness

1. I am clear about my goals, my role and my job requirement. 5 4 3 2 1

2. I will take decision based on facts and applying realistic 5 4 3 2 1 approach rather than making snap judgments.

3. I enjoy risk-taking and thus frequently try with new ideas 5 4 3 2 1 and options.

Self-Control

4. I believe that I am patient enough to rectify the mistakes of 5 4 3 2 1 my subordinates when they do things in a wrong way.

5. I never found myself punishing or scolding an innocent 5 4 3 2 1 subordinate till now.

6. I always try to communicate about the weaknesses 5 4 3 2 1 of subordinates in a non-threatening way.

Self-Confidence

7. I see myself as a good lateral thinker. 5 4 3 2 1

8. I believe that I know the best way to handle people. 5 4 3 2 1

9. I am confident of my abilities and the possibility of 5 4 3 2 1 reaching the top/higher position.

Part C 10. I enjoy talking to new and different people. 5 4 3 2 1

11. Subordinates in the organization are dynamic and 5 4 3 2 1 committed and thus constant supervision is not required.

12. Subordinates will discuss their problems openly and try to 5 4 3 2 1 solve them, rather than keep accusing others.

13 Subordinates have control over their emotions. 5 4 3 2 1

14. Subordinates are good enough to understand others’ problems. 5 4 3 2 1

15. When weaknesses are communicated, they take them 5 4 3 2 1 in a positive way and try to overcome them.

16. Subordinates have clear-cut career goals and are aware of 5 4 3 2 1 their strengths and weaknesses.

Appendix 1 (Cont.)

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Appendix 2

Emotional Intelligence Questionnaire (Subordinates)

Emotional intelligence consists of two dimensions: (a) Self-dimension; and (b) Social dimension. Self-dimension deals with self-awareness, self-control and self-confidence, whereas social dimension deals with opinion about others.

The present questionnaire consists of three parts. Part A deals with personal data, Part B deals with self-dimension and Part C deals with social dimension.

Do not guess how you should act in future. Be sure to circle the number that most closely applies to you.

5 – Strongly Agree 4 – Agree 3 – Unsure 2 – Disagree

1 – Strongly Disagree

Part A

Name:

Age:

Qualification:

Dept.:

Service (No. of years):

17. Subordinates are ready to take up responsibility when 5 4 3 2 1 they are experimenting new means.

18. Subordinates are helpful to each other and take active 5 4 3 2 1 interest in maintaining good relations.

19. Subordinates are very informal and express problems in a 5 4 3 2 1 dignified way.

20. Subordinates adjust themselves as per the requirements with 5 4 3 2 1 regard to working hours, additional work, etc.

Appendix 1 (Cont.)

The Role of Emotional Intelligence in Organization Development 59

Reference # 29J-2014-10-04-01

1. I am competent enough to take decision depending 5 4 3 2 1 upon a situation.

2. I have control over my emotions. 5 4 3 2 1

3. I am good enough to understand others’ problems. 5 4 3 2 1

4. I accept my mistakes and try to rectify them. 5 4 3 2 1

5. I am aware of my strengths and weaknesses and have clear-cut goals. 5 4 3 2 1

6. I am ready to take up responsibility when experimenting 5 4 3 2 1 with new means.

7. I am helpful to other colleagues and highly interested in 5 4 3 2 1 maintaining good relations with them.

8. I express my problem in an informal but dignified way. 5 4 3 2 1

9. I adjust myself as per requirements with regard to working 5 4 3 2 1 hours, additional work, etc.

10. Superior takes decision based on facts and applying realistic 5 4 3 2 1 approach rather than snap judgments.

11. Superior often tries new ideas and options, and good 5 4 3 2 1 enough at risk-taking.

12. Superior is patient enough to rectify the mistakes of the 5 4 3 2 1 subordinates when they do things in a wrong way.

13. Superior was never found punishing or scolding an innocent 5 4 3 2 1 subordinate till now.

14. Superior tries to communicate about the weakness of a 5 4 3 2 1 subordinate in a non-threatening way.

15. Superior is a good lateral thinker. 5 4 3 2 1

16. Superior knows the best way to handle people. 5 4 3 2 1

17. Superior is confident about his abilities and possibility of 5 4 3 2 1 reaching higher position.

Appendix 2 (Cont.)

Part B

Part C

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