Management Theories # 13 - Emotional Intelligence

When psychologists began to write and think about intelligence, they initially focused on cognitive aspects, such as memory and problem-solving. However, there have been researchers who recognized early on that the non-cognitive aspects were also important:

• Robert Thorndike was writing about social intelligence in 1937,
• David Wechsler defined intelligence as the aggregate or global capacity of the individual to act purposefully, to think rationally, and to deal effectively with his environment (Wechsler, 1958, p. 7). As early as 1940 Wechsler referred to non-intellective as well as intellective elements (Wechsler, 1940), by which he meant affective, personal, and social factors. Furthermore, as early as 1943 Wechsler was proposing that the non-intellective abilities are essential for predicting ones ability to succeed in life.
• Howard Gardner began to write about multiple intelligence in 1983, when he proposed that intrapersonal and interpersonal intelligences are as important as the type of intelligence typically measured by IQ and related tests.
• Salovey and Mayer actually coined the term emotional intelligence in 1990. They described emotional intelligence as "a form of social intelligence that involves the ability to monitor ones own and others feelings and emotions, to discriminate among them, and to use this information to guide ones thinking and action" (Salovey & Mayer, 1990). Salovey and Mayer also initiated a research program intended to develop valid measures of emotional intelligence and to explore its significance.
  

The Five (Four) Domains of Emotional Intelligence

• Knowing one's emotions (self-awareness - recognizing a feeling as it happens)
• Managing emotions (the ability of handling feelings so they are appropriate)
• Motivating oneself (marshalling emotions in the service of a goal)
• Recognizing emotions in others (empathy, social awareness)
• Handling relationships (skill in managing emotions in others)

IQ or EI?

According to some scientists, IQ by itself is NOT a very good predictor of job performance. Hunter and Hunter (1984) estimated that at best IQ accounts for about 25 percent of the variance. Sternberg (1996) has pointed out that studies vary and that 10 percent may be a more realistic estimate.

In some studies, IQ accounts for as little as 4 percent of the variance. In a recent meta-analysis examining the correlation and predictive validity of EI when compared to IQ or general mental ability, Van Rooy and Viswesvaran (2004) found IQ to be a better predictor of work and academic performance than EI.

However, when it comes to the question of whether a person will become a “star performer” (in the top ten percent, however such performance is appropriately assessed) within that role, or be an outstanding leader, IQ may be a less powerful predictor than emotional intelligence (Goleman 1998, 2001, 2002).

Management Stories # 23 - Value of intellect

Charles Steinmetz was a German-American mathematician and electrical engineer. He fostered the development of alternating current that made possible the expansion of the electric power industry in the United States, formulating mathematical theories for engineers.

He made ground-breaking discoveries in the understanding of hysteresis that enabled engineers to design better electric motors for use in industry. Read more about him here.

Steinmetz was once called out of retirement by General Electric to help it locate a problem in an intricate system of complex machines.

Having spent some time tinkering with and testing various parts of the system, he finally placed a chalk-marked ‘X’ on a small component in one machine.

GE’s engineers promptly examined the component, and were amazed to find the defect in the precise location of Steinmetz’s mark.

Some time later, GE received an invoice from the wily engineer – for $10,000 (huge in those days).

Incredulous, they protested the bill and challenged him to itemize it.

Steinmetz gave this break-up:

Making one chalk mark : $ 1.00

Knowing where to place it: $ 9,999.00

Thats the power of great intellect and intelligence.. any value that you place on it or pay for it is still insufficient.

Realize and recognize the power of intellect in any one around you - it could just be a worker in the last level of your organization, but learn to spot intelligence not by the qualification but by the sheer power of brilliance and commitment. If you learn how to harness the potential of such people, you can be sure of succeeding in a big way.