Leading with emotional intelligence in an increasingly AI-driven world: How to successfully navigate business change
In an increasingly AI-driven world, leaders are required to navigate business change and drive success at speed. EY research provides clear evidence of the importance of emotional intelligence for not only leading but delivering successful transformations.
In our rapidly evolving business landscape, organizations frequently navigate complex transformations. These initiatives often involve significant changes that disrupt the status quo and, consequently, leaders and employees ride an emotional rollercoaster with highs and lows throughout the change life cycle. In turbulent times, it becomes increasingly crucial for leaders to not only possess the relevant technical capabilities, but also the EQ necessary to lead and inspire effectively.
EQ is the ability to understand and manage one’s own emotions and effectively navigate interpersonal relationships. While deep technical skills and IQ are clearly critical, it is EQ that can make the difference between a leader who merely manages and one who inspires and therefore successfully guides people through long-term transformation. Through EY’s research, we know that leaders who leverage EQ will significantly increase an organization’s chances of transformation success.
EQ as a crucial leadership skillset
Many leaders have the tendency to over-use rational and logic-based decision-making to guide a project or team. However, if they don't tap into and develop their emotional intelligence, they risk being blind to the emotional challenges their teams face on a daily basis. This oversight can have detrimental long-term effects, but it is especially damaging during periods of change where emotions run high and sustaining motivation and positivity is critical.
During long term transformations, our research shows teams initially experience excitement and enthusiasm. However, this enthusiasm can wane, leading to anxiety, uncertainty, and resistance. Emotions are rarely measured and often referred to as ‘soft’ and therefore less important, but through our research, we can track how this emotional rollercoaster can be a significant impediment to success if it is not addressed effectively.
Effective leaders understand the dynamics of these emotions and use their EQ to connect in the right way with the right information at the right time. They create an environment where employees feel heard, understood and supported, even when facing uncertainty and stress. Leaders who manage this journey effectively can reverse a potential downward spiral and elevate the success curve of their transformation.
Leaders should leverage the following EQ layers to drive transformational success:
