Business Case for Emotional Intelligence
The report, authored by Cary Cherniss for the Consortium for Research on Emotional Intelligence in Organizations (1999), presents a 19‑point, evidence‑based business case demonstrating how emotional intelligence (EI) drives measurable financial outcomes in organizations. Each point cites empirical research or case studies that connect specific EI competencies—such as assertiveness, empathy, self‑awareness, optimism, and leadership—to gains in recruitment efficiency, sales performance, employee retention, profit generation, safety, productivity, and executive derailment prevention. Notable examples include the U.S. Air Force’s $3 million annual savings by using the EQ‑I to select recruiters, a multinational consulting firm’s $1.2 million profit lift from high‑EI partners, L’Oréal sales agents’ $91,370 higher annual sales, and American Express advisors’ 18.1 % business growth under EI‑trained managers. The document also highlights broader research indicating that two‑thirds of performance variance in complex jobs is attributable to emotional competence, and that EI outperforms IQ and prior experience in predicting senior‑executive success across cultures. In addition to the case points, the report lists a comprehensive suite of EI assessment instruments (e.g., EQ‑i, MSCEIT, Genos, TEI), announces related academic programs (Rutgers doctoral program, research fellowship), and provides links to interviews, panels, and resources for practitioners. The intended audience is HR professionals, managers, and scholars seeking to justify EI initiatives with concrete ROI evidence.
Topics
Purpose and Structure of the 19‑Point Business Case
Introduces the report’s goal to provide quantifiable, evidence‑based arguments that EI contributes to organizational bottom‑line outcomes, and outlines the format of 19 distinct data‑driven points.
Recruitment and Selection Gains from EI (Air Force & Consulting Partners)
Details case studies where EI assessments (EQ‑i) improved recruiter selection for the U.S. Air Force, saving $3 M annually, and where high‑EI consulting partners generated $1.2 M additional profit.
Sales Performance and Turnover Reduction Linked to EI
Summarizes multiple studies (L’Oréal, insurance, beverage, computer, furniture) showing higher sales revenue, lower turnover, and higher training completion rates for employees selected on EI competencies.
Leadership, Executive Success, and Derailment Prevention
Presents evidence that EI competencies (influence, self‑confidence, change handling) differentiate star executives, predict success better than IQ or experience, and are primary factors in executive derailment.
Productivity, Safety, and Cost Savings in Manufacturing
Covers research where EI‑focused supervisor training cut lost‑time accidents by 50 %, reduced grievances, and boosted production and profitability in manufacturing plants.
Core EI Competencies Driving Performance (Self‑Awareness, Optimism, Stress Management)
Highlights specific competencies—accurate self‑assessment, stress handling, learned optimism—that correlate with higher managerial performance, store profitability, and sales outcomes.
Comprehensive Catalog of EI Assessment Instruments
Lists major EI measurement tools (EQ‑i, MSCEIT, Genos, TEI, etc.) with brief identifiers, serving as a resource for practitioners seeking validated assessments.
Academic and Professional Development Opportunities
Announces Rutgers’ new doctoral program, the think2perform research fellowship, and upcoming events, positioning the consortium as a hub for EI scholarship and practice.