03 Jun Aussie workplaces need to become Emotionally Intelligent, says report
3rd June 2016, Sydney, Australia. Australian companies need to embrace Emotional Intelligence (EI) as a core competency in order to boost productivity and performance, according to a report released today by FuturePeople, an established and award-winning firm renowned for its work in engagement and EI.
The report, Accessing the Triple Bottom Line through Emotional Intelligence, identified EI as the key to driving higher employee engagement, stronger customer advocacy and enhanced business performance. The study was conducted in conjunction with EI research specialists, Genos International, and draws on more than 1,000 interviews with frontline staff and leaders in the services sector across Australia.
The report unpacks the significant positive correlation found in the research between EI on the front line and better customer experience, sales and productivity. This in turn presents an untapped opportunity for increased sales and business growth.
Linda Simonsen, CEO of FuturePeople, the report’s author, says, “Our report found that effective EI skills drive deeper engagement across the enterprise, including both employee and customer engagement, leading to greater commercial success. With 70% customer interactions grounded in emotional factors, it’s imperative that frontline staff are measured and developed in areas of EI allowing them to exceed customer expectations and boost company sales.”
She adds, “There’s clearly a gap in Australian workplaces because research suggests that 80% of CEOs think their brand delivers amazing service to their customers, but only 8% of customers agree. Our research shows that gap to be low EI and this needs to be addressed urgently for companies to get ahead in today’s competitive business climate.”
FuturePeople’s report further revealed that staff attrition costs Australian businesses AUD $3.8 billion in lost productivity and $385 million in unavoidable recruitment costs. Staff turnover is a substantial cost to every business, equivalent to 2.5 times the salary of the person being replaced, yet can be reduced significantly through harnessing EI, the report finds.
People with higher levels of EI foster better relationships with others in the workplace, take less unplanned leave and are more likely to be engaged and therefore less likely to leave. EI also fosters competencies such as resilience, self-management and strong working relationships, which are key to enhancing individual and team performance, as well as productivity.
Linda concludes, “EI isn’t restricted to any one type of business, industry or organisation type– nor to a certain individual; it is something that can be learnt. When it is fostered and nurtured, workplaces across Australia will start to see an improvement in performance not just locally, but on a global stage.” ~ ENDs