Charles Darwin may have presented his theory of biological evolution more than 150 years ago in The Origin of Species, but it could be argued that the process of natural selection has become particularly evident within the business community over the past two years. Employers are operating within a challenging new business climate and must now determine what strain of “corporate DNA” will render their organizations fittest for long-term survival.

Some companies have developed a tougher exterior of core competencies, composed of functional adaptability and flexibility — both within the company and with suppliers, customers and service partners — to weather ongoing competitive threats from an increasingly harsher global external environment. However, a more critical contributor to an organization’s enduring success actually lies internally, in the emotional intelligence of its people, starting with the leadership team.
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Emotional intelligence is defined as the ability to intuitively manage emotions, both those experienced personally and by other individuals and groups. Historically, this term has been most visible within psychology circles and in HR departments at larger organizations. However, it is expected to gain broader corporate favor as more companies realize that typical organizational defense mechanisms no longer ensure survival.

Examples of these fading mechanisms include intellectual property, which is increasingly leapfrogged or stolen; long-term contracts, which are increasingly renegotiated; and access to distribution channel and end customers, which is increasingly disintermediated by the Internet. Alternatively, we project more organizations will recognize the powerful operational cohesiveness that can result from a companywide migration of emotional intelligence “messenger RNA.”

Company leadership is the platform of an emotionally healthy organization. Leadership behavior and the tone it sets in the daily operation of a business may be the single largest contributing factor to success or failure.

Managing stress, recovering quickly from setbacks and dealing with adversity are all daily realities in the life of today’s business leader. How well or poorly leaders understand and manage their emotions — and understand the impact of their emotions on others — will either motivate or potentially derail employees. In addition, a leadership team with a high degree of emotional self-awareness can be a powerful competitive advantage.