The Business Case for Emotional Intelligence 2026
Why emotional intelligence is no longer optional for leaders navigating AI, change, and burnout
The hidden cost of low emotional intelligence in today’s organizations
Most organizations already feel the cost of low emotional intelligence – in engagement, unwanted turnover, stalled execution, and inconsistent customer experiences. These challenges rarely show up on a balance sheet as “EQ problems,” but leaders feel their impact every day.
What’s often missing is a clear, data-backed way to name the issue – and to justify investment in the capabilities that actually improve how people lead, collaborate, and perform under pressure.
This report brings together global research and real-world field data to show how practicing emotional intelligence translates into measurable business outcomes. Inside, you’ll find practical insights leaders use to:
✓ Make better, faster decisions with greater clarity and organizational alignment
✓ Strengthen engagement and reduce unwanted turnover by addressing what truly motivates people
✓ Improve customer experience and loyalty through more effective frontline interactions
✓ Enhance bottom line results by understanding the human dynamics across the full value chain
Download the report to see how emotionally intelligent leadership translates into sustainable business performance.
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Explore Key Findings
More effective leadership
Stronger engagement, teamwork and culture
Quality customer experiences or CX
Better retention and talent management
Effective AI adoption and change management
Increased sales and revenue
Develop leaders who inspire, connect and deliver results
Executives spend up to 40% of their time making decisions, yet only 1 in 5 executives say their organizations excel at decision-making. Poor decisions cost the average Fortune 500 company an estimated $250 million each year. Equip leaders at every level with the emotional intelligence skills to foster trust, drive collaboration, and lead through complexity.
Key Outcomes:
- Smarter, faster decision-making under pressure.
- Better teamwork through stronger trust and communication.
- Customer loyalty driven by authentic, people-focused leadership.
Case study: Learn how Kuehne + Nagel reshaped daily leadership choices, reduced conflict, and increased operational effectiveness →
Attract, grow and keep the right people
Employee engagement remains critically low, with only 21% of employees engaged globally, while disengagement costs the world economy an estimated $8.8 trillion annually. Build a talent system that selects for fit, accelerates development, and turns managers into coaches who grow capability.
Key Outcomes:
- Better hiring and role fit through behavioral insight and EQ-informed selection.
- Faster ramp and internal mobility with clear feedback and coaching pathways.
- Lower regrettable attrition by aligning strengths, career paths, and expectations.
Case study: Learn how the FedEx Global Leadership Institute developed its next generation of leaders →
Create a culture that inspires connection, commitment, and growth
Design a high-trust environment where people bring energy to the work and teams execute consistently.
Key Outcomes:
- Higher engagement and discretionary effort across teams and functions.
- Trust that reduces friction and silos, improving collaboration and speed.
- Reduced burnout and a healthier work climate that sustains performance.
Case study: Learn how Siemens doubled the number of highly engaged managers →
Lead change people believe in – and sustain
Equip leaders and teams to navigate transformation with clarity, empathy, and ownership. In the era of artificial intelligence, change management is a core business function.
Key Outcomes:
- Faster adoption and execution of strategic initiatives.
- Less resistance and more accountability through clear, two-way communication.
- Greater resilience and lower change fatigue during ongoing transformation.
Case study: Learn how the UK’s National Health Service navigated COVID complexity and burnout in healthcare →
Earn loyalty with emotionally intelligent customer journeys
Deliver consistent, empathetic experiences across marketing, sales, and service so customers trust—and return.
Key Outcomes:
- Higher CSAT/NPS and repeat purchase through clear, human-centered interactions.
- Stronger recovery when things go wrong; fewer escalations and churn risks.
- Consistent delivery across channels and teams, aligned to customer needs.
Case study: Learn how UCB improved internal exchanges and strengthened key relationships →
Connect, discover, and close with EQ
Enable sales teams to build trust, understand needs, and advance opportunities with confidence.
Key Outcomes:
- Higher win rates through deeper discovery and credibility.
- Shorter sales cycles and improved forecast accuracy with clearer next steps.
- Stronger cross-sell/upsell and retention from long-term relationship depth.
Case study: Learn how Sheraton increased guest satisfaction, revenue, and market share →
Emotional intelligence is the new workplace imperative
The evidence in this report is clear: emotional intelligence is a core capability for navigating today’s workplace challenges. Across industries and regions, research links emotional intelligence to better decision quality, higher engagement, lower burnout and turnover, stronger customer loyalty, and improved financial performance.
Contrary to the belief that cognitive ability and technical skill alone drive success, the research shows that emotional intelligence is more than twice as predictive of performance as IQ. At the organizational level, the relationship is even stronger – companies that prioritize emotional intelligence are 22x as likely to be high performing.
Access the research behind emotional intelligence and business performance:
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