These Famous Leaders Have Obvious EQ - Here’s What They Have in Common

In case you missed it, emotional intelligence (EQ) is officially the most in-demand work-related skill out there. From improved revenue to higher levels of employee retention and better customer experiences, research consistently shows that companies led by CEOs with high EQs outperform others. 

So, what exactly makes a high EQ CEO different from the average Joe? To find out, we analyzed the behaviors of several renowned leaders, each of whom has been highly vocal about the importance of EQ in leadership. Here’s what they all have in common.

#1: Self-awareness

As the Chinese philosopher Lao Tzu once famously said, “He who knows others is wise. He who knows himself is enlightened.” We’re talking about self-awareness: the skill of understanding your strengths, weaknesses, values, motivations and biases, so you can act in a way that aligns with your best self. 

It turns out a lot of successful CEOs think self-awareness is essential for great leadership. Alan Mullaly, for example, the CEO who famously brought Ford back from the brink of bankruptcy, credits self-awareness as “the single greatest opportunity for continued growth, performance and improvement.”

Another hotshot CEO, Mark Zuckerberg of Facebook, has also discussed the importance of introspection, stating that: “The question I ask myself almost every day is, ‘Am I doing the most important thing I could be doing? Unless I feel like I’m working on the most important problem that I can help with, then I’m not going to feel good about how I’m spending my time.”

To boost your self-awareness, try incorporating some simple, healthy habits into your day such as keeping a journal or mindfulness meditations. Over time, you’ll learn more about your thought patterns, emotional triggers and likes and dislikes, which is the foundation for self-awareness. 

If you haven’t already, it’s also a wise idea to get clearer on your values. By understanding what’s most important to you in life, you can then set goals that enable you to live with a deep sense of purpose. 

#2: Inspiration 

Gone are the days where work was just about getting a paycheck. Nowadays, 70% of people want jobs with purpose. They want to feel inspired when they come to work, knowing that what they do matters on a grander scale. 

Excellent CEOs understand this and, to motivate their people, they lean on their EQ skills. By connecting their company with a worthy mission, and articulating this vision with clarity and passion, they create highly-engaged cultures where people genuinely want to come to work everyday.

Satya Nadella, for example, is famous for crafting the Microsoft mission statement: to empower others to achieve more, while Ken Chenault, former CEO of American Express, explained: “If you want to have an inspired workforce, you have to give workers the strategies, the ideas, and the values they need to be hopeful.”

If you’re looking to inspire the people around you a little more, you first need to know two things: yourself (self-awareness, yet again) and the people you want to motivate – and that’s where the next skill, empathy, comes in. 

#3: Empathy 

Empathy is the skill of understanding another person’s experiences whilst withholding judgment. An empathetic leader has a genuine interest in the people around them: their wellbeing, personal lives and opinions. In essence, they see the human behind every employee. As a result, they’re great at asking questions, listening to others and creating psychological safety in the workplace.

For many of the great CEOs out there, empathy has been a central pillar of success. Take Richard Branson, for example, a high school dropout who defied the odds by becoming one of the most famous CEOs of all time. In a LinkedIn post, he explained that he attributes his success to empathy, explaining: 

“Being a good listener, finding empathy, understanding emotions, communicating effectively, treating people well, and bringing out the best is critical to success. It will also help you build a business that really understands people and solves their problems, and it will make for a happier and healthier team too.” 

Countless studies also underscore the importance of empathetic leadership. Harvard Business Review, for example, found that the top ten most empathetic companies outperformed the bottom ten by at least 50% in productivity, earnings and growth.

One of the simplest ways to cultivate more empathy is to lean into curiosity. Next time you’re speaking with a colleague, ask questions to better understand their thoughts, feelings and motivations. Resist the temptation to judge what they share with you. Instead, try to understand their point of view without labeling it as good, bad, right or wrong.

#4: Healthy relationship with failure

In her book Mindset, psychologist Carol Dweck popularized the idea of growth mindsets and fixed mindsets. A growth mindset is the belief that one can develop their skills through dedication, hard work and learning from failure, while a fixed mindset believes that talent is a stagnant trait that can’t change. 

Since the book came out, companies such as Microsoft, Apple and Bloomberg have all embodied growth mindset cultures. Similarly to the design agency IDEO’s tag line of “fail forward,” these companies believe in continuous learning and development. 

Of course, to experiment, evolve and change requires failing. And the CEOs of the best companies aren’t afraid of it. As Steve Jobs boldly put it: “If you're afraid of failing you won't get very far.”

Clearly, the best CEOs understand that failure is a stepping stone towards success, and they encourage their people to treat failures as learning opportunities: chances to learn, improve and move closer towards their goal. 

For most of us, being ok with failure doesn’t come naturally. However, by understanding that everyone experiences failure, and that failure goes hand in hand with innovation, you can start to overcome your fears and push yourself out of your comfort zone. 

#5: Gratitude

With their strong empathy and deep awareness of other people’s emotions, noteworthy CEOs understand the importance of expressing gratitude to their people. They want their employees to feel proud of their contributions and know their hard work is recognized, and will go out of their way to give praise where praise is due. 

A heartwarming example of gratitude in practice comes from Indra Nooyi, the former CEO of Pepsi. During her time at the company, she sent personal notes to the parents of each of her executives, thanking them for raising wonderful children who had turned into exceptional adults. 

Even in cases where employees aren’t quite hitting the mark, the high EQ CEO knows to be careful with criticism. Richard Branson, for example, explained: “Criticism can be devastating to an employee. I prefer to praise employees for what they’re doing right, and it tends to lead to them doing more of the same. Not always, but it’s the way I choose to bet.”

So, the next time you're tempted to criticize a colleague or friend for their behavior, ask yourself: “Is this really going to help the situation, or am I just saying something because I’m annoyed?” If it’s the latter, think twice before you share what’s on your mind – and always remember to assume positive intent. For the most part, people are trying their best.

#6: Approachability

Meeting with a company CEO can be pretty intimidating, especially for more junior employees. Unfortunately, the fear of expressing an opinion can harm innovation. After all, just because someone is in a subordinate position or younger, it doesn’t mean they don’t have great ideas. 

High EQ CEOs are aware that their status can be unnerving for other team members. So, they go out of their way to be more approachable. Back to Ford’s former CEO Mulally, he credited the company’s success to the fact that his team began to feel comfortable enough around him to share their ideas.

Similarly, Howard Schultz, Starbucks’ former CEO, noted that being human and approachable is crucial for creating a great culture. He is quoted as saying: “The most undervalued characteristic of leadership is vulnerability and asking for help.”

Being more approachable is often a case of body language. Avoiding eye contact, folding your arms and frowning all subconsciously indicate that you’re not in the mood to talk. On the other hand, if you look at the other person, smile and nod while they’re talking, you indicate that you’re interested and engaged. 

Ready to boost your leadership EQ? 

If reading through these traits has got you pumped up to raise your own EQ, the next place to look is our free EQ test. This comprehensive assessment measures your emotional intelligence across five key areas that include empathy and self-awareness. You'll gain insights into your ability to control your emotions, articulate your feelings, and connect with others. In the final analysis, fostering your emotional intelligence not only boosts your own personal growth, but it also creates a more empathetic, resilient team and, ultimately, leads to a healthier bottom line – a win on all fronts.