Emotional Intelligence (EQ): Importance & Characteristics of EQ, How To Improve EQ

Emotional Intelligence (EQ): The Importance of Emotional Intelligence (EQ) for Individual & Company, Characteristics of Emotional Intelligence (EQ), How to Improve Emotional Intelligence (EQ).

Emotional Intelligence (EQ)

In 1990, two psychologists Mayer and Salovey invented the term Emotional Intelligence that is also known as emotional quotient or EQ.  Emotional intelligence refers to the capability to understand, manage, and utilize your own emotions positively to release stress, communicate effectively, and empathize with others. It will assist you to overcome difficulties related to emotion and defuse social conflict. Emotional intelligence will make you able to build a stronger relationship with others that will bring success for you in the education and work sector, and finally drive you to achieve goals.

The Importance of Emotional Intelligence (EQ)

There are many areas in your life that get benefit from higher emotional intelligence such as your mental health, your job, your relationships, and so on. Emotion intelligence (EQ) emerges as a very important factor for both individuals and companies.

Individual

Emotional intelligence can direct a person on the way to leading a happy and fulfilled life. The emotional intelligence framework is a set of skills that will contribute to assessing the emotions of others as well as their own. It will deal with stress to lead a happy and enjoyable life. A prominent scholar Gary Yukl argues that self-awareness eases people to understand one’s own demands as well as evaluate alternative solutions. Emotional intelligence has to be started from yourself and you cannot instill it to other’s improvement without understanding how you regulate the emotional level. It has become a buzzword in the perspective of leadership. It will help to both recognize and control oneself emotions and responsive towards others’ emotions around them.

Company

The researchers proposed that employees can work better who have higher emotional intelligence. They are very good at working in a team cohesively and capable to deal with challenges more effectively. Emotional intelligence is capable to make you more effective in the workplace as well as yielding good output. So, the company can utilize the effectiveness of the employees who have higher emotional intelligence (EQ).

Five Characteristics of Emotional Intelligence (EQ)

According to the book titled “Emotional Intelligence – Why It Can Matter More Than IQ”, there are five elements of the framework that define emotional intelligence such as Self-Awareness, Self-Regulation, Motivation, Empathy, and Social Skills.Five Characteristics of Emotional Intelligence (EQ) Figure 1: Five Major Characteristics of Emotional Intelligence (EQ)

Self-Awareness

Emotional intelligence instills self-awareness among people. People can perceive their emotions that have higher emotional intelligence. These people do not let their emotions either drive them or get out of control because of emotional intelligence.  They also determine to possess an honest appearance at themselves.  Many researchers believe that self-awareness is one of the most significant characteristics of emotional intelligence because it lets them know about weaknesses and strengths and how to overcome them.

Self-Regulation

Self-reflection is the capacity to control feelings and pressures. People who possess self-regulation characteristics usually never get angry and jealous of others.  Typically, they think before acting and don’t take careless decisions. Self-regulation characteristics represent thoughtfulness behavior, and they are able to say no and willing to change themselves if situations demand it.

Motivation

People with higher emotional intelligence are very aware of the phenomenon that motivates them. They are highly productive, active, willing to accept challenges. They also accept the positive impact of any phenomenon. They are not stubborn to adhere to arrogance and angriness. So, they motivate others as well as being motivated by others.

Empathy

In addition to self-awareness, this is another important characteristic of emotional intelligence because it makes a person open and honest. Empathy is a great competency to feel others’ emotions, needs, wants, and viewpoints. People with empathy characteristic are very good at understanding the emotion of others. Hence, the empathetic person is great at maintaining rapport. They bypass stereotyping and prejudice and withhold judgment too quickly.

Social Skills

People become very famous in their society because of having social skill competency, therefore, it has been accepted as another important characteristic of emotional intelligence.  These people act as team members, and they focus more on achieving an interdependent goal rather than an independent goal. They are very willing to help others, and they have effective communication skills with managing conflicts, and excellent at building and maintaining relationships.

How to Improve Emotional Intelligence (EQ)

Emotional intelligence can be acquired and developed by following some recommendations proposed by the researchers.

Observation of acting to others

Never get rushed to give your opinion before knowing all the facts. You should take the time to scrutinize the facts then make your decision and finally deliver your opinion. Be honest at how you think about others as well as interact with them. Show your empathy, not sympathy.

Observation of the work environment

It is important to focus on others around you at your working place instead of focusing only on you. Looking at the working environment is good quality before talking about them. You have to have humility competency and give priority to others to show their skills. Do not try to get attention for you, yet let them shine in working place.

Learn to self-assessment

A proverb says that it is easy to evaluate others’ fault but difficult to find their own fault. Take more time to assess yourself to find out the weakness you have and make to overcome them. Always encourage yourself to lead an honest life.

Learn to overcome stressful situations

You have to acquire the ability to stay calm when you confront a difficult situation. Never take any decision during an angry mood and try to control your feeling when the situation goes wrong. So, you have to learn to overcome stressful situations to acquire emotional intelligence.

Try to be an active listener

Emotional intelligent people listen actively before speaking. They never talk about the issues that are not clear to them, so emotionally intelligent people make that they have understood everything before responding. The active listener always respects the speakers and tries to learn something from them it does not matter how much good speaker they are.

Taking responsibility

It is one of the best qualities to take responsibility even though you have done something mistake instead of blaming others. You should apologize to them if you hurt someone or do any mistake to anyone. People will be more interested to forgive you if you ask forgiveness.

Possessing leadership skills

Emotionally intelligent people must have good leadership skills, and they like to follow a democratic leadership style. They maintain a high standard lifestyle as if others can follow them.  These people have an excellent ability to solve critical problems and take appropriate decisions when necessary. They also have a creative and heuristic mentality that triggers them to make the impossible possible.

 Communication skills

The most important skill is an effective communication strategy that every emotionally intelligent person has to maintain a good relationship with others around them.  It is a very important skill for personal and corporate life. Effective communication skill is the key to success in a corporate career. Emotional intelligent people hold this skill perfectly. In the digital era, communication has become easier because of the social media revolution. Nobody can deny the blessing of social media from the perspective of personal and corporate branding.

 Conclusion

Mayer and Salovey coined the terms of emotional intelligence that becomes very popular among people for getting beneficial in both personal and corporate life. Emotional intelligence helps humans to have many good competencies such as social, intellectual, creative, organized, good communicator, self-regulated, self-aware, and so on. Nobody can deny the importance of emotional intelligence to drive oneself as well as regulate other tactically.

Blue Ocean Strategy: Top 10 Difference Between Red and Blue Ocean Strategy

Blue Ocean Strategy, Examples of Blue Ocean Strategy, The 8 Key Points of Blue Ocean Strategy,  Difference between Red and Blue Ocean Strategy, Blue Ocean Four Action Frameworks, How to Use Four Action Templates, Eliminate, Reduce, Raise, Create, Conclusion.

Blue ocean strategy

Blue ocean strategy refers to the uncontested marketing policy that focuses more on the new innovation to reinvent the business rather than head-to-head competition.  W. Chan Kim and Renée Mauborgne together introduced the Blue ocean strategy in 2005. It is a simultaneous process of opening a new business market and creating new demand, therefore, competition is irrelevant.

Examples of Blue Ocean Strategy

There are several examples of the blue ocean strategy all over the world that have been accepted by many industries to get benefits such as Canon, iTunes, Cemex, Philips, Netjets, Curves, JCDecaux, Quicken, Polo Ralph Lauren, and so on. iTunes solved the problem of recording industries when it started the business. Before launching iTunes, consumers download a song illegally from the internet platform. ITunes’s blues ocean strategy created a new way of selling music legally, where consumers and artists became mutually benefited. They managed to make a new category of music selling through digital music platform for listeners. Still, it is dominating the marketplace of music platform for years.

The 8 Key Points of Blue Ocean Strategy

The eight key points of the Blue ocean strategy are as follows;

  1. It’s grounded in data.
  2. Pursues differentiation and low cost.
  3. Creates an uncontested market space.
  4. Empowers you through tools & frameworks.
  5. Provides a step-by-step process.
  6. Maximizes opportunity while minimizing risks.
  7. Builds execution into strategy.
  8. Shows you how to create a win-win outcome.
 The Ten (10) Difference between Red Ocean and Blue Ocean
Red Ocean
Blue Ocean
1 The contest in the same market Create uncontested new market
2 Beats competitors Competitors irrelevant
3 Pursues both cost and differentiation Chosen between cost and differentiation
4 Make the value-cost trade-off. Break the value-cost trade-off.
5 Capture new demand Exploit existing demand
6 Focus on rivals within its industry Focus across the alternative industry
7 Intend to provide better service to buyers Redefine the buyer group
8 Focus on current customers Focus on new customers
9 The market is already established Need to make the new market
10 Example: Canon, iTunes Example: Ryanair, Southwest

Differences Between Red Ocean and Blue Ocean Strategy

Figure 1: Differences Between Red Ocean and Blue Ocean Strategy

Three Most Important Differences Between Red Ocean and Blue Ocean Strategy
  1. Focus on current customers vs. focus on non-customers.

In the red ocean strategy, most industries focus on attracting existing customers to sell more products and services. Thus, they focus on the current customer to make benefit by selling products and services.

In contrast, the blue ocean strategy, the industry tries to change the pattern of the business to yield something new for the customers. The company also broadens the area of business to come up with new products or services for the customers, therefore customers are irrelevant here. Thus, this strategy allows the company to focus on business patterns rather than customers.

2. Compete in existing markets vs. Create uncontested markets.

From the perspective of the red ocean strategy, the industry is doing business with the customers where some industries gain more clients and some other industries lose clients. At the end of the day, they are doing business among the same customers. They are competing with each other to get more customers. The company will earn more money if they can bring more customers to its umbrella.

The blue ocean strategy never suggests the company to compete because it makes a new uncontested marketplace. The product and service are totally new therefore no company will come to compete with you. So, this strategy creates an uncontested market to serve its customers.

3. Beat the competition vs. Make the competition irrelevant.

The competition must exist in the marketplace of the company that follows the red ocean strategy. They compete with each other for selling more products and services to increase profit margin. So, they always intend to beat the competitors through marketing policy, product quality, and services.

The blue ocean strategy makes the competition irrelevant because they need not compete with other industries to sell products and services. It makes a totally new marketplace for the industry.

Blue Ocean Four Action Frameworks

Chan Kim and Renée Mauborgne developed the four action frameworks to destroy the trade-off between low cost and differentiation and to rebuild an industry’s strategic logic. The four Actions Template determines whether the investment money in the proper ways around the product to maximize consumer gain and minimize consumer pain. It also assesses the gains that matter with this template and pains that matter for your product. This is the best way of getting the most benefit with the least price within the total product market.

Blue Ocean Four Action Frameworks

Figure 2: Blue Ocean Four Action Frameworks

How to Use Four Action Templates
Step 1: Eliminate

First of all, you have to think about the factors of the industry that need to be eliminated because of defectiveness. Find out the factors where you give huge investment and efforts, but getting very little output. These factors also can be made more contribution in the past but now useless, so you need to eliminate them because of becoming obsolete at the present time.

Step 2: Reduce

Secondly, you need to identify factors that are not completely necessary for the industry and also can not contribute to the industry’s benefit properly. These factors are well below the industry’s standard. For example, the higher cost of manufacturing of the product can be reduced.

Step 3: Raise

These are the very important factors that need to be increased to fulfill the industries well above standards. For example, in order to exceed the customer’s challenges, the company needs to rebuild features of the industry.

Step 4: Create 

These are the totally new features that the company never provided. To create these new features, you need to investigate the customer’s desire to fulfill. The industry can create new products or offer new services for consumers in an innovative way. It will help the company to create a new marketplace distinguished from the competition.

Conclusion

In short, Red ocean strategy refers to competing for the existing marketplace where blue ocean strategy denotes making new uncontested marketplace. Based on the discussion, it is safe to say that the blue ocean is a better strategy that can bring fewer risks, more success, and increased profits for the company. In addition, the four action templates appear as the best solution to identify the investment of the industry is in the proper way or not. Hence, the blue ocean strategy and the four action frameworks have become an innovative invention for the business arena.

Servqual Model: Five Key Service Dimensions, Servqual Gaps & Reasons

SERVQUAL Model-Five Key Service Dimensions Servqual Gaps-Reasons. The Basis of the Servqual Model. The Five Key Service Dimensions: Reliability, Assurance, Tangibles, Empathy, Responsiveness. What are the Servqual Gaps and the Reasons for the gap? Gap 1: The Knowledge Gap, Gap 2: The Policy Gap, Gap 3: The Delivery Gap, Gap 4: The Communication Gap, Gap 5: The Customer Gap. Conclusion.

SERVQUAL Model-Five Key Service:
The Basis of the Servqual Model

The SERVQUAL Model or Service Quality Model refers to a multi-dimensional research process that intended to measure the gap scores between expected and perceptions of service quality of the customers based on five dimensions. This model was produced and implemented by the three American marketing scholars Valarie Zeithaml, A. Parasuraman, and Len Berry. It is also known as the gap model and the RATER model that was introduced between 1983 and 1988.

The Servqual model classifies the elements or components of service quality that is known as key dimensions of service quality.  The developers of the model initially proposed ten dimensions of service quality; later many experts finalize only five dimensions, namely – reliability, assurance, tangibles, empathy, and responsiveness. The marketing students formed an acronym RATER from the first capital letter of every dimension or component. Finally, this model recommends the most common causes of service quality problems after measuring the gaps.

SERVQUAL Model-Five Key Service Dimensions:

The developers of the Servqual model designed 22 perceptions items and 22 expectation items to set into five dimensions, in which the gap score of the customers will come out perfectly.

  1. Reliability

Reliability is a dimension of the Servqual model that confirms the capacity to provide services exactly, on time, and credibly (Parasuman, Zeithaml and Berry, 1985). The consistency is a very important factor here to provide service or product to the customers on time with error-free conditions. You have to respect the commitment to give your service on time accurately as you promised to them.

Example of the reliability dimension: Sending mail to the customers every day on time.

The Five Key Service Dimensions of the Servqual Model

Figure 1: SERVQUAL Model-Five Key Service Dimensions of the Servqual Model

  1. Assurance

Assurance means creating trust and credibility for the customers. It will be ensured based on the employee’s technical knowledge, effective communication skills, courtesy, credibility, competency, and professionalism. These skills will help the organization to gain customer trust and credibility.

The assurance dimension is a combination of the following factors:

  • Competence – having the requisite skills and knowledge.
  • Courtesy – politeness, respect, consideration, and friendliness of contact staff.
  • Credibility – trustworthiness, believability, and honesty of the staff.
  • Security – freedom from danger, risk, or doubt.

Example of the assurance dimension: showing respect and being polite to the customers during servicing them.

  1. Tangibles

Tangibles represent the physical facilities, the appearance of the employees, equipment, machines, and the information system of the organization (Parasuman, Zeithaml and Berry, 1985). It focuses on facilitating materials and physical facilities.

Example of the tangible dimension: cleanliness in the organizations and appropriate dress of the staff.

  1. Empathy

Empathy means focusing on the customers attentively to ensure caring and distinguishing service to them (Yang Peterson & Cai, 2003). It is an essential attitude in some countries in the world to serve every customer individually. It is a great process to satisfy customers psychologically and increase confidence, trust, and loyalty. The company can lose its customers due to the lack of empathy inside the employees.

Additionally, empathy is a combination of the following factors:

  • Access (physical and social) – Approachable and ease of contact
  • Communication – keeping customers informed in a language they understand and really listening to them
  • Understanding the customer – making the effort to get to know customers and their specific needs.

Example of the tangible dimension: being an active listener when customer speaking and recognizing regular customers by name.

  1. Responsiveness

Responsiveness refers to the eagerness to assist customers with respect and provide quick service to satisfy (Yang Peterson & Cai, 2003). This dimension focuses on the two important factors including willingness and promptness. You have to ensure that the customer is getting their service within a short time without any delay and make the customers feel that you are very interested to help them. Responsiveness will be defined by the length of time when customers wait for the answer or solution. In short, responsiveness is to solve the customer problem as soon as possible by providing expecting information or replacing products.

Example of the responsiveness dimension: trying to keep no customer in waiting serial and replace the product within a short time before finishing the promised period.

Initially, the introducers of the Servqual model proposed ten dimensions of service quality that are as follows:

  1. Reliability
  2. Responsiveness
  3. Competence
  4. Access
  5. Courtesy
  6. Communication
  7. Credibility
  8. Security
  9. Knowing the customer
  10. Tangibles
What are the Servqual Gaps and the Reasons for the gap?

The Servqual model recognizes five gaps that may articulate when the customer experiences lower service quality than expected. The service quality will be high when the customers’ perception meets the expectation but the quality is low when the customer’s perception cannot meet the expectation. The Servqual model is also known as the 5 gap model that represents a customer-satisfaction framework.

SERVQUAL Model: Five Key Service Dimensions & Gap

Figure 2: The Servqual model or Service Quality Model

Gap 1: The Knowledge Gap

The knowledge gap refers to the difference between the company’s perception of what the customer expects from the industry and the exact expectation of the customers. This gap can grow if management doesn’t focus on the customer’s expectations thoroughly.

There are many reasons that can increase the knowledge gap, including:

  • Not focusing on what customers expect.
  • Lack of upward communication.
  • Insufficient market analysis.
  • Less focus on relationships.
  • Failure to understand customer complaints.
  • Lack of interaction between management and customer.

Example of the Knowledge Gap:

The user of Netflix wants to see the upcoming movie trailers on the website. So, Netflix would suffer this gap if it did not provide the upcoming movie list.

Gap 2: The Policy Gap

The policy gap is the difference between management perceptions of the customer needs and the translation of those perceptions into service delivery policies and standards. This gap occurs because of the dissimilarity of what the customer wants and what the management provides for the customers.

There are many reasons that can grow the policy gap, including:

  • Insufficient commitment to service quality
  • Lack of task standardization
  • Lack of goal setting
  • Shortness of customer service standards.
  • Inadequately described service levels.
  • Failure to continually update service level standards.

Example of the Policy Gap:

Netflix will suffer from the policy gap if it uploads the upcoming movie trailers after releasing the movie. People want to watch the movie trailer before releasing the movie.

Gap 3: The Delivery Gap

The delivery gap is the dissimilarity between the standard of the service delivery policies of the company and the actual delivery of the service. This problem may occur because of the communication gap, poor technology, and inappropriate supervisory on productions in the industry.

This gap occurs because of many reasons in the industry including;

  • Lack of teamwork to deliver service or product
  • lack of knowledge of the employee about the product or service
  • Insufficient human resources.
  • Service performance gap.
  • Role ambiguity and role conflict – unsure of what your remit is and how it fits with others.
  • Poor employee or technology fit – the wrong person or system for the job.
  • Inappropriate supervisory control or lack of perceived control – too much or too little control.

Example of the Delivery Gap:

Netflix may experience this gap if it uploads the lower video quality movie.

Gap 4: The Communication Gap

The communication gap refers to is the gap between what the company advertises about the products and what exactly the customer gets delivered. It occurs when the company cannot provide services or products according to the commitment.  It is a very important dimension because it may lead to customer disappointment.

This communication gap occurs because of many reasons in the industry including;

  • Over-commitment.
  • Lack of integration between communication and production department.
  • Inadequate communications between the advertising teams and the operations department.

Example of the Delivery Gap:

Netflix may suffer this gap if it is unable to telecast HD video that promised to offer.

Gap 5: The Customer Gap

The customer gap is the difference between customer perceptions of the experience and customer expectations of the service.  Many organizations are not conscious of this gap; therefore, they are losing a big number of customers overnight.

Conclusion

The Servqual Model or Service Quality Model has become very popular and worldwide accepted for increasing the service quality of the customers. It is a multi-dimensional research system that represents a customer-satisfaction framework to satisfy customers. Hence, it is also known as the Gap model that intended to analyze gaps and problems between organizations and customers. Finally, customer gratification will come out through the model that is a very important factor for continual improvement as well as the business.

 References

Parasuraman, A., Zeithaml, V. A., & Berry, L. L. (1985). A conceptual model of service quality and its implications for future research. Journal of marketing49(4), 41-50.

Yang, Z., Peterson, R. T., & Cai, S. (2003). Services quality dimensions of Internet retailing: an exploratory analysis. Journal of services marketing.