emotional intelligence drives a happy workplace.

In today’s fast-paced work environment, it’s easy to get caught up in the hustle and bustle and forget that happiness matters. Yet an Oxford University study found happy workers are 13 percent more productive. Meanwhile, Mexican research revealed having a job with purpose, feeling appreciated and enjoying daily tasks reduces turnover intention. So, how do business leaders create a happy environment? By prioritizing emotional intelligence in the workplace.

Also known as EI or EQ, emotional intelligence means being able to recognize and regulate one’s own emotions, having a high degree of empathy for others, and putting good social skills into action.

workplace culture is a reflection of leadership

Having high EI and ensuring your employees are happy is a critical part of your leadership role. In fact, it’s often the difference between business success and failure. Consequently, being aware of the overall emotional state of your employees — and yourself — is crucial. Therefore, it’s essential to emphasize emotional intelligence in your leadership strategy.

Creating a positive workplace means cultivating an environment that sparks creativity, fosters independent thinking and encourages constructive debate. It should be a space where employees feel secure, valued and motivated and are proud to represent your organization. By doing this, you’ll attract and retain top talent, drive performance and boost productivity. The payoff is significant: a positive work culture and happy employees have a direct and profound impact on your bottom line.

Here are some of the ways companies benefit from focusing on happiness and emotional intelligence in the workplace.

collaboration ramps up

Happy people smile genuinely and often. But what about your employees? Do they smile at you and each other? Is there occasional laughter as they share weekend stories? Do they seem comfortable talking with each other in meetings or in the hallway? Is management approachable and open to discussion? Are there company events that encourage team and relationship-building among employees? These are crucial factors, as employees report that happy relationships with co-workers are a major motivator for remaining with a company.

employees go above and beyond

How do your employees do their job? Are they simply going through the motions? Or are they performing at the top of their game? Do they receive regular recognition, or is their performance a shopping list in a yearly 360-degree assessment? Happy employees are more likely to develop new and improved ways of performing their tasks. They may volunteer for more work. How do your teams perform? Are they a tight unit, supporting and helping each other? Or is it everyone for him or herself?

employees aren’t dashing for the door

Do your employees arrive right on time and sprint for the door at 5? Or do they arrive early, settle in, chat, ramp up and finish their day with a sense of accomplishment, regardless of the clock? This doesn’t just mean your workers are comfortable and happy in the environment, but they’re also demonstrating respect and good stewardship of the company and its resources.

employees are proud of their workspace

What do your employees’ work areas look like? Stark and pristine, or messy and disorganized? Or maybe a clean space with a little of both, with personal pictures and items thrown into the mix? How an employee’s workspace looks depends largely on how they work best, but a dirty, chaotic space is a clue all’s not well in the land. A clean workspace is a healthy, productive workspace demonstrating pride in a job well done. A dirty, disorganized workspace impacts the quality of work and is unhealthy. An organization that promotes health as a critical element of its success is one that actively cares about its workers.

employees are loyal

Are your employees optimistic despite the anxiety of fluctuating economies and political landscapes? If business is rocky, can they count on a calm, firm, focused hand at the helm? Are they confident in leadership’s ability to guide them through rough waters? Staying calm under pressure and helping your team to do the same is an essential element of emotional intelligence in the workplace. And what of the work culture you’ve established? Do you micromanage employees, or do you empower them with clear expectations, guidance and the autonomy to excel? We’re talking about qualitative, not quantitative, leadership.

employees are more charitable

Is your organization community-focused? Do you create opportunities for workers to unite for a worthy cause, volunteer and perform charitable acts? Research says people are happier when doing for others, regardless of what’s happening in their own lives. Employees report greater engagement with an organization with community service embedded in its mission and culture.

employees are optimistic

Happy workers know what’s what. They know whether or not the company’s in trouble or doing well because leadership is regularly communicative and open. It’s important to clearly lay out tangible goals, expectations, company values and short- and long-term strategies. Employees can’t buy into what they can’t see or understand. If you don’t keep them in the loop, they’ll create a narrative that explains their sense of unease, one that’s usually far worse than what’s really happening. And they won’t engage if they feel managers aren’t being honest.

the energy ramps up

How does your workspace feel? Is there an air of creativity when you enter the office? Is it relaxed and productive? Do people look like they’re happy to be at work? Are you creating a workplace where people want to be for a long time? Unhappy employees tend to create an unhappy or disconnected atmosphere. Happy employees bring energy and engagement.

Focusing on emotional intelligence in the workplace and striving to have a better understanding of employees’ feelings leads to a culture of happiness, creativity and productivity. By making employee happiness a core part of your business strategy, you'll reap the rewards of a positive work culture, increased collaboration and a loyal, high-performing team.