Relational intelligence and how it contributes to business success

Did you know that research conducted by the Gallup consulting firm and organizational analyses from the Massachusetts Institute of Technology (MIT) indicate that 70% of failures in technical projects are due to factors related to human relations rather than a lack of capacity?

According to Tecnológico de Monterrey professor Pablo Torres, this is due to a lack of connection between work teams, meaning they have not developed relational intelligence.

“Relational intelligence is the ability to build and maintain effective relationships that generate superior results in complex environments”.

This skill is especially relevant in the post-pandemic era and with the new generations of workers, said the academic.

Functional relationships: The key to success in business?

The Tec professor recalls that the concept of relational intelligence became popular as a result of Google’s “Aristotle Project,” which studied several work groups to identify their key success factors.

They concluded that neither individual intelligence nor diversity of skills contributes to success, but rather psychological security: the ability of people to feel secure when contributing, questioning, and taking risks without fear.

He also said that relational intelligence is not a “soft” concept or a human resources program. It’s a measurable strategic advantage.

He also added that “companies have to evolve beyond their mission, vision, and values to have a purpose, a reason for existing. People need to visualize it and say, ‘This company exists for this purpose, and so do itsemployees’.

“When a person’s purpose aligns with the purpose of the company or organization, everything runs smoothly,” he added.

The academic explained that according to research conducted by MIT and Gallup, each unmotivated employee costs companies $11,000 per year.

He also said that staff turnover is due to the relationship with the immediate supervisor, not to salary or working conditions.

“We’re delegating with confidence, but it’s genuine delegation, not micromanagement, where we’re watching what everyone is doing”.

CARE model for applying relational intelligence

Relational intelligence consists of four characteristics known as CARE: Consciousness, Authenticity, Responsibility, and Empowerment, as follows:

1. Consciousness: 

You must be attentive to your surroundings, emotionally aware, and practice empathy.

“This means being conscious of where we are and of our emotions – how we are and how we feel – and learning to interpret our surroundings.

“How are people doing? If I practice empathy, I say things like ‘you’re doing just fine’ or ‘don’t worry, we’ll get it sorted,’ etc.”, he said.

2. Authenticity

This refers to personal values that match actions, promoting genuine communication.

“Do our values match what we do? It’s very important to promote transparent communication”, he added.

3. Responsibility

This consists of accepting the impact of relationships and commitment to the development of others.

“We’re all fully aware of what we do, we accept the impact of our relationships, how we are, how we behave, and the commitment we have not only to the company but also to the development of others”.

4. Empowerment

This is about leveraging the team’s strengths, having confidence, and supporting other employees.

“Empowerment should focus on people, on how we leverage the team’s strengths.

“We’re delegating with confidence and support, but it’s genuine delegation, not micromanagement, where we’re watching what everyone is doing”, he explained.

According to Torres, these four characteristics enable authentic connection, effective communication, empathy, improved emotion management, teamwork, conflict resolution, the promotion of inclusion, and better results.

How is relational intelligence developed?

The professor shared five points to consider when implementing relational intelligence in companies and institutions.

1. Define a clear purpose: companies must understand why they exist and how they contribute to their environment beyond the commercial sphere.
2. Foster authentic leadership: leadership that promotes communication and inclusion.
3. Open communication channels: allow ideas to flow and employees to express their opinions without fear.
4. Encourage teamwork: break down departmental “barriers.”
5. Culture of inclusion: valuing all contributions.

He also shared five pillars for developing relational intelligence:

1. Psychological security: making people feel that they can express their ideas and make mistakes without fear of reprisal.
2. Trustworthiness: trusting other team members.
3. Structure and clarity: having clearly defined roles, plans, and objectives for the organization.
4. Meaning of work: understanding the company’s purpose and how your personal goals relate to it. The new generations are looking for purpose in their work, not just a salary.
5. Impact of work: understanding how individual contributions, even the smallest ones, impact the organization’s overall goal, seeking constant feedback.

Finally, Torres, who is also a consultant, recommended that those entering the labor market obtain micro-credentials to develop these and other skills.

“Sometimes, you finish your degree and realize that companies are looking for these skills, in addition to you being an engineer, lawyer, accountant, or whatever you want to be. 

“So, you have to develop them and recognize that we never stop learning”, he concluded.

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