Framework Based Analysis of Corporate Leadership, Emotional Intelligence (EI) Competencies and Organizational Performance – A Developmental Perspective

Abstract

The study focuses on the issues of organizational performance, particularly related to developing corporate leadership to the level of effectiveness and the extended result as an outcome on organizational performance. We propose a model by plausibly linking the competencies related to emotional intelligence with effectiveness of corporate leadership, eventually fashioning out a high performance organization. In order to develop a framework, it includes conceptions grounded on EI as exogenous variable (ξ), Effective corporate leadership (ECL) as endogenous (η) variable and high performance organisation as outcome variable. The feedback composed was collected from 1171 corporate leaders serving in large business organizations across Pakistan. For analysis purpose, after data cleansing, SEM is employed to obtain results related to model fit and testing of hypotheses. Measurement and Structural Models approve the propositions of the study. After analysis, it is pertinent to mention that findings show great role of the competencies of EI with corporate leadership, and as a trickled down effect on overall organizational performance. The results also show how leadership can be developed to the level of effectiveness and thus can lead to achieve corporate reputation, employee commitment, market performance and financial performance of an organization. It is seen that the influence of EI competencies has not only the impact on the effectiveness of corporate leadership but also on overall organisational performance.