Today, having a holistic approach is key to running a business successfully. It’s not only important to have a high IQ, but also being able to communicate and have a healthy emotional outlook. These are just as important factors, beside leadership and management skills, to grow a business. A holistic approach is key to being a passionate, visionary leader.
What is Intelligence Quotient (IQ)
Intelligence Quotient (IQ) is the assessment and evaluation of a person’s capability to think logically and solve problems within your age group. For the most part, IQ determines how competently an individual applies and recalls the information they consume, and uses reasoning to answer questions and come up with speculations.
Many experts consider IQ as an excellent measure of how a person would do well in the academic field. But they also stated that it’s not a definitive indicator of life success.
IQ testing was originally designed by Alfred Binet, a French psychologist, in 1905. Along with a colleague, Binet developed an IQ test to help students who were struggling with education. Binet believed that intelligence is complex and not something that can be predetermined.
A couple of years later, Binet’s IQ testing was translated by American psychologist Henry Herbert Goddard and this is now widely recognized as the modern IQ test.
IQ tests usually involve the assessment of skills in language, mathematics, memory, spatial perception, as well as solving problems, retaining information, and relationships.
These IQ measurements mainly serve many purposes including assessment and evaluation of job candidates during job interviews, education placement, cognitive research, and diagnosing cognitive disability.
What is Emotional Quotient (EQ)
Emotional quotient, or sometimes referred to as emotional intelligence, is the ability to recognize, control and manage emotions. Experts believe that having good and healthy emotional intelligence can improve stress levels, relate to other people better, be able to communicate well, and handle crises.
The most common EQ test is based on self-reporting. Similar to IQ tests, this is usually utilized during job applications. You might have encountered answering a series of questions by describing your behavior as agree, strongly agree, disagree, or somewhat disagree. The self-report test is the most convenient test to deliver and score.
The other EQ test involves responding to scenarios, demonstrating, and assessing their abilities and so it’s called the ability test. This test requires a third party to evaluate the test taker.
Core components of Emotional Intelligence
One of the core attributes related to emotional intelligence is being able to identify and understand your own emotions as well as perceiving how it affects other people. Self-awareness allows you to embrace your own strengths and weaknesses, therefore, you’re more self-confident.
Knowing how and when to express your thoughts and feelings in the right place and time is a vital component of EQ. This ability can prevent you from acting out of impulse which more often than not, creates more problems and solutions.
Being able to relate to what other people are going through is a powerful aspect of EQ. Some people call this empathy. Emotional understanding allows you to create meaningful relationships as well as connect with other people a lot better.
Rewards like money, praises, or popularity don’t drive a person who has high emotional intelligence. Rather, their mission in life is to accomplish their inner needs and aspirations. They set realistic and measurable goals and celebrate their victories, no matter how big or small they are.
What is Adversity Quotient (AQ)
Adversity Quotient (AQ) is the score that evaluates the strength of a person to deal with life’s difficulties or adversities. This is also known as resilience.
AQ is a term coined by Dr. Paul Stoltz in 1997. He explored and discussed how having high Aq is related to why some businesses fail and some businesses thrive and flourish.
While the level of cognitive and emotional intelligence plays vital parts in leadership development, many experts believe that these skills won’t matter much if they can’t adapt well when they hit rough river waters. Because in any kind of business, it’s common to come across difficulties.
AQ and EQ relationship
There are cases where people with high emotional intelligence have high levels of resilience as well. However, there are also times where EQ is higher while AQ is higher, and vice versa. Either way, depending on how they apply it, people who go into business with high AQ usually have strong leadership skills.
This is because leaders like managers or supervisors are often the ones who’re getting asked for advice or suggestion by their subordinates. They’re the ones who confront challenges and find a solution to bounce back again.
What is Social Quotient (SQ)
Social Quotient, or also referred to as social intelligence, is the ability to communicate and build relationships that are based on compassion and understanding. In SQ, self-awareness and being able to manage your own emotions are very important. And so, emotional intelligence is closely related to SQ.
American psychologist, Edward Thorndike, started the theory of social intelligence in the 1920s.
According to Thorndike, social intelligence is “the ability to understand and manage men and women and boys and girls, to act wisely in human relations.”
Core Traits of Social Quotient
A person with a high SQ is an active listener. He pays attention and cares about what the other person talks about. They try their best to connect with them. They make the other person feel like they’re heard and understood.
Able to carry on conversations
Being able to engage people during conversation and sustain is an important aspect of having high SQ. They ask genuine questions and contribute topics related to the conversation.
Maintain their reputation
One of the vital traits of socially intelligent people is the ability to maintain their reputation. Having a well-balanced reputation is important for them and being authentic at the same time.
Socially intelligent people are able to pick up emotional cues from other people. They also use this to avoid argument when their ideas differ from someone they’re having a conversation with. They listen to them, respect other people’s opinions, and deal with them appropriately.
IQ, EQ, SQ & AQ: Importance to business
Business leaders who have high IQ, EQ, SQ, and AQ wear the crown. While IQ is the least coveted trait, it’s certainly is still a vital aspect of becoming a successful and resilient leader in business.
Leaders are innovative, must be able to communicate their ideas and opinions better, have a healthy relationship with their employees and maintain it, and finally, they should be able to adapt well to changes and face adversity with their head up high.