Emotional Intelligence and Leadership Styles in Construction Project Management

Riza Yosia Sunindijo1; Bonaventura H. W. Hadikusumo2; and Stephen Ogunlana3

Introduction

The role of project managers is very important as they are the ultimate persons responsible for the success or failure of projects. The human skill is of paramount importance as project managers need to interact with people frequently. In reality, about 88% of project managers spend more than half of their working time interacting with others (Strohmeier 1992). This high level of interaction demands that project managers are able to lead effectively and to manage conflicts continuously in order to build good relationships and ensure the success of their projects.

Project managers also need to possess skills to lead teamwork. Within the internal organization, project managers have to lead their subordinates, a situation which requires them to possess effective leadership skills necessary for facilitating workers to achieve project goals successfully (Lewis 1998; Loo 1996).

Many studies have been carried out on human skills in project management. Some studies suggested critical skills for project managers (El-Sabaa 2001; Strohmeier 1992; Cowie 2003); whereas others recommended effective leadership as a critical factor in project management (Cleland 1995; Keegan and Den Hartog 2004; Zimmerer and Yasin 1998). Rowlinson et al.’s (1993) study on the leadership style of construction managers in Hong Kong revealed that human skills are of paramount importance in project management.

Emotional intelligence (EI) is increasingly being recognized as an important issue in the workplace. There is a surprising finding that intelligent quotient (IQ) is second after EI in determining outstanding job performance (Goleman 1995, 19980. According to Carmeli (2003), emotionally intelligent senior managers perform better on their jobs compared to their contemporaries with lower EI. The benefits of EI to project management are therefore proposed for study in this research.

The objective of the study is to investigate the benefits of EI in project management in terms of its relationship with effective leadership styles. The benefits of EI are being investigated because project managers need good human skills to lead project teams. This research therefore examines whether project managers with high or low EI have different leadership styles.

Emotional Intelligence

According to Goleman (1998), emotional intelligence is the capacity to recognize our own feelings and those of others, for motivating ourselves, and for managing emotions well in us and in our relationships.

Compared to the amount of research already conducted on IQ, the study of emotional intelligence is still relatively new. Nevertheless, EI is increasingly being recognized as an important issue in the workplace. Many studies have shown that high IQ does not necessarily guarantee a successful life. According to Goleman (1995, 1998), emotional intelligence is more important than IQ in determining outstanding job performance. Dulewicz and Higgs (2000) supported this assertion by saying that the IQ test has failed to provide sufficient variance in success criteria both in the educational and in the organizational environments. Research has indicated that emotional competencies (i.e., the potential of EI that has translated into practical capabilities) are twice as important as IQ and expertise in contributing to excellent and effective Performance (Goleman 1998).

Goleman (2001) explained that emotional intelligence has two competencies, the personal competence and the social competence. The personal competence consists of self-awareness and self-management, whereas the social competence consists of social awareness and relationship management. Self-awareness means knowing one’s feelings at the moment and using it for decision making, which is known as “intuition.” A person who has this ability is aware of his/her own strengths and weaknesses, is open to feedback, and is willing to learn from past experiences. Self-awareness competencies are: emotional awareness (recognizing one’s emotions and their effects), accurate self-assessment (knowing one’s strengths and limitations), and self-confidence (a strong sense of one’s self-worth and capabilities).

Self-management is the ability to regulate distressing factors such as anxiety and anger and to restrain emotional impulsivity. Given this ability, a person will be able to hold in mind the positive feelings that arise when he/she achieves goals or inhibit negative feelings, a situation that will help to boost motivation. Competencies of self-management are emotional self-control (keeping disruptive emotions and impulses in check), trustworthiness (maintaining standards of honesty and integrity), conscientiousness (taking responsibilities for personal performance), adaptability (flexibility in handling change), achievement drive (striving to improve or to meet a standard of excellence), and initiative (innovativeness and readiness to act on opportunities).

With social awareness, a person can recognize the feelings of other people. An individual with this ability can read nonverbal cues for emotional currents from others. This is critical for job performance when the focus is on interactions with people. Social awareness competencies are empathy (understanding others’ feeling and perspectives, taking an active interest in their concerns, and cultivating opportunities through them); service orientation (anticipating, recognizing, and meeting customers’ needs); and organizational awareness (reading a group’s emotional currents and power relationships).

Finally, relationship management is the ability to attune oneself to, or to influence, the emotions of other people. The competencies of relationship management are developing others (sensing others’ development needs and bolstering their abilities); influence (welding effective tactics for persuasion); communication (listening openly and sending convincing messages); conflict management (negotiating and resolving disagreements); visionary leadership (inspiring, guiding, and commitment to individuals and groups); change catalyst (initiating or managing change); building bonds (nurturing instrumental relationships); and teamwork and collaboration (working with others to achieve shared goals).

Leadership Behaviors of Project Managers

Mintzberg (1980) identified ten managerial roles performed by project managers. Two of the roles investigated in this research are the ability to act as a leader and as a disturbance handler. A leader should influence people toward the attainment of organizational goals and should be able to manage conflicts whenever disputes or crises arise.

Thirteen leadership behaviors necessary to influence people were identified from extensive literature reviews.

1. Visioning: The leader communicates the vision and helps the team to clarify its goals (Boehnke et al. 1999; Katzenbach and Smith 2003).

2. Inspiring: This behavior is usually displayed by the communication of high expectations, using symbols to focus efforts, and expressing important purposes in simple ways (Boehnke et al. 1999; Humphreys 2002).

3. Stimulating: The leader helps subordinates to look at old problems from new and different perspectives. Intelligence and rationality are used in problem solving (Boehnke et al. 1999; Humphreys 2002).

4. Coaching: The leader pays close attention to individual differences among subordinates; and he/she teaches and advises employees with individual personal attention (Humphreys 2002).

5. Rewarding: The leader provides rewards and positive feedback to employees who meet agreed goals (Boehnke et al. 1999; Humphreys 2002).

6. Punishing: This style is characterized by giving punishment and negative feedback to employees who show undesirable and below par performance (Daft 2003).

7. Delegating: The basic concept of delegation is to transfer authority and responsibility to lower positions in the organizational hierarchy (Daft 2003) and to provide challenging and difficult tasks to subordinates to enhance their development (Boehnke et al. 1999).

8. Leading by example: The leader does the same real work and contributes in the same way like subordinates (Zimmerer and Yasin 1998; Littrell 2002; Katzenbach and Smith 2003).

9. Sharing and open communication: The leader shares all types of information throughout the organization, across functional and hierarchical levels (Daft 2003).

10. Listening: The leader grasps both facts and feelings to interpret a message’s true meaning, and shifts thoughts to empathizing with others (Cacioppe 1997; Daft 2003).

11. Directing: The leader tells subordinates exactly what they are supposed to do. The leader sets the goals, standards, rules, and the regulations (Littrell 2002; Daft 2003).

12. Participating: The leader consults with subordinates before making decisions. Opinions, suggestions, and participation are encouraged in the decision-making process (Littrell 2002; Katzenbach and Smith 2003; Daft 2003).

13. Proactive: The leader actively seeks information from others and identifies problems at the early stage (Daft 2003).

Conclusion

EI is gaining increasing acceptance as an important success factor in the workplace. In order to extend the usefulness of EI, the study focused on investigating the benefits of EI to project management in terms of leadership styles.

PMEs with higher EI scores tend to use more open communication and proactive leadership styles than PMEs with lower EI scores. Open communication is a key factor in organizational success as it opens up the possibility of getting the best from people. Proactivity is essential to tackle problems at the early stages. Therefore, a PME with high EI can stimulate team performance and innovation.

Positive correlations between leadership behaviors and EI dimensions were observed. These correlations show the dimensions of EI that generate particular leadership behavior. The study also found that EI generates delegating, open communication, and proactive behavior. These relationships support the theory of EI and these three leadership behaviors can bring positive outcomes for the organization if used properly (Goleman 2001; Goleman et al. 2002; TalentSmart 2004).

This study was published in the “Journal of Management in Engineering, Vol. 23, No. 4, October 1, 2007” and full journal article is available upon request.

Abstract is copied and posted.

Abstract: Human factors are of paramount importance to the success of projects. Although a lot of studies have been carried out on human factors in project management, not much research has been done on emotional intelligence (EI). Studies have shown that EI is beneficial to both the individual and the organization. The benefits of EI to project management were investigated in terms of the style of leadership. The study was conducted in Thailand by interviewing project managers and engineers (PMEs); and client representatives. The results showed that EI affected leadership behavior of the project leader. PMEs with higher EI tend to use open communication and proactive leadership styles. It is also found that EI generates delegating, open communication, and proactive behavior, which can bring positive outcomes to the organization.

1 Asian Institute of Technology, Pathumthani, Thailand.
2Asian Institute of Technology, Pathumthani, Thailand.
3Asian Institute of Technology, Pathumthani, Thailand.