Understanding people and how they might react to certain situations or events

Understanding people and how they might react to certain situations or events, including new policies, procedures, and priorities, is a vital leadership competency. In addition, emotional intelligence involves a leader’s ability to recognize and understand his or her own emotions and typical reactions to certain people, situations, and 3/4 environments, and to adapt when necessary—for example, by staying calm when highly frustrated or when confronted in a hostile environment. When a leader misinterprets the emotions of others, or his or her own emotional responses—particularly in difficult or crucial situations—negative reactions or outcomes can result and can have a cascading negative effect throughout the organization