“Real empathy is sometimes not insisting that it is okay but acknowledging that it is not.” — Sheryl Sandberg

According to recent studies carried out by the Development Dimensions International, Empathy is the biggest single leadership skill needed today.

In a global survey, DDI discovered that the top ten performing businesses in the 160 studies the “Global Empathy Index” generated 50% more net income than the bottom ten performers. According to Richard S. Wellins, Ph.D., Senior Vice President of DDI, “Being able to listen and respond with empathy is overwhelmingly the one interaction skill that outshines all other skills.” 

Other research has backed up DDI findings. Dianne Crampton at Gonzaga University found that “Empathy is a universal team value that promotes high commitment and cooperation in the workplace. Becoming aware of the importance of their leaders developing empathy, companies are responding with sending their leaders to empathy training.”  According to the Wall Street Journal, 20% of employers now offer empathy training, which is up substantially from ten years prior. 
 
Here are five Reasons that Empathy is becoming the number one leadership skill:

1. Increased Employee Retention

One of the struggles that every organization faces is retaining talented staff. One of the most commonly cited reasons for people leaving an organization is a lack of trust and appreciation from those they report to. Empathy increases trust, a sense that staff is valued and cared about.   Whether in our personal relationships or part of an organization, we will be more likely to stay when we feel heard, appreciated, and cared about.  Developing and use of more Empathy by leaders goes a long way towards affecting people to stay.

2. Increase in Staff Engagement

Have you ever noticed that when someone close to you notices how you feel or tells you how much they appreciate something you have done for them?  You automatically have the urge to do more for them. In terms of employee engagement, it is known that when leadership demonstrates to employees that they care, the reciprocity reaction kicks in, and they want to put in more effort.  Somehow many organizations miss this basic yet very important point when it comes to leadership behaviors.  Successful organizations are aware of this, and their leaders continuously look for ways to notice, compliment, and look for ways to show their appreciation to their staff.
 

3. Increased Collaboration Between Team Members

Employees who feel valued and appreciated want to do more in their work, and they want to do more for their fellow employees.  When Empathy is demonstrated at the top, it is passed down throughout the organization, resulting in increased teamwork, a decrease in staff conflict, and a decrease in workplace disruption.  This collaboration will result in better-coordinated work effort and increased productivity.

4. Increase in Job Satisfaction and Decrease in Absenteeism

Staff who feel witnessed, heard, and appreciated feel more satisfied with their work and miss fewer days on the job.  As the level of job satisfaction decreases, so does the level of absenteeism. Staff who feel less committed to the organization will feel less motivated to come to work. Their rationale is that since nobody cares, so why should they.  Increased absenteeism decreases morale as coworkers who have to pick up the slack become resentful. This can create a downward spiral in terms of employee morale and absenteeism rates. 

5. Increase in Bringing Up New Ideas and Creativity

People who perceive they are part of an organization and feel heard and appreciated tend to risk more and look for ways to add increased value to the organization. They are more likely to put time and energies coming up with new ideas, processes, and methods to improve their work and move the organization forward. Their commitment to the organization makes them feel that their success and that of the organization are interrelated, boosting their desire to find new, better, and more efficient ways of working.

Putting it All Together

Increased Empathy of management in any organization results in many benefits to the well-being, commitment, and desire for staff to give their best.  This is a win-win situation for all concerned as the outcome is an increase in efficiency, productivity, and success of an organization.  As rising numbers of studies come to this conclusion, businesses will increasingly realize that greater leader empathy is not some feel good, soft skill, but rather an essential tool that their leaders will need to keep their organization competitive and successful.