Empathy is defined as “the ability to recognize and share the emotions experienced by another”. We have come across such situations like this at different times of our lives, whether it is to console a colleague who couldn’t get a promotion, or helping a co-worker out who has loose hopes to achieve a target, all is done out of empathy. This is because we understand the other person’s feelings as we might have gone through the similar incidents in our life too.
Now the question is how does the concept of ‘empathy’ apply to an entrepreneur?
“Emotional Intelligence can matter more than the IQ in business”, says Daniel Goleman through his best-selling book named as ‘Emotional Intelligence’. Business is not simply defined as the commercial activity where less money goes in and more comes out. The more admiring definition would be- a business is the beauty of bringing together different peoples and things to serve the community in a better way. And empathy is one tool that can make this happen. An entrepreneur is surrounded by four kinds of people; customers, employees, investors and shareholders. The success rate of a business is dependent on the level of tuning between the entrepreneur and these four parties. This connection will help entrepreneur to run the business optimally.
If customers, employees, investors and shareholders know that their interests are priority to the firm and that their voice matters, they will put in the best of their efforts in their work. Therefore, an entrepreneur should be able to express that the goal of the business is not just to benefit himself, but the entire union. Here is how one can achieve it.
Customers and employees:
Employees are typically the battlefront of a business and customers are the suppliers of profit. So understanding their expertise and insights is crucial. It is very important to have a quality talk with them and perceive their vision. This will help gain valuable information to be put into the equation of success.
Another technique that can be accustomed to indicate sympathy is the use of positive reinforcement within company interactions. Many a times, we see punishments and penalties are imposed on the employees to make them act in a particular way. However, showing admiration through rewards, incentives and counseling will display the message that the company values the people connected to it.
Happy and loyal employees and customers add up to the success of a business in a much constructive way.
Investors and shareholders:
It is equally vital to understand the panorama of investors and shareholders. These parties have invested with the entrepreneur and therefore have unconditional interests that need to be attended. An eminent entrepreneur will be proactive during this relationship by knowing all time where the other stands and thus maintain ongoing communication acceptable for the circumstances.
Fostering a better world:
The most successful entrepreneur will be governed not only by his soaring success level in business, but also the positive image that he fostered of the human spirit. To accomplish this, it is important that the company maintain good relationships with the people associated with it. Demonstrating empathy to the individuals associated with a firm will run a long way towards developing a company’s name. It may look upon as a business strategy, but it goes far beyond that. In this running advanced age of business, markets are flooded with companies trying to earn more and more bucks. The companies that are going to outstand are the one who make the efforts to understand their customers, employees and investors. The entrepreneur who practice empathy is the one walking with pace towards success. So, have you mastered the sense of empathy in business?