Emotional Intelligence and Strength-Based Leadership as Behavioral Mechanisms of Employee Effectiveness

Abstract Book of the 8th International Conference on Future of Business, Management and Economics

Year: 2026

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Emotional Intelligence and Strength-Based Leadership as Behavioral Mechanisms of Employee Effectiveness

Pupjana Kole

ABSTRACT:

Leadership in modern organizations is acknowledged as a strategic mechanism for improving the efficiency of human capital and the effectiveness of employees. Building upon human capital theory, organizational behavior, and positive organizational scholarship, this paper explores how emotional intelligence (EI) and strength-based leadership (SBL) interact with each other to impact the effectiveness of employees in a high-performance industrial setting. Utilizing quantitative data gathered from the oil and gas sector in Kuwait, a mediation analysis was used to test whether SBL functions as an indirect behavioral pathway in which EI is reflected in performance outcomes. The findings dictate that emotional intelligence has a positive and considerable impact on employee effectiveness, and that this relationship is significantly reinforced when leaders adopt a strength-based approach. Conceptually, the research re-evaluates leadership as an economic and behavioral mechanism that encourages the productive usage of human capital, rather than just a managerial competency. By incorporating management and economic perspectives, this study contributes to the increasing interdisciplinary literature on leadership as a driver for the creation of organizational values. Practical implications are discussed for organizations pursuing sustainable performance through people-oriented leadership strategies, particularly in high-impact and resource-intensive industries.

Keywords: Human Capital Theory; Resource-focused Industries; Economic Mechanism; Leadership Strategies; Sustainable Performance