Chapter 6. Emotional Intelligence, Stress, and Catastrophic Leadership Failure™

Henry L. Thompson

Why do smart leaders with proven track records sometimes suddenly begin making really bad decisions—or no decisions? Numerous well-known public examples, such as Enron, WorldCom, Tyco, FannieMae®, FreddieMac®, AIG®, and Hurricane Katrina, illustrate poor leadership decisions, and thousands of lesser-known examples happen every day. CEOs are being replaced at a record high rate of 7.6 per business day in the United States. Over 28 percent of these CEOs were in position less than three years, and 13 percent less than one year (Challenger, Gray, ?& Christmas, 2005). Research (Thompson, 2005) shows that stress and its impact on cognitive and emotional ...

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