It’s not just about being nice – you must be effectively connecting to employee and customer emotions and needs.

People are hurting – economically, physically, socially and emotionally – maybe worse than in a generation. And if business leaders want to succeed, they must respond by demonstrating they not only care but are aware of what their employees and customers are experiencing and are willing to do whatever it takes to help.

Human beings are social animals, and we need each other not only to survive but to thrive in society. So, it should be a no-brainer that this kind of necessary cooperation and integration is needed in the workplace just as it is in every other sector of our lives — if not even more so, if we hope to bring about and maximize our mutually desired success in business. That has been empirically proven time and time again by scores of studies and surveys.

Most recently, a 2023 Ernst & Young business survey found an overwhelming majority of employees said that empathetic leadership increases morale and is an essential element of fostering an inclusive environment. Furthermore, that study followed up on earlier analysis of empathy in 2021 that found a majority of workers felt mutual empathy between company leaders and employees leads to greater efficiency, creativity, job satisfaction, idea sharing, innovation and even increased revenue.

But somehow, sometimes that doesn’t always translate into the need to understand and empathize with each other when we get down to brass tacks and the tasks at hand that come with trying to grind out those all-important profits.

But if you believe that people are the point of profit and not the other way around, as we do at the Center for Social Capital, you firmly believe that business can and must be the force to improve lives. (And, in fact, that’s actually how capitalism works best.) Then, empathy and the ability to practice in the workplace is one of the most powerful tools for accomplishing that.

The leaders who do the hard work to remind themselves of the importance of this and implement policies that put this crucial human superpower into the mix at work find incredible and far-reaching rewards. But what does empathy really mean? And how do you actually put it into action in a business model? It’s not just saying you care or paying some high-priced business consultant to help you amplify your “EQ.”; it can and needs to be far more systemic, organic and far-reaching than that.

Since this is such a crucial element of being a Social Capital leader, we at the Center for Social Capital reached out this month to our celebrated and honored leaders to get their take on what it was and how they wield this sword of success and sensitivity to cut through all the obstacles and silos that potentially separate us at work to find real and authentic ways to connect and help.

Across differences of age and circumstance, empathy seems to elicit a universal response. We see this as our CEOs share their relationship to this concept, along with nuances in their application and powerful examples of putting it into real-world situations.

If you are looking to be more empathetic, we think our feature this month will give you a whole lot of inspiration, ideas and ammunition for how to do it. And it will also give you some incredibly revealing insights on the motivations of these powerfully dynamic and empathetic honorees.

Bob Chapman, CEO & Chairman of Barry-Wehmiller Companies

When we have empathy, we understand, respect and value others’ perspective. And empathy begins with listening. It’s not about hearing what the other person is saying, but more deeply understanding what they feel or the message behind their words. Everyone is born with unique attributes and has a personality type that creates a lens through which they experience the world. Two people can see exactly the same situation and see it entirely differently. But when we are truly, empathetically listening — where one actually hears the other person’s words and feelings — it allows us to see things from others’ perspectives. It’s the key to all meaningful relationships as it shows that you respect and care for the person you’re hearing. And you are showing the other person that they matter.

As leaders, we should strive to create work environments where our team members feel safe, cared for and comfortable being their true selves. Empathy, respecting and valuing others’ perspective, naturally leads to kindness. A work environment rooted in kindness strengthens the foundation of any business and, above all, impacts the health, well-being and overall quality of life of its team members.

But it goes beyond the four walls of an organization. When we demonstrate kindness, when we act in empathy, when we show people that they matter, we can restore, honor and protect the sense of dignity that is a basic human need. This is how a good job, positive work environments and business itself can work toward ending the poverty of dignity that exists in the world.

Damien Huang, CEO of Cotopaxi

Empathy is the ability and the inclination to consider the experiences of others in how we run our business. It means we focus on not only the projects and processes that drive an organization, but also on the individual person who participates in that work. Empathy recognizes the complexity and humanity of the individual and not just the person as a source of work.

Cotopaxi is powered by the passion of our people. That passion is not only important for the idea of a distinct and formidable “company culture,” it has driven impactful innovation and marketing ideas, and attracted and retained talent. Empathy is a key ingredient in what makes that happen. We lead with empathy simply because it creates better outcomes for the employee, the team and the business.

Ginni Rometty, Former Chairman & CEO of IBM

My own leadership style evolved as I straddled the emotional polarities of change: hope and fear. Optimism and caution. Frustration and excitement. I also tried to balance soft and hard approaches to leadership as never before, like making decisions with both empathy and logic, honoring our people and our mission, being personable as well as direct and demanding. I hoped my efforts to engage hearts and heads energized people along the journey.

[Excerpted with permission from Good Power (Harvard Business Review Press, 2023) by Ginni Rometty]

Garry Ridge, Former CEO of WD-40

To me, empathy is the ability to truly understand and share the feelings and perspectives of others. It involves actively listening and being present in the moment without passing judgment or offering unsolicited solutions. Empathy is about connecting with people on a human level, recognizing their emotions and experiences, and responding with compassion and understanding. It goes beyond sympathy, which is simply feeling sorry for someone; empathy requires us to put ourselves in their shoes and feel what they are feeling. This deep connection fosters trust and mutual respect, essential elements for any thriving relationship, whether personal or professional.

Empathy is fundamental to how I lead because it creates a culture of trust, respect and open communication within the organization. When leaders demonstrate empathy, they show that they value and care about their tribe and team members as individuals, not just as employees. This approach encourages a more engaged and motivated workforce, as people are more likely to give their best when they feel understood and appreciated.

Empathy helps me to anticipate and address the needs and concerns of my tribe, leading to better decision-making and more effective problem-solving. By fostering an environment where everyone feels heard and valued, and by embracing learning moments, I can cultivate a supportive and collaborative workplace, driving both individual and organizational success.

Fred Hassan, at Warburg Pincus and Former Chairman & CEO of Schering Plough

Empathy is a deeper connection with self and with others. It’s being in tune — like in a radio frequency. It starts with being in tune with oneself — with one’s deepest thoughts, hopes, ambitions and apprehensions.

Empathy for self means being kind to oneself, even as one is brutally honest with oneself. Once in tune on the inside, one is better positioned to be in tune with the outside. It means being in tune with people, with teams of people and with society as a whole. Being in tune on the outside means connecting with the heads and the hearts — hearts with a capital H. Once one cares — sincerely cares — actively listens, learns and understands, without exercising premature judgement, and then responds with caring, with sincerity and with authenticity, then one earns trust as a leader who leads with empathy. By earning trusting followership, 1+1 becomes 3 when it comes to strategy and execution.

Leading with empathy enables me to be that confident, modern-day leader who strives for confident humility, relentless curiosity and continuous self-learning. In 2023, we saw a major changeover of workforce demographics where, for the first time, millennials and the younger generations outnumber the Gen Xers and the boomers. These younger demographics have a special appreciation for leaders who are authentic, who not only value openness, flexibility and inclusivity but also know how to harness it with the power of empathy. Leadership becomes earned followership. Once people are in tune with their empathetic leaders, then resonance develops, and powerful strategy and execution follows. Technology revolutions like the internet, AI and quantum computing augment information, data analysis and decision making. And leading with empathy will still drive teams to win even in this digital age.

Jonathan Keyser, Founding Member & Managing Partner of Keyser

For me, empathy isn’t just about superficially recognizing emotions. It’s about establishing an essential connection that allows me to deeply understand the emotional experiences of others. This connection enables me to grasp not only the surface-level feelings but also the complex blend of life experiences, thoughts and perspectives that shape those emotions. I view empathy as a valuable skill that empowers me to provide thoughtful assistance with heightened awareness and sensitivity, whether collaborating with my team or supporting clients. This capacity to emotionally connect enhances my ability to deliver genuine care, support and tailored solutions, contributing to an empathetic and nurturing environment both professionally and personally.

In my leadership approach, I prioritize harnessing empathy as a guiding principle because I’ve seen its transformative power firsthand. Understanding my team’s diverse experiences and needs on a deep level allows me to lead with compassion and insight. When I offer support, it’s not just about meeting immediate goals; it’s about genuinely caring for the well-being and growth of each team member or client, without expecting anything in return. This selfless approach creates an environment where everyone feels valued and understood. In this empathetic space, collaboration and creativity flourish, making our workplace not only productive but also deeply fulfilling.

Jill Koziol, Co-founder, Board Director & Former CEO of Motherly

Empathy, to me, is the ability to deeply understand and share the feelings of another. It’s about seeing the world through another’s eyes and, more importantly, feeling it through their heart. At Motherly, empathy isn’t just a leadership skill; it’s embedded in our ethos. It guides how we connect with our community and how we support our team. By leading with empathy, we create an environment where everyone feels seen, heard and valued.

Leading with empathy has always been fundamental to how I approach my role. It allows me to forge genuine connections with my team and our audience, fostering a culture of trust and mutual respect. This approach not only helps in navigating the complexities of business but also drives innovation by considering diverse perspectives and experiences. In a world that’s increasingly interconnected, empathy bridges gaps and builds the kind of social capital that sustains and enhances our communal and business engagements.

Don Larson, Founder & CEO of Sunshine Nut Company

I have always stated that you need to ignite the passions of an individual and give them the ability to act within that motivation to realize a truly high-performing individual. When we moved to Mozambique 13 years ago, I started to deal with all levels of society. Our objective has always been to bring subsistence farmers out of abject poverty and into a life free from suffering, malnutrition and lack of basic needs.

These subsistence farmers were quite capable of living better lives, but they lacked the resources, the opportunities and the education to act. They are smart, resourceful and motivated within their circles of opportunity. But, with almost no means to change their lives, their mindsets are focused on survival, on what will allow them to live another day. This is often misinterpreted as inability to succeed. When I went to a large European gathering and the CEO of a top bank told the large audience his bank wasn’t doing anything further with either smallholder farmers or small to medium enterprises in Africa because they mostly fail, I raised my hand during questioning and said, “My experience is that the failures are typically on our end, because we do not meet them at their level of capability.” I then added: “If you put any of us into the conditions they live in on a daily basis, we would probably die quickly from the inability to survive. My experience is that if you meet them at their level of capability, they thrive.” This is my definition of empathy.

It is understanding the life of a subsistence farmer and their true desire to improve their conditions. It is developing a solution that allows them to thrive, to work hard and shift their mindset to one of hope, opportunity and dignity. Our business model has eight core transformation goals: 1) Replacing dependence with self-reliance, 2) Substituting handouts with empowerment. 3) Shifting entitlement to earning, 4) Exchanging despair for hope, 5) Converting adversity into opportunity, 6) Overcoming stagnation with transformation, 7) Restoring dignity in place of worthlessness, and 8) Swapping failure with excellence.

I see all individuals as equals, whether they are country leaders or part of the subsistence farming community. We all have capability. It is mostly our circumstances that shape our future. Change the circumstances to allow people to see beyond surviving and you quickly see hope spring forth, allowing them to start thriving.

I had a UNICEF leader here in Mozambique ask what our metrics of success were as she marveled at the orphan homes we build and support as part of our business model. I responded, “Tears of joy.” I frequently shed tears when we get to see people who have been written off by society come into the fullness of life and possibilities. Just a couple weeks ago, I brought a worker into my office and told him he was being promoted to be a supervisor. This tall, burly man broke down in sobbing tears of thankfulness. It lasted for minutes. He had me and three other managers shedding tears as well. When the worker left, I remarked, “This is what it is all about. You can’t get a reward in life any better than that.” When you have the desire to feel their misery, you strive hard to be able to feel their joy.

John Mackey, Co-founder of Love.Life and Co-founder & Former CEO of Whole Foods

For me, empathy means the skill to put myself in someone else’s shoes and see how they are seeing things and feel what they are feeling. It is a quality that is natural for any human to have, but it is also a skill that can be developed to higher and higher levels through continually practicing it.

In today’s complex world full of various interdependent organizational stakeholders, as well as a very challenging political environment, empathy has become even more important for leaders to skillfully employ. It starts with being fully present with someone else and quieting my busy mind down. When my mind is quiet and I am present, I can really listen to what someone else is saying (both verbally and non-verbally) and feel what she or he is feeling. In such a mindful state of presence, I am better able to go much deeper into whatever situation I find myself in and can see and intuitively know what is most appropriate to say or do.

I have found it helpful to also ask this question: “How can we best create a win-win-win solution to whatever is happening?” While in a mindful and empathetic state of consciousness, I will make better leadership decisions for all the organizational stakeholders, including the person or people I am in empathetic resonance with.

Harold MacDowell, Board Director & Former CEO of TDIndustries

I would define empathy as seeing those you interact with — whether it’s direct reports, colleagues, customers or family and friends — as full, complex human beings. It’s rooted in humility, choosing to find common ground as humans despite our differences.

To build strong relationships you want to connect with people. You have to be curious, and you have to be genuinely interested in what they do and what they might be up against. Jim Hunter’s definition of a servant leader is someone who identifies and meets the legitimate needs of their people and removes all the barriers that stop them from serving the customer. That requires listening and acting with empathy.

We’re all humans, right? That includes seeing the humanity in others to work through challenges and find positive solutions. People wear a lot of masks in the world, but when you take the masks away, we’re pretty much the same.

Robert Glazer, Founder, Chairman of the Board & Former CEO of Acceleration Partners

Empathy is the ability to deeply understand and share the feelings of another person. Empathy also requires being able to step into someone else’s shoes and to see the world from their perspective.

To this extent, to lead effectively, it’s important to really understand the people you are leading — their strengths, weaknesses, motivations and challenges. This is why I always made it a priority to get to know the people I lead on a deeper level, including understanding their history and backstory and, especially, their why.

Additionally, by getting to know team members’ individual strengths and areas for growth, I found it easier to respond and support in ways that would resonate most. This offers the opportunity to provide meaningful feedback, offer appropriate challenges, and recognize achievements in a way that resonates most with them.

My experience is that when employees feel understood and valued as individuals, they are more engaged, motivated, and committed to their work.

Susanne Evens, Founder & CEO of AAA Translation

Empathy in business, especially for a small business owner, centers on understanding and addressing the needs and emotions of customers, employees, and partners.

It means putting myself in the shoes of our stakeholders to grasp their perspectives and experiences fully. This involves active listening, observing non-verbal cues and responding thoughtfully. Empathy helps in creating a more personalized customer experience, which can foster loyalty and repeat business. By understanding customer pain points, us small business owners can tailor our products and services more effectively, enhancing customer satisfaction and driving growth.

Internally, empathy is crucial in managing and motivating our employees and freelancers. It means recognizing the unique challenges and aspirations of our local and global team members. This understanding fosters a supportive work environment where everyone feels valued and heard. When we care about their well-being, they are more likely to be engaged and productive. Empathetic leadership also means being flexible and accommodating, such as offering flexible work hours or providing support during personal hardships. This not only boosts morale but can also reduce turnover, which is vital for the stability and growth of any business.

Empathy extends to business partnerships and networking as well. For a small business owner, empathy is a tool for building strong, collaborative relationships with suppliers, investors and other business partners. By understanding and considering the needs and constraints of these partners, an empathetic business owner can negotiate more effectively and create win-win situations. This approach can lead to more favorable terms, reliable partnerships and a positive reputation in the business community.

In essence, empathy in business for a small business owner is about creating meaningful, trust-based relationships that support long-term success.

Seth Bogner, Chairman & CEO of HeartPoint Global 

To me, empathy is the ability to genuinely understand and share the feelings of others. Empathy requires active listening, deep understanding and thoughtful action to support and connect with others meaningfully.

In the context of leadership, empathy means recognizing the emotions and perspectives of team members and using that understanding to guide interactions and decisions. It’s about creating a supportive work environment, fostering open communication and building strong, trust-based relationships. By being empathetic, a leader can better address the needs of their team, motivate them effectively and navigate challenging situations with sensitivity and care. Empathy is not just a soft skill but a critical leadership capability that enhances communication, promotes collaboration and drives overall team success.

Empathy is at the heart of my leadership style because it fosters a supportive and inclusive work environment. Our business is built on empathy, particularly for the 90% of children worldwide who lack access to cardiac care. Empathy empowers me to navigate challenging situations with sensitivity, ensuring that our decisions prioritize the well-being of all stakeholders.

This approach aligns closely with emotional intelligence, promoting a corporate culture characterized by open communication, collaboration and a strong sense of belonging. By valuing empathy, we create a successful and cohesive team, united by our commitment to making a meaningful difference in the lives of those we serve.

Duncan Angove, CEO of Blue Yonder

Empathy, to me, is a fundamental aspect of human connection, encapsulating the ability to deeply understand and resonate with the emotions and experiences of others. It goes beyond mere sympathy; it involves actively stepping into someone else’s shoes and seeing the world from their perspective. Empathy is about cultivating compassion and kindness and seeking to understand why someone feels the way they do. This sentiment resonates deeply with me because it highlights the importance of genuine care and consideration for others’ feelings and experiences.

In the context of Blue Yonder, empathy serves as a guiding principle that shapes how we interact with one another and our stakeholders. In fact, empathy is one of our company’s core values along with respect, integrity and inclusion. We believe that empathy is critical in fostering a culture where everyone feels valued, heard and supported. We interviewed associates from across our organization who echoed this sentiment, highlighting how empathy is ingrained in Blue Yonder’s DNA, with leaders who “listen to you,” “try to understand,” and provide support and guidance. This collective understanding underscores the crucial role empathy plays in building strong relationships and fostering a sense of belonging within our organization.

As a global company, empathy allows us to transcend cultures. It offers us the ability to recognize that when we approach others from different cultures and seek first to understand, we are able to better appreciate the other person’s perspective and opinions so we can better collaborate together.

Empathy is not just a soft skill but a cornerstone of effective leadership and innovation. By embodying empathy in our interactions, we create an environment where individuals feel empowered to express themselves authentically and contribute their unique perspectives. This cultivates a culture of inclusivity and trust where individuals feel valued, heard and supported. When we have empathy, we create space for mistakes, which, in turn, more greatly encourages associates to take risks and try new and innovative ways to solve challenges. This sense of psychological safety and mutual respect cultivates trust and collaboration, enabling us to work toward common goals with empathy as our compass.

Empathy lies at the heart of my leadership philosophy, guiding my approach to decision-making, communication and relationship-building. I believe effective leadership is about genuinely connecting with and understanding the needs and aspirations of those we lead. And to do that, I believe leaders must also be humble by always being open to feedback and new perspectives and ways of looking at the world.

Furthermore, empathy transcends mere internal dynamics and extends to our interactions with customers and partners. Drawing from my engineering background, I inherently approach empathy as a crucial component in the development process. By deeply understanding the needs, challenges and aspirations of our stakeholders, we engineer updates and enhancements that go beyond mere functionality. This unique perspective allows us to craft solutions that not only address immediate concerns but also resonate deeply, making a meaningful and lasting impact on our customers’ experiences. In maximizing customer value, we don’t just consider the technical aspects but also the human element, ensuring our products and solutions align seamlessly with the diverse needs and aspirations of our users.

When done well, leading with empathy becomes contagious. My hope is that by leading with empathy, we will inspire others to do the same. This builds the end result of a culture of compassion, understanding and excellence that drives innovation, collaboration and lasting success.

Maraia Tanner, CEO of STAR Harbor Academy

I define empathy as the ability to put yourself in someone else’s shoes — to imagine and feel what it is to be the other person. I find empathy to be both my greatest strength and greatest challenge as a CEO.

It’s been my experience that empathy is often expected to take a backseat in the world of business. There’s a societal presumption that business should be conducted devoid of emotion, focused solely on financial outcomes without consideration for the human element. I believe this approach, while prevalent, has discernable and widespread adverse effects: lack of employee motivation, productivity, reliability and care given to work-product, not to mention theft, high turnover, etc. In life, respect is a two-way street; business should not be set apart from that standard.

That said, I understand the rationale and the desire for mental self-preservation behind why many CEOs choose to limit empathy in their leadership: It makes a hard job much harder. Indeed, my responsibilities would be far simpler if I could disregard the personal impacts to others of the hard decisions I sometimes have to make. Yes, such detachment, while easing the burden of decision-making — “it’s not personal, it’s just business” — does not, in my belief, propel a business to reach its greatest potential.

I have always maintained that my team is the greatest asset we have and taking care of them, as best we can given our limitations, is the most critical component of long-term success. I have found that a culture based on mutual respect and consideration generates the best results by far, for our employees and our company as well as for our partners and clients. While I have not always been able to give my team everything I wish I could and I have certainly had to make decisions that are in the best interest of the company at a cost to people I care about, my team knows I do not make such decisions lightly. They know they are not just cost line items on a spreadsheet which are easily deducted.

I am committed to doing the “right” thing by my employees, even when the right thing is hard or more costly than the easy thing, because it’s who I am and I believe this approach garners a level of productivity, trust and commitment that is hard to come by in business today. Admittedly, in the decade-plus that I have been leading Star Harbor, there have been occasions I feel have fallen short of my ideals, for one reason or another, and when that happens, it hits hard. I then take the lesson so I can do it better in the future. Your employees don’t expect you to be perfect or to sacrifice the business on their behalf; however, they do expect you to be human in the process. No one wants to feel like a number.

The decisions we make as CEOs that adversely affect people’s personal lives or professional trajectories should not be made callously. That’s not to say that the hard decisions shouldn’t be made or that it’s necessary to walk around in a cloud of guilt when they are; however, when there is a human cost to such actions, those costs should always be considered and honored if you want the best out of your team. At the end of the day, it’s just smart business.

 Dave Alexander, Founder & Managing Member of Caljet of America

Empathy is a very important part of my life and encompasses additional words or concepts that make me a better stronger person and leader. Put together in my mind, intuition, sensitivity, gentleness and empathy equals one concept: intellectual power!

My life’s journey has used these words to learn how to read, influence, develop and lead people to become an entertainer, athlete, entrepreneur and good citizen. I have learned and attempted to do this with mental calmness, composure and evenness of temper, especially in difficult situations.