A research study was initiated to investigate the impact of emotional intelligence on employees’ satisfaction and loyalty, and how it influences operational efficiency in telecom service industry in Oman. A questionnaire-based survey was conducted and the responses received were tested with various statistical techniques. These test results were found to be in broad agreement with the assumptions widely prevalent in management literature and service industries.

The findings suggest that emotional intelligence contributes significantly in improving internal performance. Employees are valuable assets and improved internal performance is due to employees’ commitment. Service industry could take care of employees, keep them satisfied to win their loyalty, which can be achieved through regular employees’ engagement and involvement. Engaged employees value customers’ expectations and build better relationship. Satisfied and loyal employees are in a position to deliver high service quality and improved productivity. The service provider shall continuously monitor service quality to maintain end users’ satisfaction. It can be sustained through employees’ continuous training and skills development that will improve operational efficiency of the company in terms of increased sales and profitability. Thus, the present study provides an empirical validation and confirmation of the propositions and hypotheses about how service providers should manage employees’ emotional intelligence for giving them satisfaction, winning their loyalty, thereby, eventually enhancing service values, operational efficiency and profitability of the company.