The purpose of emotional intelligence is felt necessary because it is an unseen attribute of each and every person which needs to be identified and evaluated as per the needs of certain task, activity and event, where one is involved. The proposed research project aims at exploring the concept of emotional intelligence and its impacts on leadership and teamwork effectiveness. Like other competitive skills and personality aspects the notion of EI has attracted enormous popularity at academic and organizational levels. Academic institutions endeavour to develop emotionally intelligent students in order to prepare them for working effectively in their work environment. On the other hand different organizations are more inclined towards recruiting EI employees as trainers, and making investments in hiring EI professional staff and providing training to their existing workforce in order to achieve competitive edge in today’s competitive work environment. Despite gaining such an enormous popularity the subject of EI remained controversial and debates exist among different scholars and researchers on different aspects of EI.The paper is focusing on the impact of emotional intelligence and knowledge management on leadership qualities.For this purpose two researchers have conducted a comprehensive study of the existing literature on the subject matter that covers; an analysis of the existing models of EI; review of debates and controversies that exist among the scholars on the subject; and different strategies through which EI can be developed on academic and organizational context.