6 Reasons Why Business Communication is Critical to Your Company’s Success

August 12, 2022

Business communication comes in many different forms. From the basic division to internal and external, you can utilize business communication verbally, nonverbally, or written. The formality of your tone also matters depending on who your audience is. All of these facts help us communicate better.

But communication mostly comes naturally to us, so why is it often highlighted as critical to the business?

1. Improved company culture

Everything starts from the company culture. Just like it affects the way your employees and managers communicate, culture is also affected by that very same communication! Not only is it a core of your business, but with toxic and negative company culture, you’re less likely to achieve the wanted success! How can communication help you there?

If you value open, honest, and effective communication in your company, utilize it in behavior, and model it to your employees, you've got an improved company culture. When your upper managers are ready to create a pleasant atmosphere for everyone, your employees will communicate effectively and openly.

2. Increased productivity and engagement

Have you ever wondered how to increase employee productivity and engagement? Simple and small strategies no longer work for most employees. Due to the change in the work environment and personal values during the global pandemic, engagement and productivity became central topics for most companies. How can business communication help you achieve and increase them?

Effective and open communication will help leaders detect possible problems and issues early on, which will increase your employees’ productivity. The main point of such communication is to detect each team member's strengths and bring the best out of them. If you achieve that, they will be more engaged in the workplace and contribute to the workflow.

3. Earn the trust of your clients

With comprehensive company culture and transparent communication, you are bound to grow your clients’ base. Customers and clients are more likely to do business with companies that follow certain values, such as transparency and honesty, which contribute to the success of your business. So, how can you earn your clients’ trust?

Let your employees be your main brand advocates. Word of mouth is one of the best ways to increase the number of your customers, as well as maintain the old ones. Be pleasant while communicating and value your customers since such interactions bring your business profit.

4. Conflict prevention and resolution

Conflicts happen from time to time. No matter the size of the company, misunderstandings between colleagues and sometimes clients are bound to happen sooner or later. Such situations aren't pleasant for anyone, but with proper and honest communication can be resolved quickly! How does conflict resolution contribute to your company’s success?

Disagreement in teams is a common occurrence that also promotes idea sharing and acceptance. To keep it from escalating, you need to teach your team to use honest and open communication, active listening, and acceptance. This is how fantastic ideas are generated and team leaders are born!

5. Makes employees feel valued

Employees play a huge part in your company's success. However, disengaged employees who are thinking about leaving the company don't contribute to the case! So, clear and honest communication that flows both ways makes employees feel valued and cared for. How can you achieve that?

Create a comprehensive internal communication strategy that will provide your upper management, leaders, and employees with some guides on how to communicate. Collect frequent feedback from your employees and adapt your strategies according to that. Making your employees feel heard will contribute to their sense of value to the company. Employees who feel valued are more likely to invest and find ways to improve the business, which ultimately leads to success.

6. Reduced employee turnover

Last, but not least, open, honest, and effective communication reduces the employee turnover rate. Companies with higher retention rates tend to be more successful and better known on the market, which makes them ideal for attracting new employees as well. On top of that, a higher turnover rate and absenteeism minimize the productivity of your employees. So, how can communication help you in cases of high turnover rate?

Keeping employees informed is the foundation to success. However, bombarding your employees with unnecessary information leads to increased stress and a higher turnover rate. Knowing how to dose the proper amount of information you'll present to your employees will lead to a happier and healthier workforce.

Final thoughts

Communication is an integral part of our everyday lives. If we utilize it properly, it can help us achieve the business success we've dreamed of. So, work on your communication strategy and implement it on time to get desired results.

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JJ Sterling
As the co-founder of Urban Splatter and an architecture graduate from Chicago, I thrive on crafting a digital nexus where architectural innovation intersects with boundless digital opportunity. My academic roots in the Windy City's rich architectural tapestry inspire a unique vision for Urban Splatter's journey into the ever-evolving digital frontier of design. Join us as we navigate the exciting confluence of structure, style, and technology.

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