10 Reasons Why Business Communication Matters

Operations. Logistics. Business communication. Corporate culture is filled with so many broad terms that sometimes you need to get specific about what you actually mean.

It can be when colleagues are communicating laterally. Business communication also occurs when your company engages the public. And just to make it all feel a little more concrete, business communication includes:

Your ability to get really good at this is critical to your company’s growth and success. Something that might seem like a minor miscommunication can quickly turn into a major issue over time. Neil Armstrong painted a vivid picture of this when he said: “If you’re off by an inch on landing, no big deal. If you’re off by an inch on takeoff, you miss the moon by a million miles.”

But just because business communication is important that doesn’t mean it has to be hard or complicated. It just needs to be emphasized and prioritized. You’ve got this. Think of the old saying, “quality in, quality out,” because spending a little extra time creating clarity and positivity has a ripple effect that you’re absolutely going to love. So, let’s take a look at a few very specific benefits of internal business communication.

The importance of business communication became clear to the team at a meat distribution business when Marcus worked with them to help improve their processes. Simply put, the departments just weren’t talking to each other enough. The company operated with the perception that they owed about $2 million in payables. The real number was actually more like $4 million. And in this case, it led the company to the brink. The general manager was creating purchase orders without a true understanding of the company’s finances, and an audit discovered they were about two weeks from going under. As Marcus would say, “Know your numbers.” In this case, due to the company’s poor internal communications, they had no idea about their financial situation.

When you’re really communicating, you’re not just passing on information. You’re building a climate of inclusion. You’re creating a healthy dialogue. And that’s not just a feel-good thing.

Making sure your employees feel engaged and included is about more than just positivity. It’s about your financials.

Business communication is not only what you’re saying, but how you’re saying it. It’s important to communicate your message in a productive manner, while providing a clear message to your team.

Even if you’re someone who has it together, you probably have hundreds of unread emails. Some people have more like 1,000. And you probably know at least one person who is going for the record. The problem is simple. You just get way, way too much correspondence. In fact, McKinsey, a global business and economic research institute, estimates that 28% of your work week is spent writing and answering emails.[2]

Making sure your employees feel heard and understood is one of the most important methods of business communication. By soliciting feedback and implementing employees’ suggestions when possible, you’ll build up employee morale and help boost retention. In addition, employees also need to hear from you when they’ve done their job well. We often make sure to communicate problems and complications, but can sometimes forget to recognize great performance. Marcus highlights the importance of communicating with your team: “People will work for recognition and opportunity more than they’ll work for anything else.” So, when you do something like showcasing top-performers in a company newsletter, or simply pointing out what a great job they are doing, you’re making your team feel seen. You’re also giving them every reason to value their position with your company and want to stay.

You’ve already seen the famous statistic: if a customer has a negative experience, they tell between 9 and 15 people.

Many of us grew up with the old adage, “sharing is caring.” And that still holds true in the business world. It’s how people learn from each other and grow. One way to make sure you’re facilitating that sort of exchange is through file management. You’re probably using either Google Drive, Dropbox, or something similar. But too many companies let their filing system turn into a war zone of rough drafts, outdated info, and personal shorthand. Trying to find something turns into a needle in a haystack sort of thing. McKinsey explains that the average worker spends almost 20% of their time tracking down information.[4] So, think about turning part of your file sharing database into a well-maintained reference library by working to keep this area of your business communication organized and efficient.

Remote working is quickly becoming the new standard and it’s an incredible perk.

A Weber Shandwick study explained that only four in ten employees can confidently describe what their employer does and what their employer’s goals are. However, 56% of respondents have defended their employer online or in their social circle.[5] So, the takeaway is that your employees are out there talking. All you can really do is make sure that what they’re saying is both informed and positive. Business communication can help with both. Will your employees be spreading misinformation about your company? Or will they be singing your praises? In a way, that’s up to you. Loop in your employees, make sure they feel like they’re a part of something, and you’ll help create a ton of positive “word of mouth.”

Google is a shining example of how communication affects corporate culture. Google built a climate of innovation by communicating that failure is part of the process. In fact, failure is built into their entire workflow. They have something called “premortem discussions” in which they map out all the ways a project or idea could potentially bite the dust.[6] They’re open and honest in communicating that failure is an important part of progress. And in doing so, they’ve destigmatized failure and encouraged taking the risks that lead to innovation.

You know when you bite into a dry BLT and everything just starts falling apart? You need a little bit of mayo to hold it all in place. For your company, that’s business communication. It’s that unifying force that makes your company come together. So, get on board and be really intentional about prioritizing it. Communicate early, often, and in a targeted way. And if you have a little hesitation about building a healthy dialogue, or if a cultural shift seems a little daunting, lean on these words from Marcus: “You gotta pick a path and you gotta go.”