How Does Communication Impact Your Business Results?
Leaders and business owners often look at communication as a ‘soft skill’ that they don’t have time to develop. They simply don’t recognize the bottom line cost of poor communication. In a survey of 400 corporations, an estimated $37 billion is lost due to poor communication and misunderstanding. But leaders who DO focus on effective communication strategies in their business have 47% higher returns to shareholders, lower turnover and more highly engaged employees, according to the Holmes Report.
And these are the impacts of simple transactional communication. According to Judith Glaser, author of “Conversational Intelligence” there are three levels of communication. The higher levels of communication are based largely on development of trust. When we trust, and focus on solutions, we feel free to share and develop our ideas. If we don’t create an environment of trust and collaboration, the people with the best ideas will leave and go to companies that do.
“The single biggest illusion about communication, is that it has taken place”
– Judith Glaser
For entrepreneurs, effective communication can be the difference between failure and success. If you want your company to succeed, here are 5 ways to improve:
1. Email is for the exchange of information
There are many great tools for productivity and disseminating information to your team. Don’t confuse these tools with communication. Generating ideas, fast decision-making and team collaboration take real face to face interaction in an environment that supports sharing and trust.
2. Ensure your team knows the company brand purpose & vision
Every single employee at the Ritz Carlton knows the company’s vision, mission, cultural values and credo. Those values are baked into the daily operations of the company, so it is easy for employees to connect their actions to the higher purpose. If your team does not know where you’re going, they can’t follow you. If they don’t see the connection between what they are doing daily, and the overall goals and direction of the company, they become disengaged and unmotivated.
3. Stay flat
In a flat company team members are free to communicate with anyone, without fear of stepping on toes or reprisals. As the business leader, do your best to keep an open door policy. Set aside specific hours to close the door to work on projects or have private conversations. Fluid communications allows for much greater flow and exchange of ideas, delivering better results in less time.
4. Make communication part of your rhythm
Set up regular schedules for meetings and conversations. Have regular weekly or even daily huddle team meetings. Have regular weekly phone calls with the sales team if they are in the field. Even if you don’t think you have much to talk about, once you get the conversation started, you’ll often be surprised at what happens. Even if you are a company of 2 people, regular communication makes a difference.
5. Communication is a two way street
Introduce the WIFLE (What I Feel Like Expressing) process to your team. Your employees need to feel heard. They need to be given permission to express what is on their mind, without interruption, judgment or reprisal. Regular use of the technique can cut meeting time in half and uncover problems and opportunities you didn’t even know existed.
If you need to learn more about how to do a WIFLE, just let me know.