Effective organizational communication: a competitive advantage

Effective organizational communication, from an HR viewpoint, focuses on openness in communication between senior management and employees, resulting in improved employee engagement and productivity. In a cross-cultural environment, building and maintaining rapport for business relationships depends on the effective use of language and understanding differing communication styles. These and other aspects are discussed to bring awareness to opportunities to foster better communication at all levels of the organization.
Introduction
In today's global business environment. effective organizational communication--internal and external--has a significant impact on an organization's success. Reasons for the increasing importance of organizational communication are many, with workplace change front and center. Overall, the world of work has become more complex More than ever before, knowledge, learning and innovation are critical to an organization's sustainability, Further, with employees often being widely distributed geographically, communication technologies and networks arc essential for the accomplishment of a company's strategy. (1)

Therefore, effective organizational communication is critical to actively engage employees, foster trust and respect, and promote productivity'. In fact, SHRM's 2008 job Satisfaction survey report notes that communication between employees and senior management is among the top five very important aspects of employee job satisfaction. (2) While not inclusive of all possible communication issues, this article focuses on selected key aspects of effective organizational communication from a human resources perspective.

Business Case

Organizational communication encompasses many aspects. It spans a wide range, from formal and informal internal communication practices to externally directed communications (media, public, inter-organizational). In their hook, Essentials of Corporate communication, management experts Cees B. M. van Riel and Charles J. Fombrun point out that communication is at the heart of organizational performance. Organizational communication includes marketing, public relations, investor relations, corporate advertising and environmental communication. In the largest sense, it encompasses the organization's initiatives that demonstrate social responsibility and good citizenship. (3)

Human resource professionals uniquely position themselves at both the starting and finishing points of the communication continuum. From an HR viewpoint, effective organizational communication contributes to learning, teamwork, safety, innovation and quality of decision-making in organizations. In an age of increased competition for talent, communication has become a strategic tool for employee engagement, satisfaction and retention. In fact, effective organizational communication contributes directly to employee and organizational learning, an essential factor for competitive advantage. (4) The most successful HR professionals are consummate communicators. Typically, their organizations over-communicate with all constituents, and their leadership styles transmit the traditions and values of their company. Thus, as a promoter of effective organizational communication, HR is a key strategic partner in leveraging the relationships between employees and top management.

Primary Functions of Organizational Communication

In the communication literature, researchers in the 20th century highlight both theoretical and practical functions of communication in society (see figure 1). Historically, an early theoretical perspective that has guided the dialogue about communication is a technical theory often attributed to Claude E. Shannon and Warren Weaver (1949). In his role as an engineer at Bell Laboratories, Shannon viewed communication as a mechanistic system. This theory proposes that communication begins with an information source/ message, is transmitted with a "noise" source and becomes a received message upon reaching its destination. This early communication theory is still a valid view from which to discuss organizational communication. (5) Another key theoretical perspective is that of the contextual approach to communication. This concept is broader than an exchange of information or meaning. Rather, this aspect focuses on both verbal content and nonverbal cues and considers cultural/ social contexts. Thus, writers and researchers of past decades set the foundation for the study and practice of organizational communication in today's world.
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