According to a study conducted by the Observatory of Intranet and Digital Communication, 50% of surveyed employees believe that internal communication holds significant importance. However, only 45% of employees are satisfied with it (Source: OpinionWay). Moreover, for French companies, the loss amounts to €9100 per year per employee due to ineffective internal communication (Survey conducted by Mitel).
It is evident that the three major challenges of internal communication (especially digital communication) are:
- Improving operational efficiency (mentioned by 61% of respondents)
- Streamlining internal communication (mentioned by 52% of respondents)
- Ensuring business continuity in times of crisis (mentioned by 46% of respondents)
Since the COVID crisis and the changes it brought to the world of work (such as the democratization of remote work and the prevalence of hybrid work), internal communication is no longer just an asset for companies—it has become an integral part of their strategy. It is also essential for talent retention.
So, how can one implement an effective internal communication strategy in their company? How can potential obstacles be overcome? What internal communication tools should be used? This guide sheds light on these topics.
Understanding the Foundations of Internal Communication
Definition, Types, and Role of Internal Communication
Internal communication encompasses actions within a company aimed at circulating information among employees, as well as between different departments and colleagues within the same company.
Its proper implementation is crucial for team efficiency and motivation. There are three types of internal communication:
- Downward communication: initiated by the management for employees, covering topics like company strategy or the organization of specific events.
- Upward communication: initiated by employees for managers or the management.
- Transversal communication: horizontal communication between all members of the company, disregarding hierarchical levels.
💡 For further exploration, download our internal communication plan.
A Brief History of Internal Communication
Internal communication first appeared in the late 19th century with the advent of the industrial era. At that time, companies' management needed to transmit orders and information to their employees, leading to the creation of the first internal newspapers around 1890. However, it took about 100 years for internal communication to become a separate function, recognized for its strategic importance.
In the past two decades, internal communication has increasingly drawn inspiration from communication and marketing techniques.
The Impact of Internal Communication on Employee Motivation and Engagement
Internal communication not only provides employees with a better understanding of their company's strategy but also plays a crucial role in enhancing their motivation and sense of belonging. A 2017 Deloitte survey titled "Rewriting the rules for the digital age" showed that 80% of respondents believe that companies must address the need for engagement.
Another study by Deloitte demonstrated a 20% increase in employee satisfaction in companies with an intranet. Additionally, 85% of employees state that they are more motivated when their management regularly communicates internal news and company directions.
Strong internal communication contributes to a robust company culture, significantly improving workplace well-being and reducing turnover rates. The Glassdoor Company Mission & Culture survey in 2019 revealed that 77% of employees in the United States, the United Kingdom, France, and Germany consider a company's culture before applying for a job.
Without a strong company culture, various risks arise, including employee disengagement, which can incur significant costs such as absenteeism, turnover, recruitment expenses, and damage to the company's reputation. Conversely, an engaged and satisfied employee contributes to the collective well-being at work.
🚀 For further insights, discover how to create a strong company culture.