66. Why Internal Communications Are More Important Than Anything Else? How Companies Get it Wrong? And How to Fix That?

A few years ago, I witnessed a project where leadership was very excited about launching a major initiative (I won't be citing any names for confidentiality reasons). The external messaging was polished, very well-written, and approved by management. The press releases, in three different languages, were sent to the local press, and stakeholders were informed. But there was one major problem: employees, the people responsible for executing the plan, had no idea what was coming, nor how! Confusion spread, gossip took over, productivity dropped, and morale took a hit. This wasn’t just a minor oversight but a classic case of weak internal communication strategy, which could have been a successful rollout. Unfortunately, this scenario plays out in many companies, big and small.

For many years, organizations have spent so much time and effort on external messaging, sponsored marketing campaigns, colorful branding books, and Public relations. This went without paying much attention to the people who bring the company to success: Employees (with a capital E), or shall I say simply: The People!

Today, organizations can no longer treat internal communications as an afterthought.

To my humble opinion, here are the four main reasons why Internal Communications matters more than any other communications within the organization:

1️⃣ Employee Engagement and Retention

An engaged colleague is a hard-working colleague. Concentrating on employee engagement can help companies withstand, and possibly even thrive, in tough economic times, according to Gallup. Workers want to be heard, appreciated, and feel connected to the business mission. Clear, open, horizontal, and consistent internal communication builds that bond and keeps top performers.

2️⃣ The Rise of Remote and Hybrid Work

Since the Covid-19 crisis, remote work became part of the perks package many organizations offer during HR interviews, and internal communication is not a choice. In an office setting, watercooler conversations and ad-hoc meetings stay connected with teams. But in a virtual or hybrid setting, deliberate communication is the only glue that holds teams together. Without it, employees feel disconnected and "left out," shall I say.

3️⃣ Crisis Management and Change Communication

Whether a global crisis, economic recession, or organizational change, internal communications are key to taking employees through the period of uncertainty. Ineffective crisis communication may create panic, misinformation, lots of gossip, hence a toxic work environment and erosion of trust. For instance, poor communication during a crisis can cause confusion among employees, leading to questions like, “What happened?” and “How is the crisis going to affect our jobs?” (Haiilo)

4️⃣ Stronger Organizational Culture

A strong internal communication strategy backs firm company values, builds trust, reinforces the professional bonds between team members, and increases culture. Employees need to feel like they belong to something bigger than their title.

Enough rambling, now, how do companies get internal communications wrong?

Despite its importance, a few companies continue to do internal communications incorrectly, to my opinion.

Most companies invest heavily in external branding but fail to communicate effectively with their employees. If your employees don't understand your mission, how can they assist in driving it forward? One of the ways to avoid that is to make Internal Communications a business priority by tying it to business goals and resourcing it. Internal communications need to be as much of a priority as external marketing. Hire an "Internal Communications Officer". Additionally, the lack of transparency destroys trust quicker than secrecy. Employees need to feel informed of decisions that impact them. Vague or inconsistent communication by leadership creates uncertainty and disengagement. To avoid that, be open. Even if the message is difficult, honesty builds trust and alignment. Communicate early, frequently, and with genuineness. Unless it's confidential information, there is no reason to hide any decision or inform some employees and keep others excluded from the loop.

Another way companies are doing it wrong? Disregarding employee feedback. Two-way communication must be internal, but the majority of firms continue to employ the top-down mode. Employees want to be listened to, not just handed company newsletters. Listen to your people, create open feedback loops, send surveys, Q&A sessions, organize town meetings, and anonymous suggestion schemes. Follow through on feedback to show employees that their suggestions matter.

What's The Future of Internal Communications?

As work evolves, the value of internal communications will grow even more in the upcoming years. The most successful companies will:

✔ Prioritize transparency and authenticity above all

✔ Leverage AI and automation to personalize messaging (and not penalize employees for using ChatGPT for inspiration)

✔ Enable two-way conversations and active listening

Businesses that invest in strong internal communications won't just have happier people, they'll have a more efficient, loyal, and engaged staff. And that's a competitive advantage no business can afford to ignore.

What do you think?