Companies that communicate with courage, innovation and discipline, especially during times of economic challenge and change, are more effective at engaging employees and achieving desired business results.
That is according to research by Towers Watson which has consistently found the firms that communicate effectively with employees are also the best financial performers.
In their 2009/2010 report titled: Capitalizing on Effective Communication, Towers Watson summarizes the findings of their 2009/2010 multiregional study and identify what companies with highly effective communication practices are doing to inform and engage their employees in challenging economic times, and shows how these practices vary around the world.
Key Findings:
- Effective employee communication is a leading indicator of financial performance and a driver of employee engagement. Companies that are highly effective communicators had 47% higher total returns to shareholders over the last five years compared with firms that are the least effective communicators.
- The best invest in helping leaders and managers communicate with employees. While only three out of 10 organizations are training managers to deal openly with resistance to change, highly effective communicators are more than three times as likely to do this as the least effective communicators.
- Companies are struggling to measure the return on their investment in social media tools. Highly effective communicators are more likely than the least effective communicators to report their social media tools are cost-effective (37% vs. 14%).
- Measurement is critical. Companies that are less-effective communicators are three times as likely as highly effective communicators to report having no formal measurements of communication effectiveness.
Download the full report via the Towers Watson website >
Melitta
