Monthly Archives: June 2013

Does the ROI of Internal Communications in Business Differ from Academia?

statistic high cost of communication barriers in organizations

As a business leader, how do you measure the impact of your internal communications? Does it differ from the way an educational leader measures the impact of internal communications in schools? I was asked to address this question in a presentation to a progressive international school in Germany earlier this year, so I’d appreciate your insights on the comparisons.

On the business side, a group called People Driven Performance conducted research on the costs of poor internal communications in 2009 that still has applicability today. They report that good internal communications has a positive impact and poor internal communications has a negative impact on five elements of a company’s ROI:

  1. Engagement
    Every employee that crosses over from being disengaged to engaged adds an incremental $13,000 to the bottom line each year
  2. Direct Cost of Miscommunication
    $26,041 is the cumulative cost per worker per year due to productivity losses resulting from communications barriers
  3. Opportunity Cost
    A business with 100 employees spends an average downtime of 17 hours a week clarifying communication, which translates to an annual cost of $528,443
  4. Safety
    The average cost of a safety incident for an engaged employee is $63, compared with $392 average cost of a safety incident for an unengaged employee
  5. Turnover
    Employees with the highest level of commitment perform 20% better & are 87% less likely to leave the organization

If you’re in education or academia, what is your impression? Does poor internal communication in schools have a similarly negative impact?

Whether you’re an educator or business leader, contact us if you’re interested in improving your internal communications impact and your organization’s ROI along with it. Ask, assess then act. We’re here to help!

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Sound Check for Thought Leaders

quite normal loud microphoneSound check! When you take the stage, you want to make sure the microphone is on and emanating the perfect level of sound for the audience and venue.

Do you as a thought leader have the perfect level of sound for the situation you’re in? In general, you as a thought leader should have three sound levels: quiet, normal and loud. Let me explain.

Thought leaders need time built into their schedules for contemplation, a time when they can think deeply and listen to what the silence reveals. They need to be still and quiet, not talking at all.

At other times, thought leaders need to join into discussions at a normal pitch, as if they’re just like all other members of the team. They’re equal contributors so they need to modulate their voice levels.

The third level of sound for thought leaders is loud, but not necessarily in volume. They don’t need to shout to be the voice of reason in heated exchanges or debates. They just need to be loud as in commanding and authoritative, perhaps even lowering the pitch of their voices to their deeper ranges to get attention.

Do you have ”perfect pitch” when you communicate as a thought leader? Ask, assess, then act. We’re here to help!

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Sharing the Know-How to Know How

When explaining complex topics, thought leaders make a clear distinction between two key terms: ”knowledge of” and ”knowledge how.”

Let’s say, for example, that you want to shape your industry to be more agile and responsive to changing demands of the economy. You shouldn’t only show colleagues what that future will look like so that they have ”knowledge of” that vision. It’s important also to show them the way to reach that goal — to give them ”knowledge how” to get there.

to define and articulate change, use knowledge of and knowledge howSimilarly, if you want to change the culture of your organization, it’s important not only to give them ”knowledge of” what the changes look like and the advantages the new culture will bring. You must impart to them ”knowledge how.” Articulate clearly the steps each employee — no matter where in the organization they sit — will need to take to move toward the defined future.

Cultural change is a journey, not a destination. Employees need ”knowledge of” the destination and ”knowledge how” to navigate the path ahead.

Do you need help defining and articulating the roadmap to change internally or externally? Ask, assess, then act. We’re here to help!

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