IMPACT OF BUSINESS

COMUNICATION ON
EMPLOYEE
PERFORMANCE

Sarvesh | Harshita | Abhishek | Srijan | Yamin

 Introduction

• Business communication is one of the most integral part of an organisation

• It impacts the performance of the employees either directly or indirectly in

both positive and negative ways

• Communication could be both verbal and non-verbal

 Reasons for selecting
the topic
• Major objective of most of the companies is to achieve the
best performance possible. This is possible only when the
employees of the organization are satisfied.

• Since companies are looking to achieve their goals and gain

competitive advantages in the market, the importance of
effective job performance as a key to success is considerable.

• This study will help us find to what extent the employee’s

performance is impacted by communication by superiors and
peers. We also aim to find probable conclusions and
solutions for the same.
 Review of Literature
• To verify our hypothesis, we used papers which focused on the relation of
communication with performance in organizations. The papers chosen
focused on Indian cases, and mostly deal with employees and supervisors
of individual organizations.

• Employee engagement (Robertson-Smith & Markwick (2009)) makes for

greater investment in one’s work, and greater self-efficacy, leading to
improved productivity. Bedarkar & Pandita (2014) carried out a study on
the drivers of employee engagement, wherein communication was one of
the prime drivers, promoting a sense of belonging, value congruence, and
greater understanding of organization goals.
 Review of Literature
• The methodology of Rajhans (2012) was to interview 10% of the staff of a
manufacturing plant in Pune, India, using a stratified sample of the whole staff. It
was found that the employees’ performance, motivation, and loyalty to the
company were partly caused by effective organizational communication, which
included clear and honest communication of rewards and objectives. Regular
feedback and appreciation of work, and openness to ideas from all levels made for
more motivated employees.

• It was concluded that the company’s effective, two way communications

framework was the foundation for its success in terms of teamwork and employee
performance
 Methodology Used
• The questions were designed to gauge the respondents’
satisfaction with the communication at the workplace and to
what level that affected their performance

• There were a total of 13 questions out of which 5 were

demographical in nature while the rest were related to our
research study

• A total of 100 responses were received from the survey

conducted
 SAMPLE DATA

• A questionnaire prepared on Google Form platform was Work Experience of the

circulated among:
1. Students at IIMK
respondents
35 30 32
2. Acquaintances with work experience

No of respondents
30
3. Former managers 25 22
20 16
15
• The following data was collected 10
1. Industry 5
0
2. Gender 1-12 13-24 25-36 > 36
3. Months of work experience months months months months
4. Hours worked in a day Work experience in months
5. Age
 Analysis-
Communication Clarity
• 2% of the respondents who rated the clarity in Communication
communication of goals/tasks as 1 on a scale of 5 said that Clarity-2/5 rating
it had no impact or a negative impact on their job 0
performance
18%
• 11% of respondents rated the clarity in communication of
goals/tasks as 2 on a scale of 5. Among them 55% reported 27% 55%

that it did not have any impact on their job performance.

27% of the respondents said that lack of clarity in
communication had a negative impact on their No impact Negative Impact
performance. Rest of the respondents claimed that it Positive Impact
improved their job performance.
No of respondents: 11
 Analysis-
Communication Clarity
Communication Communication Communication
Clarity-3/5 Clarity-4/5 Clarity-5/5
rating rating rating
0 0

40% 34% 25%

55% 20%
26% 100%

No impact No impact No impact

Negative Impact Negative Impact Negative Impact
Positive Impact Positive Impact Positive Impact

No of respondents: 27 No of respondents: 55 No of respondents: 9

 Analysis- Feedback

• 13% of the respondents were unsatisfied with their jobs due to lack of proper
feedback from their immediate boss

• 54% of the respondents reported that they were satisfied with their jobs when they
had clarity in communication

• 37% people felt that soft skills training boosted their performance and led to an
increase in their job satisfaction.
 Solutions suggested by
the Respondents

• “Constructive feedback is required. Most of the feedback just pointed out the
mistakes rather than direction to pursue”

• “There should be fewer barriers to inter-organization communication”

• Most of the comments are related to the improvement of the feedback received
by the manager
 Suggestions

• Communication should also inculcate motivation along with the feedback at

regular intervals

• Regular one to one meetings for reiterating the goals to be achieved tend to be
more effective at the workplace

• Informal sessions between different cultural groups to discuss issues in

communication
 References
• Robertson-Smith, G. & Markwick, C (2009). “Employee Engagement: A
Review of Current Thinking” Institute for Employment Studies

• Bedarkar & Pandita (2014) “A study on the drivers of employee engagement

impacting

• employee performance” Procedia - Social and Behavioral Sciences 133

(2014), Pg 111

• Rajhans (2012) “Effective Organizational Communication: a Key to Employee

Motivation and Performance” Interscience Management Review (IMR) ISSN:
2231-1513 Volume-2, Issue-2, 2012, Pg 84
Thank you