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Effect of Communication on Performance Management

In the last blog post, we looked at how Goal Setting is important for performance management in an organization. In this blog post, we’ll consider how effective communication of goals affects performance management.

“When there is no proper communication between the management and the employees as regards what they are supposed to do even on organizational goals, it could cause unproductivity.” Yomi Lafobero

As you know, communication serves as a link between the decision-makers of an organization and all employees. Hence, organizations rely on communication for their fundamental functioning.

As simple as communication may look, a study has revealed that communication can build or destroy an organization’s existence, even in the family. Hence, a good communication technique is necessary for a business or family to survive. When wrongly carried out, communication has been said to cause interpersonal conflict in organizations.

Effective communication is strategic for organizational goal achievement and helps to foster a good working relationship between employees, employer-employees, and also families, which can in turn boost confidence and efficiency.

However, ineffective communication in an organization may result in uncertainty, apprehension,  employee frustration, absenteeism, and dissatisfaction; which result in, poor productivity.

For efficiency and productivity, communication should be more than simply keeping employees informed about the latest business developments. There should be a step-by-step instruction or method that involves the exchange of information between two or more departments at all organizational levels.

The management needs to take note of other factors that affect employee performance apart from communication, including management style, organizational culture, and social relationships.

Managers should therefore seek ways to boost employee morale through the creation of a supportive working environment that encourages stress relief and effective decision-making. By improving the work environment, employee performance is improved because employees feel free to voice their opinion and be more productive. Besides, they feel more important because they are informed about corporate developments, organizational policies, and corporate goals, and most importantly how all these changes possibly affect them and their future in the organization, and can also contribute to the growth and development of the organization irrespective of their positions and job title.

In conclusion, effective communication establishes good interpersonal and working relationships and facilitates cooperation. In contrast, ineffective communication can hurt business relationships, employee performance, and organizational efficiency.

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