How Bad Communication Costs Your Business & How to Fix It in 7 Steps -

Communication plays a huge role in the running of business these days. However, when there is bad communication, it can split a team, impede work output, and result in extremely low staff morale.

Research by Grammarly Business in 2023 reveals that bad communication in business costs American firms up to $1.2 trillion annually. Meanwhile, executives in the business sector claim that poor communication has cost them business.

In this post, I will take you through how bad communication costs your business and we will look at steps to solve poor communication issues and improve communication in the workplace.

Key Points

Communication skills are important if we are to successfully engage with people both at work and in the wider community.
Some good communication skills such as listening intently, expressing gratitude, and settling conflicts are all worthwhile endeavors.
Bad communication can negatively affect team spirit, productivity, and career advancement.
It is a disadvantage when it comes to group participation, desired assignments, favorable ratings, and career advancement.

What is Bad Communication?

Bad communication is a breakdown in information that happens when there is an imbalance or gap between what the speaker says and what the listener hears. It refers to the absence of mutual understanding among coworkers and inside the organization in an organizational setting.

There are numerous explanations for why bad communication happens, and some of them are ineffective language use, inattention, misinterpreting nonverbal cues like body language and facial expressions, and a failure to take cultural differences into account.

Furthermore, the use of the wrong communication channel, a general lack of openness, or poor listening skills are also causes of bad communication.

Examples of Bad Communication Skills

Here, I shall take you through several bad behaviors that lead to bad communication in your business.

#1. Showing a Lack of Empathy

Showing a lack of empathy is one of the worst ways to communicate, especially when the other person can take offense at what you’re saying. Also, sending a message without considering the potential response is a proven way to get things wrong.

For example, let’s look at the message below:

“I can’t believe you failed the exam again. You’re so lazy and incompetent. I don’t understand why you can’t just study harder.”

#2. Reacting Quickly to Messages to Sound Smart

Most people like to respond quickly to appear intelligent, rather than taking their time and understanding things. Rather, think about the question for a bit, ask the other person some questions to help them go deeper, and then use your intuition to convey what you observe about their experience. Note that taking time to answer questions makes you more confident and creates room for deeper dialogues.

For example;

Bella: “I have done a lot of work these days and the workload is killing me”

Johnson: “You need to take out time to plan out your work schedule and follow a strict work-life balance to avoid burnout.”

The response by Johnson shows his willingness to show intelligence rather than showing empathy for the situation which is what Bella was seeking.

#3. Interrupting Others While They Speak

Interrupting others is one poor habit that is frequently ignored. Others who are interrupted cannot complete their idea and may feel neglected or unheard. Additionally, it may discourage them from wanting to speak up the next time they have something significant to say.

#4. Talking Too Quickly Without Pause

Speaking too quickly and failing to pause is a poor communication habit that will not allow the listener to process what you’ve said or ask questions. Great communication requires stillness between thoughts or bits of information presented. This is something we often forget in our rush to provide as much information as possible in the allotted time. Therefore, you must take a moment to reflect after asking a question.

#5. Always Thinking That Others Understand You

You should know that just because you say something, doesn’t always mean the other person gets it. This is why your tone, body language, and other communication levels must all be consistent. You must therefore speak clearly and concisely so that others do not misinterpret you.

#6. Giving Advice Without Paying Attention

Even without understanding the situation, people are always willing to give advice about any situation. They will; not take out time to listen. I have business colleagues who are always willing to give their own takes in a discussion, but when it comes to listening, they will always disrupt you. You should learn to talk less and listen more.

An example of these bad communication habits can be seen in this conversation:

John: “These days I find it very hard to sleep well at night.”

Peterson: “I will recommend that you drink some chamomile tea before bed. It can help you sleep well at night.”

The discussion above shows that even Peterson is not patient enough to know why John finds it hard to sleep well at night but is quick to give out advice that may not work. This is because John’s sleeplessness can be a result of his bad bed or leaking roof in his apartment,

#7. Sending the Wrong Signals

Words, tone, energy, body language, and microexpressions all contribute to communication. While most people are aware of words and possibly tone, they are not aware of micro-expressions, which are small amounts of energy that convey unintentional messages.

Therefore, you should pay attention to your feelings and thoughts and consider whether you want to communicate them.

Philips: “I am so excited about the new software, I think it will make our work easier and faster.”

Leah: Rolls her eyes and sighs “Yeah, just like that last software before it. I will never understand your excitement about these things.”

#8. Talking Too Much

A lot of my bosses in the office are guilty of talking nonstop instead of attempting to interact, establish connections, or offer assistance to others. They ought to reflect on their own position and consider how they may mobilize others more successfully.

Let’s look at the conversation below:

IT guy: “During the holidays, I visited South Korea, and it was such an amazing experience.”

Boos: “Oh, that reminds me of my trip to France, Italy, Spain, and Greece…”

The boss here is quick to interject his own experiences without paying attention to the speaker’s experience. You should try enhancing engagement with others by employing more storytelling techniques.

#9. Refusing to Have Face-To-Face Interaction

Most people avoid face-to-face interactions; rather, they communicate through email nonstop. The issue is that the person receiving the information does not understand the level of urgency, which frequently results in frustration and time loss for both parties.

#10. Lack of Necessary Listening Skills

A common mistake made by business owners in communication is the inability to listen well. They do not really listen; instead, they listen to support their own opinions. Therefore, you must try to understand other people first before trying to make them understand you.

#11. Always Trying to Be Right

Another habit of bad communication is always trying to be right and win the debate, regardless of how it may affect your ability to win others over. However, the best businessmen are the ones who try to connect and create space for teamwork instead of trying to win arguments and defend positions.

Anna: “I think we should begin the project by first conducting research and analyzing the best places to establish the targets.”

Manager: “Actually, I disagree as I believe the best approach is to start the project from the location where we had our last project and then we can make adjustments along the way.”

#12. Not Being Present During a Conversation

Being absent during a conversation is a bad habit that leads to bad communication. Therefore you must do away with all distractions, engage in active listening, ask meaningful questions, and show genuine attention.

How Bad Communication Costs Your Business

As a small business owner, you may satisfy the demands of your clients and accomplish your company objectives by communicating effectively. However, bad communication skills can cost you the following:

According to data, bad communication costs smaller businesses with 100 employees $420,000 annually on average.
According to a different Siemens Communications study, bad communication may be costing small companies with 100 workers an astounding $524,569 a year.

When you take into account these ineffective communications costs, it becomes brutally clear how detrimental the impact is to important corporate operations, income, and customer happiness.

How Bad Communication Impacts Your Employees

Now that we have looked at the depressing effects that bad communication may have on small enterprises, it is time to look at how it impacts your employees.

Expert in employee engagement Marcel Schwantes claims that poor communication accounts for four of the top eight mistakes made by managers.
According to a 2014 survey, communication-related issues accounted for the top three reasons workers left an organization:
- a lack of managerial guidance;
- total inadequate communication
- inadequately explained the ongoing changes in the business.

However, a Watson Wyatt study discovered that 50% of businesses with lower employee turnover are likely to have effective communication strategies in place.

How to Fix Bad Communication

Here, let’s look at how small businesses can fix bad communication:

#1. Follow the Five C’s of Communication

Your business relationships will flourish if you communicate with these five attributes in every interaction.

Clear: Ensure that the audience understands your aim and objective.
Concise: Provide all the details that are required.
Complete: Just include information that is required and pertinent.
Correct: Verify the accuracy of the information you provide.
Courteous: Speak to others with grace.

#2. Use the Right Communication Channel.

Instead of sending emails, you should try a phone conversation or in-person meeting, as it works best for others. Making use of the wrong channel can lead to misunderstandings, conflict, and poor communication. Research shows that 68% of workers miss work because they are awaiting information from somebody they have made several attempts to contact live using various methods.

Read the following articles on communication:

The Essential Role of a Communications Officer: Responsibilities, Skills, and How To Become One

Unlocking Effective Communication By Mastering Different Listening Styles

MEDIUMS OF COMMUNICATION: Types and Examples

#3. Respond on Time.

When you get messages, it’s important to try to reply to them promptly. This could delay or extend the time you need to carry out a business project. In a survey by the Computing Technology Industry Association, 28% of employees blame poor response timing as the main reason for not completing a project by the deadline.

#4. You Should Talk Less and Listen More.

You should set aside time to listen to your staff and clients. This is because they may have suggestions for how to make your company better. Be truthful about how you will respond to their suggestions and criticism, even though you can still learn from them.

#5. Meetings Should Always Have an Agenda.

Nobody enjoys a conference that has gotten out of control. Use a prepared agenda to keep the conversation on topic and ensure that your meetings start and end within the allocated time.

#6. Stop Using Jargon.

Establish a policy of using straightforward English in meetings, emails, and other business correspondence. Make sure to remove industry buzzwords from your internal interactions as well, or else your employees will use them while speaking with your customers.

#7. Make Use of Two-Way Communication

In the workplace, feedback, speaking, and active listening are all necessary for effective communication. This is to make sure that each side understands the other.

Ask for feedback on your message and communication style from your team members, and take note of any remarks and worries. Additionally, you can provide feedback but do so carefully. Just avoid doing it aloud or in a rude manner.

You should also allow them to express their opinions regarding your criticism as well.

#8. Be Open-Minded

You should make sure that your staff members feel free to share ideas or concerns with you. This shows that you give them your respectful attention and value what they have to say. Additionally, rather than assuming anything based solely on behavior or performance, talk to the employees about how you feel.

#9. Accept the Uniqueness of Each Employee.

Accepting each employee’s individual communication style is one of the most crucial steps you can take to increase engagement and communication at work. This implies that you must become familiar with their preferred methods and styles of communication and use them correctly.

#10. Have Face-To-Face Conversations.

You should set up private meetings with each member of your team. These gatherings show that you respect your staff and are open to developing a closer relationship. Furthermore, a private meeting will allow those who are shy to be bold enough to give you insightful information and criticism readily.

#11. Carry out Team-Building Activities.

Think outside the box and allow them to interact and work together by organizing puzzle-solving games, icebreakers, fitness classes, team lunches, and movie dates.

#12. Always Show Appreciation.

You must value and demonstrate your concern for your staff if you want to get closer to reaching your objectives. Express gratitude to them for their creative solutions or timely completion of a task. It will show them how sincere you are and inspire them to want to do better.

#13. Get an App for Team Communication.

There will be misunderstandings if there is poor team communication, particularly because many businesses these days are remote or hybrid. However, staff members can interact, keep informed, and work together on projects using team communication solutions, such as Xoom, Slack, or CPaaS. They can get together to complete jobs, exchange pertinent data, and talk about new projects.

Read Also: Internal Communications for PR Success: Aligning Your Team and Keeping Everyone on Message

#14. Arrange Regular Communication Training.

To enhance workplace communication, you should organize regular communication training sessions to help them learn the fundamentals of communication. Organize in-person training sessions or virtual ones using Zoom, Google Meet, or any other messaging app.

Crisis Management and Communication Templates

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Why Am I Struggling to Communicate?

There are many reasons why you may be having communication issues. Some of these are anxiety disorders, depression, low self-esteem, or trust issues. Speaking with a mental health expert in these situations could be helpful.

How Do I Know if I Am a Bad Communicator?

The following are signs that you are a bad communicator:

#1. You find it difficult to listen to the person speaking to you.

#2. You always jump into assumptions because you feel you already know what the other person is talking about.

#3. You always interrupt the person talking to you and do not allow them to finish their sentences

#4. You never give space to understand the opinions of others, and you never compromise:

#5. You usually neglect the emotions of others:

Even if you have the characteristics listed above, you can become a good communicator by receiving good coaching and training.

Why Is Effective Communication Important in the Workplace?

Without effective workplace communication, there would be confusion and conflicts. But with effective communication in the workplace, you’ll enjoy benefits such as enhanced employee motivation, engagement, and productivity.