Perhaps one of the most powerful yet under-appreciated levers in business is effective internal and external communication, which should be deeply integrated into the CEO agenda. Despite its pivotal role in shaping a company’s success, corporate communication is often relegated to tactical announcements rather than being recognised as a key strategic function. It is exceedingly rare for companies with poor communication practices to achieve significant market value, even when their underlying business generates substantial returns.
Aligning stakeholders through clear messaging
One key aspect of strategic communication is ensuring that multiple stakeholders — investors, customers, partners, employees — have a clear understanding of the company’s context, challenges, plans, and desired outcomes. Without this clarity, the company’s context may be misinterpreted, leading to potentially serious consequences based on incorrect assumptions.
Such risks arise when media, competitors, or other stakeholders inadvertently or deliberately shape the narrative without all the necessary information. By proactively articulating the company’s story, leadership ensures the focus remains on its vision and strategy, which helps unify the organisation and build investor confidence.
Strategic communication also plays a crucial role in building awareness that can attract new businesses, investors, or opportunities. Effectively executed, it enables a company to stand out in a crowded market and can be the critical factor in catching the eye of potential partners and stakeholders. Additionally, clear and compelling communication is vital in attracting and retaining top talent, as it fosters a transparent and engaging corporate culture that appeals to high-caliber professionals.
Also Read: Key to success: Digitising customer communication and investing in a multi-channel approach
Learning from exemplary communicators
Throughout my career, I have had the privilege of learning from exemplary communicators. My former chairman, Alex Hungate, is one of the best communicators I have encountered. His ability at airport service company SATS to help the entire organisation and external stakeholders recognise and value the company’s strengths was phenomenal, clarifying the company’s direction, the challenges it faced, and maintaining a path of immense credibility.
Additionally, I was fortunate to bring Rachel Konrad onto the TiNDLE Board after being impressed by her leadership in communications at Impossible Foods. Her extensive background includes working with notable leaders like Elon Musk at Tesla and Carlos Ghosn at Renault Nissan. Konrad’s diverse experiences have profoundly deepened my understanding of strategic communication.
From great communicators, I have come to recognise that my initial belief — that simply letting my work speak for itself was enough — was a somewhat narrow and naive misconception. Effective communication is more than operational necessity; it is a pivotal driver of success.
Communication as a driver of success
Clarity and honesty in communication are essential, particularly during times of transformation or uncertainty. Leaders who can articulate the ‘why’ behind their decisions foster a shared sense of purpose and direction, which is crucial for internal alignment and for building external relationships with partners, clients, and investors. This open dialogue not only strengthens credibility but also drives loyalty and motivates employees to align with the company’s goals.
Moreover, strategic communication is not merely reactive but a forward-looking function that builds momentum and resilience. By continuously refining the message and adapting it to different contexts, businesses can remain competitive and well-aligned for future challenges.
In essence, strategic communication transcends its traditional view as merely operational. It is a fundamental element of leadership and a pivotal driver of long-term growth and success. It’s about creating a unified vision, building strong relationships, and ultimately, ensuring the company’s success.
—
Editor’s note: e27 aims to foster thought leadership by publishing views from the community. Share your opinion by submitting an article, video, podcast, or infographic.
Join us on Instagram, Facebook, X, and LinkedIn to stay connected.
Image credit: Canva Pro
The post Strategic communication: A core element in building and leading a business appeared first on e27.