by Demetrios Sapounas
Part 6: Communication
In the past decade and a half, I have had the opportunity to work on several new ventures and advise and mentor numerous entrepreneurs on their journey to building a successful company from an idea. Recently, I also began working as a business coach with the Small Business Development Center (SBDC).
A common theme with all these interactions is the emphasis on building a product. This includes: raising capital, developing detailed revenue models, recruiting a team and getting customers – not necessarily in this order. This is the “classical” approach of going about launching a new venture where the belief of “build it and they will come” still seems to influence early- stage activities.
Communication is essential to establishing lasting relationships in your personal life- and it is no different in your business life. How sincere you come across as, how crisp, clear, easy to understand is your message and how transparent you make things goes a long way toward building trust, creating a following, establishing an environment for good information flow.
Communication is about establishing a connection and then building on it, and about the flow of information. Establishing a human connection is what differentiates great communicators from all others. Irrespective the mode of communication (video conferencing and email seem to be the predominant ones), at some point you need to look the other person in the eye, make the connection, create a sense of belonging, build rapport.
Information flow is critical to the company success, especially early on, though the importance does not diminish as the organization grows. The quote “information is power” is often heard and practiced in environments where silos, compartmentalization and dysfunctionality are common. This is a practice often found within intelligence agencies, which has led to some of the largest debacles in history (the failure to prevent the coordinated September 11 airplane hijackings and subsequent attacks to the world trade towers in New York and the pentagon, outside Washington, DC is a good example). In my opinion, information may be power, but unless you take action on it, it has no value! In business, information you act on can deliver value and growth or even prevent adverse events. And that information is obtained through communication. Democratising information and flow across all levels of the organization can help with outcomes, performance, efficiency, and prevent duplication of work, silos, unexpected roadblocks, increased operating costs.
Good communication is necessary to be successful, whether you communicate inside the company, or outside, with partners, investors, customers and other third parties. How you communicate should be the same no matter the mode of communication (in person, video call, telephone, email, SMS, etc.).
Communication, much like culture, is a reflection of the founder’s or CEO’s style and behaviours. Transparency, especially in the executive suite, open and proactive communication can set the precedence for the rest of the organization. At a company, it was often common to hear the founder and CEO say to other members of the executive suite “you don’t need to know”, about numerous subjects, including discussions with potential investors, the financial health of the company, discussions with potential customers. At other times the CEO would put extremely positive spin on information but failing to deliver the anticipated results at a later time. This type of communication evaporated any credibility the CEO had within the company and created a precedence for limiting information flow (actionable or no), which had a negative effect on the innerworkings of the company and a high rate of turnovers.
At another organization, there was minimal valuable information flow and there was even fear of communicating important information like the exact status of projects. Instead, vital information was masked by high-level summaries which did not present the true status until it was too late and timelines were missed. It was the fear of how executives will react and desire for self-preservation that created a reactive culture of information silos. In this case, frequent and proactive communication would have provided actionable information to prevent delays and budget overruns.
As stated earlier, communication and culture are closely related. The speed with which things change and business operate requires open and free communication where bad or negative information is valued as much as positive information. And it should be about the information and not the messenger, who may be communicating about something beyond their control. Openness and listening are extremely important, especially in a hybrid world, and listening, particularly to what you do not want to hear is critical. If you only listen to people who look like you and think like you, then all you are going to hear is effectively you. One very important attribute of a leader is paying attention and willing to listen. Make it safe for others to tell the truth. Do not penalise them or dismiss them. You are effectively communicating to others “I see you, I hear you”. Listening certainly takes time, but it has its dividends. When people are listened to, they are motivated and when they are motivated they feel validated and then they feel validated they perform at the highest levels.
Proactive communication is an art and can create value beyond the information communicated. For example, reaching out to a customer to see how they are doing or how you could be of help can lead to conversations resulting into more business, expanded engagements or introductions to others who have immediate needs.
You may find it easier, simpler, faster to just communicate via email. There is a time for this type of communication, especially when you want to communicate the same information to a large number of people, but that should not be the norm (you do not want to be an “email boss”) and such communications should be followed-up by more personal modes of communication (video conferencing can work well) to get into more details, emphasise points, answer questions. These are also opportunities to establish a connection with the audience and individuals.
Beyond crisp messages, information flow, transparency and visibility, one to one or small team meeting communication is extremely important. This is a more meaningful way to communicate, establish a personal connection, create a safe space where free flow of information occurs. It is a way to build trust. What you do and how you use the information obtained in such settings can make or break any bonds or trust that may have been built.
At a company there were many meetings where normally information was exchanged and discussed, though it was not always the case that all functions (or individuals) who needed to have the information were always represented. Often this led to delays and roadblocks down the road, because people who needed to have the information, so they can act on it, did not until a much later time. The measurable impact was lost productivity and associated costs, plus budget overruns.
One to one communication is also part of the typical management tools used to engage with employees. Done right, these communications can build bonds and trust, reduce stress and burnout, help with retention. Take these opportunities as a way to learn about the other(s), provide guidance or advice, create a space where information can flow freely. This should not be strictly to get status on tasks or projects, which can be easily obtained through other means. Keep in mind that communication should be two-way and you should try to listen at least as much as you talk.
Communication has to be effective and minimize ambiguity and misunderstandings. How you communicate is also important. You should be mindful of your audience and give it your whole attention. Same goes for the audience. Focusing on the communication, making eye contact (where possible), paying attention and refraining from multitasking (reading on some screen, writing an email, etc.) overcomes barriers and achieves the best results. Also ensure communication is actionable, making your employees to take action.
At an organization, employees commonly felt the need to “multitask” during meetings. The typical pattern was that items had to be repeated, for the benefit of the multitasker, leading to ineffective meetings that covered fewer topics than the ones on the agenda, lost time and the need for more meetings, to cover items not discussed in the original meetings. Defining meeting rules and making people accountable to follow them helps to some extent, though it does not solve the problem completely.
Showing appreciation for others conveys care and respect and can create a positive environment where people feel they are valued and they matter. This can improve morale, promotes communication and encourages two-way communication and feedback. In return, this can enhance productivity.
When communicating verbally, in-person, on video or in front of an audience, you should be mindful of your body language. How you sit or stand, how you position your arms and hands can convey its own message. Body language some times can convey the opposite message to what is being verbally communicated. It is best to assess your body language and always try to come across as confident, positive and as an active listener. The good thing is that communication is something you can learn, improve and become better and effective at it. Even if you feel you are a great communicator, take an objective assessment and then decide how to proceed. Communication is such an important element of business that you should not ignore it and make every effort possible to ensure you and everyone around you is effective and inclusive at communicating.