Key considerations that can drive companies to put metrics in place for measuring the efficiency of
internal communication initiatives include the need to establish initial goals that are measurable to
ensure the business is heading to the right direction. Having measurable goals at the early phases
correlating to the longer-term objectives and mission of the business is important for progress.
Businesses therefore put metrics that can be easily measured in the initial phases of the
businesses to show progress toward a particular mission or objective. For instance, focusing on the
number of meaningful relationships with personnel who offer valuable insight to the company is
an important metric to determine the efficiency of internal communication in terms of achieving
longer-term business goals.
Another key consideration when establishing metrics for internal communication processes is the
impact of the metric on the desired culture of communication in an organization. Focusing on
metrics that show the effectiveness of internal and external information on internal company
process can efficiently pinpoint areas to improve on. Metrics can focus on the number of
actionable insights driven by internal information, and the influence of such communication on
strategic outcomes. The metrics help the organization align the internal communication with
overall business goals.
The metrics used by a business can vary for external communications. For an external
communications initiative, the number of meaningful relationships offering valuable insight will not
focus on personnel or internal departments. Instead, the metrics will focus on the value of
communication with external business partners, and regulatory bodies among other external
entities affecting the business. The focus of the metrics on the impact of external communication
on the achievement of larger business goals is similar for both internal, and external
communications. Another metric that can vary in case of an external entity is the number of
actionable insights. In case of external entities, actionable insights are derived from external
information sources including but not limited to news outlets, information concerning competitors,
and industry trends. Actionable insights from both external and internal communication contribute
to the realization of the organization’s mission, and overall business goals.
The business environment of an organization is an important consideration because it shows how
to value the metrics or set key performance indicators. For instance, a revenue of USD 20 million in
the last quarter may look good from a general perspective but when dealing with a multinational
tech company like Google, the figure is abysmal because of the bar set by competitors (Klipfolio,
n.d.). The type of industry, and its competitiveness impact the selection and the valuation of
metrics.
Effective communication is essential for a business to function smoothly. Ben Horowitz once said,
“as a company grows, communication becomes its biggest challenge” (Spence, 2015). In smaller
businesses, communication can be simpler because there are fewer individuals. You could probably
turn around at your desk and speak openly to everyone. However, clear communication from
leadership to all ranks can be more challenging as companies grow. Therefore, it is essential to
have clear communication to prevent confusion and mistakes. According to Barnes (2018),
“discussing growth regularly, analyzing the company and its needs, and making changes that are
clearly communicated to employees are necessary steps to accommodate growth within the
organization”. Utilizing metrics to measure the effectiveness of their communication with their
employees would provide the growing organization with the information needed to understand the
best modes of communication to all departments. Their measurements must be specific,
measurable, attainable, relevant, and timely (S.M.A.R.T.), and planning their metrics with SMART
will define their goals (The National Academies Press, 2016).
External communication metrics would also use SMART measurements while planning. The tools
used for collecting external data could be different from internal data, including social media,
external emails, webpage views, posts, feedback, and surveys. However, a downside to webpage
views and email open rates is that they can be misleading and do not demonstrate someone
reading the content (DesRochers, 2019). The tools to use will depend on the objective. b In both
internal and external measurements, they should: define goals, understand the
audience/stakeholders, define benchmarks, define metrics, select data collection tools, and use the
data to make decisions (The National Academic Press, 2016). Internal and external communication
is important, but internal communication deserves more attention because internal communication
can help external communication function smoothly. A company encourages its social reach by
561% by giving employees something valuable and meaningful to share, but it all begins with their
internal efforts (DeRochers, 2019).
Clear internal communication of the company's vision, goals, and purpose can create more buy-in.
An environment where employees feel connected to and believe in their company’s purpose
creates natural advocates and passionate workers to support and endorse their brand to everyone
around them and externally (DeRochers, 2019). It is important to choose a metric system that
aligns with the organization’s environment. Some companies are medium to large, virtual, have
onsite and remote employees, have multiple locations, or are global. These factors would need to
be considered when choosing the right metric. According to The National Academic Press (2016),
“the ideal index is actionable, is there when you need it, continuously improves your processes,
and gets the results you need”.
Resources
Barnes, J. (2018, October 8). The challenges faced by fast-growing companies, and how to solve
them. Forbes. https://www.forbes.com/sites/yec/2018/10/09/the-challenges-faced-by-fast-growing-
companies-and-how-to-solve-them/?sh=1e1c588b2f91
DesRochers, M. (2019, July 16). Why it’s vital to accurately measure your communication metrics.
Forbes. https://www.forbes.com/sites/forbesbostoncouncil/2019/07/16/why-its-vital-to-accurately-
measure-your-communications-metrics/?sh=7c6572cce71b
Spence, G. (2015, February 11). The company communication challenge. In.
https://www.linkedin.com/pulse/company-communication-challenge-gareth-spence/
The National Academies Press. (2016). Measuring Communication Effectiveness Across Diverse
Backgrounds and Missions. https://doi.org/10.17226/21876.
https://nap.nationalacademies.org/read/21876/chapter/6
Klipfolio. (n.d.). What are business metrics? Business dashboard & analytics software for individuals
and teams | Klipfolio. https://www.klipfolio.com/resources/articles/what-are-business-metrics