Need/ Relevance of Corporate Communication in Contemporary Scenario

Business in the present world survives majorly on corporate communication. Many organisations have witnessed disastrous consequences like dissatisfied customers, breaking down of relationships with shareholders and loss of business due to ineffective or lack of communication.

organisations need to maintain harmonious relationships with everyone they deal with, including internal employers and outside vendors, workers, distributers etc. One of the main tasks that corporate communication accomplishes is to provide clarity of information to everyone concerned and to meet organisational goals by eliminating confusions that may arise from distortion of messages.

Contemporary business organisations have expanded beyond geographical boundaries. They constantly deal with different races and cultures. This makes business communication challenging as any trans-border communication gap may disturb business relationship and may create dissonance between two parties.

Effective business communication not only promotes business development but also serves multiple other functions such as:

1. Generating trust: For any organisation to run a sustainable business, it is important to acquire trust from its employees, vendors, customers, business associates, partners etc. An honest and efficient communication goes a long way in creating this trust among people concerned. Standing true to organisation’s commitments is also equally important.

Let’s take a simple example of corporate banks. They establish 24 hours helpline and customer support round the year. Instant messaging services to customers regarding financial services and transactions, sending timely alerts, offering net banking facilities that save hours of standing in a queue, e-billing, addressing customer grievances instantly, alerting customers of fraudulent calls are all different ways of creating trust and communicating reliability among customers.

Contemporary organisations believe in providing more and more transparency and access to their customers there by creating a bond of trust.

2. Dissolve communication barriers: Effective communication minimizes the chances of misunderstandings and resolves conflicts. With the opening up of horizons for business, corporate organisations make cross border business dealings. Mergers, acquisitions, partnerships, collaborations and such type of activities are based on effective communications.

Lack of transparency, false assumptions, inaccurate information etc. may tarnish the brand image of an organisation and may lose business in the global market. When a company wants to sell its products in the international market, it is basically dealing with a lot of challenges like creating product of international standard, creating value, generating reliability amidst scepticism. For any company to establish its position in the global market the most significant tool is its corporate communication.

3. Creating and retaining customers: Big corporate houses with an international client base are constantly in pursuit of betterment of their product quality not only for the purpose of business expansion but also to retain its chain of existing customers. Almost every big company with international customers has call centers with executives dealing with customer issues and grievances. Companies spend millions of rupees in product advertisement and creating a brand value. Much of the organisation’s goal of retaining and enhancing customer base is also accomplished by thinking ahead of time so that not only have answers to the current problems but also to those that may arise in future.

An organisation that successfully communicates its futuristic thoughts and promises to deliver quality product and services for a longer period of time definitely enjoys a sustainable position in the market.

4. Customer awareness: Customers already know about the product they want to purchase by seeking information about the product online.
5. Internet: The rapidly changing global economy, a revolution of media fuelled by democratisation of the internet and a substantially transformed the 21st century corporation and is making the business more competitive.
6. More clutter: On average a person is hit by 13,000 commercial messages daily integrated communication strategies are more likely to break through this clutter.
7. Emphasis in ICT: Organisations are also realising that messages in various media can complement one another leading to a greater communication impact than any single message can achieve.