What is business communication and what are the best practices?

14 of May, 2025

Did you know that business communication is key to building strong relationships with your clients and team? If you have not yet found a way to optimize it, don’t worry.

In this article you will discover what exactly business communication is and what the best practices are to implement it successfully in your business. And remember, at Sesame HR we will help you with our own functionality of internal communication. Stay tuned to learn more!

What is business communication?

Business communication refers to the exchange of information and knowledge within an organization and between it and its external environment. It is a key process that involves the transmission of relevant messages for the efficient operation of the company.

Company communication seeks to establish effective channels for sharing information. All in order to facilitate decision-making, promote cohesion among team members and manage the reputation of the company.

Types of communication in a company

Business communication is categorized into two main types, each with different levels and focuses.

Internal communication focuses on the exchange of information within the organization, facilitating coordination among its members. This is divided into:

Descending communication: flows from the higher levels of the hierarchy to the lower ones. This includes guidelines, objectives, and policies transmitted by management to employees.
Ascending communication: moves from employees or lower levels to higher ones. Includes feedback, progress reports, and suggestions.
Horizontal communication: occurs between people or departments at the same hierarchical level. Facilitates collaboration and problem solving between teams or functional areas.

On the other hand, external communication involves the interaction of the company with parties external to the organization and is divided into:

Strategic communication: focuses on positioning in relation to competition in the market.
Operational communication: related to the company’s daily interactions with the external environment to carry out its business operations. It involves communication with customers, suppliers, and other parties involved in business transactions.
Brand recognition communication: its goal is to strengthen brand recognition in the market. It is carried out through advertising strategies, public relations, and marketing.

Both internal and external communication are vital for the effective operation of an organization, ensuring internal cohesion, managing external relationships, and building a solid corporate identity.

Functions of business communication

Managing business communication properly has a reason. And that is, it is the key for you to comply with the following functions:

Informing the staff: you must keep your employees up to date on changes in the company, new policies, etc.
Motivating workers: recognizing your employees’ work, celebrating their achievements, and conveying motivation to them will improve their job satisfaction.
Define work policies: clearly explain the norms, values, and procedures of the company to avoid misunderstandings and increase efficiency.
Improve information flow: promoting communication channels such as regular meetings and work climate surveys, facilitates the exchange of ideas.
Boost labor productivity: effective communication translates into greater productivity, as your employees will better understand their functions and objectives.

Investing in tools like Sesame HR will allow you to enhance these business communication processes in a simple and effective way. In this way, you will be able to grow your company and increase profitability.

Good business communication practices

Communicating effectively with your team can make the difference between success and failure of your company. That’s why, we bring you some tips to improve business communication.

1. Know the company and its context

To foster good business communication, you must know your company and team perfectly. What are your objectives? What are your strengths and weaknesses? What is the corporate culture? What needs do your stakeholders have?

Study your staff, their characteristics, and motivations. In this way, you can design an internal communication strategy tailor-made to your organization.

2. Have SMART objectives

Good business communication requires clear objectives. Your goals should be:

Specific: define exactly what you want to achieve.
Measurable: objectives should be quantifiable to be able to measure progress.
Achievable: ambitious goals are good, but make sure they are realistic.
Relevant: objectives should be aligned with the overall strategy of your company.
Time-bound: establish deadlines to complete your objectives. Quarterly or annual deadlines help maintain accountability.

For example, a SMART business communication objective could be to increase traffic to your website by 20% in a quarter.

Defining SMART objectives is key to effective business communication. Communicate them to your team and review them regularly. That way, you can measure progress.

3. Design a communication plan

To succeed, you need to design an effective communication plan. But what does it really need to be effective? To establish a well-thought-out strategy that reaches your employees and customers, you should:

Define the objectives: determine what you want to achieve to focus your efforts.
Identify the audiences: who do you want to reach? Your employees, clients, shareholders, etc. Each group requires a different approach.
Select the channels: choose the best channels for each audience, such as email, social networks, or newsletters. Use a mix of digital and physical media.
Design the messages: adapt the content and tone to each audience. Make your messages clear, concise, and consistent across all channels.
Evaluate and optimize: analyze what works and what doesn’t. Make changes to improve the effectiveness of your communication strategy.

By following these steps, your communication plan will be well structured to be implemented effectively.

4. Have business communication tools

Today there are platforms that allow you to manage and centralize your company’s communication. By implementing a specific tool for this purpose, you can increase the labor productivity of your employees and the efficiency of processes.

With a business communication software, you will have a place to store and share documents, create workflows, publish announcements and handle projects. In this way, information will always be available and up-to-date for whoever needs it.

Investing in a good internal communication tool will allow you to have better control over what happens in your company and make more accurate decisions.

5. Take into account the opinion of employees

Listen to your workers, understand their needs, and accompany them on the journey, making them succeed. Don’t forget to communicate the reasons behind decisions and share all the relevant information that affects the entire organization.

If you break down barriers, advocate for full trust in the team and each person’s individual responsibility, you will show more commitment to your employees.

Business communication mistakes

Mistakes in business communication can hinder an efficient and effective flow of information both within and outside the organization. Here is a list of common mistakes in this area:

Not understanding the context: failing to understand the business environment, the needs and expectations of internal and external stakeholders can lead to misfocused communication.
Not preparing the strategy: the lack of a clear and coherent strategy can generate inconsistent messages, confusions, and lack of alignment with the objectives of company management.
Not having the right channels: the incorrect choice or lack of diversity in communication channels can limit the effective dissemination of information. This can result in messages not reaching all relevant recipients.
Not measuring effectiveness: not measuring the results of the business communication can be counterproductive. The lack of follow-up prevents identifying areas for improvement and adjusting communication strategies as necessary.
Lack of assertiveness: the inability to communicate messages clearly and respectfully can generate misunderstandings, conflicts, and lack of clarity in information transmission.

Avoiding these mistakes requires a deep understanding of the business context, solid strategic planning, and the appropriate selection of communication channels.

Improve your business communication with Sesame HR

Business communication is fundamental to the success of your company. How can you improve it? With tools like the human resources management software of Sesame HR, you will be able to communicate with your employees in a simple and effective way.

You will be able to publish important announcements, share documents, and organize the reservation of rooms. Your workers will stay up to date on everything that happens in the company and will feel more involved.

If you’re ready to take your company to the next level, an HR software solution could be just what you need. You can have all your doubts resolved in our resources section. So keep browsing to learn more!

HR professional with experience in building strong 𝐜𝐨𝐥𝐥𝐚𝐛𝐨𝐫𝐚𝐭𝐢𝐯𝐞 𝐜𝐨𝐦𝐦𝐮𝐧𝐢𝐭𝐢𝐞𝐬 among HR leaders. As the founder of the 𝐇𝐑 𝐂𝐥𝐮𝐛 and 𝐇𝐑 𝐂𝐨𝐦𝐦𝐮𝐧𝐢𝐭𝐲, I leverage my 15+ years of experience to enhance the professional landscape for HR leaders.

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tiagosantos

HR Content Specialist