Poor Communication Is Costing You Money

Ever feel like you were clear with someone, but you didn’t get what you were looking for?

The Leadership Struggle No One Talks About—Poor Communication

Have you ever thought you were crystal clear, only to find out later that your message was completely misunderstood?

I’ve been there. I once gave instructions to my team, assuming they understood exactly what needed to be done. A week later, the results were way off. The problem? I thought I was being clear, but I never actually confirmed their understanding.

This happens to leaders at every level. The reality is, unclear communication isn’t just about minor misunderstandings—it’s about two people having completely different conversations.

The Problem: When Conversations Go Off Track

Poor communication is one of the biggest leadership challenges, and yet, it’s often overlooked. A leader might think they’re giving direct guidance, but if their message is vague, filled with assumptions, or lacks follow-up, employees may interpret it in completely different ways.

Some common signs of unclear communication include:

🚩 Vague statements that leave room for interpretation.

🚩 Assuming employees understand without confirming.

🚩 No timeline or clear expectations provided.

🚩 Employees constantly seeking clarification.

Unclear communication creates unnecessary frustration, delays, and misalignment in teams. Worse, it can lead to disengaged employees who feel lost or uncertain in their roles.

When communication is unclear:

🔹 Employees feel disconnected and unmotivated.

🔹 Work is delayed or needs constant revision.

🔹 Trust erodes between leadership and teams.

Why It Matters: The Hidden Cost of Poor Communication

Unclear communication doesn’t just cause confusion—it directly impacts performance and engagement. Companies with effective communication practices experience higher productivity, stronger employee morale, and fewer misunderstandings.

According to the 2022 State of Business Communication report from Grammarly (linked in the comments), business leaders estimate poor communication in the workplace accounts for a loss of 7.47 hours per employee per week. “For the average full-time knowledge worker on their team, who makes an estimated salary of $66,976, the wasted 7.47 hours each week amounts to a sunk cost of $12,506 per employee per year.” For an employee with a salary of $133,952, the sunk cost is $25,012 per year.

Poor communication could cost your company more than 18% of the total salaries paid. And you incur that cost year after year. 

What can you do?

The Fix: Become a More Clear & Effective Communicator

If you want to improve your bottom line and ensure your communication is CLEAR and understood the way you intended, here are three strategies every leader should apply:

✅ Be Specific & Direct: Avoid vague phrases like “as soon as possible” or “do your best.” Instead, set clear expectations like “Please send me the report by Friday at noon.” This is giving a clear expectation of when this is needed.

✅ Check for Understanding: Instead of asking, “Does that make sense?” try, “Can you walk me through how you plan to approach this?” This ensures clarity without making employees feel uncomfortable.

✅ Encourage Open Dialogue: Create a culture where employees feel safe asking for clarification. A simple, “If anything isn’t clear, let’s discuss before moving forward,” can prevent costly misunderstandings.

The Leadership Mindset Shift: Prioritize Clarity

Being a great leader isn’t just

about having a vision—it’s about ensuring that vision is understood by the people who bring it to life. Clear communication isn’t a soft skill; it’s a leadership necessity.

Enhance your communication skills and transform your leadership effectiveness with our specialized coaching program, focused on addressing the challenges of poor communication. Join us to develop the techniques and strategies necessary for clear, impactful communication that fosters collaboration and drives success in today's dynamic environment.

1:1 Leadership Coaching

60

Book Now