Learning Lab: Internal Communications Should Be Up to Speed

Is your internal communications process up to the task?

Who hasn’t heard the tale of Enron? Once a business darling with astounding revenue, it was later revealed that the energy company powerhouse of the 1980s and ‘90s had engaged in accounting fraud, bringing it to its knees and eventually forcing the company into bankruptcy. What fewer people know is just how critical the role of communication — poor internal communication — was in its demise. 

After its failure, research into the organization pinpointed a lack of communicating appropriate moral values and an inability to maintain adequate communication around organizational operations as main causes for failure.

Enron is not the only corporate Goliath that has been a victim of this weakness. British Petroleum, known more commonly as BP, is a brand now permanently associated with the Deepwater Horizon offshore oil spill. The Achilles heel behind this disaster was poor communication, specifically a failure to share important information with its employees.

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Written By

Alice Chen is a Toronto-based freelance writer.


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