The Importance of Communication on Project Performance

11 Jul, 2023 | Read in 4 minutes

Discover how effective communication can significantly improve project performance and boost team collaboration. Don't miss out, click here!


Within the field of project management communication, there is effective communication serves as the backbone for successful project execution. This involves exchanging information, ideas, and feedback among project stakeholders.

Why is communication important in project management? According to Indeed, the project team comprises professionals with various backgrounds and skills, so communication is critical to keep each professional informed and on task.

Based on a study conducted by the Project Management Institute, about 90% of project manager's time is spent communicating what will be done.

That is why communication is so essential to the success of the project. Then what are the other vital roles, challenges, and effective strategies in project management? Let's learn together!

The Role of Communication in Project Management

Image by tirachardz on Freepik

Precise and efficient communication is essential to keep all stakeholders informed and aligned with project goals and objectives.

Efficient communication creates a shared understanding among team members, reduces misunderstandings, and ensures everyone is working towards the same vision. By maintaining open lines of communication, project managers can develop a collaborative environment where ideas and information flow freely.

Here are some of the benefits of effective communication in project management:

1. Improved Team Collaboration

Communication fosters collaboration among team members, enabling them to share ideas, knowledge and information.

Project teams can exchange ideas, discuss challenges, and find innovative solutions through effective communication channels. 

Regular team meetings, both in-person and virtual, allow for open discussion, which increases collaboration and encourages team members to contribute their expertise.

2. Clear Project Goals

Clear and concise communication helps in defining project goals and outcomes. 

The project manager must communicate the project's vision, goals, and expectations to the team. This ensures that everyone understands their roles and responsibilities, reducing the risk of misunderstandings or misaligned efforts.

Clear project goals allow team members to work towards a common goal, increasing productivity and efficiency.

3. Timely Problem Solving

Effective communication facilitates the timely identification and resolution of problems. Team members should feel comfortable raising concerns, reporting issues, and seeking clarification.

Maintaining an open line of communication allows the project manager to address issues promptly, preventing them from developing into more significant problems that could derail the project's progress.

4. Stakeholder Engagement

According to a survey conducted by Statista, 38% of employees stated that effective communication with all stakeholders had an impact on project success.

Projects often involve multiple stakeholders with diverse interests and expectations. Effective communication ensures that stakeholders are engaged throughout the project life cycle. 

Regular updates, progress reports and stakeholder meetings inform them of project milestones, risks and any changes that may affect them.

Engaging with stakeholders builds trust, increases their engagement, and promotes a collaborative environment.

Effective Project Communication Strategies

AXA reports that nearly 30% of non-technical risk drivers' claim dollars can be attributed to communication-related issues. The most common communication problems require more procedures to identify conflicts, omissions and errors.

This shows that a strategy to maximise communication in project management is needed. The following methods should be applied:

1. Define Communication Channels

Identify the most appropriate communication channel for your project. This can include face-to-face meetings, email, project management software or collaboration tools.

Different channels may be appropriate for different types of communication, and it is essential to choose media that facilitate transparent and efficient exchange of information.

2. Establish a Communications Plan

Create a communications plan outlining who needs to communicate with whom, when, and through what channels. 

This plan serves as a roadmap for effective communications and ensures that all stakeholders know expectations and the communication process.

3. Active Listening

Listening is a fundamental aspect of effective communication. Encourage active listening within the project team by providing opportunities for team members to express their thoughts, concerns and suggestions.

Listening to others' perspectives fosters understanding and helps build strong working relationships.

4. Feedback and Clarification

Regularly provide feedback to team members to acknowledge their efforts and guide improvement. Clarify expectations, answer questions, and ensure that information is communicated clearly.

Feedback and clarification contribute to a shared understanding of project requirements and facilitate smooth implementation.

Communication Challenges in Project Management

Although communication is essential, project managers may need help with effective communication. Some common challenges include:

1. Language and Cultural Barriers

According to a study from the journal of Southwest Jiaotong University, there was a decline in performance of 69.61% due to a lack of communication between workers due to cultural differences and the uniqueness of each region.

In a global project, language and cultural differences can hinder effective communication. 

To address these challenges, project managers must encourage open dialogue, promote cultural sensitivity, and provide translation or interpretation support when needed.

2. Remote Team Communication

In today's digital era, remote and distributed teams are increasingly common.

Virtual communication tools and technologies should bridge gaps and ensure effective communication among team members in different geographic locations.

3. Manage Conflict

Conflicts can arise within project teams due to differences in opinions, priorities, or resource constraints. The project manager must address conflicts promptly and facilitate constructive discussion to find a mutually acceptable resolution. 

Transparent communication and active listening help resolve disputes and maintain a harmonious work environment.


Communication is the backbone of successful project management. 

By establishing an effective communication strategy, project managers can ensure that team members are aligned, stakeholders are engaged, and project goals are met.

Clear and concise communication enhances collaboration, facilitates problem resolution, and contributes to project success.

Ready to grow your business with VirtualSpace?

One platform to manage and organise your teams, tasks, projects, and more.


Subscribe to our newsletter to stay updated

We'll keep you posted with everything going on in the modern working world.