how to calculate ROI of internal communication

For any organization, large or small, clear communication within the company is vital for seamless operations and sustained growth. But how do you measure the effectiveness of your internal communication strategies? Understanding the Return on Investment (ROI) of internal communications can provide valuable insights into the impact of your efforts and help you make informed decisions for the future.

ROI, in the context of internal communications, refers to the value generated by your communication initiatives in relation to the resources invested. It’s crucial to measure this value accurately to gauge the efficiency and effectiveness of your communication channels.
Certainly, it is highly challenging as internal communication involves human-centric matters and yields advantages that are difficult to measure. Nevertheless, in this article, we will attempt to devise a method for assessing its return on investment (ROI).

Identifying Key Performance Indicators (KPIs)

To calculate the ROI of internal communications, start by identifying the right Key Performance Indicators (KPIs). These indicators will help you measure specific aspects of communication effectiveness. These essential KPIs include:

Employee Engagement: Employee engagement represents the emotional commitment and involvement employees have towards their work, resulting in a positive and motivated workforce that contributes effectively to the success of the organisation. It signifies a deep connection between employees and their jobs, fostering productivity, satisfaction, and a sense of belonging within the workplace.

Information Retention: Information retention refers to the ability of individuals to absorb, store, and recall knowledge or data over a specific period, indicating how well information is retained in the memory for future use or application. It signifies the capacity to remember and utilise previously learned information, critical for learning, decision-making, and problem-solving in various contexts.

Enhance employees’ status within their company: Enhancing employees’ status within their company involves elevating their position, recognition, and influence within the organisation, leading to increased respect, responsibility, and opportunities for professional growth and development. It signifies empowering individuals to play a more significant role, fostering a sense of pride and value in their contributions to the company.

Part 1: Employee Engagement: A Key Metric in Calculating Internal Communication ROI

What is Employee engagement ?

Employee engagement refers to employees’ emotional commitment and connection to their organization, leading to increased motivation, productivity, and loyalty. Effective internal communication is crucial in fostering engagement as it clarifies roles, enhances job satisfaction, reduces turnover, boosts morale, encourages innovation, strengthens organizational culture, improves team collaboration, enhances customer satisfaction, facilitates change management, and promotes employee well-being. Methods to measure engagement include surveys, which provide quantitative data, feedback forms, or communication platform analytics, which offer qualitative insights and aid in continuous improvements.

Why measuring employee engagement ?

Employee engagement is crucial as it directly impacts organizational success and employee well-being. Engaged employees are motivated, committed, and passionate about their work, leading to higher productivity, improved quality of output, and enhanced customer satisfaction. They are more likely to collaborate effectively, fostering a positive workplace culture. Engaged employees also tend to stay with the organization longer, reducing turnover costs. Moreover, their enthusiasm contributes to innovation and problem-solving, driving company growth. On a personal level, engagement enhances job satisfaction and mental well-being, creating a fulfilling work environment. Ultimately, a highly engaged workforce aligns with the organization’s goals, driving overall performance and ensuring long-term success. According to a Gallup’s study, highly engaged teams experience 21% higher profitability and 17% higher productivity compared to disengaged teams.

How to measure employee engagement ?

To measure employee engagement, you have different options:

Surveys: Structured questionnaires assess job satisfaction, understanding of company goals, and perception of internal communication effectiveness. Surveys provide quantitative data, identifying trends and patterns over time, fundamental in gauging engagement levels. You can ask your employees if they are satisfied with their job and responsibilities, or how they are motivated to go to their job on a scale of 0 to 10.

Feedback Forms: These tools assess relevance, clarity, and comprehension of communicated information. They encourage actionable feedback, aiding real-time adjustments. Feedback forms offer qualitative insights, delving into employees’ perceptions, aiding in continual improvements. It can cover topics such as job satisfaction, workplace culture, communication, career development, and suggestions for improvement, or manager and employee relation. For example: What aspects of your job do you find most fulfilling? How would you rate your manager’s ability to provide clear guidance and support for your tasks?

Communication Platform Analytics: Communication Platform Analytics proves invaluable in gauging employee engagement. By tracking interactions, response rates, and content engagement on digital platforms, businesses gain insight into the effectiveness of their internal communication strategies. Metrics such as message open rates, feedback frequency, and participation levels provide concrete data on employee engagement. Analyzing these metrics not only quantifies engagement but also helps identify trends, allowing organizations to tailor their communication approaches effectively. This data-driven approach fosters a more engaged workforce, enabling companies to adapt their communication methods in real-time, ultimately enhancing overall productivity, collaboration, and employee satisfaction.

Communication Insight from Tryane is a powerful tool used by organizations in the digital age to analyze internal communication data. It identifies engagement patterns, measures the impact of communication strategies, and provides real-time feedback for adjustments. This tool could help you optimizing resource allocation, ensuring efficient use of budgets and manpower, ultimately boosting the organization’s return on investment. If you want to know more about it, contact us.

Part 2: The Significance of Information Retention in Calculating the ROI of Internal Communication

What is the information retention ?

Information retention plays a major role in calculating the ROI of internal communication. It signifies the ability of employees to absorb, recall, and apply communicated messages within the organization. Effective retention ensures that vital information, strategies, and goals are not only understood but also retained over time, leading to informed decision-making and enhanced productivity. When measuring ROI, a high retention rate indicates successful communication strategies, fostering a more efficient and cohesive work environment. It demonstrates that the internal communication efforts are not only disseminating information but embedding it within the workforce, directly impacting operational efficiency, employee engagement, and ultimately, the organization’s bottom line.

Why is information retention so important ?

Information retention plays a pivotal role in calculating the Return on Investment (ROI) of internal communication within a company. When employees retain information effectively, they are more likely to understand corporate messages, policies, and goals. This leads to improved productivity, reduced errors, and enhanced collaboration. Effective internal communication also fosters a sense of belonging and engagement among employees, driving their commitment to the company’s objectives. Additionally, when information is retained, it reduces the need for repetitive communication efforts, saving both time and resources. Ultimately, high information retention rates signify the success of internal communication strategies, directly impacting the overall ROI by ensuring that messages are understood, remembered, and acted upon efficiently.

How to measure information retention ?

Measuring information retention can be challenging, but there are several methods and techniques that can be employed to assess how well individuals have retained specific information:

Surveys and Questionnaires: Create surveys or questionnaires that ask individuals to recall specific details or concepts from the information provided. Compare their responses with the correct information to gauge the level of retention.

Observational Assessments: Observe individuals applying the learned information in real-life situations. This method is particularly useful for skills-based knowledge. Assess how effectively they use the information in practical scenarios.

Repetition and Spaced Learning: Measure retention over time by revisiting the material at intervals. Spaced repetition techniques involve revisiting information at increasing intervals, which has been shown to enhance long-term retention.

Self-Reporting: Ask individuals to self-assess their understanding and retention of the material. While this method might not be entirely accurate, it can provide insights into individuals’ confidence in their knowledge.

It’s often effective to use a combination of these methods to get a comprehensive understanding of information retention. Tailoring the assessment methods to the specific type of information and the goals of the evaluation can provide the most accurate insights into how well the information has been retained.

Partie 3: Enhance employees’ status within their company

What does it means to enhance employees’ statuts within their company ?

Enhancing employees’ status within their company involves recognizing their contributions, valuing their skills, and empowering them to thrive. This can be achieved by offering opportunities for skill development, providing regular feedback, and acknowledging achievements publicly. When employees feel valued and appreciated, their confidence grows, leading to increased engagement and motivation. Encouraging a culture of open communication, where employees’ opinions are respected and considered, further elevates their status. Additionally, providing avenues for career growth, mentorship, and leadership roles enhances employees’ sense of belonging and pride in their workplace, fostering a positive and productive work environment.

Why is it so crucial ?

Enhancing employees’ status within their company is vital for several reasons. It boosts morale, fostering a positive work environment and encouraging loyalty. Recognizing their contributions and skills instills a sense of pride, increasing motivation and engagement. Employees who feel valued are more likely to be proactive, innovative, and dedicated to their work. Moreover, an elevated status often translates to improved job satisfaction and overall well-being, reducing turnover rates. It also fosters a collaborative atmosphere, where employees are more likely to share ideas and contribute meaningfully. Ultimately, valuing and enhancing employees’ status not only strengthens the workforce but also positively impacts the company’s productivity, creativity, and long-term success.

How to calculate it ?

Elevate employees’ status using surveys and Tryane’s “Communication Insights” tool. Start by designing inclusive surveys, delving into job satisfaction, growth opportunities, and workplace dynamics. Anonymously collect responses to ensure honesty.
Simultaneously, employ CI (Communication Insight) tool, which analyses internal communication data. It pinpoints patterns and sentiment in conversations, offering valuable insights. Integrate survey results with communication analysis.
Identify common themes and areas for improvement. Implement targeted changes, such as enhanced training or improved feedback mechanisms.
This combined approach, blending traditional surveys with cutting-edge communication analysis, ensures a comprehensive understanding of employees’ needs, ultimately elevating their status within the company.


In conclusion, the importance of effective internal communication cannot be overstated in today’s dynamic business world. Measuring its impact through Return on Investment (ROI) is challenging but crucial. By focusing on key metrics such as employee engagement, information retention, and enhancing employees’ status within their company, organizations can gain valuable insights into the efficacy of their communication strategies.

Employee engagement not only fosters motivation and loyalty but also drives productivity and innovation. Information retention, on the other hand, empowers individuals to make informed decisions, enhancing problem-solving abilities and promoting adaptability. Valuing and enhancing employees’ status by recognizing their contributions and providing growth opportunities not only boosts morale but also strengthens collaboration and creativity.

Ultimately, investing in effective internal communication and understanding its ROI not only ensures seamless operations but also paves the way for sustained growth and success in the competitive business landscape.

About Tryane Analytics

Tryane Analytics was established in 2008 with the mission of empowering internal communications with actionable insights allowing them to be more efficient. Communication Insights is the latest and most comprehensive solution of Tryane Analytics. It is an all-in-one analytics solution to connect all your internal communication channels (email newsletter, intranet/digital workplace, enterprise social network) and access a holistic view of all your KPIs in one place.

Our cross-channel analytics platform helps internal communication professionals to be more efficient and gain valuable insights including two of our most popular features: Best Time to Post, which optimizes communication timing for maximum reach, and Monthly Reports that helps you provide accurate data effortlessly, in just one click. Increase your chances of reaching your target audience effectively and access comprehensive data to make informed decisions instantly. Streamline your performance tracking, adapt your strategies, and make data-driven decisions with Communication Insights:

Communication Insights by Tryane Analytics

Contact us today to learn more about our all-in-one analytics solution for internal communications. Get an understanding of the best ways to use your data to optimize your company’s internal communications and better engage employees.

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