The impact of effective communication Effective communication may contribute to organizational success in many ways. It: Builds employee morale, satisfaction and engagement. Helps employees understand terms and conditions of their employment and drives their commitment and loyalty. Being able to communicate effectively across an organization, from the highest levels to the lowest levels, creates an environment that promotes productivity and efficiency. Employees are better able to understand each other, which provides an increase to office morale and unity. The impact of effective communication. The study revealed that effective communication contributes positively to organization's productivity and that communication has a significant