Difference Between Internal Communication vs. External Communication

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Main Difference

The main difference between internal communication and external communication is that internal communication is when the members of an organization, exchange ideas within the organization while external communication occurs outside the organization with other people or business entities.

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Internal Communication vs. External Communication

The goal of internal communication is to exchange information or ideas between the members of a particular organization and the goal of external communication is the interchange of information or ideas outside the particular organization. Internal communication is specific to the organizational members while external communication is done without the members. Internal communication can be done with the business partners of the same company while external communication is the communication of one organization or business with the outside world. Internal communication is a well-implemented way to strengthen the bond between staff of the same organization and external communication is important for making a brand or business reputable. Internal communication provides motivation to the organizational members while external communication boosts a brand’s growth overall with the masses. To increase coordination, productivity and loyalty between staff members of the same organization or business, internal communication is necessary and to increase the value of a business with other brands or organizations; external communication is important.

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Comparison Chart

Internal CommunicationExternal Communication
It occurs between staff members of the same business, brand, organization or company.It takes place between one organization, business, brand or company and an external organization.
Objective
Transmission of information between different business departments and unitsIt maintains a relationship with external parties
Form
Informal and FormalFormal
Frequency
HighLow
Flow
Within the organization.Outside the organization.

What is Internal Communication?

Internal communication is a type of communication that exchanges different kinds of messages, information, and facts. It can also communicate opinions. It takes place mainly within various units of an organization, business brand, etc. It is done for business purposes. Internal communication can happen between departments, individuals, units or even groups. There are two types of internal communication: formal and informal internal communications. The former passes through well and predefined channels. While the latter comes out of personal and social needs and flows in all kinds of directions. This type of communication is responsible for disseminating and establishing an undertaking’s objectives by developing plans to achieve them. Such communication also requires organizing different resources in the most optimum way within a particular company to put their best efforts into their jobs.

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Example

This mode of communication consists of presentations, notices, video conferencing, memos, circulars, agenda, manuals, seminars, meetings, and fax, etc.

What is External Communication?

It can be defined as an information exchange between a company and any other external company or individual. Generally, this form of communication is well documented. External communication determines the criteria for connecting with the external environment or business of a particular company or organization. The external environment could consist of customers, investors, society, government agencies, dealers, suppliers, and even the general public. The main aim of external communication is to boost a brand’s reputation, announce events, products, and services. Sales are also promoted and sponsorship also gets generated. Such communication leaves a great influence on stakeholders’ minds, as they give their reviews on brands.

Examples

Emails, posters, adverts, newsletters, brochures, and different forms of multimedia.

Key Differences

  1. Internal communication points to the communication that occurs between participants who are within an organization or business. External communication refers to the form of communication that takes places among an organization and other entities, organizations or groups.
  2. Internal communication has participants that are members of the company management (employees) whereas external communication occurs with external investors, shareholders, customers, clients, creditors, general public and suppliers, etc.
  3. Internal communication has a tendency to flow inside the organization, while the external communication flows externally to other environments.
  4. Internal communication is aimed at transmitting ideas among various departments and business units within an organization. On the contrary, external communication pays attention to the maintaining relationship or information exchange with external parties.
  5. Internal communication is informal as well as informal in form. External communication is mostly documented and formal in form.
  6. Internal communication has a higher frequency than that of external communication.

Comparison Video

Conclusion

In conclusion, both internal and external communication is crucial to enhance any business. They are also important for a business to effectively function. Internal communication informs and motivates individuals to work hard for the success of their company or organization. It also serves as a tool of guidance. While external communication deals with promoting a great image of a brand or business to the public.