Role of Internal Communication in Fostering Employee Engagement, Retention, and Organizational Commitment: A Case of Bhutanese Industries

Dhanapati Sharma *

Gedu College of Business Studies, Royal University of Bhutan, Bhutan.

Hitanath Dhakal

Gedu College of Business Studies, Royal University of Bhutan, Bhutan.

Amrit Sharma

Gedu College of Business Studies, Royal University of Bhutan, Bhutan.

*Author to whom correspondence should be addressed.


Abstract

This research investigates the impact of internal communication on employee engagement, retention, and organizational commitment from the employee’s and employer’s perspective. It aims to understand how different communication practices influence employees' connection to their work and their intention to remain with their company. The study employs thematic analysis and descriptive statistical tools to analysed data collected from a survey of 224 employees. The respondents rated their agreement with the statements and provided insights into their perceptions and experiences on the subject matter. The findings indicate a significant correlation between effective internal communication and positive employee outcomes. Specifically, 62% of employees reported that good communication motivates them to stay with the company, while 71% valued freedom of speech and expression. Additionally, 80% agreed that clear and practical communication channels enhance their motivation to stay. However, there was a notable division in opinions regarding the effectiveness of internal communication in resolving issues, with 52% agreeing and 48% disagreeing. The study also highlighted that transparency and regular updates on company goals significantly boost employee commitment, with 78% of employees feeling encouraged to work harder when informed about organizational progress. The research emphasises the necessity for companies to invest in enhancing their internal communication strategies. Recommendations include developing comprehensive communication training programs for managers, implementing structured communication channels, fostering a culture of openness, and optimizing meeting structures. These strategies aim to create a supportive and inclusive work environment, eventually enhancing employee engagement, retention, and their commitment. This study offers a clear image of the role of internal communication in fostering employee attitudes and behaviours. By integrating thematic analysis with descriptive statistics, it offers a practical insight which can guide organizational practices and policies that aims at fostering employee engagement, retention and organizational commitment at workforce.

Keywords: Internal communication, employee engagement, employee retention, organizational commitment


How to Cite

Sharma, Dhanapati, Hitanath Dhakal, and Amrit Sharma. 2025. “Role of Internal Communication in Fostering Employee Engagement, Retention, and Organizational Commitment: A Case of Bhutanese Industries”. Asian Journal of Economics, Business and Accounting 25 (4):156-77. https://doi.org/10.9734/ajeba/2025/v25i41741.

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