If you’re an employee, you owe it to your colleagues and YOURSELF to be able to articulate your thoughts and ideas with clarity in the workplace. Good team communication matters and it’s also important for people working alone who have to report to a boss.

Here are three reasons good communication skills matter:

You Build a more Effective Team

Effective, honest communication can connect employees together in a more positive way. Employees who look forward to talking with their colleagues are more enthused about coming to work.

If they know they can talk to the boss about problems and that the boss will listen, that also connects them to the company. Good communication builds teams and increases employee loyalty.

Clarity for Clarity’s Sake

Confusing instructions and unclear guidelines are bad for everyone. When communicating with employees, supervisors and managers have to be clear about what they want and expect. That applies whether the communication is through meetings, instructions, performance reviews or employee handbooks. If workers understand their duties and responsibilities, everything flows more smoothly.

You Can Manage Diversity

Good communication is even more important if the workforce is diverse. With a mix of races, nationalities, genders or different religious beliefs on the job, it’s easy for people to accidentally offend each other. If promotion and employee review rules aren’t clear, minority workers may feel they’ve been discriminated against.

Policies that clearly spell out how the company applies rewards and penalties can clear things up. Clear guidelines telling employees how to treat each other helps avoid unwanted conflict.

On the other hand, bad communication can leads to unnecessary errors, failures and, sometimes, lawsuits.