For the smooth functioning of the business, effective communication at the workplace is very important. In an organization a two-way communication is a must. Managers should have personal contacts with their subordinates. They can help reduce absenteeism amongst workers and also increase their productivity through proper communication. They should properly communicate the goals and policies of the organization to their subordinates and also get proper feedback from them on these goals and policies.For communication to be effective there should be both horizontal and vertical communication in any organization. Vertical communication is the communication that takes place between the superiors and the subordinates. A healthy vertical communication ensures that the managers are properly communicating the goals, target policies and procedures to the employees and at the same time the superiors are also aware of the concerns of their subordinates. Horizontal communication is the communication that occurs between the employees at the same level. To build a bond between the employees it is essential that they share their feelings and suggestions with each other. A healthy horizontal communication results in the motivation of the team members.The feedback is a very important part of communication. The organizational structure should be such that all the employees should get a timely feedback. Whether it's a superior or a subordinate, he should get a proper feedback at his work so as to help him improve over his weak areas. Proper training sessions for the enhancement of employees should be conducted.