Listening is key to understanding and communicating. In order to effectively respond, you have to understand what you're responding to. Listening shows you value your employees, which in turn encourages them to respect and trust you. When they trust you to hear them out, they're more willing to approach you with problems before they escalate. Having the patience to listen and consider also helps you make more rational, informed decisions.
If you have an emotional reaction and interrupt, you'll appear rude and lose some respect. Though employees may not openly complain about a superior's discourteous behaviour, they'll remember it and may be less likely to contribute their insight. Even if you have something important to say, wait for the other person to finish their thought.
Ask questions to make sure you understand and to clarify any uncertainties. This also shows the other person that you're engaged and have heard them. It lets them know that you are actively listening and interested in continuing the discussion.
When someone is speaking to you, it's easy to start thinking of a response. However, if you're busy composing a reply in your head, you're not actually listening. Many people assume they know where the conversation is going and tune out till it's their turn to talk again. Don't make assumptions; keep your focus on what the person is saying, so you know how to respond effectively.
Finally, avoid distractions such as looking at your phone or replying to messages. If you get an extremely urgent phone call, you can politely excuse yourself, but text messages and news notifications can wait until you're finished with your in-person conversation. When you stay focused and value your employees, you'll resolve any issues more quickly.
Why listening is important
Don't interrupt!
Ask questions to clarify
Focus on what's being said, not on what you're going to say
Stay away from distractions