BHM 109 - Communication Unit 1

 

What is communication?

The word communication has been derived from the Latin word communis, which means to share or to participate.

Communication stands for sharing or transmission of information, an idea, an opinion, an emotion, a fact or an attitude. It includes both, the act of communicating as well as the message to be communicated.

Communication involves LISTENING, UNDERSTANDING and RESPONDING.

Thus communication is the process of passing information and understanding from one person to another with three sides to it:

(i) Transmission of subject-matter or message

(ii) Involvement of two parties to complete the process of communication

(iii) The person to whom the message is transmitted understands it in the same sense in which the sender of message wants him to understand it

 What is Business Communication?

The term business communication is used for all messages that we send and receive for official purpose like running a business, managing an organization, conducting the formal affairs of a voluntary organization and so on. 

Business communication is marked by formality as against personal and social communication.

The success of any business to a large extent depends on efficient and effective communication.

It takes place among business entities, in market and market places, within organizations and between various group of employees, owners and employees, buyers and sellers, service providers and customers, sales persons and prospects and also between people within the organization and the press persons.

Business communication can be internal when it is directed to persons within the organisation such as superiors, co-workers or subordinates.

Business communication can be external when directed to customers, suppliers, government, public, etc.

Importance of Business Communication

In business, reputation and credibility need to be built up in order to get clients’ trust and confidence. Having a sense of professionalism will bring a lot to the business, especially in a long term relationship with employees and clients.

·       There is a need to make sure that every business deal is attended to promptly.

·       Business communication encompasses not only communicating with external contacts but also with employees within the organization.

·       This will aid the business in being well-organized and every matter whether it is a problem, an inquiry or a sales letter will be attended to properly and promptly.

The role or importance of business communication is discussed below:

ü  Exchanging information: Communication is mainly the exchange of information between two or more parties. Through communication, organizations exchange information with internal and external parties. Communication also brings dynamism in organizational activities and helps in attaining goals.

ü  Preparing plans and policies: Communication helps in preparing organizational plans and policies. Realistic plans and policies require adequate and relevant information. The managers collect required information from reliable sources through communication.

ü  Execution of plans and policies: For timely implementation of plans and policies, managers must disseminate those in the whole organization. In order to disseminate the plans and policies to the internal and external parties, managers rely on communication.

ü  Increasing employee’s efficiency: Communication also helps in increasing the efficiency of employees. With the help of communication, organizational objectives, plans, policies, rules, directives and other complex matters explain to the employees that broaden their knowledge and thus help them to be efficient. 

ü  Achieving goals: Effective communication helps the employees at all levels to be conscious and attentive. It ensures timely accomplishment of jobs and easy achievement of goals. 

ü  Solving problems: Through various communication channels, the managers can be informed of various routine and non-time problems of the organization and accordingly they take the necessary actions of steps to solve the problems. 

ü  Making decisions: Making timely decisions requires updated information. Through effective communication, managers can collect information from different corners and can make the right decisions. 

ü  Improving industrial relation: Industrial relation is the relation between workers and management in the workplace. Good industrial relation is always desired for business success. Communication plays a vital role in creating and maintaining good industrial relation. 

ü  Publicity of goods and services: In the modern age, business is becoming highly competitive. Almost very competing manufacturer produces products of common consumption. However, all of them cannot sell equally well. The organization that can communicate better, can also sell better. 

ü  Removing controversies: Effective communication allows smooth flow of information among various parties involved in the negotiation or transaction. As a result, conflicts, controversies and disagreements can be resolved easily. 

ü  Enhancing employee satisfaction: If there is free and fair flow of information in the organization, it will certainly bring mutual understanding between management and workers. Such understanding enhances the satisfaction of employees.

ü  Enhancing loyalty: Effective communication helps the managers to be aware of the performance of their subordinates. In such a situation, the subordinates try to show their good performance. Later on, if management praises their performance, it will enhance employees’ loyalty. 

Thus business communication:

ü  Binds people together.

ü  Improves the morale in an organisation.

ü  Helps in proper planning and co-ordination.

ü  Forms the basis for decision-making.

ü  Helps in the efficient running of an organisation.

ü  Helps in achieving increased productivity at lower costs.

ü  Builds up mutual trust and confidence. 

Purpose of Communication

1. For instruction: The instructive function unvarying and importantly deals with the

commanding nature. It is more or less of directive nature. Under this, the communicator transmits with necessary directives and guidance to the next level, so as to enable them to accomplish his particular tasks. In this, instructions basically flow from top to the lower level.

 2. For integration: It is consolidated function under which integration of activities is

endeavoured. The integration function of communication mainly involves to  bring about inter-relationship among the various functions of the business organization. It helps in the unification of different management functions.

 3. For information: The purposes or function of communication in an organization is to

inform the individual or group about the particular task or company policies and procedures etc. Top management informs policies to the lower level through the middle level. In turn, the lower level informs the top level the reaction through the middle level. Information can flow vertically, horizontally and diagonally across the organization. Becoming informed or inform others is the main purpose of communication.

 4. For evaluation: Examination of activities to form an idea or judgement of the worth of task is achieved through communication. Communication is a tool to appraise the individual or team, their contribution to the organization. Evaluating one’s own inputs or other’s outputs or some ideological scheme demands an adequate and effective communication process. 

5. For direction: Communication is necessary to issue directions by the top management or manager to the lower level. Employee can perform better when he is directed by his senior. Directing others may be communicated either orally or in writing. An order may be common order, request order or implied order.

6. For teaching: The importance of personal safety on the job has been greatly recognized. A complete communication process is required to teach and educate workers about personal safety on the jobs. This communication helps the workers to avert accidents, risk etc. and avoid cost, procedures etc.

7. For influencing: A complete communication process is necessary in influencing others or being influenced. The individual having potential to influence others can easily persuade others. It implies the provision of feedback which tells the effect of communication.

8. For image building: A business enterprise cannot isolate from the rest of the society. There is interrelationship and interdependence between the society and an enterprise operating in the society. Goodwill and confidence are necessarily created among the public. Through an effective external communication system, an enterprise has to inform the society about its goals, activities, progress and social responsibility.

9. For employees orientation: When a new employee enter into the organization at that time he or she will be unknown to the organization programs, policies, culture etc. Communication helps to make people acquainted with the co-employees, superior and with the policies, objectives, rules and regulations of the organization.

10. Other: Effective decision-making is possible when required and adequate information is supplied to the decision-maker. Effective communication helps the process of decision-making. In general, everyone in the organization has to provide with necessary information so as to enable to discharge tasks effectively and efficiently.

Hence we can summarise by saying that communication is meant:

v To inform

v To reassure

v To teach

v To deliver news, whether good or bad

v To understand

v To explain

v To persuade

v To transact

v To organize

v To control

v To co-ordinate

v To direct