Business Communication

Definition:1. Communication means The flow of material information,

perceptions and understanding between various parts and members of an
organization.
2.Communication is the process of sharing by which message produces
response.
3.Communication is the process of transmitting and receiving verbal and nonverbal messages

Importance
Effective communication serves the following specific purposes in an
organization
1. Greater Awareness of Organizational Goals and Teamwork When there is
open communication between superiors, co-workers and subordinates, there is
smooth flow of information regarding the goals of the organization. Coordination
between the different departments in particular, leads to greater motivation to
work together towards achieving a common organizational goal, rather than
working in isolation.
2. Better Employer-employee Relationships By listening to employees,
showing empathy and giving them the freedom to express their opinions without
fear of being repressed, a manager can create a climate of openness that leads
to better work relationships. Employees will then feel more comfortable in
approaching their superiors and discussing any matter with them.
3. Problem-solving Effective communication can help resolve conflicts
between co-workers, work related and performance related problems. Facetoface communication is especially suited for achieving this task, since it is one to
one and highly personalized in nature.
4. Improved Performance Effective communication by managers at the time
of appraising the performance of their employees can point out areas for
improvement. A constructive review of performance, through which a manager
gives positive feedback and counsels the employee, instead of criticizing him for
poor performance, can motivate the employee to perform better.
5. Stronger Link between Managers and the External Environment Apart from
internal communication within the organization, effective communication by
managers with external audiences such as customers, government, bankers,
media and suppliers leads to a better rapport with them.A manager will be able

to understand the needs of his customers, be aware of the presence of quality

suppliers of material, of government regulations and of the expectations of the
community at large, only through proper communication

Types of languages with respect to Business communication

Formal Language
Informal Language
Formal language is used when we tend to business areas. The business affairs
can be termed as some of the follows:
Sending letters to different people on behalf of the company
Placing orders for different products.
Hiring people
Preparing reports both oral and written
Writing memos to other employees
Applying for jobs
In addition to the above stated, all communication done in business affairs uses
formal languages, we have to be careful while using formal language that we
dont get the wrong ideas across. We dont use slang and words that might not
be proper in this regard.
Informal language is used when we are not dealing with business areas such as
private discussions, gathering with friends and family and sharing ideas. Informal
language is often used to get ideas across rapidly; short form words are used and
are supported by easily understandable slang.

Process of communication

Context / Social environment

Sender
Message
Medium
Receiver
Feedback
Context
Every message whether oral or written begins with context, context is a broad
field which includes country, culture, organization and other external and internal
factors. What we communicate primarily depends on the social environment we
are in, some things regarded as right might be otherwise wrong to other cultures
or organizations. While communicating we have to be aware of this fact. If we
neglect this fact our ideas might be misunderstood or the whole idea might be
rejected.

Sender
When we send a message we are the encoder, the writer, speaker or presenter
depending on the situation and whether our message is oral or written. We try to
choose such language and words that are easily identifiable and comprehensive
to others. If we use the wrong language or the wrong words we might not get our
ideas across let alone get a favorable response.
Message
The message is the main idea we wish to communicate. It includes both verbal
and non-verbal symbols. Our first task is to decide what our message is and what
we are trying to convey. We try to focus on how our ideas will be decoded by the
receiver will it be understood clearly or not. We have to consider the
requirements of our message. Do we have to give any answers? Do we have to
communicate any particular information? And do we need to get something

done?
Medium
Medium is the way through which the message is transmitted; it can be the
printed word, electronic mail or sound. The medium depends on the context
factor discussed earlier. In other words we can say medium means whether we
should speak or write and if we write in what manner or format. The written
medium is preferred when the message is usually long, technical or formal in
nature or should be documented. The oral medium is effective when the
message is urgent or immediate feedback is required.
Receiver
Receiver is the person who decodes or deciphers our message. Receiver is the
one reading or listening to our message. A lot of messages have more than one
receiver. We know that no two people think in the same way. So it depends a lot
on our receiver how the message is decoded and it might also cause the
message to be taken in a different meaning as it was originally meant.

Feedback
In the end the receiver acts on the message received. Feedback may be oral or
written; it may be a message or an action or simply silence. It can be either
positive or negative; every message has a feedback or response. We cannot say
that there was no response to our message even silence is a kind of feedback or
response. Effective communication is where we get our required feedback or
response.
Barriers of communication (Problems in communication)
(Why is Communication imperfect?)
We have seen that communication is a complex process, even if we try our level
best in preparing, the receiver might take it differently or there may be other
problems which might cause our communication to be distorted or problematic.
There are two sets of barriers to communication
1.Psychological barriers
2.Physiological barriers
Psychological barriers
We know that no two people think alike so there will be problems when our
messages are taken differently from different people. Psychological barriers
include peoples emotions, perceptions and selectivity.
Emotional
One possible psychological block is emotional. For example if you are announcing
a new policy which you know will be unpopular you will be emotionally blocked,
giving the first major presentation for your job, writing a letter to someone you
dislike you will be emotionally blocked. The people we are communicating to may
also have emotional blocks. They may feel indifferent or hostile towards our

subject or can be biased against us or our subject.

Perceptual
Even if there are no emotional blocks every person perceives things differently.
Communication involves perception and perception is never accurate. One
perceptual problem is that people perceive things differently. Some people might
look at a picture from a different angle and some might look at it from another
angle. Imagine every person in the company reading an annual report. The
accountant will only be reading the financial statements and their footnotes, the
sales manager will only be interested in the sales volume and value and the
public relation officer will only be interested in the quality of the paper. Also
consider this: A father and his son are driving to work one morning when
suddenly theyre involved in a terrible accident. The father is killed instantly and
the son is badly hurt. He is taken quickly to a hospital where the nurse says we
have to take him to the surgery room immediately or he will die; they rush him to
the surgery room. The surgeon walks in takes one look at the boy, and says, I
cant operate on him. Hes my son. How can this be? There are a lot of answers
which might pop up in the mind; it was a miracle, the father had super powers
and a lot of other ones but the correct answer is that the surgeon was the boys
mother.
Selectivity
A final set of psychological barriers exist because of competition for peoples
time and attention. In our daily lives we are bombarded with a huge amount of
information from different sources. We only remember the information which we
have selected to remember which we think is important to us or is somehow
connected to us. The rest of the information is discarded from the mind as
garbage. Another thing is that we remember the extremes of everything and
forget the moderate information.
Physical barriers
The second set of barriers exist because of the words we use or the way things
look, in other words the language we use and our surroundings. These barriers
can be summed up into semantic blocks and physical barriers.
Semantic blocks
Words as we know are symbols and therefore limited because they cannot have
precisely the same meaning for everyone. Since words can mean different
things, their different meanings may block communication. The study of word
choice is called Semantics, so the barriers associated with use of words are
known as semantic blocks. These arise due to denotation and connotation.
Denotation means the dictionary meaning of a word and connotation is an
implication of a word or a suggestion separate from the usual meaning.
Take the following examples: Cheap or inexpensive, heavy or weighty, divide and
sever
Elevated and alleviated, proclaim and exclaim.

Physical barriers

Communication does not consist of words alone. Another set of barriers is caused
by physical appearance, audience or the context of the document or
presentation. For written communication take the examples of bad handwriting,
unclear photocopies, water or tea spots, messy overwriting. Another set of
barriers might be caused by the paper itself. For oral communication the
examples are bad seating arrangements, loud noises inside and outside the
room, slamming doors, ringing telephones.

Interpersonal Communication
1.ORAL
1.WRITTEN
3.NON VERBAL

Oral Communication
Disadvantages
Advantages
Distortion
1. Speed
2. Feedback (instant)
3. Early Correction
1. Speeches
2. Group Discussions
3. One to one Communication
4. Meetings
5. Grapevine

Written Communication
1.letters
2. Electronic Mail
4. Fax
5. House Journals
3. Memos

6. Circulars
7. Notices on bulletin boards
Advantages
1. Tangible
2. Verifiable
3. Record & Storage
4. Carefully written
Disadvantages
1. Time Consuming
2. Feedback (lacking
Nonverbal Communication
1. Glance
2. Smile
4. Frown
5. Body movements
3. Stare
6. Intonations/emphasis
7. Facial expressions
Advantages
1. Conveys extent of liking and disliking
2. Conveys relative perceived
status between sender and receiver
3. Gives meaning to spoken language
Disadvantages
1. No Record
2. May be different from verbal communication

Characteristics of Grapevine
Not controlled by Management.
Perceived by most employees as being more believable
and reliable than formal communication.

It is largely used to serve self interest of the people.

Evidence show that 75%of what is carried in grapevine is accurate.
Rumors emerge as response to situation that are
important and when there is ambiguity.
Rumors get spread because of anxiety.
Rumors can not be eliminated, but can be minimized

Patterns of Group Interaction and Communication

: Patterns of Group Interaction and Communication
A

C
B
A

E
The

The different patterns are effective for different tasks, and have different implications for
group functioning and satisfaction levels. In addition, it must be recognised that there are
both formal and informal patterns of interaction and communication, with the degree of
conformity between the two being significant. These issues are discussed in more detail
below.
The wheel
In this, interaction and communication go through the centre. This pattern is common
in situations where there is little interaction between group members and there is
reliance on central decision-making . One example would be of a sales team where

four representatives report to a single regional manager. The wheel works very well in
providing quick answers to simple questions. It is one of the fastest and most accurate
networks since the central figure is the information initiator, receiver and relayer and
there is limited scope for message distortion.
Whilst it may be an effective pattern for centralised decision-making or for
coordination, it can lead to problems where informal interaction and communication
between members take place, but are not recognised or accommodated by the formal
lines of communication. It rests on the ability of the central decision-maker. It can
create a strong sense of isolation for group members which may cause informal
communications to arise. It can also be a source of dissatisfaction for A, B, D and E in
that they are isolated in their group involvement.

The chain
In this pattern, no single member can interact or communicate with all the others. It
may also be represented as a straight line as, for example, in the chain of command.
Although the line of communication is clear, there can be errors in the interpretation of
information and the process can be slow. The chain is to be found in groups which are
generally only concerned with transmitting messages and are geographically
dispersed. It also implies a hierarchy of power from one end to the other. This is
illustrated by the fact that the chain is invariably the basis of command and control
structures in both military bureaucracies and commercial organisations with tall
hierarchical structures. It is not appropriate where any form of interaction or
discussion is required, except among pairs in the chain.
The circle
The linking together of the ends of the chain provides the opportunity for each member
to interact with two others directly. This gives a higher level of satisfaction for all
members and this is a common pattern in many informal situations, such as
discussions around a table. It can also be effective for transmitting messages,
although it suffers from the same problems as the chain, in being slow and prone to
misinterpretations.
The Y
This pattern combines elements of the wheel and the chain, in that it focuses on C as
the central contact, but does not allow for interaction and communication among
members in the different branches.
It characterises the pattern of relationships often to be found between an organisation
and its customers, with the customers being A and B, and the organisation
represented as a chain with customer contact at the end (C). It can also be found
within organisations, where a department head (C) forms the sole link between that
department and others.
The web or all channel network
In the web, each person can communicate freely with every other individual within the
group. This is the most common pattern of informal interaction and communication
and is often found, for example, in small close-knit teams. It provides for the greatest
level of member satisfaction, although there is a higher level of personal risk involved
for each member. There may also be the need for leadership to emerge from within
this grouping to make overall communication effective and focussed on business
objectives. There may be no officially nominated leader.