Business Communication

Business Reports
( Theory, Purpose, General Characteristics and Classification)
 A Business Report is:
 a professional document designed to convey
information to assist in decision-making.

 an impartial, objective, planned presentation of facts

to one or more persons for a specific, significant
business purpose.

 orderly and objective communication of factual

information that serves some business purpose.
Types of Reports

Basically there are two types of reports:

1. Informational reports: present the facts and a
summary without stating analyses, conclusions or
recommendations. Such as progress reports, interim
reports and quarterly reports.
2. Analytical reports: present facts, analyses and
interpretations and recommendations or conclusions.
Such as recommendation reports, proposals, and
justification reports.
Other Types of Reports
 Short Reports:  Long Reports:

1. Expense reports 1. Feasibility reports

2. Incident reports 2. Recommendation reports
3. Periodic and progress 3. Proposals
reports 4. Quarterly and Annual
4. Lab and test reports reports
5. Field reports 5. Long range planning reports
6. White Papers 6. White Papers
Purposes of Business Reports

 To seek the truth, regardless of the

consequences
 To use factual information, interpretations and
conclusions; and to use recommendations
which must be supported by facts or clearly
labeled as opinion.
 A business report must serve some business
purpose and assist in providing solution to a
problem.
Purpose Statements in Reports:
 Purpose statements give a clear understanding of why a
report is written. They could be written either as a
statement or a question.

 To determine ways to improve employees’ morale.

(statement)
 To design a new procedure for the company’s annual
inventory. (statement)
 Should new computers be purchased to replace the
older models? (question)
 Should the office arrangement be open or modular?
(question)
General Characteristics:
 The following are the
general characteristics of
business reports:
 Focused on the topic  Courtesy
 Completeness  Concreteness
 Conciseness
 Clarity
 Correctness
 Consideration
Classification:

Business reports can be classified in different

ways such as:
1. Function
2. Subject matter
3. Formality
4. Origin
5. Frequency of issue
6. Type or appearance
 Classification: (Continued)
1. Function:
Informational and analytical reports are different
because of their functions; e.g.:
 Informational reports are prepared to present
the facts and a summary without stating analyses,
conclusions or recommendations.
 Analytical reports are prepared to present
facts, analyses and interpretations and
recommendations or conclusions.
 Classification: (Continued)
2. Subject Matter:

Subject matter usually relates to the department; e.g.:

 Insurance
 Accounting
 Engineering
 Finance
 Advertising
 Misc
 Classification: (Continued)
3. Formality:
Business reports may be classified on the basis of
formality -- formal or informal.
 Formal reports(Usually long): 1.Prefatory parts (cover,
title, fly, title page, authorization letter, acceptance,
approval, transmittal, acknowledgments, synopsis,
abstract, executive summary, table of contents etc) 2.
Introduction, 3. Body 4. Terminal section 5. Supplemental
parts ( appendices, bibliography, glossary, index etc.)
 Informal reports (Usually short): 1. Include only body,
2. Some IRs may have title page, transmittal, end notes
and appendices)
 Classification: (Continued)
4. Origin:
This classification of business reports refers to their origin,
whether it is authorized or voluntary / private or public.
 Autorized reports are requested or authorized by a
person or committee etc.)
 Voluntary reports are prepared on individual’s own
initiative.
 Private reports originate in a private business firm.
 Public reports are made by a government department.
 Classification: (Continued)
5. Frequency of issue:
Frequency of issue means if the report is periodic or
special.

 Periodic reports are prepared at regular intervals—

weekly, monthly, quarterly or yearly.

 Special reports are written on a single occasion or

unique situation.
 Classification: (Continued)
6. Type or appearance:
Type or appearance also classify the reports. It refers to
the length and formality. For example:
1. Informal:
 Memorandum reports:1.Short , 2. Memo format ( To, FROM,
SUBJECT), 3. Single-spaced , 4. Sent within the organization.
 Letter reports:1. Short , 2. Letter format, 3. Inside address, 4.
Salutation , 5. Complimentary close, 6. Signature area, 7. Reference
section, 8. Sent within or outside the organization and 9. Single-
spaced..
 Printed forms: 1. Job application form, 2. Accident reports, 3.
Insurance claim reports or 4.employees’ appraisal reports.
2. Formal:1. Long, 2. Includes different parts 3. Sent within or
outside the organization