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Business communication

Chapter one

Introduction to communication

The word communication derived from the Latin word communicare that means to impart, to
participate, to share or to make common. It is a process of exchange of facts, ideas, and opinions
and as a means that individual or organization share meaning and understanding with one
another. In other words, it is a transmission and interacting the facts, ideas, opinion, feeling and
attitudes.

Communication adds meaning to human life. It helps to build relationship and fosters love and
understanding. It enriches our knowledge of the universe and makes living worthwhile.

Communication is the act of conveying information for the purpose of creating a shared
understanding.

PURPOSE OF COMMUNICATION

1. for instruction:
Deals with the commanding nature.
It is more or less of directive nature.
Instructions basically flow from top to the lower level.
2. For integration:
It is consolidated function under which integration of activities is endeavored.
Involves bringing about inter-relationship among the various functions of the
business organization.
It helps in the unification of different management functions.
3. For information:
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 judgments 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 ones own inputs or others outputs or some ideological scheme
demands an adequate and effective communication process.

5. For direction:
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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.
6. For teaching:
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:
Goodwill and confidence are necessarily created among the public.
It can be done by the communication with the different media, which has to
project the image of the firm in the society.
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:
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 communication helps the process of decision-making.
THE COMMUNICATION SITUATION
The communication situation is said to exist when:-
There is a person (sender/transmitter) who wants to pass some information;
There is another person (receiver) to whom the information is to be passed on;
The receiver partly or wholly understands the message or information passed on to him;
The receiver responds to the message or gives feedback.
These four components are essential for communication.
ROLE OF COMMUNICATION IN BUSINESS
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.
Communication is the life blood of any organization and its main purpose is to effect change to
influence action.
Generally in business organizations we use communication to coordinate the efforts of
individuals towards achievement of objectives
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Significance of communication in business

1. Healthy organizational environment
The organizations are the social systems formed on the basis of mutual interest. The mutual
interests are safeguarded by various activities of planning by the management. They must
skillfully apply the communication systems to keep the healthy organizational environment.
If the management has to keep the healthy organizational environment and healthy relations with
the individuals from outside, other business houses, government authorities, etc., it must use the
communication channels and media effectively.
2. Management-employee relations
As organizations need people and people also need organizations, people can use organization
and organization can use people to reach their objectives by communication properly with each
other.
The employees and the management should develop the link of communication for better mutual
understanding and encourage each other to achieve their self-interests.
3. The external and internal communication network
Every business finds it necessary to maintain both the internal and external communication. The
communication between the management and the workers is an internal communication. The
management must be well-informed about the internal activities of the organization. They require
the information about the efficiency, qualifications, capabilities and the training of the workers
and also about the production, marketing and sales capacity of the organization.
The manager must give attention to both the internal and the external group systems.
4. Functionalisation
Functionalisation naturally leads to specialization.
This specialized knowledge, training and experience will be useless if it is not
communicated. The accountants, engineers, scientists and the experts of many kinds must
be able to communicate their knowledge to the management and the employees. The
company may get benefit by the advices, suggestions and information provided by these
experts
5. The complexity of business activities
In an organization, planning, finance, accounts, purchase, production, advertising, marketing,
stores, sales, labor-welfare, cultural activities, adjustments of complaints and claims and a
number of other activities are handled by the people who have developed unique skills and
knowledge in their fields. As these functions are assigned to different departments, they have to
coordinate among themselves by communicating with one another horizontally. They must
communicate with the management to which they are responsible for organization is more
complex and difficult to coordinate than the original group of workers, which is not divided into
different kinds of duties.
6. Globalization and the language problem
Modem business relationships have spread worldwide. The communication links play a
significant role in establishing and strengthening such relationships. With the expansion of
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business, the communication links are also lengthened because of which the control of the
multiple business activities becomes more difficult.
7. Competition
A businessman, who wants to survive in the world of free competition, should
know his competitors, the quality and the prices of their products, the
discounts, terms and conditions of sale, the policies of advertising, government
laws, etc. If they are not able to communicate better in this respect, their sale
will not be satisfactory.
A good salesman is efficient communicator who can attract the customer,
induce him to buy his goods and services.
Participation and delegation
Participative managers communicate with their employees. They ask for the opinions, views,
suggestions and recommendations of the employees in the decision-making process so that they
work together as a team. The delegation of authority can be communicated in oral or written
form, but it is always better to use the written form in order to avoid the conflict and confusion.
In participatory management, the manager retains the ultimate responsibility of his unit, but he
shares the operating responsibility with the employees who actually perform the work. This gives
a sense of involvement and satisfaction to the employees who work with high morale to achieve
the objectives of the organization as the manager seeks participation of the employees in policy
matters and decision making.
Chapter two
Elements of communication process
Elements of communication
The process of communication involves the following elements:
1. Sender or transmitter:
The person who desires to convey the message is known as sender.
Sender initiates the message and changes the behavior of the receiver.
2. Message:
It is a subject matter of any communication.
It may involve any fact, idea, opinion or information.
It must exist in the mind of the sender if communication is to take place.
3. Encoding:
The communicator of the information organizes his idea into series of symbols
(words, signs, etc.) Which, he feels will communicate to the intended receiver or
receivers.

4. Communication channel:
The sender has to select the channel for sending the information.
Communication channel is the media through which the message passes.
It is the link that connects the sender and the receiver.
5. Receiver:
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The person who receives the message is called receiver or

Receiver is the person to whom the particular message is sent by the transmitter.
The communication process is incomplete without the existence of receiver of the
message.
It is a receiver who receives and tries to understand the message.
6. Decoding:
Decoding is the process of interpretation of an encoded message into the
understandable meaning.
Decoding helps the receiver to drive meaning from the message.
7. Feedback:
Communication is an exchange process.
For the exchange to be complete the information must go back to whom from
where it started (or sender), so that he can know the reaction of the receiver.
The reaction or response of the receiver is known as feedback.
The process of communication
The process of communication is successful only when the receiver understands an idea as the
sender intended it. This process generally involves five steps.
1. Sender has an idea. The form of the idea may be influenced by the senders mood, frame of
reference, background, culture, and physical makeup, as well as the context of the situation.
2. Sender encodes the idea in a message. Encoding means converting the idea into words or
gestures that will convey meaning.
A major problem in communicating any message verbally is that words have different meanings
for different people. Thats why skilled communicators try to choose familiar words with
concrete meanings on which both senders and receivers agree.
3. Message travels over a channel. The medium over which the message is transmitted is the
channel. Messages may be sent by computer, telephone, letter, or memorandum. They may also
be sent by means of a report, announcement, picture, spoken word, fax, or other channel.
Because both verbal and nonverbal messages are carried, senders must choose channels
carefully. Anything that disrupts the transmission of a message in the communication process is
called noise.
4. Receiver decodes message.
Translating the message from its symbol form into meaning involves decoding. Successful
communication takes place only when a receiver understands the meaning intended by the
sender. Such success is often hard to achieve because no two people share the same background.
Success is further limited because barriers and noise may disrupt the process.

5. Feedback travels to sender. The verbal and nonverbal responses of the receiver create
feedback, a vital part of the entire communication process. Feedback helps the sender know that
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the message was received and understood. Senders can encourage feedback by asking questions
such as Am I making myself clear? And Is there anything you dont understand? Senders can
further improve feedback by delivering the message at a time when receivers can respond.
Senders should provide only as much information as a receiver can handle. Receivers can
improve the process by paraphrasing the senders message. They might say, Let me try to explain
that in my own words, or my understanding of your comment is . . .
An important part of the communication process is listening.
Types of Communication
Communication takes place when we interact with one other person, when we interact with a
small group, and when we speak to an audience.
Intrapersonal
A special type of communication, intrapersonal communication, is an integral part of any
communication event.
Intrapersonal communication is communication with our selves;
It is an ongoing process that includes such activities as evaluating ourselves and our
relationships with others, planning for the future, and doing some internal problem
solving.
Interpersonal
Interpersonal communication is the informal exchange that occurs between two or more
people.
It usually occurs on two levels: dyads (groups of two) and small groups.
Dyadic communication is the interaction between two people. It can focus on safe topics, such
as our day at the office, or on highly sensitive issues, such as our love for a particular person.
Dyadic communication tends to be informal, and therefore, it requires little or no preplanning.
Interviews are the exception; they are generally formal in nature.
Through dyadic communication we can learn a great deal about ourselves and our relationships
with others.
Small Group communication
Small-group communication includes those interactions with three to eight people present.
In most instances, small-group communication is less intimate than dyadic communication and
less formal than public speaking.
Small-group communication can occur as an informal discussion of such social issues as gun
violence or shelters for runaway adolescents or serve as a vehicle for problem solving in
organizations.
Public communication
Involves having an individual share information with a large group; the usual structure
has a speaker presenting ideas to an audience.
Public communication is more formal than interpersonal communication;
Requires more preparation on the senders part.
Usually, speakers have a limited amount of time in which to share their ideas;
This forces them to plan and organize what they want to say in advance.
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Phases of communication
Communication is a chain of events that can be broken in to five phases. These are:-
1. The sender has an idea.
2. The idea becomes a message.
3. The message is transmitted.
4. The receiver gets the message.
5. The receiver reacts and sends feedback to the sender
Barriers of communication
Communication barriers can arise while the message is being developed, transmitted, received,
or processed.
1) Barriers in relation to the senders idea
The world constantly bombards us with information: sights, sounds, scents, and so on. Our minds
filter this stream of sensation and organize it into a mental map that represents our perception of
reality. Because your perceptions are unique, the ideas that you want to express are different
from other people.
As a communicator, you filter out the details that seem unimportant and focus your attention on
the most relevant, and general, a process known as abstracting.
Thus, in the process of conceiving an idea, you leave out many things and assume many others.
This means that the idea in your mind is a simplification of the real world, so whenever you send
a message, you inevitably distort reality.
2) Barriers in transforming idea to message
In a process not completely understood, the idea in your mind is transformed into words; you
decide such issues as the message's length, organization, tone, and style.
Your choice of words depends on your subject, your purpose, your audience, and your personal
style or mood.
To some extent, your choice of words also depends on your cultural background.
The nature of your code, your language and vocabulary imposes its own limits on your message.
For example
The language of a lawyer differs from that of an accountant or a doctor, and the difference in
their vocabularies affects their ability to recognize and express ideas.
A. Indecision about message content
Communication often fails because the sender tries to convey everything that she or he knows
about a subject. When a message contains too much information, it is difficult to absorb. So if
you want to get your point across, you have to decide what to include and what to leave out, how
much detail to provide, and what order to follow. If you try to explain something without first
giving the receiver adequate background, you will create confusion. In addition, if you
recommend actions without first explaining why they are justified, your message may provoke
an emotional response that inhibits understanding.
B. Lack of familiarity with the situation or the receiver
Lack of familiarity with your audience is an equally serious handicap. You need to know
something about the biases, education, age, status, and style of the receiver in order to create an
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effective message. If you were writing for a specialist in your field, for example, you could use
technical terms that might be unfamiliar to a layperson. Or if you were addressing a lower-level
employee, you might approach the subject differently than if you were talking to your boss.
C. Emotional conflicts
Another potential problem in developing the message arises when the sender has conflicting
emotions about the subject or the audience. Let's say that you've been asked to prepare a report
recommending ways to improve the organization of your department. After analyzing the
situation, you have come to believe that the best approach is to combine two positions.
Unfortunately, this solution means eliminating the job of one of your close associates, and when
the time comes to write your report, you find yourself apologizing for your recommendation.
Even though you know your position is justified, you find you cannot make a convincing case.
D. Difficulty in expressing ideas
Lack of experience in writing or speaking can also prevent a person from developing effective
messages. Some people may have a limited vocabulary or may be uncertain about questions of
grammar, punctuation, and style. Or perhaps they are simply frightened by the idea of writing
something or appearing before a group. In any case, they are unable to develop an effective
message because they lack expertise in using language.
3) barriers while the message is transmitted
Communication may also break down because of problems in getting the message from sender to
receiver.
The most obvious transmission problems are physical:
Bad connections, Illegible copy.
Poor acoustics, and
 Although defects of this sort (called "noise") seem trivial, they can completely block an
otherwise effective message. For this reason, you should exercise as much control as
possible over the physical transmission link. If you're preparing a written document,
make sure that its appearance doesn't detract from your message. If you're delivering an
oral presentation, choose a setting that permits the audience to see and hear you without
straining.

4) Barriers while the receiver gets the message

Like transmission problems, reception problems often have a physical cause.
The receiver may be distracted by
Competing sights and sounds,
An uncomfortable chair,
Poor lighting,
In some cases, the barrier may be related to the receiver's health. Hearing or visual
impairment, or even a headache, can interfere with reception of a message. These
annoyances generally don't block communication entirely, but they may reduce the
receiver's concentration.
Perhaps the most common barrier to reception is simply lack of attention on the receiver's
part.
5) Barriers while the receiver reacts and gives feedback to the sender
Although messages may get lost anywhere along the communication chain, the biggest
potential trouble spot is the final link, where the message is interpreted by the receiver.
Differences in background, vocabulary, and emotional state can all lead to
misunderstanding.
A. Different backgrounds
When the receiver's life experience differs substantially from the sender's,
communication becomes more difficult.
Age, education, gender, social status, economic position, cultural background,
temperament health, beauty, popularity, religion, political belief, and even a passing
mood can all separate one person from another and make understanding difficult
B. Different interpretations of words
When you choose the words for your message, you signal that you are a member of a
particular culture or subculture and that you know the code. The nature of your code
imposes its own barriers on your message. Barriers also exist because words can be
interpreted in more than one way. Language is an arbitrary code that depends on shared
definitions, but there's a limit to how completely any of us share the same meaning for a
given word. To overcome language barriers, use the most specific and accurate words
 possible. Always try to use words your audience will understand. Increase the accuracy of
your messages by using language that describes rather than evaluates and by presenting
observable facts, events, and circumstances.

C. Different emotional reaction

Every message contains both a content meaning, which deals with the subject of the
message, and a relationship meaning, which suggests the nature of the interaction
between sender and receiver. Communication can break down when the receiver
reacts negatively to either of these meanings. To overcome emotional barriers, be
aware of the feelings that arise in you and in others as you communicate, and attempt to
control them.

Ways of improving communication

What must be done to improve your communication?

 What sets the effective communicators?

What sets the effective communicators apart is their ability to overcome the main barriers
to communication. They do this by
Creating their message carefully,
Minimizing noise in the transmission process, and
Facilitating feedback.
Create the Message Carefully If you want the people in your audience to understand and
accept your message, you have to help. You cannot depend on others to carry the
communication ball.
Think about your purpose and your audience
The first step is to define your goal in communicating. Why are you sending your
message? What do you want your audience to do or know as a consequence?
When you have answered these questions, you can begin to build a message to achieve
your purpose. You must create a bridge of words that leads the audience from their
current position to your point.
Tell the audience what to expect
Once you have defined your readers or listeners information needs, you can launch them
on their journey toward the intended destination. As they travel, you must be their guide,
providing them with a map of the territory they will cover. Tell them at the outset what
they can expect to gain from the trip. let them know the purpose of the message; tell them
what main points they will encounter on the way. Even if you do not want to reveal
controversial ideas at the beginning of the message, you can still give receivers a preview
of the topics you plan to cover.
By telling your audience what to expect, you help them recognize the relationship among
the ideas you hope to convey.
Use concrete, specific language
Because business communication often involves difficult, abstract, and even boring
material, you must do something to help your audience understand and remember the
message. The best way to do this is to balance the general concepts with specific
illustrations. At the beginning, state the overall idea; then develop that idea by using
vivid, concrete examples to help the audience visualize the concept.
Stick to the point.
You can also help your audience by eliminating any information that does not directly
contribute to your purpose.
Many business messages contain too much material. The sender, in hopes of being
thorough, tries to explain everything there is to know about a subject, but most audiences
don't need everything. All they need are a few pertinent facts, enough information to
answer their question or facilitate their decisions. By keeping your messages as brief and
as clean as possible, you make them easier to absorb.
 Connect new information to existing ideas
The mind absorbs information by categorizing it into mental files. If you want the
receiver to understand and remember hew ideas, you have to indicate how, those ideas are
related to the files that already exist in her or his mind.
By showing the audience how new ideas relate to familiar ones, you increase the
likelihood that your message will be understood correctly. The meaning of the new
concept is clarified by its relationship to the old. Connecting new ideas to existing ones
also helps make the new concepts acceptable.
Emphasize and review key points
Another way to help the audience is to call attention to the most important points of the
message. You can do this with your words, your format, and your body language. When
you come to an important idea, say so. This way, you wake people up; you also make it
easier for them to file the thought in the proper place. Underscore key points by calling
attention to them visually. Use headlines, bold type, and indented lists to emphasize
major ideas. Reinforce the text of your message by using charts, graphs, maps, diagrams,
and illustrations that will help your audience "see" the point. If you are delivering the
message orally, use your body and voice to highlight important concepts.
Before you conclude your message, take a moment or two to review the essential points.
Restate the purpose and then show how the main ideas relate to it. This simple step will
help your audience remember the message.
In addition, because business audiences are frequently interrupted, it's a good idea to
provide summaries at the ends of major sections of a long message as well as at the end
of a document or presentation. Such summaries not only refresh people's memories but
also help simplify the overall meaning of complex material.
Minimize noise
Even the most carefully constructed message will fail to achieve results if it does not
reach the receiver. To the extent possible, you should try to eliminate potential sources of
interference that stand between you and your audience. The key to getting through to the
receiver often lies in the choice of communication channels and media. You should
choose the method that will most likely attract the receiver's attention and enable him or
her to concentrate on the message.
If a written document seems the best choice, try to make it physically appealing and easy
to comprehend. Use an attractive, convenient format, and pay attention to such details as
the choice of paper and quality of type. If possible, deliver the document when you know
the reader will have time to study it.
If the message calls for an oral delivery channel, try to eliminate environmental
competition. The location should be comfortable and quiet, with adequate lighting, good
acoustics, and few visual distractions. In addition, you should think about how your own
appearance will affect the audience. Another way to reduce interference, particularly in
oral communication, is to deliver your message directly to the intended audience
 facilitate feedback

In addition to minimizing noise, you frequently need to give, the receiver a chance to
provide feedback. But one of the things making business communication difficult is the
complexity of the feedback loop. If you're talking face-to-face with one other person,
feedback is immediate and clear. But if you're writing a letter, memo, or report that will
be read by several people, feedback will be delayed and mixed. Some of the readers will
be enthusiastic or respond promptly; others will be critical or reluctant to respond. As a
consequence, revising your message to take account of their feedback will be difficult.
When you plan a message, think about the amount of feedback that you want to
encourage.