‘IMPORTANCE OF GOOD COMMUNICATION IN BUSINESS’

Introduction to Communication:
The word communication has been derived from the Latin word “Communis” which means
“Common”. The act of sharing information, feelings, ideas is called communication.

Process of passing information by one person to another is called communication.it may be oral,
written or in any form.

In our routine matter we try to convey our ideas, message or information to others.
Communication is act of sharing of transmission of knowledge, information and proposal to
others. It is a two way process.

History:

Communication has a rich history. The ancient world both the east and west, dependent on oral
communication. In ancient Greece and Rome, it was necessary to communicate, when dealing
with matters in assemblies and the courts. During the medieval and renaissance period, the oral
tradition progressed. As writing became more important as a permanent record of
communication, author and books on written communication principles appeared.

Definitions of communication:

The definition of communication is the 2-way exchange of opinions, news and information by
writing, speech or gestures including body language and facial reactions.

Mailing a letter to a friend, sending an email to a co-worker, calling a friend on the telephone,
having a discussion and sending a text message are each an example of communication.

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Q. Why Business Communication Is So Important ?
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Good business communication is essential for building a team that will make a business a
success. Communication is especially important if members of a company are to work as a team
towards the same goal. There are many reasons why good communication skills are vital when it
comes to running a successful company, here are some of them.

Interaction amongst employees of the company builds an efficient team. In order to have a good
team, a good leader is essential. The leader must be able to communicate well with every
member that is involved in the business in order to convey to each employee their jobs and
expectations. He or she must be a motivating person who encourages people to work hard and to
have a mindset of achieving various goals.

A leader that communicates well creates a team that performs well in all departments. Good
communication also prevents misunderstandings among people in the workplace. When
employees are able to converse efficiently with each other, misunderstandings will be resolved in
an amicable manner. Furthermore, unnecessary friction is avoided. This means that employees
will be able to concentrate better on their work.

You will also find that good communication skills enhance the business process as a whole. A
company has various departments that need to work together as a unit in order to come up with a
finished product. The process of coming up with that finished product requires occasional
interactional meetings where issues are discussed.

You will also see an improvement in the service quality. This is in terms of the relationship
between the company and the customers. If the company interacts well with the clients and
attends to their needs promptly, the customers are bound to continue doing business with the
company. The company will also be in a position to provide better service. This is because as
you communicate with the clients, you will be able to figure out exactly what they want from
you. This way, you can make the necessary improvements to products or services that the
customers require.

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important/

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Customer surveys and feedback help improve market sales. There are various hierarchies in
companies. A company that has good communication between the top management and the
junior employees creates an inclusive atmosphere. The junior employees will feel included in the
company, and as a result, will be encouraged to work harder.

It is not easy to work in an environment that you might feel out of place in. When members of a
company communicate efficiently, a positive atmosphere is created. If there is a positive
atmosphere in the workplace, internal problems are sorted out easily and quickly.

People who run successful businesses know that the customer always comes first. It is the
customer who brings in the profits. That is why it is important for the company to interact well
with each other and the customers in order to reach business goals. If you are lacking
somewhere, you will find out directly from the client. Good business communication is vital if
you want your company to be a success.

Importance of Good Communication in Business:

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Communication is an aid used in everyday life ? be it personal or business. In the business
world, good communication is important for the daily operation of the company, but can also
affect sales and profitability. Without good business communication, the internal and external
structure of a business can face numerous challenges that can ultimately lead to its demise.

Communication in Business the history of Communication is as previous as the history of human

being society. The importance of Business Communication is indispensable in case of social and
business life. It is careful as the lifeblood of business. No business can develop in lack of
Effective Communication. The role of Communication in Business can never be accessible in
pages. On the other hand, the importance of Communication in Business is depicted below very
precisely:

Social Communication: In the changing Business environment, every Organization is to keep

close touch with different social organizations and citizen action groups in order to run the
Business activities smoothly and Business Communication helps the organizations in
establishing social relationships with various quarters.

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Development of Managerial Efficiency: Management is to depend on Communication to
perform its functions, such as planning, organizing, directing, controlling, motivating and co-
coordinating. The success of Management largely depends upon its capacity to get the things
done properly by the employees. Management uses motivational tools through communication to
influence the performance of employees. Thus the efficiency of Management is upgraded by
Business Communication.

Achievement of Targets: Every Business Organization accumulates its efforts to carry out
certain goals or targets. Proper Communication system encourages the employees of every level
by providing relevant information, instructions and directions. It helps the Management to make
the employees committed towards the attainment of organizational objectives.

Co-ordination: In this age of specialization, there are various departments in an organization like
planning, production, marketing, administration etc. If these departments do not communicate
with one another as well as with the Management, there will be no co-ordination among them.
For example, when production is fully geared up, the storage department may report shortage of
raw materials due to lack of co-ordination. So, Business Communication is inevitable in the
organization for brining co-ordination among the various departments.

Linking between Central and Branch Offices: Large organizations have a number of branches
within the country or even abroad. The central or head office is considered as the nerve center of
the company. The center office must be informed about the activities of branch offices and the
branch offices must be well acquainted with the activities at the center and only an efficient and
Effective Communication network can manage the link between the center and the branches.

Preparing and Execution of Plans: Plans are made to perform the Business activities efficiently
and planning requires gathering necessary information. Business Communication helps
collecting the relevant data from different sources. After the plan has been prepared, it requires
implementation and communication plays vital role in the execution of plans by circulating them
among the officers and employees and by giving them necessary directions.

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Making Decision: In the volatile business world, businessmen are to take decisions in different
areas and proper decision making requires exact information. Business Communication helps the
business people to take proper decision by supplying right information to the right people at the
right time.

Mutual Understanding and Co-operation: Effective Communication between the Management

and the employees helps to bring about an atmosphere of mutual trust and confidence. If the
employees know exactly what is expected from them and if the Management is aware of the
potentialities and limitations of the employees both sides will get better returns. So, Effective
Business Communication is a must for promoting a spirit of understanding and co-operation.

Raising Employee Morale: Morale is the individual and collective spirit and moral condition of
employees with regard to discipline and confidence. Low morale makes the employees idle and
frustrated. Management always tries to raise the morale of employees through Business
Communication so that they think that they are important for the organization.

Publicizing Goods and Services: Communication helps any organization in publicizing its
products and services among the actual and potential customers. Newspapers, Radio, Cinema
Slides, Neo Sign, and Television etc. carry out the information of products and services as
Business Communication media.

Exchange of Information: Exchange of information between and among various parties is an

important function of Business Communication. A business organization links with its partners
and with other groups active in the society through effective Communication. Communication
also facilitates the exchange of news and views between Management and employees. So its
importance in the organization is essential.

Elimination of Rumors: In an organization there are different types of people. Sometimes there
may be rumors or fake information may be leaked out that creates unrest among employees. If
there is well-established Business Communication system, Management can always keep in
touch with the employees about every modify in the organization that reduces the rumors.

On or after the above discussion, If can be said that no Business Organization can run its
behavior effectively and efficiently without a proper communication system. It is considered as

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the nervous system of organization, with which organization can never reach at its desired goals.
So, the importance of communication in business is undoubtedly inevitable.

Types:

The two primary forms of communication are one-way communication and two-way
communication. One-way communication in business is when the business sends out a message
to its customers or employees, but does not accept responses from the customers or employees.
One-way communication is important because it allows the business to share information with
the customers who can benefit from the company ?s products or services. One of the most
common forms of one-way communications in business is advertising, such as print ads in
newspapers and magazines on billboards are examples. Two-way communication occurs when
customers can also respond to the company in business communication. Social media marketing
is a form of two-way communication has gained in popularity because it not only allows
businesses to communicate with its prospects and customers, but it also allows the prospects and
customers to respond.

Effects:

When communication lines are open between a business and its customers, it can directly affect
the sales of the business. When a business effectively communicates to prospects and customers
how its products and services can benefit them, it converts prospects into customers. Good
communication ultimately boosts the bottom line of a business.

Identification:

Good communication can take on several different forms. The three primary forms of
communication are verbal, written and expressed (body language). All three forms of
communication are used internally and externally in conducting business. Since each person
processes information differently, it is wise to communicate with a combination of these forms
of communication. For example, some people take in and process information better when they
hear it (verbal) while others process things better when they can see and read it (written).rnrnFor
this reason, many businesses send out information to their employees and their customers in
several different ways. A business owner may conduct an employee meeting where an item is

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announced verbally so employees can hear the information and watch the body language of the
presenter. In addition, an email memo may go out to the employees as a follow-up to the
announcement. In promoting its product, a business may follow a similar pattern with its
marketing communication to its prospects and customers. Rerun An email may go out that
contains a video of the business owner making the announcement and offering a special to
buyersâ??customers can see and hear the announcement. A written sales letter may be sent in the
mail to the same audience a few weeks later and weekly ads may also be printed in the local
newspaper to cover reaching those who need to see the information in writing.

Benefits:

When the internal forces of a business are working toward communicating the same message to
vendors, suppliers and customers, good communication can also lead to a boost in sales for the
business. Essentially, good communication creates a win-win situation. The customers who can
benefit from the company receive the messages they need to make them aware of the company
and to make a purchase, which in turn boosts the sales of the company.

Warning:

Perception plays a pivotal role in good communication. Communication may only be beneficial
when the message the business is sending is the same as the one received by its customers. If
customers misinterpret the message, it can have detrimental effects on a company.

6 Reasons Why Effective Communication Should Be a Focused in Business:

Communication plays a fundamental role in all facets of business. It is therefore very important
that both internal communications within your organization as well as the communication skills
of your employees are effective. The following six reasons will explain why effective
communication should be a focus in your business:

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Builds and maintains relationships

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Relationships are built and can be maintained by positive encounters with others.
Communication will be key to this process – without effective skills, it will be difficult to
properly construct and foster productive relationships.

Facilitates innovation

When employees feel comfortable in openly communicating new ideas, cooperation and
innovation will be at an all-time high. In addition, if staff are unable to convey their ideas due to
limited communication skills, it is likely that the idea will not be implemented to its full
potential.

Builds an effective team

If open communication within a workplace is encouraged, a more cohesive and effective team
will emerge. Good communication within a team also tends to boost employee morale. When
employees feel that they are well informed of the company’s direction and vision, they will feel
more secure within their role. Regular internal communication can also lead to an improved
work ethic if staff are reminded of achievements and feel that they are working towards a
common goal.

Managing employees

When managers are effective communicators, they are more able to inform staff adequately of
their responsibilities and what is expected from them. Good communication skills also helps
managers to provide constructive feedback to their staff, build better relationships, and
understand personal goals that staff may wish to work towards.

Contributes to growth of the company

A lack of communication can lead to the collapse of any organization. Whilst that is a bold
statement – without proper marketing collateral and communication internally and externally,
most organizations will struggle to survive. Communication can also lead to productivity and
helps to avoid unnecessary delays in the implementation of policies.

Ensures transparency

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When regularly communicating both internally and externally, organizations remain more
transparent. This is important in building trust in your brand, in your services and also internally
when it comes to the trust that employees have in higher management. Tony Declawed from
Examiner adds that ‘when tough decisions need to be made, transparent leaders will have an
easier time explaining why.

Importance of Effective Communication in Business:

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Business professionals rely on effective communications to build strong internal partnerships
while developing a sound customer base. Whether asking permission to proceed with a sale or
seeking an alliance to move a corporate agenda forward, the way professionals express their
ideas can impact how their audiences perceive those concepts. Poorly communicated ideas, even
when fundamentally sound, often fail to interest their intended targets.

Features:

Effective communication requires two or more parties to engage in a cycle of feedback that
shapes their next actions. For professionals to remain productive, communication should include
a specific call to action, backed up by persuasive evidence that reinforces the desired outcome.
While a manager may choose to draft a memo to his team about a policy change, the
conversations that ensue after the memo’s publication often determine the success of that
request. Ineffective workplace communication can inspire passive-aggressive behavior, including
defacing a posted policy sign or a reversal of expected results.

Misconceptions:

Organizations can determine if business communication is effective by measuring results,

according to according to author Asha Kaul, author of "Effective Business Communication." For
instance, an ad campaign may “go viral,” capturing the attention of millions of viewers.
However, it can still fail if it neglects to generate any real revenue for a sponsor. Building “buzz”
only counts if a business can convert a community’s chatter into bottom line results. While the
effectiveness of external communications produces more track able revenue, internal
communication leads to more nuanced results, including behavioral changes or policy shifts.
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Considerations:

Business professionals must learn to make distinctions between internal and external
communication. In most companies, workplace culture defines the formality and the method of
spreading ideas and sharing feedback. Some businesses rely heavily on emails, while others have
built a culture of meetings. Likewise, organizations often use a narrow set of preferred
communication channels to engage with customers. Mass media advertising campaigns should
complement the conversations between customers and local sales or service agents. An employee
who falls outside a company’s communication norms can be viewed as inauthentic or “off
message.”

References

Webliography :

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https://www.sixsigmaonline.org/six-sigma-training-certification-information/why-business-
communication-is-so-important/

http://smallbusiness.chron.com/importance-good-communication-business-1403.html

http://bizcommunicationcoach.com/the-importance-of-communication-in-business/

http://www.aib.edu.au/blog/communication/6-reasons-effective-communication-focus-business/

http://smallbusiness.chron.com/importance-effective-communication-business-2879.html

Bibliography:

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