Importance of Effective Communication in

Business
1. Internal Communication
Better Co-Ordination
• Production, Profitability
• Co-Ordinated effects by all depts..
• Greater harmony in team work, decision-making, Problem solving, etc…
Conducive work atmosphere
• Mgt & employees –mutual trust of confidence
• What is needed, how to use resources etc…
• Mutual Understanding, better returns
• Improved Mgt – labour union relations
• External Communication
• Gvt Agencies & Departments:
• Organisation deals with licensing authorities, customs,
,Foreign trade offices, Income tax, sales tax, offices etc….
• Tracery situation- negotiation I.e.… Communication
• Ad agencies, distributors, Retailers, Individual customers, etc…
• Org communication better , sell better
• Seller through perturbs –communication
• External Communication Perturbs org’s public image
• Communication Skill a Job Requirement:
• Personnel, Public Relation ,Marketing, Sales, Labour Relation-
Communication Skill
• Editors, Writers, teachers, advocates
• Executives prepare Pamphlet, brochure, Securements, interior to media for
organisation image.
• Important Factor for promotion:
• Promotion of executives
• Communication higher than hard ware, decision making, academic
qualification of ambition-drive
• A young executive who 5 yrs. success resin was
writing persuasive letters and to produce conceive reports.
• Effective communication leads to…
• Quicker problem solving
• Increase productivity
• Stronger business ships
• Enhanced professional image
• Stronger decision- making
• Steadier work slow
• Clearer promotional materials
• Improved stake holders response
- Boree, Thill, Schatzman
Formal and Informal Organisation:
• Communication within org- 2 types
• Formal / Official communication- Proper Channel-Cannot directly contact
• Informal communication
• Clerk-superior- departmental management- MSD
• Vertical/ Horizontally- emp of equal level/Comparable status
• Downwards/upwards- subordinates to superiors
Downward Communication
• Orders , Individual instruction, policy statements, job-sheets, circulars
• Suit for line of authority runs exactly downwards
M.D

Dept heads

Assistant

Foreman/superior/ workers
• Main Objectives of Downward Communication:
• To give specifics directive about same job.
• To explain the ratio male of the job to co-ordinates
• To co-ordination the functioning of different departments
• To convey assessment of production
• To motivate the employees
• To explain policies of procedures
• Types of Communication:
• Organisational Pattern in firms:
• Org- pattern- to carry act activities
Organisational
Ma Pyramid
nag
ing
dire
ctor
Senior
s
management
Middle-level
management
Senior-line supervisor

First-line supervisor

Clerks, other operatives

 An Average organisational Structure:
el A Board of
director

evel B Managing
Director

vel C
administra
purchase production sales accounts
mang) tion

Superv)

of
on)
Media for Downward Communication
• Oral/ Written
• Written used in following ways
• Important direction to innate action- Letters, memorandum, e-mails
• Announcement of policies and procedures- Circular, Organs,
Manuals,bulletives
• Miscellaneors information-posters, notices
• Downward Slow of communication-dominated by oral general instruction-
oral management-means foreman
• Audio- visual Media like films & slides may be used for downward
communication.
Limitation of Downward Communication:
• Under communication &over communication- leaked of confidential info
• Delay-lines of communication-long so delayed
• Loss of information-20% of communication goes to finally
• Distorhim- exggegating,under statement
• Filtering-some info filtered duty it as unnecessary
• Hardly any feedback-higher to lower level
• Built in unsistance- authoritarianism sub-ordinates no opportunity in
decision-making