International Journal of Advanced Engineering Research and Technology (IJAERT)

Volume 2 Issue 1, April 2014, ISSN No.: 2348 8190

7
www.ijaert.org
BUSINESS COMMUNICATION
1
Deepak Sharma,
2
Deepa Sharma,
3
Jai Prakash Sharma
1
Faculty of MBA Department, Shanti Institute of Technology, Meerut, India
2
Faculty of Education Department, Shanti Institute of Technology, Meerut, India
3
Principal, N.S.V.Inter College, Surana, Ghaziabad, India
ABSTRACT
Communication has acquired a prominent role at all
levels of an organizations in our times. It has also
acquired prominence in marketing and advertising, and
in brand or image building of companies. Effective
business communication is today an extremely desirable
skill and good communicator is often seen as an efficient
corporate person, who is able to manage his
responsibilities well and accomplish the necessary
corporate goals. Communication involves imparting a
common idea and covers all types of behavior resulting
therefore. Communication plays an important role in
success or failure of any organization. It provides the
guidelines to companies to study the needs and wants of
the consumer. Communication is an integral element of
interpersonal behavior in organizations. Communication
includes intimate and tacit knowledge such as that of key
account managers and distant or analytic knowledge
including data information.
Keywords: Communication, Elements of
communication, Importance of Communication, Process
of Communication, Purpose of Communication, Types of
Communication
1. INTRODUCTION
Communication is an essential part of any organization.
Communication creates a relationship between the
consumer and the organization. Communication is an
exchange of facts, ideas, and emotions by two or more
persons which involves a sender of message and a
receiver. Communication is complete only when the
receiver is able to interpret the message as desired by
the sender and respond to it. Two way communications
includes sending of a message and the response to that
message. Communication may be defined as an
interchange of thought or information to bring about
mutual understanding and confidence. Common forms
of communication includes speaking, writings, signally
and gesturing. Communication may be formal
communication or informal communication.
Communication plays an important role for effective
communication. Communication is an essential part for
running any business.
Communication may be interpreted as an interchange of
thought or information to bring about understanding
and confidence for good industrial relations. It brings
about unity of purpose, interest, and efforts in an
organization.
2. ELEMENTS OF COMMUNICATION
Source The source is the originator of the idea
or the message. The source conceives the idea,
prepares the message, selects the channel, and
decides about the receiver.
Message: - It refers to the stimulus that the
source transmits to the receiver. Translation of
an idea into a message appropriate for
transmission by the source is called encoding.
When the message is converted into a certain
meaning it is known as decoding. Decoding is
done by the receiver.
Channel: - The channel is a means through
which the message travels from the source to
the receiver. The channel may be the mass
media such as newspaper, radio, TV,
Receiver: - The receiver is the person for
whom the message is intended.
Effect: Effect is the change in the behavior of
the receiver occurring in response to the
message received.
3. IMPORTANCE OF
COMMUNICATION
Facilitates Planning: Communication facilities
planning in a number of places. Participation of
executive in planning is a pre condition for
International Journal of Advanced Engineering Research and Technology (IJAERT)
Volume 2 Issue 1, April 2014, ISSN No.: 2348 8190
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www.ijaert.org
getting the task done. This can be secured only
through instruction and communication.
Basis for decision making: Communication
helps management in arriving at vital decisions.
Is the right type of information is not available
at the proper time due to lack of
communication it may not be possible for
management to consider all the pros and cons
before taking a decision.
Achieve effective co-ordination: -
communication helps in synchronizing
activities of different individual and groups
about unity of action. Group meeting as a
means of co-ordination must necessarily
involves exchange of ideas and knowledge and
transfer of information and understanding.
Facilitates better administration :
Communication is important in the
performance of all managerial functions
planning which is one of the primary functions
of management requires detail communications
among the managerial and other personal .
Information about subordinates performance is
necessary to determine whether the plan
objectives are being realized or not.
Creation of mutual trust and confidence: -
An effective communication system helps the
managers to convey his ideas, views, decisions,
suggestions and feeling to the employees. On
the other hand, the employees also get
opportunities to express their feelings and
communicate their ideas and reactions. Thus,
effective communication builds an atmosphere
of mutual trust in the organization.
Motivation of employees: motivation of
employees largely depends upon the
effectiveness of communication. Sharing of
information with employees helps management
to secure their willing cooperation. Discussion
on matters of common concerns between
managers and employees is a source of
satisfaction for employees as it signifies
recognition of their importance.
Binding Force or commitment: Effective
communication includes the human resources
in the organization to develop a spirit of
cooperation and produces the will to do work.
In this way the effective communication binds
them.
Facilitates Effective control: Controlling is an
important aspect of managing. It helps the
managers to measure and evaluate the
performance of their subordinates, and provide
them feedback on their performance.
Communication helps in control by
transmitting information about the performance
of the subordinates to the manager.
4. PROCESS OF COMMUNICATION
Figure 1
Communication process model: - Communication
process is concerned with sharing and understanding of
information.
Develop an idea: The first step is to develop an
idea that the sender wishes to transmit.
Encoding: The next step is to encode the idea
into suitable words, charts, or other symbols for
transmission.
Transmit: when the message finally is
developed, the next step comes on the way to
transmit it by the means chosen, such as memo,
phones call, or personal visit.
Receiver: the person or group, who perceives
the message and attaches some meaning to the
message, is the receiver.
Decoding: Even if the message is received, it is
possible that it is not understood in the same
sense and sprit, as the sender intended it to be ,
because the receiver decode it differently.
Provide feedback; When the receiver
acknowledges the message and responds to the
sender, feedback has occurred.
5. PURPOSE OF COMMUNICATION
Communication is a very pervasive activity and we
interact for many reasons.
Exchange of Information: A business
organization needs different types of information
not only to manage its operations but also to
ensure its existence in the competitive world.
International Journal of Advanced Engineering Research and Technology (IJAERT)
Volume 2 Issue 1, April 2014, ISSN No.: 2348 8190
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www.ijaert.org
Education: Business firms frequently use
effective methods to communications to educate
workers and consumers. They train and direct
their employees for greater productivity and
educate consumers about the quality and uses of
products.
Advice and counseling: The managers often
give advice to their colleagues and subordinates
on both personal and official matters.
Persuasion: Persuasion means making efforts to
change or influence the behavior and attitude of
others.
Suggestion: It may move both ways downward
and upward.
Motivation: Motivation is the process of
including people to work hard for achieving
organizational goals.
Warning: Warning involves informing about
the unpleasant and unfavorable consequences, if
certain course of action is not changed. Such
course of action may be negligence mishandling
materials and machinery misbehaviouring with
others, etc. Warning can be general or particular.
6. TYPES OF COMMUNICATION
Channels Of communication: -
Formal Communication: - Formal
communications Refers to the official
communication which takes place the chain
of command in the organization.
Informal Communication: Communication
Between Individual and Groups which are
not officially recognized is known as
informal communication.
Direction or flow of communication:
vertical communication may move both
downward as well as upward.
Downward Communication: - It represents
the flow of information from the top level to
the lower level of the organization. The
purpose of downward communication is two
communicate policies procedures programs
and objectives, and to issue orders and
instructions to the subordinates.
Upward Communication: The flow of
communication from the lower level to the
higher levels of the organization. Upward
communications can take the form of
activities reports, suggestions,
recommendations, grievances etc.
Figure 2
Horizontal or lateral communication: Intra
scalar communication flows between persons at
the same hierarchical level. It is also known as
horizontal communication.
Diagonal Communication: - This includes the
horizontal flow of information as also that
among persons at different level who have no
direct reporting relationship.
Figure 3
International Journal of Advanced Engineering Research and Technology (IJAERT)
Volume 2 Issue 1, April 2014, ISSN No.: 2348 8190
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www.ijaert.org
Gestural Communication: -
Communication through gestural or postures is often is
used as a means to supplement verbal communication. If
there is a face to face conversation between two persons
they can better understand the fillings, attitudes and
emotions of each other. Gestural communication is very
much helpful to motivate the subordinates, as for
instance, handshake.
7. CONCLUSION
Communication is a systematic and continuous process
of telling, listening and understanding. Communication
is an exchange of facts, ideas. Communication is a two
way process. Communication is an essential part to run
any business in the market because it can affect the
decisions of the consumer. Communication may be oral
or written. Communication is goal oriented. A
communication process is complete when sender
receives a feedback. Communication plays an important
to motivate the employees in an organization.
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