CHAPTER-1

Business Communication What is Communication? Communication is the transfer of information (also opinion, idea, attitude etc.) from a sender to a receiver with a view to making it understandable to the latter. The conditions are: First, there must be at least two persons involved in communication. Second, there must be some information to be communicated. Third, some attempt must be made to transmit this information.
1

The Communication Process:

Communication process involves seven steps--thought, encoding, transmission, reception, decoding, and understanding and feed-back. In the case of feedback the receiver acts as the sender and the steps are repeated. This process is shown in the next diagram.

 Elements of Communication: 1. Sender: One who sends a message is the writer or speaker, depending upon whether the communication is written or oral. Sender is the encoder of the message.

2. Message: The message consists of both verbal, written or spoken symbols and also nonverbal symbols to convey ideas from the sender to the receiver.
3. Channel: Channel is the medium through which the message is sent. 4. Receiver: The message receiver is the reader or listener and decoder of the message. 5. Feedback: Feedback is the receivers reaction indicating to the sender whether or not the message has been understood and correctly interpreted.
4

Communication Situation:
Communication situation is deemed to exit if:

1. There

is a person (sender) willing to pass on some information.

2. Another person (receiver) is there to whom the information is passed on. 3. The receiver understands the message (partly or wholly).

4. There is a feedback from the receiver.

 Importance of Communication in Business:

1. Basis of effective leadership 2. Sharing ideas and information 3. Rational decision making 4. Interacting with environment 5. Developing companys public image 6. Helping delegation of authority and responsibility 7. Explaining policies and programs 8. Understanding the problem of subordinates 9. Fulfilling organizational objectives through coordination 10.Basis of information
6

Objectives of Communication
1. Receiving or Passing Information *External Information: They relate to: a) Demands for products in the market. b) Strategies of competitors. c) Supply of labor and raw materials. d) Government policies. e) Technological developments. f) Changes in tastes and fashions etc.
7

Internal Information
They relate to: a) Job performance of employees. b) Disciplinary conditions in the work palace. c) Job assignments. d) Demand for employees, raw materials, machinery and spare parts. e) Need for money, etc. In using information care should be taken about the following: a) Is the information coming from a reliable source? b) is it complete? c) Is it timely /recent?

2. Giving Advice to Colleagues /Subordinates:

Advice is given in order to influence the attitudes, opinions, behavior etc. of individuals concerned. It flows either horizontally or downwards. There are some tips to make advice effective a) It should be given in such a way that it suits the need of the recipient. b) The advisor should be courteous and polite. c) The advice should be given for the betterment of the staff concerned. d) The recipient of advice should be given freedom to react.
9

3. Counseling the Problem Employees:

4. Issuing Orders: Asking somebody to do something.

Types of Orders: a) Written and oral b) General and specific c) Mandatory and discretionary d) Procedural and operational Features of an effective order: a) Order must be precise, complete and clear. b) Execution of order must not be impossible. c) Order should be given in such a way that it is accepted cordially.

10

5. To Persuade: Making someone to comply.

The art of persuasion a) The art of persuasion requires conviction on the part of the person who wants to persuade. b) The persuader should not impose himself on the receiver of his communication.

c) A flexible mind of the receiver helps the persuader to persuade. d) The arguments, most acceptable to the receiver, should be used.

11

6. Raising Morale and Motivation:

Making employees to feel an inner urge to work to their full capability 7. Giving Warning Asking employees /customers to refrain from doing something. 8. Educating employees and prospective consumers (a) Giving instruction to employees about better methods of work. (b) Instructing consumers about the uses and abuses of products/services etc.
12