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Business Communication I

Effective Communications in Business

Chapter No - 1

By,
Saif
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 Effective Communications in Business
I - Importance and Benefits of Effective Communication
Ancient Heritage for Communication Principles
"Lifeblood" of Every -organization
Benefits of Effective Communication in Your Career
Challenge of Communication in the Global Market
II - Components of Communication
Context
Sender-Encoder
Message
Medium
Receiver-Decoder
Feedback
III- Concepts and Problems of Communication
Conventions of Meaning
Perceptions of Reality .
Values. Attitudes. and opinions.
IV- Nonverbal Communication
How Appearance Communicates
How Body language Communicates 3
How Silence. Time. and Space Communicate
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 Concept and definition of
Communication

The word communication is derived from latin

word communicare that means to share, to
participate, convey and transmit.
Communication is a process of passing
information and understanding from one
person to another.
It is an exchange of facts, ideas, opinions or
emotions by two or more persons

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 COMMUNICATION DEFINED
Communication

Communication is the sum of all the things one

person does when he wants to create
understanding in the mind of another; it involves
a systematic and continuous process of telling,
listening, and understanding.
It stands for natural activity of all human beings
to convey, opinion, feelings, information & ideas
through words, body language or signs.

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Business Communication
BC is used to promote a product, service, or
organization;
BC relays (transmits) information within the

business;
BC a means of relaying between a supply

chain, (for example the consumer and

manufacturer).
Sometimes through such nonverbal means as
facial expressions, gestures, and voice qualities
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Channels of Communication
the Internet,
Print (Publications),

Radio,

Television,

Ambient media (Non-Traditional or Alternative

Media),
Word of mouth (person-to-person
communication)
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Methods of business
communication
Web-based communication for communication anytime anywhere;
video conferencing allows people in different locations to hold
interactive meetings;
e-mails provide an immediate medium of written communication
worldwide;
reports important in documenting the activities of any department;
presentations very popular in all types of organizations, usually
involving audiovisual material;
telephone conversations;
forum boards allow people to instantly post information at a centralized
location;
face-to-face meetings, which are personal and should be succeeded
by a written follow-up.

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Communication skills
Business communication is somewhat
different and unique from other types of
communication since the purpose of
business is to make money. Thus, to develop
profitability, the communicator should develop
good communication skills.

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Effective communication
includes:
the choice of the best communications channel,
ability to use the channel,
presentation of information to the target audience,
skill to understand responses received from
others.

Self development, interpersonal skills, mutual

understanding, mutual cooperation and trust is also
important to set a complete channel of most
effective and winning communication skills.

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Effective Communication

Quicker problem solving

Stronger decision making

Increased productivity

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Forms of Communication
Communication
Oral
All forms of spoken information and is by far the
preferred type of communication used by managers.

Written
Includes letters, memos, policy manuals, reports, and
other documents used to share information used in an
organization.

Nonverbal
Involves all messages that are nonlanguage responses.
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Importance of communication in
management

Smooth working of a business firm.

Basis of managerial function:
1. Planning
2. Organizing
3. Directing
4. Co-ordinating
5. Controlling
Maximum production at minimum cost
Prompt decision and its implementation
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Elements of communication

Source

Audience/Receiver

Goal/purpose

Context/environment

Message

Medium

feedback

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Benefits of effective
communication

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Process of communication

Communication has been defined as a process that refers

to identifiable flow of information through interrelate stages
of analysis directed towards the achievement of an
objective.

feedback

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process

Step 1: sender conceives an idea

depending on the purpose of
communication
Step 2: sender chooses appropriate
symbols, encodes the idea and formulates
the message
Step 3: sender sends the message
through suitable channel

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Continue.

Step 4: receiver receives the message.

Step 5: receiver decodes the symbols, and
interprets the message
Step 6: receiver sends the feedback
(response) that is observed by the sender

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Advantages of oral
communication
Oral communication is a time and money saving device.
As there is an element of personal touch, it is comparatively
more effective.
Doubts can be clarified on the spot and the communication
can be understood easily.
Important point can be emphasized through action.
Speech is more powerful means of persuasion and control.
The speaker can get immediate feedback.
The informal plane of oral communication helps to promote
friendly relations.

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Disadvantages of oral communication

It is not useful where the parties are very far from each other,
even beyond telephonic range.

It is not suitable for lengthy communication.
Oral messages cannot be retained for a long time.
Oral messages do not have any legal validity unless they are
taped and made a part of permanent record.
Body language and speech must match each other.
If the communication is poor in vocal expression, oral
communication are likely to be misunderstood and
misinterpreted.

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Advantages of written
communication

It is suitable for lengthy communication.
It is accurate and precise.
It can be kept as a permanent record and at times be
referred to as evidence.
It is a legal document.
Written communication serves as a solid base for taking
action against the subordinate who disobeys it.
There are fewer chances of missing out a point.

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Disadvantages of written
Communication

There is greater chance of the communication being

misunderstood.
There is no scope for face to face discussion.
It is time-consuming.
It is costly.
Quick clarification is not possible.
It is difficult to maintain secrecy about the matter
communicated.
Poorly written messages followed by numerous clarification
both written and oral, may lead to a lot of confusion

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Channels of oral Communication

Face to face conversation

Telephone conversation

Presentation

Public speech

Interview

Group discussion

Negotiation

Meeting
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Channel of written communication

Letter

Memo

Notice

Circular

Report

Minutes

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Effective Communication
in Business

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What is Communication
Exchanging or transferring information from one part
of the business to another that leads to some
outcome, changed behaviour or changed processes
and practices.

An idea, no matter how great, is useless until it is

transmitted and understood by others.

Communication can also be termed as the exchange

of thoughts between two or more people, groups or
organizations, verbally, through symbols, or in writing.

Conti28
What is Communication
Communication is the Nucleus of the organization.

The meanings of words are not in the words; they are in us. Communication is a
means, not an end.

Communication has no life of its own. There is no meaning in a message except

what you put into it.

Most people think at a rate of 400 - 500 W/M. Most people speak at only about 125
W/M and write at even slower space 25 to 30 W/M.

Formal Communication. Established, recognized and agreed procedures/ rules/

channels.

Informal Communication. It refers to the grapevine ( )that informally takes

place in an organization. Such a network is free to move in any direction, skip
authority levels, and satisfy group members social needs.
* The grapevine may hamper the goodwill of the organization as it may carry false negative
information about the high level people of the organization.
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 Importance of Communication
Effective communication is important to avoid
disastrous consequences caused by the poor
communication:

Major World Air Accidents/Crashes/Wars

Employee Frustration
Customer dissatisfaction
Employer Vs Employee lack of trust
Government Vs public poor relations
Broken family/friends relations
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Communication as Lifeblood of
Organization
Organizations cant function without open and
effective communication.
Exchange of information is must for effective
individual and collective performance at all levels.
Internal Communication. Downward, upward &
horizontal / lateral.
External Communication. Effective communication
with external stakeholders can help create a good
reputation, and have a positive impact on its ultimate
success.
Overall Communication Costs. Time is a major factor
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in overall communication costs.
Direction of Internal BC
Downward:
Communication that flows from one level of a group
organization to a lower level.
This is typically what we think of when managers
communicate with workers. Its purpose is to assign goals,
provide instructions, communicate policies and
procedures, provide feedback. It does not have to be face
to face or an oral communication.
Upward:
Upward communication flows to a higher level in the
group or organization.
It is used to provide feedback to higher-ups, inform them
of progress, and relay (Send) current problems e.g.
performance (reports prepared by lower management), 32
suggestion boxes, employee attitude surveys, etc.
 Direction of Internal BC
Lateral:
When communication takes place among members of the
same work group, among members of work groups at the
same level, among managers at the same level.

Horizontal communications are often necessary to save time

and facilitate coordination.

They can create dysfunctional conflicts

when the formal vertical channels are Downward
breached, when members go above or
around their superiors to get things
Lateral
done, or when bosses find out that
actions have been taken or decisions
made without their knowledge.
Upward 33
Dysfunctional conflict is conflict that leads to a decline in communication
Types of Communication
Verbal Communication. Communication through
words whether Written or Oral.

Written. Letters, memos, notice boards, employee

manuals etc.

Oral. Announcements, speeches / counseling,

demonstrations / explanations etc.

Non-Verbal Communication. Communication through

various means other than words appearance, body
movements, facial expressions, gestures, smell &
touch, Voice, silence etc. 34
Benefits of Effective Communication
Quicker problem solving
Stronger decision making
Increased productivity
Stronger business relationships
Clearer promotional materials
Enhanced professional image
Improved stakeholder response
Customer Loyalty

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Communication Model (Contd)
Sender/Encoder:
Sender encodes the messages in the form of words,
symbols, graphs, charts etc. to facilitate the receiver in
correct understanding and suitably reacting to the message.

Message:
It is the core idea that sender wants to communicate; it
could be verbal (written or spoken) or non-verbal symbols.
While composing a message, sender must decide what is
the main point of message and what is the other information
to be included.

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The Message
What is the communication designed to
achieve?
This needs to be considered carefully to
judge the best method of delivery and to
judge the effectiveness of the feedback as to
whether the message has been successful.

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The Medium
How the communication is to be made
Important to select an appropriate medium
for the message:
Need to consider the needs of the sender,
the nature of the receiver and the aims of
the communication
Inappropriate medium can be a barrier to
effective communication
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Communication Model (Contd)
Medium:
Medium may include Memo, Letter, Notice board, Fax,
Telephone, E-mail / Internet, Face to face, Body language,
Video / Video conferencing.

Receiver/decoder:
The message receiver is the decoder who interprets,
understands and then responds to the message.
Receiver/decoder is influenced by context and by his/her
own mental filters.

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Communication Model (Contd)
Feedback:

Feedback is the ultimate impact of the message that

compels the receiver to act / react in a particular way or
keep quiet. It could be oral or a written message. Sender
wants feedback to learn about the impact of the message
and the extent to which message has achieved desired
results / behaviour.

Feedback helps the sender to know about the weak points

of his/her message and further improve it.

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CONCEPTS AND PROBLEMS

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 Conventions of Meanings
Shapes & Symbols used should have same meanings for
both the parties (to avoid misunderstanding).

Standard (commonly accepted) abbreviations AIDS,

LASER, LIFO, FIFO etc.

Denotations. Dictionary meanings should be used at

right place, keeping in view the positive / negative sense.

Connotations. Application of words other than their

common use e.g. using villa, cottage, lodge etc for the
house should be used carefully.
Human immunodeficiency virus / acquired immunodeficiency syndrome (HIV/AIDS)
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LASER - Light Amplification by Stimulated Emission of Radiation

 Perceptions of Reality

Dynamic scenario is fast changing the perception of the people.

Common problems are:

Abstracting. Selecting some facts and omitting others. Only

necessary/ relevant facts/ figures should be used.

Inferring. Be careful while making inferences. Only

necessary/ desirable inferences should be used, after
collecting some relevant information. Similarly dont react to
guesstimates.

Inferences (Conclusion)

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 Values, Attitudes and Opinions
Attitude of the receiver can reflect the acceptance or
rejection of the message. Main problems involving attitude,
values & opinions are:

Favorable information will be accepted and would

yield better results.
Inadequate / incorrect information will make the
recipient angry.
Closed mind stops people from thinking on aspects
other than their pre-conception.
Senders credibility plays important role in receiving
favorable response from the recipients.
Sensitivity to the state of mind (by both parties) helps
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to communicate in a positive way.
Non-verbal Communication

Non-verbal
communication is the process of
communication without words.

Facial expressions, movement, eye contact,

vocal qualities all helps us without words.

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 Non-verbal communication differs from
verbal communication in many ways:

Non-verbal communication is less structured

than verbal words.
Non-verbal communication is unplanned.
Non-verbal communication is intent and
spontaneous.
Non-verbal communication blends with speech.

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 Physical appearance.
Facial expressions: It conveys emotions with
remarkable accuracy and intensity of your
feelings.
Movement: the process of getting up from one
place to another in front of audience or on the
platform.
Posture: posture is the way you conduct yourself
when you face an audience.
Gesture: A gesture is an expression of your any
part of your body. E.g. your head, hands, face
which reinforce your idea while you speak.
Eye contact.
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Non Verbal Communication

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Nonverbal Communication

How Appearance Communicates. Format, neatness

language of written message and presentation all send
a nonverbal message to the receiver.

How Body Language Communicates. Facial

expression, gesture, posture, movement, smell, touch,
voice all influence the recipient/ audience.

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 Appearance
Communicates

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Posture has Impact

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Facial Expressions Convey Meanings

Neutral Surprise Happiness

Fear Sadness Anger 54

Nonverbal Communication (contd)

How Silence, Time & Space Communicate. Concept

of time & space are culture - specific. Effective
communicators adapt to receivers expectations.

Silence. Keeping silence for an immediate oral

request or not responding to a letter indicate the
attitude of the receiver; taken as not accepted.

Time. Waiting for a response from the recipient for

an important request creates negative feelings.

Space. A sense of being egalitarian; (free / unrestricted)

where you stand in the group; how much space you

maintain from others.
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 Barriers
Anything that prevents successful
communication from occurring
Complex and multi-layered (Meaningful)
Can be technical or generated
by the medium used, etc. but:
Main problem is human behaviour and
psychology

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Barriers to Communication
Ability of the sender how much the senders understand
of the message they are trying to send.

Content including technicalities and jargon.

Method of communication including style and body

language where appropriate.

Skills and attitude of the receiver.

Organisational factors complexity and scope of the

organisation.

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Communication Challenges in Global Market

Diversified culture and language.

Capabilities/ knowledge of both sender and receiver.

Globalization.

Fast technological advancements IT boom.

Ever changing communication demands of customers.

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How to Improve Communication
Minimize distractions.

Consider/ understand the audience empathy.

Improve your skills successfully counter the propaganda

by the rivals.

Give and get feedback.

Apply business etiquettes & ethics.

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How to Make
Communication Effective

Knowledge of the subject

Focus on the purpose

Know your Audience

Be Organized

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Characteristics of Non-Verbal
Communication
Communicates emotions and Attitude
Regulate verbal messages

Ambiguous

Continuous

More reliable

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Nonverbal Communication Skills
Nonverbal communication skills are essential for
sending and decoding messages with emotional
content.
Dimensions of nonverbal communication:
Paralanguage (Voice quality, Volume, Rate of speech,
Voice pitch, Rhythm, Pronunciation)
Kinesics ( Body movements and
gestures symbols, Adapters, Illustrators,
Regulators)
Eye contact
Touch
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Physical distance
Assignment No. 1
Define Communication.
Write a note on the importance
and benefits of effective
communication in your Career.

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Important Questions
Chapter no. 1 BC-I
Q 1
Define internal communication and explain its
impact at global level. (Spring -2012)

Q 2
Define Communication. Discuss the importance
and benefits of effective communication.
(Spring- 2011)

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Important Questions
Q 1
Define internal communication and explain the
impact of communication at global level
(Spring -2010)

Q 2
What are the components of communication?
Define and describe each.
(Spring- 2011)

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Important Questions
Q-5
Explain Communication as lifeblood of an
Organization. (Spring 2013)

Q -6
Define Nonverbal Communication. How appearance
and body language Communicates ?
How silence, time and space communicates?

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 Thanks

Wish you all the Best

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