Business

Communication

Prof. Aditi Khosla

 Unit I : Agenda
• Introduction
• The Communication process
• Barriers to communication
• Types of Communication
• Classification of Communication Channels
• Verbal Communication
• Seven C’s of Communication
• Formal & Informal Communication
 Introduction
• What is Communication?
• Communication is a process by which information is transmitted & understood between 2 or
more people.
• “Communication is an exchange of facts, ideas, opinions or
emotions by two or more persons”. - Newman & Summer
• It is a process that enables management to allocate & supervise the work of employees.
• Communication is the essence of organisational effectiveness.
• An employee’s communication skills acquire utmost importance in this business scenario.
• A manager may play the roles of an entrepreneur, disturbance handler, resource allocator &
negotiator.
• Majority of the communication is Non-Verbal communication.

Example: Tone, Expressions, Body language, sign language, gestures play a

vital role in communication
Example: During Placements, every single gesture is noticed – the way you
enter the room, the way you greet, sit, talk, dress. These are fundamental but
critical.
Process of Communication
Components of the Communication Process

• Sender:
1. Begins the process of communication (Initiator)
2. He has to be clear about the purpose/goal of the communication
3. Sender decides why and to whom to send a message
• Encoding: The process of putting the ideas into symbols.
• Channel / Medium: The mode of communication chosen such as in writing, in
speech or by signals ( E-mail, telephone, face-to-face)
• Decoding: The process of translating the symbols into ideas and interpreting the
message.
• Receiver: To whom the message is directed
Feedback: Once the decoding process is over, the receiver encodes and sends a message
back to the sender.

It forms the critical part as it helps the sender determine whether the message reached
the receiver correctly.
 Barriers to Communication
Meaning: It is also known as communication challenges.

Types of Barriers
1. Language & Semantic Barriers
2. Organisational Barriers
3. Physical Barriers
4. Socio – psychological Barriers
• Semantic & Language Barriers
Semantic means different meanings of words. There are words which have multiple meanings
like charge, suit.
Words like “minute” & “wind” are pronounced in two different ways to mean two entirely
different things.
• Organisational Barriers
1. Hierarchical Barriers: Barriers arising due to closed communication climate, awe of
authority & intended/unintended distortion of message.
Example: A sales manager committing to impossible targets due to the authority of his boss,
despite knowing that the targets cannot be achieved.
2. Information overload: Barriers arising due to the amount & complexity of messages
received.
Example: A subordinate getting too many details from the boss on a project to be executed,
leading to difficulty in filtering the relevant information.
• Physical Barriers
1. Noise: Barriers arising due to hindrances like visual, audio-visual, language.
Example: A member arriving late for a meeting, thereby distracting other members &
thus creating visual noise.
2. Time: Barriers arising due to inappropriate timing of communication, long gap in
communication & lack of respect towards time.
Example: A rushed conversation between you & your colleague being misinterpreted as
avoidance due to inappropriate timing of the call by the colleague.
• Socio – Psychological Barriers
1. Status Barriers: Difference in person’s abilities, amount of pay, job role, age,
seniority.
Example: A senior subordinate reporting to a younger boss may lead to conflict.
2. Attitudes & Values: Barriers arising due to difference in beliefs, cultures, traditions,
attitudes & values.
Example: The way people greet in Japan and in India is different.
3. Closed Mindedness: Barriers arising due to non- acceptance of varied or new ideas
or changes.
Example: An elderly person being averse to the use of technology at workplace.
4. Pre- conceived notions: Barriers arising from the opinions formed due to our past
experiences, knowledge or our understanding.
Example: A person falling sick after eating food from a restaurant & decided to never
visit the restaurant again.
5. Poor listening: Lack of attention when receiving the message.
Example: A student thinking about the Fresher’s party during the class lecture.
 Types of Communication
• On the Basis of Relationship Element
1. Intrapersonal Communication
2. Interpersonal Communication
3. Group Communication
4. Mass Communication
• On the Basis of Channel
1. Verbal (written, oral)
2. Non- Verbal (gestures, body language, tone, etc.)
• On the Basis of Purpose & Style
1. Formal
2. Informal

• On the Basis of Direction

1. Vertical
2. Horizontal
 Classification of Communication Channels
• A communication channel is a type of media that is used to transfer a message
from one person to another. In business, communication channels are the way
information flows in the organization within, and with other companies.
• In an organization, information flows forward, backwards and sideways.
• For example, reports from lower level manager will flow upwards. A good manager
has to inspire, steer and organize his employees efficiently, and for all this, the tools in
his possession are spoken and written words.
• Communication channels include face-to-face communication, broadcast
media, electronic communication and written communication.
• Face-to-Face or Personal Communication
• Broadcast Media Communications (TV, Radio, Print, Loud Speakers)
• Electronic Communications Channels (E- mail, Intranet, Internet, Social Media
Platforms)
• Written Methods of Communication (Policies, Memos, Letters, Notices, Manuals)
 Verbal Communication

Verbal Communication : It refers to the use of words for communication

purposes.
• It comprises both Oral & Written communication.
• Written Communication channel includes memos, letters, company newsletters,
e-mails, web pages, bulletin board postings, manuals & reports.
• Oral Communication channel refers to telephonic conversations, face-to-face
meetings, speeches & presentations, videoconferences.
 Merits Of Verbal Communication (Oral)

 Economical
Saves Time
Immediate/ Quick Feedback
 Personal touch / handling delicate issues
 Confidential
 Demerits Of Verbal Communication (Oral)

 No records
 No legal validity
 Lack of accuracy (retention/ documentation)
 Accent, Intonation, pronounciation (eg: skedule – Americans ; schedule –
Indians & British)
 Unsuitable for lengthy messages (report, client’s requirements, targets,
projections)
 Merits Of Verbal Communication (Written)

 Permanent record & Legal validity

 Effective (accurate perception)
 Focussed and precise (Eg: sales target)
 Transfer large number of details
 Message stays the same even if relayed through many people
 Demerits Of Verbal Communication (Written)

 Lack of instantaneous feedback (delayed feedback)

 Lack of flexibility
 Meaningless to illiterate people
 Lack of secrecy (Eg: getting quotation for your boss)
 Time consuming & expensive
 7 C’s of Communication
• They contribute to effective communication.
• They are as follows:

1. Completeness : It means that we must provide all necessary information &

answer all the questions asked. Whenever desirable, we must also supply
extra information so that the recipient becomes a well informed person.
For this purpose, we must answer the five W’s – WHO? WHAT? WHEN?
WHERE? & WHY?
For ex: In an e-mail subject line “For job” is incomplete. It can be “For the
position of Marketing Executive”.
2. Conciseness: Though all details must be included in the message, the sender
should be as brief as possible.

• Readers & listeners prefer reading & listening to short notices rather than
lengthy details.
• Long messages may become boring & may lose attentiveness of the receiver.
• Simple, short & crisp sentences should be used to make the message
effective.
• Language should be as simple as possible
• Use of technical words & tough language should be avoided.
3. Consideration : We must care for the recipient/audience.

 We must focus on “You” instead of “I” or “We”.

 We must emphasize on the positive & pleasant facts.
 If managers want subordinates to listen to them, they should develop
listening skills also.
 They should be considerate towards needs, sentiments & emotions of the
receiver.
 They should seek not only to be understood but also understand.
4. Concreteness : It means one must being specific, definite & vivid rather than vague
by giving facts & figures.
For ex: This year we sold more AC than last year.
Last year we sold 800 AC and this year we sold 1000 AC

5. Clarity : It means one must use precise, concrete & familiar words.
• We should write effective sentences & paragraphs having unity & coherence.
• Communication should be clear.
• Careful planning about what, when, where, why & how to communicate makes
communication effective.
• For ex: Rather than saying “despatch this mail as early as possible”. We should say
“despatch this mail latest by tomorrow morning”.
6. Courtesy :
It is a written law of successful business communication.
• One must be sincere in his approach and use expressions that show respect.
That is why words like ‘kindly’, ‘sincerely’ & ‘faithfully’ are so important.
• Politeness & courtesy are important contributors to effective
communication.
• Thanking the other person for a favour, acknowledging his action or
response, apologising for a mistake, avoiding negative expressions.
• Using empathy can make communication courteous & effective.
7. Correctness :
• The messages should be correct, authentic & accurate.
• Correctness in language, proper choice of words, accuracy of figures & facts
are important for effective communication.
• One must also be careful about the correctness of punctuation.

• Effective communication just doesn’t happen. It requires effort on the part

of communicators.
 Formal & Informal Communication
Formal Communication

 Official information & decisions follow this channel of communication.

 It is officially recognised by the organisation, follows the formal chain of
command & defines authority – responsibility relationship amongst the
members of the organisation.
 Information flows vertically, horizontally and diagonally through proper
channel that is levels in the organisational hierarchy.
Vertical communication represents flow of information from one level to the
other.
• It can be downward & upward.
• Downward : flows from top to lower level managers, supervisors & workers.
Information related to goals, policies, directions and instructions.
• Upward : flows from lower levels to higher levels.
• Information related to reports, achievements and progress, work related
problems and suggestions.
Horizontal communication flows amongst people at the same level.
Communication between managers of Marketing department & production
department is horizontal communication.
Diagonal communication takes place amongst people of different departments at
different levels.
Informal Communication
It is an unofficial channel of communication that arises out of social –
psychological needs of people to interact with each other.
• It focusses more on person than position.
• It arises when people of common interests, caste or religion interact with
each other.
• Grapevine Communication : It is an informal communication network
where information flows freely throughout the organisation. It is the most
common form of informal communication. It connects people & transmits
information in every direction : vertical, horizontal, diagonal.
Thank You