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Business Communication

Updated on April 25, 2018

What is Business Communication

Communication is regarded as the quintessence of management and in business it plays an important role as it must be very effective. The fundamental functions of management (Staffing, Organizing, Planning, Controlling and Directing) are meaningless if it lacks communication. Business communication includes the continuous supply of information. Feedback is also an important part of business communication. Currently, there are very large organizations having a lot of people working in them. An organization has different levels of hierarchy and if the number of levels is more, it becomes tougher to manage the organization. Communication plays a vital role in directing and commanding all the people in the organization. You can also get a quick response or feedback and thus any confusions or misinterpretations are prevented. Effective communication is needed between the seniors or managers and the subordinates in an organization and also between an organization and the public (e.g., between the management and the trade unions). This is necessary for the successful growth of an organization. An organization must not have any gaps in communication.

Business communication is focused at fulfilling goals. It is very important to convey to people who are linked outside and within it about all the rules and policies of a company. Business communication is governed by some rules and regulations. Earlier, business communication was restricted to only work on the paper or telephone calls and so on. However, because of the new technology we now have video conferencing, emails, cell phones and satellite communication in order to carry on business communication. Effective communication in business aids the development of goodwill in any organization.

What is the Importance of Business Communication

The significance of communication in an organization can be summarized as follows:

  • Communication supports motivating the employees to do their task by notifying and clarifying them and the manner in which they do it and how to improvise their functioning if they do not find it satisfactory.
  • Communication is a method of informing the members of the organization for making decisions as it aids in recognizing and evaluating any action to be taken regarding it.
  • Communication also plays an important role in changing the person’s behavior, i.e., a person who is informed beforehand will behave in a better way than a person who is ignorant. An employee’s behavior can be shaped by using some methods of oral and written communication, journals and organizational magazines or holding some meetings.
  • Communication aids in being able to socialize. People cannot live these days without communicating with each other as it promotes communication.
  • Communication also aids in the process of controlling a member’s behavior in an organization in many ways. An employee must adhere to certain rules and principles and the many levels of command in an organization. They must observe the policies of an organization and also do their job efficiently and be able to convey any problem that they face to their managers or bosses. In this way, communication aids in carrying on the role of management in an organization.


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