Business Communication
Komunikasi dan Etika Bisnis TUP 401
Sunday Noya
After studying this topic,
you should be able to:
1.
Describe the communication process and
model in business.
2.
Understand an effective communication in
the workplace
3.
Identify the usage of technology in
supporting an effective communication.
What is Business Communication?
•
Business communication is the
giving and receiving of feedback
between individuals and/or groups
for the purpose of exchanging
Importance of Good
Communication in a firm
•
Good Communication allows a firm to
–
Learn
new skills and technologies.
–
Become more
responsive
to customers.
–
Improve Quality
of their product or service.
–
Foster innovation
Business Communication Must Be
•
Brief
•
Well-designed
•
Precise
•
Specific
•
Short
•
Net & clear
Business Communication Process
Sender or
Instigator Channel Medium Receiver
Change in payment systems
Finance Dept
Communication Skills for Managers as
Senders
u Send clear and complete messages.
u Encode messages in symbols the receiver
understands.
u Select a medium appropriate for the message
AND monitored by the receiver.
u Avoid filtering (holding back information) and
distortion as the message passes through other workers.
u Ensure a feedback mechanism is included in the
message.
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
The Medium
• Medium:
– Letters
– Memo
– Report
– Notice board
– Faxes
– Telephone
– Face to face
– Body language
– Video/video conferencing
Information Richness and Media
commun-Communication Media
Face-to-Face:
highest information richness.
• Can take advantage of verbal and nonverbal signals. • Provides for instant feedback.
– Management by wandering around takes advantage of this with informal talks to workers.
• Video Conferences: provide much of this richness.
– Reduce travel costs and meeting times.
Verbal Communication electronically
transmitted:
has next highest richness.
• Phone conversations, but no visual nonverbal cues.
– Do have tone of voice, sender‟s emphasis and quick
Communication Media
Personally Addressed Written Communication: lower richness than the verbal forms, but still is directed at a given person.
• Personal addressing helps ensure receiver reads it. – Letters and e-mail are common forms.
• Cannot provide instant feedback to sender but can get feedback later.
– Excellent for complex messages needing follow-up.
Impersonal Written Communication: lowest richness.
• Good for messages to many receivers. Little feedback is expected.
E-Mail Trends
–
use is growing rapidly in large firms, and
there are even special e-mail etiquette:
• Words in all CAPITALS are seen as “screaming” at
the receiver.
• Punctuate your messages for easy reading and
don‟t ramble on.
• Pay attention to spelling and treat like a written
letter.
–
E-mail has allowed
telecommuting
, where
The Medium
•
Choice of medium affected by:
– Need for record– Direction of the information flow
– Number of people to be reached
– Confidentiality
– Nature of the information – length, complexity, speed of transfer
Value
•
Vast majority of problems in business
are caused by ineffective
communication in one form or another
•
Businesses essentially human focused
organisations
To Whom?
•
Who the communication is aimed at
is an important factor:
•
The nature of the medium and the content
may depend on who it is aimed at
•
Necessity of being sensitive
to the receiver
To Whom
•
E-mail communication:
– Does it need to adhere to normal rules of spelling, punctuation and grammar?
– Is it appropriate to use text speak?
• Is this OK 4U or is txt 1 stp 2fr?
– Are there different rules for different situations?
– How do you know what the receiver expects?
Communication Skills for Managers
as Receivers
• Pay Attention to what is sent as a message.
• Be a good listener: don‟t interrupt.
– Ask questions to clarify your understanding.
• Be empathetic: try to understand what the sender feels.
• Understand linguistic styles: different people speak differently.
– Speed, tone, pausing all impact communication.
– This is particularly true across cultures.
The Message
•
What is the communication designed to
achieve?
Type
• Type of message may be an important factor in determining the medium, content, approach, etc.
• Good news?
• Bad news?
• Information?
• Instruction?
Impact of Technology
•
Telephone - significant, almost impossible to
run business without one!
• „Newer technology‟ –
has had less time to
make impact
•
Fax was important for transfer of
text/diagrams and signed documents
– Email now more prominent
•
Computerised information systems are vital
to most organisations
Impact of Technology
•
Short step: from computers to store/process
information …..to … computers as
communications interface to transact business
•
Email use has increased
•
EDI (Electronic Data interchange) use is
widespread (e.g. automotive/retail industry)
•
Internet shopping/trading has become common
place
Types of information transmitted
•
Computer based communications cater for
most types of information transfer
•
text, structured (e.g. database), images,
audio (sounds +voice), video, video
conferencing
•
multimedia - combines advantages of various
types
Communication: The Role of ICT
In business, communication can be:
•
between individuals
•
between individuals and organisations
•
within a business
Examples of ICT Use
•
Mobile telephones
•
Video and tele-conferencing
•
Lap-top computers
•
Role of ICT
•
ICT has brought many advantages but
also has its limitations:
–
It enables speedy communication
–
It can be cheap and save on costs (e.g.
videoconferencing)
–
It can be expensive in hardware
requirements
–
It can seem impersonal
Technological Advances
u Internet: global system of computer networks
Many firms use it to communicate with suppliers.
u World Wide Web (WWW): provides multimedia
access to the Internet.
u Intranets: use the same information concepts as the
Internet, but keep the network inside the firm.
u Groupware: software designed to let workers share
Barriers
•
Anything that prevents successful
communication from occurring
•
Complex and multi-layered
•
Can be technical or generated
by the medium used, etc. but:
Barriers
• Barriers to Successful Communication
– Ability of the sender – how much the sender understands 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 of the organisation, scope of the organisation
– Cultural attitudes
– Perceptions, prejudices and stereotypes
– Inappropriate target for the message
Business Communication Barriers
Perception and Language
•Selective perception
•Shared meanings
Restrictive Environments
•Information flow
•Leadership style
Deception
•Illegal messages
•Unethical messages
Distractions
•Physical discomfort
•Emotional issues
Overload
•Business messages
Communication Networks
Networks
show information flows in an
organization.
• Wheel Network: information flow to and from one central member.
• Chain Network: members communicate with people next to them in sequence.
– Wheel and Chain networks provide for little interaction.
• Circle Network: members communicate with others close to them in terms of expertise, office location, etc.
Communication Networks
•
A chain network
e.g formal
Communication Networks
•
A circle network
e.g. between
Communication Networks
Communication Networks
Supervisory Communication
Organization chart
depicts formal reporting
channels.
• Communication is informal and flows around issues, goals, and projects.
• Vertical Communication: goes up and down the corporate hierarchy.
• Horizontal Communication: between employees of the same level.
– Informal communications can span levels and departments.
Supervisory Communication
Formal
Vertical/Lateral Communication
Organisation chart shows vertical
(black arrows) and lateral (green
arrows)
Finance Marketing Production Board of Directors
Lateral Communication
•
Job coordination
•
Problem solving
•
Information sharing
Supervisory Communication
Forms of Business Structure
•
Entrepreneurial
- decisions made centrally
•
Pyramid
- staff have a role, shared decision
making, specialisation is possible
•
Matrix
- staff with specific skills join project
teams, individuals have responsibility
•
Independent
- seen in professions where
Entrepreneurial
Most small
businesses have this structure
One or two people make
decisions
Great reliance on key workers
supporting decision makers
The Pyramid
Traditional view of
organisations
Decisions pass down formal channels from managers to staff
Information flows up formal channels from staff to
Matrix
Marketing Production Finance
Project A
Project teams created
Staff with
specialist skills
Independent
Dr A
Dr B
Dr C Dr D
Support systems to professionals such as doctors Not suited to most
More on Business Structure
Centralisation
• Managers keep control
• Decisions are made in the interests of the
whole business
• Costs can be cut by standardising
purchasing and so on
• Strong leadership
Decentralisation
• Empowering and motivating
• Freeing up senior
managers‟ time
• Better knowledge of those closer to
customers
