Bcom 5th Edition Lehman Solutions Manual

BCOM 5th Edition Lehman Solutions
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7 Delivering Bad-News Messages
IN THIS CHAPTER, YOU WILL FIND:
LEARNING OBJECTIVES
KEY CONCEPTS
KEY TERMS
CHAPTER OUTLINE
POWERPOINT SLIDES
TEACHING SUGGESTIONS
CLASSROOM ACTIVITIES
REVIEW QUESTIONS & SUGGESTED SOLUTIONS
FEATURED ASSIGNMENTS
ADDITIONAL ASSIGNMENTS
CASE ASSIGNMENT
LEARNING OBJECTIVES
1 Explain the steps in the inductive outline and understand its use for specific situations.
2 Discuss strategies for developing the five components of a bad-news message.
3 Prepare messages refusing requests and claims.
4 Prepare messages handling problems with customers’ orders and denying credit.
5 Prepare messages providing constructive criticism, communicating negative organizational
news, and responding to crises.
KEY CONCEPTS
Bad-news messages typically require an inductive strategy. Situations covered include sharing bad
news, refusing a request, denying a claim, refusing an order, denying credit, delivering constructive
criticism, and communicating negative organizational news. The construction of bad-news messages
involves more delicate human relations issues than good- and neutral-news messages.
© 2014 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
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KEY TERMS
TERM PAGE TERM PAGE

Counterproposal 114 Fair Credit Reporting Act 122
CHAPTER OUTLINE
7-1 Choosing an Appropriate Channel and Organizational Pattern 109

7-1a Channel Choice and Commitment to Tact 109
7-1b Use of the Inductive Approach to Build Goodwill 109
7-1c Exceptions to the Inductive Approach 111
7-2 Developing a Bad-News Message 111
7-2a Writing the Introductory Paragraph 111
7-2b Presenting the Facts, Analysis, and Reasons 112
7-2c Writing the Bad-News Statement 113
7-2d Offering a Counterproposal or “Silver Lining” Idea 114
7-2e Closing Positively 115
7-3 Refusing a Request 115
7-4 Denying a Claim 116
7-5 Denying Credit 120
7-6 Delivering Constructive Criticism 122
7-7 Communicating Negative Organizational News 122
7-7a Breaking Bad News 124
7-7b Responding to Crisis Situations 126
LECTURE SLIDES
1. Delivering Bad-News Messages

2. Learning Objectives
3. Indirect Outline for Bad-News Messages
4. Using the Inductive Approach to Build Goodwill
5. Types of Bad-News Messages
6. Advantages of Inductive Outline
7. Exceptions to Inductive Approach for Bad News
8. Developing the Opening
9. Effective Openings for Bad-News Message
10. Perfecting Buffer Statements
11. Guidelines for Composing Reasons
12. Wording the Bad-News Statement
13. Examples of De-Emphasis Techniques
14. Examples of De-Emphasis Techniques (cont)
15. Offering a Counterproposal or “Silver Lining”
16. Perfecting Refusal Statement
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17. Techniques for Closing Positively
18. To Close Positively, Avoid . . .
19. Closing Positively: What Would You Do
20. Closing Positively: What Not to Do
21. Refusal of Employee Request: What Does Not Work
22. Refusal of Employee Request: Why It Works
23. Refusal of Employee Request: Why It Works(cont.)
24. Refusal of a Favor: Why It Works
25. Denying a Claim: What Doesn’t Work
26. Denying a Claim: Why It Works
27. Credit Denial: Why It Works
28. Adhering to the Fair Credit Reporting Act
29. Delivering Constructive Criticism
30. Constructive Criticism: What Does Not Work
31. Constructive Criticism: Why It Works
32. Sharing Negative Organizational News
33. Negative Organizational News: What Does Not Work
34. Negative Organizational News: Why It Works
35. Negative Organizational News (cont.)
TEACHING SUGGESTIONS
LEARNING OBJECTIVE 1
Explain the steps in the inductive outline, and understand its use for specific situations.
Using the Inductive Approach to Build Goodwill

• Reasons are easier to understand if given before bad news
• Reasons might be ignored when bad news is given first
• Disappointment in bad news might interfere with ability to understand reasons
.
Choosing an Appropriate Channel and Organizational Pattern

• Emphasize the close tie between customer loyalty and an organization’s ability to handle
difficult situations with tact and empathy.
• Encourage students to share examples based on their own experience.
Channel Choice and Commitment to Tact

• Discuss channel choices for negative communication with this question: “Have you ever been
fired from an employment position? How did your supervisor handle firing you or laying you off
— in person, over the phone, via a letter, or via email?”
• Show a video clip from the “The Apprentice” and discuss Donald Trump’s use of “you’re fired.”
Remind students that his directness is not the usually the best choice of organizational pattern
and word use when letting an employee go.
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• Discuss face-to-face communication as an ideal channel for negative messages because of the
rich nonverbal messages and opportunity for feedback to minimize the misinterpretation of
highly sensitive messages.
• Discuss the increase in email to deliver bad-news messages because of honesty, accuracy, and
lessened discomfort. However, stress the importance of considering the impersonal nature of
email for bad-news messages.
Use of the Inductive Approach to Build Goodwill

• Discuss assessing the reader’s likely reaction to the bad-news message.
• Discuss the sequence of the bad-news messages. Stress the possible negative reactions to bad
news positioned before the explanations as you show the visual.
Exceptions to the Inductive Approach

• Lead a class discussion of occasions when the deductive approach for a negative message may
better serve the writer’s purpose.
 The message is a second response to a repeated request.
 The matter is insignificant in its resolution.
 The request is ridiculous, immoral, unethical, illegal, or dangerous.
 Cultural issues dictate the message be delivered differently.
 The sender wants to demonstrate authority.
Discuss strategies for developing the five components of a bad-news message.
Developing a Bad-News Message

• Point out that a bad-news outline has five sections with specific principles involved in writing
each: (a) introductory paragraph, (b) explanation, (c) bad-news statement, (d) counterproposal
or “silver lining idea,” and (d) closing paragraph.
• Have students study the ineffective and effective applications of the inductive outline illustrated
in the textbook or from examples they find on their own.
Writing the Introductory Paragraph

• Discuss techniques about techniques for developing the introductory paragraph.
• Review possible opening with the following examples:
o Imply bad news if possible. Use subjunctive mood.
Example: Had you selected a variable rate, you could have taken advantage of the
recent drop in interest rates.
o Use positive language that accents the good.
Example: NOT: We cannot ship your order until . . . .
INSTEAD: Your order will be shipped when. . . .
o Offer counterproposal that shows writer wants to help.
o Example: Although our current personnel shortage prevents us . . ., we can
(alternative).
o Use stylistic techniques:
Complex sentence—bad news in the dependent clause
General terms and abstract nouns
Passive voice
Example: NOT: You failed to verify the payroll figures.
INSTEAD: The payroll figures must be verified. (passive)
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Please verify the payroll figures.
(Focuses on the solution rather than the problem)
Writing the Bad-News Statement

• Discuss ways to minimize the impact of bad news and techniques for writing the bad-news
statement.
• Reinforce principles of writing the bad-news statement.
• Discuss de-emphasis techniques.
Offering a Counterproposal or “Silver Lining” Idea

• Emphasize that offering an alternative instead of a flat “no” keeps communication open and
avoids damage to egos.
• Discuss possible analogies to help students understand the effect of the counterproposal: The
counterproposal is to the “no” response as a highway detour is to the desired route.
• Remind students that effective counterproposals (states what you can do or offer) or the “silver
lining” (provides a thought that turns the discussion back in a positive direction) approach are
the best approach to continuing customer loyalty. Customers satisfied with the handling of a
bad-news situation and with the offered counterproposal will be the customers who return to a
business.
Closing Positively
• Discuss techniques for writing the closing paragraph.
o De-emphasize the negative
o Unify the message
o Include a positive, forward-looking idea
▪ Reference pleasant idea from discussion
▪ Use resale or sales promotion
▪ Express willingness to help in another way
• Have students work in pairs or small groups of 3 to study the approaches used in the closing
paragraphs in the model documents in the chapter.
• Summarize the discussion of techniques for developing the sections of a bad-news message by
asking students to recall an incident when they received or communicated a disappointing
message. Did the sender apply the principles presented in the chapter? Lead them in a discussion
of ways the message could have been improved.
 Because each of the five sections of a bad-news message poses unique challenges,
the class can benefit from concentrating on certain portions of messages. For
example, after a writing problem is defined, students in certain parts of the
classroom could write the first sentence; others, the explanation; others, the refusal
sentence; and others, the final sentence. Sentences could be collected and some
selected for reading aloud or displayed.
 As a writing assignment, students write individual sentences or paragraphs instead
of an entire bad-news message.
Prepare messages refusing requests and claims.
Types of Bad News Messages
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• Introduce all the types of bad news messages.
• Remind students that determining whether a message is bad news focuses on perceived reaction
to the message.
Refusing a Request
• Discuss successful refusals for requests/favors.
• Point out that refusing employee requests is just as important as refusal letters that must build
customer goodwill. The same type of sensitivity and honest explanations are needed.
Prepare messages handling problems with customers’ orders and denying credit.
Maintaining Goodwill and Customer Loyalty

• Discuss the challenge of refusing customer claims while maintaining goodwill and developing
customer loyalty. Ask students why the inductive approach is helpful in this situation. The
inductive approach softens the bad-news by explaining the refusal and increasing customer
understanding.
• Emphasize the importance of tone in customer in customer refusals.
Denying a Claim
• Discuss the general sequence of ideas in an adjustment refusal.
• Ask students to critique and/or revise the poorly written claim denials from examples in the book
or one the instructor provides.
Resale Material while Building Goodwill and Loyalty

• Lead a discussion of possible reasons for not being able to send merchandise that has been
ordered.
• Discuss the need to include sales promotion or resale information in the refusal to promote
future sales or the image of the company.
• Stress that the inductive outline is recommended to minimize the customer’s disappointment and
including resale is important to build customer loyalty and retain goodwill.
Denying Credit
• Emphasize the legal implications involved in refusing credit and the importance of having legal
counsel review credit refusal letters.
• Review the requirements of the Equal Credit Opportunity Act (ECOA).
• Emphasize the value of resale in a credit refusal letter.
Prepare messages providing constructive criticism, communicating negative organizational news,
and responding to crises.
Delivering Constructive Criticism

• Emphasize that writing messages that point out negatives is a part of civic responsibility.
However, the motive should be to help; vindication is not a legitimate motive.
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• Discuss the content and style of constructive criticisms. Emphasize the legal and ethical
implications in a good example. Ask students to respond to the following questions:
 What is the sender’s motive in preparing the letter? Is it to vent anger or help the
customer?
 What writing techniques were used to ensure that your motives are genuine?
 What is gained from positive and negative points?
 Why were details of specific behaviors and incidents necessary? Explain the
guidelines you will use for selecting information to include in constructive
criticisms that you deliver.
Communicating Negative Organizational News

• Discuss the importance of internal communication as contributing to employee morale and
overall customer service—if employees are happy, customers will tend to be happy.
• Consider the company that does not keep employees informed of upcoming meetings, changes
in policies, etc. How can these employees communicate effectively with clients or vendors
without enough information?
• Compare employee morale to customer goodwill in terms of their importance and their fragile
nature.
• Remind students that regular communication with employees via staff meetings, an
organizational newsletter, or chat opportunities with company management will aid during times
where management must convey negative messages about an organization.
• Lead students in a discussion of occasions when memorandums and email messages are
appropriate and inappropriate means of communicating bad news.
CLASSROOM ACTIVITIES
1. Appropriateness of the Inductive Outline: In pairs, describe either a personal or business-

related situation you faced in which you had to share bad news with someone. How did you
structure your message? What channel did you use for sharing the news? Was your strategy
effective?
Responses will vary. Students should focus on the need for inductive outline except in the special
circumstances. They should also consider the points regarding channel choice. If time permits
following the small-group discussion, ask a spokesperson from each group to summarize the results
of the discussion. This topic could also lead to the presentation of an oral report.
2. De-emphasizing Negative Ideas: Prepare a list of techniques for de-emphasizing a refusal.

Provide an example of your own for each technique.
Students should list the techniques for de-emphasizing bad news shown on the lecture slide. The
exercise will be an excellent review of these techniques before students prepare an assignment for a
grade.
3. Determining Appropriate Sequence of Ideas: Deductive or Inductive: Identify whether each of

the following messages should be written deductively or inductively based on the receiver’s
likely reaction to the message.
Message Answer
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a. A message from a customer service manager saying no to a customer’s third request
Deductive
for a refund that was previously denied.
b. A message from a company president to reject a contract proposal offered by an
Inductive
international business partner whose cultural style is direct and forthright.
c. A message refusing a customer’s request to reduce his monthly payment for Internet
Inductive
services. He contends busy signals prevented him from connecting most of the time
d. A message from an automobile dealer informing a customer that the delivery of a
Inductive
custom-order vehicle will be delayed two months.
e. A message from an appliance manufacturer authorizing the replacement of an under-
Deductive
the-counter ice machine that is still under warranty.
f. A message from a human resources manager refusing an employee’s request that the
manager “fudge” to a lender about his reported income to help him qualify for a home Inductive
loan.
g. A message from a financial planner apologizing for not placing an order to buy mutual
Deductive
funds for a customer.
h. A message from the chief financial officer of a local business agreeing to serve on a
Deductive
fund-raising committee for a community service organization.
i. A message extending appreciation for the outstanding work of a consulting firm that
Deductive
spearheaded your successful effort to obtain ISO 9000 certification.
4. Choosing an Effective Channel: For each of the situations in the previous activity, decide
which communication channel would be most appropriate. Explain your reasoning.
Situation Channel
a. A message from a customer service manager saying no to a Mailed Letter because of the
customer’s third request for a refund that was previously denied. amount of requests the customer
has sent. You made need written
proof of refusal.
b. A message from a company president to reject a contract proposal Mailed Letter or email. Foreign
offered by an international business partner whose cultural style is business partners receive email
direct and forthright. more quickly, but the situation may
call for a more formal refusal.
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c. A message refusing a customer’s request to reduce his monthly Reply with the same format in
payment for Internet services. He contends busy signals prevented which the message was received for
him from connecting most of the time the customer’s convenience.
d. A message from an automobile dealer informing a customer that Phone call or email. The customer
the delivery of a custom-order vehicle will be delayed two expects the vehicle soon and
months. expects a phone call upon arrival,
making this the most appropriate
channel.
e. A message from an appliance manufacturer authorizing the
Email or mailed letter. Response to
replacement of an under-the-counter ice machine that is still under
a routine request is fairly informal.
warranty.
f. A message from a human resources manager refusing an Mailed letter. Sensitive situation
employee’s request that the manager “fudge” to a lender about his involving management and an
reported income to help him qualify for a home loan. employee requires written evidence.
g. A message from a financial planner apologizing for not placing an Mailed letter to imply sincerity and
order to buy mutual funds for a customer. repair customer relations.
h. A message from the chief financial officer of a local business Mailed letter. Provides written
agreeing to serve on a fund-raising committee for a community message as a reminder of his
service organization. engagement.
i. A message extending appreciation for the outstanding work of a
Mailed letter to imply sincerity and
consulting firm that spearheaded your successful effort to obtain
provide a written copy of gratitude.
ISO 9000 certification.
j. A message acknowledging shipment of an order and extending Email or mailed letter. Form letter
credit to a first-time customer. would be most appropriate for this
routine message.
5. Writing Inductive Openings: Revise the following openings so that they are inductive.
a. Because your all-in-one printer did not show any defects in workmanship until three
months after the warranty expired, we cannot honor your claim.
b. We received many applications for this position, but an internal candidate was selected.
c. Dampier Enterprises cannot participate in the Magnolia Charity Benefit this year.
d. This letter is in response to your complaint of April 9.
e. Company policy does not allow me to approve the proposed transaction.
a. We’re pleased that you’re an owner of the new all-in-one printer. . . . (from positive
beginning, discuss the warranty and how it is good for a certain amount of time. Then
deliver the bad news.
b. Thank you for your interest in working for our company. We had many internal as well
as external candidates. . . . . (After establishing rapport, indicate reasons for hiring an
internal candidate and qualifications of hired candidate.)
c. We want to commend you for the work of the Magnolia Charity in helping the
community. In past years, Dampier Enterprises has been a proud supporter of the
charity benefit. . . . (Provide justification of why the company can’t support this year
but hope it can in the future.)
d. Thank you for taking the time to write to us. Your letter of April 9 provides us with
valuable feedback. . . . (Go on to discuss specific feedback of the letter.)
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e. Thank you for your request to approve the proposed transaction. . . . (Discuss the
importance of the transaction and the place of company policy.)
6. Revising for Positive Tone: Revise the following refusal sentences to ensure positive tone.
a. We cannot accept an application sent after May 9.
We gladly accept all applications submitted through May 9.
b. Employees cannot smoke in the building.

Employees may smoke in any designated smoking areas outside of the building.
c. I am sorry, but we cannot be responsible for the service charges on your car; the
damage occurred at the dealership, not our factory.
Any service charges can be handled best at the specific dealership where damage
occurred.
d. Your request for transfer to the London office has been denied.
We feel your skills are needed and best used in your current assignment.
7. Denying an Employee’s Request: Analyze the following email. Pinpoint its strengths and
weaknesses and then revise the email as directed by your instructor.
Your desire to participate in this fund-raising activity is admirable, but we must refuse to support
your relay team. Ashland Industries does not have any specific rules in place to handle this
particular situation, but as the president it is my responsibility to safeguard expenditures of this
type. Six hundred dollars is a lot of money. Perhaps you should consider raising the money
yourself. If you have questions about this decision, please contact your data control manager for a
copy of our corporate policy on charitable contributions.
A summary of organization, content, and style errors follows:

Organization
• States the bad news before presenting the reasons for the refusal (deductive rather than
recommended inductive approach for bad-news messages).
Content
• Uses negative and condescending tone throughout.
• Refers reader to policy on charitable contributions but previously states the company has no
rules for this request.
• Gives no alternative suggestions Gives no indication of desire to continue to work with the
reader.
Style
• Uses overly informal language and also misspells the word (“a lot”).
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8. Denying a Request: Analyze the following letter. Pinpoint its strengths and weaknesses and then
revise the letter as directed by your instructor.
Dear Kyle:
I am pleased and honored to have been asked to serve as treasurer of the United Way campaign
for the coming year.
However, I regret to inform you that I cannot accept this position. Don’t take this personally as it
is my personal policy to refuse all nominations. The demands of my accounting practice keep me
on the road an enormous amount of time, and you must understand that sleep is a luxury during
the notorious “busy season” for accountants.
Once again, I appreciate the confidence you have placed in me but am sorry that my plate is
much too full to accept this outstanding service opportunity. Please contact me in the future if I
can help in any way.

Organization
• Repeats bad news in closing paragraph.
Content
• Uses “however” as first word in second paragraph which may alert reader to coming bad-news
before explanation is offered.
• States that his sleep is more important than serving the organization.
• Chooses strong language in refusal (“I regret to inform” “I cannot accept” ).
• Offers alternative that seems less than sincere (“contact me in the future if I can help in any
way”).
Style
• Begins with “I.”
• Uses redundancy is with “pleased and honored.”
• Uses cliché (“my plate is much too full”).
• Misspells word (“notorious”).
9. Denying a Claim: Analyze the following letter. Pinpoint its strengths and weaknesses and then
revise the letter as directed by your instructor.
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I am sorry you were dissatisfied with the sports celebrity we subbed for your dedication
ceremony. Although you obviously feel your claim has merit, refusing to pay us is just not going
to work for us. Ms. Vonetta Flowers’ injury and hospitalization was out of our control—just not
our fault. We felt sure you would be overjoyed we came through with someone at the last minute.
Our contract states specifically that we would provide you a substitute; we did our part and we
expect you to do your part and pay us for our services.
We appreciate your business and hope that you will consider us the next time you need a sports
celebrity for a function.

Organization
• Does not give convincing details for the refusal.
Content
• Begins with “I” and an apology.
• Closes with an insincere sales promotion that does not offer any positive alternative.
• Expresses certainty when cannot be certain.
• Assumes no responsibility for outcome (“out of our control” “just not our fault”).
Style
• Seems accusatory (“obviously you feel”)
• Comes across as superior (“we did our part and we expect you to do your part”)
• Uses slang (“subbed” and “just not going to work for us”).
• Uses cliché (“We appreciate your business”).
10. Constructive Criticism: Analyze the following email. Pinpoint its strengths and weaknesses and
then revise the email to the director of the Pink Ridge Golf Academy as directed by your
instructor.
As an avid golfer, I am always looking for anything that will help me improve my game. After
talking with your staff and reading your advertisements, I was convinced that attending your two-
day golf school would allow me to take my game to the next level. The instruction I received the
first day was acceptable; however, I regret to say that the second day I spent at your exclusive
golf school was a total waste of my time and $1,000.
On the second day I was assigned to Stan Campbell, the “remarkable” putting instructor you’ve
plugged in every ad I’ve seen, to receive a private lesson. Words can’t describe my disgust at his
incompetency and the total lack of common courtesy he displayed during the 18 holes of golf I
played. He rarely made comments or suggestions, even when I hit poor shots. In fact, he didn’t
watch several of my shots as he was too busy taking calls on his cell phone or gazing into space.
If you wish to stay in business, you should take immediate action to correct these shortcomings.

Organization
• Uses inductive outline; begins with a neutral idea.
• Repeats bad news in closing paragraph.
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Content
• Uses “however” in third sentence, which may alert reader to coming bad-news before
explanation is offered.
• Uses strong language in message (“I regret to say,” “a waste of my time”)
• Ends with a negative idea that might seem like a slap in the face.
Style
• Begins with “I”
• Uses cliché (“waste of my time,” “words can’t describe”)
REVIEW QUESTIONS & SUGGESTED ANSWERS
1. Explain the appropriate channel and outline for a message that conveys bad news. Under
what conditions would a writer be justified in choosing an alternate outline or channel?
The outline for bad-news messages is as follows: (a) begin with the neutral idea that leads to the
reason for the refusal; (b) present the facts, analysis, and reasons for the refusal; (c) state the refusal
using positive tone and de-emphasis techniques; and (d) close with an idea that shifts emphasis away
from the refusal. Using an alternate outline and placing a refusal in the first sentence may be justified
when (a) the message is the second response to a repeated request; (b) a very small, insignificant
matter is involved; (c) a request is obviously ridiculous, unethical, illegal, or dangerous; (d) a
writer’s intent is to “shake” the reader; (e) a writer-reader relationship is so close that satisfactory
human relations can be taken for granted; or (f) the writer wants to demonstrate authority.
When possible, bad news should be conveyed face-to-face because this channel allows for
better feedback and nonverbal cues. However, using a face-to-face communication for bad news also
provides the opportunity for the interaction to become about personalities instead of issues. Bad
news can be conveyed electronically or through snail mail when geographic location prevents face-
to-face interaction or when the sender is trying to disperse the personal implications for the
interaction.
2. What three functions does the first paragraph of a bad-news message serve? Does “i am
responding to your letter of the 25th” accomplish both of these functions? Explain.
The first paragraph (a) lets the receiver know what the letter is about (without stating the obvious)
and (b) serves as a transition into the discussion of the reasons (without revealing the bad news or
leading the receiver to expect good news). The stated sentence does not accomplish either purpose; it
is an empty acknowledgment.
3. Discuss how a counterproposal and implication can be used to de-emphasize the bad-news
statement to assist a communicator in achieving the human relations goal of business
communication.
A counterproposal is an alternative to the action requested. It is an expression of empathy and

goodwill for the customer that seeks to strengthen and maintain positive, long-term relationships.
4. What objectives should the final paragraph accomplish? Should the closing sentence
apologize for action taken? Should it refer to the statement of refusal to achieve unity?
Explain.
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The final paragraph (a) de-emphasizes the unpleasant part of the message, (b) conveys some useful
information that should logically follow bad news, (c) shows that the writer has a positive attitude,
and (d) adds a unifying quality to the message. The closing sentence should not apologize for action
taken. Because valid reasons for the refusal have been provided, an apology is inconsistent. Why
apologize for doing what is right? The apology weakens confidence in the decision. The last
paragraph should bring a unifying quality to the whole message; however, restatement of the refusal
would only serve to emphasize it.
5. In which part of a refusal message would resale and sales promotional material be most
appropriate? Explain.
A refusal may begin with a resale statement about the product. Sales promotional material would be
most appropriate in the final paragraph (or even in a postscript). In earlier paragraphs, it would be
confusing.
6. Discuss the legal implications involved in writing credit refusals.
The Equal Credit Opportunity Act (ECOA) requires that the credit applicant be notified of the credit
decision within 30 calendar days. Applicants who are denied credit must be informed of the reasons
for the refusal and be reminded that the Fair Credit Reporting Act provides them the right to know
the nature of the information in their credit file. The ECOA also prohibits creditors from
discriminating against credit applicants on the basis of race, color, religion, national origin, gender,
and marital status.
7. What elements make criticism “constructive”?
Constructive criticism should (1) present facts, not opinions, (2) provide evidence to support claims
made, (3) use positive language when possible, and (4) provide possible solutions for the problems.
8. Why is the effective handling of negative information of such importance to a company?
Employees are seeking honest answers from management about critical matters related to the
organization. Morale is fragile, easily damaged, and difficult to repair. Managers who can
communicate negative information in a sensitive, honest, and timely way are successful in calming
employees’ fears and doubts and in building positive employee relations.
9. Saying “no” is not difficult; the challenge is to do so while protecting goodwill. Explain the
rationale and signficance of this statement.
Giving a receiver bad news is generally easy when the sender does not care about the receiver’s
reaction or whether the receiver takes time to consider the reasons and explanations for the negative
response. The difficulty arises when a sender takes the time to consider the receiver’s reaction and to
convey the bad news as gently and positively as possible.
10. Frequent channels for delivering business messages include written, electronic, and face-
to-face means. What criteria would you use in selecting the appropriate channel for
delivering bad news?
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In selecting a channel for delivering any message, the sender should consider (1) the receiver’s
reaction to the message, (2) the need for the “personal touch,” (3) the need for a written record, and
(4) and the channel for the original message (for example, with customer orders).
FEATURED ASSIGNMENTS
1. Communication Success Stories: Conduct an electronic search to locate an article that deals
with successful negative communication in a company or organization. Prepare an abstract of
the article that includes the following parts: (1) article citation, (2) name of
organization/company, (3) brief description of communication technique/situation, and (4)
outcome(s) of the successful communication. As an alternative to locating an article, you could
write about a successful communication situation in the organization/company for which you
work. Be prepared to present your abstract in a memo and give a short presentation in class.
Daniel Pelling, a driver for Atwood Corp., sent the following email to the firm’s suggestion box:
***
Our manager informed us that you were looking for inexpensive ways of rewarding people who
receive the employee-of-the-month award. I believe you should give that person the week off with
pay. You’re going to pay the person anyway and the rest of us will work just a little harder to cover
for that person.
Discuss Internet search strategies for the assignment. For instance, talk about full-text databases
available online through your library. Discuss key words for searching; for instance,
“communications” will produce many hits, but narrowing it by using words such as “public
relations” or “successful” will limit more closely to the desired subset of articles. Evaluate abstracts
for completeness and correctness of language and citation.
2. Rejecting an Employee’s Suggestion: Read the following scenario and complete the related
exercise.
As the chief executive officer, write an email message to Daniel Pelling rejecting his idea. Although
you applaud his willingness to work a little harder, you are not sure that all employees would share
his commitment. In addition, your human resources director pointed out that many employees work
in unique jobs where vacation time must be planned in advance to keep the business operating
efficiently.
Responses should be inductive, have a counterproposal, and thank Daniel sincerely for his input to
encourage further communication.
3. Bad-News Speeches: Refer to a recent political or business event in which bad news was
shared and prepare a written critique that includes (1) an assessment of the effectiveness of the
message and the manner in which it was delivered, (2) an analysis of the results, and (3) a
summary of what you learned from your analysis. Be prepared to share your critique with the
class in a brief presentation.
Student content will vary. Evaluate informally based on grammar and grasp of the application of
inductive sequence
15
4. Critique of Bad-News Messages Produced by Real Companies: Locate an example of both a
well-written and a poorly written bad-news message and analyze the strengths and weaknesses
of each document. Prepare a visual of each and present your critique to the class.
Student content will vary.
5. Loan Denied for Poor Credit Customer: Assemble in groups of three to four and read the
following scenario and complete the related exercise.
Having decided to build an addition to their home, Larry and Alice Sherman made an application
for a $35,000 loan from a finance company. A consumer credit report revealed a consistent
record of slow payment. On several occasions, they paid only after forceful attempts at collection.
As branch manager of the finance company, you have invited the Shermans to come in to discuss
the refusal.
As a group, develop a voice script explaining how you intend to deliver this negative news to your
customer.
Each group’s script should follow the deductive outline (follows).

I. Neutral opening to start conversation
II. Explain the problem
III. Provide alternative solution
IV. Cordial closing
ADDITIONAL ASSIGNMENTS
1. Training for Employee Sensitivity: a Priority at Wilson Street Grill: Read the following
scenario, then complete activities a through c.
The Wilson Street Grill in Madison, Wisconsin, is one of many restaurants that have successfully
hired employees with mental disabilities. The federal Americans with Disabilities Act (ADA)
prohibits employers from discriminating against disabled job applicants and employees in businesses
with 15 or more employees. Many hotels and restaurants have found that employees with disabilities
are often excellent employees who work hard and care about their work. The rate of turnover for
workers with mental disabilities is often lower than the turnover among high school and college
students employed at these same restaurants.
The Wilson Street Grill is no exception; more than one third of its employees have a disability. All
new employees receive orientation and training, which includes information on working effectively
with those who have disabilities. It is important that employees understand the issues of
discrimination and how the ADA law impacts the employees at the Wilson Street Grill. New
employees are supervised and mentored on a regular basis so that they can work effectively with the
current staff.
As manager of the Wilson Street Grill, you recently hired Jonathan, who completed his orientation a
month ago. He regularly works with Sue, a mentally disabled employee with Down syndrome who
has been an excellent employee for two years. Jonathan appears to be patient with the other
employees who have disabilities, but seems easily frustrated with Sue. Jonathan has refrained from
16
speaking rudely to her in public, but his general behavior communicates a very negative attitude.
You recently observed a negative communication exchange between Jonathan and Sue. Jonathan
often responds to Sue’s questions by ignoring her or giving her terse answers. He has rudely
interrupted her conversations with fellow employees on numerous occasions. Often when she starts a
routine task, he takes over and does it for her. He refuses her efforts to help him learn certain tasks.
Sue has not complained to you, but she has talked to other employees about the problems with
Jonathan. As the manager of Wilson Street Grill, you need to warn Jonathan about his unacceptable
behavior and provide constructive criticism.
a) Write a memo to Jonathan that will be placed in his personnel file. The memo should adequately
warn Jonathan about the consequences of his behavior and should contain relevant facts to
explain the law. Visit your campus library to complete additional research on the Americans
with Disabilities Act so that you understand how this law impacts management.
b) Develop a voice script that could be used by the manager for delivering this warning and
constructive criticism to Jonathan. Your instructor may ask you to role play your conversation
with another student in the class.
Student responses will vary but should follow these guidelines:
(1) Remind Jonathan that The Wilson Street Grill has a history of providing excellent work
opportunities to employees with physical and mental disabilities. Currently more than a
third of the workers have disabilities. Generally, these workers effectively perform tasks
and have good attitudes toward their jobs. The Wilson Street Grill has created an
environment that helps those with disabilities succeed.
(2) Review the federal Americans with Disabilities Act with Jonathan. The importance of
observing this law was discussed at his orientation. Identify his specific actions that
could be interpreted as discrimination against employees with disabilities. Warn
Jonathan of the consequences of his negative behavior which could result in dismissal.
(3) Suggest that he observe how other employees relate positively to their co-workers who
have disabilities. Provide him with written material and a video that provide additional
examples of discriminatory behavior. Conduct a follow-up review in 30 days.
c) In a small group, produce a short video presentation that could be shown to new hires at The
Wilson Street Grill on working with those who have disabilities.
The video might start with a short bulleted list that explains the highlights of the Americans with
Disabilities Act. Then demonstrate how this act affects employees at The Wilson Street Grill.
Using role-play between co-workers, depict several common situations that might occur on a
daily basis. Present an example of negative interaction with employees who have disabilities.
Follow each of these examples with a scene showing the appropriate interaction that should have
occurred. End the video with the engaging facts and case stories about how the restaurant has
successfully employed workers with disabilities.
2. Employee Bad News: An Employee Video/Computer Lounge: Read the scenario below before
completing the related writing activity that follows.
Employees have requested the construction of a video/computer lounge where employees can
relax and check on personal email and computer work during their breaks. Write a short memo
denying this request. Consider a counterproposal or alternative idea to the employees’ request.
17
Example of Poor Response
Subject: No Employee Video/Computer Lounge
How can you even consider asking for our company to fund a video game/computer lounge
for employees?! Our employees are here to work, not to play.
Allowing our employees time with video games and unmonitored computer use goes against
every management principle I’ve ever learned. Employees should conduct their personal
computer business on personal time and use their spare time at home to play video or
computer games. An office is for work, not play. Besides, the cost of installing a separate
area for these video breaks would be exorbitant. Our vice president would never agree to
spend money on this right now.
I will try to convince management to allow a fifteen-minute time frame every day for
personal Internet use within certain parameters, but you should not get your hopes up.
Weaknesses in response:
• Reveals refusal in subject line
• States refusal before explanation
• Uses negative language and condescending tone without giving com-plete explanation for
refusal
• Offers possible alternative, but reluctant tone seems insincere
Improved Response:
Subject: No Employee Video/Computer Lounge
How can you even consider asking for our company to fund a video game/computer lounge
for employees?! Our employees are here to work, not to play.
Allowing our employees time with video games and unmonitored computer use goes against
every management principle I’ve ever learned. Employees should conduct their personal
computer business on personal time and use their spare time at home to play video or
computer games. An office is for work, not play. Besides, the cost of installing a separate
area for these video breaks would be exorbitant. Our vice president would never agree to
spend money on this right now.
I will try to convince management to allow a fifteen-minute time frame every day for
personal Internet use within certain parameters, but you should not get your hopes up.
Josie, in response to your idea, I have submitted a request to management that we consider
adding an “e-break” to our company Internet policy that will allow employees to use the
traditional 15-minute coffee break time to conduct personal business on their computers or
play short games likes Solitaire or Minesweeper. The article you sent me last month
provided some good research to support this idea. Let’s see how this goes, and we will
revisit the employee video game/computer lounge idea in the future.
Improvements in response:
• Cushions bad news with sincere compliment for suggestion
• Transitions to reasons and provides complete explanation for refusal
• Restates reason for saying “No” and offers counter-proposal to de-emphasize refusal
18
3. Constructive Criticism: Food Critic Gives Restaurant Thumbs Down: Read the following
scenario, then develop a full sentence outline below.
One of the Downtown Disney restaurants in Orlando, Florida, is Bongos Cuban Café created by
Gloria Estefan and her husband Emilio. Like many Disney restaurants, Bongos Cuban Café hires
international college students as part of the Disney College Program at the Walt Disney World
Resort. Food and beverage servers in these restaurants must have the ability to work in a fast-
paced environment and prior experience in the restaurant industry. Similar to servers in most
restaurants, these international students take menu orders, refill beverages, carry food and drink,
bus tables, and handle payment.
Angelica is a new server from Brazil who has worked for a month at the Disney location of
Bongos Cuban Café. Although Angelica seems to communicate well with customers, the
manager of the restaurant has received several verbal complaints from customers about her
service. Most recently, an irate customer sent a letter complaining about the bad service at the
restaurant. Although Angelica was the server for this customer, not all of the problems mentioned
in the letter were her fault. The customer was served on New Year’s Eve when several servers
called in sick; therefore, service was very slow. The restaurant ran out of iced tea during
lunchtime, and the customer could not get any refills. The customer ordered a menu item that was
not available, and orders were served to the wrong party at the table. The customer requested a
credit on the bill for the iced tea, which the management approved, but the final bill was
incorrect.
In the letter, the customer demands a credit for the cost of the total bill, which is about $120 for
the party of four. Most important, the customer is a food critic for a travel magazine and has
enclosed a copy of the negative review he wrote for your restaurant. Since the restaurant is on
Disney Resort property, it is especially important that customers have a good dining experience.
It is an expensive restaurant, and because of the location and the cost, people expect great food
and excellent service. As the restaurant manager, your job involves ensuring that your staff
provides this quality. You need to discuss with Angelica the problems that have been identified
by customers who have complained about her service. You also need to decide how to respond to
the customer complaint.
Student responses will vary, but a sample outline appears below:

I. Start the conversation with a neutral or positive opening.
A. A neutral opening may include acknowledging the challenge of serving customers
during peak tourist season.
B. A positive opening may start with good comments about Angelica's work performance
during her two months of employment. Customers have commented on her friendliness
and positive attitude. Point out the strengths she brings to her job.
II. Emphasize the important qualities of good restaurant service.
A. Remind Angelica that this includes efficient service, attention to customer requests,
accuracy in taking orders and tabulating bills.
B. Remind Angelica that the restaurant is on Walt Disney World Resort property and that
customers expect excellent food and service.
III. Provide additional training for Angelica.
A. Provide specific instructions on how Angelica should take orders, serve food and
beverages, and tabulate bills.
B. Assign her to "shadow" another server for a day.
19
IV. Summary
A. Set specific performance goals that you will evaluate in one month.
B. Ask if she has any questions.
4. Adjustment Refusal: No Sympathy for Bank Customer with “Bounced Checks”: Read the
scenario below then complete the written activity that follows.
Banks that are located near universities frequently compete with each other to attract college
students as customers. These banks may offer many services that are attractive to students, such as
free checking, lower required account balances, convenient ATM locations on campus, longer hours,
student loans, and credit cards. The banks tailor services to the college student market.
Many college students may be opening a checking account for the first time. Often these students
may not understand the responsibilities of handling a checking account or may fail to read the
information that is provided by the bank at the time the account is opened. Careless errors,
inaccurate recordkeeping of transactions, and failure to balance a checking account can be a costly
error for anyone, particularly a college student on a limited budget.
Rachel is a new college freshman, living away from home for the first time. She has opened
a checking account with Regions Bank. During the first two months of the semester, she wrote
checks for many purchases and used her debit card for cash withdrawals; she accurately recorded all
these transactions in her checkbook. Now busy with classes and college activities, she became more
careless, and didn’t take time to record withdrawals or to balance her checking account. On a visit to
deposit a check in the bank she received a record of her balance to date which showed that she had
money in her account. During the next few days, she used her debit card for several meals out with
friends and wrote checks to pay for various items. She then received notice that 10 of these
transactions had “bounced.” The fee for each insufficient funds notice was $27. She has gone to the
bank requesting that the fee be waived. The “balance to date” did not include several outstanding
checks that were credited to her account the next day.
Activity: As the customer service manager, compose a letter to Rachel denying her request to waive
this fee for checks with insufficient funds. Conduct research necessary to recommend a plan for
protecting against future insufficient fund fees.
5. Adjustment Refusal: Airline Passenger Struggles with Online Ticketing: Read the scenario
below, then respond to the customer in question with an email that explains the problem and
proposes a solution.
Most airline passengers who travel frequently are accustomed to booking their flights online using
one of the many available websites, such as Orbitz.com, Travelocity.com, Expedia.com, and so on.
These websites provide access to detailed flight information, including costs. Customers
conveniently make an airline reservation, pay for it, and receive a boarding pass prior to departure.
Frequent fliers find that online ticketing services often save them money and time. The sites are
user-friendly and relatively easy to navigate; users follow the step-by-step directions carefully and
submit the appropriate information for the transaction to be completed. People who use these sites
quickly become familiar with how they work; however, problems can occur for travelers who are not
computer literate, who fly infrequently, and who are booking flights online for the first time.
You are a reservation agent for U.S. Airways and frequently handle calls from novice users
of online sites. Today you receive a call from a customer who is frantic and complains that she
20
cannot print a boarding pass for the flight she has “booked” using Travelocity.com. The flight is
scheduled to depart for Florida, a popular winter destination, within 24 hours. By making airline
reservations six weeks ahead of scheduled departure, the cost was less than $300. The customer is
unable to recall if she received an email from Travelocity.com with the confirmation number of her
reservation. After checking the reservation system, you discover no reservation for this person.
Apparently, she did not complete the online reservation and properly submit the information as she
cannot find any charges for the ticket on her recent credit card bill.
Responses will vary but should follow these guidelines:

V. Neutral opening to start conversation
A. Acknowledge that online reservation systems can sometimes be confusing when
passengers first use them.
B. Remind the customer that each online service has slightly different instructions, and it is
important to complete all steps in the proper sequence.
C. Inform her that all online reservation systems send a follow up email with a reservation
confirmation number. This email is the customer's documented record of the flight
reservation.
VI. Explain the problem
A. Tell the customer that the reservation system does not list her as a ticketed passenger
and that she will have to book a new flight.
B. Empathize with her frustration and assure her that you'll find her another flight, although
it will cost more.
C. Remind her that it is peak travel time and that the main goal is to find a flight to the
desired location in time for the holidays.
VII. Provide alternative solution
A. Find another flight at the best available price.
B. Complete the new reservation
VIII. Cordial closing
A. Wish her a safe flight and happy holidays.
B. Remind her to check her email for confirmation of future online reservations.
CASE ASSIGNMENT
ANONYMITY IN CYBERSPACE
Do you have a right to anonymity in cyberspace? Should you have this right? Two current views
prevail about the right of anonymity. One view sees it as limiting the free flow of information; by
having a wealth of information available, people can communicate, shop, and conduct business with
ease. Access to information allows you to find a friend’s email address that you had forgotten or to
track down an old friend in another city. The opposing view sees the right to anonymity as a
protection of individual privacy; without anonymity, unidentified parties can track where you go in
cyberspace, how often you go there, and with whom you communicate. At the present time, you are
typically required to reveal your identity when engaging in a wide range of activities. Every time
you use a credit card, email a friend, or subscribe to an online magazine, an identifiable record of
each transaction is created and linked to you. But must this always be the case? Are there situations
where transactions may be conducted anonymously, yet securely? Several methods currently exist
for surfers to protect their anonymity in cyberspace:
• Anonymous remailers: A completely anonymous remailer, or chain remailer, sends mail
through remailing locations. Each location takes the header information off the mail and sends it
21
to the next location. When the mail gets to its final destination, the recipient has no idea where
the mail originated. What makes the system truly anonymous is that the remailing locations that
the message goes through typically keep no records of the mail that comes in or goes out. This
procedure makes the mail impossible to track.
• Pseudo-anonymous remailers: These single remailers work similarly to the chain remailer. The
mail is sent to a remailing location, the header information is stripped at this site, and the mail is
forwarded to its final destination. As with the chain remailer, the recipient has no idea where the
mail originated. What makes the single remailer pseudo-anonymous is the fact that single
remailers typically keep records of the mail that comes into and goes out of their systems. This
procedure makes the mail traceable.
• Pseudonymity: This process consists of sending mail through cyberspace under a false name.
Like the single remailer, the recipient will not immediately know who the mail came from, but
the mail is completely traceable.
• Anonymizer website: By visiting http://www.anonymizer.com, you can learn how to stop any
specified website from gathering information on you. When you use the anonymizer software to
access a particular website, the anonymizer goes to that website for you, grabs the information,
and sends you the information from the site. As far as the website knows, it has been contacted
only by the anonymizer website. This secures your transactions and keeps “nosy” websites from
gathering information on you.
In spite of consumer interest in protecting anonymity, the federal government opposes total
anonymity due to legitimate interests that are at stake. If total anonymity existed, the government
would be unable to track down people who use cyberspace to violate the laws of libel, defamation,
and copyrights.
Sources:
* M Kim, "The Right to Anonymous Association in Cyberspace: US Legal Protection for Anonymity in Name, in Face,
and in Action", (2010) 7:1 SCRIPTed 51, http://www.law.ed.ac.uk/ahrc/script-ed/vol7-1/kim.asp
* Makeever, J.J. (1996, October 3). Privacy and anonymity in cyberspace. A law of cyberspace?
http://host1.jmlx.edu/cyber/1996/r-priv.html.
Activities
1. Locate an article on the issue of online anonymity. Print out the article and prepare a two-page
abstract that includes the following sections: (1) reference citation, (2) overview, (3) major
point, and (4) application.
This activity gives students the opportunity to practice their abstracting skills. Evaluate the
assignment according to the adequacy of coverage in the four sections and accuracy in grammar,
punctuation, and writing style.
2. Prepare a chart that summarizes the advantages and the disadvantages of online anonymity.
Advantages included in the chart may include protection of individual privacy, protection against
electronic tracking, and freedom of expression due to undisclosed identity. Disadvantages may
include inability to locate parties electronically, hindrances to online shopping, and irresponsible
online behavior due to lack of identity.
22
3. Take a position on the anonymity issue, either to support the right to anonymity or to defend the
need for identification. In writing, present a defense of your position, giving reasons and/or
evidence.
Advantages and disadvantages identified in Activity 2 can be expanded into reasons for the position
taken.
23

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IN THIS CHAPTER, YOU WILL FIND:

TERM PAGE TERM PAGE

7-1 Choosing an Appropriate Channel and Organizational Pattern 109

1. Delivering Bad-News Messages

Using the Inductive Approach to Build Goodwill

Choosing an Appropriate Channel and Organizational Pattern

Channel Choice and Commitment to Tact

Use of the Inductive Approach to Build Goodwill

Exceptions to the Inductive Approach

Developing a Bad-News Message

Writing the Introductory Paragraph

Writing the Bad-News Statement

Offering a Counterproposal or “Silver Lining” Idea

Types of Bad News Messages

Maintaining Goodwill and Customer Loyalty

Resale Material while Building Goodwill and Loyalty

Delivering Constructive Criticism

Communicating Negative Organizational News

1. Appropriateness of the Inductive Outline: In pairs, describe either a personal or business-

2. De-emphasizing Negative Ideas: Prepare a list of techniques for de-emphasizing a refusal.

3. Determining Appropriate Sequence of Ideas: Deductive or Inductive: Identify whether each of

b. Employees cannot smoke in the building.

A summary of organization, content, and style errors follows:

A summary of organization, content, and style errors follows:

A summary of organization, content, and style errors follows:

A summary of organization, content, and style errors follows:

REVIEW QUESTIONS & SUGGESTED ANSWERS

A counterproposal is an alternative to the action requested. It is an expression of empathy and

6. Discuss the legal implications involved in writing credit refusals.

7. What elements make criticism “constructive”?

8. Why is the effective handling of negative information of such importance to a company?

Student content will vary.

Each group’s script should follow the deductive outline (follows).

Student responses will vary but should follow these guidelines:

Student responses will vary, but a sample outline appears below:

Responses will vary but should follow these guidelines:

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