Business Communication & IT

Application
B.Com. First Year, Second
Semester
Prepared by
Dr. Arvind Rayalwar
Assistant Professor
Department of Commerce, SSM Beed
Unit I
Meaning
1. The word communication has been derived from
the Latin word 'communis' that means ‘common’.
2. Communication is the process by which people
can exchange meanings, facts, ideas, opinions,
news or emotions.
3. It is an art of exchanging opinions, thoughts,
facts and ideas in an emphatic manner.
Definitions of Communication
‘The communication can be defined as the process
through which two or more persons come to exchange
ideas and understanding among them. ‘
The definition involves two aspects in communication:
 There is something, which is ‘transmitted’,
such as, facts, feelings, ideas, etc.
 ‘Understanding’
Some definitions of Communication.
1. T.S. Mathews – “Communication is something so simple
and difficult that we can never put it in simple words”
2. Keith Devis – “Communication is the process of passing
information and understanding from one person to
another.”
3. W.H. Newman and C.F. Summer Jr - “Communication
is an exchange of facts, ideas, opinions, or emotions by
two or more persons.”
4. Peter Little - “Communication is the process by which
information is transmitted between individuals and / or
organizations so that an understanding response results.”
Definitions continue..
5. Flippo & Gary M. Munsinger - “it is the act of
intercourse by words, letters, symbols or messages
and is a way that one organization member share
meaning and understanding with another.
6. Allen Louis – “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”
The definitions reveals that…
Communication is a process.
Two or more persons are involved.
There is something, which is ‘transmitted’, such as
facts, feelings, ideas, etc.
‘Understanding’ - from one person to another, in the
same sense in which the sender of the message wants
receiver to understand
It involves a systematic and continuous process of
telling listening and understanding”
Business Communication
Business Communication
Communication plays vital role in the life of
individuals, trade, commerce and business.
In the process of business management, manager
perform the various functions such as planning,
organizing, decision making, directing, coordinating,
controlling, motivating and leadership for aching the
business goals.
These functions cannot be discharged without
communication. It links superior to subordinate and
encourage mutual understanding among them for
achieving business goals.
Definitions of Business Communication
The process of transferring information from one person to another,
within and outside the business environment, is termed
as ‘Business Communication.’ 
The term ‘Business Communication’ is derived from general
communication which is associated with business activities.
In other terms, communication between business parties or people
for business-related tasks is considered as business communication.
William Scott defines business communication as
“Managerial communication is a process which involves the
transmission and accurate replication of ideas ensured by feedback
for the purpose of eliciting actions which will accomplish
organizational goals.”
Categorization of Business Communication
Internal Communication – The communication is
made between two or more persons, within the
business organization is called Internal
Communication. This communication is made through
issuing orders, instructions, policies, etc. from top
level managers to bottom level workers, and problem
relating with their responsibilities, any complaints or
suggestions about functions of organization can be
pass from bottom side of organization to top
management.
External Communication – Communication of
business organization with the outside parties/ stack-
holders like customers, distributors, wholesalers,
suppliers, transporters, bankers, financial institutes,
Features of Communication
1. It Involves at least Two Persons
2. Message is a Must
3. Communication may be Written, Oral or Gestural
4. Communication is a Two Way Process
5. Its Primary Purpose is to Motivate a Response
6. Communication may be Formal or Informal
7. It Flows Up and Down and Also from Side to Side
8. It is an Integral Part of the Process of Exchange
 Objectives of Communication
The communication activity of an organization fall into
three broad categories:
1. Inter-organizational Communication: This takes place
within an organization. It takes place in the form of
orders, circulars, notices, emails, etc.
2. Intra-organizational communication: This takes place
between a business organization and people outside the
organization. It can take place in the form of company
presentations, advertisements, displays, project reports,
etc.
3. Personal communication: This communication is
undertaken without a specific objective. Personal
conversations, gossip, grapevine communication are
examples of personal communication.
Importance of Communication
1. Base for Action
2. Essential Element of Management Functions
3. Links Vertical Relations
4. Stimulates Initiative and Creativity
5. Increased Sound Human Relations
6. Build Meaningful Relationships Between Levels of
Management
7. Maintaining Public Relations
8. Aids of Motivation
9. Aids in Decision-Making
10.Provides Effective Leadership
Process of Communication
Communication simply means exchange of ideas &
information between two persons. A person sends a
message to another person and gets the response from
the receiver on the message. This whole phenomenon
can be explained as under.
Process of Communication
1. Sender’s thoughts:- The very first step in the process of
communication is generation of thought in the sender’s
mind. These thoughts may be about a request, order,
inquiry production or any other such activity.
2. Encoding / Message:- The thought generated in the
mind of sender is ambiguous and unable to be
communicated unless it is put into a receivable form.
This step is known as encoding where the sender
converts his thought into a message by means of a
language. For example, a sender thinks about having a
job. Now, he will put his thought on a paper. That is
called job application. In his way, his thought becomes a
message.
3. Transmission through media:- Once a thought is
converted into message, it should be transmitted to
the receiver through a suitable medium. This media
might be electronic media as T.V., E-mail, Mobile
Phone etc. or it may be print media like newspaper,
magazines, letters or merely sound that is transmitted
through the medium of air.
4. 4. Noise and Barriers:- While transmitting the
information to the receiver, the sender faces lots of
barriers. These noise and barriers are explained as
under:
i. On sender’s side:- Noise and barriers may take
place during the process of encoding. Some of
them may be caused by distraction, lack of
concentration, typing mistake, poor language etc.
ii. In the medium:- Some barriers are caused by
medium such as poor transmission on T.V. and
radio misprinting in newspapers etc.
iii. On receiver’s side:- The receiver can also create
certain barriers to the receiving of message such as
poor reading ability, emotions, lack of
concentration etc.
5. Decoding by Receiver:- Having received the
message form the sender, the receiver attempts to
understand and interpret the message. This process of
converting the language of message into thoughts is
known as decoding. For instance, the receiver, having
received job application, reads the application and
understands the message conveyed by the applicant.
6. Idea Received:- As soon as the process of decoding is
finished, the idea given by the sender is received by the
receiver. It means the thought that was generated in the
mind of sender has been transmitted to the mind of
receiver. In our example, the sender wanted to inform
the receiver about his thought of having a job. Now the
sender has got this idea.
7. Feed back:- Process of communication is incomplete
until the receiver responds to the sender. This response
may be negative, positive, or for further enquiry. It
means when the receiver of job application welcomes or
regrets the sender, the process of communication is
deemed to be complete.
Types of Communication
The thoughts, ideas, emotions, information, etc.
transfers between the people from the process of
communication.
This communication take place through various means
and ways like spoken words, written words, diagrams,
pictures or graphs and gestures.
These means and ways of transmission of ideas are
classified into two basic types of communication.
1. Verbal Communication
2. Non-Verbal Communication
Types of Communication
Verbal Communication
Verbal means ‘relating to or in the form of words’.
When any communication is done in the form of word
is called Verbal Communication. The verbal
communication is done by the word of mouth and a
piece of writing.
Verbal communication consists of words arranged in
meaningful patterns. To express a thought, words are
arranged according to the rules of grammar, with the
various parts of speech arranged in the proper
sequence. The message composed is then transmitted
in spoken or written form to the appropriate audience.
Verbal Communication
On this basis verbal communication has two broad
categories as follows
1. Oral Communication
In this type of communication, spoken language is
used as a medium of communication. It includes
speech, telephonic conversation, radio, television,
voice over internet. It is the process of expressing
information or ideas by word of mouth.
2. Written Communication
Any message exchanged between two or more
persons that make use of written words is called as
written communi-cation. In this communication
sender can expressed his view in written words.
Oral Communication
Definitions
• Ricky W. Griffin - Oral communication takes place
in face-to-face conversations, group discussions,
telephone calls and other circumstances in which
spoken word is used to express meaning.

• S. K. Kapur -Oral communication takes place when

spoken words are used to transfer information and
understanding form on person to another.
Oral Communication
Oral communication implies communication through mouth.
It includes individuals conversing with each other, be it
direct conversation or telephonic conversation.
Speeches, presentations, discussions are all forms of oral
communication.
Oral communication is generally recommended when the
communication matter is of temporary kind or where a direct
interaction is required.
Face to face communication (meetings, lectures,
conferences, interviews, etc.) is significant so as to build a
rapport and trust.
Examples of Oral Communication
staff meetings, business meetings and other face-to-
face meetings
personal discussions
presentations
telephone / mobile calls
informal conversation
public presentations such as speeches, lectures and
conferences
teleconferences or videoconferences
interviews
Advantages of Oral
Communication
Immediate Response: Whenever one needs an immediate
response, oral communication is useful. It offers the
advantage of elaborating, justifying or clarifying issues
within a short span of time since there is no intermediary
between the concerned parties communicating.
Increases Understanding: This enables all people
concerned to be on the same level for communication, it
increases understanding levels between the speaker and the
receiver.
Saves Time and Energy: This facilitates quick decision
making during conversations to all concerned by providing
opportunity for respond directly. It saves lot of time and
energy of concerned parties.
Save Money: Oral Communication helps to save
money spent on stationery and communication tools
since it happens between the concerned individuals in
a direct manner.
Increasing Public Speaking Skills: It enables the
speaker to groom his public speaking skills in terms of
body language, choice of words and confidence levels
while addressing a group of people.
Improving Motivation: It breaks the barrier between
different management levels in the organizations
bringing team players close to each other and increase
coordination, potentially improving motivation.
Personal Touch: It provides a personal touch to the
issue discussed. This makes interactions positive and
pleasant fostering a healthy climate in organizations.
Limitations/Disadvantages of
Oral Communication
Relying only on oral communication may not be sufficient as business
communication is formal and very organized.
Oral communication is less authentic as it is informal and not as
organized.
Oral communication is time-saving as far as daily interactions are
concerned, but in case of meetings, long speeches consume lot of time
and are unproductive at times.
Oral communications are not easy to maintain and thus they are
unsteady.
There may be misunderstandings as the information is not complete and
may lack essentials.
It requires attentiveness and great interest on part of the
receivers/audience.
Oral communication (such as speeches) is not frequently used as legal
records except in investigation work.
Written Communication
Written Communication is an another form of verbal
communication. Written Communication means, any message
exchanged between two or more persons that make use of
written words is called as written communication. In this
communication sender can expressed his view in written
words. It is a process of conveying a message through the
written symbols.
The written communication is the most common and effective
mode of business communication. In any organization, the
memos, reports, documents, letters, journals, job descriptions,
employee manuals, electronic mails, etc. are some of the
commonly used forms of written communication
Characteristics of Written
Communication
Formal type of Communication: Written communication is a
formal type of communication. Whenever there is need for formal
communication e.g. issuing orders, notices, deal with different
stakeholders, etc., is preferably took place the written mode.
Used for documentation: Written communication is mostly used
for documentation. In an organization, documentation of records
and decisions made from time to time are very important. For
instance, previous orders and decision can serve as guidelines for
future decision. Previous years’ reports are fund beneficial for
formulating new polices and fixing current targets. For this, it is
very useful to made it in written form. The written communication
acts as a permanent record of the organization and can prove very
useful for future reference. The content of written communication is
accepted as evidence in case of any lawsuits.
Useful for circulation of information: In the business
organizations, various information is to be circulates for
establishing coordination and control for serving
organizational objectives. The written mode of
communication makes it possible to circulate
information without distortions and misrepresentations.
Conventional by nature: For oral communication, there
are not many rules of grammar as there are for written
communication. Written communication is conventional
in the sense that it has to follow specific prototype of
language.
Physical Presence is not needed for sender and
receiver at the same time: It is an important feature of
written communication that physical presence is not
needed for sender and receiver at the same time. Only
sender or receiver of message is sufficient at a given
point in time, to continue the process of communication.
Needs Time: The sender takes his own time in
formulating and encoding the message because of it takes
quite some time to reach the receiver. The receive will
take his own time for decoding and understanding his
mind and responding to it.
Repeats the cycles: The written communication does
lead to repeated cycles of exchanging messages. But it
has fewer cycles than oral or face- to-face
communication. Oral messages get immediate response
that leads very often to further exchange of words. This
is not possible in written communication. Mostly it is a
one-cycle event.
A creative activity: Written communication is based on
conscious effort. It is a creative activity that requires a lot
of imagination and effort to arrive at the finished
product.
Advantages of Written Communication
Written communication helps in laying down apparent
principles, policies and rules for running of an
organization.
It serves as evidence of events and proceedings.
It is a permanent means of communication. The message
can be stores for an indefinite period of time.
Generally people are more careful with written word
than the spoken word. Thus the written communications
are more likely to be well considered, logical and clear.
And the message can be checked for accuracy before it is
transmitted. It reduces the probability of
misunderstanding and misinterpretation.
It is more reliable for transmitting lengthy statistical
data.
It appears formal and authoritative for action.
It assists in proper delegation of responsibilities. While
in case of oral communication, it is impossible to fix and
delegate responsibilities on the ground of speech as it can
be taken back by the speaker or he may refuse to
acknowledge.
Effective written communication develops and enhances
an organization’s image.
Disadvantages / Limitations of Written
Communication
Written communication does not save upon the costs. It
costs huge in terms of stationery and the manpower
employed in writing/typing and delivering letters.
Also, if the receivers of the written message are separated
by distance and if they need to clear their doubts, the
response is not spontaneous.
Written communication is time-consuming as the feedback
is not immediate. The encoding and sending of message
takes time.
Effective written communication requires great skills and
competencies in language and vocabulary use. Poor writing
skills and quality have a negative impact on organization’s
reputation.
Too much paper work and e-mails burden is involved.
It leads to excessive formality in personal relations.
2. Non-Verbal Communication
 Non-verbal communication plays an important role in our
daily life. More than 90% of all the communication is
supported by this way.
 Nonverbal communication is the process of sending and
receiving messages without using words, either spoken or
written.
 This refers to the communication that makes use of sign
language and body language understood by both the
parties. It is also called as manual language.
 Non-verbal communication conveys messages through
body movements and audio-visual signals.
 It helps to understand the mental and emotional state of the
sender and receiver, form impressions about attitudes and
behaviour of people
Non-verbal communication has following forms:
A. Body language (kinesics): Body language is the
language of body. This communication made through
the facial expressions, eyes, posture, gesture, physical
appearance etc. reflect our attitudes, emotions, mood,
positive or negative feelings, etc.
B. Para language: Para means ‘like’ and para language means
‘like language’. It is use of non-verbal communication, which is
similar to language. It is closest in meaning to verbal
communication. The verbal features that come with speech and
contribute to communication as verbal quality, loudness, and
tempo. Sometimes facial expressions and gestures also include.
C. Sign language: Sign language is a non-verbal form of
communication. Signs are the symbols that convey messages
through pictures and drawings. Almost 50 per cent of message
communicates through the signs.
D. Space language, time language and surroundings: The
space between the communicator and communicatee, the time
of sending and receiving messages and the physical
environment in which communication has take place are the
significant non verbal elements as verbal form.