Unit 2 - People in business (Good Communication) Flashcards
What is communication?
Communication is about sending and receiving information. It consists of:
- The Sender: Sends information.
- The Message: The information itself.
- The Receiver: Receives the information.
- The Feedback: The reply to the information.
How communication takes place in a business
Inside a business communication can be passed vertically and horizontally. These routes are called communication channels.
Downwards communication
Passing message from the top of the organisation to those at the bottom. Important because:
- Subordinates look to their managers for leadership and guidance.
- It allows the decisions made by management to be carried out by employees.
- It allows managers to command, control and organise.
Upwards communication
Passing messages from the bottom of an organisation to those at the top. Important because:
- Helps managers to understand the views and needs of subordinates.
- May make managers aware of problems.
- Helps staff to feel that they are valued.
- Provides managers with information to help make decisions.
Horizontal communication
Exchange of information between parties on the same level in an organisation’s hierarchy.
Internal communication
Communication between people inside the business.
External communication
Communication between the business and those outside such as customers, investors or the authorities.
Formal communication
Use of recognised channels when communicating.
Informal communication
Use of non-approved channels when communicating.
Importance of good communication in a business
If internal communication is poor, problems can arise. As a result, efficiency and profitability may suffer. Can lead to mistakes, wasted resources and result in confusion and lack of motivation. Poor external communication could make a business look foolish and result is money loss. Poor communication with outsiders could ruin the business’s reputation.
Effects of poor communication:
- Mistakes occur
- Cost rise
- Decision making slows down
- Staff motivation suffers
Face-to-face communication
When spoken information is exchanged between people who can see each other. It is effective.
Advantages:
- Allows immediate feedback
- Encourages cooperation
- Allows new ideas to be generated
- Save time
Disadvantages:
- Negative body language my create a barrier
- A record of the message may not be kept
- Non relevant information may be included
- In a meeting some people may not listen
- Limit to the number of people reached
Written communication
Variety of methods:
- Letters
- Reports
- Memorandums
- Forms
- Noticeboards
Letters
Written information. Flexible can be send to a variety of people. Can be record of communication and private information. Takes time and effort and some people have poor written skills.
Reports
Communicate important information in a formal manner. May be short, complex and detailed. Should be concise and carefully structured and presented. Take time to research and write.
Memorandums
Internal communication only. Short written notes containing brief messages and they are flexible.