Unit 1 MEE LMS MBA 22

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Effective Communication

Unit – 01
Dr. (Prof.)Tanu Shree Gulati
Sub Units
• Concept of Communication
• Importance of Communication
• Process of Communication
• Types of Communication
• Principles of Effective Communication
• Addressing the Barriers to Communication
• Technology and Business Communication
Overview
• Explaining the concept of Communication
• Definition
• Importance
• Types
• Process and Principles
• Importance of Communication in business
Learning Objectives

• Explain the concept of Communication


• Describe the importance of Communication
• Discuss the process of Communication
• List the types of Communication
• State the principles of effective Communication
Learning Outcomes
• Evaluate the application of Communication in Business
• Appraise the role of technology in communication
Introduction
• Communication is a process of sharing information between two or
more individuals to reach a common understanding.
• The word communication has been derived from the Latin word
“communis”, which means ‘common’
• Thus, Communication is a process of transmitting information,
thoughts, opinions, messages, facts, ideas or emotions and
understanding from one person, place or things to another person,
place or thing.
Introduction
• According to Keith Davis,
- Communication is the process of passing information and understanding from
one person to another
• According to Keyton,
- Communication can be defined as the process of transmitting information and
common understanding from one person to another
• Communication is essential for achieving managerial and
organizational effectiveness.
Concept of Communication
• It is a crucial factor in developing good business relationship
• Any miscommunication or ambiguity in communication may
negatively impact the image of the organization
• It is of paramount importance to communicate the right message at the
right time and the right place in business
• Lack of communication may lead to chaos and conflicts
Process of Communication
• Communication follows a cyclic
pattern for the delivery of a
message, fact, thought or idea
• It is a process that involves at
least two people: sender and
receiver
• Elements of communication (Fig.
alongside)
Elements of Communication
• Sender: a person who sends the intended message to another/others
• Encoding: a process that puts the thoughts of the sender in a framework
of symbols or words for transmitting the message to the audience
• Message: a collection of symbols or words that conveys the intention of
the sender
• Decoding: a process of deciphering the encoded message received from
the sender and understanding its intended meaning
• Receiver: the person to whom the decoded message reaches or the
destination of the message
• Feedback: the response of the receiver to the message sent by the sender
Types of communication
Different types of communication
• Based on Target Audience
• Internal communication
• External communication
• Based on the purpose of communication
• Formal communication
• Informal communication
• Based on communication channels
• Verbal communication
• Non-verbal communication
• Written communication
• Visual communication
Internal and External Communication
• Internal communication occurs inside the organization. It is
categorized into
• Vertical communication : Upward communication and
• Downward communication

• Horizontal Communication
• Diagonal communication
Internal Communication
• Upward communication flows from the lower level to the upper level
in the organization hierarchy
• Downward communication flows from the upper level to the lower
level in the organization hierarchy
• Horizontal communication flows between employees working at the
same level
• Diagonal communication flows between individuals in different teams
and at different levels in the organization hierarchy
Internal Communication
• Upward communication flows from the lower level to the upper level
in the organization hierarchy
• Downward communication flows from the upper level to the lower
level in the organization hierarchy
• Horizontal communication flows between employees working at the
same level
• Diagonal communication flows between individuals in different teams
and at different levels in the organization hierarchy
Vertical Communication
The communication in which
information is either transmitted from
top to the bottom or from bottom to
the top in structural hierarchy is a
vertical communication.
In this way, vertical communication
may be of

•Downward Communication
•Upward Communication
Vertical Communication
Advantages of Vertical Communication
•It is authoritative and official.
•It is binding to all parties involved.
•It is the most legitimate type of communication.

Disadvantages of Vertical Communication


•It is formal and informal.
•It is usually slow-moving, since it must be channeled through several levels of
authority.
•It may conceal the true motives behind the formal message it carries.
Horizontal Communication
• When communication takes place
between two or more persons of the
same level or position of the same
department or other departments of the
organization, it is known as horizontal
communication.

• Advantages of Horizontal
Communication
• Coordinating in nature.
• Frequently informal and therefore
simpler than vertical communication.
Horizontal Communication
• Reassuring to those in charge of implementing department policy, since it
provides them with the opportunity of checking with each other and
comparing notes.
• Expedient in terms of communication time.

• Disadvantages of Horizontal Communication


• Department chiefs may remain uninformed about what their division heads
are thinking.
• It can have a disuniting effect by fostering clique i.e. grouping among
personal at the same levels of authority.
• It can distort the purpose of a department policy, and even render it
inoperative by allowing too much discussion about it.
Examples of Horizontal Communication
Diagonal Communication
• Diagonal communication cuts across
departmental lines
• It is in between people who are neither
in the same department nor on the
same level of organizational structure.
• In other words, it refers to interchange
of messages between the managers and
employees who are neither in the same
department nor on the same level of
organizational structure.
Diagonal Communication
• Advantages of Diagonal Communication
• It is the most direct method of communication.
• It is the most selective method of communication.
• It is one of the fastest methods of communication.
• In critical situations, it would seem to be the most essential and logical
type of communication.
Diagonal Communication
• Disadvantages of Diagonal Communication
• It can destroy lines of authority and formal chains of command
• It can leave immediate superiors uninformed of what their
subordinates are doing
• It can lead to conflicting orders so it may lead to further confusion
• It is usually verbal and thus is untraceable if things go wrong
External Communication
• This type of communication occurs outside the organization
• For e.g. Communication between the production manager of an
organization and vendors regarding the raw material is external
communication
• The major goal of external communication is to enhance
organizational performance, goodwill and brand image
Formal Communication
• Formal communication means the communication which travels through the
formally established channels
• In other words, communication which travels through the formal chain of
command or lines of hierarchy of authority is called the formal
communication
• Under it, information is given through the formally designed channel or
network
• It is designed, controlled and regulated by the management
• E.g. Sharing organizational policies with employees, business meetings
and conferences
Formal Communication
Inadequate formal communication might as well result in the worst-
possible scenarios: for instance…
• When a team lacks communication skills, they are often too scared
to ask for help — like when they are going to miss a deadline
• Or they may not know how to begin a project in the first place
because they didn’t receive adequate instructions to do so
• Having detailed work instructions is your golden ticket to
streamlining processes and training new hires
Formal Communication
• Advantages of Formal Communication
• It helps in the fixation of responsibility and accountability
• It helps in maintaining the lines of authority in the organization
• It helps in maintaining discipline
• It ensures orderly flow of communication
Formal Communication
• Disadvantages of Formal Communication
• It lacks personal contacts and relationship
• It is time consuming. It takes much time to communicate
• It creates a bottleneck in the flow of information because almost all
information is channeled through a single executive
• It obstructs free, smooth and accurate circulation of information in an
organization
Informal Communication
• Informal communication is a free form of communication and does not
follow any fixed pattern
• It refers to the communication which takes place on the basis of
informal relations between the members of a group
• It is personal communication in nature and does not flow along with
the formal lines of authority or formal chain of command
Informal Communication
• It helps in understanding and addressing employee grievances
• Informal communication refers to the communication which takes
place on the basis of informal relations between the members of a
group
• It is personal communication in nature and does not flow along with
the formal lines of authority or formal chain of command
Informal Communication
• Advantages of Informal Communication
• It is more flexible
• It helps to improve decision-making
• Informal communication is faster in speed than formal communication
• It works as a powerful and effective tool of communication
• It may provide feedback to managers on their actions and decisions
Informal Communication
• Disadvantages of Informal Communication
• It is difficult to fix responsibility for the information
• It may cause misunderstanding
• It carries inaccurate, half-truth or distorted information
• It is difficult to believe on information
Glossary
• Emotional Intelligence is the ability to understand and respond to
another person’s emotions, motivations, and needs.
• Selective listening: A practice of listening only to what is desired
• Selective retention: a psychological process where a person retains
only that part of the message that is close to his/her interests, values
and beliefs and leaves the undesirable one
• Body Language: Nonverbal communication that sends messages
through haptics or touch, gestures, and facial expressions.
Glossary
• Cliché: An overused storyline, thought or stereotype that has begun to
lose its meaning, in particular, because it has been used too much.

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