BUSINESS

COMMUNICATION
By Ayush Arora BBA Retail Management
21L7BRM30105
 What is Business Communication? The Definition

Business communication is the process of sharing information between people within and outside a
company.

Effective business communication is how employees and management interact to reach organizational goals.
Its purpose is to improve organizational practices and reduce errors.

The importance of business communication also lies in:

•Presenting options/new business ideas

•Making plans and proposals (business writing)
•Executing decisions
•Reaching agreements
•Sending and fulfilling orders
•Successful selling
•Effective meetings
All organized activity in a company relies on the process of business
communication. This could be anything from managerial communication to
technical communication with vendors.

Types of Business Communication

Let’s first differentiate the main types of communication in a typical organization.

First, we have internal business communication.

Internal business communication can be:
•Upward communication: any communication that comes from a subordinate to a manager. Or from another
person up the organizational hierarchy.
•Downward communication/Managerial communication: anything that comes from a superior to a
subordinate.
•Lateral communication/Technical communication: internal or cross-departmental communication between
coworkers
Then, there is external business communication.

External business communication is any messaging that leaves your office and internal staff. It involves
dealing with customers, vendors, or anything that impacts your brand.
You can sort all communication in this spectrum into four types of business communication.

1.Getting and receiving instructions and assignments both upward and downward. This includes an
effective delegation from one person to another. Most problems in business begin with unclear
communications in this area.
2.Sharing and discussing information, including information sharing that goes on in meetings. When
communication fails in this area, it causes tasks to be done improperly or not at all.
3.Giving feedback, correction, and discipline to people who report to you so that they can have the
knowledge and the tools that they need to do their jobs better. Giving great, actionable feedback is a key
skill for anyone in a leadership position. Non-verbal communication and body language also play a role
here.
4.Problem-solving and decision-making meetings and discussions. These are considered among the most
important discussions for any organization. This involves higher critical thinking and better communication
technology.
Methods of Business Communication

When business communication actually happens, it’s either verbal or written.

Furthermore, communication takes place either in person/face-to-face or remotely.
Neither of these are better or worse for your company on their own and entirely depends on the context.

1) Web-based communication
This includes everyday communication channels like emails and instant messaging applications (such as
Slack, Hangouts, or even Nextiva Chat).
The benefits of emails and messages lie in the ability to lead private conversations in a busy office
environment, as well as sharing a message with many people—from a few to hundreds—all at once.

2) Telephone meetings
Phones removed the location barrier to running productive, fast-moving meetings. It allows for better idea
exchange thanks to the non-verbal communication (tone of voice) compared to written communication. 
Cloud phone systems can accelerate onboarding and overall team collaboration.
3) Video conferencing
Great video conferencing systems enable people at remote locations to run meetings that feel as close to in-
person meetings as possible. They take phone meetings one step up.

4) Face-to-face meetings
In-person meetings can help a business move forward with ideas quickly. Research shows that in-person
meetings generate more ideas than virtual meetings.

5) Reports and official documents

Documenting activities that impact other people and departments is a crucial part of a well-oiled business
communication system.
The ability to refer to a written document at any moment reduces the chance for confusion or disagreement
and provides extra clarity in communication.

6) Presentations
Presentations supported by reports and PowerPoint slide decks are often how meetings with larger groups
are conducted.
These are great for sharing new ideas in a way that creates space for questions and any clarifications.
7) Forum boards and FAQs
An internal area for employees to refer to frequently asked questions on various departmental topics and to
ask new ones that will make them more productive and up-to-date on a matter.

8) Surveys
Both internal and customer surveys are an ideal way to gather feedback and ratings on important topics.
Surveys facilitate a healthy cycle of feedback-supported improvements and open a communication channel
between all levels inside an organization.

9) Customer management activities

This can include any customer relations activity. Examples include live chat support, customer relationship
management (CRM) systems, customer onboarding process, customer reviews, and more
 Problems That Effective Business Communication Can Solve

1) Email overload and lack of everyday productivity and clarity

In many workplaces, people are simply overwhelmed with the number of messages they receive in a single day.
In his book Message Not Received, Phil Simon said the average person receives 120 to 150 emails per day.
We easily misplace or completely overlook a crucial piece of information. With a business communication
system in place, companies can reduce digital distractions and create space for ideas and thinking.

2) Horizontal and vertical communication silos

Often times, teams and departments don’t exchange essential information. Other times, there’s no easy way
of reaching out to a department manager when there’s an issue inside a team. These silos form easily and
often without anyone noticing, but can easily be remedied with a communication plan in place.

3) Poor communication with remote employees

Remote work is here to stay. The State of Remote Work report from Buffer shows that the vast majority of
employees would like to work remotely for at least some of the time.
They list collaboration and communication among the top three struggles when it comes to working
remotely, proving the value of the right communication systems in place.
4) Employee turnover/Low employee engagement
Losing the ideal people from your organization puts your ability to serve customers at risk. It’s also expensive.
Losing an employee can cost as much as twice their annual salary, but when companies do communicate
effectively, they are 50% more likely to report turnover levels below the industry average.

5) Poor customer service

If there’s poor communication in an organization, two things happen when it comes to customer service.
First, employees in customer-facing roles won’t have the information they need. Second, customers will sense
low employee morale and have a negative experience.
In fact, one study found that employee attitude improvement impacts customer satisfaction, which then
results in an increase in revenue.