Business Communication

Unit 1 INTRODUCTION

Nature
Communication Involves At Least Two Persons: Communication involves at least
two persons the sender and the receiver. The sender sends the messages and is
known as the communicator. The receiver receives the message and is known as
communicatee.
Communication is a Two Way Process: Communication is essentially a two-way
process. It does not merely mean sending and receiving messages. It is not complete
unless and until the message has been understood by the receiver in the same
sense.
Purpose of Communication: This basic purpose of communication is to create an
understanding. The receiver should understand the message sent and should
respond accordingly.
Form of Communication : Communication may take several forms e.g. order,
instruction, report, queries, etc. it may be verbal or written. It may be formal or
informal.
Scope of Communication: communication pervades all human relationships. It is
essential in all types of organizational and at all levels of management.
Communication is a Dynamic Process: Communication is influenced by the mood
and thinking of the sender and receiver. The way a message is accepted depends
upon the fact that which of the fine sensory organs of the receiver is active at that
time.
Communication is Much More Than Words: Communication is not merely sending
or receiving facts, expressed in words. It also involves ideas and emotions. A lot of
communication is done through signs, symbols, and gestures.
Communication is a Goal-Oriented Process: Communication is a goal-oriented and
effective only when there is a congruence of goals of sender and receiver.
Communication is Conversational: Communication sets up a link between facts,
ideas and thus helps the communicator and communicates to progress logically.
Communication is an Interdisciplinary Science: Communication to be effective
derives knowledge from several sciences like anthropology (the study of body
language), sociology (the study of human behavior), psychology (the study of
attitude), etc.

Communication Process
Communication is an ongoing process that mainly involves three components namely. sender, message,
and recipient. The components involved in the communication process are described below in detail:

1. Sender:
The sender or contact generates the message and transmits it to the recipient. He is the source
and the first contact

2. Message:
It is an idea, knowledge, opinion, truth, feeling, etc. produced by the sender and intended for
reference.
 3. Encoding:
The message produced by the sender is encrypted in a symbolic way such as words, pictures,
touches, etc. before transfer.

4. The media:
This is how the coded message is conveyed. The message can be conveyed orally or in writing.

5. Recording:
It is a process of modifying the signals sent by the sender. After recording the message is
received by the recipient.

6. Recipient:
You are the last person in the chain and the message you sent was sent. If the recipient receives
the message and understands it correctly and acts on the message, only then the purpose of the
communication is achieved.

7. Answer:
Once the recipient confirms to the sender that you received the message and understood it, the
communication process is complete.

8. Noise:
Refers to any restrictions caused by the sender, message or recipient during the communication
process. For example, incorrect telephone connection, incorrect coding, incorrect recording,
careless recipient, incorrect understanding of message due to discrimination or inappropriate
touch, etc.

Importance of Communication
The importance of communication are as follows:

 Acts as a basis of coordination: An organisation has many departments, divisions, sub-divisions,

etc., and in order to coordinate the activities of all the departments, communication is essential.
Communication helps in the coordination of various activities and provides for the exchange of
information, ideas, facts, etc.

 Helps in smooth working of an enterprise: Communication is the basis of the existence of an

organisation from its birth. Communication is necessary for the smooth working of an
organisation. Any new change in the organisation can also be introduced easily with the help of
communication. All the organisational interactions are dependent on communication and if
communication stops, all the organised actions will come to an end.

 Acts as a basis of decision making: Communication provides the managers with information and
ideas for sound planning and decision making. It enables a manager to analyse the problems and
gather information for making sound decisions. Through communication, decisions can be
passed to those who are involved in executing them.
  Increases managerial efficiency: For quick and effective performance of managerial functions,
communication is essential. Managers convey goals, instructions, allocate jobs and
responsibilities and evaluate performances with the help of communication. Thus, because of
communication entire organisation is lubricated and works with full efficiency.

 Promotes cooperation and industrial peace: Cooperation and industrial peace are promoted
because of communication by developing understanding between superiors and subordinates.
Any misunderstanding or misconception can be easily removed with communication. As
communication is a two-way process, an atmosphere of trust and understanding is maintained
in the organisation.

 Establishes effective leadership: Effective communication is needed for guiding, inspiring and
motivating employees in an organisation. Leaders need to communicate their ideas, thoughts,
suggestions, etc., and this can be possible only when there is an effective communication system
in an organisation. Communication is also needed to know the feelings, responses, problems,
grievances and suggestions of the followers.

 Boosts morale and provides motivation: Motivation and morale of the employees largely
depend on the effectiveness of the communication system. Communication helps in keeping the
employees informed about plans, policies, procedures, etc., and with such information,
employees get a sense of belongingness. Good communication develops the confidence and
trust of workers and enables leaders to motivate, influence and satisfy their subordinates.

 Helps in training and development: Communication plays a vital role in the training and
development of employees at every level of management. The degree of learning in a training
depends not only on the contents of the training and development programme but also on how
the knowledge and skills are being transmitted.

 Helps to maintain public relations: An organisation has to deal with both the internal and
external world, which includes customers, investors, trade unions, government, etc.
Organisations are required to maintain healthy and cordial relations with everyone. It must
always strive to convince the public that its actions are in interests of society.

Types of Communication
Verbal Communication

Verbal communication is the use of language in spoken or written form for the exchange of information,
ideas, and emotions. It depends on words, syntax, grammar, and vocabulary for communication. Verbal
communication can be direct or indirect, formal and informal, it may be different in tone and pitch
which influences how the message is perceived.

Characteristics of Verbal Communication

1. Involves spoken or written words.

 2. Provides precise and detailed information.

3. Allows for immediate and direct feedback.

4. Influenced by language and dialect.

5. Dominant in formal communication settings.

6. Can be hindered by language barriers.

7. Suitable for conveying complex ideas.

8. Emotions are expressed through words.

9. Communication speed can be faster for conveying information.

Non-Verbal Communication

Non-verbal communication includes all types of communication without using words. It includes hand
gestures, facial expressions, eye contact, body language and voice tone. Non-verbal communication can
convey emotions stronger than words way.

Characteristics of Non-verbal Communication

1. Involves gestures, body language, facial expressions, and visual cues.

2. Provides emotional depth and context to messages.

3. Feedback is often subtle, indirect, or delayed.

4. Can have cultural universality in some expressions.

5. Crucial in conveying emotions and attitudes, especially in emotional situations.

6. Overcomes language barriers.

7. Supplements, reinforces, or contradicts verbal messages.

8. Emotions are often displayed non-verbally.

9. Non-verbal cues can be interpreted quickly.

 Difference between verbal and non verbal communication

Non-Verbal
Aspect Verbal Communication Communication

Body language, facial

Medium Spoken or written words
expressions, gestures, etc.

Channel Auditory and visual Primarily visual

Language proficiency can More universal, transcending

Language Barriers
affect understanding language barriers.

Faster in conveying Slower, allowing for more

Speed of Delivery
information subtle nuances

Often requires conscious Often unconscious and

Conscious Control
effort and articulation spontaneous.

Can be more precise and Can be ambiguous and open

Ambiguity
explicit to interpretation.

Tone of voice conveys Facial expressions and body

Emotional Expression
emotions language convey emotions.

Non-verbal cues can be

Easier to remember and
Memory Retention challenging to recall
recall
accurately.

Language may have cultural Non-verbal cues can vary

Cultural Differences
nuances significantly across cultures.

Covers a broad range of More effective for expressing

Scope
topics feelings and attitudes.
Different forms of Communication

Formal Communication Informal Communication

Official and structured Casual and spontaneous
Follows prescribed channels and Has no predefined channels or protocols
protocols
Uses professional language and tone Relies on everyday language and colloquial
expressions
Goal-oriented and task-focused Relationship-oriented and socially driven
Typically written or documented Primarily oral or nonverbal
Conveys official information, policies, or Facilitates social bonding, sharing of personal
decisions experiences, etc.
Occurs in formal settings such as Occurs in informal settings like coffee breaks or
meetings or reports social gatherings
Often requires approval or authorization Doesn't require formal approval or authorization
More rigid and hierarchical Flexible and egalitarian
Examples: formal emails, reports, Examples: casual conversations, chats, social
presentations media interactions

Barriers to Communication
Classification of Barriers to Communication

The barriers to communication can be broadly classified as:

1. Semantic Barriers

2. Psychological Barriers

3. Organisational Barriers

Personal Barriers

1. Semantic Barriers
The branch of science that deals with the meaning of words and sentences is known as
Semantic. The problems and obstructions in the process of encoding and decoding message
into words or impressions is known as Semantic barriers. This barrier arises because different
words mean different things to different people. A breakdown in communication can occur
when two individuals attach different meanings to a word. For example, for organisations,
‘Profits‘ may mean growth and efficiency, but for employees, it may mean excess funds
generated by paying inadequate wages and benefits.
Some of the common forms of Semantic Barriers are as follows:
 Badly Expressed Message: When a message lacks clarity and precision, it is said to be a
badly expressed message. Communication becomes ineffective when the language of the
message is vague, imprecise, or there is the use of wrong words or omission of needed
words.
 Symbols with Different Meanings: The same words may carry different meanings to
different people, and can convey different meanings under different situations. For
example, words like effect and affect, ideal and idle, advice and advice, bear and bare,
etc., sounds similar, but they have different meanings.
 Faulty Translations: Sometimes, people do not understand the language in which a
message is given by the sender. In such cases, it becomes necessary to translate the
message into a language, which is understandable by the receiver. The translator should
be proficient enough to translate the language, otherwise, this can also be a barrier to
communication.
 Unclarified Assumptions: The receiver may have different assumptions if the sender does
not clarify the assumptions about the message. For example, a boss may say, ‘Complete
the work’. Here, the boss has not mentioned the day and date when the work has to be
completed. He may mean to complete the work by tomorrow, but subordinates may
understand it as a week’s target.
 Technical Jargon: Technical Jargon or terminology are used by many experts and
specialists to communicate messages. Such jargon is not understood by the common
people, which leads to poor communication.
 Body Language and Gesture Decoding: Non-verbal or gestural communication is also an
effective means of communication. Facial expressions, gestures, body language, etc.,
should correspond to the language. The receiver may get confused and can
misunderstand the message if verbal language does not match the body language.
2. Psychological Barriers
Barriers which arise on the account of emotional and psychological status of the sender and
receiver of the message are known as Psychological Barriers. For example, a person who is
under stress cannot communicate properly.
Some of the common forms of Psychological Barriers are as follows:
 Premature Evaluation: The tendency of forming a judgement before listening to the entire
message is known as premature evaluation. This distorts understanding and acts as a
barrier to effective communication. This can also lead to prejudices against
communication.
 Lack of Attention: Communication can be less effective, and the message can be
misunderstood if proper attention is not given to it. This inattention may arise due to the
preoccupied mind of the receiver. For example, a superior gave instructions to operate a
new software, however, the subordinate was preoccupied with other personal issues.
Such lack of attention makes the communication process one-way and ineffective.
 Loss by Transmission and Poor Retention: There is loss of or transmission of inaccurate
information when communication passes through various levels or channels in the
organisation. It is more common in the case of oral communication. Poor retention also
acts as a barrier when people are unable to retain the information for a long time.
 Distrust: Lack of mutual trust between the sender and the receiver also acts as a barrier to
communication. Parties involved in communication cannot understand the message in an
original sense when they do not believe each other.
3. Organisational Barriers
In an organisation, communication has to pass through various levels and channels, hence it
may not reach the same place as it was sent by the sender. Organisation structure, rules and
regulations, authority relationships, etc., act as a barrier to effective communication.
Some of the Organisational Barriers are as follows:
 Organisational Policy: Effectiveness of communication is affected by organisational policy.
The communication process is hampered if the policy is not supportive of the free flow of
 communication. For example, in a centralised organisation, free communication is not
encouraged, and communication has to follow through a proper channel only.
 Rules and Regulations: The process of communication is affected by rigid and
cumbersome rules and regulations. The channels and the subject matter are already
prescribed through, which the messages are to be communicated. These prescribed rules,
regulations, and channels are rigid and can act as barriers.
 Status: Psychological distance is created between superior and subordinate because of
status. Such statuses stand in the way of true and accurate communication. Subordinates
are also not allowed to express their feeling freely if the manager is status conscious.
 Complexity in Organisation Structure: Organisation structure can also act as a barrier to
communication. If there are many managerial levels in an organisational structure, then
communication gets delayed and distorted.
 Organisational Facilities: If facilities like frequent meetings, conferences, suggestion
boxes, complaint boxes, etc., are absent in an organisation, then effective communication
is hampered.
4. Personal Barriers
The effectiveness of communication is influenced by the personal factors of both sender and
the receiver.
Some of the Personal Barriers are as follows:
 Fear of Challenge to Authority: If a superior fears that a particular communication can
hamper his authority, then he may withhold such communication, as he always wants to
maintain a higher position and prestige in the organisation.
 Lack of Confidence of Superior on his Subordinates: When superiors do not have faith or
confidence on the competence of their subordinates, then communication is said to be
hampered. When there is a lack of trust and confidence in subordinates, the superior may
not take advice or suggestions from the subordinates.
 Unwillingness to Communicate: Unwillingness to communicate can be another reason for
ineffective communication. Many times, subordinates do not communicate with their
superiors because they believe that if the information is not correct or appropriate, it will
adversely affect them.
 Lack of Proper Incentives: Subordinates also do not take initiative to communicate, when
there is no motivation or incentives for communication. For example, if there is no reward
for the suggestion given by the subordinates, then they will not take initiative.
5 Physical Barriers
Physical communication barriers include the geographical distance between the
sender and receiver, loud background noise, poor lighting or visual distractions,
language differences, and malfunctioning equipment.

These barriers can make it challenging to convey messages accurately, lead to

miscommunication, and cause frustration or misunderstanding among individuals
involved in the communication process.

Noise

Loud or distracting noise can interfere with verbal Communication. For example,
employees may have trouble hearing each other in a noisy factory.

Workspace design
Cubicles or closed office layouts can limit face-to-face interactions and reduce the
flow of information. Open office designs can improve communication.

Technical difficulties

Technical difficulties, like poor internet connection or malfunctioning devices, can

disrupt communication. Regular maintenance and updates can mitigate these
issues.

Distance

Physical distance can make communication challenging. For example, employees in

different time zones may have trouble scheduling a video chat.

Weather

Extreme weather can affect Communication. For example, heavy rain or snow can
cause transportation delays, making it hard for employees to attend important
meetings.

Interrupting

Interruptions can create a physical barrier to Communication. For instance,

frequent interruptions from co-workers or phone calls can distract from the
conversation.

Body language

Body language is critical to Communication, but physical barriers can hinder

interpretation. For example, it can be challenging in a video chat to pick up on
subtle cues like facial expressions and body language.

Written Communication

Written Communication can also create physical barriers. For instance, if a sender
intended to convey humor through an email, the recipient may misinterpret the
message as critical.

6. Linguistic Barriers
Linguistic barriers are obstacles that arise when people who speak different
languages try to communicate with each other. These barriers can make it difficult
to understand and convey messages accurately. For example, if someone speaks
only English and another person speaks only Spanish, they might struggle to have a
conversation. Misunderstandings can happen if words or phrases are translated
incorrectly. Even when people speak the same language, different accents or
dialects can cause confusion.
Linguistic barriers are common in global business, travel, and
multicultural societies. Overcoming these barriers often involves using
translators, learning new languages, or using simple and clear language to
help everyone understand each other better.
Language Proficiency Differences

It’s critical to acknowledge the discrepancy in language proficiency. Language

barriers are a common challenge for folks from diverse backgrounds,
international businesses, governments, and even entire nations. A striking example
of this barrier is when two individuals communicating speak the same language but
have different levels of proficiency. Their language differences can significantly
affect their communication. For instance, a person with a strong vocabulary might
use complex words that aren’t quickly understood by others.

One method for overcoming this barrier is by altering the way we absorb language.
For instance, watching films in a foreign language exposes us to various accents
and dialects, effectively improving comprehension skills.

Jargon and Slang

Jargon and slang can significantly hinder effective communication. Every industry
has its technical terms known as ‘jargon’. When these terms, which are often
incomprehensible to an untrained ear, become part of a conversation, the chance
for misunderstanding spikes. The misuse of words or phrases in an unfamiliar
language leads to faulty translation, wrong interpretations of messages, and
misunderstandings.

For individuals to combat this, it’s recommended to keep language simple and
succinct. One should avoid complex vocabulary and should prioritize using specific
examples to better illustrate their points. Additionally, using a bilingual dictionary or
an online translation tool helps to understand unfamiliar words and phrases more
effectively.

Non-Verbal Communication Challenges

Lastly, it’s worth mentioning non-verbal communication which can also be seen as a
form of language barrier. Body language, gestures, expression – these are all
methods of communication that transcend spoken language. However, these
elements carry different meanings across various cultures and may lead to
misinterpretation. Therefore, understanding the cultural context of non-verbal cues
is crucial for effective communication.

Contrary to non-verbal communication, ambiguous words and mispronunciations

can create unintentional barriers. Individuals and groups might inadvertently use
sounds or symbols that have diverse meanings in different languages. Thus, gaining
knowledge about the correct pronunciation and accurate interpretation becomes
indispensable.
By continually working to overcome these barriers, we can contribute towards
creating more understanding, meaningful relationships, and bridging the gap
between various cultures. It’s this continuous effort that brings us closer to creating
a more empathetic society.

1. 7. Cultural Barriers
Cultural communication barriers refer to the challenges that arise when
people from different cultural backgrounds try to communicate with each
other. These barriers include language differences, cultural norms, and
values, non-verbal communication differences, and preconceived notions
about other cultures.
Various cultural barriers can hinder effective communication. Some of the
common types of cultural barriers include:
Language Differences: Variations in language and proficiency can lead to
misunderstandings, misinterpretations, and difficulties in expressing ideas
and instructions clearly.
2. Non-verbal Communication: Different cultures use body language, facial
expressions, gestures, and eye contact differently. Misreading these non-
verbal cues can lead to misunderstandings and miscommunication.
3. Cultural Norms and Values: Different cultures have varying norms and
values regarding hierarchy, time management, work ethic, and conflict
resolution. These differences can lead to misunderstandings and conflicts if
not properly managed.
4. Assumptions and Stereotypes: Preconceived notions and stereotypes
about different cultures can lead to biases, discrimination, and
misunderstandings in the workplace.
5. Different Communication Styles: Cultures vary in their communication
styles; some may be direct and explicit, while others may be indirect and rely
heavily on context. Misunderstandings can arise when these styles clash.
6. Perceptions of Authority and Hierarchy: Cultural attitudes towards
authority and hierarchy can differ significantly. In some cultures, questioning
or challenging authority is common, while in others, it is seen as
disrespectful.
7. Work-Life Balance Expectations: Different cultures have different
expectations regarding work-life balance, including attitudes towards
overtime, vacation, and personal time. These differences can lead to
misunderstandings and conflicts.
8. Decision-Making Processes: Cultures differ in their approach to decision-
making. Some may prefer consensus and collective decision-making, while
others may favor individual decision-making.
9. Attitudes Towards Conflict: Cultural differences in handling conflict can
lead to misunderstandings. Some cultures may be more confrontational,
while others may avoid conflict and prefer to maintain harmony.
 [Link] Codes and Personal Appearance: Cultural differences in dress
codes and personal grooming can lead to misunderstandings and discomfort
in the workplace.

UNIT 2 BUSINESS CORRESPONDENCE