CHAPTER ONE
Understanding Workplace Communication
THE ROLE OF COMMUNICATION IN BUSINESS
Your work in business will involve communication—a lot of it—because communication is a
major part of the work of business.
The Importance of Communication Skills
Importance of Effective Communication in Business
• Communication is a crucial business skill, ranked high in surveys of executives, managers, and
recruiters.
• Effective communication skills include self-thinking, initiative, problem-solving, and problem-
solving.
• Poor communication can lead to wasted time, misunderstandings, eroded customer loyalty,
and lost business.
• Performance in any business position is often judged based on communication ability.
• Improved communication skills can lead to advancement and increased need for
communication abilities.
• Improving communication skills enhances chances for business success.
Why Business Depends upon Communication
Business is an economic and social system that coordinates activities of various groups, including
employees, suppliers, customers, legal advisors, community representatives, and government
agencies, through effective communication, which influences how businesses operate and
communicate.
All of this communicating goes on in business because communication is essential to the organized
effort involved in business.
Current Challenges for Business Communicators
While communication has always been central to business, the nature of work today presents
special communication challenges.
The four interrelated trends
1. The Need for Expanded Media Literacy.
Email remains the most popular business medium, but new media like blogs, tweets,
podcasts, and online games are causing a revolution in communication. This allows
businesses to network globally and tap into the intelligence of others.
2. Increasing Globalism and Workplace Diversity.
Countries and cultures continue to grow more interconnected as businesses expand their
reach around the world.
Cultural agility will need to figure into your workplace communication
3. An Increased Need for Strong Analytical Skills.
Adapting to a quickly changing business landscape requires being able to assess
information quickly, focus on what's relevant, and interpret information reliably and
usefully.
The need for computational thinking and will need for visual literacy.
4. An Increased Focus on Ethics and Social Responsibility
The more an organization builds trust among its employees, its shareholders, its business
partners, and its community, the better for the business and for economic prosperity overall.
A key way to build trust is through respectful, honest communication backed up by quality
goods and services.
Main Categories of Business Communication
3 main categories of business communication
1. Internal
2. External
3. Personal
Internal-Operational Communication.
Internal operational communication within a business includes discussions between senior
management, supervisors, employees, and reports on sales, production, inventories, finance, and
maintenance, as well as written and oral exchanges.
External-Operational Communication.
External-operational communication refers to a business's communication with external
stakeholders, including suppliers, customers, and government agencies. This includes sales efforts,
marketing efforts, and gaining publicity. Effective communication is crucial for a business's
success, as it helps attract and satisfy customers. Skilled coordination with contractors, consultants,
and suppliers is also essential for successful business operations.
Personal Communication.
Personal communication is crucial in business as it influences employee attitudes and
relationships, making it both inevitable and essential for maintaining strong business relationships.
Personal communication in business is both inevitable and important.
Communication Networks of the Organization
There are two complex networks of information in virtually any organization—one formal and one
informal. Both are critical to the success of the business.
The Formal Network.
The formal network, the main operational communication channels, facilitates the flow of
information within and outside the organization. This includes upward, lateral, and downward
movement of reports, memos, emails, orders, instructions, advisories, announcements, and
dissemination of company information through various channels.
The Informal Network.
The informal network, consisting of personal communications that support the formal network, is
a complex structure linking organization members to external audiences. It is more valuable than
first impressions, carrying more information than the formal system and being more effective in
determining an organization's course.