ABEL 151: Business Communication

Communication

The process of transmitting and sharing messages, enabling individuals to be understood and to understand others in diverse contexts.

A dynamic, shared experience of human connection rather than a simple one-way transmission.

Communication Process

The process of tracing a message from its origin as a thought in the sender’s mind through encoding, transmission, and decoding, culmination in feedback from the receiver.

Barriers to Communication

Inherent challenges or structural obstacles that interfere with communication, such as poorly timed emails, cultural mismatches, and implicit psychological biases.

Human Communication

The ability of individuals to share ideas, interests, concerns, sentiments, needs, feelings, and desires through shared language, verbally, nonverbally, or through a combination of both.

Commūnicāre

A Latin word meaning to impact, participate, share, or make common.

Communication as a Social Process

The social process in which two or more parties exchange information and share meaning through audible and visual codes.

Audible and Visual codes

The means or codes used to communicate, including voice, facial expressions, gestures, movements, and posture.

Basic Elements of the Communication Process

The key elements necessary for a communication event to occur: message, sender, receiver, medium, feedback, and context. The absence of any element can result in failure of the communication process.

Message

The tangible product generated by the source, the subject matter of the communication process, and serves as the primary reason for interaction. It may include an idea, opinion, belief, attitude, feeling, emotion, viewpoint, instruction, or suggestion.

Sender

It is also known as the source or encoder, is the individual, groups, or organization that formulates and encodes the message before transmitting it through a chosen medium.

Receiver

It is also known as the decoder. The individual, group, or organization for whom the message is intended and who provides a response or feedback to the sender.

Medium

The channel through which the message is transmitted to the intended audience. Common modes include verbal, visual, aural or paralinguistic, and pictorial channels.

Oral communication

This communication can occur through face-to-face conversations, phone calls, interviews, video conferencing, lectures, meetings, forums, and focus group discussions.

Nonverbal cues

Cues that contribute to the effectiveness of communication, including tone and quality of voice, eye contact, hand gestures, sign language, touch, facial expressions, and posture.

Additional channels

Other channels through which communication occurs, including mass media (television, radio, newspapers), vocalizations (sounds, grunts, shouts, unintelligible speech), and behaviors (self-inflicted actions, throwing objects, aggression).

Feedback

The receiver’s oral, written, or nonverbal response to the sender’s message. It is essential for verifying whether the message has been received and understood.

Context

The integral component of communication, encompassing the environment, circumstances, and situations in which communication occurs, including temporal, social, cultural, physical, historical, and psychological factors that influence how communication is enacted or interpreted.

Miscommunication

It occurs if the receiver incorrectly perceives or decodes the sender’s message.

Misunderstanding

Occurs when a message is received and interpreted in a manner not intended by the sender.

Silent Treatment

A situation where communication refuse to engage due to lack of common ground or in response to insulting, hurtful, or offensive remarks.

Conversation Dominance

Occurs when one participant dominates the conversation, preventing others from contributing.

Three Primary Barriers

According to Dayton (2018), three primary barriers to effective communication are personal, physical, and semantic barriers.

Physical Barriers

Barriers caused by unintended sounds in the context of communication, physical noise, and noise caused by physical distance that interfere with communication.

Unintended Sounds

Sounds that interfere with communication, such as loudspeaker systems, phone rings, whispers, and office equipment.

Physical Noise

Physical problems that interfere with communication, such as illegible handwriting, bad photocopies, and poor computer-mediated communication signals.

Noise caused by Physical Distance

Barriers caused by time differences, seating arrangements, and congestion in telephone and network facilities.

Personal Barriers

Barriers that arise when relationships become strained due to differing opinions, emotions, or positions on specific issues.

Examples of Personal Barriers

Fear of challenging authority, lack of confidence in subordinates, unwillingness to communicate, insufficient incentives, lack of initiative to respond, and varying perceptions.

Semantics

Refers to the specific meanings of words and phrases.

Semantic Barriers

This communication barrier includes misunderstandings, confusions, or misconceptions that occur when the sender and receiver have different meanings for the words used.

Poorly Expressed Messages

Messages affected by redundant words, incorrect word choice, disorganized sentence structure, or faulty parallelism.

Multiple Meanings

Symbols or words that have multiple meanings, which may cause confusion in communication.

Faulty Translation

Inaccurate communication of meaning between languages.

Ambiguous Assumptions

Beliefs or expectations accepted without proof that may cause misunderstanding.

Technical Jargon

Specialized language used by professions that may not be understood by everyone.

Conflicting Nonverbal Signals

Nonverbal signals that conflict with the intended message, potentially causing misunderstanding.

Psychological or Emotional Barriers

Barriers that occur when the communicators’ mental or emotional states are disrupted.

Examples of Psychological or Emotional Barriers

Lack of attention, loss of information during transmission, poor retention, doubt or suspicion, excessive filtering, assumptions, varying degrees of trust and openness, resistance to change, and close-mindedness.

Organizational Barriers

Communication barriers encountered by organizations, including policies, rules and regulations, status, organizational structure, and facilities, supplies, and materials.

Organizational Policies

Policies that determine the relationship among all persons working in an organization.

Rules and Regulations

Organizational rules that become barriers by determining the subject matter, medium, and other aspects of communication.

Status

The position, designation, salary grade, rank, or other divisions of organizational members.

Organizational Structure

The structure of an organization; a greater number of managerial levels makes communication more complex.

Facilities, Supplies, and Materials

Resources necessary for communication to be timely, clear, and functional, such as computers, telephones, paper, folders, and photocopiers.

Cultural Barriers

Challenges that arise from differences in values, beliefs, and attitudes among individuals from diverse cultures.

Empathy

Sensing the feelings and attitudes of others as if personally experienced, which is essential for overcoming cultural barriers.

Strategies for Developing Empathy

Respecting others’ feelings and attitudes, using active listening, encouraging participation while respecting privacy, using open body language and a supportive vocal tone, considering others’ fears and concerns, and avoiding unsolicited advice.

Business Communication

The transmission of information among individuals within an organization to advance its commercial objectives, including methods used to disseminated information to promote the company’s services or products to consumers.

Purpose of Business Communication

To facilitate interactions between employees and management, achieve organizational objectives, improve organizational practices, and enhance efficiency.

Examples of Business Communication

Presenting business ideas, developing plans and proposals, executing decisions, reaching agreements, processing and fulfilling orders, selling, and conducting effective meetings.

Internal Communication

Communication that occurs within the organization, including upward, downward, and lateral exchanges.

External Communication

Communication directed outside the organization, such as interactions with customers, vendors, and other stakeholders that influence the organization’s brand.

Four Types of Business Communication

1. Giving and receiving instructions and assignments in upward and downward directions;

2. Sharing and discussing information, including during meetings;

3. Providing feedback, correction, and discipline to subordinates; and

4. Problem-solving and decision-making through meetings and discussions.

Remote Communication Methods

Methods of communication conducted remotely, including web-based communication, telephone meetings, video conferencing, forum boards, and frequently asked questions (FAQs).

Forms of Business Communication

Business communication may occur in verbal or written forms and can take place in person or remotely.

Role of Communication in Business

Communication is fundamental to business success because it enables organizations to instruct, integrate, inform, evaluate, direct, teach, influence, build their image, and orient employees.

Instructive Function

Provides direction and commands to subordinates, enabling them to complete specific tasks. Instructions typically flow from higher to lower organizational levels.

Integration Function

Consolidated function under which the integration of activities is endeavored. Establishes interrelationships among the various functions of a business organization and helps unify different management functions.

Information Function

Informs individuals or groups about tasks, company policies, and procedures. Information can flow vertically, horizontally, and diagonally across the organization.

Evaluation Function

Uses communication to examine activities and assess the worth of a task, as well as evaluate an individual, team, or their contribution to the organization.

Direction Function

Enables top management or managers to issue directions to lower levels. Directions may be communicated orally or in writing and may be a common order, request order, or implied order.

Influencing Function

Enables individuals to influence or persuade others and involves feedback that indicates the effect of communication.

Image-Building Function

Uses communication to create goodwill and confidence among the public and project the firm's image by communicating its goals, activities, progress, and social responsibility.

Employee Orientation Function

Helps new employees become acquainted with co-workers, superiors, organizational policies, objectives, rules, regulations, programs, and culture.

Organizational Communication

The flow of communication within an institution or agency that ensures the accuracy and efficiency of message transmission. Its purposes include transferring instructions and information, building goodwill, requesting services, and persuading others.

Organizational Communication Structures

Two general structures based on regulation: formal and informal communication.

Formal Organizational Communication

Communication that follows a definite protocol of communication exchanges and may be upward-directed, downward-directed, or horizontal.

Informal Organizational Communication

A formless communication process, often referred to as the grapevine.

Upward-Directed Communication

Communication performed by employees to management to share information, thoughts, and feelings essential for policy formulation and the good of the company.

Types of Upward-Directed Information

Problems and exceptions; suggestions for improvement; grievances and disputes; performance reports; and financial and accounting information.

Forms of Upward-Directed Communication

Reports, attitude surveys, exit interviews, employee publications, formal meetings, informal discussions, grievance procedures, open-door policy, counseling, questionnaires, and participative decision-making techniques.

Downward-Directed Communication

The transmission of information from higher points in the organization down to employees according to the organizational hierarchy to inform and influence them.

Purposes of Downward-Directed Communication

Implementation of goals, strategies, and objectives; job instructions and rationale; procedures and practices; performance feedback; and socialization.

Forms of Downward-Directed Communication

Small-group meetings, company publications, supervisory meetings, general assemblies, bulletin boards, public address announcements, posters, and procedural manuals.

Lateral Communication

Intra-company communication between sections, divisions, or departments at the same level, primarily used to share information among peers.

Three Categories of Lateral Communication

Intradepartmental problem solving, interdepartmental coordination, and staff advice to the line department.

Purpose of Lateral Communication

Keeps organizational staff informed of current practices, policies, and procedures and prevents unnecessary duplication of work, expenses, and wasted time and effort.

Forms of Lateral Communication

Meetings and conferences, seminars and workshops, and socials.

Business Letter

A formal document characterized by a specific tone, style, language, and content, following established parts, formats, and conventions.

Number of Parts of a Business Letter

Fourteen distinct parts, categorized into seven primary parts and seven optional parts.

Primary Components of a Business Letter

The seven primary components are letterhead, date, inside address, salutation, body, complimentary close, and signature block.

Letterhead

Contains the sender’s name, mailing address, and contact details of the agency or institution and may include a company logo to reflect the organization’s identity.

Dateline

Indicates when the letter was written and includes the month, day, and year. It may follow American (December 9, 1984) or British style (19 December 1984).

Inside Address

Typically 3-4 lines. Contains the name and position or rank of the addressee, as well as the company’s name and address. All lines are left-aligned, and the addressee’s name should be complete and correctly spelled.

Salutation

The courtesy greeting in a business letter, usually placed two to three spaces below the inside address and ending with a colon. Its form depends on the degree of formality.

Most Formal and Impersonal Salutations

Sir, Madam, My Dear Sir, and My Dear Madam.

Formal and Personal Salutations

My Dear Mr. Domingo, My Dear Ms. Pastor, and My Dear Mrs. Toribio.

Less Formal Salutations

My Dear Michelle and Jerome.

Body

Conveys the primary purpose of the letter, typically in two to three paragraphs: the first establishes context, the second states the writer’s intention, and the final provides closing statements.

Complimentary Close

The closing phrase whose tone and formality correspond to the salutation and overall message. Only the initial letter is capitalized, followed by a comma.

Signature

Includes the writer’s complete and correctly spelled name, typically typed three to four lines below the complimentary close to allow space for the signature.

Optional Components of a Business Letter

Elements included depending on the purpose and context of the letter: attention line, subject line, reference line, enclosure notation, carbon copy notation, blind carbon copy notation, identification initials, and postscript.

Attention Line (Attention:)

Used when a letter is intended for a specific individual within an agency or company other than the person named in the inside address.

Subject Line (Subject:)

States in general form the content of the letter and is typically typed two spaces below the salutation.

Enclosure Notation (Encl.:)

Lists the documents enclosed or attached to the letter. Every attachment should be included in the notation.

Carbon Copy Notation (CC:)

Used when a letter is sent to an additional recipient other than the primary addressee. The name or office of the secondary recipient is included.

Blind Carbon Copy Notation

Similar to carbon copy notation, except the recipient’s name is omitted from the letter. It is typically used when the recipient’s name is confidential or the document serves a legal purpose.

Identification Initials / Reference Initials

The initials of the writer and typist appearing in the lower left corner of the letter or immediately following the signature block.

Postscript (PS)

Used when the writer wants to emphasize a particular point from the body of the letter and should not appear as an afterthought.

Punctuation Styles

The three punctuation styles used in business letters are open, standard, and closed punctuation.