BMA: Chapter 13

Communication

the transfer and exchange of information and understanding from one person to another through meaningful symbols

Six elements of communication process

Sender (encoder)

Receiver (decoder)

Message

Channels

Feedback

Perception

Sender (encoder)

the source of information and the initiator of the communication process, chooses the type of message and the channel that will be most effective

Receiver (decoder)

the person who receives and decodes the sender’s message, translates messages into a form that has meaning to the receiver

Message

encoding and decoding of the message may vary owing to differences between the sender’s and the receiver’s backgrounds and viewpoints

Types of messages

Verbal messages

Non-verbal messages

Written messages

Audio-visual messages

Verbal messages

employees communicate verbally more often than in any other way

— Effective verbal communication requires sender to:

• encode the message in words that will convey it accurately

• convey the message in a well-organised manner

• try to eliminate distractions

Non-verbal messages

the use of facial expressions, body movement, gestures, and physical contact to convey meaning

Written messages

appropriate when information must be collected from or distributed to many people at scattered locations and when it is necessary to keep a record of what has been sent

Audio-visual message

organisations use signs and symbols that are mutually understood between at least two employees or group in their communication

Channel

the path a message follows from the sender to the receiver

Formal communication

when the exchange of information is done through predefined channels

Informal communication

does not follow any set channels, it is usually casual, spontaneous, and not written down

A communication policy should cover:

definition of key terms

when to disclose material information

when to disclose material non-public information

procedures for press releases

how to deal with investors and securities professionals

review of analyst reports and estimates

Downward channels

One of the most effective channels, managers use downward channels to send messages to employees, the fundamental problem is that it is too often one way, it is a lean channel that does not encourage feedback from those on the receiving end

Upward channels

subordinates use upward channels, such as emails, telephone, and reports to send messages to superiors

upward communication provides feedback on how well employees understand the messages they have received

Horizontal channels

managers and other employees use horizontal channels such as the company’s internal and external networks when communicating across departmental lines with suppliers or with customer

Informal channels

informal communication channels allow people to use their own initiative more freely

External networking

managers and employees also spend considerate time meeting with peers and other outside the organisation

Feedback

the receiver’s response to the sender’s message, the best way to show that a message has been received and whether is has been understood

The Johari Window model

simple and useful tool for describing interpersonal communication between managers and employees, the tool illustrates interaction styles, how to improve self-awareness, and how to create mutual understanding between individuals within a group

Perception

the meaning ascribed to a message by either the sender or receiver

Perception problems

Selective perception

Stereotyping

Selective perception

process of screening out information that a person wants or needs to avoid

Stereotyping

process of making assumptions about individuals based solely on their belonging to a certain gender, race, age, or other group

Information technology

the study, design, development, implementation, support and management of computer based information systems

Three developments in IT

networked computer systems

wireless capabilities

social networks

Networked computer systems

computers are linked into an organisation-wide network, communication is fast and immediate, communication is inexpensive and convenient

Wireless capabilities

depends on the signals that are sent through the air

Social network

social media sites to communicate

The Internet

makes use of thousands of computers linked by thousands of different paths

Electronic commerce

B2C

B2B

B2A

C2A

Information and communication technology laws

plays a significant role in terms of developing appropriate market-friendly regulations and helping to ensure a stable climate for investment in ICT, mandate is to regulate electronic communications and postal services in the public interest

Ethical and privacy issues in communication

Computer ethics is the application of moral principles to the use of computers and the Internet

Protection of Personal Information (POPI) Act 4 of 2013

regulates how organisations handle, store, and secure personal information

Online virtual communication issues

Trust-building

Ensuring routine communication during all hours of the day to accommodate people in different time zones and making sure that employees are spending enough time with each other to get the job done properly

Considering which type of communication technology is being used to communicate virtually

Ensuring accountability

Overcoming barriers

regulating the flow of information

encouraging feedback

simplifying the language used in the message

listening actively

restraining negative emotions

using non-verbal cues

using grapevine and informal networks

Persuasion

refers to altering behaviour through reasoning and communication

Influence

refers to whenever there is a change in an individual’s thoughts, feeling, or behaviour, because of another person’s personality

Steps in persuasive communication

confirm your credibility

know your target audience or person

communicate benefits and action

reinforce your position

connect emotionally with your target audience or person

Seven Cs of effective communication

concise, complete, courteous, clear, considerate, correct, concrete

Principle of persuasion

principle of liking

principle of reciprocity

principle of social proof

principle of consistency

principle of authority

prince of scarcity