Importance of Formal Communication in Business

The provided report emphasizes the importance of communication in a business organization. It discusses different methods and principles used by organizations to communicate effectively with employees and clients. The report concludes that clear message transfer is crucial for carrying out further procedures in an organization, making formal communication essential.

COMMUNICATION
SKILLS FOR BUSINESS

Table of Contents
INTRODUCTION...........................................................................................................................3
TASK 1 – Covered in PPT...............................................................................................................3
TASK 2 – ORAL COMMUNICATION.........................................................................................3
TASK 3 – COMMUNICATION IN WRITING..............................................................................4
CONCLUSION................................................................................................................................6
REFERENCES................................................................................................................................8

INTRODUCTION
Communication skills are very essential part of someone's personality and plays a key
role in achieving success. This involves interaction with two or more parties. Effective
communication is achieved when one person says something and other person understands the
message of the sender. Now days, communication skills are required to rise to top of the
business. It enhances your personality and value among the people. This assignment will focus
on different communication model and systems (Kurtz, Draper and Silverman, 2016). It will also
includes different methods of communication as well as benefits of informal and formal
communication to business. Use of technology in communication, principles and effective
barriers of communication are also mentioned. In addition to this, oral communication and
communication in writing is also enlighten.
TASK 1 – Theory of Communication
1) Communication models and system used in business
Communication simply refers to the transfer of information from one place to another.
Some of the communication model are mentioned below:
Aristotle Model of Communication: Aristotle was the one who first took the initiative
to design the communication model. He developed linear model of communication and this
model was widely used amongst all other communication model. It is mainly focused on speaker
and speech and is broadly classified into 5 elements – Speaker, Speech, Occasion, Audience and
Effect. It is a Speaker oriented model as it plays the major role in transferring the message from
one place to another. Audience role is passive and is influenced by Speech. This makes the
communication process, one way. The Speaker should give Speech according to the target
audience and situation(Occasion).
Shannon and Weaver Model of Communication: This model is one of the most popular
model and is widely accepted (Certo, 2018). Main elements used in this models are Sender
(Information source), Encoder (Transmitter), Channel, Decoder (Receiver), Receiver
(Destination) and Noise. In this, sender encodes the message and sends to the receiver through a
channel (telephone, etc.). sender convert the message into code which is understandable by the
machine and send it through medium. On the other hand, receiver decodes the message. Noise is
sometime present in channel due to which receiver find some problem in decoding it.

Communication system included different communication networks, transmission
systems, relay station, data terminal equipment usually capable of interaction to form an
integrated whole. It facilitates successful transmission between sender and receiver. Following
are some types of communication systems:
Duplex communication system: In this, two or more parties are involved and they
communicate in both directions simultaneously. For e.g.: Employee talking on the phone with his
stakeholders related to any business deal (Rosemann and vom Brocke, 2015). In this, there is two
way communication.
Half Duplex communication system: In this, different parties can not communicate with
each other simultaneously. There is one way communication, either sender can send the signals
or recipient can respond to the sender.
Tactical Communication system: In this, the communication changes with change in
environmental conditions and other situation.
All the above communication system and models are used to establish secure and
successful transmission between two or more than two parties. These are widely used in
organisation in order to communicate with employees and stakeholders.
2) Communication methods and technology in business.
There are several methods of communication through which two parties can
communicate. Company uses different modes in order to exchange their message to others. Some
of the methods are given below:
Non verbal communication: This communication includes gestures, eye contact, facial
expressions, body language, tone and pitch of the voice, etc. It is a powerful tool and help to
connect with others via expressing feelings (Hashim, 2015).
Verbal communication: In this, two or more than two parties communicate with each
other with the help of speech. Information, feelings, thoughts, memories, etc., are shared or
exchanged with the helps of words.
Written communication: In this, communication takes places in written form. It is the
best and trustworthy mode of communication. Communicating through this mode is essential in
this modern world. It has great importance in every organisation as all the records and other
important and confidential details are written and preserved.

Visual communication: The information is shared and exchange by using symbols and
images. This method of communication is mostly reliable by people and it mainly includes signs,
symbols, graphic designs, films, etc.
There are several benefits of formal and informal communication used in organisation
and are given below:
FORMAL COMMUNICATION
 Smooth communication System: This communication moved according to a defined
channel and therefore everyone in the organisation is aware about the sender and
receiver, where to send the information and who will receive the message (Stokoe,
2014).
 Increase in efficiency: Formal communication increases the communication in
organisation as the communication channel is already determined, this prevents possible
chaos at the time of communication. It facilitates faster communication between the
parties.
 Co – ordination of work: This type of communication facilitates better coordination of
work within different departments of an organisation.
INFORMAL COMMUNICATION
 Alternative system: There are some information of organisation which cannot be send
through formal methods and therefore requires an alternate way to transmit the message.
The method used here is informal communication.
 To present grievances: Employees of organisation cannot share their feelings and other
issues by using formal methods, in that situation, they can communicate with their
superiors in informal way. This gives them better opportunity to raise their complaints,
grievance or claim.
Technology that are used in communication has become a necessity for business to carry
out their operation and activities in smooth manner (Schermerhorn and et. al., 2014). They
communicate with employees, customer, clients, etc. through e- mails, mobile phones, video
conferencing, video chat, social media channel, etc. Below are some uses of technology in
communication to business.

 Easy product launch: With better communication technology, company can manage
their product launch more effectively. They can use email, visuals, message, etc can be
used to make customers aware about the product.
 Video conferencing: In earlier time, meeting cannot be started until the boss is not
present in the office but now days, with the help of video conferencing, business officials
can communicate with experts and other professional who are present in different
countries (Royle and Laing, 2014).
3) Principles of communication
If company wants to make smooth communication, then they can follow some principles
of communication:
Principle of Simplicity: The message which is to be shared should be prepared in easy
words and languages so that the next person can easily understand the message.
Principle of Clarity: The message prepared should address the message clearly. An
ambiguous message will not be able to make effective communication.
Principle of Brevity: Message prepared should be in concise manner and should avoid
making long messages as it can cause disturbance. Only appropriate points should be written in
the message.
Principle of Planning: Proper planning should be done before writing up the message.
This will facilitate easy understanding by the recipient and no wrong message can be transferred.
Above are some important principles of communication and below are the barriers to
effective communication:
 Physical barrier: This include those communication methods which has become
outdated and old fashioned, which always cause disturbance like noise, sound, etc., while
communicating to others (Bedwell, Fiore and Salas, 2014).
 Difference in perception and vie points can also lead to improper communication and
misunderstanding between the parties.
 Cultural differences: There are different people belonging to different cultures and all
have unique way to communicate with others. This is a great barrier to communication.
Emotional attitude: When one person's emotions are strong and in that condition, he might not
able to understand the frame of mind of other person or group. Emotional attitude of both will
obstruct the free flow of transmission and understanding of message.

TASK 2 – ORAL COMMUNICATION
Oral communication is the process by which information is expressed by word of mouth.
It is crucial to be efficient and fluent in communication skills as they are the tickets to success.
With the help of oral communication, one person can share his thought, ideas, information
verbally to other person (Hesselbarth and Schaltegger, 2014). It can be both, formal and
informal. Examples of formal oral communication are given below:
 Presentation at office meetings.
 Lectures taken in classroom.
 Speeches at graduation ceremony.
Following are some examples of informal oral communication:
 Face to face communication. Telephonic communication.
Me: How can I help you sir?
Unsatisfied Customer: I am not at all satisfied with your delivering services. I have ordered
some product and your company delayed the delivery.
Me: I m so sorry for inconvenience, as our company was facing some technical problems and
due to that, we were unable to deliver your item on time.
Unsatisfied Customer: But still, I am not satisfied with the excuse.
Me: Sir, it is not an excuse, we were actually going through some technical difficulties, our
software was not properly working so we were not able to track any order at that time and that
is the reason we couldn't reach you on time.
Unsatisfied Customer: OK, this time, I understand your problem, but next time, try to manage
your problems efficiently and not to bother your customers.
Me: I am so sorry for so much bothering, I will surely take care the next time. Thank you for
your understanding.
Unsatisfied Customer: No issues and try to deliver your products on time.
Me: Sure sir. Thank you for your patience.
From above conversation it has been observed that effective oral communication impact
positive behaviour on unsatisfied customers. By politely interacting with the customers and

telling them the main issue convinced the unsatisfied customers. It is necessary to communicate
out the issues in proper manner, this have the capacity to resolve toughest problem in easy way.
TASK 3 – COMMUNICATION IN WRITING
Written communication involves writing of ideas and information. It is the best way to
communicate with other person. It is necessary to write every detail of information in clear,
concise and unambiguous manners so that receiver can understand the message easily. This
communication can be taken place in two forms and they are formal and informal. Business
organisation mainly uses formal way of communication in order to communicate with employees
and clients as this facilitates interaction in determined manner and avoid any type of disturbance
(Moss, 2017). They mainly uses E-mails, fax, messaging and other ways.
CV: Below is the CV for the job vacancy of HR in Wiser.
CURRICULUM VITAE
Name:
Address:
Contact Number:
Email Address:
Career Objective:
I want to work with good organisation in order to increase my skills and talents and serve the
organisation with my best.
Educational Qualification:
 Matriculation with 70% marks Intermediate with 75% marks
Other Skills:
 3 years course Bachelor in Commerce. 2 years course of Master and Business Administration.
Experience: 2 years of experience of HR manager in Talent Plus company
Personal Skill/Knowledge:
 Energetic

 Ability to work under pressure.
 Honest Loyal.
Personal Profile:
 Father's name-
 Date of Birth-
 Religion-
 Marital Status- Nationality-
Declaration:
I hereby declare that all the data that has been provided above is correct to the best of my
knowledge and belief.
Date:
Place:

E- mail : Below is an example of an E- mail for job post of HR in Wiser
From: [e-mail]
To: hrwiser.org
Subject: Applying for HR post
Respected Sir/ ma'am,
I am interested to apply for the vacant job position of HR in your esteemed organisation. I have
attached by resume for the same.
I have experience of two years and is looking for more opportunity which I can seek from your
organisation.
Thanks and Regards
Sara
Letter: Below is an example of formal letter.
B- 105, Villa street, London, UK
11 June, 2018
To,
Mr. Stefan
London, UK
Respected Sir,
My name is Sara and I am interested for HR job at your esteemed company. I have done my
graduation in B. Commerce and Master of Business Administration with specialization in HR. I
have two years experience as HR manager in Talent Plus company and seeking job at your
organisation.
Thank you and I am looking forward for working with your company in future.
Yours Sincerely,
Sara
CONCLUSION
From the above prepared report, it has been concluded that communication process in
business organisation is crucial in order to achieve success. There are different methods and
principles used by organisation to effectively communicate important information to employees

and clients. They mostly used formal communication which have pre- determined structure and
facilitates proper flow within organisation. There are various means of written communication
that can used and they are e- mails, CV, fax, etc. It is crucial to transfer clear message to receiver
so as to carry out further procedures in the organisation.

REFERENCES
Books and Journals
Kurtz, S., Draper, J. and Silverman, J., 2016. Teaching and learning communication skills in
medicine. CRC press.
Certo, S.C., 2018. Supervision: Concepts and skill-building. McGraw-Hill Education.
Rosemann, M. and vom Brocke, J., 2015. The six core elements of business process
management. In Handbook on business process management 1 (pp. 105-122). Springer
Berlin Heidelberg.
Hashim, J., 2015. Information communication technology (ICT) adoption among SME owners in
Malaysia. International Journal of Business and Information. 2(2).
Stokoe, E., 2014. The Conversation Analytic Role-play Method (CARM): A method for training
communication skills as an alternative to simulated role-play. Research on Language and
Social Interaction. 47(3). pp.255-265.
Schermerhorn, J., and et. al., 2014. Management: Foundations and Applications (2nd Asia-
Pacific Edition). John Wiley & Sons.
Royle, J. and Laing, A., 2014. The digital marketing skills gap: Developing a Digital Marketer
Model for the communication industries. International Journal of Information
Management. 34(2). pp.65-73.
Bedwell, W.L., Fiore, S.M. and Salas, E., 2014. Developing the future workforce: An approach
for integrating interpersonal skills into the MBA classroom. Academy of Management
Learning & Education. 13(2). pp.171-186.
Hesselbarth, C. and Schaltegger, S., 2014. Educating change agents for sustainability–learnings
from the first sustainability management master of business administration. Journal of
cleaner production. 62. pp.24-36.
Moss, B., 2017. Communication skills in health and social care. Sage.