Effective Policies for Productive Working Relationships

This report highlights the importance of policies in business communication to ensure productive working relationships. Policies help staff comply with legislation and ensure consistent decisions are made. However, implementing and maintaining policies comes with costs, including additional resources needed, cost of development, and increasing sophistication requiring employee training.

Business Communication
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Table of Contents
INTRODUCTION ..........................................................................................................................3
TASK 1............................................................................................................................................3
P1. Explain different types of business information, where the information originates from
and the purpose of the information and analyse them.................................................................3
M1...............................................................................................................................................3
D1. .............................................................................................................................................4
TASK 2............................................................................................................................................4
P2. Present complex internal business information using written document, verbal
presentation and power point as appropriate in the context .......................................................4
P3. Produce corporate communications for your chosen organisation .....................................6
P4. Evaluate the external corporate communications of an existing product or service.............6
D2................................................................................................................................................7
TASK 3............................................................................................................................................7
P5. Explain the legal and ethical issues in relation to the use of business information .............7
P6. Explain the operational issues in relation to the use of business information .....................9
CONCLUSION..............................................................................................................................10
References......................................................................................................................................11
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INTRODUCTION
Business communication is the sharing of information between people within and outside
the organization that is performed for the commercial benefit of the organization. It can also be
defined as relaying of information within a business by its people. In this report, different types
of business information, where the information originates from and the purpose of the
information, complex internal business information, corporate communications, external
corporate communications, legal and ethical issues in relation to the use of business information
and operational issues in relation to the use of business information have been discussed.
TASK 1
P1. Explain different types of business information, where the information originates from and
the purpose of the information and analyse them
The following are the different types of information used in Argos:
 Verbal Information - The best way to communicate but not always the most efficient. It is
immediate and can solve most problems.
 Written Information - Can be words, diagrams, graphs and charts. Can come from a wide
range of sources - newspapers, books, trade journals and government publications.
 On-Screen Information - Information may be produced on-screen. This can be seen in
multimedia TV and CD-ROMs that combine text, graphics, animation, audio and video.
 Multi-Media Information - This means multiple forms of media integrated together.
Media can be text, graphics, audio, animation, video, data etc. An example could be a
webpage with interactive guide and narration.
 Web-Based Information - This displays many benefits of multimedia technology. Today's
fast broadband speeds allow you to stream sophisticated content to a computer anywhere
in the world. This allows somebody to access this information wherever they are. This
can also be accessed by smartphones.
M1.
Internal - Internal information could come from a variety of sources within the organisation.
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External - External data exists in the form of published materials, collected by someone else
outside the company.
 Government - These are supplied by, among others, the ONS, the DTI and the OECD.
Some of the key government publications include the Monthly Digest of Statistics,
Regional Trends and Labour Market Trends.
 Trade Groupings - These are groups of businesses from the same industry or marketplace
that provide a service to representatives of their industry. They can act as pressure groups
to initiate positive change for their industry. They also publish trade journals which can
be very useful.
 Commercially Provided Databases - Many private research organisations specialise in
building up databases of people who are known to have interests in certain products and
services. These can then be bought.
 Research – Argos can continually conduct research to find out about their markets,
customers and views of their staff. Market research always incorporates some form of
data collection, whether it is secondary research or primary research.
D1.
Offering competitive insight - Businesses need to be aware of what their competitors are doing,
to ensure they do not fall behind and lose sales and market share. Regular research and
communication should help a business to assess its competitors' sales, marketing and
development activities.
Communicating sales promotions - Businesses use a variety of information and methods to
communicate sales promotions to customers. They place information about products, services
and special offers on their websites, and have newspaper and journal adverts, and television and
radio adverts. Good market research information will offer an insight into the behaviour patterns
of customers and their buying motivations. Information can therefore help businesses to promote
their goods and services and to sell more effectively.
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TASK 2
P2. Present complex internal business information using written document, verbal presentation
and power point as appropriate in the context
Mission statement: We provide our customers with the best value for money through the most
convenient shopping experience.
Goals To provide a very convenient way for customers to shop
Objectives
 To offer the right combination of choice, value and convenience
 To create a compelling competitor advantage
 To effectively communicate to the customer base
Following is the financial statement of argos:
Argos operating highlights
 Completed the national roll-out of market leading Fast Trackƒ
 propositions for both same-day home delivery and store collection
 Opened 94 digital concessions and collection points, taking the totalƒ
 number to 114
 Total of 177 digital stores, representing 21% of the Argos store estateƒ
 Internet transactions accounted for 49% of total Argos sales, includingƒ mobile commerce which grew by 10% to represent 28% of total sales
Group financial highlights
 Sales down 1% to £5,668m; flat at Argos, down 3% at Homebaseƒ
 Cash gross margin down 3% to £1,978mƒ
 Operating and distribution costs decreased by £21m to £1,887m, Argosƒ
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 costs increased by £22m, Homebase costs decreased by £44m
 Benchmark profit before tax decreased by 28% to £94.7mƒ
 Basic benchmark earnings per share decreased by 28% to 9.3pƒ
 The recommended offer from J Sainsbury plc for the purchase of Homeƒ
 Retail Group plc resulted in an exceptional goodwill impairment charge
 of £852m, leading to a total loss after tax of £808m
 Year-end cash balance of £623mƒ
P3. Produce corporate communications for your chosen organisation
About
Argos is a British catalogue retailer operating in the United Kingdom and Ireland, and a
subsidiary of Sainsbury's. Argos was established on 13 November 1972, by Richard
Tompkins, the founder of the Green Shield Stamps scheme, who rebranded the existing Green
Shield Stamps catalogue shops as Argos, before opening new Argos-branded stores later in the
year.
Catalogues
Argos publishes catalogues twice a year (a spring/summer edition in January and an
autumn/winter edition in July). The in-store shopping process involves completing a small
order form with the catalogue numbers of the desired items. Argos provides red pencils in
stores for this purpose. Additionally, "Quick pay" kiosks are also available to place orders and
pay.
Catalogues are complemented by seasonal sales flyers, offering non-catalogue lines and price
reductions on existing deals. Other items are sometimes available in stores, such as ex-
catalogue goods at reduced prices, especially after the launch of a new catalogue.
P4. Evaluate the external corporate communications of an existing product or service
Communication with Channels
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By communicating with customers through direct marketing channels, distributors or
business partners, Argos enable sales and delivery of their goods and services in ways that end
up providing benefits for each party. It also targets partners and suppliers with offers of reduce
prices using communication mechanisms such as brochures, functional specifications and selling
guides. Through external communication documents such as requests for proposals or statements
of work, Argos sets up business relationships allowing them to prosper in a complex, global
marketplace.
Promotional Literature
Argos promote their products by communicating the benefits and features in printed
product or service literature. Functional specifications, reference manuals and other product
documentation enable customers to decide if the product meets their needs. Literature also
convinces potential customers that products provide a return on investment and an affordable
total cost of ownership.
Product Training and Support
Argos also present their products at trade shows and events to demonstrate their personal
or business use. They conduct training courses to show people how to use product functions and
certify personnel in product usage. Argos offers instructor-led training, virtual events using Web
conferencing software and self-paced courses to meet the needs of busy professionals.
D2.
Use of external communication by Argos typically includes email, brochures, newsletters,
posters, advertisements and other forms of multimedia marketing designed to attract customers,
partners and suppliers to conduct profitable business transactions. Unlike internal
communications, directed at employees to explain policies and procedures, external
communication contribute to success of Argos as it promotes sales and publicity, generates
sponsorship, announce events, products or services and support branding. Marketing
professionals use persuasive techniques to influence others in their external communication
strategies.
TASK 3
P5. Explain the legal and ethical issues in relation to the use of business information
Legal issues may arise if the following legislation are not followed:
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Data Protection Act 1998
Many businesses store and use information about people. The Data Protection Act protects
information held about people from being misused. The information stored by businesses on
databases must be:
 Obtained fairly and lawfully
 Used only for the purposes stated during collection
 Adequate, relevant and not excessive in relation to the intended use
 Accurate and up to date
 Not kept for longer than necessary
 Processed in line with your rights
 Subject to procedures to prevent unlawful processing, accidental loss, destruction and
damage to personal data Protected from transfer to an area outside the European Economic Area (EEA) unless
adequate protection exists for that data
Ethical Issues
Business ethics are moral principles concerning acceptable and unacceptable behaviour by
businesses. Codes of practice exist in organisations to maintain business ethics on: Use of email: Argos need to have a code of practice on the correct use of email. Internet: Many companies also have a code of practice on the use of the internet and
what their employees can and cannot use the internet for. There are also codes of practice
which govern selling on the internet, which many businesses adhere to. Whistle-blowing: This is an employee who raises a concern about a business practice -
either to management within the company or to an outside organisation (e.g. the press)
The concern may relate to fraud, crime, danger or any other serious risk that could impact
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on customers, colleagues or any other stakeholder or the organisation's reputation.
Whistle-blowers may receive legal protection through the Public Interest Disclosure Act,
but the offence being reported must constitute a deliberate attempt to break the law.
 Organisational policies: Organisations may have many policies to ensure that their
businesses practices with regard to information can be done more ethically. This could be
anything from how they manage information to ensuring marketing and other business
practices are fair and just.
P6. Explain the operational issues in relation to the use of business information
Organisations have to store and manage countless pieces of information, with some being far
more important than others. Lying at the heart of any information system are two fundamental
issues of ensuring that:
 The organisation receives the information it requires
 The appropriate member of staff receives the information
To make sure that information is managed appropriately, a number of policies and procedures
have to be put in place, concerning:
Security of Information
Information security management deals with maintaining the integrity and availability of
organisational information and knowledge. Many companies keep their information on IT
systems, but as the reliance on technology increases, so does the risk posed by system failure and
malicious attacks (e.g. viruses). The IT security policy should take account of the common risks
to the information that their business relies upon. This might include secure login ID for using IT
systems.
Backups
Most businesses like Argos need to have a back-up system in place.
Organisational Policies
Policies that relate to the use of business information can help make sure that decisions affecting
staff:
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 Are understandable and consistent
 Meet legal requirements
 Take full account of their impact
 Contribute to productive working relationships
Policies help make sure that staff have guidance to help them comply with legislation (Data
Protection Act for example). They should also help ensure that consistent decisions are made,
which can be as important in internal communications as they are in handling customers.
Costs
Most businesses would like to implement the above policies but there are always costs involved.
When deciding what policies to adopt and what measures to take, businesses need to consider the
implementation and maintenance costs versus the benefits to the organisation. Some key
considerations are: Additional resources needed - Would the business need to purchase new equipment or
employ additional staff Cost of development: Is the solution already available (off the shelf) or will they need to
develop it themselves (bespoke)
 Increasing sophistication - As there becomes a greater reliance on technology, and that
technology becomes more and more advanced, there must be training for the employees
on how to use it. If this is not done then the equipment or technology becomes less
effective
CONCLUSION
Through this report, one can understand the business communication tactics and the
operational issues in relation to the use of business information, legal and ethical issues in
relation to the use of business information, external corporate communications of an existing
product or service.
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References
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Stephen M. Millett,2006. Futuring and visioning: complementary approaches to strategic
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