ABC Ltd.: Managing Communication in Business Operations Report

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This report provides a comprehensive analysis of communication management within the context of a new business, ABC Ltd. It delves into the importance of communication in fostering internal and external relationships, particularly focusing on stakeholder engagement and the decision-making process. The report explores various aspects of communication management, including identifying stakeholders, developing business relationships, and implementing strategies to improve communication effectiveness. It also examines the existing communication processes, suggests improvements, and offers plans for future enhancements. Furthermore, the report emphasizes the significance of information sources, both internal and external, for informed decision-making, and provides recommendations for optimizing these sources. Overall, the report offers valuable insights into managing communication for business development and success, with a focus on practical strategies and real-world applications.
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MANAGING
COMMUNICATION
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TABLE OF CONTENTS
INTRODUCTION...........................................................................................................................3
TASK 1............................................................................................................................................3
1.1 Decisions to be taken........................................................................................................3
1.2 Evaluation of information and knowledge to make decisions..........................................3
1.3 Sources of information.....................................................................................................4
1.4 Recommendations............................................................................................................5
TASK 2............................................................................................................................................5
2.1 Identifying stakeholders that affect decision-making.......................................................5
2.2 Ways to develop business relationships...........................................................................6
2.3 Strategies to involve in decision-making process............................................................6
2.4 Strategy for future improvements.....................................................................................7
TASK 3............................................................................................................................................7
3.1, 3.2 existing process of communication and ways to improve appropriateness...............7
3.3 Comparison in different process of communication........................................................8
3.4 Plans to improve communication.....................................................................................9
4.1, 4.2 Existing process and improvement on approaches of information...........................9
4.3 Ways to improve access to system of information and knowledge................................10
CONCLUSION..............................................................................................................................10
REFERENCES..............................................................................................................................11
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INTRODUCTION
Communication is a vital part of organisation to maintain a close link within and outside
the organisation. Managing communication refers to plan and implement the channels so that the
information can be passed without any barrier. To maintain good network, it is necessary to plan
the procedures and techniques used for it (Cornelissen, 2014). The present report is based on
communication management with useful techniques to manage the information related to new
business. The report will discuss the setting up of a new start up ABC ltd. in supply of quality
food and various sources useful for making decisions regarding finance and other related areas.
TASK 1
1.1 Decisions to be taken
The decision-making is a most important and a critical task which needs a detailed
though process. The decisions in any organisation are taken at every level of departments
(Maude, 2011). For ABC ltd. Company, decision-making is more difficult as the company is
going to start in the market and any one wrong decision can make its survival in danger. So,
various decisions can be made at different levels according to its complexity and need in cited
company as below:
Decisions that are risky and of long term nature that can affect industry seriously should
be taken at strategic level by top managers. These decisions are related with investments
and setting future goals or objectives which need high imaginative skills.
Next, at departmental levels, tactical decisions are made that consists of moderate risks.
Various project managers make this decision based on knowledge of their relative fields
(Ulmer, Sellnow and Seeger, 2013).
Further level of decisions are made at operational level by operations manager and
employees. These decisions may usually related to routine tasks like handling grievances
of customers or making improvement in daily functions. These type of decisions does not
need any special skills and can be made by general thinking process.
1.2 Evaluation of information and knowledge to make decisions
The various levels of decisions to be made as discussed above will help in designing
decision-making process systematic. For ABC ltd., which is a start-up various information are
necessary to collect (Borghoff and Pareschi, 2013). The decision related to location of business,
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investments required, various legal formalities to be complied, food and safety standards, and
waste management as well. After making all these decisions, business can be set up successfully
at location decided. This is also necessary to know that what sort of information is required to
collect and how it can be arranged.
The top level managers can decide about how much investment will require and
company's goals to be achieved by firm. They can use various sources for raising funds
so that business can be financed.
At tactical level, project managers should study current policies, procedures, rules etc.
to understand existing system (Dozier, Grunig and Grunig, 2013). Further, they can
find out resources for installation of various information system in organisation like
MIS, and other related software.
At operational level, company should start making routine reports, arranging
documents, filings etc. These reports are helpful in managing procedures in future and
various information can also be gathered. Personal experience can also be applied to
gain information and use it at workplace.
1.3 Sources of information
Business has to collect several information from different sources. These sources may be
internal or external as well (Dalkir and Liebowitz, 2011). The large pool of data and information
is available for company, among which organisation has to decide which source is useful for
them.
Internal sources: The information and knowledge can be gathered internally from various
daily reports of firm. These reports are sales report, financial data report and many others.
Beside this, company may conduct internal analysis of firm by applying SWOT analysis.
This will provide information regarding strength and weakness of firm along with
opportunities and threats as well. Moreover, company can research on various other
similar industries already existing in market. This will give knowledge of their strategies
used for attracting customers (Internal Sources of Information, 2016). To increase
investment in business, company can invest initial retained earnings as well.
External sources: The range of external source is wide which includes, study of market,
R&D activities, PESTLE analysis and other similar kind of strategies. Company can
collect data from external sources released by government or which are available on
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internet. One more widely used method is to collect feedback from customers. Cited firm
can ask its customers to give feedback of their work so that any improvement can be
made if required. Company can raise funds by taking some loans or contacting any
creditor who can lend money at lower rates (López-Nicolás and Meroño-Cerdán, 2011).
1.4 Recommendations
The ABC ltd. should develop their information sources to have more detailed
information. To gather information which helps in making various financial and sales decision is
a difficult task. Information collected by company from internal sources are not enough to
generate new plans and ideas. To make more efficient plans company will have to increase its
scope. Besides collecting daily reports, managers of concerned departments should personally
observe performance and activities of employees. After this, managers should make a
summarised report of achievements so that it can manage funds and have more earning to
reinvest in business (Armitage and et.al., 2011). Besides this, daily report of purchase and sales
made can help firm to decide for make or buy decision as well. External sources of information
can be collected by researching on customers. Information can be collected by surveying needs
of customers and then applying it in business. Feedback from customers who have done
shopping from the firm can be a very useful way. The food is collected from country which is
outside UK, so it will have to collect information related to importing cost. Company should
collect information about various sources who can help in arranging funds (Smith, Dinev and
Xu, 2011). Lending institutions that can provide credit at low rates should be searched out.
TASK 2
2.1 Identifying stakeholders that affect decision-making
Any business involves a number of stakeholders that are linked with business directly or
indirectly. In the mentioned case, cited firm tends to expand the business and engage in more
services along with food. So, the stakeholders that are joined with business can affect decision
making of company. The stakeholders that can affect decision making are as follows:
1. Customers
2. Suppliers
3. Government
4. Investors
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5. Competitors
These stakeholders can have great impact in decision making process of firm (Raymond,
and et.al., 2010). So company will have to make a contact with these persons through various
mediums. The mediums can be used for making contacts are through mails, calls, or by meeting
personally. These mediums will help to grow the knowledge of aforesaid company for expansion
purpose. Various information can be collected which are essential to expand business in a
particular area along with assistance of these stakeholders. The cited organisation can make
decision to buy the cafe as it will help in expanding services more with new product. Moreover,
arrangement of investment can also be done easily either by taking loans or with assistance of
investors (Von Krogh, 2012). Different suppliers can be contacted and a reasonable rate should
be fixed for smooth supply of materials.
2.2 Ways to develop business relationships
It is necessary for ABC ltd. to build a valuable and sound relation with identified
stakeholders as they will help in setting up successful business. As the company is intending to
expand its service by purchasing a new cafe, the company will be dealing in new product. So to
get assistance of all stakeholders, mentioned company will have to prove its importance and
profitability of expansion for them. Customers can be attracted by giving satisfactory services of
new product with good taste on affordable rates (Wu, Cheng and Huang, 2010). Company should
search for different suppliers who can provide quality products at reasonable rates by giving
them order of bulk products to manufacture. Following rules and regulations of food standards
and safety along with complying environmental concerns will help in getting governmental
support. Besides this, company should make best efforts to make their revenues more so that it
can provide investors good return on investment. Finally, maintaining healthy environment of
competition in market will help to inspire business to perform better. These relations can be
made stronger by regularly keeping contact through messages, e-mails etc. (Liaw, Hatala and
Huang, 2010).
2.3 Strategies to involve in decision-making process
The stakeholders can be contacted and involved in decision making by various ways in
deciding location or fixing price of product. Customers can be surveyed and asked for giving
feedback on their services. This will help in taking decision related to next strategy. It can also
take help of online advertisement and official website of company where customers can be
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invited to share their views and comments by posting on website. Different suppliers can be
contacted so that they can help in fixing competitive price of product comparing with actual cost
of goods and services (Zheng, Yang and McLean, 2010). Advice of investors can be taken to
decide good location for developing business. Financier can help to find out best location at
reasonable rates for business. Besides this, a person who has good knowledge of laws and acts
can help in fulfilling various legal formalities for setting up and expansion. Moreover, financial
advisor or lending institutions can be contacted to know information about interest rates on credit
taken by organisation. Strategies adopted by rivals should be monitored as well on regular basis
so that company may not lag behind in the competition.
2.4 Strategy for future improvements
The advancement of internet and digital marketing has broadened the scope of marketing
(Bélanger and Crossler, 2011). Customers can be reached out easily with the help of online
advertisement on one hand. While on other hand, consumers can also easily reach to organisation
by making online purchase and giving feedback on websites. ABC Ltd. should also go for
adoption of this strategy so that it can have the advantage of new technology. It will help in
knowing client's attitude towards business and this modern technique of business will make
customers more approachable. Moreover, it can also ask feedback from its other stakeholders as
well. This will help in making more sound and strong relationship with them (Lindner and Wald,
2011).
TASK 3
3.1, 3.2 existing process of communication and ways to improve appropriateness
The company is currently at the stage of growth where communication is not much
strong. The company has made various plans although which are in process of implementation
but not used up successfully. Besides this, the company is planning to contact its stakeholders by
means of emails and letters, personal contacts etc. But these have not proved much useful till
now. Internal communication is also based on long chain in which communication flows from
top to bottom. In this situation, most of the times, message reaches to the lower level in distorted
form (Ajmal, Helo and Kekäle, 2010). Besides this, sometimes on cases that need immediate
action also gets delayed due to the long communication chain. In this condition, it is very
necessary to develop an environment of cooperation and mutual understanding. The company
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should share important information and orders directly by making announcements or by passing
a circular. This will save time and message will also reach in its original form. Moreover,
company mentioned in case should also allow to break long chain of communication and contact
directly to top level managers in case of emergency (Greene and et.al., 2011). The flow of
information should flow from top to bottom as well as bottom to top so that useful information
and suggestions can be acquired from employees as well. Besides this, company can also adopt
verbal communications like arranging meetings, phone calls, video conferences etc. This type of
communication takes much less time to reach. Written communication is also a good option and
if written in a good professional way it can give a very good impression in reader's mind.
Changes according to these methods can help to improve communication process to some extent
(Cheung and Thadani, 2012).
3.3 Comparison in different process of communication
Different processes of communication can be categorised as under:
Horizontal process: This type of communication is flows among individuals and groups
who are at the same level of a company. This method is fast and direct way of
communicating in which various important information are shared.
Two way process: This communication process includes sender and receiver in which
sender sends a message through a medium, after that receiver receives it and sends a
feedback or reply.
Circular process: This way of communication shows the process which continues to run.
When one message is received by the receiver, a new message is sent and it again starts
with beginning (Ngai, Chau and Chan, 2011).
The communication process in most of the established organisation follows a vertical
process in which message and information flows from top to bottom. This way is adopted in big
enterprises as they have a long organisational structure and message cannot be given directly to
lower level. Hence message reaches flowing through different levels. While in new firms or in
case of start-ups, there is not any wide organisational structure so message flows in horizontal
way. Company should ensure that this structure should remain simple and short so that in future
also communication remains easy (Cornelissen, 2014). Flow of message should remain from top
to bottom and bottom to top as well to ensure free flow of message.
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3.4 Plans to improve communication
To develop my personal skill of communication, first I would choose a process of
communication in which I will be assured that message has received by receiver in right way. So,
the best way will be two way process of communication in which once message is received by
receiver, a feedback can be asked. This reply will ensure that communication was successful.
Moreover I would like to do group discussion as well so that I can improve my verbal
communication. I would assure that mediums used for communication are in well condition.
Besides this, I would like to improve my writing skills as well by referring mails and letters used
previously or through internet.
4.1, 4.2 Existing process and improvement on approaches of information
The organisation is currently following horizontal way of communication along with top
down approach. Through this vertical and horizontal way of communication, company is not
able to establish an ideal process of communicating. This needs a provision to set up a different
way of communication through which appropriate way of collection, formatting and
disseminating of information can be set up. The company is not able to manage its planning of
distributing work and projects to the concerned managers which makes delay in work. The
project managers and supervisors also face lack of guidance as the works are not planned in firm
(Maude, 2011). This has led to increase the feeling of frustration among employees. The burden
of work have also gone up along with less guidance, which makes their morale low. So the firm
is in immediate need of well management so that work can be allotted in time to the right
persons. Deadlines can be given which should be enough to accomplish the task. The
communication is flowing in informal way creating confusions. Nobody knows that who is
responsible to solve any specific problem and how anyone can get guidance for it. Discipline in
company is also questionable where nobody is getting supervised in well manner (Ulmer, R.R.,
Sellnow and Seeger, 2013).
Company can improve its current condition by making some plans for collecting
formatting and disseminating information. To collect information on any subject, organisation
should rely on authorised and reliable sources. This can be done through collecting all contents
directly by a reliable person of firm. Feedback from employees should be collected along with
their suggestions. Any area which needs changes, it should be done as soon as possible.
Company should apply a good time management and its implementation responsibilities should
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be assigned to respective managers of department. Employees should be given proper guidance
in their work and motivation as well so that their morale does not go down (Dalkir and
Liebowitz, 2011). This will make proper coordination and cooperation among all departments
which will boost improve the current system in the organisation.
4.3 Ways to improve access to system of information and knowledge
The company can develop its access to information and knowledge through a good
management of system. The company should make an environment at workplace where ever
employee can feel free to share their ideas, suggestions and problems as well. This can be done
by asking suggestions of workers in decision making process. Besides this, projects handled by
firm should be guided by professionals which can be hired from outside as well if needed (Smith,
Dinev and Xu, 2011). Company should develop its activities of researching and surveys with
proper market studies so that they can plan strategies based on reliable sources. Organisation
should go for installing a proper MIS to collect information that are important for company and
used frequently. Assistance of internet can also be taken to make some of the complex functions
easier. Employees should be hired on the basis of their talents and skills that may be useful for
company. Improver, top level managers should continuously keep supervising activities of
employees. They can also ask feedback on performance of lower level employees from their
immediate supervisors (Raymond and et.al., 2010). On other hand, lower level employees can be
asked to give their views on their managers and supervisors. This will make owner and top level
managers acquainted with current position of company with regard to functions of all employees.
CONCLUSION
The report on managing communication is based on all requirements related to a start-up
firm. The aspects which are important for making good relations with stakeholders of business
are discussed in report. Besides this, firm is also facing some difficulties in managing
communication internally. So various ways have been suggested in the research report which
may be helpful in improving the business conditions. Moreover, comparison of different
communication process have been done and on that basis report have depicted the importance of
two way process of communication. In nutshell, the above report has suggested ways to improve
and manage communication so that a business can achieve constant growth.
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REFERENCES
Journals and Books
Ajmal, M., Helo, P. and Kekäle, T., 2010. Critical factors for knowledge management in project
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Bélanger, F. and Crossler, R.E., 2011. Privacy in the digital age: a review of information privacy
research in information systems. MIS quarterly. 35(4). pp. 1017-1042.
Borghoff, U.M. and Pareschi, R. eds., 2013. Information technology for knowledge management.
Springer Science & Business Media.
Cheung, C.M. and Thadani, D.R., 2012. The impact of electronic word-of-mouth
communication: A literature analysis and integrative model. Decision Support Systems.
54(1). pp. 461-470.
Cornelissen, J., 2014. Corporate communication: A guide to theory and practice. Sage.
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Dozier, D.M., Grunig, L.A. and Grunig, J.E., 2013. Manager's guide to excellence in public
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Greene, J.A. and et.al., 2011. Online social networking by patients with diabetes: a qualitative
evaluation of communication with Facebook. Journal of general internal medicine. 26(3).
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Liaw, S.S., Hatala, M. and Huang, H.M., 2010. Investigating acceptance toward mobile learning
to assist individual knowledge management: Based on activity theory approach.
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organizations. International Journal of project management,29(7). pp. 877-888.
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and organization: An overview and introduction to the special issue. Organization Studies.
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López-Nicolás, C. and Meroño-Cerdán, Á.L., 2011. Strategic knowledge management,
innovation and performance. International journal of information management. 31(6). pp.
502-509.
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Maude, B., 2011. Managing cross-cultural communication: Principles and practice. Palgrave
Macmillan.
Ngai, E.W., Chau, D.C. and Chan, T.L.A., 2011. Information technology, operational, and
management competencies for supply chain agility: Findings from case studies. The
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Smith, H.J., Dinev, T. and Xu, H., 2011. Information privacy research: an interdisciplinary
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Ulmer, R.R., Sellnow, T.L. and Seeger, M.W., 2013. Effective crisis communication: Moving
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Von Krogh, G., 2012. How does social software change knowledge management? Toward a
strategic research agenda. The Journal of Strategic Information Systems. 21(2). pp. 154-
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Wu, G.C., Cheng, Y.H. and Huang, S.Y., 2010. The study of knowledge transfer and green
management performance in green supply chain management. African Journal of Business
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Zheng, W., Yang, B. and McLean, G.N., 2010. Linking organizational culture, structure,
strategy, and organizational effectiveness: Mediating role of knowledge management.
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Online
Internal Sources of Information. 2016. [Online]. Accessed through:
<http://www.contentedwriter.com/internal-sources-of-information/>. [Accessed on 22nd
October 2016].
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