After completing this unit , you will be able to :
Comprehend the concept of communication
Discuss the importance and objectives of communication
Explain the process of communication
Learn about the different types of communication
Describe the 7 C’s of communication
Communication refers to a process of exchanging
facts, ideas, thoughts, beliefs or opinions between two
or more individuals.
The process of communication includes encoding,
channeling and imparting information by a sender to a
receiver with the help of medium. The receiver
receives, decodes, and understands the message and
sends his/her feedback to the sender.
4. Importance of Communication
Communication is the most important ingredient of any
business. However small or big, a business bay be, its
success depends on how effective its communication
system is , whether it is within the organization or outside
Inaccurate or ineffective may lead to conflict within the
organization and loss of goodwill outside it.
Communication skills are prerequisite(require) to
personal, academic and professional success.
5. 1. Effective communication skills help young managers to
kick start their career, in fact, according a study the basic
skills required at the entry level of today’s jobs are
communication skills and this includes all aspects of
communication that is , oral, written and the listening
2. Evening for building good relations in any professions,
you require good interpersonal skills for which in turn
you require excellent communication skills.
6. 3. For every profession , communication skills are
important , as they help in smooth and effective
working of an organization.
4. Good communication skills can enhance your career
growth , personality and you have the confidence to
influence and to motivate rather than just command
7. 5. Effective communication can help in achieving
organizational success as well because the satisfaction
level of the employees and hence the productivity level
6. Even an individual’s own effectiveness increases by
enhancing communication skills.
Thus it is in the interest of both an individual and an
organization . It becomes very important for all to study
Communication and understand and adopt the various
techniques that can help to enhance tha productivity of all ,
thereby looking forward to success.
To exchange information
To provide advice and counseling
To issue orders and instructions
To Impart education and training
To raise morale
To give suggestion
9. 1. To exchange information
The most important and basic purpose of communication
is exchange of information. In an organization, the
management needs to keep its employees well informed
about their role and responsibility in the organization and
about the goals, policies and rules of the organization.
Well informed employees always perform better and the
environment is also more conducive, hence the
productivity is more.
Similarly , if an organization communicates effectively with
its clients , the clients are more satisfied and organization
improves its image in the market.
10. 2. To provide advice and counseling
It is the duty of managers or superiors to provide assistance
to their subordinates in the task assigned to them. The
advice and counseling may be either on official or on
personal matters. This becomes important so as to improve
the productivity of the subordinates and hence the
The official advice may be related to a particular task or the
goals, policies and rules of the organization.
The manager also needs to take that his team members are
not under undue stress. Psychological counseling can help
the de-stress a person and improve his performance.
11. 3.To issue order and instructions
The order and instructions are based on the authority
of the superior and the subordinates are expected to
follow them. These again may be given in a written
form or orally as the need may be. But the important
fact to remember here is that the orders and
instructions always travel Downwards in the
hierarchical pyramid or one-way flow only.
An important thing to remember is that the orders and
instructions should be properly communicated in a
clear language to avoid any miscommunication .
12. 4.To impart education and training
Communication is also used for the purpose of
educating the masses about the product and services
of the organization . Unless the consumers are made
aware of the products and services, they will not use
The price, the quality , the used are some of the
important factors that every consumer needs to be
made aware of and this is done through
advertisements in the newspaper, magazines etc .
13. 5. To motivate
Motivation activates a person and channelizes his entire
energy and attitude towards the attainment of the desired
goals . A good manager should know to motivate a team,
so that he need not order them to work. Motivated people
work harder and perform better.
To motivate subordinate, a manager needs effective
communication skills or rather people’s skills as we call
them. An organization can motivate their employees by
providing them incentives . Monetary benefits are perhaps
the most effective form of motivation. Other ways can be in
the form of appreciation awards, even simple praise for
outstanding efforts sometimes can increase the
productivity of employees.
14. 6. To raise Morale
High morale and efficient performance go hand in hand.
An efficient system of communication helps to boost the
morale of the employees. If there is a positive and
conducive environment in the organization, the morale of
the employees is high. The high morale leads the
organization to its desired goals. Care needs to be taken
that the polices of the organization do not reflect any
negative attitude towards the employees.
Upward communication helps to release pent-up emotions
and de-stress the employees. And in today’s scenario this is
very much required. A healthy environment, minus
negative approach and minus rumours helps an
organization to move ahead towards its desired goals.
15. 7. To give suggestion
Good ideas on a subject may come from all working in
an organization. It is usually observed that suggestion
boxes are maintained in the organizations, these days.
This is actually improving the upward communication
and letting the employees know that their opinion also
matters. Obviously, this leads to motivated and happy
employees and hence the organization grows.
16. 8. To persuade
Persuasion means, ‘to influence the beliefs and
attitude of others’. The success of any business
depends on the art of selling of its services or products.
And persuasion is an art which everyone needs to excel
at. Good communication skills, both oral and written,
are helpful in developing good persuasion skills.
17. 9. To warm
Although harsh, but warning is an objective of
communication. It may involve warning subordinates
on account of their misbehavior, negligence, defiance
of rules, and lack of punctuality or any other action on
the part of the employee which could harm the
organization or its image in the business world.
18. Process of Communication
The communication process consists of six basic elements: encoding,
message, decoding, receiver, and feedback. The process of
communication is shown in Figure.
Elements of Communication Process:-
Sender Encoding Message
Feedback Receiver Decoding
19. Now, let us discuss the elements of communication ( as shown in figure) in
Sender: Refers to a party or agent who sends the intended message to
another party or agent. Sender is also referred as a source in the process
Encoding: Refers to a process that puts the thoughts in a framework of
symbols or words.
Message: Refers to the collection of symbols or words that together
convey the intention of the sender. The message is sent by the sender to
Decoding: Refers to the process of deciphering the received message
and understanding its intended meaning.
Receiver: Refers to a party or agent who receives the sent message. The
receiver is also called audience or destination.
Feedback: Refers to the response of the receiver to the message of the
sender. This part of the communication process establishes a two – way
communication between the receiver and the sender. It can be an
acknowledgement of receiving the message or reply to the message.
20. Types of Communication
In an organization, communication can be categorized on
the basis of channel used, direction of information
flow, and the means used to communicate.
Managers issue orders and instructions to employees to
enable them to carry out their work effectively. This form of
communication is formal. Sometimes, informal
communication also takes place among the individuals in
the organization due to superior to subordinate,
subordinate to the superior, or between supervisors/
subordinates at the same level.
Apart from this, an organization communicates
21. Types of Communication :-
On the Basis of
On the Basis
On the Basis of
22. Basis of Channels
Formal Communication: This type of communication occur in a
formal pattern that is acceptable in a organization. It involves
meetings, conferences, corporate letters and written memos within the
organization. The formal communication can take place between two
strangers at the time of first meeting. Thus, the formal communication
follows a straightforward , rigid, precise and official approach.
Informal Communication: Includes a free and uninhibited
communication between two agents, parities or people who share a
rapport with each other. Such communication needs to two people who
have same wavelengths or common interests. It involves
communication between friends and family members. This type of
communication is not based on any rigid rule or guideline and does not
have any restriction of time or place. Online chats and long telephonic
talks are the examples of informal communication.
23. Basis of Direction
Upward Communication: It refers to the flow from the
lower level to upper level of organizational hierarchy. For
example , when an employee makes a request or
communicative idea to the senior. Upward communication
encourage the active participation of employees in the
functions or their departments.
Downward Communication: it refers to the flow from
upper level to lower level. For example, when a superior
issued orders and instructions to subordinates . When a
general manager passes orders to supervisors, the flow of
communication is downward. It includes new policy
through official statement, memos, reports, speeches,
notices and meetings.
24. Horizontal Communication: it refers to the communication
taking place among the members at the same level in the
organization. For example, marketing manager may
communicate the marketing plan to the production manager.
The flow of communication between the individuals at the same
Diagonal Communication : Refers to the communication that
takes place between individuals in different departments and at
the different levels of organizational hierarchy. Diagonal
communication takes place under particular circumstances. For
example, a diagonal communication takes place when a head of
a department at on one branch of a bank communicates with a
cashier of the other branch of the same bank.
25. Basis of Means Used
Verbal Communication: It take place with the help of
sounds, words and language. The various languages spoken
throughout the world have been originated from a number
of a sounds and gestures. It is an integral part of
communication that involves people belonging to different
cultures, ages and races. This communication involves the
act of speaking , which is an effective way of
communication. It is classified in types: interpersonal
communication and public speaking.
Interpersonal communication takes place between two
or more people generally at personal level.
Public speaking involves single speaker and many
Non-verbal Communication: It refers to the kind of
communication that involves various characteristics
such as tone of the voice(inflections), smell, touch and
body motion. It may have symbol and sign languages
that do not require words to be conveyed . For
example, finger on lips is a sign of telling the other
person to be silent.
It involves also body posters and gestures. It is said that
words may be false; however body language conveys a
Written Communication: It involves the use of e-mails,
articles, reports and memos. For business purpose , it can
be used in many different languages depending on the
location and language of an organization. Thus the written
document needs to be edited a number of times before it is
conveyed to the intended individual of the organization. It
may also be used for the purpose of informal
communication , for example, mobile Short Message
Visual Communication: It involves the visual display of
information , such as photos, formats, signs, codes,
symbols and designs. For examples, television,DVD’s, and
other audiovisual aids of communication represent
Grapevine communication travels in every direction
without any restrictions. Some have also named it a
rumor mill. A message spreads like wildfire almost
instantaneously as soon as it enters the grapevine.
The channel although unofficial, are created and
controlled by the people themselves.
30. Factors leading to the grapevine
1. There may be feeling of uncertainty among the
employees when the organization is passing through
a difficult phase.
2. Sometimes lack of self-confidence in an employee is
the cause of the grapevine.
3. Sometimes “sycophancy” prevails in the
organization and favored group is formed, giving
others a feeling of insecurity that gives to their pent-
up (enclosed) feelings through the grapevine.
31. Grapevine Chain
Single strand chain is one in which ‘A’ passes a piece of
information to ‘B’ who passes it to ‘’C’ and so on.
Gossip chain is formed when a person ‘A’ seeks out
everyone around him and passes the information to all.
Probability chain is random kind of chain , where
information is conveyed according to the law of probability.
Cluster chain is formed when a person ‘A’ tells a piece of
information to a selection number of people who in turn
pass it on to another group of selected people.
32. Advantages of the Grapevine
Social relations are built and the grapevine provides a high
amount of psychological satisfaction to the employees. People
come closer to each other and this builds organizational
Speed at which the messages are transmitted in the grapevine is
Since all information cannot sent across by official channels
hence the grapevine is used to supplement the official to
Feedback also reaches the management very fast through the
grapevine. This feedback can be useful to the organization.
33. Disadvantages of the Grapevine
Distortion of the news is the major disadvantage
of the grapevine; this channel of communication
respects nobody and can destroy the image of even
the noblest of the people.
Rumor is the untrue part of the grapevine .
Personal motives are usually dominant in the
spread of news through the grapevine.
34. Incomplete information is sometimes transmitted
through the grapevine and thus a person cannot get a
complete picture of any issue.
Lack of authenticity is there in the news travelling
through the grapevine as it is spread by word of
mouth, and there are no tangible facts to support the
35. Effective use of the Grapevine
The managers need to understand that the
grapevine cannot be ignored and it will neither die
nor wither and also that it can have damaging
effects, therefore it is in the interest of the
organization that the manager learns to use the
grapevine effectively for the benefit of the
Rumors should be contradicted promptly and not
wait till the harm is done.
36. A manager should keep his ears and eyes open and try to
spot the leaders and win their confidence.
The management should let the employees be a part of the
decision making process as for as possible. This helps the
employees to feel like being a part of a family.
Every manager needs to adopt an open door policy and
maintain a healthy environment. A manager needs be a
good emphatic listener so that the employee feels free to
talk to him rather than indulge in rumor mongering.
The organization is the source of bread and butter for its
employees and nobody would like to harm the source if
respect and dignity of all is maintained. Harmful rumors
would automatically come to an end, and fruitful a
grapevine could be cultivated.
The manager should use the grapevine for feedback and
even try to improve any short comings that may be there in
him as well as the management.
Using the grapevine effectively can improve true productivity
of the organization; therefore every manager should learn
to do so.
38. 7 C’s of Communication
A communication can be called effective if the receiver
understand the intended meaning conveyed by the
sender. For a business communication to be effective,
it should have seven qualities, seven C’s or principles of
39. 7 C’s of Communication
Requires that a simple language should be used in
communication. Moreover, the communication should be clear
enough, so that the receiver can easily understand the message
of the sender. Conveying clear information enables the receiver
to read the mind of the sender with an ease. One should keep in
mind the following points to convey a clear message:
Objective of the message to be conveyed
Length, simplicity, and relevancy of sentences
Suitable medium to convey the message
The targeted receiver (top level, medium level, or lower
level of the organizational hierarchy)
Use of examples, illustrations, and visual aids
Implies that communication should contain all the necessary
information to get the desirable response from the sender. On
the other hand, the sender should answer all the questions asked
by the receiver and pay attention to all minute details. This leads
to effective communication, which results in accomplishment of
predefined goals. If the communication is not complete, it can
result into misinterpretation of information by the sender or
receiver. Following points should be taken into consideration,
while checking for completeness of communication:
Answering all asked questions
Conveying extra details when desirable; however, the
details should be relevant
Checking for five W’s, that are what, when, where, why, who
Implies that the message should be free from
superfluous details, which helps in saving the time of
both, the sender and receiver. Moreover, to make the
communication effective, one should avoid wordy
expressions and repetitions. However, making the
message concise does not aim at losing the
completeness of the message.
Consideration requires preparing the message keeping
the recipient in mind. A sender, while sending the message
should take into consideration the views, thoughts,
background, mindset and education lavel of the receiver
and vice versa. A considerate message should have the
following features :
Laying focuses on “you” approach, that is keeping the
receiver on sender’s place.
Show interest in the sender while sending to him/her. This
helps in receiving the positive response from the sender.
it implies that the message should state accurate facts
and figures . Moreover, on e should use the right level
of language , in addition, the message should be free
form grammar, spelling and punctuation errors.
It implies that the message should be specific and to
the point . The details provided in the message should
be definite and vivid. One should avoid using vague
and obscure statements in the message.
It is one of the most important element of an effective
communication. One should use polite words in the
message and should be appreciative, thoughtful and
tactful, while receiving or sending a message.
In this unit , you have learned the basic concepts of
communication . Further, the unit has explored the
importance and objectives of communication . It has
also explained the process of communication. This
unit has also outlined the different types of
communication . In the end , the unit has detailed on
the 7 C’s of communication