Business Communication and Effective Memos

Improve Communications in the Workplace with Memorandums

Memorandums, or memos for short, are used in business for internal communication between members of a department, between different departments, and between branches around the country or, in today’s global economy, around the world

The Significance and Advantages of Business Memos

Since most organizations are quite large and diversified, memos provide an effective means of internal communication. In fact, according to Kenneth Zimmer, Professor Emeritus of the School of Business and Economics at California State University, and Sue C. Camp, Associate Professor of Business Administration at Gardner-Webb College, they account for more than 50% of all written communications within any business organization (p. 301).

This form of inter-organizational correspondence offers several advantages:

• It is inexpensive since it's usually transmitted via e-mail or on inexpensive paper.
• It is convenient because not only is it easy to prepare and fast to transmit but also requires little time to read.
• It provides a written record for both the recipient and the sender, which helps clarify information and, therefore, prevents misunderstandings.

The Purpose of Business Memos :According to Zimmer and Camp, memos serve a variety of purposes within a business and are used to accomplish the following:

• Request information, action, or reactions.
• Communicate company procedures, policies, and instructions.
• Transmit data.
• Advise members or forthcoming information.
• Remind members of upcoming meetings, reports, etc.
• Promote good will, for example, by congratulating a member for a job well done or a promotion.

Organization of a Business Memo:Since memos are usually quite brief, they must be effectively organized to transmit the necessary information as directly and as clearly as possible. Therefore, they consist of three key elements:

• The statement of purpose: This is the subject line or introduction, which informs the recipient of the intended objective, for example, "As per the August 3 meeting, the projected cost of implementing an employee wellness program warrants additional discussion."
• The main point or message: In this section, the sender provides information and/or clarification to ensure that the recipient understands the purpose of the memo, for example, "Please provide a cost breakdown of alternatives for an employee wellness program, specifically the cost of an on-site fully equipped exercise room compared to a company-subsidized gym membership program."
• Statement of future action: This portion either requests additional information or provides further instructions, for example, "The cost breakdown is to be presented at a scheduled meeting on Thursday, August 10, at 10:00 A.M., after which company representatives will reach a decision regarding which alternative will be implemented."

Formatting for a Business Memo:Memos are geared toward clarity and brevity in transmitting information; as a result, there is a preferred formatting:

• To: John J. Smith, Human Resources Manager
• From: Susan S. Jones, Director of Finance and Budgeting
• Date: August 4, 2010
• Subject: Employee Wellness Program
• Body: Includes the statement of purpose, main point, and statement of future action.
• Signature: Normally a memo does not require the sender’s full name, only his or her initials, although either way is acceptable; but whichever method is utilized, any notations should follow the signature, for example, advisement of enclosures or attached documents.

Some additional guidelines to bear in mind when preparing such correspondence include the following:

• Address only one main topic since too many topics can lead to confusion or oversight.
• Use numbered list for directions, for example, directions for the completion of specific tasks.
• Use columns with headings to present statistics, data, or figures.
• Use bulleted lists to present multiple points, for example, topics that will be discussed at a meeting.
• Use bold font or italicized font to emphasize key words or major points.

Memos, like any other form of business communication, can be either effective or ineffective. That is why, in addition to using proper formatting, when organizational members are preparing this type of correspondence, they should remember that the most effective correspondence is that which presents information concisely, clearly, correctly, and courteously.