Business Communication Skills

The Importance of Good Communication in Organizations

Lee Iacocca, former president of Chrysler, once said, “You can have brilliant ideas, but if you can’t get them across, they won’t get you anywhere” (Seldes). Iacocca was absolutely right, and his sage words of advice apply to both personal and business communication.

The Importance of Good Business Communication

Communication is vital in an organization because it not only connects members within a specific department but also connects them to members from other departments, from other branches, and, in today’s global economy, from around the world. Moreover, communication can make the difference between success and failure for a company.

Good communication helps ensure the efficient operation of all levels of an organization, from lowest to highest, whereas poor communication often results in inefficiency; and as successful business leaders know, inefficiency equals a loss of productivity and, consequently, a loss of profits.

Increased efficiency isn’t the only corollary of good communication, however, since it also creates a sense of unity between members, resulting in their feeling that they are working together toward a common goal, and that goal is the success of the organization.

Categories of Business Communication

There are two categories of communication within an organization: external and internal.

1. External Communication involves the transfer of information either to or from individuals outside the organization, and the goal of this type of communication is often to obtain a favorable response to the organization’s needs. For example, a company might send a sales advertisement to an existing customer or a proposal, prospectus, or solicitation to a potential client; or an organization might post an ad in hopes of attracting qualified applicants for a job vacancy.
2. Internal communication involves the transmittal of information between individuals within the company, and its aim is usually to accomplish internal objectives. For example, management might let employees know when and how a particular task should be completed, or employees might ask for clarification of the specifics for a task. Additionally, management might suggest improvements to products or services, or employees might present their qualifications when asking for a promotion or pay increase.

Tone of Internal and External Communication

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, “Tone, as it applies to communication, usually refers to the general quality or effect of a conversation, discussion, or speech.” Moreover, “the tone of internal communication compared to that of external communication is usually quite different.” (1990, p. 15)

When one is transmitting information internally, one’s tone tends to be friendlier and rather informal, but when one is transmitting information externally, one’s tone tends to be more reserved and formal.On the other hand, there are different levels of internal communication; for example, when an employee is conversing with a coworker, he or she is likely to use different wording, phrasing, inflection, and intonation than when conversing with a supervisor or the company’s president.

The Challenge of External Communication

Communicating externally is far more challenging than communicating internally, mainly because when members are communicating with people outside the organization, not only are they representing themselves as individuals, but also the organization as a whole.

Subsequently, whenever members place a telephone call; send an advertisement,business letter, or e-mail; or conduct a face-to-face meeting on the organization’s behalf, these members are making an impression that can possibly mean either success or failure for the organization.

Developing Good Business Communication Skills

In today’s electronic age, with all its gadgetry, for example, cell phones, fax machines, iPods, Blackberries, and computers, information is transmitted at the speed of light. Such electronic devices, however, are only as effective as the humans operating them, which is why members of an organization must possess proficiency in writing, speaking, listening, and reading.

• Writing skills are important because the majority of organizational correspondence is through the written word, in the form of letters, announcements, proposals, reports, memos, and perhaps case studies.
• Speaking is important because members must be able to express ideas verbally in a way that will both clearly get points across and hold the interest of listeners. Additionally, members might be called upon to conduct presentations to management, existing customers, or prospective clients.
• Listening is important because, as Lee Iacocca maintained, “The ability to listen — or the ability to tune in to the needs and objectives of clients, customers, and colleagues — is the one skill that can make the difference between a mediocre company and a good company” (Zimmer & Camp, p. 17).
• Reading is important because members of an organization must be able to interpret information correctly; moreover, they must be able to proofread their own written communications in order to ensure their messages will be properly interpreted.

In summary, the reality is that members of an organization can possess brilliant ideas for company growth and expansion, product development, or groundbreaking innovations, but unless they can get those ideas across to management, existing customers, and/or potential clients, those ideas will come to nothing and, in the end, get the organization absolutely nowhere.