Importance in Communication in Business - Literature review Example

 Importance in Communication in Business Introduction In this age of corporate world, competition is extremely high. In order to tackle competitiveness and changing business challenges, communication is most important requirement. Communication is the process that helps to develop effective relationship with various employees and customers. This may improve the profitability and brand image of the organization in the entire globe among many other rival players and it might also prove effective in enhancing the sustainability and competitive position of the organization thereby reducing its upcoming threats. Moreover, communication is also described as one of the prime essence within a corporate organization or in business. It helps to maintain effective relationship among its employees that may improve their dedication and devotion power towards their tasks. Such type of devotion also helps to improve the total performance of the organization or business association in the market (Gopal, 2009). The research question of this paper is to analyze the importance of communication in a business that may increase the productivity and profit margin. Discussion Literature review According to Smith (2008), communication is described as the process of exchange of varied types of information and facts among other individuals so as to fulfill any sort of desired outcomes. The process of communication includes several steps such as source, message, encoding, channel, decoding, context and receiver. In order to make any process of communication effective and efficient in nature, each and every step is essential. The first and initial requirement of any communication process is source. Source is described as the process to know the perfect reason for which, an individual desires to present his ideas and information among others. If the perfect reason is known, only then the procedure of communication might become accurate in all aspects, otherwise, it may remain incomplete. The process by which the entire message is communicated and the process of encoding with the help of various channels such as face-to face communication, letters, memos, emails, telephones etc needs to be smooth and perfect (Smith, 2008). However, after transmission of the message, the receivers decode it through proper interpretation. Only then, the receiver might understand and analyze the context of the communication in an effective way (Gopal, 2009). Furthermore, if the receiver understands the message and context, then he or she might offer varied types of ideas and views regarding it. Therefore, due to these above mentioned reasons, communication is regarded extremely essential for any business organization or corporate. Communication as a motivational tool As per Guffey & Almonte (2009), communication helps to share varied types of information among all the members of an organization. This helps to increase the interpersonal relationship and bonding among them that may amplify their performance and dedication power towards the assigned tasks. Moreover, due to such type of interpersonal relationship, the level of innovation and concentration over research and development department enhances that helps to satisfy the changing requirements of the customers. Hence, due to improvement of the reliability and inner trust of the customers over the brand, the brand value and productivity of the business organization increases. However, all these positive effects might take place only if the level of communication among the members, customers, stakeholders and management remains effective. But in order to maintain such communication effective, both verbal as well as non-verbal communication processes need to be followed as it acts as a motivational tool. In order to maintain the operations and functions of a business organization in a proper condition, effective communication methods need to be followed within the hierarchy. For example, in a general body meeting, all the employees might present proper gestures and expressions in front of the management that may prove profitable for both the organization and the employee. Similarly, the employees might communicate with accurate pronunciations and eye contact so that the receiver may decode the message in an accurate way. Moreover, if the message may be decoded with an accurate way, then it may increase the confidence and trust of the management over the employee. Improvement of the inner confidence of the management might motivate and stimulate the employees towards the assigned tasks that may increase their quality and performance. However, due to improvement of the inner morale, the level of interpersonal conflicts among the management and the employees might get reduced to a significant extent that may improve the position and dominance of the organization in this competitive age among others (Guffey & Almonte, 2009). Furthermore, effective communication of all sorts of information among the hierarchy of the organization also helps to reduce the attrition rate of the employees. Due to low rate of attrition, highly experienced and talented employees might be retained within the organization for a longer period of time that may increase its prosperity and productivity to a considerable extent. So, communication is recognized as one of the most vital requirements of a business organization, in order to retain its supremacy in the market (Smith, 2009). Analysis After evaluating the literature review, it becomes easier to understand the importance of communication within an organization. In a business, communication acts as the wheel that helps to improve its total sales and prosperity in the market. In order to do so, the superiors of the organization need to maintain a good relation with its junior members so as to increase their dedication power. Similarly, the peers also need to respect and obey their orders effectively. The employees also need to be highly obedient and tactful so as to communicate their essential requirements such as training or advanced machines to the superiors at exact time. Moreover, the management might try to present any sort of changes in the business policies in front of the stakeholders or society so as to retain its dependency and loyalty through effective means of communication such as internet, emails, notice etc. Thus, all the above stated points, clearly present that communication helps to improve the self-esteem of the employees as well as profit margin of the organization (Gopal, 2009). Conclusion Conclusively, it might be stated that communication is essential for every aspect of life. For example, communication is important for an individual at the time of living within a society and also at the time of maintaining a business organization. As business means, word of mouth and appropriate expressions so as to increase its portfolio and profitability. However, it might be possible only if effective relationship might be maintained among the employees of the organization. References Guffey, M. E. & Almonte, R. (2009). Effective internal communication. New York: Cengage Learning. Gopal, N. (2009). Business Communication. London: Sage. Smith, L. (2008). Effective internal communication. London: Sage. Read More