ACCA BT Course - Chapter 24: Communicating in Business (Part 2)

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In this class, we will explore two main topics related to business communication: effective and ineffective communication, along with communication patterns based on a specific theory.

Effective communication is essential for any organization aiming for success, as it significantly relies on how management and employees communicate. It ensures that the right person gets the right information at the right time. For effective communication, organizations must ensure that all employees understand instructions, rules, and procedures. Often, companies distribute employee handbooks that employees must sign to acknowledge receipt and understanding. Employees should also be clear about their expectations and job requirements, often communicated through job descriptions. Additionally, effective communication helps improve coordination between individuals and departments, enabling managers to plan and control operations efficiently.

Effective communication can also foster innovation by encouraging the sharing and testing of ideas and building trust while reducing conflicts among employees. There are six key attributes of effective communication: it must be timely, accurate, complete, relevant, direct to the right people, and understandable. For example, timely communication is crucial when reporting machinery breakdowns, as delays can result in lost production time. Accurate and complete information is vital to prevent misunderstandings, and the communication must be relevant to avoid overwhelming recipients with excessive details.

Messages should be directed to the appropriate individuals to avoid confusion or confidentiality breaches. Furthermore, clarity is essential; the information must be presented in a way that all recipients can understand. Lastly, communication should be cost-effective, not incurring excessive expenses for the organization.

Ineffective communication can arise due to various barriers. These barriers impede the flow of information and can prevent messages from reaching the intended recipients or being understood. Examples include differences in status within an organization where junior staff may hesitate to communicate upwards, language issues, conflicts among individuals, information overload, physical distance, and personal differences between communicators.

The consequences of ineffective communication can be severe. They may lead to poor awareness of corporate goals among junior staff, limited upward communication, and lack of natural communication between departments. For instance, if junior staff are unaware of business objectives, they may lack motivation or fail to meet expectations set by senior management. Conversely, lack of upward communication can result in missed opportunities for leaders to receive early warnings about potential issues and to involve subordinates properly.

Good communication practices involve using appropriate language that is clear and free of jargon, ensuring messages reach the right audience, selecting effective communication mediums, and delivering information within suitable timeframes. In contrast, bad communication can happen when information is distorted, leads to misunderstanding due to inappropriate jargon, or is sent using the wrong medium.

To overcome communication barriers, several practical strategies can be implemented. These include confirming priorities and deadlines, ensuring information is sent to the correct individuals, and allocating sufficient time to verify recipient lists before sending messages. By addressing these challenges, organizations can enhance their communication effectiveness, leading to improved operations and stronger relationships among employees.


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