Chapter 9: Internal and External Communication

What is effective communication and why is it

necessary?
Communication is when a message transfered from one person to another and
is understood by the latter. We communicate everyday (by talking, by chatting, by texting,
etc.) but we need to learn how to communicate effectively.
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Define Communication: Communication is transferring of a message from the sender to the

receiver, who understands the message.
Define Message: It is the information or instructions being passed by the sender to the receiver.
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Why do people within business need to communicate with each other?

In business, if we do not communicate, we would be working as individuals with no co-ordination with
anybody else in the business. The management, whose tasks are guiding, instructing and commanding
subordinates could not be done because they cannot communicate with them. Here are some common
messages found in the workplace:

No Smoking (sign)

You are fired because you are always late (letter)

Do not touch (sign)

There will be a fire drill 11:00 today (noticeboard)

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Define Internal communication: It is between members of the same organization.

Define External Communication: It is between the organization and other organizations or
individuals.

Internal and external communication

Internal communication is messages sent between people inside a business. For example:
The boss talking to his subordinates.
A report sent to the CEO.
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External communication refers to messages sent to people or organisations outside the business. For
example:
Orders for goods from suppliers.

Talking to customers.

Advertising to the public.

Both types of communication is almost the same, the only difference is who is being communicated with.
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Why external communication has to work well?

External communication can greatly affect the efficiency and image of a business. Imagine if the wrong
information is sent to a supplier and a customer. The supplier would send wrong materials while the
customer might buy products from another company. Here are some cases which ineffective external
communication might turn out to be very dangerous:
The Finance Manager writes to the tax office inquiring about the amount of tax that must be paid
this year.
The Sales Manager receives an order of 330 goods to be delivered on Wednesday.
The business must contact thousands of customers because a product turned out to be dangerous.
An add must be put into the newspaper so that customers can return the product for a refund.
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Define Transmitter/sender: The transmitter or sender of the message is the person starting off the
process by sending the message.
Define The medium of communication: The medium of communication is the method used to
send a message, for example, a letter is a method of written communication and a meeting is a
method of verbai communication.
Define Receiver: The receiver is the person who receives the message.
Define Feedback: Feedback is the reply from the receiver which shows whether the message has
arrived, been understood and, if necessary, acted Upon.

The process of effective communication:

Effective communication involves four features:

The transmitter/sender who sends the message. He has to choose the next two features
carefully for effective communication.
The medium of communication. It is the method of communication, e.g. noticeboard,
letter, etc...
The receiver who receives the message.
Feedback means that the receiver has received the message andresponds to it. This
confirms that the message has been understoodand acted upon if necessary.

One-way and two-way communication

There are two types of communication. One-way communication is when there is no feedback
required for the message, or the receiver is not allowed to reply. This might be the sign that says "No
smoking", or your boss saying: "give me a biscuit". The other is two-way communication, when
feedback is required. Therefore, both people are now involved in the communication process. This
could lead to better and clearer information.

Advantages of two-way communication:

The sender can now know whether the receiver has understood andacted upon the
message or not. If they have not, the message might have to be sent again or made clearer.
Effective communication takes place only if the message is understood by the receiver.
Both people are involved in the communication process. This makes the receiver feel
more important which might motivate them to make better contributions to the topic discussed.
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Different ways of communicating: the communication

media

Information can be transmitted in several ways:

Verbal: Involves the sender speaking to the receiver.

Written: The message is written to the receiver.

Visual: Using charts, videos, images or diagrams to communicate a message.

There is no best method of communication, so the appropriate medium of communication must be

selected depending on the situation.
-Verbal communication
Verbal/Oral communication might be:
One-to-one talks.

Telephone conversations.

Video conferencing.

Meetings.

Advantages:
Information is transferred quickly. This is an efficient way to communicate in meeting to lots of
people.
There is opportunity for immediate feedback which results in two-way communication.
The message might be enforced by seeing the speaker. Here thebody language and facial
expression could make the message easily understood.
Disadvantages:
In big meetings, we do not know if everybody is listening or hasunderstood the message.
It can take longer for verbal feedback to occur than written feedback.
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Verbal communication is inappropriate for storing accurate andpermanent information if a

message. (e.g. warning to a worker)

Written communication including electronic communication

Here are some written forms of communication:

Letters: Used for both external and internal communication. Follows a set structure.

Memos: Used only for internal communication.

Faxes: Written messages sent to other offices via telephone lines.

E-mails: Messages sent between people with the same computing facilities. The message is
printed if a hard copy is needed.
Advantages:
There is hard evidence of the message which can be referred to and help solve disputes in
the future over the content of the message.
It is needed when detailed information is transferred: it could be easilymisunderstood.
Some countries the law states that businesses need to put safety notices up because people
could forget them.
The written message can be copied and sent to many people.

Electronic communication is a quick and cheap way to get to many people.

Disadvantages:
Direct feedback is not always possible, unless electronic communication is used. However,
this could result in too many emails sent (information overload). Direct feedback via other means
of written communication is hard.
It is not as easy to check whether the message has been understoodor acted upon.
The language used might be difficult to understand. The message might be too
long and disinterest the reader.
There is no opportunity for body language to be used to enforce the message.

Visual communication

Here are some forms of visual communication:

Films, videos, and PowerPoint displays: often to help train new staff or inform sales
people about new products.
Posters: can be used to explain a simple but important message. (e.g. propaganda poster)
Charts and diagrams: Can be used in letters or reports to simplifyand classify complicated
data.
Advantages:
Present information in an appealing and attractive way thatencourages people to look at
it.

They can be used to make a written message clearer by adding a picture or a chart to illustrate
the point being made.
Disadvantages:
No feedback is possible. People need to checked via verbal or written communication to
check that they have understood the message.
Charts and graphs might be difficult for some people to understand. The message might be
misunderstood if the receiver does not know how to interpret a technical diagram.

Formal and informal communication

Formal communication is the channel of communication that
is recognisedby the business, such as notices on boards, emails and memos.
Formal means of communication is important. It shows that the information
given is true.
Informal communication might be communication between friends and
co-workers. There is no set structure and the information transferred is
notrecognised by the business. This channel of communication could be
used by the manager to try out new ideas, before publicly announcing it to
the rest of a company. However, informal communication can result
in gossip can rumour, and managers have no way to remove these informal
links from people.
-----------------------------------------------------------------------------------------------------------------------The direction of communications

Here is an organisation chart from the book explaining the direction of communications within the
business. The arrows are labeled A, B and C which shows the direction of communication:
Arrow A (downwards communication):
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Used by managers to send important messages tosubordinates.

Does not allow feedback.
The message might be altered after passing different levels.

o
o
o

o
o
o

o
o
o

Arrow B (upwards communication):

Used by subordinate send feedback to managers.
Feedback from subordinates ensures that there is effective communication.
Feedback results in higher morale and new ideascontributed to the business.
Arrow C (horizontal/lateral communication):
People at the same level of management communicate with each other.
Information and ideas can be exchanged both formally andinformally.
Can cause conflict between departments. (e.g. Production department asks the Finance
department for a budget to hire new staff but is rejected)
Define Communication barriers: Theyre the factors that stop effective communication of
messages.
Barriers to effective communication:
As we already know, the four parts of effective communication includes
thesender, medium, receiver and feedback. However, communication may fail if there are
problems with one of these four features. If one part fails, it becomes abarrier to effective
communication which might cause a breakdown in communication resulting in serious
consequences to the business. Here are some common barriers to effective communication and how
to overcome them.
Problems with sender:
Problem: Language is too difficult to understand. Technical jargonmay not be understood.
Solution: The sender should ensure that the receiver can understandthe message.
Problem: The message is too long with too much detail which prevents the main points from
being understood.
Solution: The message should be brief so that the main points are understood.
-------------Problems with the medium:

Problem: The message may be lost.

Solution: Check for feedback. Send the message again!

Problem: The wrong channel has been used.

Solution: Ensure the appropriate channel is selected.
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Problems with the receiver:

Problem: They might not be listening or paying attention.

Solution: The importance of the message should be emphasised. Request feedback.
Problem: The receiver might not like or trust the sender, and may beunwilling to act
upon the message.
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Solution: Trust is needed for effective communication. Use another sender to communicate the
message.
---------------Problems with the feedback:

Problem: There is no feedback.

Solution: Ask for feedback. Use a different method of communication which allows feedback.

Problem: The feedback is received too slowly and may be distorted.

Solution: Direct lines of communication should be available between the subordinate and the
manager.