1. Business Communication

2. Organization
An organization is a group of people associated for business, political, professional, religious, social or other purposes.
Its activities require human beings to interact and react, that is, to communicate.
They exchange information, ideas, plans, order needed supplies and make decisions, rules, proposals, contracts, and agreements.
Communication is the “Lifeline” of every organization OR “lifeblood” of any organization.

3. Informal Communication
Flow of Communication
Formal
Planned communication.
Memo, letter, report, faxes that follow company’s chain of command.
Informal Communication
Casual Communication among employees, s, face to face conversation, phone calls and discussions.

4. Direction of flow within the organization1 2 3

5. Internal Communication
The formal flow of information follows the official chain of command.
President VP
Production VP
Marketing VP
Sales VP
Finance VP
Human
Resources
Sales
Manager
East
Sales
Manager
Midwest
Sales
Manager
West
Sales
Manager
International
District 1
Manager
District 2
Manager
District 3
Manager
Sales
Rep
Sales
Rep
Sales
Rep
Sales
Rep
Sales
Rep

6. Downward Communication
Organizational decision are made at top level and then flow down to the people who carry them.
Employees become motivated and more efficient.
It increases satisfaction.
They need clear job directions, safety rules, facts about organizational strategies, products, and viewpoints on important controversial issues.

7. Upward Communication
Communication that takes place from the lower management to the upper management.
It helps the top management to make intelligent decisions.
Upward communication can be formal and informal.

8. Horizontal Communication
Horizontal flow enables two departments or two people to function properly.
It solves problems, performs job duties, prepares for meetings and cooperates on important projects.

9. Informal Internal Communication
Every organization has an informal communication network – a grapevine – that supplements official channel.
It is important source of information.
It is casual conversation of an organization.

10. External Communication
Communication that takes place between two or more than two organizations is called external communication. The right letter, proposal, report, telephone call, or personal conversation can win back an angry customer, create a desire for a firm’s product or services, encourage collections, motivate performance and in general, create goodwill.
Formal
Planned communication with outsides, memo, letter,
Report, , Faxes that follow company’s chain of
Command.
External Communication
Casual Communication among Customers, suppliers,
investors, s, face to face conversation, phone calls,
discussions

11. Various Aspects of External Communication14 1 13 2 12
Flow 3 11 4 5 10 6 7 9 8