Introduction: Why Study Business Communication?
Last update: 21 August 2002

 
As the term suggests, business communication includes all communication that occurs in a business context. A knowledge of business communication presupposes an understanding of both business and communication. That's a lot of territory. Although courses in business communication have their roots in the “business English” and “business correspondence” courses common in the late nineteenth and early twentieth centuries, business communication has evolved over the years into a broad discipline providing an overview of all communication that occurs in organizational settings.

Foundations

Business communication draws on information derived from a wide variety of other disciplines, including linguistics (the study of language), semantics (the branch of linguistics most concerned with meaning), rhetoric (the art of using words in speech or writing effectively), psychology (the study of mental processes and behavior), sociology (the study of social relations and societal change), graphic design (the use of visual images and typography to create special effects), management (the study of controlling and directing operations and personnel), marketing (the study of moving goods and services from producer to consumer, including everything from advertising, to packaging, to sales), economics (the study of the production, distribution, and consumption of wealth), and information technology (the study of the ways in which technology can be used to create, locate, store, retrieve, and transmit information).

Related Disciplines

For this reason, different authors typically select specific aspects of communication in business on which to focus. The following related areas of study have evolved over time: 

The Importance of Communication to Business

Your success in life, from both a personal and a professional standpoint, will depend to a great extent on your ability to communicate. Nothing happens without communication, without the exchange of information. Technical knowledge and skills—whether of accounting principles, biological processes, or mechanics and physics—are of little value unless you can communicate what that knowledge and those skills mean to others. People evaluate you both formally and informally by your communication skills. We typically gauge the intelligence of others and their ability to do a given job by their use of language and other communication skills.

Most entry-level positions will require you to write effective email messages and memos, use the telephone (including voice mail) effectively, and be effective in group discussions and team meetings. Depending on the job, you may also be called upon to write letters and reports and to present to small groups. In general, the higher a person rises in an organization’s hierarchy, the more time he or she spends communicating both formally and informally.

The Cost of Poor Communication

In today’s fast-paced business environment, poor communication is expensive. A typical one-page business letter will take the average person about an hour to plan, compose, and revise—or about $15 if the person is earning $30,000 a year (assuming two weeks’ vacation), and that does not include the costs of the equipment used to produce the letter, materials, and mailing. Will the letter be worth more than the time it took to write it in terms of the sales and/or goodwill it will generate for the writer and his or her organization?

Badly written messages have a number of hidden costs. Badly written messages are, for example, difficult to read and waste the reader's time. The reader may require additional explanation and a greater investment in time—for both the writer and the reader. Even worse, badly written messages may not produce the desired result: they don’t result in a sale, contract, or customer loyalty.

The telephone seems a simple and easy way to communicate, but telephone communication can also be expensive. Most phone calls do not reach the intended receiver. Instead, the caller leaves a message, either with another person or on voice mail. The receiver then returns the call, perhaps to discover that the original caller is not available, and leaves another message, thus initiating an on-going exchange of messages usually called telephone tag. If you conduct a lot of business by phone, have you included the time you spend "on hold" in your telephone communication costs? Telephone communication is also easily misunderstood. For this reason, most organizations have a practice of putting everything important in writing.

The Benefits of Improving Your Communication Skills

Communication is a complex process in which many opportunities for error exist. Every business transaction requires communication—a phone call, meeting, letter, memo, oral presentation, or formal report—and the success of the transaction depends on the effectiveness of the communication. One of the clichés in business is that nothing happens until somebody sells something. Communication is central in business because it is central in life: it establishes relationships and makes human organization possible.

You have undoubtedly seen magazine ads for products and books promising to improve your vocabulary and communication skills. If you look at the titles on the shelves in the business section of any bookstore, you will find that many of them address communication issues. Such products and books sell because it is impossible to be too good at communication. The benefits of being an effective communicator include the following:

 


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