What Is The Importance Of Communication In Business?


14 Answers

Rosie Normanton Profile
Rosie Normanton answered
Communication is extremely important within a business and is what every good business should be built upon, giving a business the power to send a message to employees, prospective customers and the general public that they are one of the best at what they do. Communication makes a business grow and develop, it gives a company the chance to inform, educate or instruct. Both bilateral and downward communication is important within business. Bilateral communication allows businesses to send messages between people on the same level or position within a company, while downward communication sees messages sent from superiors to subordinates. Both of these communication types have a large role in the workplace.

There are three main types of communication in businesses: Internal, external and business to business (usually abbreviated to B2B). The former is when messages are sent from someone in the business to another person working for the same business. External communication consists of messages sent from within one business to people who are not working within the business. Business to business communication occurs when a message is sent from one business to another. All information is sent and received via communication of some sort. Without effective communication of this information, a business will struggle with a lack of understanding, motivation and direction.

Effective communication will keep employees well informed and give a business a higher productivity rate. Many companies that carry out staff satisfaction surveys find that employees who are kept up to date with effective communication are more satisfied in their role. Employees tend to have higher levels of job performance when there is a congruence of individual needs and job characteristics that exist and are communicated well. In turn, a happy and hard working team of employees helps give a business a corporate image that the public will find impressive and appealing.
Anonymous Profile
Anonymous answered


Communication is essential for life in general but in business settings, it is critical. Communication is more than just a matter of speaking and hearing, especially within a business setting. Good communication, on the other hand, means that your message will be sent and that the people or organizations understand the message in its entirety. Further, they are much more likely to respond in a positive manner if the message was communicated effectively. A poorly communicated message will likely result in an unfavorable response.
Communication is one of the basic functions of management in any organization and its importance can hardly be overemphasized. It is a process of transmitting information, ideas, thoughts, opinions and plans between various parts of an organization.
You cannot have human relations without communication. However, good and effective communication is required not only for good human relations but also for good and successful business.
You can use softwares like business writing software for writing effective business communication, which is required at various levels and for various aspects in an organization such as -
Importance of communication for manager and employee relations:

Effective communication of information and decision is an essential component for management-employee relations. The manager cannot get the work done from employees unless they are communicated effectively of what he wants to be done? He should also be sure of some basic facts such as how to communicate and what results can be expected from that communication. Most of management problems arise because of lack of effective communication. Chances of misunderstanding and misrepresentation can be minimized with proper communication system.
For motivation and employee morale:
Communication is also a basic tool for motivation, which can improve morale of the employees in an organization. Inappropriate or faulty communication among employees or between manager and his subordinates is the major cause of conflict and low morale at work. Manager should clarify to employees about what is to be done, how well are they doing and what can be done for better performance to improve their motivation. He can prepare a written statement, clearly outlining the relationship between company objectives and personal objectives and integrating the interest of the two.
For increase productivity:

With effective communication, you can maintain a good human relation in the organization and by encouraging ideas or suggestions from employees or workers and implementing them whenever possible, you can also increase production at low cost.
For employees:

It is through the communication that employees submit their work reports, comments, grievances and suggestions to their seniors or management. Organization should have effective and speedy communication policy and procedures to avoid delays, misunderstandings, confusion or distortions of facts and to establish harmony among all the concerned people and departments.
Importance of written communication:

Communication may be made through oral or written. In oral communication, listeners can make out what speakers is trying to say, but in written communication, text matter in the message is a reflection of your thinking. So, written communication or message should be clear, purposeful and concise with correct words, to avoid any misinterpretation of your message. Written communications provides a permanent record for future use and it also gives an opportunity to employees to put up their comments or suggestions in writing.

abdul rehman Profile
abdul rehman answered
Success of any business lies in effective communication. The more effective the communication is, the better the results are. Communication is effective when it produces desired action in the reader or audience. Effective communication is essential for the survival and progress of a business concern.

The ability to communicate effectively is an essential quality of a businessman. A person may be intelligent but he may not be able to get his message across to others. Ideas are generally common but the ability to convey then to others is rare.

A successful communicator exercises a good effect on the minds of his readers, employees, supervisors, customers, suppliers, investors and business associates. They form a good impression of the company and the communicator. He builds the goodwill of the company he represents. Goodwill of a person or company attracts customers and wins friends.

Therefore, the ability to communicate effectively both orally and in writing is an asset for the communicator. Through successful correspondence, he leads his business to success. The letters, reports, memos etc. He writes to the people demonstrate his ability or lack of it.

A successful communicator is able to run the affairs of a business house. He can plan well and control the working of his organization. He has the skill to transfer his policies, decisions, objectives and job instructions to the persons working with him at all levels. So this skill is quite essential for a businessman to perform his managerial functions.
Mahwash Marcel Profile
Mahwash Marcel answered
Communication is life blood of a business organization. No organization can succeed or progress, build up reputation, and win friends and customers without effective communication skills.

In fact successful communication is the bed rock of ground and pleasant relationship between the seniors and sub ordinates, between the workers and the management, between the customers and the sellers good and efficient system of communication helps in better coordination and efficient control. It results in clear understanding, good production, healthy climate within the organization willing cooperation among the various levels, if businessman can communicate effectively and successfully. Profit and prosperity shall knock at the doors of firm, organization or shop keeper through effective system of communication.

Poor and ineffective communication system may result in mismanagement, bad business and sure show down. Communication can build or destroy trust depending or use of words. A poorly worded message or talk may result in communication break down. On the other hand planned and well meant communication helps in better service, removes misunderstanding and doubts; builds up good will, promotes business and earns favorable references. It is the key to success in business and trade. A good businessman believes in the saying, 'take care of communication and success shall take care of itself.'
Alfred Segera Profile
Alfred Segera answered

  1. Increases efficiency.

  2. Promotes good relationship among workers.

  3. Important for giving instructions.

  4. Issuing reports.

Anonymous Profile
Anonymous answered
It makes the organisation to achieve quality products.
It builds good relationship among employees.
It makes outsiders and employees aware of products the organisation produces.
It makes the company to save money.
Anonymous Profile
Anonymous answered

It helps make managers aware of employee needs.

amber Jhon Profile
amber Jhon answered
Good communication skills are very important in the workplace because if an employee has good communication then he will be better able to express his ideas and thoughts. At workplace people who have creative ideas and thoughts are always encouraged and an employee who is creative but unable to express whatever he thinks cannot get appreciation and desirable position. Therefore, to establish your position and to excel in the work performance good communication skills are necessary.
Anonymous Profile
Anonymous answered
Effective communication skills in the workplace lead to greater happiness and productivity when in the office or workspace. The efficient transmittal of information and message between colleagues leads to more production per resource unit. Examples of workplace communication skills include active listening, eye contact, and asking clarifying questions.

For more information on Effective Communication In The Workplace and on How To Improve Communication Skills, please visit the linked sites.
Anonymous Profile
Anonymous answered

Hi, Communication is a tool for Business Organisation,Excellent in conveying the appropriate message would venture a good well as the goals and aims of the business would also ensure to be on a safe sector....It can be verbal or non verbal but effectiveness is the main focus for a best output.

Aisha Profile
Aisha answered
Good communication skills inject self-confidence. It also enables a person to exert more control over their life. Such a person knows how to effectively research, organize, and present ideas to the business organization.
On the other hand a person with bad communication skills will be left behind.
Anonymous Profile
Anonymous answered

  1. It serve as the means of acquiring power, exercise it and sustain

  2. It serves as the lubricant that keep the organisation functioning.

  3. It serves as the means of social interaction with stakeholders.

Haroon Amir Profile
Haroon Amir answered
Communication is important to human society and to organizations in general. Its importance is even more pronounced for business organizations specifically. If you think about them, these words of communication expert Harold Janis are certainly true: "The world of business is a world of action. Products are designed, made, and sold. People are hired. Services are rendered. Policies are devised and implemented. Jobs are learned and performed. Yet there is no practical way in which any of these events can take place without communication."

Although communication has always been essential for business, it is especially important today--given current business trends. Companies tend to be larger than ever, and more mergers and acquisitions are on the way. Departments within a company may be spread all over the country, or even the world. With larger companies has come an increase in the number of hierarchical levels and the complexity of organizational patterns. At the same time, the more complex the organization, the more specialized the job each person performs within that organization. This trend toward experts, in turn, leads to increased us of specialized language, or jargon, which only experts can understand.
Veronica  Perera Profile
Veronica Perera answered
Oral communication means one to one conversations, interviews, team briefings, meetings etc. They allow instant feedback and two way communication which is motivating to workers. The sender can also see who have received the message especially in meetings. The sender can enforce the message by using appropriate body language. The receiver has the opportunity to question, discuss and have a debate about the topic.

Written communication may make use of reports, memos, minutes of meetings etc. They allow the transmission of detailed data, and allow the message to be referred more than one time. However they should also be accurate so that the message can be understood by the reciever. The message is not passed from a person to another person, so therefore the message is not filtered or changed in some way.

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