7.2.1 Purposes of communication
Definition Communication is the transfer of information between people or organisations, which is understood by the receiver and, ideally, acted upon.
Figure 1: The communication process
Effective communication needs a sender, a clear message, a suitable medium (method and channel), a receiver who understands it, and feedback to confirm understanding.
Situations in which communication is essential
| Situation | Why communication is essential |
|---|---|
| Setting and explaining objectives | Employees can only work towards goals they know and understand (Topic 1.4.2) |
| Managing change | Clear, early explanation reduces fear and resistance (Topic 6.2.2) |
| Coordinating departments | Marketing, operations and finance must share forecasts and plans |
| Health and safety | Instructions and warnings must be understood to prevent accidents |
| Motivating and giving feedback | Recognition and appraisal depend on communication (Mayo, Herzberg) |
| Dealing with customers and suppliers | Orders, complaints and specifications must be accurate |
| Crisis management | Fast, honest communication protects reputation (Topic 6.2.2) |
| Legal and financial reporting | Accounts and reports to shareholders, regulators and tax authorities |
🔒 Also in the full notes
- 7.2.2 Methods of communication
- 7.2.3 Channels of communication
- 7.2.4 Barriers to communication
- 7.2.5 The role of management in facilitating communication
- Exam practice: 4 practice questions
- 2 exemplar answers with full model answers and mark breakdowns
- Where students commonly lose marks