July 30, 2012

Needs Or Importance Of Communication

Communication is the lifeblood of business organization. It is the basis for performing management functions. Communication is needed for smooth operation, better planning, decision making, directing, coordinating, controlling etc. 


Needs or importance of communication can be described as follows:

1. Smooth operations

Communication is needed at all levels of business management. Managerial instructions are issued through communication. Employee feedback is received through communication. Smooth operations of organization require continuous communication. Communication keeps everyone focused on goals achievement.

2. Better planning

Planning is predetermining future. It is based on flow of information. Plan implementation requires communication of goals, targets, standards and instructions. Communication facilitates better planning. It is the source of information for planning.

3. Aids decision making

Decision making is selection of best alternative to achieve goals. Communication facilitates effective decision making. Information is the raw material for decision making. Understanding of problem, identification and evaluation of alternatives and making of choice are all based on information. Complex decisions require more information. Problem solving also requires information.

4. Improves direction

Communication improves direction involving interaction between superior and subordinates. Supervision through overseeing is based on face-to-face communication. Leadership influences are facilitated by two way communication.

5. Aids coordination

Communication aids coordination. It helps to achieve unity and harmony of efforts. Clear transfer of instructions reduces confusion and links people together.

6. Facilitates control

Control is facilitated by communication. Establishment of standards, monitoring of performance and corrective actions are based on communication.

7. Image building

Communication is important for image building. It helps to maintain cordial relations with customers, suppliers, government, trade unions and society. Activities and achievements need communication for image building of business.

8. Change management

Change is making things different. Communication facilitates change management. Changing technology and increasing business size require change. Communication reduces resistance to change.