MBA Assignment - Business Communication

MB0039 – Business CommunicationSemester – I, Assignment

Set – 1

Q 1 Ans: Communication is the nerve center of business today. Communication skills are very much required as someone mover up the corporate ladder more than technical skills. Research has revealed that among the factors most important for managerial success, communication skills rank above technical skills. Communication has assumed even greater importance today, since the new model of business is based on teamwork, rather than on individual action. Teamwork requires greater coordination and communication.

Importance of Effective Communication in workplace: Effective communication serves the following specific purposes at workplace.

Greater awareness of organizational goals and team work – When there is open communication between superiors, co-workers and subordinates, there is smooth flow of information regarding the goals of the organization. Coordination between the different departments in particular, leads to greater motivation to work together towards achieving a common organizational goal, rather than working in isolation.

Better employer-employee relationships – By listening to employees, showing empathy and giving them the freedom to express their opinion without fear or being repressed, a manager can create a climate of openness that leads to better work relationships. Employees will then feel more comfortable in approaching their superiors and discussing any matter with them.

Problem solving – Effective communication can help resolve conflicts between co-workers, work related and performance related problems. Face to face communication is especially suited for achieving this task, since it is one to one and highly personalized in nature.

Improved performance – Effective communication by mangers at the time of appraising the performance of their employees can point out areas for improvement. A constructive review of performance, through which a

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manager gives positive feedback and counsels the employee, instead of criticizing him for poor performance, can motivate the employee to perform better.

Stronger link between mangers and the external environment – Apart from internal communication within the organization, effective communication by mangers with external audiences such as customers, government, bankers, media and suppliers leads to a better rapport with them. A manager will be able to understand the needs of his customers, be aware of the presence of quality suppliers of material, of government regulations and of the expectations of the community at large, on through proper communication.

Q 2 Ans: Non-verbal communication is defined as communication without words. It refers to any way of conveying meanings without the use of verbal language. Aspects of Non-Verbal Communication: The aspects of non-verbal communication are given in the table below which lists the different types of non-verbal communication, with the corresponding communication terminology.

Types of Non-verbal communication

Description Communication TerminologyBody Language KinesicsPersonal space and Distance ProxemicsMeaning Attached to Time Time LanguageTone of Voice ParalanguagePhysical Environment Physical Context

1. Kinesics: This is the most often studied and important area of non-verbal communication and refers to body movements of any king. Different body movements can express inner states of emotion. Facial Expressions can convey feelings of surprise, happiness, anger and sadness. If you meet a long lost friend and say “I am very happy to meet you again”, but with a sad facial expression, it conveys the exact opposite meaning.Eye Movements, such as wide open pupils express feelings of surprise, excitement or even fear. The importance of eye contact with one’s audience


was pointed out earlier. Direct eye contact is an indication of intensity and interest, while lack of it can convey feelings of nervousness and guilt.Gestures, such as movement of the hands while giving a lecture or presentation indicates a high level of involvement in what you are saying. On the other hand, shuffling of the feet is a sign of nervousness and speaking with one’s hand in one’s pocket is considered to be casual or even rude.Head Movements like nodding the head can convey interest, appreciation, agreement or understanding.Body Shape and Posture – Body shape is not within one’s control but can be stereotyped to convey certain meanings. Someone who is strong and muscular is generally thought to be athletic, as opposed to a person who is short and fat.Posture on the other hand is within our control. In formal settings such as job interviews or classroom settings, it is essential that you maintain an erect posture to convey that you are attentive, since slouching or a relaxed posture conveys a casual attitude.Physical Appearance – Our outward appearance, including the way we dress and the jewellery and make-up that we wear can convey an impression of formality or informality. Going to a job interview dressed in blue jeans or not sticking to a stipulated dress code at the workplace can convey that you are a rebel, non-conformist or a very casual person. So it is very important to take care of your appearance, so that you convey the right meaning to others.

2. Proxemics – Proxemics is derived from the word proximity or closeness and is the communication term for personal space and distance. The space and distance which we choose to keep from people is also part of non-verbal communication. Each of us has our own inner and outer circles, which differ for different people.Our inner most circle is an “intimate space”, into which we generally admit only select people such as family and close friends. Next is a “personal space” which might include other friends and colleagues or co-workers. These two spaces involve communication of an informal nature. Most of us also have a “social and public” space, which includes official or workplace relationships, where the communication is of a more formal nature. In a business context, it is more relevant to understand the concept of “fixed space” and “semi-fixed” space. Fixed space means that the physical features of the work environment such as furniture, room size and seating


arrangement and permanent. This conveys an impression of formality. On the other hand, semi-fixed space means that certain elements of the environment can be changed. Sometimes, use of space at the work place can determine leadership positions. Seating at the head of the table conveys leadership or authority; similarly round table meeting however, conveys the idea of equality, since no one can be seated at the head of the table. All points of the a circle are the same. That is why when heads of state meet; it is always a round table discussion, since all the heads are equal. Space should therefore be used carefully in a work environment, so as to convey the right impressions.

3. Time Language – This refers to the meaning or importance attached to time and varies between different people. One person may value time more than another. Similarly, time language also varies across cultures. In most western cultures, Punctuality is considered to be important. Arriving late for a business meeting is inexcusable. In other cultures, it is more relaxed and time is not given that much importance. We convey messages to others through the time we spend on a work related activity or by the importance that we give to time. Arriving early to work shows interest, involvement and spending time with an employee and giving him suggestions on how to improve his performance shows interest and involvement in his career growth.

4. Paralanguage – Para means “like” or “similar to”, therefore paralanguage means “like language”. Of all the forms of non-verbal communication, paralanguage is closest to verbal communication. It refers to the tone of voice with which something is said. The tone of voice includes the pitch (high or Low), the pace (fast or slow) the emphasis on words and the volume (soft or loud) can convey different moods and emotions.The important point to keep in mind regarding tone of voice is to avoid mixed signals – that is, making sure that what you say is consistent with how you say it.

5. Physical Context – This refers to the physical environment or surroundings within which we communicate and includes two aspects 1) colour and layout and 2) design.Colours are known for their symbolic meaning and have associations with different feelings. Colours like black and grey are associated with death,


mourning and negative feelings. Yellow and green are associated with more positive feelings. These can also vary across cultures. The point to remember is that you can make the right impressions with use of the right colours.Layout in a work environment refers to the size of an office, or the arrangement of furniture. Design refers to the type of chairs, desks or carpeting. All these can convey status, formality or informality.

Q 3 Ans: A communication network refers to how information flows within the organization. Information within an organization generally flows through a system, rather than being a free flow. It means that the flow of information is managed, regulated and structured.Formal Communication Network – A formal communication network is one which is created by management and described with the help of an organizational chart. The organizational chart implies that information can flow in any of the three directions – vertically i.e. upwards or downward, and horizontally.

1. Upward Communication – This may be defined as information that flows from subordinates to superiors. Some of the reasons for upward communication include discussing work related problems, giving suggestions for improvement and sharing feelings about the job and co-workers.This type of communication has both benefits and disadvantages. One of the biggest benefits is problem solving. Once a subordinate has brought a problem to his superior’s notice, chances are that the problem will not recur, since the subordinate learns from his superior how to tackle it the next time. Thus, his ability to solve new problems and therefore his managerial ability, improves. Another advantage that could arise from upward communication is that valuable ideas and suggestions may sometimes come from lower level employees. The third benefit is that employees learn to accept the decision of management and thereby work as a team.The biggest disadvantage associated with this type of communication is that it may lead to “handling down” of decisions by superiors. When subordinates frequently seek the superior’s guidance, the latter may adopt an authoritarian approach and merely give instructions, disregarding the subordinate’s opinion completely.

2. Downward Communication – this may be defined as information that flows


from superiors to subordinates. The most common reasons for downward communications are for giving job instructions, explaining company rules, policies and procedures and giving feedback regarding job performance. A number of studies have indicated that regular downward communication in the form of feedback given to employees is the most important factor affecting job satisfaction. Therefore organizations today are trying to encourage more of this type of communication.There are both advantages and disadvantages associated with this type of communication. Downward communication that provides regular feedback will be beneficial if the feedback or review of performance is constructive. A constructive review is one where a manger “counsels” an employee, or advises him on how to improve his performance. On the other hand a destructive review can destroy employee morale and confidence. Regular downward communication also creates climate of transparency or openness, where information is passed on through official channels, rather than through rumours.Thirdly, downward communication boosts employee morale, since it indicates that management is involved in their progress. The problems with this type of communication are the danger of doing destructive reviews and that of “message overload”. This means that superiors may sometimes burden their subordinates with too many instructions, leading to confusion.

3. Horizontal Communication – This type of communication is also known as “lateral” communication. It may be defined as communication that takes place between co-workers in the same department, or in different departments, with different areas of responsibility. The reason for this type of communication are for coordination of tasks, sharing of information regarding goals of the organization, resolving interpersonal or work related problems and building rapport. The biggest advantage of horizontal communication is the sense of teamwork that is created. Regular communication of this type ensures that all co-workers work together achieving a common goal in the overall interest of the organization. The biggest problem is that conflicts such as ego clashes are bound to arise, when co-workers at the same level communicate on a regular basis. In spite of these problems, horizontal or lateral communication has become more important in today’s business scenario than upward or downward communication. This is because of presence of flattened organizations is more these days.


Q 4 Ans: Barriers of Listening: Listening is not easy and there are a number of obstacles that stand in the way of effective listening, both within and outside the work place. The barriers of Listening are categorized as follows –

1. Physiological Barriers – This was discussed earlier, as some people may have genuine hearing problems of deficiencies that prevent them from listening properly. Once detected, they can generally be treated. Other people may have difficulty in processing information, or memory related problems which make them poor listeners. Another physiological barrier is rapid thought. Listeners have the ability to process information at the rate of approximately 500 words per minute, whereas speakers talk at around 125 words per minute. Since listeners are left with a lot of spare time, their attention may not be focused on what the speaker is saying, but may wander elsewhere.

2. Physical Barriers – These refer to distractions in the environment such as the sound of an air conditioner, cigarette smoke, or an overheated room, which interfere with the listening process. They could also be in the form of information overload. If you are in a meeting with your manager and the phone rings and your mobile beeps at the same time to let you know that you have a message; it is very hard to listen carefully to what is being said.

3. Attitudinal Barriers – Pre-occupation with personal or work related problems can make it difficult to focus one’s attention completely on what a speaker is saying, even if what is being said is of prime importance. Another common attitudinal barrier is egocentrism, or the belief that you are more knowledgeable than the speaker and that you have nothing new to learn from his ideas. People with this kind of closed minded attitude make very poor listeners.

4. Wrong Assumptions – The success of communication depends on both the sender and the receiver. It is wrong to assume that communication is the sole responsibility of the sender or the speaker and that listener have no role to play. Such an assumption can be a big barrier to listening. A Brilliant speech or presentation, however well delivered is wasted if the receiver is not listening at the other end. Listeners have as much responsibility as speakers


to make the communication successful, by paying attention, seeking clarifications and giving feedback.Another wrong assumption is to think that listening is a passive activity, in which a listener merely absorbs the thoughts of the speaker. On the contrary, real listening or active listening is hard work – it requires speaking sometimes to ask questions, agree or disagree with the speaker, give feedback etc.Yet another barrier of this type is to assume that speakers are more powerful than listeners. Speakers are seen as being in command of things, whereas listeners are seen to be weak and lacking authority. According to communication experts however, the reverse is true. Listeners are as important and as powerful as speakers. David J Schwartz, writer and management professor, emphasizes that importance of listening by saying “Big people monopolize the listening. Some people monopolize the talking.”

5. Cultural Barriers – Accents can be barriers to listening. Since they interfere with the ability to understand the meaning of words that re pronounced differently. The Problem of different accents arises not only between cultures, but also within a culture. In a country like India where there is enormous cultural diversity, accents may differ even between different regions and states.Another type of cultural barrier is differing cultural values. The importance attached to listening and speaking differs in western and oriental cultures. Generally, Orientals regard listening and silence as almost a virtue, whereas westerners attaché greater importance to speaking. Therefor this would interfere with the listening process, when two people from these two different cultures communicate.

6. Gender Barriers – Communication research has shown that gender can be a barrier to listening. Studies have revealed that men and women listen very differently and for different purposes. Women are more likely to listen for the emotions behind a speaker’s words, while men listen more for the facts and the content. A sales person giving a demonstration of a new type of office equipment may


be asked by two colleagues if the equipment will work without any problems and respond by saying “sure”. A male user may take his answer at face value, whereas a female user may detect some hesitation in his voice. This is because the male user listens for the content of the message, whereas the female user listens for the tone of the message.

7. Lack of training – Listening is not an inborn skill. People are not born good listeners. They have to develop the art of listening through practice and training. Lack of training in listening skills is an important barrier to listening, especially in the Indian context.Lee lococca, former Chairman of the Chrysler Corporation in US, was one of the first to recognize the need for organized training programs in listening skills. Today many organizations both in India and abroad incorporate listening skills in their training programs.

8. Bad listening habits – Most people are very average listeners who have developed poor listening habits that are hard to shed and that act as barriers to listening. Some people have the habit of “faking” attention or trying to look like a listener, in order to impress the speaker and to assure him that they are paying attention. Others may tend to listen to each and every fact and as a result, miss out on the main point. Yet another habit is to avoid difficult listening and to tune off deliberately, if the subject is too technical or difficult to understand. Sometimes the subject itself may be dismissed as uninteresting, because the listener does not want to listen.

Differences between Discriminative Listening and Comprehension Listening:

1. Discriminative listening is the basic type of listening where the differences between the sounds is identified. In Comprehension listening we try the next step i.e. try to comprehend the meaning of these sounds.

2. In Discriminative listening once we learn to distinguish between sound in our own language, we are able to do the same in other languages whereas in comprehension listening we require a dictionary of wards, along with the rules of grammar and syntax.


Q 5 Ans: Principles of Business Writing: The language, style and tone of business writing is very different from general writing. The aspects of business writing in some details:

Tone: It is pointed out that the spoken words, however perfect, can convey a negative message, if the tone of voice is not consistent with what is said. Tone is equally important in conveying written messages, particularly business related messages. In written communication, tone refers to the way a statement sounds, which in turn, depends on the choice of words. A sentence or statement may be grammatically perfect, but may convey a negative message, if the choice of words is wrong. For Example – you failed to meet the sales target. This statement has a negative tone, since it emphasizes what could not be achieved. The same idea could be expressed in a more positive tone, by emphasizing what could have done instead. For Example – With a little extra effort, you could have achieved the target. This shows that even a negative idea can be expressed in positive language through the use of appropriate words.

The tone of business communication should also be confident. You should avoid language that makes you sound unsure of yourself. For Example – I hope you will agree that my qualifications match your job profile. Beginning the sentence with “I hope” creates the impression that you lack confidence in yourself. It might be better to say ‘On reviewing my Bio-data, you will find that my qualifications match your job needs in the following respects ….”. While it is important be self-assured, avoid sounding over confident and pompous. For Example – I am sure you will agree that our company has the best reputation for quality and service. Instead something like “we shall try to live up to our reputation for quality and service.” would be more appropriate.

Another aspect of tone is to sound courteous and sincere. This binds good will and good relations and increases the likelihood of a message achieving its objectives. Avoid statements such as the following – You sent your complaint to the wrong department. You should have sent it to the shipping department. This sounds very discourteous and rude when responding to a customer complaint. Instead, it might

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be better to say “we have sent your complaint to the concerned department, which will be contacting you shortly.”

Sincerity also means avoiding exaggeration and flattery, especially when communicating with customers. For Example – 1. We are more interested in your satisfaction, than in making profits. 2. You are such a valued customer that we shall go to any lengths to earn your satisfaction. The first sentence sounds insincere, since the main objective of any organization is to make profits. The second sentence is exaggerated and unduly flatters the customer. I t should be toned down by saying something such as “We value your good will and will make quick efforts to ensure your satisfaction.”

Finally, the tone of business writing should be non-discriminatory. This means that the language that is used should not be offensive, irrespective of gender, religion or race. One way of ensuring this is to avoid “sexist language” by using neutral job titles, or titles that do not imply that a job is held only by a man. For example - “Chairperson”, instead of “Chairman”, and Salesperson”, instead of “Salesman”. If the reader’s gender is not known, use a non-sexist salutation such as “Dear Customer, Investor, or Advertiser”, instead of “Dear Sir or Madam”. Personal titles and salutations such as “Dr.”, “Professor”, etc. should be also be used wherever appropriate.

Emphasis and subordination: A business write can be compared to an artist or a musician. Like an artist or a musician tries to make certain elements stand out than others to get little attention, so too with the business writer. An important principle of business writing is to emphasize important ideas and to downplay unimportant ideas, so as to make the reader understand what you consider to be significant. Generally, pleasant and important thoughts are emphasized, while unpleasant and insignificant thoughts are subordinated or de-emphasized.

Several techniques for emphasis may be used by the business writer –

Place the idea in the first paragraph or in the last paragraph, in order to get attention.


Put the word that you wish to emphasize first or last in the sentence. For example – Success comes through sincere efforts. Failure will result without them. The event was a success. Without your efforts, it would have been a failure.

Use the active voice to emphasize the doer of the action and the passive voice to emphasize the receiver of the action. For example – John made the presentation (Active). The presentation was made by John (Passive).

Use words such as “Primary”, “major” and “Significant” to lay emphasis. For Example – Cost is a significant factor to be taken into consideration.

Use Repetition. For example - The Tata Nano is an inexpensive Car. Inexpensive to purchase and inexpensive to maintain.

Number the ideas, so as to rank the in the order of importance. For example – The main reasons for his poor performance are 1. Lack of training. 2. Lack of team skills and 3. Lack of motivation.

Use visual elements such as bold type, capital letters, and bigger font size and underlined words to emphasize key ideas. For example – The Reva electric car is 25% LESS POLLUTING than other cars.

To be remembered regarding emphasis in business writing is to stress what is known as the “you attitude”, rather than the “me attitude”. This means explaining the benefits to the reader, understanding his situation and answering his unspoken question “How is it relevant to me?”

Write at an appropriate level of readability: A third very important rule of business writing is to tailor your writing to your audience and to make it simple enough for even a layperson to read and understand. Readability is determined by the length of words and sentences. Robert Gunning developed what is known as the “Fog Index” or a readability formula to measure the readability of piece of writing. According to this formula, the appropriate reading level in business writing should be between 8 and 11.

Calculation of the Fog Index involves the following steps :

1. Select a written passage of approximately 100 words.


2. Calculate the average length of a sentence by dividing the total number of words in the passage by the number of sentences.

3. Find the number of difficult words. A word may be defined as difficult if it contains three or more syllables. Determine the number of difficult words per hundred, by dividing the total number of words in the passage into the number of difficult words, then by multiplying this figure by 100.

4. Add the number of difficult words per hundred and the average sentence length.

5. Multiply the figure obtained in the step 4 by 0.4, to calculate the reading grade level for which the passage was written, or the Fog Index.

Ideally, the Fog Index should be between 8 and 11 for most business writing, indicating that a reader between the eighth grade and the eleventh grade should be able to understand it without difficulty.

Q 6 Ans: Oral Communication: Irrespective of your field or the type of job that you choose to take up, developing good oral communication skills is a must. Oral skills are needed for making effective presentations, participating in and conducting meetings, dealing with customers and interacting on a day-to-day basis with your superiors, peers and subordinates within the organization.

Advantages of Oral Communication: Oral communication has advantages compared to written communication. These include its personal quality, high interactivity, possibility or making immediate contact, instantaneous feedback and control over the receiver’s attention.

Oral communication was also classified into oral face-to-face communication (meetings and presentations) and oral non face-to-face communication (teleconferencing, telephone and voice mail). While face-to-face meetings are more effective than non face-to-face communication in most ways, they are expensive and impractical sometimes, due to the distance factor. Thanks to advances in technology, meetings today can still take place without being face-to-face, through teleconferencing. Teleconferencing allows participants at distance locations to speak and sometimes to see each other. Apart from the high cost and the difficulty in settings it up, teleconferencing has the same advantages as oral fact-to-face communication.


Example – Several retailers like Wal-Mart, the world’s largest retailer, make use of teleconferencing to keep their US headquarters in touch with their store managers worldwide. Some head-hunters also make use of the facility to conduct preliminary interviews and shortlist candidates based in other countries, before inviting them for face-to-face interview.

Many multinational corporations and large Indian organizations also use this facility extensively. In spite of its advantages, teleconferencing will not replace face-to-face meetings completely, since it is unsuitable for certain types of communication that involve brainstorming, negotiations, persuasion and problem solving.

Telephone communication, another form of non face-to-face communication, has the biggest advantage of being able to contact a receiver who would be impossible to reach in person. Today, mobile phones have made it even easier to contact people who are on the move. Telephone communication also has a personal quality and permits the use of some non-verbal cues such as tone of voice, to enhance the communication.

Voice mail is a type of telephone communication and is similar to an answering machine. Although it is generally inferior to speaking in person to the other party, it has some advantages. When you leave a recorded message, you can make you point felt and save time that might be wasted in exchanging pleasantries. Invitations can also be declined without having to give an explanation or reason, or having the other person talk back. Thus, there is greater control over how the message is composed and delivered. Besides, voice mail also makes it possible to keep a permanent record of the communication, unlike other types of oral communication. In spite of these advantages however, voice mail has not caught on in India.

MB0039 – Business Communication


Semester – I, AssignmentSet – 2

Q 1 Ans: Difference between Extensive reading and Intensive reading:

Extensive Reading: In extensive reading you read as many different kinds of books/journals/papers as you can, chiefly for pleasure, and only needing a general understanding of the content. Extensive is when you try to cover vast amounts of materials, but just skip over the parts you don't know and try to get the general gist of things. It's all about context and the big picture. Once you get awesome, you can just sit down and read a book and understand everything, and you're doing an extensive exercise still. Our way of reading is influenced by the purpose of our reading. Most of us have the habit of reading especially when we are free, or have a lot of leisure time. We might get hold of a novel, a comic strip, or a magazine. When we read for the pure pleasure of reading, it is known as extensive reading. However, it should not be given less priority, because it is enjoyable, as well as informative. Here, we practice repaid reading to get a global/overall understanding of the matter.

Intensive Reading: In intensive reading you read with concentration and great care in order to understand exactly the meaning of what you read. This is particularly necessary for legal documents, financial documents, academic reports and anything to do with business. Intensive reading is about studying minute details and trying to wring absolutely every drop of information out of a section of text. When were read shorter texts like a research paper for getting specific details or information, we read slowly with a lot of concentration. This is known as intensive reading. When you read a book as a resource material for research, you read it intensively because the overall understanding is not the objective or purpose of our reading. When you read an article in order to write a review on it, you read it intensively. We use all the skills of reading when we do intensive reading.


Q 2 Ans: Intranet: An intranet is similar to a website, except that it is an internal network that is exclusive to a particular organization. This means that only employees of the organization will have access to it. Although the intranet is better suited for large organizations where distributing information is an enormous task, a number of smaller organizations today are also using this form of internal communication.

Advantages and Disadvantages of intranet: Like any other tool, the intranet has its advantages and limitations. Some of the primary advantages are:

1. Discourages grapevine – Grapevine, or the informal communication network was discussed in one of the earlier units. Although grapevine can be useful, it also leads to rumours, in the absence of information passed on through the formal communication network. When employees are misinformed, they become dissatisfied and de-motivated. Using the intranet as an official channel to post information for all employees to see discourages gossip and avoids creating a transparency gap.

2. Facilitates pre-meeting discussion – The intranet may be used to discuss and debate ideas prior to a meeting, so that valuable meeting time is spent focusing only on relevant ideas. Example – Suppose a sales team of five members are required to make a presentation to the vice president sales, on how to increase sales during the current year. Instead of each sales person making a lengthy presentation during a meeting and them getting his ideas reviewed and approved, a “discussion board” can be created using the intranet, a few days before the meeting. The sales persons could post their ideas on the discussion board for the VP to review in advance, so that only themost promising ideas are discussed during the meeting. This way, the sales persons can come into the meeting more focused.

3. Saves time – The intranet is paperless communication and is therefore a big time saver. A lot of unnecessary time wasted on filling out forms, leave requests, supply orders, etc., can be saved by doing this through the intranet. Employees can get information on official holidays and other HR related information, without having to interact with the HR manager.


4. Is superior to email – Sending some types of information through email can sometimes create confusion and information overload. Let us take the above example of the sales team making a presentation on how to increase sales. If five salespersons each have three different ways in which they could increase sales and start emailing multiple versions of their power point presentations for the VP to review, it could lead to disastrous results. Instead, they could work on a shared file, by using the intranet. A central location could be created for the most recent file.Some of the disadvantages are:

1. Getting started – Building an intranet to your specifications can be expensive. A consultant may have to be hired to give it the desired look and feel and to make sure that it is user friendly and simple enough for all employees to use.

2. Developing and maintaining content – Once it has been set up someone has to be responsible for maintaining and updating the information on a continuous basis. In small organizations, it may be sufficient to appoint one person to do this. In larger organizations with multiple departments, it may be necessary to appoint several persons to maintain and update information for the different departments. This becomes a complex and expensive task.

3. Training employees – Once it has been set up, employees have to be familiarized and trained on how to use the intranet. This involves investment in time and money.

4. Convincing “old economy” employees – Some employees may not be technology or computer savvy and may be reluctant to use the intranet to access information. Therefore they may have to be convinced about the benefits of using the new technology.

Q 3 Ans: Principles of Business Letter Writing: Business letters are used primarily to communicate with external stakeholders such as consumers, intermediaries, government and bankers. The Principles of business letter writing and some what


different from the principles of writing general letters. Business letters are much more formal then general letters. Before we go into the specifics of business letter writing, let us look briefly at some of these principles –

A. Consideration and Courtesy - It is very important to retain the goodwill of customers and other external publics. A discourteous, rude letter can make you lose business. Therefore, the business letter should be extremely polite at all times and mindful of the “P”s and “Q”s i.e., the words “please, thank you and sorry.” Even if you happen to get a rude letter from a customer, you must respond politely, in order to retain the customer. If the company has been at fault, it is important to apologize to the customer of the mistake and for the inconvenience caused. The overall tone should not be negative. For example, avoid saying “We cannot grant your request.” Instead state it in a more tactful way, explaining the reasons for not being able to grant the request. If you are sending a job rejection letter to a candidate, it should be worded politely and in a positive tone. Consideration means that you should appeal to the reader’s interest. The importance of stressing the “you attitude” rather than the “me attitude” for example, instead of saying “we will be open 24 hours”, say “you can avail of round-the-clock service.”

B. Directness and Conciseness – Business letters should be brief and to the point, avoiding unnecessary details and round about expression. A typical Indian tendency is to be too wordy or “verbose”, using redundancies and unnecessary words. Business letters should give maximum information to the reader, using minimum words.

C. Clarity and Precision – Business letters should be clearly worded, avoiding the use of jargon or technical terms, and slang words. Concrete words should be used, so that there is no ambiguity. Example – Instead of saying “I received your communication”, it is better to be more precise by saying “I received you letter”. The letter should include a single main idea and paragraphs should be used to elaborate on sub ideas.


D. Appearance – Apart from the content, the format, layout and overall look of the letter should be equally appealing to the reader. Attention should be paid to the quality of paper used. The margins should be appropriate, including one inch on each side and one and half inches on the tip and at the bottom.

A business letter should include the following standard components –

1. Date in the upper right hand corner.2. The “To” address above the salutation in the upper left hand corner.3. The Salutation – When addressing a firm, “Messr” should be used before the

name of the firm. Since business letters are formal, the appropriate salutation when addressing an individual is “Dear Mr. /Ms.,” followed by the last name, rather than the first name, which is informal. If the gender of the reader is not known, it is better to use a neutral salutation such as “Dear Customer or Investor”.

4. Sometimes, an “Attention Line” may be included below the salutation, in order to ensure prompt action. For example, “Attention: John Smith, HR Manager”.

5. A “subject Line” indicates the purpose of the letter and is placed between the salutation and the first line of the letter.

6. The “Body” of the letter includes an explanation of the main idea(s).7. The “Close” is the ending of the letter and should be polite and friendly, so as

to retain goodwill. A standard close for a business letter is “Yours faithfully or sincerely.”

8. Enclosures – Sometimes, a business letter may include an enclosure such as a pamphlet or a brochure, in which case this should be indicated at the end, below the signature line, as “Encl: 2”, meaning two enclosures.

Q 4 Ans: Corporate Advertising: Corporate advertising is usually done to project a positive image of the organization as a whole. Some of the specific objectives include the following


To create positive attitudes towards the organization. To project the personality, culture and values of an organization. To safeguard corporate reputation To make an organization better understood. To project the organization as socially responsible.

Types of Corporate Advertising:

1. Corporate identity advertising2. Institutional advertising3. Public relations advertising4. Issue or “Advocacy” advertising5. Public service advertising6. Corporate umbrella advertising7. Corporate sponsorship

Corporate identity Advertising: This type of corporate advertising is done purely to communicate the organization’s corporate identity, such as its name, logo (e.g. the Nike “Swoosh”), trademark or brand name and slogan. When he organization’s identity changes, this is communicated through corporate advertising. Example – the American fast food outlet, “Kentucky Fried Chicken”, changed its name to “KFC”, to remove the association with fired, greasy chicken. The name change was communicated through corporate identity advertising.

Institutional Advertising: This type of corporate advertising is aimed at special publics such as the media, suppliers and dealers, to correct communication problems with them.

Q 5 Ans: Types of Business Reports: Reports may be classified based on several criteria, including their use (progress reports and financial reports), Purpose (Informational, analytical and persuasive reports), frequency of preparation (annual, monthly, weekly and hourly reports), length (short and long reports) and whether


they are internal to the business, or are used outside the business. The most common types of business reports may be divided into the following categories –

1. Periodic reports – There are reports that are prepared on a regular basis, for both internal and external audiences. Their purpose is solely to inform. Examples of this type of reports are – a. Routine management reports – These are reports such as equipment

reports and sales updates and are prepared for internal audiences.b. Compliance reports – These are submitted to external stakeholders, such

as the government, stating compliance with regulations such as environmental norms.

c. Progress reports – These reports may be prepared for both internal audiences such as top management and shareholders, as well as for external audiences such as customers. A project report stating progress on a long-term project is an example of this type of report.

2. Proposals – Unlike periodic reports, the purpose of a proposal is to persuade. Proposals may be prepared for both internal and external audiences. Examples of proposals include research proposals and marketing strategy proposals to top management, proposals to the government to grand funds for building a research facility and proposals to consumers to buy a company’s products.

3. Policies and Procedures - The purpose of these reports is solely to inform. They are also prepared only for internal audiences. Examples include reports on company policies and procedures, written by top management and sent to all employees. This is part of downward communication.

4. Situational reports – These are one-time, exceptional reports that are prepared when a unique event occurs. For example, if sales of the company has shown significant decline, a study may be carried out to determine the reasons for declining sales and a report prepared on the findings. Similarly, a market feasibility study may be carried out before launch of a new product and a report prepared, based on the study. The purpose of such reports is usually to inform, analyse and persuade.


Q 6 Ans: Steps in Report Preparation: Since reports are a key to the success of any business, they should be carefully planned, organized, written of the report. We shall briefly discuss the five main steps in the report preparation –

1. Planning the report – The first question to be asked before gathering information and writing the report, is regarding the type of report that is required. We classified report into four main types, based on the purpose, the audience to whom they are addressed and the frequency of the report. Secondly, it must be remembered that most reports are required by management to solve a problem, or to make a decision. Therefore, the basis, or starting point for a report is a problem. Reports are written after a problem is analysed and a solution to the problem is found. The problem may be a day-to-day nature, such as determining which brand of overhead projector to recommend for purchase. Or, the problem may be a negative one, such as sales of the company showing a decline. In any case, the problem is the single fundamental issue to be addressed in the report and should be clearly determined, right at the outset.Once the problem has been defined, it must be broken up into sub issues or sub problems, by asking the questions “what”, “why”, “when”, “where” and “who?”. For example the purpose of a study is to survey clerical salaries in public sector banks in Bangalore city, in order to determine whether salaries in your bank are competitive and consistent. The problem may be broken up as follow –What? – A study of clerical salaries Why? – To determine whether salaries in our firm are competitive and consistentWhen? – CurrentWhere? – Bangalore CityWho? – Clerical employees in public sector banksAsking the above questions determines the exact scope of the study and reduces the problem to a workable size. The next step in planning the report is to do an “audience analysis”. We have seen that reports may be addressed


to internal or external audiences of an organization. Some of the questions to be asked about the audience, or the reader of the report are –

Is the audience internal or external to the organization? Who is the specific audience or reader? – For example, top

management, customers or the government? Reports written for the government and for top management should be more formal than for other audiences.

Is the audience known to you? What is the level of knowledge of the audience? Is the topic familiar to

the reader? If the report is of a technical nature and the reader is a layperson, the technical terms may need detailed explanation.

What is the level of interest of the reader? If the report has been solicited or authorized, the reader’s level of interest will be high. On the other hand, if the report is voluntary or unsolicited, it may have to sustain reader interest.

The tone, length, complexity and degree of formality of the report will depend largely on the reader’s characteristics. For example, reports addressed to peers would adopt. A more conversational tone, while reports on company policies and procedures addressed to subordinates would adopt an emphatic tone.

2. Selecting a method to solve the problem – After defining the problem and doing an audience analysis, a method has to be selected to collect the necessary information to solve the problem. Broadly, information may be gathered using secondary research methods, such as books, magazines, newspapers, internet and other available sources, or through primary research methods, such as surveys that provide first-hand information.

3. Gathering and organizing data – Once the method of gathering information has been selected, the actual process of gathering the information begins. Since this is time consuming and expensive, only information that is relevant to the report and the study must be gathered. The raw data should be evaluated for its usefulness and organized in a form that is meaningful to understand. Tables, charts, graphs and summaries should be used to do this.


4. Arriving at a conclusion – Once the information has been checked for its validity and reliability, it must be interpreted and conclusions drawn. Correct interpretation of the data is needed for the success of the report. Sound conclusions cannot be made if the interpretation of the data is faulty. A common mistake made in the interpretation of data is the tendency of the researcher to use subjective judgments, instead of objective reasoning based on facts.

5. Writing the report – The actual process of writing the report should begin only after a satisfactory solution to the problem has been found. As pointed out earlier, as well written report that contains a bad answer is worse than a badly written report that contains a good answer.Once you are ready to begin writing, certain procedures for writing should be followed –

Set a date for completion of the report and get started early – Begin by first preparing an outline and writing an initial draft, which can be refined later.

Start with an easy section – It is best to start writing those sections of the report which you feel are easier than other. This will help you to get into the rhythm of writing, which will be carried over to the more difficult sections.

Write quickly, with the intention of rewriting – It is better to put down your thoughts on paper in the form of a rough draft and to get this done quickly. Once this difficult part is over, it becomes easier to improve.

Set aside uninterrupted writing time – a long block of uninterrupted writing time, such as three to four hours a day, should be set aside for writing the report. Interruptions can make you lose your train for thought.

Review and rewrite where necessary – Ideally, the report should be reviewed a couple of times, to see if any improvement is needed. The


first review should be to see if any improvement in content is needed, while the second review should check for any errors in writing style, grammar, spelling and punctuation.

Reports should also be written in a convincing manner, so that the reader accepts them as valid and reliable. Some suggested techniques of conviction include the following –

State facts in an objective manner – Avoid using superlatives and emotional terms that introduce bias in the research, or that suggest that you are passing judgment. For Example, avoid saying “There was an incredible increase in sales, compared to the last year”. Instead, simply state the amount or percentage of increase. This will be more acceptable to the reader.

Provide expert opinions – Although facts are more convincing than the opinions of others, they may not always be available. In this case, the opinions of a specialist in the field may be presented, highlighting the background and experience of the expert. This can enhance the credibility of the report. For example “This is the opinion of an eminent lawyer, who has over three decades of experience in dealing with similar cases.”

Use documentation – “Footnotes” are citations that re placed numerically at the bottom of the page in the body of the report, along with the direct references. This is one way of mentioning the sources of information presented in the report. A bibliography, or list of references, explained earlier, is another way of providing documentation. This helps to convince the reader that the information is based on reliable sources.

Business reports should be carefully worded, adopting certain techniques of writing style –

Use “Concrete” nouns – Business reports should use concrete nouns, rather than abstract nouns as the subject of sentences, since they are


easier to visualize. For Example – “Mr. Johnson authorized the study.” Here Mr. Johnson is a concrete noun and is easy to visualize. Compare this with the sentence “Authorization for the study was received by Mr. Johnson”. Here an abstract noun, “authorization”, is the subject of the sentence and is harder to visualize.

Avoid pronouns referring to the writer or reader – The first person pronoun “I” and the second person pronoun “you” should be avoided in business reports, as far as possible. The used of “I” risks placing more emphasis on the writer of the report, rather than on the ideas. For example – “I conducted face-to-face interviews with fifty respondents.” This draws more attention to the report writer and should be avoided. It is better to emphasize the idea that “Face-to-face interviews were conducted among fifty respondents”.

Use tenses correctly – If you are writing a research report and reporting or summarizing some of the findings, the past tense is preferable. For example – “Almost 80% of the respondents were not aware of the new product.” “Of the remaining 20%, five respondents were satisfied with the product’s features.” However, once the findings have been presented and you are drawing conclusions, the present tense should be used.

Use “transition” sentences – The report should be written so as to flow in a logical sequence. A transition sentence summarizes one section of the report and leads the reader smoothly into the next section. For example – “while the costs of the new initiative are more than what were anticipated, the benefits outweigh the costs, as listed below.” This sentence leads the reader form a discussion on costs to a section on benefits, as a result of a cost-benefit analysis.

Define key terms carefully – Important terms and words should be defined properly, explaining what the word means, rather than what the word is about. For example – “A dictionary is a book containing an alphabetical list of all words in a particular language” is a more complete definition than – “A dictionary has to do with words in a language.”


Documents

MBA Assignment - Business Communication