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Q.N.2. What is the significance of communication?

Ans: Communication is the life blood of business. It is an all pervasive function of management. Today the organizational structure is designed on the basis of specialization and division of labour. Large number of people work together who are functionally related to each other. Thus, co ordination is must amongst the workmen. Co-ordination can be achieved only when there is mutual trust and understanding between them. This understanding is created by effective communication.

Thus communication is an essential ingredient for effective management. Further the role of communication may be summed up as:-

               i. The objectives, plans and policies of the organization are cleared to the workers through communication.

              ii. It provides unity of direction to various activities of the enterprise.

             iii. It helps in controlling and coordinating the various activities of the organization.

             iv. It helps in motivating the workers of an organization.

              v. It helps the managers to develop their managerial skill.

Q.N.3. What is the need of communication?

Ans: According to Sir John Harvey-Jones, "Communication is the single most essential skill. Effective communication is the need of the day.”

In recent times communication has become all more essential due to the following reasons:-

i.        Growth in the size of the business organization: An efficient system of communication is required because the business organisations are growing tremendously. Thousands of people work in the organization. Organizations have factories or offices in different parts of the country or even world.

                ii.      Advance technology: Day by day rapid changes are taking place in science and technology leading to obsolescence of old technology. Thus in order to upgrade or modernize technology proper communication between the superior and subordinate in an organization is a must.

iii.    Tough competition in the market: Globalization and liberalization have resulted in cut throat competition. Thus to survive such competition, persuasive communication in form of advertisement, publicity, personal contacts are essential.

iv.     Growing specialization: Division of work paved way for specialists to work in different department‟s sound communication is thus essential for ensuring mutual cooperation and understanding between different departments.

v.       Trade union movement: trade union movement is on its growth. Management now has to consult trade unions on various matters. A strong and meaningful relation between management and trade union is possible only by effective communication.

vi.     Human relation: Employee‟s participation in management helps to develop among them a sense of loyalty and belongingness towards the organization. Thus effective communication between management and employee is necessary to develop mutual trust and confidence.

               Vii. Public relations: Public relations help an organization to improve its image in society as the organization has a social responsibility especially towards the customers. 
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