

Message: It is information, written or spoken, which is to be sent from one person to another.It may be in various forms, it may be classified on the following basis: With the help of effective communication, sound relations can be maintained as it promotes mutual understanding, cooperation and goodwill.Ĭommunication implies an exchange of information. Sound human and industrial relation: The basic reason for disputes between labour and management is a communication gap.Enhance motivation and morale: Communication helps in enhancing the morale of the employees because they are aware of their role in the business firm.Effective organizing: Organizing involves delegation of authority, assigning liability, decentralization and establishes the relationship between the members which cannot be done in the absence of communication.To establish better labour relations: Effective communication creates better management and labour relationship.It requires good channels of communication so that employees, consumers and other stakeholders share information and participate in the discussion, consultation and decision making. Democratic management: Modern business organization are following democratic system of management.Job satisfaction and higher productivity: Effective communication promotes better performance as people are able to understand their jobs and roles in a better manner.Communication helps them to know the views, problems, and thoughts of others.


Minimize organisational conflicts: Proper communication reduces conflicts by developing understanding.Proper planning: Communication is required not only for effective planning but also to ensure its better implementation.A communication system is a prerequisite for making a sound decision. Facilitates decision making: Desired results of an organization largely depends on the right decision at the right time.Efficient functioning of the undertaking: The efficient performance of employees of an organization depends on effective communication within the organization.
