What are the Three Basic Functions of Business Communication?

by Luanne Kelchner, Demand Media
Communication can be written or verbal in business.

Communication can be written or verbal in business.

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Business communication takes place every day in an organization through a variety of methods. Communication can occur in email, on the phone and in person between all members of the organization. According to the Wisconsin Business Alumni Update, managers spend 75 to 80 percent of their time on the job performing some form of communication.

Importance of Communication

Communication is an essential part of every business transaction between coworkers, management and staff as well as company representatives and customers. Effective communication facilitates the exchange of information between parties, which is necessary to perform all aspects of business. For example, a supervisor’s communications to his staff ensure that employees understand their duties.

Job Control

Job control is a basic function of communication in the workplace. The communications that control the duties and behavior of employees on the job include company policies and job descriptions. Graphics that detail the hierarchy of the organization communicate the chain of command in the company. Written company policies provide information to employees on how they must conduct themselves on the job. For example, a company handbook may detail the methods employees should use to call in sick or the proper procedure for requesting vacation time.

Decision Making

The managers and decision makers in an organization rely on communication from employees to make decisions for the company. For example, the production department in a company reports to management the quantity of products made during a specific period. Management can use the information to determine if more employees or additional equipment is needed to increase production. Market analysis provides information that a company can use to determine what products or services customers demand.

Motivating Employees

Supervisors and managers use communication to motivate employees to perform to their highest potential. For example, the feedback an employee receives during a performance evaluation can motivate the worker to improve or continue to work to a high standard. Supervisors can use written and verbal communication to motivate workers with incentive programs, rewards, praise and constructive criticism.

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