Outcome 3 PowerPoint

1. MARKETING AND COMMUNICATION
Outcome 3
This learning outcome will cover:
Understanding the different types of communication
required for a new business venture

2. Introduction
In this Outcome, we will cover:
The meaning and importance of communication
Different types of communication:
Internal communication
External communication
Formal communication
Informal communication
The impact of effective communication on a new business
The barriers to effective communication and the impact of poor communication on a
business

3. What is Communication?
Communication is the process of passing on messages and
exchanging information between people or organisations.
One-way communication is when information is passed from sender
to receiver and there is no opportunity for the receiver to respond to
the message. This is important because it allows the organisation to
share important information with its customers or employees about
the company or its products or services
Two-way communication is when the receiver can respond to the
message. This ensures that the message has been fully understood
and is therefore more effective than one-way communication. This
allows confirmation the message has been both received and
understood.

4. Communication
Now click for a link to Activity

5. Why Communication is Important in
Business
Being an entrepreneur, you will need to communicate with
a number of different stakeholders whether that be your
employees, customers or activity.

6. Communication
Now click for a link to Activity

7. Why Communication is Important in
Business
The business can build stronger relationships with customers
Customers feel valued and they receive a better service from the company
Employees feel listened to and receive important information relating to
their job and the organisation
Employees are more motivated
The reputation of the business is enhanced
Better levels of customer service resulting in increased sales and profits
Leads to a more efficient and effective business

8. Why Good Communication is Important in
Business
Now watch the following video on why good
communication is important in a business
https://www.bbc.com/education/guides/zypsb9q/video

9. Types of Communication
Internal communication takes place between staff
within the same organisation
External communication takes place between
individuals, groups and organisations outside of the
business
Formal communication is an official message sent by
the organisation
Informal communications are unofficial messages
not formally recognised by the business

10. Types of Communication
Now click for a link to Activity

11. Types of Communication
INTERNAL COMMUNICATION
• Departmental meetings
• Team briefing sessions
• Memos to staff
• E-mails
EXTERNAL COMMUNICATION
• Advertising material
• Telephone calls to suppliers
• Letters to customers
• Social media platforms
FORMAL COMMUNICATION
• Company report
• Company memo
• Staff newsletter
INFORMAL COMMUNICATION
• Workplace gossip
• Everyday conversation
There are different ways an organisation can use to communicate depending on who
they are communicating with and for what purpose.

12. Features of Effective Communication
It is important that communication is effective otherwise
the message will be misunderstood and lead to confusion
Read the following article on the Seven C’s of Effective
Communication
https://www.managementstudyguide.com/seven-cs-of-
effective-communication.htm

13. Barriers to Effective Communication
“Everything has been said before, but since nobody listens we have
to keep going back and begin all over again.” - André Gide (French
author and winner of the Nobel Prize in literature in 1947).
There are a number of barriers which can lead to ineffective
communication:
Information overload! Organisations bombard staff with too much
information which can lead to miscommunication and inefficiency.
Not enough information, can leave staff feeling demoralised and can
result in an increase in workplace gossip and rumours.

14. More Barriers to Effective
Communication
There is an excessive amount of content in the literature and
includes jargon and abbreviations
An inappropriate medium has been used for the message
Overreliance on e-mail can result in depersonalisation and
staff getting bogged down with irrelevant information
The sender may not completely understand the message they
are trying to send
Now click for a link to Activity

15. Impact of Poor Communication
Mistrust can develop amongst staff
Staff may become overworked or feel overwhelmed which can result in
increased stress levels.
Staff may be unclear on work objectives which can result in demotivation
and disengagements with the organisation this can effect productively
levels and ultimately decrease sales and revenue
Inappropriate communication mediums being used could result in
messages and information being misunderstood and taken out of context
which could impact of relationships with peers and managers
Customers may become unhappy if they feel that their comments or
complaints are not being taken seriously. This can result in customers
taking their business elsewhere which impacts the business reputation and
profitability.

16. Well done
You have now completed this outcome
Click here to test your understanding of
Communication
End of topic test Outcome 3