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1. Perception
2. Interpersonal Communication
3. Grapevine
4. Communication
5. Intranet
6. e-mail
7. Internet
8. Semantics
Communications is the act of exchanging information. It can be used
to inform, command, instruct, assess, influence, and persuade other
There are five reasons why effective communication is such an
important management skill:
 Managers must give direction to the people who will work for
 Managers must be able to motivate people.
 Managers must be able to convince customers that they should do
business with them.
 Managers must be able to absorb the ideas of others, and
 Managers must be able to persuade other people.
Figure 3.2 depicts the interpersonal communication process. The
sender creates a message that is generated from information. This
message is communicated both verbally and nonverbally. The receiver
perceives the message, derives meaning, and reacts to it. The reaction
creates a reply message to the sender which is communicated both
verbally and non-verbally. This reply is referred to as feedback. The
sender perceives the feedback and derives meaning, then reacts to the
The basic purpose of interpersonal communication is to transmit
information so that the sender of the message is understood and
understands the response of the receiver.
Some causes of interpersonal communication failure are conflicting or
inappropriate assumptions, different interpretations of the meanings of
words, differences in perception, emotions either preceding or during
communication, poor listening habits, inadequate communication
skills, insufficient feedback, and differences in the interpretations of
nonverbal communications.
There are two general types of problems involved in semantics. The
first is that some words and phrases have multiple interpretations. The
second is that groups of people in specific situations often develop
their own technical language, which outsiders may or may not
Before managers can master either written or oral communication,
they must be able to identify the audience, develop good listening
skills, and understand the importance of feedback and non-verbal
When determining and communicating effectively with the audience,
there are specific questions managers need to be able to answer. First,
what does the audience already know? What does it want to know?
What is its capacity for absorbing information? What does it hope to
gain by listening? Is it hoping to be motivated? Informed? Convinced?
Lastly, is the audience friendly or hostile?
Learning to actively listen involves several steps. You must identify
the speaker’s purpose. Identify the speaker’s main ideas. Pay attention
and note the speaker’s tone as well as his or her body language.
Respond to the speaker with appropriate comments, questions, and
body language.
Managers use oral communication for giving clear instructions,
motivating their staff, and persuading others.
Verbal communication is most appropriate for sensitive
communication, such as reprimanding or dismissing an employee.
Written communication is most appropriate for communicating
routine information, such as changes in company policies or staff.
Grapevines develop within organizations when employees share
common hobbies, hometowns, lunch breaks, family ties, and social
The primary advantages of an electronic mail system is that it saves
time, eliminates wasted effort, provides written records of
communications without the formality of memos, and enables
communication among individuals who might not communicate
An intranet connects people to people and people to information and
knowledge within the organization. It serves as an “information hub”
for the entire organization.
The challenges with international communication is dealing with
different languages. Another one is the cultural differences in nonverbal communication.
To improve the effectiveness in international communication,
managers should learn the culture of the people with whom he or she
communicates. They should also learn to write and speak clearly and
Students will have varying answers. As a car salesman with a
commission-based salary, communication skills are crucial. If you do
not have good communication skills, you won’t sell very many cars,
and, therefore, will make very little money. Some of the skills you
will need as a car salesman are speaking, persuasive, motivational,
and listening skills. Well-developed speaking skills are important
because it portrays confidence, and clearly sends your message to
potential customers. Persuasion and motivational skills will help
convince these potential customers that you are the person to buy
from, not the competition down the street. Listening skills will help
you understand what the customer is looking for, rather than trying to
sell something that is of no use to them.
Joe is trying to create interpersonal communication where he
interacts with his employees.
Joe is experiencing negative feedback and many of the factors
that cause the interpersonal communication process to fail such
as emotions, poor listening habits, different interpretations, or
insufficient feedback. Effective communication is critical to
achieving organizational objectives.
Student answers will vary. Some of the different audiences may
include employees, co-managers, suppliers, architects, engineers,
surveyors, sub-contracting companies, etc. Written communication
can be used for any type of routine work such as memos, reminders,
e-mails, etc. Oral communication is used when you explain a job to
subcontractors or when you have to reprimand an employee.
John’s method of three written warnings was not the appropriate
method of communicating. Reprimands or warnings should start with
oral so that you, as the manager, can be sure your message was clear
and understood. John’s employee may not have known what she was
doing wrong and therefore, continued to do the same things.
Student answers will vary. E-mail makes communication much faster
and efficient. Notes and group projects can be set up through e-mail.
The use of the internet and the intranet makes research and
information much quicker and more recent and accurate.
Student answers will vary. Language will be a big barrier in
communicating effectively with these suppliers. Also, cultural
differences will play a role. Business is run differently in different
parts of the world. To help solve these problems, you should learn the
culture of the people you are dealing with, and you should learn to
speak and write clearly and simply.
1. B
2. D
3. A
4. C
5. D
6. B
7. D
8. C
1. False
2. True
3. False
4. True
5. True
6. False
7. True
8. False
9. True
9. A
10. C
11. D
12. A
13. C
14. B
15. B
10. True
11. False
12. False
13. True
14. False
15. True
16. False
17. False