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Effective Employer
-Employee Relations
A2 Business Studies
Aims and Objectives
Aim:
• Understand methods of increasing competitiveness
of organisational structures
Objectives:
• Define internal and external communication
• Explain methods of internal and external
communication
• Analyse effective communication
• Evaluate effective communication.
Starter
• HRM Battleships
Effective Relations
The successful modern business
recognises the need for positive,
constructive relationships
between employers and
employees.
Effective Relations
Three key areas where a business can focus to make
the employer/employee relationship work are:
• Communication systems in a business
• Involving employees (and their representatives) in
the decision-making process
• Resolving industrial and other disputes with
employees
Communication Methods
Communication can be defined as:
• The process by which a message or information is
exchanged from a sender to a receiver .
• Communication can be:
• Internal: between people in the same business
• External: with people outside the business
Internal Communication
Internal communication
• It links together all the different activities involved in a
business.
• It also aims to ensure that all employees are working
towards the same goal and know exactly what they
should be doing and by when.
Brainstorm as many internal communication methods as
you can.
Internal Communication
Meetings
E-mail
Conference
calls
Team
briefings
Message
boards
Induction
sessions
External Communication
External communication
• Where the business communicates with people &
organisations outside of the business.
• This is closely linked with the idea of “stakeholders” –
i.e. those who have an interest in the activities and
results of the business
Brainstorm as many external communication methods
as you can.
External Communication
Press releases
Marketing
materials adverts
Letters, emails
Published
financial info
Telephone
calls
What is Effective Communication?
• The sender and receiver of information are properly matched
• The message is communicated clearly – i.e. without
misunderstanding or misinterpretation
• Communication is made using an appropriate communication
channel and/or method
• The receiver of the communication is able to pass on any
relevant and appropriate feedback (i.e. two-way communication)
Benefits of Effective
Communication?
• Motivates employees – helps them feel part of business.
• Easier to control and coordinate business activity – prevents different parts of
business going in opposite directions.
• Makes successful decision making easier – decisions are based on more
complete and accurate information.
• Better communication with customers will increase sales.
• Improve relationships with suppliers.
• Improves chances of obtaining finance – e.g. keeping bank up-to-date about
how business is doing.
Link with Theorists
• Mayo emphasised importance of communication in meeting
employees’ social needs
• Maslow and Herzberg stressed importance of recognising
employee’s achievements and self-esteem needs
Barriers to Effective
Communication
• For each of the following discuss how it may be a
barrier to communicating effectively:
– Language
– Noise
– Information overload
– Technology
– Emotion
– Inconsistency
EV: Effective Communication
• What does the success of effective
communication depend on?
•
•
•
•
Organisational structure
Spans of control
Technological systems reliability
Language/cultural barriers