Communication is a two-way process in which information is transmitted from one person to another through verbal and non-verbal means of communication. It is considered as a key function of management because it brings connectivity between departments, employees and levels in an organisation. In the communication process, messages are transmitted and received by using some graphical representations, signs, signals and oral communication. Effective communication is essential for smooth running of functions and activities in business. It helps in encouraging mutual understating and cooperation among people working in an organisation. Along with this, effective communication plays a crucial role for managers to perform the basic functions of management in an organisation. These basic management functions are planning, organising, directing, coordinating and controlling. In addition, effective communication encourages and motivates employees to improve their performance. 

Process of communication

The process of communication is a continuous process that involves three elements namely sender, message and receiver. However, there are many other elements that make the communication process more effective. The elements of communication process are discussed below in detail:

  1. Sender – Sender is a person who sends the message to another person or who intends to convey the message to the receiver. The knowledge, competencies and skills of the sender create a huge impact on the success of the communication process.  
  2. Encoding – A process of transferring ideas into symbols is known as encoding. It is a process in which the sender’s information and ideas are converted into the receiver’s language.  
  3. Message – The encoded message is transmitted to the receiver in a verbal or nonverbal form. Verbal communication involves the written as well oral communication where non-verbal communication involves gestures, waving of the hand, smile and so on.
  4. Media – Media brings the linkage between sender and receiver. An individual or group of individuals use the various mode of communication such as telephone, emails, face-to-face conversation, letters etcetera to make the communication process more effective. The choice of media mostly depends upon the interpersonal relationship between sender and receiver.
  5. Receiver – A Receiver is a person by whom the message is intended effectively. The receiver decodes the message according to the knowledge of subjects, experiences and relationship with the sender. 
  6. Decoding – It is a process in which the receiver interprets the sender’s message. A process of communication becomes more effective when the receiver understands the message in the same way as intended by the sender. 
  7. Feedback – It is a final step of the communication process in which receiver receives and interprets the message correctly. It has been observed that positive feedback increases and improves the effectiveness of communication. Also, the feedback of the receiver can be in the form of verbal and non–verbal mode.