The reasons for the growing importance of communication in modern organizations are discussed below:
1. Large Size of Organizations: Modern organization have grown in size and employ a large number of people to achieve their objectives. They have complicated structures with several layers of management. Effective coordination can be achieved only with the help of an effective system of communication.
3. Global Business Environment: Many organizations operate at the transnational level. This requires dealing with people of different languages and cultures. Naturally, communication is to be given greater attention for success in international business.
4. Technological Advancement: The modern era is characterized by rapid changes in technology. A big undertaking cannot afford to ignore the latest technology if it is to survive in the long-run. But application of new technology is not an easy task because of the resistance offered by the work-force. Only an effective system of communication can help the management to overcome resistance to change on the part of the work-force. Management can keep workforce fully informed about the latest developments and can educate them the uses of new developments.
5. Need for Information: Modern organizations need adequate and timely information for better decision-making. To keep pace with the changing environment effective management of information is important.
6. Need for Better Human Relations: The nature of employment relationship has changed from master-servant relationship to partnership relationship. The employees are the shares of the prosperity of the enterprise. No management can manage effectively if it does not understand the need, perceptions and feelings of the employees. The desire of the modern managers to have better understanding of the human behavior has increased the significance of communication in an enterprise.
7. Need for Better Public Relations: An industrial enterprise works in the society and so it has got certain social obligation towards the customers, workers, Government, suppliers and the general public. Every enterprise has to keep these Segments of the society informed about the efforts taken by it in the performance of obligations towards different stakeholders.
According to Henry Mintzberg, managers perform three major roles-interpersonal, informational and decisional. Communication helps managers in performing each of these roles effectively. In interpersonal roles, managers interact with their superior, peer and subordinates; while in informational roles, they receive and give information to people inside and outside the organization and in the decisional roles, they take important decisions and communicate them to the organizational members for their effective implementation. Several studies have revealed that most of the managers spend about three- fourths of their time in manger communicating with others. Through communication, they inform the employees about what is to be done, what they have to do and how the work has to be completed. The importance of effective communication system increases with the in the size of increase business, growing competition and advancement in the technology.
The importance of communication is as follows:
1. Facilitates planning
Communication facilitates planning executives in a number of ways. Participation of planning is a pre-condition for getting only the task done. This can be secured through interaction and communication. Further, the information should be realistic and based on accurate planning. Such information can be available only when there is systematic communication in the enterprise.
2. Helps in Decision-making
Communication helps management in arriving at vital decisions. If the right type of information is not available at the proper time due to lack of communication, it may not be possible for management to consider all the pros and cons before taking a decision. Move over, it is through communication that management comes closer to the subordinates and is able to identify real problems and take appropriate decisions. Thus, communication is essential for decision-making.
3. Brings Co-ordination
Communication helps in synchronizing activities of different individuals and groups to bring about individuals and unity of action. Liaison men who are employed to work with different individuals need to evolve communication between different parts of the organization. Group meetings as a means of communication must necessarily involve exchange of ideas and knowledge and transfer of information and understanding.
4. Facilitates Better Administration
Communication is important in the performance of all managerial functions. The primary functions of management requires, detailed communication among the managerial and other personnel. Move over, effective communication is important in executing the plans and then controlling the activities with the help of feedback information. Information about subordinate’s performance is necessary to determine whether the planned objectives are being realized or not. Communication is an important aid in directing and motivating the employees in the organization. Thus, communication is an indispensable part of the management process.
5. Creation of Mutual Trust and Confidence
An effective communication system helps the manager to convey his ideas, views, decisions, suggestions and feelings to the employees. On the other hand, the employees also get the opportunity to express their feelings and communicate their ideas and reactions. Thus builds an atmosphere of mutual trust and confidence and the management is able to lead and guide the employees effectively.
6. Motivation of Employees
Motivation of employees largely depend upon the effectiveness of communication. Sharing of information with employees helps management to secure their willing cooperation. Discussion on matters of common concerns between managers and employees is a source of satisfaction for the employees as it signifies recognition of their importance. Information sharing and consultation act as strong motivating factors.
7. Building Higher Employees Morale
Communication in industries is the basis for morale building. Under an effective system of communication, it is quiet convenient for the employees to bring their grievances to the notice of the management and get a proper adjustment. It creates mutual trust and faith, and ultimately ensures job satisfaction amongst the employees, creates confidence in the ability of managers and promotes their loyalty towards the enterprise. It satisfies their personal and social needs and stimulates their job interest and enthusiasm. Grievances suppressed for lack of communication may lead to serious conflicts.
8. Binding Force
Effective communication induces the human resources in the organization to develop a spirit of cooperation and produces the will to do work. In this way, effective communication binds them together and creates the spirit of commitment among them.
9. Facilitates Effective Control
Controlling is an important aspect of managing. It helps the managers to measure and evaluate the performance of their subordinates, and provide them feedback on their performance. Communication helps in control by transmitting information about the performance of the subordinates to the manager. If the information received by the manager reveals that the performance of the subordinates is not up to the mark, he can take corrective action immediately.
To sum up, communication system plays the same in an organization as the nervous system in the human body. It keeps the members of organization informed about the internal and external happenings relevant to their task and interest. Since the success of organization depends upon coordinated efforts of people working at different levels to achieve a common goal, effective communication becomes a must to enable them to think together and to act together.