Business Communication [1 ed.] 9788122429374, 9788122423822

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BUSINESS COMMUNICATION

Namita Gopal

(ffl)

NEW AGE INTERNATIONAL PUBLISHERS

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Namita Gopal Assistant Professor Department of Management Easwari Engineering College (Affiliated to Anna University) Chennai

Copyright © 2009, New Age International (P) Ltd., Publishers Published by New Age International (P) Ltd., Publishers All rights reserved. No part of this ebook may be reproduced in any form, by photostat, microfilm, xerography, or any other means, or incorporated into any information retrieval system, electronic or mechanical, without the written permission of the publisher. All inquiries should be emailed to [email protected] ISBN (13) : 978-81-224-2937-4

PUBLISHING FOR ONE WORLD

NEW AGE INTERNATIONAL (P) LIMITED, PUBLISHERS 4835/24, Ansari Road, Daryaganj, New Delhi - 110002 Visit us at www.newagepublishers.com

PREFACE Business Communication is one of the most widely recommended subjects. It is a known fact that graduates acquire technical skills, but fail when it comes to putting their views across. In fact, communication skills should be taught and included in all courses, irrespective of the discipline. It is a common belief that communication is an easy subject, so extra effort need not be put on it. But, this is a misnomer. For people to excel in any job, excellent communication skills are a must. This book will help the reader to be aware of the tiny nuances and the basics of communication that differentiate an average and excellent communicator. The contents of this book are based on the syllabus of M.B.A., B.B.M, B.Com, B.Com (Corporate Secretaryship) and B.B.A. of various universities, but it can help any casual reader to learn the basics of communication. Attention has been paid to all aspects of communication–oral, written and non-verbal methods. The book has been appropriately sectioned and innumerable examples have been included for easy comprehension. Care has been taken to write it in simple English. In spite of my efforts, some errors might have crept in. I will be grateful to all readers to bring these to my notice for future corrections. Suggestions for further improvement are welcome. I thank New Age International Publishers for their efforts in bringing out this book. Author

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CONTENTS Preface PART 1 — CONCEPTS OF COMMUNICATION

v 1–54

Chapter 1 : Importance of Business Communication . . .3 Chapter 2 : The Communication Process . . .11 Chapter 3 : Objectives of Communication . . .17 Chapter 4 : Communication Barriers . . .25 Chapter 5 : Channels of Communication . . .35 Chapter 6 : Methods of Communication . . .45 PART 2 — BUSINESS COMMUNICATION TECHNOLOGY

55–84

Chapter 1 : Appliances Used for Communication . . .57 Chapter 2 : Mass Communication Media . . .79 PART 3 — ORAL COMMUNICATION

85–142

Chapter 1 : Introduction to Oral Communication . . .87 Chapter 2 : Listening . . .91 Chapter 3 : Speaking . . .95 Chapter 4 : Interviews . . .101 Chapter 5 : Meetings: Notice, Agenda and Minutes . . .111 Chapter 6 : Annual General Meeting, Role of a Company Secretary & Annual Report . . .121 Chapter 7 : Group Communication: Committees and Seminars . . .131 Chapter 8 : Group Discussion . . .139

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PART 4 — WRITTEN COMMUNICATION

Contents

143–318

Chapter 1 : Principles of Effective Communication . . .145 Chapter 2 : Importance of Commercial Correspondence . . .157 Chapter 3 : Visual Aids . . .163 Chapter 4 : Layout of a Business Letter . . .173 Chapter 5 : Styles of Layout . . .183 Chapter 6 : Writing Resumes . . .189 Chapter 7 : Application Letters . . .195 Chapter 8 : Appointment Letters . . .199 Chapter 9 : References & Testimonials . . .201 Chapter 10 : Reports . . .205 Chapter 11 : Tools of Internal Communication . . .219 Chapter 12 : Article Review . . .223 Chapter 13 : Communication Through Notices . . .227 Chapter 14 : Enquiries & Replies . . .231 Chapter 15 : Quotations and Offers . . .239 Chapter 16 : Orders . . .245 Chapter 17 : Complaints and Claims . . .249 Chapter 18 : Sales Letters . . .261 Chapter 19 : Circular Letters . . .269 Chapter 20 : Letters to the Editor . . .275 Chapter 21 : Collection Letters . . .279 Chapter 22 : Credit and Status Enquiries . . .287 Chapter 23 : Bank Correspondence . . .297 Chapter 24 : Correspondence Pertaining to Insurance . . .303 Chapter 25 : Letters Relating to Export and Import . . .309 Chapter 26 : Documentation . . .315 PART 5 — USING SOFTWARE APPLICATIONS & THE INTERNET Chapter 1 : Microsoft Office . . .321 Chapter 2 : Search Engines . . .329 Chapter 3 : The Business Applications of the Internet . . .333

319–340

Contents

PART 6 — GRAMMAR

ix

341–396

Chapter 1 : Punctuation . . .343 Chapter 2 : Parts of Speech . . .355 Chapter 3 : Style in Business Writing . . .371 Chapter 4 : Sentence Structure . . .381 Chapter 5 : Foreign Words and Phrases . . .389 Chapter 6 : Figures of Speech . . .393 PART 7 — BUSINESS ENGLISH Chapter 1 : Dictionary Usage . . .399 Chapter 2 : Thesaurus Usage . . .401 Chapter 3 : Summarization . . .403 Chapter 4 : Vocabulary . . .405 Chapter 5 : Writing Techniques . . .411

397–412

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CHAPTER

1

IMPORTJlNCE OF BUSINESS COMMUNICJlTION Communication is the main integrating ingredient of business. No business can grow and expand with out proper communication channels. People maintain contact with each other only by communicatingwith each other. We come to know about details of business dealings, financial information, issues regarding the employees, information about new techn ology, new and innovative ways of managing organizations, market information and a host of other things, only by communicating with various people. Communication helps business to flourish. Equally important, is the simplicity with which the communication channels should function . Development and success of a business depend on h ow open and simple the communication channels in the business are. If the channels an d processes are complicated, people get lazy and postpone the communication process. This can be detrimental. Communication in business includes all contacts made both inside and outside the organization. Business Communication is defined as the "process of transmission of information within the business environment." Business can have communication about both shortterm and long-term matters. Short-term communication will includ e immediate needs and details that have to be sorted out and decided on immediately. For example, deciding on promotion of a particular employee. Long-term planning can relate to strategies and policy formulation for the company. Such as, wha t are the new areas of focus that the company needs to plan for? What should be the core areas of the organization after five years? What environmental changes can be anticipated? Needless to say, the communication must be clear, simple and meaningful. The quality of this communication directly influences the success of any business.

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Information about objectives, job instructions, customer orders, production problems, employee recognition, promotions, complaints, redressals and many other issues are examples of vital information that is exchanged in the course of business. The day-to-day operations of a business depend on the exchange of information among its employees. Long range planning and decision-making are based on research, reports, proposals, conferences, and meetings. Research shows that an average person spends about 80 percent of his or her waking hours in some form of communication. Business Communication ranges from conferences and memo writing at work, to personal conversations and newspaper reading at home. The higher the organizational level to which individuals progress in an organization, the more the time they spend in communicating. Upper level executives in many businesses or non-profit organizations spend up to 95 percent of their working time communicatinglistening, speaking, reading and writing. Research on the opinions of executives and college graduates reveals that the ability to communicate effectively in business is ranked at the top of the skills necessary for job success. In addition, many studies show that an individual’s communication skill level relates directly to his or her receiving promotion and salary increases. A satisfactory level of technical skill and knowledge in their field is expected of every employee. How effectively we communicate that technical expertise, however determines how successful we will be on our job. Communication skills are an essential job requirement in today’s business In earlier times it was thought that communication finesse is required only for marketing and sales personnel. But today, we know otherwise. For people at all organizational levels, all functional areas, for both blue and white-collared workers, good communicative power is a must. For people in the personnel department, there are situations where they have to interact with the press or at times they have to deal with labor problems. This calls for skill. Executives are expected to make speeches, prepare pamphlets, brochures, souvenirs, and give interviews to media in order to project a favorable image about their company. EFFECTIVE Business communication is beneficial to both • Organizations • Individuals Improving our communication skills will benefit both the employee and the organization he/she works for. They will become an asset to themselves as well as the organization that they represent. The organization will also gain, if it has better communication both within itself and outside the company. There are a number of important advantages of business communication— • Managing complexity all around: New techniques of production, marketing, e-CRM, vendor management and newer methods of looking at profitability are now

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prevalent. Each process has become related with technology. Where there were ordinary, hand-spun clothes, now there are technically perfect, synthetic fibers. Transportation was only walking on legs. Now you can travel across oceans with hi-tech aeroplanes. Social consciousness of business is making waves like never before. It is necessary for the success of the business to communicate effectively within the company. Proper communication between various departments like the production, marketing and personnel are necessary. If this is not done, it can lead to misunderstandings. For example, if the marketing department does not communicate proper requirements of the market, the production section will produce more or less of the required quantity of goods. The company will have to suffer because their customers will not be satisfied. • Better understanding and cooperation can take place: Mutual trust and confidence will prevail to a great degree if there are open communication channels. Too many hesitations and barriers can hamper the open atmosphere and lead to misunderstandings. Eventually the business will suffer. Communication can be beneficial to both the employers and the employees. The management gets better returns and more committed employees. The employees also get a higher degree of job satisfaction. For example, if a subordinate holds any grudge against his boss, he should be able to discuss it with him. Otherwise, he will get disinterested in his job and will not be able to perform well on the job. • The big organization management: All organizations are trying to grow-in terms of turnover, employees, profits and products. Businesses are diversifying. It is becoming difficult to keep track. There are hundreds of examples of business having worldwide offices. Currently, it is the age of globalization. Companies are opening branches in many cities of one country. Employees have increased. Companies have branches in other countries also. If all these branches spread all over the world do not communicate regularly and effectively, confusion may prevail. The plans and objectives of the company will not be understood properly. Hence, it is important that regular meetings, conferences of the employees of the company are held so that they are aware of company views and objectives. A common thread should hold them, so that ultimately, the organization can benefit. If a company’s head office has made some changes in the salary structure for all its employees, and the same are not communicated properly to the staff in outstation branches, they might feel left out and they will not know that they also have a got a salary increase. This might cause anger and resentment in them. • There is more cohesion in the organization: The current focus worldwide is to integrate employees into one unit and make them function as one big family. Companies are insisting on more employee interaction so that can develop a family feeling and get emotionally attached to the organization. This can be possible only if the communication channels are effective and strong. Companies organize tours

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and family holidays so that the employees can get to know each other in an informal setting. People can learn about their counterparts in other branches and interact with them better. If they have a problem, they can contact them immediately, as they already know them. The image of the company improves: If people are cared for, it shows. The performance of the organization goes up. Outsiders notice when employees are bound to a company. The company culture is a very important aspect. If the culture is good, there are fewer turnovers of employees. They do not leave easily and become a committed force. All this is possible only if there is effective internal communication. Profitability increases: If business communicates properly, losses are reduced. Double work gets avoided. Time is not wasted and profits can go up. You can get to know about cheaper sources of raw materials. Companies can also get to know about newer markets to sell their goods and services. If a common form message is to be created for the entire office, it can be done by one employee and circulated to the rest of the offices for their use. Money is saved and so is time. Opportunities available in the market can be known easily: If communication channels are open, it is easier to have good market intelligence. New products, new sales techniques, better product features, new research results—all will be known faster. The logic is simple. If we are open to the environment, we get to know about it fast, or else we loose out in the race. The employee turnover is less: Employee turnover refers to the number of people who keep leaving any organization. If the communication channels are open, employees feel free to discuss all issues that are pleasant and others that disturb them. They feel less inclined to leave the company and this means that the employee turnover is less. On the other hand, if they feel stifled, and the environment is not open and friendly, the chances are high that the employees will not stay for long. They will only remain in the company till they get a better opportunity and a better working environment. Customer interaction is better: If companies invest in better communication, there are higher chances that they will have a satisfied customer base and eventually higher profits. Customer’s need to give feedback to the producers about their needs and wants. If communication channels are open, the organization will pay heed to the customer needs and adapt themselves for catering to their needs. Dissemination and collection of information is easier: Information is required for everything. Better decisions can be taken, better raw materials can be used, better customer service and improved after-sales service is possible. In the absence of adequate, timely and correct information, organizations very often end up doing things wrongly, which can result in them gaining a bad reputation. They may also take wrong decisions, which may cause them to reduce their profits and upsetting their employees.

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CLASSIFYING BUSINESS COMMUNICATION We can classify business communication into two broad areas for simpler understanding.

INTERNAL COMMUNICATION Internal communication is communication within an organization. When employees talk to each other, when a superior gives a work instruction to his subordinate, or when interdepartmental memos are passed around, internal communication takes place. Internal communication is important to promote harmony within the organization. People feel close to one another and they carry a ‘family’ feeling. This can help in imparting a feeling of cohesion and closeness between the employees. Effective internal communication can be seen in various instances. • Communicating with superiors: Any conversation, reports, or other information that is passed within the company from the juniors to people on senior levels, will be a part of internal communication. This information is not normally sent outside the company. • Communicating with sub-ordinates: When managers have to communicate with people who are on levels lower to them, it is called downward communication. It may be in the form of orders, circulars, enquiries, memos and instructions. Communication can be written or oral. What distinguishes it from external communication is that it does not go outside the company. It is meant for internal use. • Communicating with colleagues: It is very important for colleagues to communicate with each other. The more they do it, the more, they will feel past of the entire system. No one can function in isolation. We need to talk to each other to exchange information, which is important in the conduct of business. Moreover, colleagues must talk to each other so that they can build a positive organizational climate that can help the individuals as well as the company. • Communicating between departments: In the course of business, all departments have to interact with each other. The marketing department has to arrange for selling the new products that are made in the company. The research team has to keep in touch with the resources of the company. In many other instances, all the divisions have to keep in touch with each other, so that the unit functions as one whole. When this does not happen, the company becomes disoriented and starts making losses

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because there is no co-ordination of the members. This is a dangerous situation and should be avoided at all costs. EXTERNAL COMMUNICATION External communication is communication with external agencies, both government and private. It is an essential feature of all businesses. All suppliers, customers, financial institutions, support organizations, public and other environmental organizations that are external to a company, have to communicate with it for various business dealings. This results in external communication. External communications that have a long-range impact include new product announcements, plant expansion plans, contribution to community activities and annual reports. Effective communication with those outside a company brings in orders builds goodwill, and ensures the continued existence and growth of the business. • Interacting with customers: Customers are the most important part of any business. Any business cannot survive without its customers. For this reason it becomes important to deal with the customer in a correct way. Communication skills like listening and responding to complaints, customer relationship management, attracting and satisfying the customer are all part of communication skills. In today’s markets there are umpteen numbers of competitors for any product. Mostly all the brands compare equally well in the minds of the consumer. Marketing research has revealed that organizations that can communicate better can also sell better. Sales can be promoted through persuasion and persuasion is a form of communication. • Dealing with Government agencies and departments: Companies are required to deal with licensing authorities, customs and excise offices, income tax and sales tax offices, post offices and banks. Many times they have to pull themselves out of tricky and messy situations. This can become easier if a manager has cultivated good communication skills. Tactful negotiation and pleasant talking can help to solve many difficult situations. • Handling suppliers: Suppliers are vital to any business. The raw materials they provide, the lead-time they require to cater to our needs, the care they take to put into ensuring quality raw materials for us, depends on our relationship with them. To maintain a cordial and harmonious business relationship, organizations must make conscious efforts to communicate appropriately. Time delays, unnecessary communication, wrong orders can be avoided, if care is given to our communication abilities. Proper emphasis should be given to take care of our communication when anyone in the company interacts with any of the suppliers. • Dealing with the public: Many times it happens that business may violate certain environmental regulations. In such situations, a public outcry can happen. The company can handle these situations very effectively if they have good communication skills. When the Union Carbide tragedy took place in Bhopal some years ago, the company could not handle their communication very well with the public. They

Importance of Business Communication

9

closed their offices. In the same situation, if Union Carbide had presented a more open and communicative front, the situation would not have got so messy. • Communicating with the press: The importance of doing this effectively cannot be overstated. The press is a medium that can make or break. Radio, television, newspapers and magazines can go a long way to help the cause of any business. They can contribute to a large extent during new product launches, giving free publicity, handling public anger against a product or an issue. On the other hand, they can also use their power to destroy. Famous leaders, companies and organizations have been at the receiving end of negative barbs from the press. For example, politicians and film stars constantly try hard to keep the press in good humor. If they get offended, the damage they can cause is phenomenal. Communicative skills are necessary to deal with the forth estate. Not only talking to them, but also talking with appropriate words and body language is important. REVIEW QUESTIONS Section A 1. Define business communication. 2. What are the interactions that normally occur between customers and suppliers? Section B 1. Communication skills are an essential job requirement. Discuss. 2. How is communication important to business? Section C 1. Distinguish between internal and external communication. 2. How is effective business communication useful to an individual?

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The Communication Process

11

CHAPTER

2

THE COMMUNICATION PROCESS The word ‘communication’ comes from the Latin word communis, which means ‘common.’ This means, individuals strive to transmit information to each other that will establish a commonness of understanding between or amongst them. Thus, communication has two important functions in an organization: 1. It enables people to exchange necessary information, and 2. It helps set members of the organization apart from non-members. When you join an organization—be it a college, a club, or a company—you join a little society. Communication is the glue that holds the society together and enables it to function. Through the process of communication, the members of the organization exchange messages using a common system of symbols that result, at least to some degree, in shared meanings. The word communication is used in common talk, usually implying speaking or writing. Communication also takes place when you send messages to others. Our world today is seeing an amazing environment of instant communication and messaging through mobile phones and SMS. Communication is really much more than all this. It involves ensuring that messages reach the persons to whom they are sent and that the readers understand and respond, as we want them to. It also involves that we ourselves are able to understand, interpret and respond to messages that are sent to us. Communication is central to everything we do. We do things in our classes, with our peer group, in parties and in the society. Our ability to communicate in all these situations goes a long way to determine whether our activities succeed or fail and whether our goals are achieved or not. Every situation is held together and managed by communication.

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DEFINING COMMUNICATION To give some formal definitions of— W.H. Newman and C.F. Summer give a simple definition of communication. “Communication is an exchange of facts, ideas, opinions, or emotions by two or more persons.” Peter Little defines it as, “Communication is the process by which information is transmitted between individuals and/or organizations so that an understanding response results.” Keith Davis says, “Communication is a process of passing information and understanding from one person to another.” Communication occurs when an exchange of messages results in shared meaning. Attributes of communication 1. Communication is a dynamic process: It grows and develops even if the same people talk about the same thing repeatedly. Every time anyone engages in communication, they bring to it their moods, experiences, thought and feelings. Unexpected responses and reactions occur because each one brings a different background to each communication event. For example, if some gossip travels from person to person it keeps getting distorted by the different people who carry it. They change it in accordance with their own attitudes and environment. 2. Communication is both an interaction and a transaction: The two participants of the communication process exchange ideas and information and influence each other in the process. They also become aware of each other’s thoughts and opinions on the topic being communicated. When a teacher teaches a student she interacts with the student and transfers some knowledge to him/her. The teacher contributes her own thought to the subject, which can be totally different from another teacher teaching the same topic. 3. Communication is a two-way process: Communication is complete only when the sender gets a response from the receiver. We cannot say that communication has taken place when we instruct someone, or talk to someone. It is when they follow the instructions or respond to what we say, that the communication cycle is completed. 4. Communication is systematic and continuous: It goes on in a proper and orderly way without stopping in some way or the other. Silence, body language and facial expressions contribute to carrying on the continuous process. Feedback is used to improve a certain process of production in the factory. The improved process can lead to further discussions and requirements. Communication is a never-ending process. It will never stop.

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5. Communication can be intentional or unintentional: It takes place whether we plan to do it or it is done unconsciously. Very often we communicate what we had no intention of saying. Many times we are not able to say what we want to. For example, a son fails in his exam. His father tells him that it does not matter, but the tone of his voice and body language can tell him that it DOES matter. THE COMMUNICATION PROCESS In order to analyze and study more about communication, we need to know the PROCESS of communication and familiarize ourselves with the elements involved in the process. Communication is a five-step process: The sender has an idea, the idea becomes a message, the message is transmitted, the receiver gets the message, the receiver reacts and sends feedback. Misunderstandings can arise at any stage of the communication process and when that happens, the process breaks down. The transmission of the sender’s ideas to the receiver and the receiver’s feedback to the sender constitute the communication cycle or process. There are certain essential elements in the process— 1. The SENDER is the person desirous of passing on some information. 2. The RECEIVER to whom the information is to be passed on. 3. The MEDIUM is used to transmit the message. 4. The FEEDBACK is the response of the receiver. 5. The message, which is sent, has to be ENCODED. 6. The encoded message has to be DECODED by the receiver. Needless to say, that since communication is a process, all the six elements are to be connected with arrows. The arrows show the direction of flow and therefore should not be missed out or placed wrongly.

We communicate because we want to make someone do something, or take some action, or think or feel in a certain way. The source or sender initiates the process of communication. The source has to be clear about the purpose of the communication, and should also know who is the intended receiver or audience. The sender has to put the message to be conveyed into words or other symbols, which can be transmitted and be properly understood by the intended receiver.

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The process of putting the idea into symbols is called encoding; it requires the selection of suitable symbols, which can represent the idea, be understood by the audience and be capable of transmission by the selected or available medium which is available. Selecting the medium is dependent on a variety of factors: • Urgency of the message • Finances available • Effectiveness of the medium • Availability of the medium • The relationship between the two communicants • Time available • Knowledge of using the medium The sender’s functions are—clarifying the objective, encoding the message, choosing the medium and transmitting the message. This makes up almost half the process of communication. The receiver attends to the message and decodes the symbols into understandable information. Decoding is the reverse of encoding. The meaning that a receiver gives to the message is dependent on —his/her knowledge, intelligence, past experience, and relationship with the sender. If the two have a common in field of experience, the receiver’s comprehension will be closer to what the sender intended. The receiver’s functions are — attending to the message, interpreting and evaluating the message, storing, recalling and responding. Communication takes place in an environment. It includes such elements as the situation, the place, the time, the circumstances of each communicant and the relationship between both. The context influences the senders encoding and the receivers decoding. Each ones’ inference is influenced by it. The response may be in signs, words or behavior, both conscious and unconscious. The return response is called feedback. Even if the process goes on flawlessly, the desired responses may not result. Misunderstandings, misinterpretations and other failures of communication may have a role to play. Feedback is knowledge of the receiver’s response to our communication. It can be used to modify the communication method or to make it more effective. Feedback is useful to both the sender and the receiver. Very often, we tend to blame the receiver when we find that our instructions are not carried out in a proper way. In all situations, the sender must find out if his/her instructions were clear in the first place, whether it was in the same wavelength as the receiver. Feedback is used to find out whether the message has reached the receiver or not. It can also tell us whether it has been understood by the receiver in the way the sender wanted it to be understood. In written communication, feedback is slow; the writer cannot see the reader’s facial expressions and cannot find out his immediate reactions. There is no method to find out the

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response of the reader immediately. When the desired response does take place, it may be after a considerable time. In face-to-face communication, there is immediate feedback. The speaker can see the facial expressions of the reader and to an extent can understand his reaction to the communication. In this type of communication, depending on the feedback, it is possible to modify the communication to suit the listener. In mass communication media like radio, T.V., newspaper and Internet communication, feedback is so negligible and so delayed as to be almost non existent. But since it is so important, special efforts through surveys are organized to collect from people. The results of the survey are used to modify and improvise the programs. 10 WAYS TO ADVANCE YOUR CAREER AND LIFE THROUGH COMMUNICATION SKILLS What is the main handicap of people? According to a recent survey, what pulls people down are their poor communication skills. Could this weakness stand in your way? Let’s look at the reasons why you should go ahead and sharpen your communication skills. • Getting the job you want: Employers form lasting impressions on the basis of what they see and observe about a candidate. The first things they are likely to see are your résumé’s and application letters. If they are well written, they will make a good first impression and help you reach the interview. If not, you loose out even if you are well-qualified for the job. • Boosting your chances for a promotion: Many new employees soon have a chance to write a memo or a report that will be read by the management. These documents often stay in the company databases for a long time as permanent records of employee abilities. Good writing skills can draw attention to you and boost your chances of promotion. So can other well-honed communication skills. They make you a more effective member of the team. • Helping others get ahead: Once you are established in your career, communication skills can help you conduct impressive performance appraisals or compose letters of recommendations for employees. The ability to do a good job may show you to be a developer of people, a quality prized in any company. • Helping you get things done: Good communication is important even in your daily routine. The right choice of words may make the difference between settling an important issue at hand or inviting a company wide dispute. • Benefitting your own business: Currently, more than five lakh new businesses fail within the first 2 years. The reasons are lack of management skills, poor financing, and poor communication skills. If these skills–both writing and speaking can be improvised, it can go a long way to helping entrepreneurs becoming successful. • Advancing you socially: The ability to communicate well can help you get along with others. It can inspire others to like you and associate with you. In addition, you will have a wide network of contacts on which you can rely on in times of need.

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Business Communication

Ensuring your future: However much technology advances, basic writing skills remain essential. Letters and memos continue to be the main carriers of business communication for years to come, whether transmitted by fax, or computer screens. Enhancing your other skills: As you apply your good communication skills to more and more business functions, you will find that you productivity and interest automatically increase. Self-confidence increases with improved skills of communication and you will find that you become more efficient and effective in all you dealings. Improving one’s image: As you communicate better and better, your image in society improves. People start seeking you out for important matters. You feel happier and more successful. Improving inner contentment: As you become more successful and accepted, you have an inner contentment and happiness that further pulls you to heights of achievement of higher goals in life. You may even acquire a fan following!

REVIEW QUESTIONS Section A 1. What are the important functions of communication? 2. Communication is a dynamic process. Explain. Section B 1. Define communication and elaborate your definition. 2. Write 200 words on the importance of communication. 3. What are the various steps in a communication process? Explain with the help of a suitable diagram. 4. In which of the following situations would you say that communication takes place? • A patient explains his ailment to a doctor. • A girl mutters to herself. • Two friends share a secret. • An Indian speaks in Tamil to a British man. • A teacher teaches Business communication is class. • A politician requests the people in his constituency to vote for him. Section C 1. What are the functions of— i. Source ii. Feedback iii. Receiver 2. What are the attributes of communication?

Objectives of Communication

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CHAPTER

3

OBJECTIVES OF COMMUNICATION INTRODUCTION An objective is something that we want to achieve or accomplish by our efforts. The main purpose of all communication in a business organization is the growth and general welfare of the enterprise. An objective is ‘the purpose because of which we undertake an activity.’ When we communicate with our friends or relatives, we may not have a business purpose; we simply want to maintain good relations. We want to be friendly and socialize. But in an official situation, whether we speak, listen or write, we have a definite purpose in mind. We are either communicating with our customers, suppliers, superiors, or subordinates. Some of the common objectives of official communication are to give or get information, to ask for or to give instructions or advice or suggestions, to make requests or to persuade others to look at our point of view. People who are in leadership positions and have to hold teams together to achieve certain goals, often communicate with others to bring about some collective result and to motivate others to achieve the same. In the day-to-day functioning of organizations, hundreds of messages are conveyed. This is done over the network of communication channels and using a variety of media and methods. There may be more than one simple objective in the communication of some messages. Some of the major objectives of communication are listed as follows– • Information: This is one of the main objectives of communication. The giving or passing of different kinds of information is a prime goal of business communication. Information consists of facts, figures and data arranged in a pattern, which is useful

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Business Communication

for different purposes. A list of the complete mailing addresses of all customers is kept available, so that they can be contacted when there are some account receivables or other matters. Information reduces the uncertainty of the environment around us. If we join a new job, we need information about how the systems function, what type of culture prevails, etc. Information moves in all directions in the organization. For example, vertically diagonally, and horizontally. Also all types of communication methods are employed. For example, circulars, time schedules of activities, budgets, etc. It also moves in and out of the company. For example, brochures, price lists, advertisements, etc. Companies also collect data from outside the company according to its needs. For example, population figures, demographic details, etc. A large amount of information is available and moves about inside an organization and in the world. We need to develop the ability to take what we need amidst the ocean of facts and figures available. Modern Managements believe in keeping their employee’s well informed about the company’s aims, progress and future plans. Employees demand information about salary structure, training and promotion opportunities, and the benefits available to them. Many companies also circulate information about employees and their achievements. Some companies use mass media to keep the public informed about their progress and products. Executives need information to plan and organize. Employees need information to execute their job successfully. Information can be collected from a variety of sources. For it to be useful the information must be 1. Collected from a reliable source 2. Accurate 3. Complete 4. Recent 5. Appropriate 6. Organized 7. Understandable • Persuasion: Persuasion is an important objective of communication. It can be defined as an effort ‘to influence the attitudes, feelings or thoughts of others, or to influence actions based on those attitudes, feelings or thoughts.’ Customers often have to be persuaded to buy certain products of the company instead of competitor products. For example, Pepsi instead of Coke. In fact, the whole advertising industry is a result of this objective of communication. The element of persuasion is also present when employees are to be motivated to put in better effort. They also have to be persuaded to accept changes. Persuasion means using the best arguments to win over and convince others. It requires the skill and ability to use the symbols of communication in an effective manner. The persuader should be able to use words, both spoken and written, as well as non-verbal methods. Body language, facial expressions in such a way so that they can have greatest influence on the

Objectives of Communication

19

target audience. Human nature is not open to force or coercion. It is better to use persuasion than compulsion. Persuasion seeks to change beliefs and attitudes that are not appreciated by people. Persuasion can be direct or indirect. People must be manipulated to change their mind without them getting conscious of the fact that they have been persuaded. Persuasion cannot be done without self-belief. It needs conviction on the part of the person who is persuading. The persuader needs to be genuinely convinced of about the course of action he is suggesting. He must also have the receiver’s interest at heart. He must not try to persuade with a purely selfish motive. If you are advising someone about the necessity of exercise, you yourself should have been following some type of exercise pattern. The person, who persuades, should place himself in the other person’s shoes. If he himself is convinced that that particular action or way of thinking is acceptable to him, then only he must persuade the other person. Bring yourself to the level of the other person. The persuader must place himself at the receiver’s end and then mould his arguments. If I am giving advice and persuading a smoker to give up smoking, I should first place myself in his shoes and then give him some practical advice. Then only the persuasion will be effective. You can be a good persuader if you are not too rigid. You should be prepared to meet him halfway in case the receiver is too rigid. People who are too fixed in their ideas are not good persuaders. If you are too persuade your parents to give you extra pocket money, you should also be ready to listen to at least some advice from them. Persuasion can be successful if you do not impose it. The person should be left free. Give subtle hints and suggestions. Gently try to bring him to your way of thinking. If possible, bring him to your way of thinking in a diplomatic way so that he thinks that he himself has thought of that. •

Education: Education implies both discipline and development by means of study and learning. Education is the development of the special and general abilities of the brain. Oral communication in the form of lectures and discussions is most commonly used for this purpose. Handouts and notes are also used to reinforce the learning. Many companies undertake employee education at various levels from literacy classes to general education and also special training. Subjects like health, pollution, safety, noise menace, environmental preservation are of great importance and so get included in the education curriculum. Customer education is a new phenomenon. Customer who buy consumer durable goods have to be trained to use them and maintain the sewing machines, xerox machines, cellular phones, etc. Education can be done for employees at different levels-both at the management level and the worker level. Very senior managers need to know about new innovations and techniques, new markets and processes. Workers need to know about techniques to use the technology. The outside public also needs to be educated about the uses of the product, special features, concessions and discounts, service center addresses, etc.

20

•

•

Business Communication

Entertainment: This is a major objective of communication. A multi-million dollar industry survives to fulfill this objective. Radio, television, magazines and movies employ thousands of people and generate a lot of money. The major objective of all these media is to communicate. They communicate a variety of things. For example awareness about current issues, fashions, business management techniques, political decisions etc. Motivation: Motivation means providing people with a motive or incentive so that they make an effort to do their best. Managers should continuously try and motivate their staff in the interest of the organization. Communication is the critical element in motivation of employees. Manager’s use communication to improve employees’ sense of self-worth by showing recognition, appreciating good work, and providing a general feeling of support. When people feel ‘good’ about themselves, they are motivated to perform better. Subordinates and juniors can be motivated if their superiors communicate in such a way that makes them feel that they belong to the organization and fulfils their need for recognition. Maintaining an open communication climate is extremely beneficial to the motivational level of the employees. If an employee is motivated, he does not need supervision. He does his work on his own, with a feeling of happiness. Very often monetary compensations can create motivation, but these cannot be permanent and long lasting. But good communication can create feelings of belonging and sincerity. These can be more effective in the long run. Motivation can be achieved through a number of ways. 1. 2.

3. 4. •

Workers can be encouraged to participate in the decision-making process of the organization. Employees can be made to understand that they have clear and achievable goals. It results in a congenial work environment and a place where all the employees feel secure. Monetary compensation is also very useful in motivating employees, especially at lower levels of management and workers. Promotions to higher levels can also provide motivation to work better.

Warning: Warning means urging or advising someone to be careful; it is intended to caution someone of possible dangerous circumstances in the future. An employee who does not work properly is given a warning. It may be given in writing or orally. When severe disciplinary action, like a dismissal, is to be taken against an employee, a notice must be given in writing. Similarly, a worker’s union has to give a written notice of a strike. Warnings can be general, e.g., ‘NO SMOKING’ or specific warning given to a particular person. Specific warnings should be administered in private and after a thorough investigation only. There should not be any room for doubt. Most important, the aim of giving the warning should be the betterment of the

Objectives of Communication

•

•

•

21

organization. It should not be used to satisfy personal grudges. The judicious use of words must be done whilst issuing warnings and reprimands. Raising morale: Morale can refer to the individual or collective spirit of employees with regard to discipline and confidence. People who feel good about themselves are more likely to have a higher morale than others who hold themselves in low regard. People and employees, who think that their companies value them and keep them updated about organizational plans and progress, have a high morale. Raising morale cannot be done by one time communication; it is affected by all communications. The manner and style of communication is also important when it comes to raising morale. During times when morale is low, there is lack of discipline, performance is poor and there is general lack of interest in work. Rumors abound and employee absenteeism is high. Communications must be improved if the morale has to be raised. Rumors can be stopped and correct information can be disseminated through circulars and meetings. Promotional avenues can be opened up and discussed. The genuine grievances of the workers can be heard and addressed, if possible. The atmosphere can be made congenial and cheerful. A company, which can boast of employees with a high morale, will be highly productive. Steps must be taken to improve the communication channels so that the morale can be raised. Suggestion: Suggestion is a very mild and subtle form of communication. Suggestions can be made by anyone in an organization. Unlike other types of communication like ‘Order’ and ‘Warning’, suggestion can also flow from the lower to the higher levels of hierarchy in an organization. Modern managements today, encourage suggestions from employees and keep ‘suggestion boxes’ to welcome any ideas from the workers and other staff. These boxes are opened at regular intervals and the suggestions received are scrutinized to pick out winning ideas. Suggestions are welcome, as it is not obligatory to follow them. It is also said that many bright ideas come from only the operational staff than the directors. Hence any organization, which has an open mind towards suggestions, will surely be on the road to achieving raised employee morale and higher outputs. Order: An order is an authoritative form of communication. It is formal. It is a directive to somebody to do something or not to do something, or maybe to modify the course of action he has adopted. Orders normally flow downwards in an organizational hierarchy. Superiors must be clear and exact in giving orders. The subordinates may not have clear and complete understanding of matters to be able to function properly. All the communication must be in an easily understandable style. There are different types of orders. 1.

2.

General orders: These are issued if there are a number of activities have the same operational similarities. The workers of all departments have to pass through a security check at the gate. Specific orders: These are related to one particular activity. The X-ray machine operator has to report to the Doctor at the end of each day.

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Business Communication

3. 4. 5. 6.

Procedural orders: They are general in nature and specifies the procedure and method to be adopted to perform a certain activity. Operational order: These are more closely related to the job in hand. All workers must change into the factory uniform before they enter the work area. Mandatory orders: These have to be obeyed. Workers must reach their factory at 8 A.M. Discretionary orders: These are left to the person who gets it to obey or not. They are more in the form of recommendations. The branch manager has discretion to spend the money on advertisements in the current year or the following year.

An order must be clear and complete. It should be possible to execute it. It should not evoke resentment and should hence have a friendly tone. •

•

Instruction: This is an order with guidance. If the teacher asks one of her students to draw a chart, it is an order. However, if she tells him how to do it and guides him, it is an instruction. Communication takes place when instructions are given. The person who receives the instructions and the person who gives the instructions, both indulge in communication. It has to be effective, if the instructions are to be carried out properly. Advice: Advice is given to people who have a problem or an issue that needs to be solved. Giving or tendering advice is another important objective of communication. Advice can be given on matters related to work or on personal matters if the relationship permits. A superior may find it necessary to advise a troubled employee so that he can sort out his problems. Face-to-face advice given informally and in a confidential manner will tend to be more effective. More experienced and competent authorities can give advice. Managers often seek expert advice so that they can improve their business to a maximum possible limit. In many fields of business e.g. Tax planning, Health problems, Consultancy, Publicity etc. giving advice becomes the business itself. That is how you have Astrologers, Doctors, Physiotherapists, Consultants, etc.

Some superiors are also in excellent positions to guide, counsel and advice their junior staff and make a habit of doing so. Advice flows horizontally or vertically downwards in a company. Advice can be effective if— 1. It is person oriented. It should suit the individual needs of the recipient. A person is advised to maintain his financial records properly to avoid problems for him. 2. It should be correct. People should not give wrong advice, either knowingly or unknowingly. This destroys a person’s trust and faith towards the person who is giving advice. 3. It should be given at the appropriate time. Timing is very important. Any advice becomes a waste if it is not timed well. A student should be advised to study well before the examinations, not after it.

Objectives of Communication

4.

23

It is work oriented. It should be related to a specific piece of work. The mason is advised to place the bricks in a diagonal direction so that the design of the wall will remain intact. 5. The style of tendering the advice should be correct. 6. It should not make the worker feel inferior. A patronizing tone should be avoided and the advisor should have a friendly attitude. 7. It is given in the recipient’s interest. The advisor should genuinely feel this motive. He should genuinely convey this feeling to the recipient. He should make the other person feel absolutely at ease. 8. It should promote understanding. If advice is properly given, it can promote better understanding between the advisor and his subordinates. • Complaint: A complaint is made when there are faults and defects in the system, services provided or goods sold. It can be oral or written. Telephones are also used to lodge complaints. Complaints should be courteously made. They should not be elements of rudeness and impatience. Failings are because of the human factor and collective actions can be taken to rectify the situations. Complaint handling is also a skilled job, as it requires tremendous patience and tolerance. Complaints should be handled immediately to prevent much ill-will building up. In any business, there is an umpteen scope of making mistakes and complaining. Written complaints are lodged if the fault is of a serious and complicated nature. REVIEW QUESTIONS Section A 1. Write short notes on— a. Raising morale as an objective of communication. b. Communication skills as an aid to complaint handling. c. Motivation as an objective of communication. 2. State whether true or false. • Motivation cannot be achieved through good communication skills. • A warning is given to a superior. • Persuading is easy if you are yourself convinced. • Education for the outside public is necessary. • Orders move only upwards. • Orders should not be effective and clearly spelt out. • Effective advice promotes understanding. • Information can be available from both external and internal sources. • Information should not be recent and complete.

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Business Communication

• • • •

There is only one type of order. A congenial work environment increases productivity. Morale is physical health. Workers should be invited to make suggestions.

Section B 1. Briefly explain ‘objective of communication’. 2. Write a short note on ‘the art of persuasion.’ Section C 1. What precautions must a manger take while warning an erring employee? 2. If you were appointed as the CEO of an ailing business what objectives of communication would you take to check the decline in business?

Communication Barriers

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CHAPTER

4

COMMUNICATION BARRIERS Although most acts of communication are at least partially successful, very few are perfect. Generally speaking, some meaning is lost as the message encounters various barriers to communication along the pathway between the sender and the receiver. Communication barriers can also arise while the message is being developed, transmitted, received or processed. The medium, which is used to transmit a message, can itself become a barrier. Business communication is especially more prone to misunderstandings, because the message is complex, conditions are difficult and psychological and social differences often separate the sender and the receiver. Barriers can also be understood as ‘obstacles’. The more complex the situation, the more are the barriers. In technical parlance, anything that obstructs the free flow of the communication process can be termed as ‘noise’. Or we may simply refer to it as a ‘barrier’ to communication. These barriers arise and prevent the achievement of the desired result. In this chapter, we will try to understand the major barriers and try to find out ways and means to overcome them. Barriers can be classified into four types, according to their nature— •

Physical barriers: They relate to defects in the system. These barriers are easily removed by minimum effort. 1. Source: The source from which the message originates is very important. The person who sends the message must be trustworthy. He/She must not have hostile feelings towards the receiver. The person who is originating the communication should not have predetermined and preoccupied thoughts. They should be clear and have an unbiased attitude, only then the communication can be effective.

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2.

Distance: Sometimes distance can also be a barrier to effective communication. For example, if a person is calling out to his colleague, and the colleague is too far away to hear properly, distance can become a barrier. In other types of formal business communication, telephones, fax and other media are present to decrease the distance barrier. 3. Time: If messages get delayed they become redundant and useless. They also create confusion. Communication is useful and effective only if it is conveyed at the right time and to the right place. 4. Physical noise: Physical noise, which creates disturbance in the environment, can be a barrier in the communication process. Both the sender and the receiver can be hampered by it. Messages become distorted and unclear and also inaudible because of the surrounding noise. For example, when the T.V. set is on, with a high volume, it becomes difficult to follow a conversation in the same room. 5. The source of the communication: If the receiver dislikes the source or harbors any prejudice against him/her, he will automatically not listen to the sender. For example, the boss is in the habit of always finding fault with his subordinate. If on one occasion he praises him, the praise will be lost, since the junior does not believe the boss can lavish any praise at any time. 6. Defects in the medium: There may be defect in the communication devices, which are being used. For example, during a speech to a large audience, the microphone does not work properly so the effect of the speech is minimized or the acoustics of the hall may be poor and due to echoes, the speech becomes confusing. A partial failure of the mechanical equipment is more dangerous than a complete failure, because a partial failure carries an incomplete or distorted message, which may cause a wrong action to be taken. • Semantic barriers: These are to do with the language. It is not very easy to do away with these barriers. 1. Bad expressions: Most of the messages are badly expressed. Often they are vague and not clear. They suffer from an excess of words or they are inaccurate. Uncertainty in messages also contributes to their vagueness. Unnecessary repetitions and irrelevant matters in the expression can lead to it becoming a barrier to the communication. 2. Inaccurate translations: Very often negligence is predominant when messages are to be re-routed. Inaccurate translations are the outcome, and this becomes a major hurdle to communication. Also, it is necessary to speak in the language that is understood by the receiver. For this, it is necessary that it is translated suitably before it is transmitted to the receiver, or else it leads to inaccurate and improper comprehension at the other end. 3. Semantics: Semantics is the study of words and signs. Before communicating, the sender must make sure that the receiver understands the same meaning of the words he is going to use. If the receiver understands it differently, the

Communication Barriers

27

purpose is lost. Faulty communication can result if the receiver takes a different meaning of the words used. Most words are capable of meaning different things. For example, The word ‘valuable’ “Salt is a valuable ingredient.” ‘Value’ refers to the necessity of salt. “This is a valuable diamond bracelet.” ‘Value’ refers to the price.

This confusion takes place because of different social, economic, cultural and educational backgrounds. The result is miscommunication. Words having different connotations: Some words have two different meanings. The literal meaning of a word is called its denotative meaning. It just informs and names objects. It does not arouse any feeling or reaction about it. These words are mostly used to refer to inanimate objects. For example, ‘Desk’, ‘Telephone’. On the other hand, there are other words, which are loaded. They arouse judgments and reactions. For example, ‘Nice’, ‘well mannered’ arouse favorable reactions. ‘Incompetent’, ‘timid’ arouse unfavorable reactions. Some words, however, can arouse both positive and negative sentiments. For example, ‘Slow’, ‘Dried.’ 4.

“The driver was slow and steady.” “Why are you so slow in all your work?” “The clothes are well-dried.” “The lady was too cut and dried to be good company.” “The candidate was slow and confident of his answers.” “The secretary was too slow to be effective.”

•

Psychological (related to the mind) and physiological (related to the body) barriers: 1. Inattention: If the receiver is distracted and not paying attention to the sender, it acts as a barrier to effective communication. Inattention leads to inadequate absorption of the message passed by another person. It also leads to unnecessary discussions and wastage of time. Inattention can be due to a lack of interest in the subject or an external distraction. If a person is not attentive, he does not respond appropriately to the sender. While a teacher is teaching, the student does not pay attention. Then, if the teacher asks whether the students have understood the lesson, the student will not be able to say yes. Because his inattentiveness acted as a barrier to communication. 2. Unclarified and vague assumptions: The sender should not assume anything. The message that is transmitted should be complete in all respects. For example, “The accountant to do the needful” “Forwarded for appropriate action”

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Business Communication

There should not be any room for the receiver to assume anything. When some authority is delegated, it should be clear. When any work is assigned, all the instructions must be mentioned. All the resources must be provided. Nothing should be left out. 3.

4.

5.

6.

7.

8.

Distrust: Distrust on the part of the sender for the receiver or on the part of the receiver towards the sender can give rise to another barrier. Unless there is trust on both sides the desired response will not happen. If a policeman asks a thief something, he is sure that he will get a false answer. This is because the relationship between them is not based on trust. Sloppiness: In some organizations, superiors are not as smart as their subordinates and send sloppy communications. In such cases, their communication is ignored since they know that amendments and corrections will follow later. Premature evaluation: It is a common practice amongst people to start reacting to a communication before it is completed. They immediately frame their judgment and replies. This is harmful to both the sender and receiver. It is a commonly occurring barrier even though it is easy to eliminate. For example, in a quiz, some participants raise their hands even before the question is completed. Very often their answers are not correct, as they have not heard the full question. Fear: Fear is a barrier to communication. Fear can be on the part of the sender or the receiver. Fear to receive a message or fear to provide adequate feedback can both be there and prove a great barrier to effective communication. For example, subordinates can be sacred of facing the superiors so they may fumble with their words. Emotions: The emotional state of a person can play a role in disturbing communication. If the sender or the receiver is excited, worried, tense or nervous, his thinking will be confused and blurred and he will not be able to organize and transmit his message properly. The sender should first cool down and then begin his communication. The receiver should also not react to the message if he is already angry at something else. For example, if a person is making a presentation for the first time, he should concentrate on the work on hand and not let anything else disturb him. Only then he will be able to do a more effective job. Closed mind: Some people are not open to new ideas. They believe that what they know and do is the best. They do not want to change. They will never consider any other persons idea. They are stubborn to the point of being irritating. If a person has a closed mind; it is very difficult to communicate with him. For example, the boss of a company is against technology. It is useless arguing with him about the merits of modernizing the office and installing expensive communication devices like fax machines, xerox machines etc. These type of people have deep-rooted opinions and prejudices. They are not open to persuasion. This must be kept in mind when anyone chooses to communicate with such a person.

Communication Barriers

9.

10.

11.

12.

13.

14.

15.

29

Status consciousness: This is one of the major barriers to effective communication. Status can refer to either superiority or inferiority. Subordinates are afraid of talking to their boss. They feel that they may be rebuffed. They suffer from feelings of inferiority and avoid any type of communication. Feelings of superiority also become a barrier. Many superiors in offices become impatient and intolerant of juniors and add to the discomfort, thus reducing effective communication even further. This is a major cause of discontent in offices, with both sides dissatisfied and simmering inside. For example, a poor, illiterate person may hesitate to talk to a rich businessman on his own. However, if the rich man takes the initiative, he may talk, but then also, slight hesitation will be there because of the difference in status. Poor retention: Studies show that employees retain only 40% of the communication. Thus if there are a number of stages through which the instructions have to be passed, the final communication is seldom complete. This will lead to imperfect and half way instructions being carried out. So, it is advisable to keep the line of communication short. Inattentiveness: People are very easy to distract in a classroom situation, many students indulge in activities other than listening to the teacher. Automatically the information from the teacher does not reach the student in a proper way. It is incomplete. Sometimes the listener takes only part of the message and then lets his mind wander towards other things. This is a commonly occurring barrier though it is easy to remove it. Poor communication skills: Lack of skill in writing and speaking can hamper the proper formation of a message. A person might not have the confidence to speak in front of someone else or he may not know the language properly. This may lead to hesitation and poor communication. Also, poor reading habits and faulty listening are both psychological shortcomings and need careful training to be overcome. These can otherwise become a barrier during communication. State of health: A poor physical condition can affect any person’s efficiency in all filed-especially communication skills. Pain, fever or other ailments can come in the way of speaking and listening. Perception is also slow when the body is not healthy. Defensiveness: If we feel threatened by a message, we become defensive and respond in such ways that reduces understanding. We question the motives of others or become sarcastic. Such behavior prevents understanding and acts as a barrier to effective communication. Self-centered attitudes: Most often people tend to view everything with respect to their interests, needs and wants. They only pay attention to what seems useful to them. This causes people to miss vital information and develop narrow ideas.

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Other Barriers 1. Lack of common knowledge: High sounding words and phrases can create confusion. Common knowledge is essential to communicate, i.e., the sender and the receiver should be on a common wavelength. Many people use high vocabulary to impress others. Easily understandable words are a prerequisite to effective communication. If the meaning is not clear the ultimate purpose is not served and communication fails. For example, if a Doctor explains a disease to his patient in medical terms, the patient will not understand. On the other hand, if he explains in simple terms, it will be well understood by the patient. 2. Unsolicited communication: This means communication is sent even when it has not been asked for. For example, if a person seeks advice, he is sure to heed it. But if advice is given without being asked for, it will surely be discarded. When you are sick, and you ask for some medicine, you will surely listen to what the doctor says. But, on the other hand, if the Doctor gives you some medicine on his own, even when you have not asked for it, you will not pay much attention to the medical advice. 3. Over communication: When any communication is repeated more than the required number of times, it tends to become a hindrance. The receiver will be more prone to disregard it and the effort is wasted. For example, very often children do not heed their parents advice, as it is given so often that it looses it’s seriousness. 4. Poor communication skills: Lack of skill in writing and speaking can hamper the proper formation of a message. A person might not have the confidence to speak in front of someone else or he may not know the language properly. This may lead to hesitation and poor communication. Also, poor reading habits and faulty listening are both psychological shortcomings and need careful training to be overcome. These can otherwise become a barrier during communication. 5. Politics: A common barrier to communication is organizational politics. One manager may withhold certain vital information so that someone else in the company is not benefited. Wrong information can also be conveyed to harm someone else’s career. The boss tells one subordinate to call another person as he has something important to convey. But, the employee does not tell the other person to go and meet the boss, as he wants him to have a bad impression of him. This is wrong, but is a very common occurrence in business organizations. 6. Technical jargon: This can become a barrier if the listener is not of the same educational background as the sender. The meaning of the technical words will be incomprehensible to the listener and the purpose of the communication will be lost. For example, a computer program or an engineering drawing will not make sense to someone who has no knowledge of it.

Communication Barriers

31

OVERCOMING COMMUNICATION BARRIERS The organization can benefit if there are a minimal number of communication barriers. Constant effort is required to overcome the barriers, which are consciously or unconsciously built up. Superiors as well as subordinates need training in effective communication techniques. The major responsibility of minimizing communication barriers falls on the senior and better-trained person. The higher a person is in the hierarchy, the greater is his need for effective communication. Defective channels and faulty organizational systems are the responsibility of the management. They must be kept in good working condition; the notice boards, fax machines, telephones etc., must be without faults. Many companies try to reduce noise levels within the conference rooms and other work areas. They also use sound-proof rooms. Semantic and language barriers can be overcome only by being careful with the use of language, and by using words which have a clear meaning. Sort and simple sentences can be used and visual aids can be included wherever possible for better comprehension. If possible, feedback must be taken so that the sender is aware that his thoughts have been understood properly. Emotional barriers should be controlled consciously and people must take care to keep unnecessary feelings out of business communication. Try to reduce misunderstandings and reduce the bias with people from different cultures and backgrounds. Personal barriers can be overcome only by making a conscious effort, and by training for better communication skills. Many companies organize formal sessions for enhancing employee communication skills. People should not assume familiarity and similarity with others. For example, an employee assumes that his colleague who has joined the same company from his village will have the same salary expectations as him. But, when his friend joined, he was amazed that he wanted almost double the money than he himself was drawing since he was better qualified. It is safer to assume difference till you are sure of similarity. Before you communicate with others try to place yourself in his/her frame of reference. We must try to understand the receiver’s cultural background so that you can frame your communication accordingly. Think of all the people you know. Which of them would you call successful communicators? What do these people have in common? Chances are that they share the following five qualities. •

•

Perception: They are able to anticipate your reaction before it occurs. They read your response correctly and adapt to your wavelength. They constantly adjust to correct any misunderstanding. Precision: Their communication is to the point. When they finish, the receiver also shares the same point of view.

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Credibility: They are believable. You have faith in their message. You trust their information and intentions. • Control: They take full control of the situation. They decide your response. Depending on their purpose, they can make you laugh, cry, change your mind, etc. • Congeniality: They maintain friendly, pleasant relations with the receiver. They ensure a harmonious environment so that you will listen to them, even if you have differences. Look at your list of good communicators once more. Chances are that it is fairly short or non-existent. Effective communication is very rare. •

What sets effective communicators apart is their ability to overcome the main barriers of communication. They do this by creating their messages very carefully, minimizing noise in the transmission process and facilitating feedback. They are to bring the audience closer to their views. Initially they give their receiver a framework to know what to expect so that they are more receptive to the ideas. Good communicators try to make their message more memorable. They use words that evoke a physical, sensory impression. For example, words that creates a picture in the receiver’s mind by describing colours, tastes, sounds, etc. They give specific details, which can be very vivid. For example, “did you know that the human being sleeps for more than half his life term?” They also include statistics wherever appropriate. Brevity is also an important quality of good speakers. That is not to say that their summarize ideas, but they eliminate any information that does not contribute to the purpose. By highlighting and summarizing the main points, they help the audience to remember the information. If they use oral communication, they use the body and voice to highlight the important concepts. The careful choice of channel and medium helps the receiver to focus attention on his message. They try to eliminate potential sources of interference that stand between the sender and receiver. They choose the method that is most likely to attract the receiver’s attention and enable him/her to concentrate on your message. They provide opportunities for feedback, encourage frankness and try to use it to improve communication. REVIEW QUESTIONS Section A 1. State whether the following statements are True or False. • Psychological barriers can be overcome by one’s own efforts. • Continuous efforts are required to ensure that communication is successful. • External barriers can be removed with continuous effort. • Organizations have to make continuous effort to prevent communication barriers. • It is the responsibility of the sender to overcome barriers to communication.

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33

2. Following are some commonly encountered barriers to communication. State if they are Semantic (S), Psychological (PS), Physical Barriers (P), Physiological Barriers (PY) or Other Barriers (OB). • Bad expressions • Inaccurate translations • Inattention • Unqualified and vague assumptions • Distrust • Premature evaluation • Fear • Physical noise • Distance • Time • Source • Distraction • Lack of common knowledge • Semantics • Distortions • Attitudes and opinions • Closed mind • Status consciousness • Poor retention • Defensiveness • Hostile behavior • Lack of concern for reference group • Lack of interest in subject • Poor organization of communication methods • Prejudices and bias • Verbosity Section B 1. What are barriers to communication? 2. Enumerate five barriers that can hamper effective communication. Section C 1. What steps can be taken to overcome the common barriers in business communication? 2. What is over-communication? How can it be a barrier to communication?

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Channels of Communication

35

CHAPTER

5

CHANNELS OF COMMUNICATION All organizations have to function. For this, they have to communicate, but the way in which they communicate varies from organization to organization. In small organizations, communication is an easy task. But it gets more complex and difficult as the size of the company increases. When there are hundreds of employees, spread across the globe, proper channels have to be set up so that time is not wasted and proper communication results. When communication is non-restricted and free, the employees develop a clear sense of the vision and mission of the enterprise. This is because there is a constant repetition of the organizations values. In these successful firms, management IS communication. How do some companies achieve superior communication? How are they more successful? What sets them apart from other organizations? For this we will take you through different communication patterns and channels that exist in various companies. Each business is concerned with different types of communication channels. 1. Internal communication 2. External communication We have already discussed these in a previous lesson. To recapitulate– when a business corresponds with other business houses, banks, press, customers, press and others outside the company, it is called external communication. Internal communication results when information is transmitted inside the organization. Internal communication will be dealt with in detail in this chapter. People talk to each other in a company. They send circulars, memos and talk on the phone and intercom. All these methods are different. They are basically carried out on two planes—formal and informal.

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The Communication Channels: Broadly classified, there are two types of communication channels— 1. Formal 2. Informal

FORMAL COMMUNICATION Formal communication flows along prescribed channels, which all members desirous of communicating with one another are obliged to follow. If a worker wants to apply for leave, he must apply to his boss, who will take it to the next higher authority for sanction. Jumping hierarchies is not allowed. Some communication has to follow the formal channel. This is, so that all concerned people know about the issue at hand. For example, the University sends a revised syllabus of a particular subject to the college ABC. It is addressed to the staff in charge, who starts implementing it without the knowledge of the Principal and Head of department. At a later date, there is a meeting of all college principals for the reverting back to the old syllabus, since there are complaints from the students. The Principal of college ABC is unaware of the issue and feels extremely bad. This could have been avoided if the proper, formal communication channel had been followed i.e., Principal—Head of Department—Staff-in charge. Limitations of formal communication channels Although these are necessary in organizations, they have drawbacks for both the company and the individual. From the point of view of the individual, formal communication is often frustrating as it limits access to decision makers. In a large, formal organization, the only way to communicate with people is to go via your direct boss. This can be frustrating at times. If an employee has a brilliant idea, he tells his boss. But the boss is not interested. If the manager tries to go over his boss, he can place his career at risk. If you look at it from the organizations standpoint, the risk can be of information distortion. Every link the message flows through can change the message to any extent. Formal communication channels can follow different directions— 1. Vertical Communication • Vertically Downward • Vertically Upward 2. Horizontal Communication

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VERTICALLY DOWNWARD COMMUNICATION This flows down the organizational hierarchy from a superior to a subordinate. For example, the chairman calls the directors. The directors communicate with the functional heads. They, in turn, communicate with the managers. The managers call the assistant managers and so on and so forth. It goes down step by step so that all relevant people are informed of the matter. It can be understood clearly, if you imagine yourself coming down a staircase. You walk down the steps, sometimes taking two at a time, but necessarily coming in the downward direction only. Orders, policy statements, circulars, etc. fall under this type of communication. Main objectives of vertically downward communication • • • •

To give specific directions about the job being instructed to the subordinates. To apprise the subordinates about their performance. To explain organizational policies and procedures. To bring the subordinates in tune to their contribution with respect to the overall organizational goals.

Since downward communication is so crucial, it is essential to make it effective. •

•

•

•

•

•

The senior managers should themselves be informed about all the happenings and new policies of the company. If they are unaware or outdated, they will not be able to disseminate correct information. All managers must know their limits. They should know ‘how much’ and ‘how little’ to communicate. There are hazards in both situations. So the communication from the top must be ‘just right’. The length of the chain should not be very long, i.e., it is not necessary that all communication should start from the top most level. This happens when the top boss wants to hold all power with himself alone. The chain becomes to long till the lowest level and there is a possibility of some information getting lost. Also there may be many delays till the time the message reaches the intended person, since it has to cross so many levels. Information should be passed onto the correct person. Sometimes, the company gets so bogged down by following the correct channels that the person for whom the message is meant, does not get it at all. All decision-making should not be concentrated on one level. Authority and responsibility can be spread across different levels. For example, if a dustbin has to be bought, it is not necessary that the permission should be taken by the top boss. Other employees at lower levels can decide about this. The person, who originates the communication, can himself come and convey the information to the relevant person. This will save the necessary transfer of information from level to level and will prevent wastage of time.

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Some limitations of vertically downward communication 1. Delay: if the lines of communication are very long, transmitting information can be a very time consuming process. By the time the message reaches the relevant manager, it could have lost its importance. This happens very often in huge public sector companies. 2. Loss of information: This can surely happen when the communication is oral. 3. Distortion: This happens when the information that finally reaches the concerned person gets exaggerated or under-stated, giving dramatic twists, as is the habit of human nature. By the time it reaches the intended person, it might not have even an iota of truth. 4. Under-communication: A superior may talk too less about the issue. He may say a bit and assume that the others know the rest. Since there is no other source for the same information, only half knowledge or half instructions are received, which can be very harmful. 5. Over-communication: This may lead to the availability of too much information which may dilute the effect of the actual message. Also there is a chance of confidential information leaking out. 6. Built-in resistance: Sometimes it happens that the subordinates do not appreciate any decision and opinion of their superiors. They do not see any logic. They just oppose everything because of their inherent resistance towards the person or towards following instructions, in general. 7. Disinterest: Some employees are disinterested in their jobs. They do not appreciate anything in the company. Their attitude towards everything may be like that or it may be evident only towards a particular job, person or company. This will cause a serious limitation to the downward communication process. 8. Laziness: This is also a drawback. If any employee is too lazy to make an effort at communicating, it will hamper the process of communication. This is especially in the case of downward communication. 9. Negative feeling towards the subordinate: If the superior does not like the subordinate and harbors negative feelings against him, it will surely prove to be a limitation in the downward communication process. VERTICALLY UPWARD COMMUNICATION Managers have to receive information from levels below them, so that they can be in tune with the pulse of the organization. To solve problems and make intelligent decisions, managers have to learn what’s going on in the organization. Strategies can be made only when they are aware of what is happening in the organization. Because they cannot be everywhere at once, executives have to depend on lower level employees to furnish them with accurate, timely reports and information. Companies try to guard against the ‘rose colored glasses’ syndrome by creating reporting systems that require employees to furnish vital information on a routine basis.

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Vertically upward communication can be understood if one climbs up a staircase. Information also flows up in the same way, going in the upward direction, step-by-step. This type of communication is immensely important for the following purposes— 1. Receiving suggestions: Sometimes the most beneficial and constructive suggestions can be got from the people who are actually on the job than from management books. This can happen only if the organization has a facility of upward communication where the lower levels feel free to communicate with higher levels. 2. Providing feedback: The company can find out if the employees at all levels have properly understood the policies and new schemes. 3. Greater harmony: Upward communication makes the people at the lower levels feel important in a company. It enables greater cohesion between the management and the employees. 4. Outlet for pent-up emotions: Employees get a chance to give a vent to their grievances when they know that people at levels higher than them are listening. Even if the issues are not solved, the very fact that the boss has lent a patient ear to the subordinates feelings, gives the employee great satisfaction. 5. It projects a caring image about the company towards the subordinates: For any employee, his boss represents the organization. If the boss takes care to indulge in timely, appropriate communication with his subordinates, the subordinate feels happy and appreciates the organization. 6. It ensures accountability within the organization: If subordinates are in the habit of regularly communicating with senior levels for important matters, their bosses will know what is happening in their respective departments and can keep a check. It is easy for any company to adopt an open policy that encourages upward communication. Suggestion boxes can be kept and the employees can be informed that they are welcome to air their views about any issue in the company through the boxes. Social gatherings in departments and in the company can encourage the employees to shed their inhibitions and discuss issues. Employees may be encouraged to submit regular reports on business activities with their comments. Counseling sessions also help in a big way if carried out properly. Personal and official problems can be discussed and an attempt can be made to solve problems. Since upward communication is so crucial and extremely important for the success of the organization, efforts should be made to make it effective. This can be done in the following ways— • •

The grievances received should be redressed as soon as possible. Only then the managers will know that this channel is useful. The onus should come from the ‘top’. The senior managers should encourage their people to communicate freely for the ultimate benefit of the organization. The workers or lower level managers cannot take the initiative. It is the job of the senior managers.

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The line of communication should be kept short. If the feedback just keeps passing upwards from level to level, it will not remain authentic. It will get distorted due to distance and passage of time. Utilizing the services of an ombudsman (a neutral third party) who will consider the issue and see that appropriate action is taken without putting the employee in an awkward position.

Limitations of vertically upward communication It is not always possible to have a smooth flow of vertically upward information flow. The system suffers from a number of limitations. Some of them can be mentioned below— 1. Employees are very often reluctant to express themselves. Even if the managers ‘keep their doors open’; no one can force the subordinates to walk in. 2. The information gets distorted very easily, since everyone feels that they should contribute his or her bit to the feedback. So, when information passes from level to level in the organization’s hierarchy, all people keep adding to the communication. 3. If the subordinates bypass their immediate bosses, the latter can get angry and try to take out their anger in whatever way they can. 4. Fear of a superior. Many employees are scared of their superiors and bosses. Because of this, they do not want to face them and avoid talking to them. This is a major limitation of downward communication. 5. Employees fear for their jobs. They do not give feedback to their bosses, for fear of their jobs being taken away from them. It might be taken as a sign of their personal incompetency. They do not willingly accept the upward communication channel. For example, a salesman will not complain about a bad product of his company. He fears that if he does, it will be taken as a sign that he himself is not able to sell it properly in the market and so he is complaining. HORIZONTAL COMMUNICATION In addition to transmitting messages up and down the organization, the formal communication network also carries information horizontally from one department to the other. For example, the marketing director may write a memo to the production director, outlining sales forecasts for the coming quarter. Or the finance head may contact the marketing head for higher advertising costs that they have incurred during the previous year. The amount of horizontal communication in organizations depend on the degree of inter-dependence of departments and the culture of the organisation. If the business requires coordinated efforts of all its departments, horizontal communication is a must. It may be frequent and intense. Horizontal communication is extremely important for promoting harmony in the organization. If this is missing, embarrassing situations may result. For example, the

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marketing department may promise the customer a replacement free of cost, since there was a manufacturing defect. But they forget to communicate the same to the finance department. In the usual course, the finance department sends a bill to the customer asking him to pay for the replaced part. The customer gets angry and lodges a complaint against the company. This could have been avoided if there was proper horizontal communication between the marketing and the finance departments. In large organizations, it becomes very necessary to have open and free flow horizontal communication. Importance of horizontal communication 1. 2. 3. 4. 5. 6.

It provides better understanding between the employees. It enables a sense of belonging. It enables coordination between different departments and ensures team work. It helps the people to share relevant and important information. It helps the business to grow. It helps people of the same organization to solve common problems.

GRAPEVINE OR INFORMAL COMMUNICATION The grapevine, often called the rumor mill, is perhaps the best-known informal communication system. It is actually an inherent component of the internal, formal communication system. When people talk casually during coffee breaks and lunch hours, the focus usually shifts from topic to topic. One of the most common topics obviously are—job, company, boss, fellow employees. Even though the external system calls for very definite communication channels, the grapevine tends to develop and operate within the system. As a communication channel, the grapevine is reputed to be speedy but inaccurate. In the absence of alarms, it might be the most effective way of telling everyone that the building has caught fire! It will certainly beat the written memo! Formal organizational charts show how information should flow. In actual practice, however, lines and boxes on a piece of paper cannot prevent people from talking to one another. Every organization has an informal communication channel— “a GRAPEVINE”— that supplements official channels. As people go about their work, they have casual conversations with their friends in office. Those friends can be from any department or may be occupying any hierarchical level in the organization. They joke and have fun and discuss many things: their families, restaurants, movies and other people in the company. Although some of these conversations relate to personal matters, business is also discussed. In fact, 80% of the information that is discussed in the grapevine relates to business. Also employees rely on the grapevine as their main source of information. Grapevine has the following characteristics— •

It follows no set lines and no set direction.

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It does not have any definite rules. It just spreads. It grows in any direction and anywhere. It spreads very fast. Grapevine is a very natural thing. It operates in all organizations, e.g., company offices, colleges, factories, etc. It crosses hierarchical levels.

People who work together, will naturally be interested in the promotions and retrenchments of their colleagues, the romantic involvements of their bosses and others, family problems and other issues. Information like this is supposed to be secret. But nothing is secret from the grapevine. In fact, people take great pleasure in obtaining ‘confidential’ information and transmitting it to others. The very fact that it is supposed to be secret and not told to others, prompts people to do the same. They cannot rest till they have whispered it in the ears of at least 2 more people and implored both of them to keep it a secret. For the college student, the grapevine carries much more valuable information than any formal channel. The names of good teachers are not published anywhere, but all the new students know who is good and who is bad. How? The grapevine of course! Different patterns of the grapevine Professor Keith Davis has done some research on the nature of grapevine and the patterns it takes when it spreads. He has classified it into 4 basic types. 1. Single strand: This involves the passing of information through a long line of persons right till the ultimate recipient. For example, a tells B, B tells C, C tells D and so on. 2. Gossip: In this, A actively seeks out and tells everyone himself. He does not wait for others to do the job. For example, a calls B, C, D, E, etc., and tells them. This pattern is designed like the wheel, where A is at the center and the others are all around the rim. The information passes along the spokes. 3. Cluster: This method involves ‘A’ telling certain clusters of people. They transmit information to other individuals or clusters. 4. Probability: This is a random process where ‘A’ transmits the information to others in accordance with the laws or probability. They in turn, inform others in a similar way. This can also be called a random method. Importance of the grapevine As organizations become more complex structurally, the formal lines of communication become increasingly cumbersome. The grapevine helps people to do their work effectively, till the formal structure catches up with the changes. •

It promotes unity and solidarity in any organization. If communication is limited to formal channels, people will hardly interact. There will be no gossip and chatting

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sessions. In other words, there will be no togetherness, unity and friendship. People will just work and leave. This can be very dangerous for the cohesion of the employees. To make the organization grow, people must interact with one another, talk to each other and share their happiness and frustrations. The grapevine lets you do just that. The grapevine provides emotional relief. If employees are upset about certain issues, they talk it over with their colleagues and feel lighter. They also come to know that they are not the only wronged party, when they hear the other also venting their spleen. People get to alleviate their fears and are enabled in venting their pent-up feelings. It helps in transmitting the information fast. Formal channels are slow. It takes ages for a promotion order to come from the boss, whereas it comes immediately through the grapevine. One telephone call, one small remark and chat session and the news travel like wild fire. This is a very important function of the grapevine. If some information is to be spread fast, the organization can just spot the main gossipmonger i.e., the grapevine leader and give the piece of news to him. You can be sure it will spread like wild fire. Formal channels cannot exist on their own. They need a supplement to make the ‘real information’ come out. The grapevine does this job in an organization. Some things cannot be communicated formally. For those, you do need the informal line of communication i.e., the grapevine. For example, a warning to an employee not to have an affair with his female colleague, as it can be bad for his career in the company. The grapevine provides unbiased and quick feedback. If some scheme has been implemented, it will take a longer time for the management to know whether the employees like it or not, whether to continue it or not. But, with the help of the grapevine, they can get honest, truthful and quick feedback.

Disadvantages of the grapevine We have seen so many uses of the grapevine. But it can be damaging in more ways than one. •

•

It travels so fast that it rarely waits for the complete information: It starts as soon as it gets a whisk of an issue. The result is that incomplete information gets passed on, which can be very damaging. Before the management realizes, the rumor would have spread and then major steps may have to be taken to rectify the situation. It may pass distorted information: The grapevine does not have sympathy for anyone. On the other hand, it thrives on people’s discomfort and contributes to increasing it. Thus, it might cause great harm to the employees and to the organization. For example, if a boss gives a slight uncomplimentary remark about an otherwise good employee, the news may travel to the aggrieved party and he may even quit in anger. The company would have lost a good employee and the damage would have been done, even without the boss meaning anything serious.

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It may pass wrong information: Employees thrive on gossip. So even without checking for the correctness or validity of any information, employees may initiate the grapevine. It causes loss and wastage of time: People love to sit around and gossip. They take pride in carrying information about which others have no knowledge. It is a big ‘time-pass’ activity in some organizations. Employees at all levels can use their time better. Effective man-hours get wasted both at the ‘shop floor’ and in offices. It can hurt people: Some people are very sensitive. Gossip will bother them. When they themselves become the topic of discussion, it may bother them to the extent that they might want to leave their jobs.

REVIEW QUESTIONS Section A 1. 2. 3. 4.

What is grapevine? What is horizontal communication? Why is it important to communicate vertically upwards? How can you have business communication between people on different levels?

Section B 1. 2. 3. 4.

What are the limitations of formal communication channels? How does the informal channel complement the formal channel? How can you have vertically downward communication? Enumerate some disadvantages of the grapevine.

Section C 1. How is grapevine useful in an organization? Draw the different patterns in which it can flow. 2. Distinguish between formal and informal communication. 3. Write in detail about vertical communication.

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CHAPTER

6

METHODS OF COMMUNICATION Communication is possible in a variety of ways. The method chosen depends on a variety of factors. These are 1. 2. 3. 4. 5. 6. 7. 8.

The urgency of the message The time available to reach the message The skill of the communicator The intellectual level of the receiver and the sender The expenditure involved The media available The emotional level of the receivers The geographical distance between the sender and the receiver.

There can be many classifications of the ‘methods of communication’. In fact, most authors will have a different way of classifying the methods of communication. It can indeed become very confusing, but what must be remembered is that the methods itself are the same. They do not change. For simpler understanding, we have classified the methods into two— 1. Verbal communication 2. Non-verbal communication. VERBAL COMMUNICATION This includes Oral (Spoken) and Written Communication. In this form, words are arranged according to the proper grammar rules and put in proper sequence as per

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the parts of speech. Any written or spoken communication, which involves the use of words, can be called Verbal Communication. This can be further divided as follows— 1. Written communication 2. Oral communication. As you go along the chapter, you will understand the meanings and differences of both and their advantages and disadvantages. ORAL COMMUNICATION This occurs in situations like conversations, telephone talk, interviews, presentations and meetings. Conferences, group discussions and speeches also form part of oral communication. This involves the use of words, but not on paper. Merits • • •

•

• •

It saves time: When action is to be taken immediately, we always resort to oral communication. During war situations, on the battleground, it is only oral commands that are given. It is a powerful means of persuasion: To persuade a friend to come with you for a movie, you employ only oral communication. You do not write a formal letter to him/her. Immediate feedback is possible: When you are talking to someone directly, you can immediately know his reaction and find out whether or not he will agree to what you are asking him/her to do. If the receiver has not understood your communication and is perplexed and baffled, you can modify your communication immediately to enable better understanding. It can help to promote friendly ties: At times oral communication is carried on at informal levels. It can then encourage frankness and friendship. For example, the boss can chat with a new employee and make him feel comfortable in the new office. It can save money: If many people are addressed together; there is no need to write individual letters to each of them. In such cases, oral communication turns out to be cheaper. Easier clarification: When a message is send orally, one can immediately clarify all doubts that may be in the mind. For example, if your teacher makes an announcement about a forthcoming picnic, the students can immediately find out the venue, timings and other relevant details which may be there in their minds.

Demerits •

It is dependent on distance and suitable mechanical devices: If the sender and receiver are geographically removed from one another e.g., New Delhi and London,

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and there is no other communication channel such as telephone between them, it becomes difficult to shout and pass the messages. This situation is however very rare during the 21st century. It is not appropriate for lengthy messages: Long and detailed formal messages are better communicated in a written manner for fear of missing out relevant points. Oral communication is not suitable. For example chemical formulas, computer programs, etc. It does not have safe life: Oral messages cannot be stored for a long time, since they are not present in record books and cannot be referred to at a later date. Once they are spoken, they are over. There is no legal validity: Anyone can deny what he or she has said before. There is no way you can prove that a certain person made a certain remark at an earlier occasion. If you make a hurting remark to someone in college and he/she goes and complains against you, it is very easy to deny it later and say that you did not say that. There are greater chances of misunderstanding: People can interpret oral communication according to their own frame of mind and attitudes. At these times, misunderstandings can arise between the sender and receiver. For example, the speaker says, “You have come at 9 a.m.”

You may interpret it in two ways— 1. You are punctual. That is good. OR 2. You have nothing better to do, so you have come at 9 a.m. Types of Oral Communication 1. Face-to-face communication: Oral communication is best when it is face-to-face. It is possible between two individuals in a meeting or interview. Communication flows in both directions. There is immediate feedback. Facial expressions, body language and gestures add to the oral communication, giving it more meaning. This is distinguished from plain, oral communication by taking the example of a telephone. The phone offers a medium for oral communication, but it is not face-toface. Face-to-face communication is particularly suitable for discussions. If the sender is imparting some information and the receiver has a puzzled look, it means that he has not understood properly. If he is fidgety and looking at someone else, it means he is either not interested or in a hurry. A blank expression suggests disinterest. Frown on the face of the listener indicates anger. The sender can immediately adapt and change his way of communicating to suit the receiver. Face-to-face communication is not possible in large gatherings. When one person is addressing many people together, he is not able to have face-to-face communication with each one of them.

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Face-to-face communication also becomes ineffective if the listener is not interested. If he is not in a frame of mind to absorb the communication and give an appropriate feedback, the whole process goes wasted. 2. Telephone: Communication over the telephone depends entirely on the voice and the words used. It does not have the advantage of the physical presence, though even that can also become a disadvantage at times. Clarity of speech has a big role to play in this. If the speaker ensures the skillful use of his/her voice, communication can be very effective. Names and addresses should be confirmed, as they are very often wrongly received, e.g., D for Delhi, M for Mumbai. Good telephone etiquette is a must for all people. It is a very common and convenient way of communicating. Modern technology has ensured that it is one of the cheapest methods of communicating with others, either in the same city or even outside the country. Any modulations in voice immediately get communicated through the voice and the receiver can sense something amiss. What we say and how we say it, carry equal importance. If you speak to your friend in a dull voice, he/she can immediately make out that you are not feeling well or there is something wrong. 3. Public speech: A lecture or a public speech can be conducted with or without microphones. It has face-to-face setting, but the distance between the sender and the receiver is large. It is a one-to-many communication. Public speeches are held in auditoriums or in open-air areas. Public speeches may be held for many reasons. Politicians hold public meetings to enlighten people to their way of thinking. Other purposes could be to entertain, encourage and inspire the general public. The success of a public meeting depends on the speaker’s ability to use the microphone, voice modulation and gestures. His silence can also convey many meanings. 4. Interview: It is a meeting between an interviewer (who can be one or many) and an interviewee or candidate. The meeting is for a specific purpose, normally as a part of a selection process for a job or selection for a study program or for entering into a business relationship. The interviewer asks relevant questions to the candidate. Both the sides get a chance to assess the other party. Normally detailed questions are asked. Qualifications are also checked out and the candidate is assessed on many parameters. 5. Meeting: Usually a meeting involves a number of persons. The chairman guides the proceedings and maintains order during the meeting. Depending on the type of meeting, there may or may not be a fixed agenda. If it is a formal meeting, notes are taken during the meeting, which are called the ‘minutes.’ All the people involved in a meeting are constantly communicating. They may be speaking or listening. Most of them also communicate in a subtle non-verbal manner. 6. Presentation: This is a formal well-prepared talk given by an individual to a group. The audience is mostly knowledgeable and/or interested. There can be different purposes to giving a presentation. It can be a sales talk to introduce a company’s

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product and advertise it or it can be a presentation made to the finance department on the new money saving techniques. Visual aids and humor can enhance a presentation and make it more attractive. The responsibility of the presenter is to make sure that all the listeners understand the matter, which he is presenting, and he normally opens up for questioning after the formal presentation is over. WRITTEN COMMUNICATION Written communication is used for many purposes. It includes letters, circulars, notices, memos, reports, forms, manuals, etc. Everything that is put down on paper by writing comes under the purview of written communication. Merits •

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It is precise and accurate: It is usually formulated with great care, since it can be checked and verified anytime. The writer has to be careful about what is being communicated. Once written, it cannot be refuted. It is permanent record: Written documents are permanent to large extent and can be used in the future for reference. This helps the formulation of new policies and reports easily as they can be based on improvement required in the previous ones. They can be referred to repeatedly: A written record is convenient as it can be taken up and seen for clarifications and improvements. Any person, including the writer of the document can view it repeatedly for any possible reason. It can be sent to a number of places: Written documents can easily be made into copies and sent to many places simultaneously. This is not very expensive and comparatively easy to achieve. It facilitates the fixing of responsibilities: If any mistake occurs, it is easy to identify it on paper rather than orally. It is difficult for people to shift the responsibility of an error onto others. Similarly it is easy to reward employees since their achievements can be seen on paper.

Demerits •

•

•

It is time consuming: It takes time to write letters, circulars, etc. whereas oral communication is much faster. Similarly it may take time for the written communication to reach the receiver, whereas in oral communication methods of telephones and SMS’s, communication and feedback take place instantaneously. It can be expensive: If expensive writing materials are used and expensive methods like courier services are used to send the written documents, it can prove to be a costly affair. Feedback is slow: Unlike in oral communication, in this, feedback takes a longer time to come back. The written document has to reach the sender and then be read by him/her. When time and means permit, feedback is given and clarifications are

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asked for. For example, the subordinate sends a request for leave to his boss. The boss is busy in meetings and then he leaves on tour. So the whole process gets delayed till the time he comes back and reads the request. Types of Written Communication 1. Letter: This is the most commonly used form of written communication. They are mostly used for external communication. Letters have a fixed and formal layout, which must be adhered to. There can be sales letters, complaint letters, bank correspondence and many others. 2. Memo: This is an informal communication between members of the same organization and usually relates to day-to-day work. It is used to convey information and instructions. Memos contain brief messages. There are normally pre-printed formatted papers on which memos are written. A memo may or may not be signed. It can be personalized for senior managers. 3. Notice: This is used when many people in the same organization have to be given the same information. A notice should be short and to the point. It should be clear and well spaced for easy reading. 4. Circular: This is a written document giving instructions or orders on a specific matter. For example, circulars issued by government departments, Universities etc. Circulars have a date for reference and are signed by the person who has taken out the circular. 5. Report: This is a written document prepared by an individual or a committee. It is prepared after research. After the data collection and analysis, the results have to be presented. This is done in a report. It can be detailed or brief. Conclusions and recommendations can be given after reading the report. NON-VERBAL COMMUNICATION The most basic form of communication is non-verbal. Anthropologists say that before human beings used words to talk to each other, they communicated with one another by using their bodies. They gritted their teeth to show anger, they smiled and touched one another when they wanted to indicate affection. Although we have come long way from those primitive times, we still use non-verbal cues to express superiority, dependence, dislike, respect, love and other feelings. Non-verbal communication is also called Body Language. It differs from verbal communication in fundamental ways. For one thing, it is less structured, which makes it more difficult to study and understand. There are no perfect books for learning non-verbal language. You cannot master the vocabulary of gestures, expressions and inflections that are commonly used. We really don’t know how people learn

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non-verbal communication—probably by observing and absorbing the behavior around them. No one teaches a baby how to cry and laugh; yet these forms of expression are almost universal. Other types of non-verbal communication, such as the meanings of certain colors and certain gestures vary from culture to culture. Non-verbal communication also differs from verbal communication in terms of intent and spontaneity. People generally plan their words. When we say, ‘please open the door’ we have a conscious purpose. We think about what we are going to say, if only for a moment. But when we communicate non-verbally, we do so unconsciously. We don’t mean to raise an eyebrow. We don’t think that we want to blush, but we blush unconsciously. These things come naturally. Without our consent, our emotions are written all over our faces. WHY IS NON-VERBAL COMMUNICATION IMPORTANT? Although non-verbal communication is unplanned, it has a greater impact than verbal communication. For example, your sister says, “I’ll come for the movie” and she is happy, cheerful and excited about it. This shows that she REALLY wants to come. Your sister says, “I’ll come for the movie” and she becomes sad and dull. This shows that even though she has said she will come, she DOES NOT want to come. Non-verbal cues are especially important in exchanging feelings, which account for almost 93% of the interaction in any situation. One advantage of non-verbal communication is its reliability. Most people can deceive us much more easily by words than they can by their bodies. Words are relatively easy to control. Body language, facial expressions and vocal characteristics are not. By paying attention to these non-verbal cues, we can detect whether a person is deceiving us or affirming his honesty. Not surprisingly, we have more faith in non-verbal cues then we do in verbal messages. If a person says one thing but transmits a conflicting message non-verbally, we tend to believe the non-verbal sign. To a great degree then a person’s credibility depends on his non-verbal communication messages. Non-verbal communication is important for another reason as well. It can be efficient from both the sender and receiver’s viewpoint. You can transmit a non-verbal message without even thinking about it. Your audience can also register the meaning unconsciously. By the same token, when you have a conscious purpose, you can often achieve it more economically with a gesture, than you can with words. For example, when your boss is happy with you, he can either give you a ‘pat on the back’ or plan a more elaborate written note. The former is spontaneous and costs less time and money. The latter option is more elaborate. This is not to say that non-verbal communication can replace non-verbal communication everywhere. It means that non-verbal cues have an equally important role to play in conveying, thoughts, ideas and feelings. A wave of the hand, a wink, and a comforting squeeze—all are expressions of thought.

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FUNCTIONS OF NON-VERBAL COMMUNICATION Although non-verbal communication can stand alone in many situations, it frequently works hand-in-hand with speech. Our words only carry a part of the message; our nonverbal symbols carry the rest. For example, consider yourself as the Marketing Manager of a consumer goods firm. You have called for a meeting. Before you start, you pull out your chair and clear your throat. You thus call the meeting to order. Then you might hold 5 fingers up and say, “I would like to discuss 5 issues.” As the meeting progresses, you might substitute gestures for comments. You might nod your head for approval; you might frown to show disapproval. You might also use non-verbal communication to regulate the flow of conversation in the meeting. Experts have given 6 functions of non-verbal communication— 1. 2. 3. 4. 5. 6.

To provide information, either consciously or unconsciously To regulate the flow of conversation To express emotion To qualify, complement, contradict or expand verbal messages To control and influence others To facilitate specific tasks, such as ‘teaching someone how to hold a bat.’

Non-verbal communication has a major role to play in business. Firstly, it helps to establish credibility and leadership potential. If you can learn to manage the impression you create through your body language, voice, appearance and facial expressions, you can do a great deal to communicate your impression of being a competent person. Secondly, you can learn to read the non-verbal impressions about others. You will be able to find out their attitudes and intentions. While dealing with co-workers, you can observe their changing moods and thoughts through their body language. THE VARIETIES OF NON-VERBAL COMMUNICATION According to one estimate, there are over 700,000 different forms of non-verbal communication. We have grouped them into some categories for your benefit. •

•

Facial expressions and eye movements: The face is a powerful conveyor of nonverbal messages; it is the primary site for expression of emotion. You can see both the type and intensity of emotion. A person’s eyes are especially very expressive. They can convey interest, arrest attention and influence others. Gestures and postures: Many gestures have a specific meaning. Waving your hand signifies a greeting. These movements supplement words. Other body movements such as slouching, leaning forward, fidgeting or walking briskly, all fall into this category. These unconscious signs reveal whether a person is confident or nervous, friendly or hostile, assertive or passive, happy or sad.

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•

•

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Vocal characteristics: Like body language, a persons’ voice carries both intentional and unintentional messages. For example, try repeating the sentence- “I’m Fine” in 5 different ways. Try using different voice and stress different words each time. You will see that the meanings are different. The tone and volume of your voice, your accent, your speaking pace, and all the little um’s and ah’s that creep into your speech say a lot about your personality, mood and your relationship with the audience. Personal appearance: An individual’s appearance helps to establish his or her social identity. To a great degree, we are what we appear to be. Many people react to us based on our physical appearance, especially if they do not know us. Although an individual’s features and body type impose limitations, most of us are able to control our attractiveness to some degree. Our grooming, our clothing, our accessories and our style—all modify our appearance. Even without the gift of beauty, we can create a ‘beautiful’ impression if we want to. Use of time and space: Both these elements can be used to assert authority. In many cultures, people demonstrate their importance by making people wait at other places they show respect by being on time. People can also display their emotions by occupying different spaces. For example, the center of the room or huddled in one corner. Touch: This is an extremely important tool to demonstrate the type of communication that we want to show. If we hug a person spontaneously, we show love and affection. If we offer a limp handshake, we show that we are not interested, or are a nervous person by nature. A pat on the back signifies a job well done and if it is your boss doing it, you can be sure of a promotion. Silence: Messages are effectively communicated through silence also. It can successful convey a variety of responses. Shyness—after a girl gets a proposal from a boy, ignorance—after a teacher asks a question from a student, shock—after you discover that your house has been burgled, anxiety—after you get to know that your child is seriously sick, satisfaction—when you are in the prayer room all by yourself, etc. Silence is very powerful. If an important person arrives into a room, the others become quiet. It is a silent and powerful scene. Silence creates and signifies anticipation, satisfaction, anger, love, importance, resentment, and lack of interest, disapproval and other emotions. Since silence is such a powerful medium, it should be used carefully. If appropriately put to use, it can be a potent communicator.

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REVIEW QUESTIONS Section A 1. Write notes on— • Face-to-face communication • Presentation • Non-verbal communication • Silence as a form of communication 2. What do you understand by gestures? Section B 1. 2. 3. 4.

How is verbal communication different from non-verbal communication? How can gestures play a role in helping communication to become more effective? Explain some functions of non-verbal communication. On what basis would you choose your method of communication?

Section C 1. What is body language? Explain its role in business communication. 2. What are the merits and demerits of oral communication? 3. Explain how you can have verbal communication in organizations. Application questions a. Choose your popular television program on T.V. Turn on the television but keep the volume on zero. Watch for 10 minutes and see if you can understand what is going on from the non-verbal signs. Then turn on the sound to see of you were right. Make a list of the kinds of cues that you saw and what they indicated. Were any of them misleading? b. Your friend is not able to get a job as a salesman despite his suitable qualifications. Suggest ways to improve his verbal skills so that he can get the job.

PART 2 BUSINESS COMMUNICATION TECHNOLOGY

In today’s world, much of the communication that takes place involves some sort of equipment. Even a simple letter warrants typing. Hand written letters are rare. Oral communication often takes place with the help of a telephone or microphone. You would undoubtedly have heard about an ‘Electronic office’. Computer technology and telecommunications are bringing about revolutionary changes in the field of communication. Where earlier, the concept of communication was only through a letter, which would take weeks to reach any destination overseas from India; now people do not bother about ordinary mail and postage. These experiences are increasingly becoming unused and things of the past. If you ask any five year old, living in a fairly big city, whether he has heard of a postman, the answer will probably be ‘no’. Communication through telephone with inexpensive rates of STD and ISD has taken over. Even mobile phone charges have become cheap. People have become more impatient and demand instant replies. They are possibly using faxes and phones. When it comes to sending written documents, courier services have arrived, in a big way. People across the world are able to watch events live, whether it be attacks of America on Iraq, or World Cup matches. People are always up to date, even when they are on the move. They stay connected to world events and people who matter to them, even as they are flying 35,000 Kms above the earth, in a plane. You can also be in touch with your near and dear ones or business contacts through mobile phones and the new SMS and MMS technology which can be utilized from the theatre, homes, offices, parks or any other place like buses, trains and even from the roads.

CHAPTER

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APPLIANCES USED FOR COMMUNICATION This chapter will take you through a basic introduction about the latest communication devices and other ways to communicate that are currently being utilized by the business world today. FACSIMILE The Fax machine is a device for transmitting copies of printed pages through telephone lines. Photographs, artworks and illustrations can also be transmitted using a fax machine. How does it happen? The Fax machine is a machine that is connected through a modem (modulatordemodulator). It has a keypad with all the digits to dial the receiver’s number. It is necessary that the other person also has a fax machine to receive the documents. All the fax machines have a number. This number is similar to a telephone number. The sender has to dial the receiver’s fax number, insert the documents into the machine and press the start button. If the sender and the receiver are in different cities or countries, the city codes and country codes also should be dialed before the number. The machine scans the page. It makes an electronic representation of the text and graphics, compresses the data to save transmission time and then transmits the data. The receiving machine decrypts the signals and uses its in-built printer to produce an exact photocopy of the original page. The receiving fax machine has a special roll of paper that is relatively more expensive than ordinary paper. A fax permits quick exchange of documents between offices. By and large, the documents that are sent via fax are not confidential, since they are open to public view, although important documents like certificates, agreements and testimonials can be sent.

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Mostly all modern fax machines have telephone facilities; photocopy facilities and voice mail facilities, which can be activated by pressing relevant buttons. The received fax copy contains the time, date and fax number of the sender’s machine. The sender’s fax machine will give a confirmation report after it has transmitted the document. It will also give a report in case an error has been encountered and the document has not been sent. In present times, faxes can also be sent through the computer if the required software has been installed. There should also be a telephone line and a modem at hand. It can send a document, which is keyed in on the computer. It cannot transmit a document, which is in the tangible form. Advantages of using a fax 1. Documents can be sent and received almost instantly. 2. Picture documents can also be sent. 3. It is a comparatively cheaper method of sending documents.(less than courier) Disadvantages of using a fax 1. 2. 3. 4.

Original documents cannot be sent. It is more expensive than ordinary post. It is not confidential. It is dependent on telephone connections.

WORD PROCESSOR A word processor is basically a computerized typewriter. It combines the attributes of a computer and a typewriter and has greatly simplified the process of written communication. As we type on the keyboard, the result appears on the screen. A word processor can perform the following functions— 1. 2. 3. 4. 5. 6. 7. 8. 9. 10.

Edit the text Proofread Rearrange the text without retyping Adjust the lines according to the desired format Check for wrong spellings Find any word or term in the entire text Replace any particular term or word with any other term or word Prepare indexes Perform mail merge Sort according to alphabetic order

Appliances Used for Communication

11. 12. 13. 14.

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Store the written matter on any storage device Retrieve the document whenever required Get special formatting done e.g., headings, margins, fonts, text sizes, bold and underline options It has an inbuilt thesaurus and dictionary.

This device translate the user’s language into the machine language and then back to the user’s language. The main part is the processor or computer, as we call it. It can be connected to different types of input-output devices depending on the user’s choice. The various options are:Output devices: Printer, Monitor, CD, Floppy Diskette, Pen drive, Magnetic tape, etc. Input devices: Keyboard, CD, Floppy Diskette, Pen drive etc. Word processors can be fitted with different software so that they can perform many other functions, such as send faxes, send and receive E-mail, permit printing, teleconferencing, video conferencing and many others. A word processor is used very well in writing ‘form letters’. It is used to turn out smartly written letters. Various letters, carefully drafted for accuracy and precision can be stored in the memory. We can personalize addresses for different people and reproduce them in any number. Paragraphs can be added or deleted as required. We can also add a couple of lines, which are different for different people. The keyboard is similar to the keyboard of a typewriter, with some special function keys. For example, F1, F2,...F12 etc. It also has a key for deletion, capital letters, going to the page end, line end etc. Thus, we can see that a word processor is very useful for the day to day working of any organization. Through it, we can get maximum output in minimum time, keep the information stored, and retrieve it whenever required. TELEPHONE In today’s modern business world, telephone is one of the most commonly used means of communication. It has been around from almost a century and it has still not got outdated. People still pick up a telephone instrument to make a telephone call. Being one of the most common means of oral communication, it is used to place and take orders, to exchange information, to simply build up goodwill, get business contacts and many other things. It is an indispensable instrument for every office. The telephone as a convenient instrument can be used from the comforts of an office to get in touch with anyone around the world. How does it work? Telephones are connected via telecommunication wireless lines to the satellite. Wired technology is used to bring it down to our houses. It is a network, which connects billions of

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households and offices across the world. Instruments are required at the callers and receiver’s end, which are in itself becoming extremely hi-tech. We can see fancy looking telephone instruments of different shapes and sizes both with a modern or antique look. They come in various colors with multiple line facilities. Commonly, telephone receivers are connected to the main instrument, though they are available in cordless models too. The telephone helps the business manager in the following ways— 1. Helping him to save on time. He need not wait for letters to reach in their own sweet time. He can pick up a phone and speak to the relevant people. 2. He can get an immediate feedback from his customers or others within or outside his company. 3. Sometimes making a telephone call is the ideal thing to do. It is less personal than a visit and more personalized than a letter. The popular facilities of telephone services are •

ISD or International Subscriber Dialing allows the user to call up numbers outside the borders of the country. This facility can be used if you do not want to go through the telephone exchange and operators. The ISD code is different for each country. All countries have a unique international code. You can find them in the first few pages of telephone directories and in well-illustrated diaries. India 0091 Dubai 00971 USA 001

How to dial?

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Dial the country code. Then dial the city code. Then dial the personal telephone number. STD or Subscriber Trunk Dialing allows the user to call any number within your own country. There is an STD code, which is prefixed if you do not want to go through the operators and the telephone exchange. Each city, town or village has its particular STD code. These can be found in telephone directories and many diaries. Some STD codes are New Delhi 011 Mumbai 022 Kolkata 033 Chennai 044

How will you use an STD code? When you have to dial a number in another city, you must— Dial the STD code of that place. Then dial the personal telephone number.

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Technological advances have made the telephone instruments so sophisticated that they can also provide a number of services. •

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An Answering Machine can take a message for you, if in case you are not available to answer the call. This is an externally fitted instrument, which is connected to your telephone. You can record your message requesting the caller to leave his message for you. It can record up to a limited number of messages, which are different for different answering machines. When you are available, you can rewind the machine and find out and call back the people who had contacted you, if you so desire. Conference facility permits 3 or more people from all over the world to carry on a conversation simultaneously. This is indeed advantageous as it saves you the trouble of reporting the whole conversation again and again to all the parties. If they join in the discussion via the conference facility, they can contribute their ideas at that time itself. Caller identity feature can be added on, if there is a display facility on the telephone instrument itself. This shows the number from which the call is being made. It can also show the name of the caller. More and more people are increasingly using this facility across the world.

Advantages of telephone 1. 2. 3. 4. 5. 6. 7.

It is convenient. It is economical, both to buy and to use. It has many add-on facilities, e.g., Caller ID, Answering machine etc. It is easy to use. It can help you get in touch with anyone around the world. You can get immediate feedback. Subtle variations can be communicated over the phone and we can know others feelings. 8. It saves time. You do not have to go somewhere to talk to someone. Talking can be accomplished over the phone.

Disadvantages of telephone 1. 2. 3. 4.

It can reduce privacy. Wrong numbers can become a problem. A telephone can be misused. The communication is dependent only on the voice. Face-to-face communication is not possible. 5. A telephone conversation does not provide a legal record of the conversation.

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MOBILE PHONE The Cellular or mobile phone fulfills the same functions of a phone. It helps people to keep in touch with any others whenever they want, irrespective of wherever they may be. The technology is however different. It is a portable unit that can be carried anywhere with the user. A person can use a mobile phone whilst he is travelling between cities or between home and office or for that matter anywhere. Each phone has a SIM card, which can be bought from a service provider. For example Hutch, Reliance, etc. The SIM card has a unique number. It is fitted into the mobile phone handset, which makes it ready for use. It is the SIM card, which has the number and not the mobile phone so it can be transferred from one handset to another, if needed. The cell phone signals do not carry everywhere. In some fortified buildings, underground parking etc. the signal may be weak and the phone may not be able to work. Modern cellular phones have various facilities apart from being instruments for making phone calls. You can access the Internet through your handset; you can book tickets for movies, matches and plays. You can also keep getting updated on various events like cricket scores, weather conditions etc. There are also facilities like voice mail, teleconferencing and SMS which can be used via a cell phone. SMS has become a very popular and inexpensive way of communication in today’s world. Right from students, to businessmen, Doctors to housewives, all are hooked on to the SMS facility. This facility allows us to type text messages to the person whom we wish to contact. This message can be transmitted within seconds to the other phone. It can also be saved and sent to a number of other people. The mobile phone has made business more flexible. It has freed many people from the confines of their offices and tables to be able to operate from wherever they want. For people like share brokers and agents who want to stay in touch with their work all the time, the mobile phone has come as a real advantage. It is now possible to contact people who are travelling or who are out of their rooms. Nowadays, it is a common sight to see people combining business with pleasure with the help of a mobile phone. Mobile phone usage costs are reducing in a big way. With more and more competition between companies for providing connection services the consumer is at an advantage. Advantages of a mobile phone 1. You can keep in touch with others even if you are in a vehicle or at some other office. 2. You can send SMSs. 3. The message reaches all over the world in a short time. 4. Businessmen can carry out transactions from any place. 5. It is handy to carry around.

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Disadvantages of a mobile phone 1. They may prove dangerous to our health. 2. It is disturbing, since people can always track you down. Privacy is lost. 3. It is small and can get lost easily. e-MAIL Electronic mail is currently the most common form of communication for both business and personal purposes. It requires a computer at the sender and receiver’s ends, a modem and an Internet connection. The advantage of using e-mail over other forms of communication is that, you do not have to pay for each e-mail that you send or receive. This is if you already have subscribed to an Internet connection. The process of sending e-mail 1. 2. 3. 4. 5. 6. 7. 8. 9. 10.

Log on to the Internet. Type in your user name and correct password. Go to the site from which you want to send or receive the mail. It could be Outlook Express (which is specific to a computer) or any popular site e.g., Sify, Hotmail, Rediff etc. You could be either replying to messages or composing new messages. In either case, go to your chosen options. Type out the message either directly or as an attachment of Microsoft word or Excel or any picture document. Send the mail by clicking on the appropriate button. Mail can also be read and replied to. You can also copy the same mail to a number of other people. It is also possible to foreword a mail that you have received to others.

The advantages of e-mail are that you do not have incremental and additional charges e.g., STD and ISD charges. Even if you have to send mails to long distances, your cost does not go up. Once you pay for usage of the network, you do not have to pay anything more. However, if you are using net access booths and Internet café’s, you have to pay for your usage time. Besides the issue of cost, e-mail also has speed working to its advantage. Many documents and pictures can be sent almost immediately to many people simultaneously. Once the document is received through e-mail, it can be edited on the screen itself and sent back. Thus, approvals can be got, recipes can be exchanged, minutes of meetings can be confirmed, agenda can be fixed up and a host of other functions can be performed using e-mail. Setting up an e-mail account for yourself Connect yourself to the Internet. Open a relevant page of any search engine that provides

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e-mail service. The screens are completely interactive and user-friendly. After filling in the complete details which they ask for, you have to click on a SUBMIT button. The identification or your ID needs to be relevant to yourself. Typically it helps if it is something that others can remember easily about you. Your password is also important. You should remember it at all times. To avoid forgetting, you can keep a password that can be remembered by YOU easily. Your e-mail ID should be easy to remember by OTHERS. Whenever you access mail, you have to key in your ID and password. You can have an e-mail account even if you do not own a computer. If you do not have one already, go to the nearest cyber café and create one for yourself today! Advantages of e-mail 1. It makes information more accessible. 2. e-mail provides for faster and speedier procedures in an organization. It is the quickest way of transmitting messages. 3. It does not waste time on social niceties and references. 4. It does not impose upon the users e.g., the user can read the mail at any time. He need not jump up and read the mail as soon as it arrives. This happens with the telephone. It must be attended to as soon as it rings. 5. If messages have to be sent across different time zones e.g., India to USA, it can be conveniently done via the e-mail. We do not have to think whether the recipient will be sleeping or awake in office or at home. The person at the other end can read the message when he goes to work the next morning. 6. e-mail messages can be sent to large number of people simultaneously, or only to a selected few, depending on the message. It will also reach all of them at the same time. 7. e-mails are supposed to be highly confidential and secure. It is difficult to tamper and read messages that are on others e-mail ID’s. 8. e-mail messages can be easily stored and retrieved for future reference. 9. e-mail has greatly contributed to relationship building, since it has now become easier to keep in touch. Photos, jokes and anecdotes can be exchanged with minimal effort. Disadvantages of e-mail 1. All type of messages cannot be sent by e-mail. A firing or a reprimand cannot be given and should not be given over the e-mail. 2. It is dependent on telecommunication lines. In rural areas specially, where connectivity is not very good, it poses a problem. 3. It requires power supply to be able to be used. Sometimes, it happens that after typing out the whole message, the power supply fails and the complete message gets erased. In such cases, it is advisable to have a UPS installed to the computer. 4. It might be difficult to learn by some. But once learnt, it becomes a habit.

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CONFERENCING Conferencing means bringing people together for a meeting and a discussion. Earlier conferencing could only take place without technology. People used to assemble together in a room, and meet for a conference. Now, with the globalization of business, business partners are spread over distant geographical locations. It is not always possible for all of them to travel long distances for a short meeting. Technology has come in a big way to help solve this problem. Now you have 1. Conferencing via e-mail 2. Teleconferencing or audio conferencing 3. Video conferencing Conferencing via e-mail An important ability of e-mail is to enable ongoing electronic conferences. People all over the world can meet to hear new ideas, new papers and new issues and discuss them in a group. e-mail provides ‘discussion lists’ or ‘groups’. All these incluced people are interested in the topic at hand. If people are interested in a particular topic, e.g., the Iraq war, or the Twenty20 tournament they can mutually discuss it and give their views to the others who are on the list for that particular subject. Interested people can subscribe to the conference. Every time someone sends in a contribution or discussion point, it automatically gets distributed to all people on the list. All those who want, can respond to the new idea. It does not make demands on your time, since it can be read and replied to at leisure. Teleconferencing If you hold a conference where all the parties are connected via the telephone, it is called teleconferencing or audio-conferencing. It is most productive and quite inexpensive. It is also called ‘the phone meeting’. It does not need anything apart from a telephone. It is easy to use, since most of us are familiar with using the telephone. It does not cost much and so can be done anytime. It takes only a few minutes to set up a teleconference. It can easily be carried on since you have telephones all over the world. One person starts the teleconference and keeps calling up people and adding on whomever he wants or whoever is relevant to the topic at hand. The person who starts the teleconference should have more than one telephone lines on one instrument. Advantages 1. 2. 3. 4. 5. 6.

You can converse with more than one person at the same time. Time is saved. You do not have to repeat the same conversation to many people. It is not costly. It can connect people who are far apart, even in other cities. It is through the satellite system, so voice clarity is good. People do not have to be formally dressed for the conference.

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Disadvantages 1. We cannot see the people whom we are talking to. 2. The expressions cannot be seen. 3. Cross connections can be there. Video-conferencing This allows you to go even further than audio conferencing. It is almost like the real thing. Video conferencing allows people to hear and also see each other at the same time. It is fully interactive and is almost like a face-to-face meeting. With new technology, it is possible to connect more than two locations. It brings people in eye and voice contact from all parts of the globe. However, the cost of the equipment is high and people have to go to the video conferencing location. This facility is provided at public places, since all companies cannot afford to set it up on their own. However, some multinationals can boast of having it. The basic equipment that is used is: monitor, camera, microphone, speaker, codec (compressor-decompressor), equipment control pad at each location, and network services to connect the locations. All the equipment is becoming less expensive and user-friendlier as more and more manufacturers compete for their share in the market. You would have seen video conferencing during live telecasts, when the television studio tries to keep in touch with the event venue directly. e.g., Cricket matches, election interviews of the candidates from where they are contesting, etc. Advantages 1. It leads to more affordable conferencing if the members are scattered over the globe 2. It is almost like communicating face-to-face 3. The discussions become more meaningful than interactions over the telephone People get a feeling of being ‘connected’ 4. Retention is better and more long lasting 5. It enriches communication in many ways 6. Video conferencing allows people to keep in touch more frequently at a cost lower than travelling 7. It can be used for customer servicing 8. It facilitates group work among distant teammates 9. Non-verbal communication is also possible. Disadvantages 1. It is expensive 2. There is less awareness.

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INTERNET The Internet is a global collection of people and computers, linked by telephone lines, radio links and satellite links. Data is also conveyed through telephone wires. There is no single person or company that owns and controls the Internet. There are, however several governing bodies that frame rules for Internet usage. They establish protocols and oversee the system so that that it is not violated and misused. In present times, the Internet has become all pervasive and people all over the world access it for different information and other services. The size, scope and speed of the Internet are continuously changing for the better, and in turn, it is helping people by serving them in an enhanced way. The history of the internet Many people think that the Internet is a modern innovation. But, this is not true. It has been around for over 25 years. The United States of America initiated it during the cold war. It was called the ARPANET. The project was to create a nation wide computer network, which would continue to work even if a part of it was destroyed in a nuclear blast or a natural disaster. Over the next 2 decades i.e., till the 1980’s the network developed and become useful to many other professionals like scientists, academicians, and government research bodies. Organizations, which were not related to each other, also started sharing information and established contact with databases of other companies. The nature of the Internet changed dramatically in 1992. A new computer program called NCSA Mosaic at the National Center for Supercomputing Applications at the University of Illinois. This was the first web browser. With the web browser in use, it became easier to access different web sites, and soon the different Websites began to include video clippings and sound files. They became more user friendly and started incorporating information which people across the world wanted. Slowly and gradually, the US Government also started pulling out of Internet management and it became the prerogative of corporations. These companies started offering Internet access to the general public. In fact, they started making money out of it through advertisements and general subscriptions. That was the beginning of the Internet’s incredible expansion. The number of web user’s increased to tens of millions by the year 2000. In India, VSNL began to provide Internet connections in 1995. That is when the market for PC’s also spiraled as more and more people started recognizing the usage of the Internet and started buying desktop computers. Nowadays, we have BSNL and others also providing Internet connections across India. They give out annual subscriptions and mange the servers and different accounts. It is possible to renew the accounts when they are over, by paying a nominal payment. For those who do not own a computer, there are cyber café’s and other commercial centers that rent Internet facilities by the hour.

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We will enumerate different uses of the Internet — 1. It helps people to keep in touch with each other at any part of the world, including many remote areas. 2. Electronic Commerce can be carried on through the Internet. 3. People can join group discussions on any subject. 4. We can exchange electronic mail with friends, relatives, customers and other business associates. 5. We can request and provide help for a multitude of problems. 6. It is possible to gather valuable feedback in a faster way and also get suggestions from customers etc. 7. We can use it to publicize and advertise our goods and services. 8. We can get educated through a variety of information that is present at the click of the mouse. 9. It helps us to get clips and pictures for various project and research work. 10. It is possible to plan trips and do bookings of hotels and airlines etc., through the Internet. 11. People also operate their bank accounts using the Internet. 12. Stockbroker’s are able to carryout their transactions of buying and selling shares and debiting and crediting customer accounts easily. 13. Foreign exchange trading has been considerably ease with the Internet providing real time rated for various currencies of the world. 14. Trading in commodities is much easier now, using the information from the Internet. 15. Examination marks and results are posted on the net and people can access them from wherever they are. These, and many other uses of the Internet are providing people with global opportunities, which were not there previously. More and more people are gearing up and getting equipped for the Internet enabled global age. TELEX Telex (Teleprinter Exchange) is the name given by the Post Office people to a machine whereby, written messages can be communicated from one place to another. It is a worldwide teletype service, which provides instantaneous communication through a direct dial, Teleprinter-to-Teleprinter System. Messages can be sent or received throughout the day and night. This is a comparatively old system of communication, which was introduced in 1958. It is however in use today also. Organizations like airports, ports, stock exchanges, railway stations etc., which require moment-to-moment information to be sent, uses a telex. It is however, fast being replaced by the Computer facilitated Internet.

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How does it work? You can get a telex connection from the post office. Each subscriber has a unique identification code. The teleprinter is fitted with a keyboard, which is used to type the messages. It also has a transmitter for sending and receiving the messages. The machine is fitted with a role of paper, and messages can be sent and received continuously. When we type out a message at our end, the same message is typed out at the receiver’s end at the same time. The machine need not be manned. The messages are received on their own, and can be read at a later convenient time. If by chance, the receiver is on the machine at the time a message is being received, he can type out his/her reply and thus can carry on a two-way dialogue communication. Telex messages are charged on the basis of the time taken for transmission and the distance between the sender and receiver. The billing meter switches on as soon as the connection is made. In order to save money, telex users have devised abbreviations and word contractions so that more text can be sent wit the same amount of money. Advantages 1. It is a cheaper method of communication 2. A two-way dialogue is possible 3. Since it is typed, you have proof of what the other person has said Disadvantages 1. It is normally not bought for home use 2. It is slower than faxing documents 3. It is not confidential MAIL Amongst all the hi-tech, modern and fast means of communication, there is still an olden system, which is very much in use during present times. This is the good, old postal mail system. Of course, postal departments have upgraded their services and added more value added packages to their repertoire. It is hard to ignore the joy and charm of the letter delivered by the postman. The postal service in India uses rail, road and airline methods to transfer letters from one place to another. It is usually a government owned service in most countries. Value additions are— Registered mail Registered parcel Acknowledgement Due (AD) letters Quick Mail Service (QMS)

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Speed post Express delivery Under Certificate of Posting, etc. All the services come with an added charge and have their various pros and cons. Speed post guarantees faster delivery and is available only from some cities. Also all post offices do not provide this service. The postal department earns revenue through stamps and special charges for special services. Postal services also transport non-documents as parcels, which can be sent as registered or non-registered items. Advantages 1. It is a convenient method of communication 2. It is cheap 3. It has a wide access i.e., we can send documents and letters to rural and remote areas also. 4. Original documents can be sent safely 5. It is delivered at the doorstep 6. It is possible to trace out lost documents, if they are registered. Disadvantages 1. It is not as user-friendly as other private services 2. Delays are common. TELEGRAM Telegrams are also known as cables. It is used for the quick transmission of messages. They are regularly used to convey messages like greetings and condolences. They were more popular a decade ago and its usage has decreased considerably because of competition for the ubiquitous ‘telephone’ and mobile phone. Messages can be transmitted both inland and overseas to other countries, which still continue the same facility. When a telegram is sent with the help of a phone, it is called a phonogram. If you look through the first few pages of the telephone directory, you will find phonogram numbers. You have to dial them and dictate your message and the address of the receiver. The bill for the phonogram comes along with the telephone bill. Telegram offices are interconnected, so we can send messages quickly across India. How to send a telegram? • •

Go to a post office/telegraph office. (All post offices do not have this facility) Ask for the telegram form

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Fill in the receivers name, address and contact number Write out your message Submit it with the charges The post office/telegraph office will do the rest

Points to keep in mind while sending a telegram 1. 2. 3. 4.

Be brief, but do not be so brief that you cannot be understood The message must contain the main points only Remember, you are charges for each word that you write You can also use standard abbreviations for standard words and messages e.g., IMMDTLY=immediately, RYL=regarding your letter, etc. 5. Punctuation is not used in a telegram since it adds to the cost. Only the full stop is used. 6. Prepositions like ‘and’, ‘that’, etc. are avoided. Only the main verbs and nouns are used that can convey the meaning of the message. 7. The message should be written in capital letters on the form. This is to prevent misinterpretation. 8. Every telegram must be followed with a letter. The letter can convey in detail the whole issue at length. 9. Abbreviations are used for individual words and 2 or 3 words put together 10. Ambiguity should be avoided, since the purpose is not to add to the confusion. 11. Some words like can’t and won’t, can be understood without the apostrophe. So, the apostrophe can be avoided. 12. The message should be written in capital letters on the form. This is to prevent misinterpretation. 13. Every telegram must be followed with a letter to the receiver. The letter can convey in detail, the whole issue at length. 14. Abbreviations are used for individual words and 2 or 3 words put together. 15. The name and the address should also be kept to the minimum number of words. So, Mr. Mrs., Messer’s, etc. should not be included. 16. Since there are so many restrictions with punctuation, it is important to use the right words that do not convey an ambiguous meaning to the reader. For example, NO STUDENT GOOD can be interpreted as— ‘No, Student is good’ OR ‘No student is good.’ The problem of drafting a telegram is to produce a clearly understandable message in the minimum number of words, without using punctuation.

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COURIER Courier services are privately owned and operated. In fact they are big companies in their own rights. Many of them like DHL and BLUEDART are so huge, that they own a fleet of aircraft and road transport lorries to transport their goods and documents. Courier services ensure and assure door-to-door collection and delivery. This is amongst the more expensive means of communication, but in some cases, where original documents are required, it is the only option. Courier companies are national, international and even local, limited to a particular city or area. Charges are varied, as each courier service prizes themselves for quality service, prompt deliveries and providing proof of deliveries. Normally, couriers base their charges on the weight of the document with a minimum stipulated charge. They also carry non-documents but avoid restricted items. Couriers insist on the sender declaring the goods that they are sending and they are known to carry fragile items with remarkable care. Advantages 1. 2. 3. 4. 5.

It is a fast means of transporting documents Original papers can be sent Samples can also be sent They are delivered to the person who is named on the address Proof of delivery can be obtained.

Disadvantages 1. Samples may get stolen 2. It is expensive. FRANKING MACHINE This is a special machine used for impressing stamps on the envelopes of letters. A franking mark can also be impressed on postal packages. If the number of outgoing covers is large, it becomes very tedious to buy stamps for each individual cover and stick them on them. In this situation, a franking machine comes in as a handy help. The franking machine is an appliance, which can be seen at big post offices. How does it work? The machine consists of a meter, which is fixed and locked by the post office. The user can pay an amount to the postal authorities and they enable the franking machine. The covers are placed together and the machine starts franking each and every one of them according to

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the pre-fixed amount of Rs.5.00 per cover or otherwise. Normally there are 2 marks that you can see on a franked cover. One is the value amount and the other one is a seal. The franking machine also prints the date and the name of the post office. Both are of different colours and can be distinguished separately. When the amount paid by the user is exhausted, the machine automatically stops working and it has to be reset by the authorities, if more covers are to be franked. Franking machines save time and labour involved in manually affixing stamps. They also help to avoid the irregularities in the handling of stamps. Uses 1. 2. 3. 4.

Greeting cards can be franked Sales letters from companies can be franked Correspondence to shareholders can be franked Letters from bank customers can be franked.

PAGER A pager is a relatively modern device, which facilitates one-way communication. Pagers are small rectangular appliances that can be carried by the users. A unique number identifies them. Commercial companies provide pager services for a charge, which can be a rental or depending on usage, or a combination of both. The pager screen can display alphanumeric characters. If we wish to pass on a message to a pager owner, we dial his number, which connects us to the service provider. The person on duty takes the message that we want to convey. The sender can then disconnect and the service provider will flash our message to the pager owner, whom we want to contact. The person who is carrying the pager will get a beep, indicating that he has got a message. He can read the message and act accordingly. The disadvantage of a pager is that provides for one-way communication only. A pager owner can only receive messages; he cannot send any. For sending, he needs a telephone. However, if his job involves only receiving instructions, a pager is a better option since it is cheaper than a mobile phone. A pager can also be used to trace a person for his whereabouts. Only brief messages can be communicated over the pager. One has to become a member/subscriber by paying a certain amount for the equipment and the initial charges. DICTAPHONE Dictating a letter is also mechanized in many offices. The dictaphone is also called a dictating machine. It works on the principle of a gramophone. This is a machine that records speeches on a magnetic disk or tape. The recording can then be played back and copied on paper. The

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officer dictating the letter has to speak through a mouthpiece. Cassette tapes are used widely to play back the dictation. The typist plays the recording in a device called the transcriber and listens through earphones. Some dictating machines have a built in transcriber, others, use a separate unit. Some companies have centralized dictaphone systems, which allow people to dictate from distant locations to the central office. Time is saved and a person can give dictation at any time. It is very handy for people who are on the move and cannot adhere to regular office hours. You need not have the services of a typist or secretary at hand to do your work. Some machines are so lightweight and small, that they can be carried on business trips. Merits 1. 2. 3. 4. 5.

It helps to save time. The manager need not wait for the typist to be available. They are portable and can be carried anywhere. It is convenient. It helps in making business simpler. The number of clerks and typists can be reduced. Executives can dictate at any speed.

Demerits 1. 2. 3. 4.

Personal contact is absent. It is difficult to make changes. Original records cannot be maintained, as the tapes are reused. For efficient operation, the executive should be good at dictation. He should not change his words very often. He should also not give long pauses, or else the tape will be wasted.

PBX, PABX, EPABX PBX-is the abbreviation for ‘Private Branch Exchange.’ It is a telephone system that is usually installed in an office. It provides many extensions within an office complex. A PBX can be thought of as a mini version of a telephone company’s central office switch. The main purpose of a PBX is that it allows users to share a certain number of external phone lines. The office does not have to provide a separate external connection for each user. Advantages of a PBX 1. Increased efficiency 2. Cost savings 3. Special PBX features

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A PBX can usually handle 0-75 lines with no problem. Larger PBX’s can handle up to 100-20,000 lines. That means that you can connect up to 100 people from the same central exchange. A PBX includes– 1. Multiple telephone lines that terminate at the PBX. 2. A computer with memory that manages the switching of the calls within the PBX and in and out of it. 3. The network of lines within the PBX. 4. Usually a console or a switchboard for a human operator. An internal call on a PBX usually consists of dialing a 3, 4 or 5 digit number. If you need to speak to someone outside the office, you have to go through what is called the ‘trunk’. To access these trunks, you have to press a 1 or 2 trunk access code. This can be “0’ or “9’ or otherwise. Once you dial this, you will get the dial tone and then you can dial the external number. The PBX shares external lines. If there are 100 people working in the office, it is uneconomical to take 100 external lines. The PBX administrator would probably take 10-20 lines. But the decision is based on the requirement of the employees and the type of business. What are the special features of a PBX? 1. Forwarding 2. Conferencing 3. Call pick up groups 4. Intercoms 5. Transferring 6. Voice mail system for all the connections When you pick up an extension on your table and dial the first digit, the PBX understands whether it is an external or an internal (intercom) call. Then it begins the routing process. If it is internal, it sends it within the PBX not using any external line. If it is external, it starts to look at the number you are dialing and sends the information to the billing department. PABX: Private Automatic Branch Exchange is the combination of the PBX and the automatic dial. It has the advantage of being more automated than the basic PBX. It has the same and even more facilities. The PABX has an added advantage; it can function with fewer operators. Since almost all private Exchanges toady are automatic, the abbreviation ‘PBX’ usually implies a ‘PABX’. EPABX-Electronic Private Automatic Branch Exchange provides high-speed telephony features for organizations. It is similar to the PBX in concept but it is electronic. Because of this, the possibility of a breakdown is rare. It has a higher ease of operation too.

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Cost effectiveness of various devices Business communication is expensive. Its cost can increase or decrease when technology is involved. We can compare devices and methods for their costs and other advantages. In some situations, time is at a premium. Then, cost is not considered at all. In other cases, where routine communication is to be done and there are a number of people to be communicated with, it is important that all advantages and disadvantages of the device are considered and compared before using them. Telephone and mobile phone The initial cost of a mobile phone is more than a landline, but it is available more easily. Many shops sell the latest models of mobile phones, which have many more facilities than fixed phones. Regarding usage rates, mobile calls were very expensive to start with. However, now in 2007, making and receiving calls is very cheap on mobile phones. This is because of strong competition that has come in, as many players-both private and government are there in the field. They all offer the same services and so the customer gets the ultimate benefit. In fact, both landline calls and mobile calls cost almost the same money. Companies and individuals should choose the device which best suits their needs and the needs of the individual employees. Fax and post Using a fax has an advantage of the receiver getting the document immediately. If the document is sent by post, it will reach without getting distorted and you can send the original copy. But, it will reach late. It will take a minimum of 2 days. On comparing costs, it is obvious that sending by fax costs much more than sending as an ordinary letter. A fax uses telephone lines, so you have to pay a rental plus a usage rate, depending on where the fax is being sent. However, if you use registered post, the cost will go up. There is a registered A.D. facility also, which increases the cost marginally. Post and courier In India, post is the sole prerogative of the government. They keep the postal charges low, so that it is affordable for the lower income group also. Couriers are private players. They are more expensive. We have global communication companies like Blue Dart and FedEx also operating in our country. Sending documents and samples by courier is definitely more expensive than using the postal service. However, the postal department has also become conscious about competition and has introduced a service called ‘SPEEDPOST.’ This is similar to a courier service and cost-wise; it is similar to courier services. It reaches the documents to the addressee as fast a courier does. Both SPEEDPOST and couriers are similar in terms of cost and speed, but ordinary post is cheaper and slower.

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e-mail and post Earlier all correspondence was carried on through post only. With the advent of the computer, and even more so, Internet, communication has become faster. It has also become more expensive if you consider the total cost incurred. Even though using e-mail is cheap, you have to buy a computer and pay for an Internet connection. If your company is frequently using Internet facilities, it is advisable to go in for your personalized connections. However, if the occasion to use e-mail is rare, depending on your business, you can use the e-mail facilities on hire. These are provided by Internet parlors for small per hour rentals. Post is cheaper on a per mail basis but it does not have the advantage of speed and instant communication and feedback. REVIEW QUESTIONS Section A 1. Write short notes on— (i) Television (ii) Documentaries (iii) Fax machine (iv) Word processor (v) Franking machine Section B 1. 2. 3. 4.

What is e-mail? Mention its advantages and disadvantages. When do you use video conferencing? Write about how the Internet is helping business. What points should be kept in mind while sending a telegram?

Section C 1. Compare and contrast ordinary mail and courier service as a method of sending mail. 2. What is a PBX? Explain how it works. 3. Intercom is a facility provided by the PBX system. Explain.

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CHAPTER

2

MASS COMMUNICATION MEDIA Mass communication has become an extremely popular and cost effective means of communication today. The same message is transmitted to many people at the same time. It can be accessed by anyone who wishes to do it. In fact, there is not control on the number of people receiving the communication. The per head communication cost is very low, e.g., an advertisement film or a feature film, etc. when viewed in the larger picture, works out to almost negligible amounts per head. The reason is that mass communication is ‘communication to the masses’ and the masses are so many with the population increasing at an alarming rate every year. Mass communication is one-to-many. For example, one paper is published, many read it, one radio program is aired, and many listen to it. Even though the distance between the sender and the receiver may be very large, it is still possible to send it as effectively. The one great disadvantage about mass communication is that you can never get individual feedback. Though techniques are now being devised in the form of feedback, contest, etc., there is still a lot of effort that can be made in this direction. We will briefly know about a few mass media communication methods. 1. Notice Board: This is also called a bulletin board. It is message display board that is used within an organization. Text messages and pictures can be displayed on it. It is used to display important information that should be read by all the people in the organization. Defaulters lists, achievers names, sudden holidays, contests details, etc. are some of the things that can be displayed on it. A notice board can be a way to show creativity by having competitions between groups of people within an organization. Classes can be given a week in a month to display something on the notice board. The best display gets a prize for the class. If outside parties want to contact the organization members, say for an opportunity, contest, etc. they can do so via the

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notice board. This is off course, subject to prior permission of the authorities in charge of the notice board. The bulletin board can also be used to conduct awareness campaigns about AIDS, Polio vaccinations, health, family planning etc. Special days can also be celebrated using the notice board, e.g., Independence day, Shakespeare’s birthday, festivals, etc. Care to be taken while using a notice board— • •

Notices should not over lap. The individual written material should be big enough to be read from a short distance. • It should be attractively laid out. • The notice board contents should be changed often. If not, people tend to ignore the board and even when important notices are put up, they will not be read. • It should be attractively done and should be capable of attracting attention. • It should not be used as a place to malign people. • Obscene pictures and written material should be banned. • Specific authorities should be made in charge of the notice board to avoid confusion. • The notice board should be topical, e.g., Republic Day information will not be relevant when put up on Diwali. • It should be placed at a location which is accessible for whom it is meant, e.g., a notice board for students is best put up in the canteen or near the classrooms, not in the Principal’s room. 2. Hoardings and Bill Boards: These can be seen all over cities, even on highways. They usually have short messages in large print. Pictures are frequently seen in hoardings. Billboards cost money. They can be either owned by the organization that is going to use it to display content or can be taken on hire for a period of time in return for some amount of money. Hoardings are very popular to display advertisements all over the world. They are usually placed high up and can be seen from a distance. Some hoardings have a glow that makes them visible at night. Others are lit up with the help of external white or yellow lights that make it bright and able to be read easily. This industry is flourishing in India and it provides employment to many skilled artists and unskilled labour. Care to be taken while using hoardings— • • •

The matter displayed on the hoarding should not be obscene, since it will give a bad image to the company. The writing should be big and legible. It should be eye-catching so that it can attract the attention of passers by with respect to the other hoardings.

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•

If well done, billboards become a landmark. This is when they have achieved their real purpose of registering in the minds of the passerby. • Hoardings should not be used for bad publicity and smear campaigns. 3. Newspapers and Magazines: These are printed daily or weekly. Some are also available as monthly or fortnightly editions. Organizations use it for advertisement and publicity. All companies advertise their ‘Wanted’ advertisements in this, apart from using e-mail for the same purpose. Tenders, Public Announcements, Circulars and other Notices can be seen in both newspapers and magazines. These media can be topical, e.g., Business India, Business Today, Economic Times, Financial Express etc. for business related information; Film Fare, Stardust, etc., for movie related news; Reader’s Digest, India Today, The Hindu, etc. for general reading; Competition Success Review, Competition Master, etc., for improving mental ability and updating general knowledge. There are also specialized magazines and papers e.g., Interiors Exteriors (Gardening and Interior Decoration), Outlook, Week (Politics) etc., for their respective fields. These media should be very careful in expressing opinions. Any wrong statement or comment on their part could lead to legal suits and harassment. For this purpose, all contents are edited for accuracy and truth. Bringing out printed information is a highly responsible job. Hence, magazines and newspapers work round-the clock to check information and bring it out in time. Another task on their heads is to increase circulation. In this age of competition, where the customer is highly aware of his options, both newspapers and magazines must keep up high quality standards and present information in more and more new and acceptable ways so that the reader enjoys the experience. 4. Journals: These are specialized booklets that are published by reputed companies and other organizations to bring out latest researches and currents topics, discussions and interviews. Journals are mostly subject related and are available through subscriptions. Some are very popular, e.g., Harvard Business Review, International Journal of Marketing, etc. Contributions to these journals are from management experts, experts in languages, scientists and academicians, executives and other interested parties. Experts in the related fields and other interested people read these journals. They are able to foster their knowledge and can update themselves on the latest research findings and new management theories. Journals are a good and effective media of communication as they can reach out to segmented audiences. Only genuinely interested parties look at journals and hence business can reach out to that set of customers and target them effectively with advertising. Booksellers and publishers get an effective platform to advertise their products, as they know it will reach the target customer only. 5. Radio: This is a very old medium of mass communication. Its popularity diminished slightly with the advent of television in the eighties and nineties. However, now, with the relaxing of controls by the government, private players have come onto the

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scene and are bringing out new stations to broadcast programs. New FM channels, e.g., Radio City, Suryan, Radio Mirchi, etc. have come in big way. They are even threatening the huge, existing market of audio cassettes. When popularity is high and many people tune into these bands, there is a great responsibility that lies with these companies. They become very potent channels of communication. Business is using this media of communication in many ways— • Awareness campaigns • Advertisements by companies • Ordinary jingles • Contests • Prize sponsoring etc. The government also airs campaigns and government propaganda on this. Attractively and efficiently managed, radio is indeed a potent communication media. 6. Television: Television is a very powerful medium of communication. It is allpervading onto our senses. It goes a step further from radio and captivates most of our senses. It is an audio-visual medium. It has all the benefits and uses of radio and more. Business has gained considerably from television. International events like Olympics, ICC Cricket World Cup, swearing in of important Heads of State, etc. are some events that are telecast live. When this happens, companies queue up for telecast rights and earn huge amount by way of advertisements. They buy out exclusive rights to advertise and thus successfully do away with their competitors, who then cannot advertise on the channel (It happened during the 2003 Cricket World Cup at South Africa with LG and other sponsors). Also they sell out ad spots to companies selling other products and services, and thus earn money. The outcome is worldwide coverage and awareness about individual businesses. This feat was unimaginable some time ago. The immediate and extensive coverage that is offered by television to business is substantial, and hence we have the latter clamoring to be ‘seen’ and ‘heard’ on T.V. Apart from advertising, companies also conduct campaigns and contests which also spread their awareness amongst the public. One advantage that television offers over other media is that is suitable for illiterate people also. They can either see or hear or do both and imbibe the program that is being telecast. Live events are telecast e.g., elections. Reports and interviews related to the same event are also conducted and transmitted live even if they are happening at different corners of the globe. This is a media where technology has brought about a tremendous revolution and it can only increase. 7. Films: This is also an audio-visual medium of communication and also enjoys an enormous pull from the masses. It enjoys an additional advantage over television in the sense that films have popular stars that ‘pull’ the audience. In fact, in some

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places film stars are worshipped no less than God and to prove this, followers have constructed temples of famous film stars. You have a temple dedicated to Khusboo, the famous Tamil actress and another one for Amitabh Bachchan. These popular stars are so dear to their fans that the latter will do anything that their idols say. That is why political parties also cash their popularity during election time. It helps them to get votes, e.g., Rajni Kanth for DMK, Amitabh Bachchan for Samajwadi Party, Vinod Khanna for Bharatiya Janata Party etc. Film is a versatile media and can be adapted to different conditions. They can be shown in different languages with translations. Movies, as they are called are screened throughout the world. They enjoy a global audience. Small rural villages, big cosmopolitan cities, etc. all have facilities of movie screening. Even places, which cannot boast of movie theatres, can screen movies on projectors and view them on portable screens. Movies are being watched on players like DVD, VCD and even the computer. No surprise then that since they are so popular and so easily screened globally, business is not behind to utilize this feature to promote its own ends. Like other media, it uses movies to advertise its products and foster its company image. Business has started using films to promote its products. When people see film stars using a certain product, they think it is the best and try to follow in their footsteps. This is especially true for teenagers and rural masses. 8. Documentaries: You can see documentaries screened in movie theatres and on television. These are educative, short duration films, which are different from areas. Movies and films are primarily for entertainment, while documentaries are for publicity, education and to develop awareness. They are good methods for promoting ideas, thoughts and new products. They help in setting the viewer thinking. Documentaries do fine jobs of making an impact on the mind of the person who is watching, so they are good tools of business communication. Companies can also make documentaries and screen them in theatres and educational institutions. The government uses documentaries in a big way. Presently, the general impression about documentaries is that they are boring and dragging. Business would do well to make interesting, informative documentaries that could help their own business, their employees and other viewers. Information can be shown about the following aspects— • • • • • • • • •

Products Processes Education New discoveries History Scientific achievements Fashions Geography World issues, etc.

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This can be done in well-made documentaries or short teasers. The advantage of documentaries is that they have an amazing audio-visual impact and so can make a big impression on the viewers. Business can capitalize on this advantage and use documentaries as a tool for effective business communication. 9. Public Address System—This is a media, which uses the audio sense of people. Any important announcements, publicity and other awareness campaigns can be conducted over the public address system also. You can have this system installed in your organization premises or it can be carried mobile on the roads. It is very popular in villages and rural areas where we see small children running after these mobile vans, which make the announcements. In public areas, in the cities, there are a lot of legislations pertaining to the use of public address systems. This is because of the new laws relating to noise pollution. Inside the organization, however, it used very effectively. In schools and colleges, in large offices and factories, where important and urgent messages have to be conveyed fast, it is the best method that can be employed. No one can make an excuse of missing it since it is audible throughout. The only aspect that should be taken care of is that it should be properly installed with speakers at strategic places so that no one misses the information. Disturbance should not be present in the transmission and the person who talks on it should be clear and to-thepoint. REVIEW QUESTIONS Section A 1. Write short notes on— (i) Films as a method of communication (ii) Advantages of mass communication (iii) The benefits of radio (iv) How are newspapers used to communicate information? Section B 1. How can notice boards be used for communication? 2. What care should be taken while displaying information on notice boards? Section C 1. What is a documentary? How can it be useful tool for Business Communication? 2. Television is an effective tool of communication. Comment.

PART 3 ORAL COMMUNICATION

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Introduction to Oral Communication

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1

INTRODUCTION TO ORAL COMMUNICATION Our lives, whether in business or personally, involve more of oral communication. Speaking and listening are the oral communication skills that we use the most. Given a choice, more people would like to talk to each other rather than write. Talking takes less time and does not involve composing, editing, typing, retyping, duplicating and distributing the message. More importantly, oral communication provides the opportunity for fast feedback. When people communicate orally, they are able to interact. They can ask questions and test their understanding of the message; they can share ideas and work together to solve problems immediately. In addition, they can convey and absorb non-verbal information, e.g., body language and appearances, that reveals far more than words alone. By communicating with facial expressions, eye contact, tone of the voice, gestures and postures, they can send subtle messages that adds another dimension to their spoken words. Oral communication has another advantage too. It makes people feel good. It satisfies one of our deepest needs, the need to be part of the human community. Talking things over, helps people in organizations to build morale, and establish group identity. But, oral communication has its dangers. Under most circumstances, it occurs spontaneously. You have far less opportunity to revise your spoken words than your written words. Whatever is said, is said. You can’t cross out what you just said and start all over again. Your dumbest comments will remain etched in the other person’s memory, regardless of how much you try to explain that you really meant something else entirely. That is why it is very important to be careful when we use our words. By the same token, you can’t go back and relisten to something that was just said. If you let your attention wander, while someone else is speaking, you miss the point. You have to either muddle along without knowing what the other person said or admit you were

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daydreaming and ask the person to repeat the comment. This happens very often when the topic is not interesting or people are not interested. There’s another problem too. Oral communication is very personal. People tend to confuse your message, with you as an individual. They are likely to judge the content of what you say by your appearance and style of delivery. For example, if you deliver a formal speech in casual, torn clothes, people will think that you are not serious about the occasion. However, nobody will reject your sales letter (written communication) because you are wearing brown socks with a blue suit or because you say ‘um’ a lot. But, people might well reject your oral sales talk on these grounds and then, never buy your product. When it comes to oral communication, your goal must be to take advantage of its positive characteristics while minimizing the dangers. To achieve this goal you must develop two skills -listening and speaking. Most of your communication in business will be oral. Your personal success and achievement therefore will depend primarily on the effectiveness of our oral communication. The effectiveness of your oral communication relates directly to your understanding of the principles, processes and goal of business communication. All that you will learn about written communication—direct and indirect approaches, grammar, message development, and visual aids—can be of value to you in oral communication. If you want to provide leadership to others, your degree of success will relate directly to your ability to speak clearly, intelligently and persuasively in a confident, convincing manner. Your effectiveness will depend on the quality of your voice and the strength of your presence. A business that provides products or services needed by customers possesses the basic requirement for success. How successful the business is, however depends on the quality of its external and internal communication. Unsuccessful communication results in lost orders, lost customers and even failed businesses. Both forms of communication–oral and written are vital to success. Depending on your position and level of responsibility in an organization, the amount of time spent in oral communication can vary from 40 to 90 percent of your day. Some jobs require more oral communication skills than the others, e.g., salesmen, teachers, etc. As compared to them, doctors who perform surgery do not need to talk very much. Generally speaking, the higher the level you are promoted in an organization, the greater the amount of time you will spend in oral communication. Also, there are some jobs that require an especially high level of oral communication. MANAGERIAL USES OF ORAL COMMUNICATION Supervisors, managers, executives spend most of their time communicating orally. They must be skilled in receiving oral communication—hearing and listening effectively—sending

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oral communication—speaking effectively. They must be able to instruct, inform, persuade, inspire, convince and correct others. They are required by their positions to give leadership to others through the strength and forcefulness of their oral communication. Supervisors, executives and managers must communicate orally downward. They are responsible for morale, productivity, and quality of performance of their subordinates. They are also responsible for making proposals, recommendations and reports. Many jobs require more oral communication skills than the others. They can include marketing jobs, purchasing agents, receptionists, union negotiators, customer relation officers, auditors, budget directors, office managers, public relation officers, and secretary and loan officers. The list could go on to a great length. This is because the use of oral communication to the success and achievement of individuals and business firms is paramount. How to give effective, oral instructions? •

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Use your natural voice. Do not cultivate a special voice for some occasions. If you try to put on artificial accents and styles, your concentration tends to remain in that. You forget about the content you are about to deliver and can make mistakes. Have conviction. The speaker must himself believe in what he is saying. If there is a ring of falsity in the matter, the audience will immediately know it, and the communication will not be effective. People will stop listening and will tune off. If you tell someone not to be scared of aeroplanes, when you, yourself are very scared of them, the listener will guess. Then, whatever you might say, will not be believable. Have a clear pronunciation. Very often, oral messages get misunderstood because of wrong pronunciations. This is especially true when people from one country talk to people of another country in the common language, but using a different pronunciation. The listener tends to put their mind to understanding the pronunciation and looses out on what the speaker actually wants to say. Monitor your speed of speaking. You would have observed that some people talk very fast and some are very slow. It is very important to learn and imbibe the correct speed of dialogue delivery. It has an important relation to the effectiveness of the communication. Concentrate on your audience. If you can make out that they are feeling bored, and do not understand what you are saying, then you should make some changes and adopt a different line of talking. Change your style or digress from the topic a bit. This will help the audience to start concentrating again. Organize your talk/instructions so that it makes sense. Like a story, which proceeds from the beginning to the logical end, so should your talk. If the ending comes before, then the audiences’ interest will dampen. If you know the ending of a suspense novel, you feel bored during the whole book. You do not want to finish it fast.

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Don’t assume or presume anything. Find out about your audience before you talk to them. We cannot say that they are very knowledgeable or dumb. Without finding put about them, we should not assume that they have come to your talk willingly or have been forced. There are many other things that need to be found out about the audience before talking to them, e.g., age group, experience, interests, etc. Do not say irrelevant things. The audience will think that you are not as smart as you were made out to be, and they will not take you seriously. Do not concentrate on unimportant details. Focus on the important, vital events and issues. If you are supposed to talk about the ‘Current State of the Indian Economy’, do not waste time on explaining the basics of economics. They will already know the basics. Concentrate only on the actual topic and talk about the present condition only. If you are giving instructions, repeat the important and complicate ones again. You must make sure that your audience has understood. If you are giving instructions to fill up forms, repeat your instructions at least twice. Be candid in your approach. When you are going to talk to someone about something important, choose the appropriate time. You will not tell a person that he is smart, just after he has been demoted in his office. He will not be in a mood and your compliment will sound foolish. If, possible, follow up the important things in writing. If you have explained library rules to students, also send a circular informing about the same, this will reinforce the learning and it can be referred to, at a later date. Allow your listener to clear his doubts, if he has any. Be courteous and correct in your talk. Do not try and overpower others and do not try to impress them unnecessarily.

REVIEW QUESTIONS Section A 1. What is oral communication? 2. Where do you use oral communication in business? Section B 1. What are the uses of oral communication? 2. Give five ways in which you can be effective while giving oral instructions. Section C 1. What are the disadvantages of oral communication? 2. Oral communication is easier than written communication. Explain. 3. How can a manager give oral instructions effectively?

Listening

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LISTENING INTRODUCTION If you are a typical person, you spend over half of your communication time in listening. But it would do you well if you would increase that time. Listening, heads the list of essential managerial skills; it provides managers with the bulk of the information they need to know, to carry out their jobs. In addition, lack of listening ability at all levels is a major source of work related problems. Most of us pride ourselves as being good listeners, but research suggests the opposite. The average person remembers only half of what’s said during a 10-minute conversation and forgets half of that within 48 hours. Think about this finding, and try to remember the conversation you had with your friend 2 days ago. Chances are high that you will not remember the details. In a study conducted, people were exposed to two 30-second commercials. The subjects replied incorrectly to questions regarding these broadcasts about 30% of the time. It isn’t surprising that most people are poor listeners. The average school/college curriculum ignores this aspect. However, listening skills are so important for the successful conduct of business that most corporations are now training their employees in listening skills. ADVANTAGES OF LISTENING •

Listening can help us to obtain information. When we listen to a lecture or a talk we come to know about different things and we can increase our knowledge base. We can also get detailed information about things we already know about. We can also learn about newer and more interesting things that we had never heard about.

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Listening can help us to solve problems. The profession of counselling is based on ‘listening’. When you hear about other people’s problems and actually ‘listen’ to them, you can help them by giving solutions to their problems. People feel a lot better when others, especially third parties who are not emotionally involved with them, listen to them. Friends, teachers, doctors very often try and listen to others problems and help the troubled people to lighten their hearts. Listening helps us to influence other people. Only if we listen to people, can we know about their problems, ideas, views and thoughts on various issues and ideologies. We can get the power to dissuade them from certain actions after we listen to what is going through their minds. On the other hand, we can also persuade them to do certain things and follow special courses of action, once we know about their frame of mind. This is only possible if we listen to them and find out what exactly they plan to do. For example, parents can listen to what their children like to do in life and accordingly guide them in their career choice. Listening helps us to share experiences. We can exchange our ideas and experiences through talking and listening. We can gain knowledge and share the experiences of other people. Be it colleagues, friends, elders or other acquaintances. Listening helps to spot sensitive areas. If we listen to people on a regular basis, there would be no occasion when the situations could go out of control. There can be periodic ‘listening’ sessions between management and employees. This can actually be helpful in any relationship. If regular listening takes place, there are no simmering grudges and people feel contented. Listening helps to pacify disgruntled employees. Very often, employees have certain grudges in their mind, which are more psychological in nature than, genuine. In such situations, if there is someone in the management who ‘listens’ to them, all the problems would be solved and the employees would feel better. Their anger would subside and they would work better. Listening helps to make better policies. If the management listens to their employees carefully and listen to the changing market scenario and demands of people, they would be in a better position to frame policies for the company. They would be able to please the employees and the organization would become more friendly and congenial. Listening helps in maintaining better customer relations. Companies, who listen to customer grievances and feedback, definitely go up the profit graph. They should listen and keep track of even small grudges that clients may have against them. This is the key to success. In fact, the now field of CRM (Customer Relationship Management) is based on this philosophy.

TYPES OF LISTENING Different situations call for different listening skills. To be a good listener, you must vary the way you listen, to suit different situations.

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1. Content listening: This enables you to understand and retain the message. You can ask questions, but basically information flows from the speaker to you. In your mind, you create an outline of what the speaker is saying. You may make notes, but basically you concentrate on listening to the ‘key’ points. It does not matter whether you agree or disagree, approve or disapprove—only that you understand. e.g., when you attend a meeting to know about the new compensation structure for the employees. 2. Empathetic listening: This is used to draw out the other person. The goal is to understand the speaker’s feelings, needs and wants in order to help him solve a problem. Normally advice is not given. The purpose is to let the speaker give a vent to his feelings since you are there as a non-involved listener, e.g., counselling sessions. 3. Critical listening: This enables you to evaluate the information. This can be done at several levels: the logic of the talk, the speakers credibility, the speakers intentions and motives, the omission of important points, the objective and effect of the talk to you and your organization, etc. For example, an interviewer listening to the candidate talking about his suitability for the job. 4. Active listening: This helps you to understand the other person’s point of view and resolve conflicts. Here’s how it works: P1 makes a comment P2 repeats P1’s comment till P1 is satisfied P1 repeats the same thing again. This goes back and forth till each one understands the others position. The goal is to appreciate the other persons’ point of view, whether or not you agree to it. This helps in resolving conflicts. The good listener 1. 2. 3. 4. 5. 6. 7. 8. 9. 10.

He makes listening into an opportunity. He tries to find out what he can get from listening. He judges the content. He skips the delivery errors. He does not pay attention to lapses in delivery. The good listener listens for central themes. He does not get distracted by superficial issues. He does not get hung up on emotional words. He takes listening as a challenge. The good listener summarizes mentally. He gathers hidden facts. He fights distractions and knows how to concentrate.

The bad listener 1. He tunes out on subjects. He does not pay attention to what is being said. 2. He tends to enter into arguments and tries to contradict things, rather than listen.

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He becomes inattentive, if the delivery style is poor. He does not show any energized output. He tries to fake attention. He gets distracted easily. He seeks only recreational material. He reacts to emotional words. He tends to daydream.

How can we become an effective listener? • • • • • • • • •

We should cultivate the habit of judging the content and not get distracted by delivery errors. Don’t get carried away by the speaker’s physical appearance. Repeat the key ideas to yourself. Exercise your mind. Constantly try to summarize the points so that you remember them. Avoid daydreaming. Have a determined attitude to listen to what is being said. It is also advisable to keep your eyes fixed on the speaker. If you let your eyes wander, it will travel on unnecessary excursions. Try to connect up the speaker’s remarks to your own personal experiences. This will make things easier to remember and those issues will stay in your memory for a longer time. Have an open mind. Do not be biased against the speaker or the situation or the fact that you are being forced to listen. When the mind is closed, a person can hear, but he cannot listen. Ask questions and clarify doubts if you have any. Be positive. Be keen to get empowered with some information from the talk. If you have the right attitude, listening automatically becomes effective. Take notes if you feel that will help you in concentrating and having a better retention. But do not let the practice of writing prevent you from listening. Listen and try to grasp for ‘between-the-line’ messages.

REVIEW QUESTIONS Section A 1. Write short notes on • Listening •

Good listener

Section B 1. What are the advantages of proper listening? 2. Describe different ways in which people listen. 3. Why is listening a very important part of business communication? Section C 1. How can a person become an effective listener? 2. Differentiate between a good and a bad listener.

Speaking

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SPEAKING INTRODUCTION Because speaking is such an ingrained activity, we tend to do it without much thought. But sometimes, this casual approach can cause serious problems in business. Imagine a situation. You have too much work on a particular day. There is a deadline to meet for your weekly report. Your boss shouts at you. At the same time, a customer calls you on phone and complains about some problem in your product. Without thinking, you give a cutting reply and disconnect the phone. What happens next, is inevitable. The customer cancels all his further orders and cites your behavior as the reason. The news reaches your boss and you miss out on the promotion that year. To avoid problems like this, you must become conscious of speaking as a tool for accomplishing your objectives. The first step is to break the habit of talking spontaneously without planning what you are going to say or how you’re going to say it. You must learn to manage the situation by consciously tailoring your remarks and delivery style to suit the occasion. With a little effort, you can learn to apply the same effort you apply in written communication. Before you speak, you should plan your main idea, your audience and your purpose. Organize your thoughts in a logical way. Also keep yourself open to change if your audience is not impressed with your current style. Decide on a style that suits the occasion, and then edit your remarks mentally. Perhaps the most important thing you can do to project yourself more effectively is to remember the ‘you’ attitude. It’s even more important in oral communication than in written communication. The best way to earn the other person’s attention is to focus on them.

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SPEECHES The spoken word is very powerful. The key to success of many a political leader, businessman, salesman, or a religious leader, lies in his capability of making effective speeches. ‘Ask not what your country can do for you; ask what you can do for your country…’ the speech by the US President John F. Kennedy. This is a famous speech delivered as an inaugural address to the nation on January 4, 1961. Even today, this speech has the power to make citizens think. Likewise there are many other famous speeches delivered by famous people on different occasions. A good speech can change the feelings of huge mobs. It can turn a friendly and calm group into a hostile and violent mob. People can get motivated to attack other countries, as what happens when armies are formally addressed before war. On the other hand, speeches can have the power of making huge audiences dispirited and downcast. In business, there are umpteen occasions when businessmen, salesmen and industrialists and others have to make speeches, both prepared ones and extempore. These can be made at various occasions like inaugurations, seminars, Annual General Meetings and discussions. It requires skill to prepare speeches appropriate to the situation and even more skill to deliver it appropriately. But, one thing is certain and unchanging. They all organize their speeches on certain fundamental principles. The make-up of a good speech You may recall some talk or speech of some outstanding speaker you have heard for many years. Try to analyze why you remember that speech. Can you pinpoint any particular formula or mix? This would be difficult as a good speech has a number of definable elements. For practical purposes, these elements can be grouped under three general headings: knowledge, confidence and delivery. 1. Knowledge will refer to the following— • Mechanics of speech • The use of good language • Authority in the field of gestures • Posture • Physical appearance • Knowledge of the subject • Knowledge of the audience. 2. Confidence will refer to the way you move with the audience. Arrogance on the part of the speaker will spoil the whole show. 3. Delivery will mean the way you put forward your speech voice, diaphragm, proper breathing, controlled rhythm and volume into good physical delivery. Gestures and postures are another important aspect of a good speech. Supposing you were wanting to make a point, e.g., “We must select Mr. Gopal as our Chairman.” If this

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were said in a casual manner while you were appearing relaxed, it would carry no weight. However, if you stressed the point using limbs, body, voice and facial expression, you can be sure of making a greater impact. Your posture should be corresponding to the situation. If you are talking to an audience of senior citizens, your posture should reflect your regard for their age and wisdom. On the other hand, if you are addressing an audience of young children, your posture also has to reflect the same liveliness. Gestures will also help you to drive the point home. The movement of your body, limbs, articulation of your voice, and facial expressions form part of gesturing. Dressing for the occasion: It is very important that we dress for the occasion. If you are to appear for an interview, you cannot go in torn jeans and a T-shirt. Also if you are addressing a casual birthday party in the sweltering heat, you cannot dress up in a three-piece suit and tie. Before you can even open your mouth, your audience would have judged you by your clothes. You may be the most outstanding speaker but if you wear inappropriate clothes, the audience will get distracted, and will not listen to you. Your speech will not be effective. Avoid mannerisms: Many people have the habit of scratching their head, tugging at the shirtsleeves, wiping their face with a hanky, etc. This is highly distracting and the audience tends to notice only these things and very soon loose interest in the whole talk. This would obviously defeat the entire purpose. Mannerisms should be avoided: Practice to remove your peculiar mannerisms and become an effective speaker. Smile: Every one of us likes to see a smile on the other person’s face. This gives a pleasant outlook to the whole atmosphere. It makes the speaker more approachable. Requisites of a good speech 1. It should be clear: This is the most important quality of a good speech. All the emotions, facts, arguments and ideas should be conveyed in a clear manner. There should be no scope for anomalies and confusion. The audience should be able to understand the speech with minimum effort and concentration. 2. It should be correctly worded: The speaker should not use unfamiliar sounding words and examples, which do not make sense to the audience. The speaker should remember that he is speaking to the audience. So, it should be at the pace of the audience. 3. It should be correctly delivered: The right tone and pitch is very important. This has the right impact on the audience. Volume should be optimum and the speaker should be tension free. 4. The speech should be audience-oriented. It should be modelled on the type of audience who is going to hear it. It should match the wavelength of the audience. There are some points that can be kept in mind— • What is the age group of the audience? If they are children, then there should be more of stories and familiar words and situations. It should be in simple

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language. If they are senior citizens, the speech should be more appealing to their frames of mind. For example, you cannot mention childish incidents and relate fairy tales to older people. Similarly, the audience can be composed of teenage school goers or young executives and so on. Then you have to gear your content to what will interest the audience. What are the religious views of the audience? Are they moderates or extremists? Are they Christians, Hindus, Muslims or Parsis? What is their socio-economic background? For example, you cannot talk to people living close to the poverty line about the pleasures of managing their finances using mutual funds! Is the audience a general one or specialized one? Is it composed of Doctors only or of Marketing Managers only or is it a general collection of people? What is the political focus of the group? If the audience is pro-congress and the speaker starts speaking on the shortfalls of the congress party, surely no one will appreciate it. They may even refuse to allow you to speak. What is the size of the audience? This is also good to know before preparing for speech. What is the audience interested in? This is very essential to find out for the speaker. If the audience has come for some serious enlightening, there is no use of making a humorous speech. It should be more substantial.

5. It should be of adequate time: The concentration span of the audience should be kept in mind. It should also be suitable to the occasion. If an in-depth speech is called for, you might have to extend time. But care must be taken not to test the patience of the listeners. 6. It should be interesting: When you give a speech, you hope that people will listen to it and respect you after it. But this can get thwarted if the given speech is boring and dragging. Humor can be added if the topic allows it. Quotations can also be given. Some people present a few statistics that make people sit up and take notice. Whatever it is, it should not make the audience want to leave the premises. The speaker must end ‘just at the right time.’ 7. It should be concrete: Any speech, which is being delivered, should not be abstract. People should be able to visualize it. For example, if a speaker says, “AIDS is growing at a very fast rate in India”, it does not convey much in a concrete way. However, if he says, “Everyday in India, 20 people contact AIDS”, it becomes easier for people to understand. 8. It should suit the occasion: If a speaker wishes to say something, he should keep in accordance with the situation and topic on hand. Too much of divergence removes the focus from the main topic and distracts the listeners. For example, if a speech is being given during the inauguration of a hospital, it should not talk about the benefits of India hosting the Olympics!

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It should be delivered with confidence: If the speaker is shaky and hesitant, he will not make an impact on the audience and it will eventually be a waste of time for everyone. The speech should be truthful: If a speech is full of lies and untrue statements, people will understand, and will stop paying attention to what the speaker says. The speaker should tell the truth at all times. The speaker should not unnecessarily add information on his own, just for the sake of impressing his audience. No one actually gets impressed and the speaker ends up making a fool of himself.

TELEPHONE ETIQUETTE This refers to the way we behave during a telephonic conversation. It includes the entire do’s and don’ts that we must remember while talking over the phone. In today’s world, most of our initial contact with other people is through the telephone. It is hence, very necessary to know the do’s and don’ts of how to speak over the phone. The way a person answers the phone, makes a lasting first impression about the person and the company he is representing. In current times, telephone skills have become so important and well recognized that it has become a major job opportunity. In India, specially, call centers are mushrooming all over the country and people are being trained, with thousands of rupees being spent on teaching telephone skills. While using the telephone, you should maintain courteousness and be efficient. Before you make a call, you must prepare for it. You might want to jot down a few major points that are to be discussed. You should also keep the relevant figures at hand so that you do not have to fumble and waste your and the other person’s time. Have a pad handy for jotting down notes, during the call. If the discussion promises to be detailed, keep your files at hand. Do not make the other person wait, while you scramble through files. There are some helpful tips that can be followed: • Identify yourself as soon as you say hello. Do not expect others to identify you. They might be preoccupied, and may not register your voice in their minds. • If you want to display your interest, take the initiative in making the calls i.e., you should call yourself. • If you are at another time zone, e.g., New Delhi calling New York, adhere to correct timings for the receiver, especially when it is for business communication. New York is almost ten hours behind Indian time, if it is 10a.m. in New Delhi, it will be 12.30 a.m. in New York. • If the person whom you have called is not available, do not disconnect. Leave your name, telephone number and purpose of calling with the person who receives your call. Also leave a specific time when you, yourself can be contacted.

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Speak clearly and smartly. Do not be unnecessarily frivolous and waste the time of the person on the other end. Get right to the point, if it is a business call. If the conversation promises to be a long one, call at a convenient hour. Eliminate distractions as much as possible. If you’re nearby environment is noisy, change your calling venue. For example, if the television is switched on, then go and call from the other line or the extension. You can even switch off the television or wait for it to be switched off, before making the call. Ensure that you can hear properly and also that you can be heard properly. Do not put the caller ‘on hold’ for long periods of time. (If there is some delay that is happening, offer to call back later.) Be cheerful and obliging. Take messages accurately. Note down the name and number of the caller properly. If you are calling, allow an adequate number of rings before hanging up. For the other person it is frustrating to know that as soon as he reached the phone, it stopped ringing. Have the adequate amount of friendship and respect in your tone. Do not carry on long conversations when you have a visitor waiting for you. Greet the other person as soon as he/she answers the call and offer to call back later as you have someone to attend to at the moment. Keep to your words i.e., if you promise to call after ten minutes, please keep your promise. Do not forget. Try to pickup the phone as soon as possible. Delaying it could irritate the caller. Do not engage your telephone longer than necessary. Never sound hurried or flustered or impatient. Speak distinctly. If there is a word, which is likely to be misunderstood, spell it out or explain it.

REVIEW QUESTIONS Section A 1. What is telephone etiquette? 2. Explain what is a speech and when is it given. Section B 1. Enumerate six essential things that we should keep in mind while speaking on the phone. 2. Who will be called a bad listener? 3. What are the qualities of a good listener? Section C 1. What are the essentials of a good speech? 2. ‘A speech should be audience oriented.’ What does this mean?

Interviews

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INTERVIEWS DEFINITION An interview is a formal meeting in which a person or persons question, consult or evaluate another person or persons. The person who asks the questions is called the interviewer and the person who replies is the interviewee or the candidate. Both of them have specific objectives. Informally, when at any time, two people meet to discuss a particular matter; they are participating in an interview. Thus, from the time you apply for your first job, until the day you retire, you will be involved in a wide variety of interviews. No other communication activity is more dependent on communication skills. In a typical interview, the action is controlled by the interviewer, the person who schedules the session. This individual poses a series of questions, which are mostly designed to elicit information from the interviewee. Thus the conversation bounces back and forth from the interviewer to the interviewee. If the parties establish rapport and stick to the subject at hand, they both have a chance of achieving their objectives. The interviewer establishes the style and structure of the session, depending on the purpose of the interview and the relationship between the parties. An interview reveals the views, ideas and attitudes of the person being interviewed as well as the skills of the interviewer. Categorizing interviews Interviews are classified according to the purpose for which they are held. Not all interviews are the same. All require different skills on the part of the interviewer. We have classified them on the following basis— 1. Interviews dominated by the exchange of information 2. Interviews geared towards the exchange of feelings.

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INFORMATION-ORIENTED INTERVIEWS •

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Employment interviews: This is the most common and well-understood interview. In fact, from the word ‘interview’ most people relate to job-seeking or selection interviews. The job candidate wants to learn more about the position and the organization; the employer wants to learn more about the applicant’s abilities, attitudes and experience. Both hope to make a good impression and impact. This interview is the basis for important decisions for both parties. The interviewer has to decide whether the candidate will benefit the organization and if he will be the right person for the job. The candidate also has to decide whether the job and organization will fulfill his personal expectations. The interviewer can be a single person or more than one person. Normally, a panel of interviewers is involved. It can be composed of departmental heads and other experts along with representatives of the management. These interviews can be advertised through the media, e.g., newspapers, magazines, or conducted at campus venues for freshers (candidates who are just passing out of their final year). Exit interviews: An exit interview is given to a person who has resigned from an organization. The organization wants to know why the employee has resigned from the post. This is more to get a feedback. The interviewers’ role is to try to understand why the interviewer is leaving the organization. A departing employee can often provide invaluable feedback to the organization. They can give their impression about how the enterprise is being handled and where things could be improved. An employee who is leaving has no fear of the boss’s displeasure and is likely to express his feelings about the policies, rules and regulations, inter-departmental relations, etc. quite freely. The interviewer tends to ask all the questions while the departing employee provides all the answers. The focus of the interview should be organizational processes, rather than personal problems. All the settlements e.g., provident funds, salary cheque details, insurance are clarified at this stage. If the exit interview is tactfully handled, it can be a great asset to the organization. They can get information about how the company is actually functioning. Things may be something on paper and different in actual practice. All that knowledge can be gathered during the exit interview. Information interview: The interviewer seeks facts that are important to basic understanding of events. Information mainly flows in one direction. The interviewer keeps asking a set of questions and clarifies his doubts. He listens intently to the interviewee’s answers. This is done with a pre-determined purpose. Content listening as well as critical listening skills are important. For example, if a manager has told his subordinate to collect information for a particular site survey, he will listen intently to the report so that he can take an appropriate decision for setting up the project and deciding on the site.

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Persuasive interviews: These are very common when salesmen perform individual selling or in industrial marketing. The persuader (interviewer) discusses the potential customer’s needs and shows how the product or concept can fulfill those needs. For example, a salesman selling a water purifier will discuss about the customer’s needs for drinking pure water. Then, he will try to fulfill the need by explaining about the water purifier and how it cleans and purifies drinking water. Thus, persuasive interviews are a platform for using talking skills, listening skills and the ability of people to impart relevant information. Stress interview: As the name suggests, a stress interview, puts the candidate into stressful (difficult) situations in order to test his/her reactions to stress. This interview is mostly used while selecting people for jobs, which are highly stressful. The objective is to find out whether they will be able to cope up with the different situations in a balanced way. A stress interview tests qualities, such as, courage, tact, cool temper and self-command, which are needed, when confrontations occur or business is not so good. Several methods are employed to throw the candidate off balance: 1. 2. 3. 4. 5. 6.

Questions are asked by different people together Cross questioning and confusion is created Arguing takes place Rapid fire questioning on different topics take place Answers are ridiculed The candidates are subjected to silence and inattention.

Only cool-headed and self-possessed candidates pass this test. Also only qualified people can conduct this type of interview. FEELING BASED INTERVIEWS •

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Counselling interviews: Sometimes it happens that a senior talks to a subordinate about personal problems that are interfering with work performance. The employee should be concerned with the welfare of both the employee and the organization and should confine the discussion to business. To solve the personal problems, trained people like psychologists are more effective. The interviewer has to have critical listening skills as well as be empathetic, as human emotions are involved. Disciplinary interviews: Sometimes there is a need to correct the behaviour of an employee who has ignored the rules and regulations of the organization. The purpose of the interview is to make the employee see reason, and realize his faults. An emotional reaction is likely, so the interviewer must try his best to remain neutral and not give critical comments. He should also have empathetic listening skills. Conflict resolution interviews: In enterprises, very often opposite minded groups emerge and get into arguments, which are harmful for the progress of the organization.

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Both the parties are right and both are important in their own ways. The need arises to resolve their conflicts in a formal way. In this type of an interview, both parties are encouraged to adjust their perceptions and attitudes to create a more productive climate for work. Empathetic and active listening skills are required here. Assessment interview: This type of an interview is more for discussion. The focus is on the career development of the employee, shortcoming, areas which need improvement, training needs, opportunities for promotion etc. The immediate boss, who knows the employee well, normally does this.

THE JOB INTERVIEW This is the most common type of interview and will be discussed in detail in this book. It can be seen under 2 headings— 1. From the candidates’ angle 2. From the interviewers’ angle. THE CANDIDATE’S PREPARATION The candidate must be prepared in an all-round way for the interview. 1. Physical preparation Grooming • • • • • • •

The candidate should be properly groomed and formally dressed Nails should be clean and well cut Personal hygiene is important Hair should be properly combed Clothes should be well laundered and well-fitting Footwear should be appropriate and clean A suitable hand bag or brief case should be carried

Posture—this is developed over the years •

Should be confident

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Walking should show confidence

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Good manners and conducts are of great importance • • • • • • • • • •

The candidate should know what time of the day it is He should not offer to shake hands on his own An appropriate greeting, e.g., Hello, Good morning etc. should be said Do not sit down until asked Take care while shifting the chair, it should not be too noisily done Be comfortable in handling your brief case and documents. Do not show clumsiness Place your hand comfortably Thank them politely after the interview Do not be over profuse in answering Maintain a smart posture throughout

2. Mental preparation • •

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If the job applicant is fresh, he/she should be sure to get updated in all the subjects pertaining to his field. Being well informed is absolutely necessary. The candidate should read newspapers and current interest magazines so that he is aware of the happenings in the environment. The candidate should also make it his business to know about the company for which he is applying. When asked about the organization, he should not draw a blank look. He can get relevant information from the company’s Annual Report, in-house magazine, publicity releases, business and financial newspapers and employees. He should also be aware of the previous organization he was associated with. This will improve his impression, in case the panel of interviewers ask him some details. He must be prepared to answer questions about his plans, life, family, ambition, etc. If he is able to successfully tackle such questions, he will come across as smart and well prepared.

3. Psychological preparation The mental make-up of a person is very important to organizations. They would like to be sure that they have selected a mentally agile and balanced person for the job. For this, they ask a variety of type of questions. But psychological preparedness should be slow and gradual. The following points can be checked out before so that the candidate does not face an embarrassing time: •

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The candidate should not come across as scared and insecure. He/she should have the confidence to ask about the company, the job requirement, the salary compensation, other benefits, etc. The candidate should not be inhibited about any issues. He should be eager and ready in his mind to counter any questions and participate in any discussions.

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The candidate must be honest. This quality is a pre-requisite for any job. If one tries to tell lies in order to get the job, he/she should be well aware that the truth will come out sooner or later. That time the embarrassment could be immense. So it is best to follow an honest path while tackling questions at the interview. The candidate must be mentally sure that he wants the position he has applied for. His attitude for the job must be right. If he wavers and tries to be vague about when he will be ready to join the job, the interviewers will never select him. Organizations want levelheaded and smart people.

What can give black marks to the interviewee? 1. 2. 3. 4. 5. 6. 7. 8. 9. 10. 11. 12. 13. 14. 15.

He has a poor personal appearance He is overbearing and conceited He seems to ‘know all’ Lacks knowledge and experience Is not prepared for the interview Has no real interest in the job Lacks planning for his career Lacks enthusiasm Overemphasizes money Has no interest in health, extra-curricular activities etc. Lacks social skills Has a limp, weak handshake Lacks vitality Lacks tact and maturity Has a poor academic record.

Questions commonly asked during interviews 1. 2. 3. 4. 5. 6. 7. 8. 9. 10. 11.

Tell us about yourself. What extra-curricular activities did you enjoy the most? What are your favourite subjects? Why? Tell us about your family. How did you spend your college vacations? Have you ever done any part-time job? Why? What are your hobbies? When do you get time to pursue them? How was your relationship with your fellow-students? Did you get any position of responsibility at college? Have you been part of NCC, NSS etc.?

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12. 13. 14. 15. 16. 17. 18. 19. 20. 21. 22. 23. 24. 25. 26. 27. 28. 29. 30. 31. 32. 33. 34. 35.

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What qualities do you have to make you suitable for the job? Why did you choose your particular specialization? How do you think you will benefit your company? Tell us something about your family. What type of TV programs do you watch? Do you enjoy sports as a participant or observer? Do you think employers should consider examination grades? What is your attitude towards daily exercise? How would your best friend describe you? How would your enemy describe you? How do you spend your holidays? What do you do on Sundays? Which all place have you visited? Have you had any serious injury? Do you like regular working hours? What do you consider to be your most important achievement? Can you take correction without anger? How do you know? How long do you expect to work here? Are you willing to go where the company sends you? What are your strengths? What kinds of work do you like best? What does teamwork mean to you? Do you have any plans to get additional education? What salary do you expect in this job?

PARTICIPATING IN AN INTERVIEW An interview should be viewed as an opportunity to share your qualification with someone who is interested. View the interview as important, but not so important that you become overly nervous. Too much nervousness will make a poor impression. Greet your interviewer/interviewers warmly. Let them take the lead. If an offer is made to shake hands, do so with a firm grip and a smile. Sit, when asked to do so. See your role as responding to questions in a business like fashion. Keep appropriate eye contact with the interviewer. The interviewer may intentionally challenge you by asking difficult questions or by appearing disinterested or even irritated. Be knowledgeable, calm, positive, gracious and friendly. During the interview, DON’T— •

Appear overly aggressive and conceited

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Meek and mild Negative about past employers Negative about topics Unenthusiastic Too interested in money Too ambitious Humorless Too vague with answers Be unappreciative about the interviewer’s time Laugh nervously Act immature Smoke

Be alert for signals that the interview is ending. The interviewer may slide his chair back, stand up or give verbal signals. At the end, express appreciation for the time and information given to you. Indicate that you look forward to hearing from the interviewer. Shake hands warmly, and say goodbye. After the interview, evaluate how you did. Make a note about what you learnt in the interview and compare it with other job opportunities. Make a note of your mistakes and try not to repeat them in the future. THE INTERVIEWERS ROLE An interview costs time and money. In order that the right candidate is selected, the interviewer has to be properly prepared and equipped. The interviewer has a manifold objective, which he has to accomplish— 1. He has to find out the most suitable person for the job from amongst the available people. 2. He has to give the candidate sufficient information about the job and the organization. This will help them to take a suitable decision. 3. He has to create a sense of confidence and understanding in the selected candidate. 4. He has to promote the goodwill of the company by giving the right kind of impression to all the candidates. The interviewer must see that all the conditions are set for properly assessing the candidate so that the purpose of the interview is met. There is a considerable amount of preparation to be done. The applications are sorted, scrutinized and selected for interviewing. If the number of candidates is too many, then short listing is done on the basis of the biodata and application letter. The interviewers get familiar with the candidates through their

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Bio datas. On the day of the interview, the interviewers take out a list of specially prepared questions. These questions are general and specific to the job and the candidate. The interviewer requires several social and inter-personal skills. He/she should remember that they are representing the organization to the candidate and they must try their best to put their best foot forward. They should not have a conciliatory attitude toward the candidates. The interviewers should warmly welcome the candidates and make them comfortable. For example, Did you have difficulty in reaching here? Or You have waited a long time for the interview; can I get you some tea or coffee? can be made as an opening remark.

The main part is of course of asking questions. This is also the longest part. The interviewer should keep his eyes and ears open for any indication the candidate gives about himself. An effort must be made to observe the body language of the candidate. If the candidate is unusually uncomfortable, the interviewer can ask him the reason. It may happen that the candidate has some pressing commitment or crisis at home on that particular day. The interviewers should cognise for that and judge the candidate on many parameters. He should always remember that he has been given the duty of selecting the right candidate for the vacancy. He should have an open mind and encourage the candidate to open up and answer the questions, which will make his job easier. The interviewer must let the candidate do most of the talking and gently guide the conversation if goes off on a tangent. It is important not to show scorn or be sarcastic. Also, the candidate must not be humiliated, even if it is obvious that he is not suitable for the job. Humiliated candidates speak badly of the organization and spread word that it insults visitors. This is bad for the organization’s public image and can damage its chances of attracting good staff. Insulting interview candidates also shows poor organizational culture. If a candidate is subjected to a ‘stress interview’ he/she should be told the purpose at the end of it. The candidate should not be allowed to leave with a stress or anxious feeling. The candidate must know about the job, his prospects, salary, etc. It is the duty of the interviewer to answer him fully and clearly. For this he might have to do some homework so that he is well equipped for the questions. When all the information has been satisfactorily exchanged, the interviewer must conclude the session with a suitable remark. Leave taking must be pleasant and sociable. The interviewer must not give unnecessary hope in case the candidate has fallen far below expectations. On the other hand, he must not give extra hope to candidates, as there may be other extraneous circumstances, which can play a role in selecting the candidate. Thus, if people who are mature and trained in the particular job conduct interviews in a professional manner, there is a higher chance that they get the right candidates for the jobs.

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REVIEW QUESTIONS Section A 1. Write short notes on— (a) Interview (b) The interviewer’s role (c) Feeling based interviews. Section B 1. What type of a preparation is required before appearing for an interview? 2. Does the interviewer also have to prepare before taking an interview? How? Section C 1. Elaborate, in detail about the candidates preparation.

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MEETINGS: NOTICE, AGENDA AND MINUTES The smooth conduct of business requires meetings to be conducted. A meeting is perhaps the most commonly used form of discussion in a professional organization. The person who chairs the meeting acts as the leader of the group and has a higher status or enjoys authority over the others. Every meeting is called for a specific purpose and is result-oriented; the discussion is usually directed towards a certain issue. There can be many purposes of conducting a meeting. • To save time on written communication • To convey the same information to many people at the same time • To instruct a group for some work • To brief members on plans already made or work already done • To give and get new ideas • To get immediate reactions to new ideas, proposals and plans • To exchange ideas and experiences • To discuss and solve problems • To resolve conflicts, confusions and agreements • To generate a positive attitude and enthusiasm • To arrive at widely accepted decisions. Many of these purposes cannot be achieved through a person-to-person interaction. This is because the nature of business to be transacted may require the support of a large number of people. Also the organization may want to draw on the experience and expertise of many people. Thus, the success of a meeting lies not in what happened at the meeting, but what happens when the members have returned to their jobs. Procedure for holding a meeting The chairman generally convenes a meeting of the members of a committee or any other constituted body, or a member authorized by him. In other cases, an authorized official who

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has an agenda calls it. In practice, organizations normally develop a convention as to who will be the President, Secretary etc. and in what situation. The following points should be borne in mind by the person who calls for the meeting: • • • •

The announcement of a meeting must be made preferably in writing. The notice should be sent to all members. The notice can also state the agenda. The notice should mention the date, time and venue of the meeting.

Rules for a successful meeting 1. 2. 3. 4. 5. 6. 7. 8. 9. 10. 11. 12. 13.

Convene a meeting when it is necessary to consult others for taking action. Hold a meeting when telephone consultations are not effective. Invite only those who are vital to the agenda. Don’t invite unnecessary people, just to make up the numbers. Insist on punctuality by all, including the person who is chairing the meeting. Be clear about the agenda of the meeting or else it becomes a wastage of time. Divide the agenda amongst all the members. Divide the agenda into discussable divisions to save time. If possible, circulate the agenda, so that people can prepare for the meeting. Provide all the facts that are necessary for the discussion of the topic. Provide adequate time for discussion of each point on the agenda. Summaries the collections briefly. Ensure that minutes are being written. Close the meeting on pleasant note.

Duties of the chairman of the meeting If you are chairing a meeting, you should know what to do. It is not necessary that you can chair a meeting only when you become a top executive in your career. Even in your student life or personal life you might be required to chair a meeting. It is necessary that you familiarize yourself with the duties of the chairman and what role he/she has to play in a meeting. You can also compare these notes and advice a chairman about his role if you happen to see one who is not functioning effectively. •

•

Be punctual: Be on time yourself, and start the meeting on time. Do not wait for people who are to arrive. The members who have made it on time should benefit or else they will also be late for subsequent meetings. Be positive: Do not start out with the problems. Start it with—How to solve the problems. The same things can be said with a more positive approach. If you start out on a negative note, the whole atmosphere acquires the same negative colour and then it is very difficult to get constructive ideas from the members. Give the feeling to the members that they are going to contribute something significant.

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Be brief: Do not go on and on. Limit your talk to the introduction that is required to set the meeting rolling and stop at that. Let other take on can carry the discussion ahead. If your opening remarks drag on, the atmosphere becomes lethargic and boring. Clearly define the purpose of the meeting: It usually happens that the members are aware of the agenda, especially if it has been pre-circulated. Still, for the benefit of those who do not bother to open and read it, it is advisable to re-define the purpose of the meeting. A short oral or written introduction will do and if some points have been changed from the previous agenda, a brief opening will be helpful. Initiate the discussion: Mostly, people are reluctant to start discussions due to initial reluctance and hesitation. The chairman can draw out the members and then allow the meeting to take their own course. Be aware as to who will be able to have a constructive say in the discussion. Request them politely to talk. Be impartial: When discussions are lively and the members are interested, heated exchanges can flare up. As a chairman, it is your duty, not to get involved in any sort of argument and prevent yourself from siding with any party. You should reveal no prejudices, even if you have any. If you do have a suggestion, voice it through a member. The moment people get the feeling that the chairman takes sides, they will stop contributing in discussions and may eventually stop attending meetings. Give credit to the deserving members: If some particular member has made an outstanding contribution, acknowledge it in the meeting where everyone can hear. It will please the particular person and also motivate him and the other members to make similar, significant contributions. Control emotional build-ups: Most human beings get emotional very fast. This can be due to a number of reasons. If their point of view is not being heard, or if they are being ignored, or if they are being insulted, or if others are being favoured more. The chairman’s role becomes very crucial at this juncture. The chairman must however remember that he cannot scold or shout at the members. He should try and use tact and humour to tackle the situation. Needless to say, that this is a difficult task, but is an essential one. Be in control: One of your important duties as chairman is to maintain law and order during the proceedings. You should be aware that there is no inattentiveness from the members nor too much of unnecessary enthusiasm. The meeting should proceed in an orderly way and all should hear the speaker. Also ensure that the minutes are written properly and everything goes according to schedule. Involve all the members: In every meeting, there are members who are content to sit back and enjoy the proceedings. As a chairman, it is your duty to observe all the members and encourage all of them to have a say in the discussion. Most often, people who do not contribute in the discussion stage are the first to criticize after the action has been taken. To avoid this type of a situation, you must try your best to involve all the people who are present. Of course, you cannot force anyone to talk, but you can certainly encourage him or her.

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Make frequent summaries: As the discussion progresses along, it is necessary to recapitulate and summarize the proceedings. This will also help in keeping the discussion on track and give the members a feeling that they are achieving something meaningful and not wasting their time. These summaries should be kept very brief. Be result-oriented: Make sure that there is a consensus at the end of the meeting and the members do not go away with a feeling that they have wasted time. Strive your best to achieve what you had set out to achieve in the beginning of the meeting. Make sure the agenda is completed to the satisfaction of all the members. Follow up the decisions taken with a written communication to all the relevant parties. Close the meeting properly: All’s well that ends’ well. Make sure that you as a chairman; close the meeting on a positive note. It should come to a logical close and should not end abruptly. Neither should it drag. Make sure that all the members are reasonably happy with the proceedings so that it will be easier for them to come back for future meetings.

Some tips for you when you attend a meeting When you are invited for a meeting, please remember that you have been chosen to be present. If that is the case, make sure you make a positive contribution during the meeting. The nature of your contribution will depend on what capacity you are attending the meeting. For example, you might be a lawyer, trying to find out some missing links, or you might be an advisor, trying to give some positive inputs and so on. However, there are some general rules to be followed, which will make you a pleasant member. • Prepare for the meeting: Read the agenda, if it has been circulated beforehand. If not, try to find out what is going to be discussed from the relevant people. Read and be informed about the topic and issue, which will be put forth during the meeting. If you are to make some oral contribution, and require some aids to help you, get them ready. Arrange for apparatus like the OHP and LCD projector if you need it. • Find out whom you are going to meet in the meeting: Acquaint yourself with their names and backgrounds so that you know what to expect. It is also useful to know whether any particular member/members are committed to any particular issue or interest, so that you prepare yourself to deal with them. Do a SWOT analysis of the situation and people present so that you do not go over-prepared or under-prepared. • Do not be negative: It is not necessary that you agree with everything that is discussed. But, it is better not to react in a violently negative way. Even if something seems unreasonable and unpractical, let it pass. When you get a chance to have your say, show the members the positive side of the same issue. If you put it across like that, it will be easier for you to convert the members to your way of thinking. Do not get drawn into unnecessary clashes of words and tempers. It does not achieve anything for you and you will come away giving the other members a reduced impression about yourself. • Avoid lecturing and patronizing: No one like to listen to a lecture. Everyone thinks that his or her own views and ideas are right. In case you start lecturing, you try to breed an inferiority attitude amongst the others. But this will not happen.

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Instead, they will be disinterested to hear you out and every time you stand up to say anything, others will immediately ‘switch off’ of ridicule you. No one likes to see the other party as ‘Mr. Know-all’. They will resent you and slowly you will see that you are not called in for many meetings unless it is necessary. Do not condemn: It is easy to tell others that they are wrong. However, those who adopt this attitude and ‘line of speech’ are the losers themselves. No one is absolutely right at all points of time. If we are attending a meeting, we must know and remember that others have also come there on invitation and they are entitled to their views. They may sound illogical to you, but you should try and look at it from their side. May be your perspective may change. Even if it doesn’t, please remember not to criticize and condemn. Be punctual: This is a quality that you should cultivate for all occasions–personal and professional. People who are always late are not shown in good light and they always lose out on important opportunities. Plan your time and stick to it. If you are late for a meeting, you miss out on the initial discussions and then keep asking questions to clarify your doubts. This is irritating to the others and it reduces your value in the eyes of the other members. Be a good listener: You will learn a great deal about matters and about human behavior if you listen carefully and intelligently. Do not disturb: Do not disturb the other participants by shuffling around or talking with your neighbours. Have a sporting spirit: If your idea or suggestion is defeated and rejected on the floor of the meeting, be graceful and thank the others for helping you to clarify your ideas. Do not get angry and sport a gloomy face. Keep an open mind: However well prepared you might be, there is always a possibility that you may be wrong. Be prepared to learn and correct any mistake you might have made. Speak up if you have something to say: This is more so when the discussion is on your specialization. It is good for participants to be eager to share and participate. But your comments must be short and precise. There is no need to make a speech and bore the others.

NOTICE The notice of a meeting should be in the required format. Depending on the importance of the meeting, the notice can also be typed on the letterhead of the company. It should however include the following points— 1. 2. 3. 4.

Name of the body/group who is going to meet Date, day and time of meeting Place of meeting, with the address of the specific hall/room Agenda of the meeting

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The minutes of the previous meeting can also be sent with the notice. Notes and background papers of reference material the members may require in order to prepare for the meeting can also be attached. The notice for a meeting should be sent well in advance, specially if it is a formal meeting. If the members, who are to attend, live in different cities, a longer notice may be required. If the meeting is to go on for a long time, it is customary to include that tea/lunch will be served. The approximate duration of the meeting can also be indicated for people to make travel/accommodation arrangements if they have come from other places. AGENDA Agenda is a list of items that are to be discussed in a meeting. It is a document that outlines the contents for a future meeting. It is usually sent along with the notice of the meeting. It can also be sent later, if it is not ready on time. It basically prepares the members for the meeting. They know what to expect. They are not caught unawares and hence, they can come with whatever preparation they choose. Also, if the members would like to get some points for discussion included for the meeting, they can make a note of it and get it included. All this is possible, only when the members know what has already been planned for discussion. All formal meetings require written, formally typed agenda. All informal meetings also have an agenda, but it may or may not be typed and pre-circulated. There are advantages of having an agenda, which can be enumerated as follows— • •

It is a professional way of conducting a meeting. It helps in the smooth conduction of a meeting, since there is a set order already established. • If it is circulated in advance, it helps the members to come prepared for the meeting. • It ensures that matters relevant to that particular meeting are only discussed. • It ensures that no point is missed out. • An agenda makes sure that all the points are discussed properly, in the time allotted for them. • It facilitates the preparation of minutes. • It helps people to come prepared with the requisite time required for the completion of the meeting. The order of the items on the agenda cannot be changed during the course of the meeting except by the consent of the members. The chairman of the meeting must take great care to decide the order in which the items are to be put on the agenda, especially if there are likely to be controversies over any of the items. It is better to have non-controversial and routine discussions first so that those can be completed without argument.

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MINUTES Minutes are the official record of the proceedings of a meeting. All organizations, whether commercial or social, attach great importance to the recording of minutes held at their various meetings. Minutes serve as a legal record and can be produced as evidence, if they are approved and signed by all the relevant people, who have attended the meeting. In fact, all pages of the minutes must be signed, not only the front page. In case of joint stock companies, it is compulsory for them to maintain proceedings of every general meeting and the meetings of the Board and its committees. Minutes are the official record of the work done and decisions taken at the meeting of members; hence they must be precise and clear. Minutes do not offer a minute-by-minute account of what took place at the meeting. Minutes usually show, what was formally resolved or decided upon and not what was said. If at a later date, any member declines to do a job, which had been agreed upon in the meeting by him, the minutes can serve as the evidence for his agreement. Another use for minutes of a meeting is that people forget the job that was assigned to them. Minutes can also serve as a reminder, as human memory is very short. The minutes of meetings of Companies and statutory bodies are written in a formal style. Other organizations may write it in an informal style. Uses of writing MINUTES 1. People present at the meeting cannot deny what transpired at the meeting. They cannot change it later to suit their convenience. 2. It is easy to fix responsibility for certain jobs. People cannot deny their acceptance of a duty at a later date. 3. It serves as a reminder, in case people forget what was discussed and what work was supposed to be done. 4. It can help to remember the names of the people who were present at the meeting. The following details MUST be included in any minutes of the meeting: • • • • • • •

Name of the body Nature of the meeting Day, date, time and place of the meeting Name of the chairman Names of the members present (a list can be attached, if there are many) Names of the person’s “in attendance”, i.e., any formally invited officials like solicitor, auditor, who are otherwise not otherwise members of the meeting Leave of absence for those who are not present.

The first item of the minutes is always the reading and confirming of the minutes of the previous meeting. For example,

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Minutes of the meeting held on 19th June, 2007, which have been circulated earlier, were taken as read and were approved and signed. If there is a condolence resolution (when someone has passed away), it is passed before the confirmation of the minutes. The last item of the minutes is the ending of the meeting with a vote of thanks to the chair, e.g.,, There being no other business, the meeting ended with a vote of thanks to the chair. Other items in the minutes depend upon the agenda. All items in the agenda must have corresponding items in the minutes. How to write Minutes? Minutes may include only the resolutions of the meeting. This can be without details of the discussions that took place before and after the decision was taken. However, sometimes, it may also include a short summary of the discussion. If the minutes are very formal, they may include the name of the Proposer and Seconder, a short summary of the discussion and finally, the resolution taken. This can be done for all the items on the agenda. The style and method of writing minutes is fixed by the custom and practice of each individual organization. The language to be used while writing the minutes should follow a certain style. • They should be written in simple past tense, e.g., The chairman informed the house… The Secretary read out the …

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Passive style is normally used, e.g., The next meeting was fixed for… The results for the last quarter were….

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The tone is impersonal, e.g., It was resolved that the employee be warned… It was decided that a committee be appointed…

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The resolution has a heading. e.g., Appointment of Auditors Endorsement of agreement

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A resolution can include that a decision has been taken, or the action is to be taken, or the action has been taken. It can also include two options. e.g.,

It was resolved that Mr. Jain will be appointed as treasurer and he is hereby appointed.

Meetings: Notice, Agenda and Minutes

REVIEW QUESTIONS Section A 1. What are ‘Minutes of a meeting’? 2. Explain ‘Agenda’. 3. Why is a ‘Notice’ necessary before a meeting? Section B 1. What arrangements need to be made for the smooth conduct of a meeting? 2. What rules are to be followed while writing the minutes? 3. When will you call a meeting successful? Section C 1. What are the duties of the chairman of a meeting? 2. Why do we conduct a meeting?

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Annual General Meeting, Role of a Company Secretary & Annual Report

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ANNUAL GENERAL MEETING, ROLE OF A COMPANY SECRETARY & ANNUAL REPORT ROLE OF A COMPANY SECRETARY The Company’s Act, 1956, which constitutes the Company Law in India, came into force from 1st April, 1956. It is a consolidating Act and it repeals earlier Acts and subsequent Amendments. According to the Act, a Company is defined as an incorporated association, which is an artificial, legal person, having an independent legal entity, with a perpetual succession, a common seal, a common capital comprised of transferable shares and carrying a limited liability. The Companies Act contains 658 Sections and XV Schedules. More have been added by the Companies (Amendment) Act, 1988. According to the Oxford dictionary, a ‘secretary’ is one whose office is to write for another, especially one who is employed to conduct correspondence, to keep records and to transact various other businesses, for another person or for a society, corporation or a public body. But, this does not refer to ‘the Company Secretary’. In a joint stock company the Company Secretary holds a much more important and responsible position. No company can today, hope to proceed with its business and subscribe to the requirements of the complicated Companies Act, 1956 without appointing a Company Secretary. There are also other rules and laws that the companies have to contend with. e.g., MRTP, FEMA, etc.

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The work of a Company Secretary starts with the floatation of a company and can only end after its liquidation. Besides attending to routine duties of office administration, writing letters, reports, proceedings and minutes of meetings, a Company Secretary has to comply with the requirements of the Companies Act, 1956 relating to the filing of ‘returns’ and ‘statements’ with the Registrar of Companies. He also has to comply with the provisions of the Monopolies and Restrictive Trade Practices Act, Income Tax Act, Excise requirements, Foreign Exchange Management Act and other economic laws. He is the link between the directors and the shareholders. He is the medium through which the company corresponds with the outside world. “While the Directors are the brains of the company, the Company Secretary is its ears, eyes and hands.” Although the Company Secretary is primarily concerned with the carrying out of the policy laid down by the management, he may at times even help them to shape that policy. He may help in giving his opinion and advice during the decision-making stages of policy and strategy formulations. The responsible nature of work of a Company Secretary can be emphasized by the existence of a professional institution called ‘The Institute of Company Secretaries of India’, New Delhi. It is surprising to note that even though the Company Secretary has such a pivotal role, many companies did not compulsorily have Company Secretaries till as late as 1975, before the Companies (Amendment) Act, 1974. It is only after this, was it made compulsory for a company to have a Company Secretary with the prescribed qualifications. In fact, all companies having a paid-up share capital of more than 25 lakhs or more should have a whole time Company Secretary on its roles. It was in 1980 that the Central Government passed an Act known as the Companies Secretaries Act, by which the profession of a Company Secretary was recognized as an independent profession and the concept of Company Secretaries in practice was introduced for the first time. Defining a Company Secretary Section 2(45), as modified by the Companies (Amendment) Act, 1988, defines a Company Secretary as follows— “Secretary means a person who is a member of the Institute of Company Secretaries in India, and includes any other individual possessing the prescribed qualifications, and appointment to perform the duties which may be performed by a Secretary under this Act and any other ministerial or administrative duties.” The Companies Act does not prevent the Company Secretary enjoying limited executive powers of Management delegated by the Board of Directors in addition to the routine ministerial duties as ‘Registrar’ for the Company.

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Legally, the Company Secretary is the ‘Servant’ of the company, the ‘Agent’ of the company and the ‘Officer’ of the company. Duties of the Company Secretary The duties of Company Secretaries vary widely depending on the size of the company and on the form of organization adopted, e.g., Joint Stock Company etc. In a large company with many subsidiaries, there obviously would be a large number of legal corporate problems. In these cases, the legal department takes care and the Company Secretary heads the corporate legal department. On the other hand, in a smaller concern, the Company Secretary would be much more involved in the day-to-day administration. Speaking generally, the Company Secretary’s duties could be classified under the following headings— •

Duties towards the Company 1. He has to sign the Annual Report. 2. He has to obtain the certificate of ‘Commencement of Business.’ 3. He has to sign every Balance Sheet. 4. He has to sign every Profit & Loss Account. 5. He is the custodian of the company’s legality. 6. Under the Indian Stamp Act, he is required to see that every legal document, share certificate etc., bears the necessary stamps. 7. Under the Income Tax Act, he oversees that the correct amount of tax is deducted from the salaries of all employees. 8. He files a number of returns, documents and notices with the Registrar of Companies. 9. He has to maintain several statutory and statistical books. 10. He has to see that the provisions of MRTP and FEMA are being complied with.

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Duties towards the Directors 1. To ensure that the actions of the Board of Directors are in compliance with the provisions of law and the Company’s Memorandum and Articles. 2. To deal with all correspondence in which Directors are interested. 3. To issue notices and prepare the agenda for the Board of Directors meetings, arrange for these meetings, keep the proceedings and maintain the Minutes Book. 4. To work according to the instructions of the Directors. 5. To maintain all the important correspondence, file and records and to make them available when the directors need. 6. To draft the Directors Report.

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Duties towards the whole time Managerial Authority 1. To organize and control the ‘Head Office’ of the Company efficiently. 2. To draft contracts with vendors, if any, and also with the underwriters and share brokers. 3. To act as the liaison officer between the M.D. and the Directors, Staff, Shareholders and Creditors. 4. To keep effective contact with the Registrar of Companies, Regional Director— Company Law Board, Stock Exchange, Financial Institutions, Banks, Local Government Authorities and the Press. 5. To keep the title deeds of the company’s properties and investments under safe custody. 6. To submit all ‘Statutory Requirements’ in time.

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Duties towards the Shareholders 1. To do all necessary things with respect to shares and debentures: • To issue a prospectus • To invite applications for the subscription of shares and debentures • To arrange for their allotment • To issue share and debenture certificates • To handle their transfer and transmission • To arrange for the payment of dividend and interest 2. To deal with all correspondence between the company and the shareholders, creditors, public and look into their grievances and complaints. 3. To issue notices and agenda of the Statutory Meetings, Annual General Meeting and all other meetings of shareholders, creditors and debenture-holders. 4. To keep the proceedings of all meetings, incorporate them in the Minutes Book, be present in the meetings and help the Chairman in the conduct of a meeting.

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Duties towards the public 1. He has to discharge the company’s responsibilities as a ‘Public Servant.’ 2. He has to be a watch dog of the shareholders, members of the public and the entire society. 3. He is the principal officer of the company who is to render meaningful advice to the company on what type of response can be given towards environmental changes. 4. He must ensure that the company does not indulge in anti-social activities. 5. He must consciously bring the companies attention towards the section of society who is affected by the company’s activities.

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Duties towards the office and the staff 1. He is the executive head at the company’s registered office and so, is solely responsible to the Board for the smooth running of office work.

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He has to see that the various departments, namely, Share Department, Correspondence Department, Filing and Records Department, Accounts Department are properly organized, supervised, coordinated and adequately staffed. He must act as a friend, philosopher and guide to the staff.

Other duties 1. To represent the company on social occasions 2. To take responsibility in times of crises 3. To issue testimonials to employees on behalf of the company 4. To sign the proceedings of the company meetings and other such documents on behalf of the company, which do not require the common seal.

ANNUAL GENERAL MEETING Every company must in each year hold in addition to other meetings a general meeting as its Annual General Meeting or AGM. It is the most important meeting of the members of the company. It is held each year with a view to reviewing and evaluating the overall progress of the company during the year. The AGM is sometimes called the ‘Ordinary General Meeting’ as it deals with the so-called ‘ordinary business.’ The following business must be transacted at an AGM— 1. 2. 3. 4. 5. 6. 7.

The consideration of the annual accounts Review of the Balance Sheet The report of the Board or Director’s report The auditor’s report The declaration of a dividend The appointment of the directors in the place of those retiring The appointment and fixation of the remuneration of the auditors.

At every AGM, the Board of Directors shall lay before the meeting— 1. A balance sheet for the year 2. A profit and loss account with that period along with the auditor’s report 3. Director’s report 4. Other items In case the company has not had a profitable year, an income and expenditure account shall be laid before the company at its AGM, instead of a Profit & Loss A/C. Any other special business on the agenda shall be considered as special business and may also be transacted at the AGM, provided adequate notice has been given. The Companies Act, 1956, imposes the following obligations on every company, public or private, as regards convening the Annual General Meeting—

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The first AGM must be held within 18 months from the date of incorporation of the company. Subsequent AGM’s must be held each year within 6 months of the end of the company’s financial year i.e., March 31st in India. That is why you see a host of notices of AGM’s in the newspapers between June to September every year. The interval between 2 AGM’s must not be more than 15 months. The AGM must be held on a day that is not a public holiday. It must be held during business hours only. The venue can be at the registered office of the company or at any other place within the city where the registered office of the company is situated. At least 21 days written notice must be given to call an AGM to all shareholders, directors, auditors of the company and every other person who has a right to be present at the AGM.

BOARD’S REPORT OR DIRECTOR’S REPORT The main objective of this is to provide, authentic, meaningful information to the shareholders and the others who attend the AGM. This information is regarding— • • •

The state of the company’s affairs The result of the year’s working Future prospects.

It must be attached with the balance sheet and sent to the shareholders along with the notice calling for the AGM. The Companies (Amendment) Act, 1988, insists that the Director’s report deal with the following matters— 1. The state of the company’s affairs. 2. The amounts, if any, which the board proposes to carry to any reserves in the balance sheet. 3. The amount, if any, which the board proposes to pay out as dividend. 4. Material changes and commitments, if any, affecting the financial position of the company in the year for which the AGM is being conducted. 5. The conservation of energy, technology absorption, foreign exchange earnings and outgo, in such a manner that may be prescribed. CHAIRMAN’S SPEECH Before proceeding to regular business at the AGM, the chairman usually makes a brief introductory speech. In his address the chairman usually—

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Expresses condolences about any mishap that may have occurred. Points out the repercussions of various economic and political problems on the company’s working. He congratulates any achievements of the company. He may speak about the new business that the company may have started in the year. He gives general comments on the company’s performance. He also comments on the directors report.

The Chairman’s speech may be long or brief and can normally be seen in dailies, printed after the AGM is over. This is generally done by big companies, because of the cost factor and proves to be an advertisement feature too. ANNUAL REPORT The Company Law mandates that every company must prepare an Annual Report detailing its operations during a financial year. The Annual Report is like a book published by a company at the end of a financial year. It contains the year’s financial highlights and other important material. The Annual Report is sent to all the shareholders by post to their residence or office, before the Annual General Meeting. The shareholders are supposed to go over the Annual Report, so that they can be clear about the activities and financial position of their company before the AGM. The Annual Accounts of a company consist of a balance sheet at the end of a financial year and a profit and loss account (or an income and expenditure account in the case of a non-trading company) for the same financial year. The basic contents of the Annual Report are— • • • • • • • • • •

Company Profile Notice to the Members Directors Report Auditors Report Balance Sheet Profit and Loss Account Schedules forming part of the Balance Sheet Notes to the Accounts Cash Flow Statement Accounts of Subsidiary Company.

As per the requirements of the Companies Act, the Board of Directors approves the draft of Balance Sheet and Profit and Loss Account before they are signed and submitted to auditors for obtaining the auditors report. The financial statements together with the

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prescribed annexures, and Directors Report are placed at the Annual General Meeting for approval of the shareholders. The auditors report is also needed as it is read out at the Annual General Meeting. After the accounts are approved, the Annual Report is supposed to be filed with the Registrar of Company within the prescribed due date. Company profile The performance of the company during the financial year, along with the future operations and plans for the forthcoming year are placed in this section of the Annual Report. Notice to members At every AGM, the financial statements of the company would be laid before the members of the company for adoption. Once they are approved, the meeting proceeds. The notice calling for the Annual General Meeting is also enclosed in the Annual Report. Director’s report The Director’s report would basically summarize the performance of the company during the financial year. The Companies Act, 1956 mandates the matters to be covered in this report. There are many items that have to be included and spoken about in the director’s report. This may include— • • • • • • • •

Amounts proposed to be carried to any reserves Amount to be declared as dividend Material changes and commitments affecting the financial position of the company which have occurred between the end of the financial year (March 31st) of the company and the date of the report Changes in the nature of the company’s business News about any subsidiary formed Changes in the business of any of its subsidiaries Statements showing details of employees who have received remuneration in excess of stipulated limits Indication of whether the above mentioned employees are relatives of any Director or Manager of the company; if so, the name of such Director, etc.

The Director’s report should also include a “Director’s Responsibility Statement” indicating whether in preparing the annual accounts of the company, the applicable and permissible standards have been followed. If in case there have been deviations, explanations have to be given. The selection of accounting policies also has to be explained. Auditors report This will give the opinion of the Auditors on the financial statements. It forms part of every Annual Report. The Companies Act, 1956 requires the auditors to make a report to the members of the company on the accounts that they have examined. Their documents

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have to be attached with the accounts. The Auditors report would state whether, in the auditor’s opinion, the accounts give a true and fair view about the accounts presented to them, depending on the explanation and information given by the accounts section of the company. Balance sheet This is a tabular statement in which the financial information on a particular date is presented. It is a written statement of assets and liabilities of the company at a particular point in time. The Balance sheet is a document presenting in summary form, a true and fair view of the company’s financial position as at the end of the financial year. The form of the Balance sheet is set out in the Companies Act, 1956. It may however be drawn up in such other form as may be approved by the Central Government either generally or in a particular case. The purpose of the Balance sheet is to disclose the amount that would be available for the benefit of the members if the company was immediately wound up and liabilities were discharged out of the proceeds available from the sale of the assets. Profit & loss account This is a document, in summary form, a true and fair view about the profit or loss a company is making in that particular year. Its function is to show, as profit or loss, the difference between the revenue generated and the expenditure incurred during the year. The details of the various heads are set out in the schedules forming the Profit & Loss Account. Notes to accounts This would generally include details on • • • • • • • •

The nature of operations Statement of significant accounting policies adopted by the company Details on fixed assets Valuation of depreciation Intangibles Leases Investment Inventories, etc.

Cash flow statement This statement, if required, details the movement of cash during the financial year.

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REVIEW QUESTIONS Section A 1. What is an Annual Report? 2. Who is a Company Secretary? 3. What duties does a Company Secretary have towards the public? Section B 1. Describe in detail, the contents of an Annual Report. 2. What is the role of a Company Secretary? Section C 1. Describe the duties of a Company Secretary with respect to the following people— (i) Shareholders (ii) Directors (iii) Public (iv) Company APPLICATION EXERCISES 1. Ask your teacher to take you to see an Annual General Meeting taking place. You will require special permission for the same. 2. Collect some sample copies of Annual Reports and go over them in class. Try to find out what they have in common. Try to identify a company, which has high profits in a particular year. Hint—You will get a copy of an Annual Report from people who own shares of companies.

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7

GROUP COMMUNICATION: COMMITTEES AND SEMINARS COMMITTEES Today’s manager is spending more and more time in attending various types of meetings than in the past. This is because you see more and more groups of people who meet for a short time to solve the various problems that they have to face or various decisions they have to take. These problems and issues can be on managerial aspects, administrative issues, corruption issues or other social problems. If you are to see the meaning of the word ‘committee’, it will show as—a committee is a person or persons to whom certain powers are committed by a parent body to perform a certain task. The committee members discuss and deliberate topics of common interest with a view to taking some action. The emphasis in a committee is ‘decision-making.’ Committees can be temporary or permanent. They can be formal or casual. There are a variety of jobs that are taken up by committees. Types of Committees Standing or permanent committees: They are empowered to take management decisions. They are not formed for a short term. Their work is of a permanent and continuous nature. For example, Salary Committee and Finance Committee. Ad hoc or temporary committee: Some committees are constituted for a specific purpose. They are dissolved after the purpose has been achieved. As soon as this committee submits its report on the work it has done, it gets dissolved and the members return to their original occupations. For example, Committee formed to find out what new product can be launched, committee formed to conduct a seminar.

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Advisory committee: These committees consist of senior people. They are normally experts in the required field. Their sole function is to advise and they play no role in the implementation of the decisions. For example, An advisory committee to help frame the syllabus of a course. Formal committee: An advisory committee is a formal committee. They are formally constituted and their duties and responsibilities are specified. They function as committees are normally supposed to work. Informal committee: These are formed merely for the purpose of collective thinking. They have no fixed agenda, no formal authority. Their recommendations are not a formal decision; they are given more in the way of advice. Such committees can meet over a cup of tea and discuss some problems and issues. Executive committee: This is generally constituted by the senior member of any organization. Their powers are specified and they meet at regular fixed intervals. The members are normally the members of the organization itself, and not outsiders. They are empowered to take decisions keeping the overall objective of the organization in mind. For example, Corporate Executive Committee of a Company Why are committees formed? •

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Committees offer expert opinion: Since many experts are members of committees; it is more likely that the decisions they take will be more intelligent and well thought out. When a committee meets, much useful knowledge and information is exchanged. New ideas are generated: Unless people deliberate about a certain issue, and think about it, it is less likely that bright and new ideas can occur to people. When a committee meets, the members know the purpose of the meeting and know that they have to arrive at a certain decision. So it is more likely that they think about the issues and give their ideas. Committees help reduce authoritarian decisions: If all the decisions are left to the top executive in an organization, he will approach each issue from his own way of thinking. The decision he takes, may not be appropriate for the other employees. On the other hand, if a committee assists him in suggesting new ideas and new decisions, the top person’s job becomes easier and the decision also becomes friendlier since it has the consensus of many people who are part of the committee. The employees of the organization feel important: If they form part of the committee, they feel that the management recognizes their worth, and have deemed it fit to include their name in some committee or the other. Committees form a training ground for employees: If employees are made a part of committees, they gain experience and get trained for decision-making and discussions. They are able to enrich themselves with experience.

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Committees help to draw out talent: If a person is made a member of a committee he has to do many things, which he does not think he can do. For example, organizing speakers, catering refreshments, etc. It becomes an eye-opener for both him and his employer that he possesses those particular talents. Employees can safeguard their interests: If the people who have a problem, themselves form a part of a committee which has to solve those problems, it is more likely, that the decision the committee takes, will be more favourable to the employees. The members will have more empathy and the outcome will be more practical.

There are also a number of disadvantages of forming committees. These increase if the committees do not do their work efficiently. The growing impression is that committees achieve nothing worthwhile. People enjoy snacks, indulge in general gossip and then disperse. They do not have any commitment, since that is not how they earn their living. Committee work is only their part-time occupation. In public life, we often see committees being constituted for many public and social disasters. For example, when a plane crashes, when a minister or a public servant is caught for corruption, etc. No one knows how the committee enquiry proceeds, whether anything happens when they give their outcome or not. We will see some of the reasons while committees fail. •

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Poor leadership: If the chairman fails to control the members and direct them towards any positive direction, the committee becomes ineffective. The members get distracted from the main objective and go off on a tangent. They start discussing irrelevant issues and waste time. Also if the leader is less qualified and younger in age than the other members does not possess much authority in his personality, the members will not listen to him and the committee will function ineffectively. Overbearing leadership: This reflects the opposite scenario. If the leader is too autocratic and does not wish to involve the others in the proceedings, the committee does not function effectively. It primarily becomes one person’s platform to rule. Communication becomes choked and finally the idea-generation is stifled. If the members want to be in the good books of the chairman, they mould their views according to those of the latter. Otherwise, they just ‘switch off.’ They ignore the dates of the meetings, and occasionally if they do show their presence, they just sit back and enjoy, without contributing anything worthwhile. Inadequate membership: If the number of members of a committee are too less than optimum, the committee does not function effectively. It falls on the shoulders of just a few members to do all the work, and eventually they become inefficient or even bored with the situation. Also, adequate variety of opinion is not available and the committee does not remain representative. Too many members: If the committees are crowded with too many members, there is confusion, and chaos. No one knows his or her roles properly. They all are excited initially, but when they see that their voices are not heard in the midst of so many, they stop contributing and eventually may stop coming for the meetings also. They lose interest, and the purpose of constituting the committee is lost.

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Type of members: For the proper and effective functioning of the committee, it is necessary that the right type of people are chosen as members. If this happens, there is no problem, but if the quality of members is suspect, the working of the committee suffers. If the members are incompetent, they will not be able to achieve anything. Also if the members are too rigid, uncompromising and unaccommodating, the committee will meet, but not be able to achieve anything. Another quality, which is undesirable is that if the members are too volatile and explosive, most of the time will go in arguments and fights and nothing constructive will be achieved. Undesirable elements who join committees just for the sake of creating confusion and chaos are also impediments to the smooth and successful working of any committee. • All the prescribed norms must be complied with, if the committee has to produce constructive results. If adequate notice is not given for a scheduled meeting, many members will not turn up and the ones who are present will unnecessarily waste their time. Committees can be made to work effectively if certain basic precautions are taken to see that all the procedures are followed correctly and results are achieved. The scope of the committee should be well defined. Nothing should be left for vagueness to creep in. There should be some type of control and accountability for the committee members. Otherwise, they take it as a past-time activity and a forum where they can just have fun. The committee can be made to report their functioning and the results achieved. Their should be a specified time limit within which they are to submit their working and findings and suggestions. The members who constitute the committee should be able to empathize with the job on hand and hence the members should be chosen in accordance with the scope of the committees work in mind. The members should also have the required competency and qualification to deal with the tasks at hand. They should be interested in the committee job and also should not be too busy in their other assignments to be able to spare some time for the committee’s activities. The committee should have an adequate number of members—not too many or less. Normally the correct number is seen to be between 5-10. If the number becomes more, it becomes unwieldy. Face-to-face contact becomes difficult and the members do not even get to know each other. The chairman of the committee also has a very important role to play if the committee has to show good results from its deliberations. He should be punctual, committed and capable. His authority should be such that the other members respect him and listen to him. He should keep the discussions going and should also be a good manager—planner, organizer and controller. He should try to draw out the silent members and solicit their contributions. All in all, his contribution is very important and it is under his leadership that a committee can flourish or perish. •

CONFERENCES AND SEMINARS A conference is also a forum, which displays group dynamics. People get together to exchange

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information. But it is more informal than a committee. A committee is specific; a conference is more general in nature. The scope of a conference is considerably large, larger than that of a committee. During a conference, the main focus is on discussions and ‘exchanging views’. The meaning of the word ‘confer’ is to converse, to consult, and to discuss. So a conference is a kind of meeting where people exchange views, and talk and discuss issues. Conferences can be organized on any topics, which are of general interest or subject interest, For example, The medical fraternity can organize a seminar/conference on ‘Methods of Control of AIDS’ or ‘Diseases of the Respiratory System’ etc. Management institutes keep organizing conferences in which they invite experts from various fields. The topics could be far ranging, For example, ‘New Trends in Human Resource Management’ or ‘The Role of Entrepreneurship in Developing the Economy’ etc. The issues are discussed for the new implications and suggestions and courses of action are also suggested. The difference here is that, the suggestions given in a conference are not binding. They are given more in the nature of a recommendation. Conferences become educational experiences for the delegates. They are able to pick up valuable tips regarding their work and they can also update their knowledge. Normally experts are invited to speak on the topic. They address a particular sub-topic (a part of the main topic). The people, who are assembled as delegates, are also from the related field. They interact with each other and share their experiences, apart from getting tips from the experts. Normally for a conference, delegates come from far and near. They are supposed to ‘register for the seminar.’ Conferences and seminars can be ‘in house’ i.e., the delegates are only from within a particular organization. The conference is organized for them. It may be for the purpose of giving training to the employees, to initiate them into the organization or to give them a refresher course. These in-house programs bring the employees together, away from the work environment. It gives them a break from their monotonous work. Sometimes, companies go all out and organize these conferences in exotic locales and invite the families also. This is more in the nature of providing a ‘perk’ to the employees. Open conferences are advertised and delegates from far and wide are invited to attend for a particular registration amount. Sometimes, a large industrial concern may take an initiative and invite delegates from other similar concerns to a conference to discuss problems that are plaguing the industry and affecting all of them. The host organization selects the venue of the conference, makes arrangements for the stay of the delegates, and chalks out the detailed program. They also have to split up the sessions into various sub-topics and arrange expert speakers for various sessions and get people to chair sessions. At the end of the conference, the report of the conference has to be complied at the end and sent to the relevant people. The press has to

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be invited and informed so that they give the conference the required coverage. Sometimes, funds are required, so the organization has to look for sponsorships. Important people and well-wishers, for the host organization are also invited for inaugural sessions. Since conferences normally extend beyond one day, catering and refreshment arrangements are also to be made. If some delegates are from outside the city, planning and booking their accommodation also becomes an essential job. All in all conferences and seminars become mega ventures and a lot of effort to tiny details has to be made, so that the final show is commendable. Advantages of a conference •

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They disseminate information – since many experts collect for a seminar/conference, a lot of discussions take place, views are exchanged and news ideas emerge. Many conferences compile monographs/journals on the basis of those discussions and type out the text of expert talks. These are bound and can be distributed for the benefit of those who are unable to attend. They stimulate a creative flow of ideas – when we sit down to deliberate on a particular topic; new ideas come to our mind. The mind sets to think and creativeness flourishes. People tax their minds and try to think of newer ways to do the same old things, they try to exchange their views and share experiences. Conferences pool knowledge and experience – people with less knowledge and more knowledge sit together in a conference. It may be that people with less knowledge are rich in techniques and skills. Thus everyone can benefit from each other’s expertise and mutually benefit from the interaction. They help to define problems and give solutions for the same. They also help improve public relations and enhance the prestige of the organization that hosts the conference. They also succeed in focusing the attention of the government and the public on various problems that face a particular industry. Individually, if a company takes a problem to the government, the latter might not take notice, but if they are discussed collectively and presented formally to the government, there are more chances that they will be heard.

Drawbacks of a conference • • •

They are expensive affairs: Huge amounts of money are spent in organizing conferences. Banners, mementos, folders, registration kits, accommodation etc. are many expenses that are incurred when a conference is organized. Nothing constructive may come out: Sometimes it happens that there are too many generalizations and nothing specific comes out of the proceedings. This becomes a waste of both time and money for the organizers and the delegates. Some delegates treat it as an image projection opportunity: They continue talking, whether it is relevant to or not, whether it is appreciated or not. They try to popularize themselves.

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Casual attitude: Some delegates treat these conferences, as pleasure trips and do not attend seriously. Even if they attend, they do not contribute anything, neither do they imbibe anything. If the conference is badly organized, the deliberations suffer: It is most important that the arrangements are made properly, so that the basic purpose of the conference or seminar is not lost.

REVIEW QUESTIONS Section A 1. What is a committee? 2. Explain ‘Conference’. 3. What are the drawbacks of holding a conference? Section B 1. Why are committees formed? 2. What are the advantages of conducting a seminar? 3. Name four different types of committees. Section C 1. What are the disadvantages and advantages of forming a committee? 2. What are the reasons why committees fail in their objective?

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Group Discussion

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GROUP DISCUSSION Group Discussions are normally encountered during selection processes. They are also conducted when focused comments are needed from people and certain decisions are to be taken. A pre-determined number of members are selected in a group. The number should not be too less or too much. The optimum number could be anything between 8-10 members. A topic for discussion is chosen. It can either be suggested by the group members itself, or given from someone outside the group. When people discuss topics together, they sometimes get carried away with their emotions and thoughts on the subject. Some members prefer to keep an aloof stand and concentrate on listening rather than contributing to the discussion. Some concepts about a group discussion— • • • • • •

It is a group activity Individuals participate in it It is an exchange of ideas amongst the individuals A specific topic is chosen for discussion It is used as a reliable testing or screening device It is a tool used to compare the individuals on different parameters e.g., communication skills, leadership qualities, knowledge of the topic, teamwork abilities, etc. • All the participants are of the same educational level/intellectual level • It is also known as a leaderless discussion, as, no leader or chairman of the group is appointed. Natural leaders are allowed to emerge. • Organizers and supervisors assume a background role. They do not participate in the discussion at all. They do not intervene in the deliberations of the group. There are many skills that can be observed while a group discussion is taking place. Some of them are mentioned on next page—

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1. Leadership qualities: There are some people who are born leaders. You can identify them immediately. They are the ones who initiate discussions. They also continue their leadership role throughout and continue to guide the discussion. You will hear their voice for a major part of the discussion. 2. Accommodating nature: Some people are not very pushy. They make their point, but do not insist on it. They allow others to speak and appreciate their views too. Some people go to the extent of stopping what they are saying and letting others speak first. 3. Followers: There are still others who have no opinion of their own. They prefer to tread the trodden path and ‘follow the leader.’ They may or may not have any knowledge on the subject, though that is another matter. Whatever the leader says, they willingly agree to it and repeat it. Probably, if you specifically ask them for a comment individually, they will come out blank. 4. Selfish nature: There are still some type of people who try to grab all the limelight for themselves and also keep it. They make sure they are speaking at all points of time. They talk constantly and are very irritating to the observer and of course to the other group members. They do not bother about what they are saying, as long as they get the chance to talk. 5. The concluders: Some people keep silent throughout the discussion. Suddenly, when the allotted time is getting over, they realize they have to contribute some thing. They grab the closing lines and try to summarize the proceedings. Since they have not participated at all so their comments also come out hollow and do not impress. 6. The right speaker: In a group of ten, there may not be more than one, or at best two good speakers. These people are sensible. They do not speak just for the sake of speaking. Neither do they let others manipulate the proceeding entirely. They guide the discussion to an extent, and spend the rest of the time, gauging the other participants and contributing positively. They do not let the focus go off them and when they are listening, they have a very positive body language. Mostly, they are knowledgeable about the topic being discussed, but in case, they do not know much, they do not show it. They pick up points from the discussion and then contribute towards the discussion positively. 7. The over-enthusiastic speaker: You will be sure to find one of this kind, in any group. They are an excited lot and think that they will make a big impression with their enthusiasm. They discuss, agree to points, refute some and generally keep the discussion alive. Sometimes they end up showing themselves silly, but they do have their uses, or else the discussions become very lifeless. They are different from the leader in the sense that they just keep blabbering, whereas the leader plays more of a guide’s role. 8. The team players: Some people like to work alone; there are others who work well in a team. They let other people also show their talents and skills and let them

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contribute equally. They do not feel shadowed or threatened by others. Such people are able to adjust and work well in organizations. They divide work amongst the teammates and give an equal chance to others. 9. ‘People with stuff’: During the discussions, the moderators can easily make out the people who really have knowledge about the subject and others who simply try to bluff their way through. Since group discussions are intensive events, it requires that people have to follow-up their views with many points subsequently. This is not possible for people who are not well read and who do not have genuine knowledge. They are not able to sustain the discussion for a long time. 10. The pendulums: Some participants of a group discussion switch sides frequently. These are not trustworthy people. They see the direction the discussion is taking, and do not hesitate to jump camps and change their opinions to a large extent. Whatever be the topic or purpose of a group discussion, it is an enjoyable activity and helps to bring cohesion between members. If the Group Discussion is part of a selection process, some members may get through after the discussion and wait for another elimination set of tests and interviews. Others get eliminated here itself. They are marked on different parameters, namely, knowledge, team spirit, communication skills, English language, leadership role, initiative, etc. Advantages of a group discussion 1. 2. 3. 4. 5. 6.

Ideas can be generated Ideas can be shared It is a supportive academic and professional activity, provided the dynamics are right It is fun Ideas can be ‘tried out’ It develops many skills.

Some negative roles that should be avoided during a group discussion • • • • • • • • •

Criticism of the participants should be avoided Rude behaviour should not be encouraged Harsh and strong words should not be spoken. Only polite business language should be permitted Non co-operation with the group procedures should not take place A disgruntled participant should be sent out Unnecessary clownish behaviour should not be resorted to Inappropriate humor is not advisable Patronizing behaviour is objectionable Excessive domination is improper.

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If one follows all the procedures of conducting a group discussion, it can be an enjoyable and profitable activity. People can be screed in a considerable lesser time and the supervisors can make a note of special skills of the selected candidates. REVIEW QUESTIONS Section A 1. What is a group discussion? 2. What are the do’s of a group discussion? Section B 1. How is a group discussion useful as a selection technique? 2. Mention some things, which the participants must avoid, while discussing. Section C 1. Explain ‘Group discussion’ as a tool of communication. 2. What is the process of conducting a group discussion? Application Exercises 1. Conduct a group discussion in your classroom. You can choose from the following topics(a) Are coalition governments successful? (b) Group Discussions–are they a valid technique of the selection process? (c) Census–Can it be conducted better? (d) Television–A boon or a bane? (e) Obesity–Are fast foods to blame?

PART 4 WRITTEN COMMUNICATION

The chief aim of all business writing is to express the required matter, clearly and correctly, impress the reader very effectively, and elicit a quick and favourable response from him. Commercial writing, as it can be called, should be as far as possible factual, straightforward, simple, direct, clear and concise. It can be called, in a way, as technical writing, because it is always based on facts and figures, actual observations and findings. The state of affairs, progress achieved on various issues, losses on hand, etc. are other matters that can be written about in business writing. In short, business writing or commercial correspondence should fulfill certain characteristics which are professional and which give information to some person or organization about the full facts of any subject. The author must acquire full knowledge of the subject matter after investigation of the issue, before writing the report or letter or essay. He must present the facts so clearly and completely that the reader is convinced of its aptness and not its emotion. The details of the causes and effects are to be given very cautiously, without exaggeration. The material is to be presented objectively. Unknown objects must be familiarized to the reader so that he is not foxed by the written communication. Thus, a good business writer must, first of all, be able to write good English, backed by a thorough knowledge and application of the particular techniques of business writing. Written messages also vary in formality. At one extreme are the scribbled notes that people use to jog their own memories; at the other are elaborate, formal reports that rival magazines, in their graphic quality. But regardless of the degree of formality, written messages have one great advantage: they give the writer the chance to plan and control the message. A written message is called for when the information is complex, when a permanent record is needed for future reference, when the audience is large and geographically dispersed, and when immediate interaction with the audience is either unimportant or undesirable.

CHAPTER

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PRINCIPLES OF EFFECTIVE COMMUNICATION The business letter is an important method of communication, despite the fact that land phones and mobile phones and faxes have become popular in a big way. The letter maintains the personal touch, serves as a permanent record and can be referred to when required. Copies can be made and circulated to others for information. Letters can be written for a number of reasons— • • • • • • •

To get quotations To give orders To lodge and answer complaints To make credit enquiries To write memos To write reports To maintain good public relations, etc.

In order to make all these written correspondence effective, you must follow certain principles. In this chapter, you will learn about these principles in detail. Actually, they can be applied to any type of communication, be it written, oral or using technology. But they are most essential when it comes to written communication. A properly organized message will be an effective message. But this is not easy. It often becomes a challenge. But this challenge becomes easy when you know and understand what good organization is. The following guidelines will help you to systematize and recognize a well-organized message: 1. The subject and purpose must be clear. 2. All the information must be related to the subject and the purpose.

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3. The ideas must be grouped and presented in a logical way. 4. All necessary information must be included. Why is good organization important? You might be asking yourself, “Does it really matter? Who cares whether the message is well organized, as long as the point is eventually made? Why not just let the ideas flow naturally. The audience will definitely understand.” In short, the answer is simple: by arranging your ideas logically and diplomatically, you are able to satisfy the audiences’ informational, motivational and practical needs. A well-organized message presents all the required information in a convincing pattern, with maximum efficiency. There are many reasons why written communication must be well organized. •

•

•

•

If a whole document is disorganized, it is impossible to make sense out of it. If you want your reader to understand what you are saying, good organization is one of your handiest tools. It pays off because it makes your message easier to decipher and remember. A well-organized message satisfies the audience’s need for information. There should be a proper flow of thoughts from the beginning to the end. Good organization also helps you to get your ideas across without upsetting your audience, e.g., if it is a letter written by a company, in response to a customer complaint, it will be good if it is well-organized and well-worded. The reader will also not get upset and you will also have achieved your objective. A well-organized message saves the audience’s time. In addition to being convincing, it is also efficient. It contains only relevant information. It satisfies the audience’s need for convenience. The reader does not have to waste time on superfluous information. What they need is there. They do not have to scan entire pages to get one simple piece of relevant information. The reader can follow the pattern without a struggle. Organizing a message makes your own writing process simpler. If you organize your message, it helps you not to waste time while writing. By thinking about what you’re going to say and how you’re going to say it before you write, you can proceed more confidently.

C’s of effective communication The qualities, which are essential for a good letter, are collectively called the C’s of effective communication. This is because most of them begin with a ‘C’. 1. Completeness: Needless to say, any communication MUST be complete. If there are missing gaps or if it leaves the reader dissatisfied, it will not be called effective communication, e.g., you have placed an order for pens. You specify the rate, type and colour of the pens. But you forget to mention the quantity. This will be called an incomplete order or communication. The pen manufacturing company will have

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to send another letter to you, asking about the number of pieces you want. If the order was complete in the first instance, and ALL the details had been included, there would not have been any need for more letter exchanges, and time would not have been wasted. The order would have been executed earlier. Sometimes, incomplete communication can also lead to expensive mistakes. The message should be organized in such a way that anyone who reads has no doubt about anything contained in it. An easy way to ensure the completeness of a communication is by asking yourself the 5 Ws— • Who e.g., WHO asked the questions in the interview? • What e.g., WHAT did they ask? • Where e.g., WHERE did you go for the interview? • When e.g., WHEN did you go for the interview? • Why e.g., WHY did you go for the interview? 2. Clarity: The receiver learns about the sender’s thoughts through what he writes or says. If the written message is clear, it is easier for the reader to understand. If it is unclear, it can be misinterpreted and can lead to wrong actions by the receiver. If the following points are kept in mind, writing clear messages can become an easy activity. • Use simple words: We must remember that all people may not be on our level of understanding. Words familiar to one reader could be unfamiliar to another. e.g., DIFFICULT Circumvent Ascertain Consummate

EASY Avoid Find out, Learn Close, Bring about

•

The stationery used should be appropriate: If dirty and shoddy paper is used, the writing will not be clear. e.g., If you are writing a letter to apply for a job, you should use a proper, standard size, new paper sheet, not a torn chit. •

Use verbs instead of nouns–this often brings about simplicity and clarity, as verbs are used more commonly. e.g., NOUN Make a decision Take into consideration

VERB Decide Consider

• The language should be appropriate for the receiver. e.g., If he does not understand English, make sure you do not write in that language. Also care should be taken to make sure that the level of comprehension of the receiver is the same as that of the sender.

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Replace long phrases with single words–sometimes long, pompous phrases distract the reader. In such situations, it is preferable to replace them with short, single words. e.g., LONG PHRASE Will you be kind enough? On account of Subsequent to Despite the fact that

•

SINGLE WORD Please Because of After Although

Avoid using words, which convey the same meaning again. e.g., My personal cupboard Revert back 9A.M. in the morning

my cupboard revert 9A.M.

Use concrete expressions. Do not give vague, generalized statements. i.e., whatever you write should convey some clear and concrete meaning to the reader. He should not be left to interpret it in his own way. e.g., The interest rate for long-term savings is very low. (Wrong) The interest rate for long-term savings is 6%. (Right) Low can mean more to some people and high to some people. They will interpret it by their own experiences. •

Do not use words like: Big Small Stiff Least Frequent Large Small Easy Difficult

These are subjective words and their interpretation depends on the reader. e.g., If 5 people are absent in a group of 8, then it will be said that ‘many’ are absent. However, if 5 people are absent in a group of 100, it will be said that ‘few’ are absent. The number ‘5’ is the same, but the interpretation varies. VAGUE AND GENERAL My son has got bad marks My saree is cheap

•

CONCRETE AND EFFECTIVE My son has got 7 on 10 My saree costs Rs. 2000

Avoid Jargon—‘Jargon’ refers to the special language of a trade, profession, field of study or play. It may refer to the words as well as the style of writing. Jargon creates

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difficulties in understanding. e.g., in medical jargon, there are words that doctors use all the time, but which make no sense to the others. UNACCEPTABLE We shall advise you We acknowledge…

•

PREFERABLE We shall let you know Thanks for your letter…

Don’t be ambiguous–If your message has more than one meaning, it is ambiguous. Ambiguity can be caused because of a number of reasons. Some of them are as follows–

1. By a careless use of personal pronouns. e.g., Amita told Vanita that she was not being transferred. In this sentence, it is not clear whether Amita or Vanita are being referred to in the sentence. 2. By an indecisive placing of an adverb, e.g., Only the report has been checked by the manager The report has only been checked by the manager The report has been checked by the manager only All three sentences have completely different meanings. 3. By faulty punctuation. e.g., The road sign shows the following two cases: “GO SLOW. MEN AT WORK.” Right “GO SLOW MEN. AT WORK.” Wrong 4. By using words that have two valid meanings. e.g., The word dispense has two meanings— (i) Dispense: To prepare medicines. e.g., the chemist dispensed the drugs. (ii) Dispense: To get rid of. e.g., the manager dispensed with his workers. If a counter puts up a notice “our motto is to dispense customers quickly.” Then it becomes vague and ambiguous for the person who is reading it. You do not know what the shop actually wants to convey. Use short sentences: Make an effort to use short sentences. Long sentences tend to confuse the reader and lead him/her onto a tangent. Short sentences always tend to communicate better than long ones. Use one sentence to convey one idea. When you reach another idea, use a full stop and start a new sentence. Use strong words where necessary: Use nouns and verbs as much as you can. Verbs are especially powerful. UNACCEPTABLE Wealthy businessman Business prosperity

PREFERABLE tycoon boom

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Follow a logical sequence of ideas. Don’t start with a concluding remark and then hop on to the middle and then to the starting remarks. There should be a proper flow to any written or oral communication so that the person, who is reading or listening to it, can understand without any effort. 3. Conciseness: This means expressing much in a few words. For all of us time is invaluable: for the person who is writing and especially for the person who is reading. In business terms, conciseness means keeping to the point. But this brevity should be there without sacrificing the other principles of effective communication like clarity, completeness etc. Mark Twain said, “If I had more time, I would have written a shorter book.” It is very difficult to say what you have to say and say it in as few words as possible. Brevity and conciseness means making every word count. Since you can use only a few words, be sure that they convey a lot of meaning. Do not include unnecessary, frivolous remarks. It is not businesslike to do so. You will be compromising on this important principle of business communication which is—conciseness. There is no hard and fast rule as to how long or how short a written communication should be. The sender has to decide that himself. Sometimes two lines is a long communication and at other times two pages is also not enough. This depends on the topic, purpose and occasion that you are writing for. Conciseness can be achieved by following some simple rules— Leave out unnecessary words Leave out unnecessary facts Avoid repeating words and thoughts Avoid wordy expressions. Replace them with shorter words or phrases Organize the message properly before actually writing it. Conciseness and clarity are closely related; if someone is clear in his writing, he will most definitely be concise. 4. Courtesy: Courtesy is keeping other peoples feelings in mind. We can see and observe courtesy in a person’s behaviour with others. A well-mannered and courteous person is a pleasure to be with. It is also possible to display courteousness in business writing. The style you adopt in writing, the words you choose, reflects the courtesy of the person who is writing. Business writing demands courtesy. Even if harsh letters are to be written, they can be written courteously. This will go a long way in establishing a person’s popularity in the business world. You can ensure courtesy in business writing, by following some simple rules. • Answer the letters promptly: Needless to say, this is basic courtesy. All letters must be attended to as soon as possible. May be also the same day that they are received. In case the sender has asked detailed questions and you have to gather a few details before answering, at least acknowledge the letter that day itself. Tell him that you will be replying in detail before a certain date and keep to that date.

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All missed telephone calls should be answered as soon as possible. In modern business communication, where most of the exchange of ideas is over e-mail, it is much easier to reply promptly. Nevertheless, a business manager MUST ensure basic courtesy and it will do him/her a lot of good, to adhere to this. • Use courteous words: e.g., Please, Thank you, Sorry, as the situation requires. • Express appropriate feelings as per the situation: e.g., If someone starts a new business or gets a promotion, you should congratulate him/her heartily. Good wishes can be sent at the beginning of a friend’s new venture. Sympathy should be expressed when someone suffers a personal or business loss. • Send the message at the correct place: Do not unnecessarily send information just because it is ready and lying with you. It should only be done at the right time. e.g., birthday wishes should be sent only on a birthday. • Do not be unnecessarily demanding: Ask only what is logical and possible. Be considerate. It may cause unnecessary embarrassment for the receiver of the message if he has to refuse you. • If you have made an omission, apologise sincerely: If you have to ask for a favorbusiness or personal, request properly. After the favor has been conceded, thank the person generously. It is very important to express these emotions promptly. The value of the apology and the thank you decrease with time. These have the greatest impact if done immediately. • Send your communication at the right time: e.g., if your boss is on holiday, you do not send him unnecessary, routine messages. You will contact him only in an emergency. • Avoid irritating expressions: Some particular words have a negative connotation and don’t make the reader happy. Particularly, when they are combined with the word ‘you’ they increase their irritating value. e.g., ‘you are careless’, ‘you forgot’, ‘you failed’. • Make the other person feel comfortable with the communication: This is basic courtesy. It can and should be displayed in the opening sentence itself. e.g., “We appreciate your prompt response to our complaint.” Or “We are sorry to hear about your loss.” • Modulate your tone according to the situation in case you are communicating orally: Your written words also can be chosen according to the situation. The style of your message should also not offend the reader. All in all, your overall communication should be courteous. • Be respectful when you are communicating with a senior person: Even downward communication demands basic courtesy. It is not right that if you are a boss and you are writing to junior employee, you can be rude. Basic courtesy has to be there. 5. Consideration: This refers to keeping the readers feelings in mind and trying not to hurt him in any possible way. The letter must show consideration for the reader. This can be done in the following ways—

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Avoid Bias: Most of us think of ourselves as being, unbiased, fair and sensitive. But, we must also appear to be fair in our writing. There can be many types of bias—on the basis of gender, racial, age and disability. Gender or sexual bias: For many years, the word man, denoted humanity, describing a human being of any gender or age. e.g., UNACCEPTABLE Mankind Manpower Businessman Insurance man Foreman

PREFERABLE Humanity Workers, work force Businessperson Insurance agent Supervisor

Racial and ethnic bias: The guidelines are much the same as those for avoiding gender bias. The main rule is to avoid language suggesting that members of one racial or ethnic group have the same characteristics; different from others. e.g., UNACCEPTABLE Disadvantaged black children Ramu is an unusually tall Indian Subbu, the Indian Mayor of London

PREFERABLE Children from lower income families. Ramu is tall Subbu, the Mayor of London

Age Bias: The age of a person must be mentioned only when it is relevant. If it is used unnecessarily, the communication sounds biased. e.g., UNACCEPTABLE Atal Bihari Vajpayee, 72, has just become our Prime minister.

PREFERABLE Atal Bihari Vajpayee, has just become our Prime Minister.

Disability bias: People with a physical, mental, sensory or emotional impairment have no painless labelling. However, if it does have to be mentioned, it should be done in a preferable and non-insulting way. e.g., UNACCEPTABLE

PREFERABLE

Crippled workers face

Disabled workers face

many hardships. An epileptic, Tara has no trouble in her job.

many hardships. Tara’s epilepsy has no effect on her job performance.

Adopt the ‘you’ attitude: You should try to project yourself into your reader’s shoes. What are their expectations? How will they feel? You should try to establish empathy with the reader. You should try to see the subject through their eyes and not your own. Too many businesses have an ‘I’ or ‘we’ attitude, which causes the sender to sound selfish and not interested in the reader. If you want the receiver to go along with you, you should adopt the ‘you’ attitude i.e., present the same things in a way that it is advantageous to the reader. In simple words, use you and yours instead of I, me and mine or we, us and ours. e.g.,

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INSTEAD OF THIS To help ‘us’ in processing your application, ‘we’ must get your complete Bio-Data.

USE THIS So that ‘your’ application can be processed early, ‘you’ must give us ‘your’ complete Bio-Data.

‘We’ offer the typewriter between ribbon in three colorsblue, black and red.

Now ‘you’ can choose between three colors of typewriter ribbons-Blue, black and red.

In some cases, you are justified in not using the ‘you’ terminology. This is when you want to minimize the possibility of ill will. e.g., you might want to say-‘there is a problem’ instead of ‘you caused the problem.’ INSTEAD OF THIS You must correct all five copies before noon.

USE THIS All five copies must be corrected before noon.

You should never use that kind of paper in the machine.

That kind of paper should never be used in the machine.

In any case, the best way of using the ‘you’ attitude is to be really sincere in thinking about the audience. It is not just using the pronoun; it is a matter of genuine empathy. You can use you 25 times in a page and still ignore your audiences’ true concerns. In the final analysis, it is the thought that really counts. If you’re talking to a retailer, try to think like him, if you are talking to your customer, think like him. Emphasize the positive: Another way of showing sensitivity to your audience is by emphasizing the positive side of your message. Focus on the silver lining, not on the dark cloud. Stress on ‘what is’ or ‘will be’ instead of ‘what isn’t’ or ‘will not be.’ Most information, even bad news, has at least some redeeming feature. If you can make your audience more aware of that feature, your communication will be more acceptable. It will have more consideration. e.g., INSTEAD OF THIS It is impossible to repair this vacuum cleaner today. We never exchange damaged goods.

USE THIS We can repair your vacuum cleaner by Tuesday. We are happy to exchange goods that are returned to us in a good condition.

When you are criticizing or correcting, don’t go on and on about the other person’s mistakes. Avoid referring to failures, problems or shortcomings. Instead, focus on, what the other person can do to improve. e.g.,

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USE THIS These dishes are sensitive to temperature shock and should be allowed to cool gradually when they are taken out from the oven. The performance of this department can be improved if they tighten up their costs.

Try to state your message without using words that might hurt or offend your audience. Instead of words with unpleasant connotations, use mild terms (Euphemisms). Instead of advertising ‘cheap goods’, say, ‘Bargain goods.’ Instead of saying ‘Pimple problems’ say, ‘Complexion problems.’ Gentle terms wont change the facts, but they will make the facts more acceptable. e.g., POSSIBLY OFFENSIVE Toilet paper Used cars Sweaty armpits High-calorie food

INOFFENSIVE Bathroom tissue Resale cars Underarm wetness High-energy food

6. Correctness: Any communication should be correct in all ways. There should be nothing wrong about the letter or written in the letter. The writer should strive for correct communication at all times. There are many aspects of a communication by which it can satisfy the correctness principle. They are– It should give correct facts and information: Wrong information is most dangerous. It will lead to loss of goodwill and loss of business. All dates, financial numbers, maps, time and other details should be in agreement. You should not give one figure for a news item in one place and change the figure for the same news item in another place. Nothing is more confusing than mismatched information. e.g., the minimum temperature in New Delhi was recorded as 5 degrees. It was a cool day and sales of woollen garments was brisk. Since the temperature had come down to 4 degrees, people were queuing up to buy the latest in winter wear. NOTE-the temperature has been mentioned differently in different places. This does not give correct information and it is not proper communication. It should be sent at the correct time: Needless to say, a late message is a wasted message. If an invitation card reaches you after the event is over, or if the admit card reaches you when the exam is over, it is not useful. Also, some information can get outdated, so it is best to ensure that it reaches the receiver at the correct time, when it will be most effective. The style of the message must be correct as also the tone and formality of the letter: They must be appropriate to the subject matter that is written about. e.g., If it is an apology, it must be different from a request. Also none of the emotions must be overemphasized. It must remain business-like.

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The letter should be correct in spelling, grammar and language: There can be nothing more incorrect and sloppy than wrong spellings and wrong grammar. It distracts the reader’s attention from the actual message, and creates a very bad impression about the person who has written the letter, and also the organization he/she represents. Misspelt words create a totally wrong impression. If you do not know the spelling of words, make sure you check it out from the dictionary and write only correct spellings. Above all, the letter must be on appropriate, clean stationery: It should be neatly folded and not display an untidy appearance. The layout should be correct and the letterhead should be complete. Appropriate margins should be left on all sides. All in all, written correspondence should be professional. 7. Pertinency: The written material should be pertinent and appropriate to the topic being written about. The writer must not simply write anything what he wants. Expressions of irritability, sarcastic remarks, etc. have no place in business communication. The whole document should serve the purpose for which it has been written. e.g., If the purpose of writing the letter is to file a complaint with the supplier, it makes no sense to start praising them lavishly. That will not be pertinent. 8. Cheerfulness: The writer must never maintain a pessimistic and negative approach. All business correspondence must breathe a spirit and attitude of positive thinking and optimism. The tone and style of the letters should be friendly and convincing. That is not to say that you cannot write about the mistakes that have been made or the losses that have been incurred. You have to write about various things in the course of business, but care must be taken not to make the whole letter depressing. It does not render itself appropriate to be read by the receiver and it is less likely to serve the purpose. On the other hand, if a complaint is also written about in a positive manner and some suitable suggestions are given for rectifying the complaint, it is more likely that it will catch the attention of the receiver. No one likes to see depressing and sad things, least of all negative and pessimistic business letters. To sum up—effective communication is the cornerstone of success in the ever-quickening pace of business life. Businessmen who succeed are those who can think well, express their ideas clearly and speak them out directly. They will be very frequently, called upon to write, to report, or to speak. On all such occasions, their success depends upon how effectively, persuasively and convincingly they write, report and speak. All writings should be relevant to the subject matter, precise and concise in language and courteous in expression. They should convey the sense fully and clearly and impress the reader effectively. REVIEW QUESTIONS Section A 1. What do you mean by a COMPLETE communication? 2. Explain PERTINANCY in a communication.

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Section B 1. How is CONCISENESS important in a business letter? 2. Write short notes on the following(i) Pertinence in business writing (ii) The disadvantages of an incomplete letter (iii) A courteous letter 3. Suggest simple words for the following– (Hint: use a Thesaurus) (i) Procrastinate (ii) Deviate (iii) Eliminate (iv) Embargo (v) Controversial (vi) Alteration (vii) Complacent (viii) Anticipate (ix) Compensate (x) Accumulate Section C 1. If a businessman has to retain its customer, he has to see things from the customer’s viewpoint. Elaborate on this and write about the ‘you’ attitude. 2. Rewrite the following sentences to eliminate bias. (i) For an Indian, Sushma is certainly outgoing. (ii) He needs a wheelchair, but he doesn’t let his handicap affect his job performance. (iii) A pilot must have the ability to stay calm under pressure, and then he must be trained to cope with any problems that arise. (iv) Vijaylakshmi got married, bought a nice home with a swimming pool, and he’s black. (v) Senior citizen Ram is still an active salesman. 3. Remove all unnecessary modifiers from the following sentences– (i) Tremendously high pay increases were given to the extraordinarily skilled and extremely conscientious workers. (ii) The Union’s proposals were extremely demanding, highly inflammatory, and exceptionally bold.

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CHAPTER

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IMPORTANCE OF COMMERCIAL CORRESPONDENCE Correspondence refers to communication by letters. Communication can be personal or commercial. Casual letters between friends and relatives are called personal letters. The other letters, which are exchanged for the purpose of conducting business, are called commercial letters. Thus ‘commercial correspondence’ includes all letters and written communication that is used in the conduct of business. Each letter acts as a silent ambassador of the writer and his organization. We can say this because; each letter will convey the thoughts and feelings of the writer and what he has to say on behalf of his enterprise. Commercial correspondence should be free from all personal contact. It should be clear, explicit and un-ambiguous. It should relate only to business. NEED FOR COMMERCIAL CORRESPONDENCE Modern business is reaching large-scale operations. If business were allowed to be carried out orally, it would lead to major confusions and discrepancies. Commercial correspondence includes written documents that are necessary for the smooth conduct of business. Examples can be business letters, memos, forms, reports etc. In the complex world of business and commerce, there are umpteen situations that require commercial correspondence. These situations are vital for day-to-day activities as well as strategic decision-making. Some situations that call for commercial correspondence or business writing are— • • • •

Contacting customers for orders Replying to complaints from the consumers Asking for supply of raw materials Contacting legal authorities for clarifications

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Adjustment of customer grievances Contacting the local government for clearances Contacting insurance companies for the necessary coverage Marketing products and services Acknowledging and executing orders Sending statement of accounts to debtors Scouting for new products Sending employees for training programs Organizing trade fairs and exhibitions Soliciting enquiries For export and import

Oral communication through telephone and fax has become very convenient and fast. But, it has to be followed up with some form of written correspondence. When this is related to trade, business and commerce, it is called commercial correspondence. There are many basic functions that are fulfilled by all commercial correspondence. It is a permanent record: Telephone conversations can be forgotten or denied later, but written documents are a proof of what has taken place. They are there for a longer period of time. For example, if a person places an order on telephone and later denies it, it is better to have a confirmed, signed copy of his intention. This can be used as a proof of the order given. They form a lasting impression. It can be used to give job instructions: Job instructions are guidelines given to people in offices, that instructs them about their work. It details the various duties they have to perform, and informs, how they can do it. It is important that complete and correct job instructions are given This will prevent lapses and mistakes. Also they will know when they are expected to do a particular job and by which date they have to finish it. It is cheaper: Written documents cost less than a telephone call or a fax. Especially if it is over long distances. For example, a letter to place an order from Chennai to New York will cost less money than a telephone call. It is more convenient: It can be done at any time and dispatched. If communication has to be done over telephone, you will have to wait till both the parties are free, and in a suitable frame of mind for the communication. It can be used for future reference: This is especially in the case of external communication. Lawsuits, real estate records, ownership deeds and other matters are best on paper. Commercial correspondence fills the need perfectly. It is better not to depend on oral communication for all this. It replaces a human resource: In places and times when it is not convenient to send a person, commercial correspondence can be used. Also, some people are difficult to approach. They may be very busy or may be travelling often. Or, they may hold very high posts and

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may not be approachable, e.g., Prime Minister, Chief Minister, CEO’s, etc. In these cases, commercial correspondence can find easy access to one and all. They can reach anyone, at any place, at any point of time. It is non-intrusive. You can use it to seek or give information: Commercial correspondence or business writing contains a host of important information. This can be related to internal happening or incidents external to the organization. In fact, this is a very important function. Detailed reports, minutes of meeting, feedback about products and services, performance appraisals etc., are all example of the type of information that can be exchanged through commercial correspondence. It can be used to build goodwill: Good business writing presented on professional stationery and in an appropriate style can go a long way in improving the image of the company. That is why; it is very essential for the person involved in business writing to be properly trained and knowledgeable in the different styles and layouts of letter writing. He/ She should be aware of special tips that can improve the presentation of the correspondence. Neatly presented commercial correspondence on the appropriate paper and envelopes can improve the goodwill of an organization. There are some faults that should not be seen on any type of commercial correspondence: These common errors can mar an otherwise professionally written business letter. You must be careful to check that the following mentioned faults do not creep into your business letters. • • • • • • • • • •

Incomplete letters Negative letters Irritable letters Badly spelled and punctuated letters Dull and boring letters Rambling letters Ungrammatical letters Self-centered letters Letters full of stale phrases Obscure letters

Business letters can be of different types— Official letters: These are written to government or private bodies. They are written under the official letterhead of the organization. These letters are on behalf of the enterprise. e.g., Sales letters, Collection letters, etc. They are not addressed by name, only by the designation of the addressee. Demi-official letters or D.O. letters: The purpose of these letters is official, but the addressee is mentioned by name. These are written when the matter is confidential, and

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does not have to be shared between other employees of the same organization. When the personal attention of the addressee is needed, also we write demi-official letters. e.g., For admission to schools and colleges. Memos: They are tools of internal communication. They are used in both government and non-government offices. Details are given in a subsequent chapter. Form letters: These are used for routine correspondence. They have a standard form with blanks for personalized information. They are pre-printed and are hence easy to use for routine correspondence. Depending on the occasion and the purpose, the blanks have to be filled appropriately. They are not personalized, but help in saving considerable time, effort and money. e.g., Questionnaires with closed-ended questions. You only have to ‘tick’ the required columns. Order form letters are also made in a similar way. The customer just has to fill up the required forms or tick the relevant boxes to place his order. OTHER ASPECTS OF BUSINESS LETTERS A business letter has a distinctive structure and appearance. Each part has been established by custom and the standard format is followed because it is familiar to all and is convenient. The appearance of a letter depends on all the things that are associated with it. Some of them are being listed below, so that you become aware of them and realize how important they are in business communication. Stationery: This must be of reasonable quality as suited to the organization. The paper must preferably be white and the type should be in black or blue. The paper quality of the envelope should match that of the letter. Folding: It is very important that the folding is neat. The size of the folded letter should be such that it fits into the envelope and also leaves enough space to open the envelope without tearing it. Address: This should be neatly written halfway down and one-third of the way from the left. This ensures that it fits in the center of the envelope. Its appearance is very important since the receiver sees the envelope before the letter. Continuation sheets: These are used if the letter does not fit into one page. The continuation sheet should be of the same size and quality as the first sheet. The continuation sheets do not however have the regular printed letterhead on top. These sheets are numbered consecutively. The only thing that appears on continuation sheets is the name of the receiver, the page number and the date of the letter. Size of the paper: The size of the paper on which business letters are typed varies. However, we now find more and more people using the standard A4 sheets for business correspondence. It is better to use sheets of standard and generally accepted sizes since they also will fit into the files of the receiver easily and he does not get inconvenienced. Envelope: Normally, different size envelopes are used. Depending on their requirement and the size of paper being used, the company decides the type of envelope that will be used.

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The company’ name and address can be printed on the bottom left-hand corner of the cover. Some companies also print it on the back fold of the envelope. The common colours of the envelopes are brown, white and pink. Some special envelopes (i) Window envelope: They have a transparent polythene panel on the place where the address is normally written. The letter is folded and inserted in such a way that the address is visible and legible through the transparent panel. The window envelopes eliminate the need for typing the receiver’s address again on the cover. These are not normally used for confidential letters. (ii) Business reply envelope: This is a special type of an envelope in which the address of the recipient is already written. The addressee prepays the postage value. It is used in situations, when you are sure that the sender will not make the effort to write a letter and buy an envelope, buy the postage and stick it on the cover. It is to ensure that the sender has problem free writing, with minimum effort. You can see these business reply envelopes with magazine subscription offers. REVIEW QUESTIONS Section A 1. Write short notes on— (a) Continuation sheets (b) Business reply envelope (c) Window cover (d) D.O. letters Section B 1. What are form letters? When are they used? 2. Name some situations in which companies do commercial correspondence. 3. There are some things that one must avoid while writing commercial or business letters. What are they? Section C 1. What is the use of commercial correspondence?

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CHAPTER

3

VISUAL AIDS Visual aids perform three main functions: increase the message’s clarity, reinforce the message’s impact, and increase the speaker’s dynamism. In the end, visual aids can increase your credibility. However, when done ineffectively, they can hurt you even more. The biggest mistake people make is relying on their visual aids too much. They are there to aid, not tell the story. There are four basic types of visual aids: 1. Objects: actual props that the audience can see and touch (i.e., a camera, model, person, etc.). 2. Graphics: two dimensional visuals (i.e., pictures, diagrams, graphs, charts, maps, etc.). 3. Projections: an image cast onto a screen (i.e., overhead transparencies, slides, films, etc.). 4. Handouts: graphic visuals distributed to the audience. To protect readers from becoming overwhelmed by written text, writers must select appropriate methods of presenting text and data. “One picture is worth a thousand words” is an old but meaningful saying. Material that can be reported in a table, picture, graph or chart will make your written matter more effective and clearer to the reader. Imagine trying to display all the information available in a financial statement. Several hundred pages may be required. But, by presenting it in a tabular form, all the information could be condensed and effectively displayed in three to four pages. e.g., Balance Sheets and Profit & Loss Statements. Graphics go hand in hand with the written matter and oral discussion to achieve clarity and ease. “VISUALS: Into the head through the eyes” Visuals can be a great way to attract attention. Most of us are attracted to visuals, whether photographs or designs, whether in

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colour or black in white. We tend to look at graphics before we read the text. Visual aids are easily understood. For example, silent movies are watched and understood by all. Also if we view movies in foreign languages, we do understand it even though we do not know the language. Such is the power of visuals. When you use visual aids, you do not need education and literacy to convey meaning. For example, villagers and rural people perfectly understand and comprehend directions and signs. When to use visual aids? To clarify • It can help in supporting text descriptions. e.g., quantitative or numerical information • Explanation of trends. e.g., rate of fall of population • Description of procedures • Descriptions of relationships • Displaying locations. e.g., maps • Depicting composition of items. To simplify Break complicated descriptions into components. e.g., engineering drawings, flow charts, organizational charts, diagrams. To emphasize • To call attention to particularly important points. e.g., using graphs and pie charts. To summarize • For reviewing major points at the end of a presentation or composition. e.g., using a chart or table that sums up. To reinforce • By duplicating presentation. e.g., Presenting it in the written and graphic form. To attract • By making written material more interesting by decorating it. e.g., Cover pages, projects etc. To impress • By presenting the matter in a visual form to convey an authentic and hi-tech impression. To unify • By depicting the relationship between different aspects. e.g., Charts etc.

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To direct action • By displaying signs that convey meaning. e.g., traffic and road signs. Why business professional use visual aids? Your audience is wide and they may not have any interest in your ideas at all. In addition, numbers especially become a maze. Increasingly people rely heavily on visual images for number interpretation. They think in terms of trend lines, distribution curves and percentages. An upward curve normally signifies good news in any language, Tamil or English. (Except for a graph showing losses!) Visual aids also attract and hold peoples attention and help them understand and remember the message. In one study, 40 people were exposed to presentations with and without graphics (Visuals), with the following results. •

In presentations using visual aids, the speaker was able to convince the audience two-thirds of the time. Speakers who did not use visuals won the audience only half the time. • Decision-making was improved by 20% when graphics were used. • Meetings involving the use of visual aids were 28% shorter in time than meeting where no graphics were used. • 10% more of the audience walked out of the presentation when visual aids were not used. Despite their value, visual aids must be used selectively. The illustrative material in a report or presentation should supplement the written or spoken word, not replace it. Hence, we must limit our use of visuals. Overuse of visuals can cause problems. Some people go overboard and put everything in visuals. You’ve got to remember, though, that visual aids are there to emphasize your points, not to do the whole job for you. Just show the things that you want to highlight, and keep the visuals simple so that people don’t get lost in them. Remember that a visual aid is just that: an aid. Good visuals are worth a hundred words. But bad visuals can distract and detract from your text and can undermine the impact of your writing. The process of visualizing your text Translating words and numbers into a graphic form is generally an integral part of the process of preparing a report or a presentation. Some of the facts in the written material lend itself to a prose presentation; others may be more easily expressed in a graphic form. When planning visual aids— • Decide what you want to say. • Pick out the points that can be best said visually. • Judge whether you have too many or too few graphics. • Use visual aids to simplify, clarify and emphasize important information.

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In general, use visual aids to supplement the story you are telling in words. The construction and placement of visual aids requires a good deal of both imagination and attention to detail. In oral and written reports, several questions can help to determine whether using a graphic presentation is appropriate and effective. • • • •

Does the graphic presentation contribute to the overall understanding of the subject? Would it assist the reader? Can the written material be covered adequately in words? Graphics should be saved for things that are difficult to understand in textual matter. Is the graphic easily understood? Is the graphic honest?

How to use visuals? Michael Keene, author of Effective Professional Writing, recommends three guidelines for using visuals to attract attention. 1. Accessibility: The visual must be located somewhere nearby to the text to which it relates. Make it easy for readers to find and read your chart or graph and at the same time refer to the text. 2. Appropriateness: There are many kinds of visuals. You, as a writer, should make sure that you use a visual is appropriate to your text. 3. Accuracy: The numbers in your tables and graphs must be correct. The labels and captions should be appropriate, so that the whole thing make logical sense. Compare the information in your visuals with the information in your text. They should be the same. Remember to acknowledge the source of the data you use. The following list presents the basic advantages and disadvantages of the commonly used visuals. •

Tables: They can convey statistical data. A table consists of an ordered arrangement of rows and columns. Age table

First name Alka

Last name Singh

Priya Lina Lalitha

Rao Agarwal Gupta

Age 33 43 23 37

Visual Aids

•

•

•

•

Pie charts: They are appropriate to display percentages of a whole. Pie graphs are used to show how different elements come together to make a whole. Each “slice” of the pie graph represents a percentage of the whole, giving an audience a visual image of the relative size of the different “slices.” A sample pie graph follows (These data are fictional). Bar graphs: They compare 10 or fewer items. A sample of an effective bar graph follows. (The data on fat grams made up is fictitious). Line graphs: They show a pattern over time. Line graphs can be used to show trends over time. If you want to show growth or change in an entity for several months or years, a line graph will present a visual map of the changes. A sample line graph follows (These data are real. The data are from Newsweek, November 25, 2002). Pictograms: A pictogram or pictograph is a symbol representing a concept, object, activity, place or event by illustration. They are to attract the reader’s attention towards the creative aspect, and not for highly accurate comparisons. Pictograms remain in common use today, serving as signs or instructions. Because of their graphical nature and fairly realistic style, they are widely used to indicate public toilets, or places such as airports and train stations. However, even these symbols are highly culture-specific. For example, in some cultures men commonly wear dresslike clothing, so even restroom signage is not universal.

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The top traffic sign warns people of horses and riders

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Flowcharts: These are used to show a step-by-step diagram of a procedure. A flowchart is defined as a pictorial representation describing a process studied or even used for planning project stages. Flowcharts tend to provide people with a common language or reference point when dealing with a project or a process.

A flowchart to find the sum of first 50 natural numbers

•

Diagrams: These are used to depict items pictorially. They are drawn mechanically keeping in mind the actual item. It is a simple representation on paper of the real object for easy understanding.

Diagram of the heart

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Photographs: To set a mood or show an actual situation or person. Everest from Kala Patthar in Nepal

•

Maps: To help visualize geographical relationships. A map is a symbolized depiction of a space which highlights relations between components (objects, regions, themes) of that space. Most usually a map is a two-dimensional, geometrically accurate representation of a three-dimensional space; e.g., a geographical map. Physical map of the earth

•

Other graphics: e.g., Floor plans, cartoons and blueprints.

The increased use of graphics is because of the ease of their inclusion due to computers and sophisticated graphics and drawing software. Where to use visuals? Placing a visual after the text, suggests that it lacks importance. Also, several visuals should not be placed together at the end. It minimizes the impact that each might have had, if placed separately.

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Placing a visual before you refer to it in the text, suggests that it is more important than the text itself. No one will, later read the text. Many experts feel that it is most effective to place the visual immediately next to the place where it is referred to in the text. • • • • •

Visual aids enhance understanding. Visual aids enhance memory. Visual aids help listeners organize ideas. Visual aids help gain and maintain attention. Visual aids illustrate events and procedures.

Colours, white space symbols and typefaces are other examples of visual aids. They can be used very effectively by their strategic placement. They can add to the emphasis and attention of text. Colour helps make a point more effectively than black and white, though black and white is the only colour scheme to use in most business writing. But there’s more to colour in visual aids than simply picking colours that appeal to you. To choose an effective colour scheme, answer these questions first. What colours will best convey the best effect I want? As a general rule, bright solid colours are more pleasing to the eye and easier to distinguish than pastel, patterned colours. Too many colours overwhelm the reader. Use colour as an accent, bright colour for emphasis and darker or lighter colours for background information. Are these colours appropriate for my message, purpose and audience? People of different cultures have different associations with colours. For example, Red colour generally means ‘losses’ and so it is not right to use it for showing profits on a graph. Similarly, colours have different connotations. Can I improve the effect by changing any of the colours? When you have an opportunity to use more than one colour, use contrasting colours. Similar colours blend together and can confuse the reader.

CHARTS The appropriate use of well-designed charts can aid considerably in sustaining reader interest. They are an indispensable aid for presentations and speeches. They can—

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Aid reader comprehension Emphasize certain parts of the text Create interest Sustain interest Save time Save energy in explaining.

They have an outstanding visual impact, especially for narrative text and lectures. They should therefore be used only for presenting information that is important and things that can be depicted easily and grasped quickly. Charts should be designed for simplicity. If too much information is stuffed in a single chart, the effect will be confusing. The impact of the information will also get reduced. It is better to make separate charts for different topics. Well-designed, attractive charts should have only one real message or objective. That should come out clearly in a single glance. The reader should not have to study the chart at length, like a textbook, to understand the detailed meaning of the topic. A chart is very helpful in lectures and classroom situations. It is easy to teach flowcharts, pictures, processes and anatomies on charts. Another advantage is that the charts can be reused for subsequent sessions, if preserved properly. VISUAL AIDS GUIDELINES • • • • • • • • • • • •

Does it make your topic clearer, easier to understand, and show something that you can’t really explain using only words? If your aid doesn’t do this, you don’t need it. Is the subject too simple or complex to use a visual aid? NEVER insult or confuse your audience with a visual aid. Discuss all of the objects you are using as visual aids; don’t bring anything that will not incorporate into your talk. Practice handling your visual aid so that you will be comfortable in using it. Handouts are not visual aids. If you want to pass something out, do so at the end of your speech to avoid any handout material from being a distraction. Prepare polished, professional looking visual aids. Rehearse with your visual aids. Explain ALL of your visual aids. Do not pass objects around to audience. Use technology effectively. Remember: if something can go wrong, it will—so have a contingency plan.

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REVIEW QUESTIONS Section A 1. Write a short note on charts. 2. What are visual? Section B 1. Explain the commonly used type of visuals. 2. What is the harm if visual aids are overused? 3. What points will you consider to decide whether you need visuals or not? Section C 1. When do you use visual aids? 2. List and explain the commonly used visuals.

CHAPTER

4

LAYOUT OF A BUSINESS LETTER For a very long time, written messages from one person to another have started with some type of a phrase in greeting and have ended with some sort of polite expression. The name and signature has also, always, formed a part of written correspondence to help identify who has written the letter. Styles of doing this have been changing over the years, but all business have a few standard elements in common. The initial impression you make through your letters will have a lasting effect on the receivers of your message. The energy expended in writing good letters is well spent, when you select appropriate stationery and formats. The reader will assume that you care, that you are a professional and should be dealt with properly. A business letter has a distinctive style and appearance. Each of the parts of the letter has a specific style, function and position. This has been established by a commonly established tradition and agreement. That is why if you consult any book on letter writing, you will find, that by and large, all the parts of a letter are present and are positioned in the same way. By following the customary layout principles, we make our reader’s job easier. They can then concentrate on the matter contained, rather than the organization of the letter. A letter is used to communicate a formal, written message. The appearance of the letter is important because it makes the first impression on the reader; the content is important because it ensures that the reader understands and fully accepts your message. The appearance of the letter depends on the parts of a letter, its proper layout, punctuation style and stationery. A PLACE FOR EVERYTHING, AND EVERYTHING IN ITS PLACE The layout basically refers to how all the essential parts of a business letter are arranged on the paper.

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The mechanical structure of a letter constitutes the different parts of a letter that should have their customary place in it. A letter being sent in an inappropriate form is, as bad as, a doctor coming to perform a surgery in torn jeans and T-shirt. The casual appearance of the doctor will distract the patient’s attention, and his trust and confidence in him will reduce. Similarly, unless the letter follows the accepted form CORRECTLY, the person receiving it may well discredit the standing of the company that has sent it out. We will see what the essential parts that must be there on every business letter are— 1. 3. 5. 7.

Heading or Letterhead Inside address Body of the letter Signature

2. Dateline 4. Salutation 6. Complimentary close

Apart from these, there are some sections, which are not essential, but one or more will be present depending on the requirement of the letter. They are— • • • • • • •

Reference number Subject line Delivery mode Attention line Enclosures Courtesy copies Sender’s and typist’s initials.

First we will go through the essential and main parts of a business letter. 1. The Heading or Letterhead If you have seen any business letter, you must have noticed the top part of the paper. It usually consists of a printed part, which contains the name of the company or person along with a complete mailing address and telephone number of the company. Executive letterheads are personalized for a particular individual. His/her name appears first, followed by the designation, mailing address (Postal and e-mail) and telephone number of the organization. Guidelines for writing a professional letterhead As students of business administration and future managers, you might have an occasion to design a letterhead. It is essential that you know what the requirements of a professional and attractive letterhead are. The letterhead occupies an important place while understanding the fundamentals of business communication. A badly designed letterhead can signify sloppiness and can result in your making a bad impression on the reader. A letterhead can be either personalized or can represent the organization as a whole.

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Some tips to designing a good letterhead: 1. It (the letterhead) should not occupy more than one-fifth of the paper space. 2. The address mentioned on it should be COMPLETE i.e. A letter posted on that address should reach the intended place. For example, Incomplete address Patrician College Chennai

Complete address Patrician College Canal Bank Road Adyar Chennai-600020

3.

There should not be any abbreviations-either in numbers or words e.g., ‘CH’ instead of ‘Chennai’. 4. A logo can be designed and included (please remember that it is a business organization and so it should not be too fancy). 5. The e-mail address should be mentioned. 6. A fax number should be written along with all the necessary telephone numbers. 7. The relevant STD/ISD code number should be mentioned at the appropriate place (With the telephone & fax numbers). 8. The name of the organization should be indicative of the nature of the business. For example, Akash Apparels Ltd. It is advisable not to keep random company names e.g., CC Ltd. or Akash (P) Ltd. Alternatively, the type of business can also be mentioned with the company name, in brackets. e.g., Akash Limited. (Apparels and Clothing). 9. The company’s website (if the organization has a website) can be included. 10. It should look neat and not very cluttered. Dateline: Every official document must be dated. This enables quick reference in the future and makes filing easier. It also helps in further correspondence and in following up issues later. If you are using letterhead paper, the date should be put one line below the lowest line of the letterhead. The date can be written in any way. For example, 15 July 2007 15-07-2007 07-15-2007 (American style) July 15, 2007

The name of the month is spelled out in full and the year is written in all four figures. The practice of writing 1st, 2nd, 3rd, and 4th is no longer used. How you write the date depends on your own individual style or the place where you are residing. It can also depend on your organization’s style. INSIDE ADDRESS. The inside address, which identifies the recipient of the letter, is typed one or two lines below the date, depending on how long the letter is. It contains the

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name and address of the firm or the individual to whom the letter is written. It should start from the left margin and be written in either the indented form (though this is old fashioned now) or in the block form. INDENTED FORM New Age International (P) Ltd. 4835/24, Ansari Road, Darya Ganj, New Delhi-110002.

BLOCK FORM New Age International (P) Ltd. 4835/24, Ansari Road, Darya Ganj, New Delhi-110002.

This inside address identifies the person to whom we are writing. But on the letter, the address need not be COMPLETE. It, however, has to be complete on the cover. For example, ADDRESS ON THE LETTER New Age International (P) Ltd. 4835/24, Ansari Road, Darya Ganj, New Delhi-110002.

ADDRESS ON THE COVER New Age International (P) Ltd. 4835/24, Ansari Road, Darya Ganj, New Delhi-110002.

If the letter is sent to someone specifically in the organization, the inside address will contain the addressee’s name also. This should be preceded by a courtesy title, such as Dr., Mr., Miss., Mrs. or Ms. For example, Mr. S. Sethi Editor New Age International (P) Ltd. 4835/24, Ansari Road, Darya Ganj, New Delhi-110002.

Any other titles such as ‘Professor’ or ‘Captain’ etc. must be included in full. They should not be abbreviated. The addressee’s designation can also be written after the name. If it is short, it can be on the same line as the name or else it can be accommodated on the next line. The name of the department or section which he belongs to, can be written after the designation. For example, Mr. Rajesh Gupta Personnel Manager Home Appliances Division India Electric Ltd. 251, Mount Road Chennai.

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OR Mr. Rajesh Gupta, Personnel Mgr. Home Appliances Division India Electric Ltd. 251, Mount Road Chennai.

If the letter is sent to firms with titles that contain personal name or names, the plural form of Mr. i.e., ‘Messrs’ is used. For example, Messrs. Ganesh Brothers. Messrs. Patel & Co. SALUTATION This will begin at the left margin, two line spaces below the inside address. It is followed by a comma. In full block style, there is no punctuation. The salutation should use the person’s name if at all possible. Your relationship with the addressee will decide the formality of the situation. It should match the first line of the inside address. For example, 1. If the letter is addressed to an organization, the salutation is plural: Dear Sirs, or Sirs,

2. If the letter is addressed to a particular official mentioned by designation, the salutation is singular: Dear Sir, or Sir,

3. If the official is a lady, the salutation is: Dear Madam, or Madam,

4. If in conversation, you would say “Jayshree”, your letters salutation should be: Dear Jayshree, A very important point with personalized salutations: whether they are formal or informal, make sure that the names are spelled right. A misspelt name is a glaring example of carelessness. It contradicts the personalized familiarity you are trying to achieve. There are also situations where you are addressing your letter to a group. Also sometimes, you have to write to an unknown person. There are the following options you can choose from: 5. When it is a mixed group, you would say: Ladies and Gentlemen,

6. When you are addressing the following people use the relationship they share with you in the salutation itself. For example, Dear Colleague, Dear Policy Holder, Dear Customer,

7. When you wish to establish a polite barrier, you would say: To Whom It May Concern

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8. It is quite common to address business letters to an official by name and designation. For example, Mr. S.B. Garg, Finance Manager, or Mr. B. Chawla, Production Controller, or Ms. Lata, Marketing Executive. Body of the letter This is the part of the letter that contains the message or the information to be communicated. It is, of course, the most important part. It consists of— The Opening Paragraph The Main Paragraph The Closing Paragraph

Almost all the letters are typed single-spaced, with double line spacing (one blank line) before and after the salutation, between the paragraphs and before the complimentary close. The double line spacing should be standard for ALL parts of the letter. The body may include indented lists, entire paragraphs indented for emphasis, and even sub-headings. It should display a positive attitude and friendly approach. The reader’s attention should get attracted in the opening paragraph. You should avoid stereotyped or rubber stamp opening lines. For example, We are in receipt of your letter dated… The main paragraph should contain all the relevant details. Complete information about the subject should be there. The main paragraph of the body contains the crux of the letter. There should be no omissions. The writer should make himself absolutely clear about what he wants to say. The closing section must be firm and complete. It should bring the letter to a logical end. COMPLIMENTARY CLOSE This is merely a polite way of ending a letter. It is typed on the second line below the body of the letter. It is placed on the right or left and can be followed by a comma. There are a number of options available for including in the complimentary close. In any case, it should reflect the relationship between the writer and the receiver. In full block style, it is placed on the left margin and has no comma. The first word begins with a capital letter. The more common ones are– Yours faithfully Faithfully yours Yours truly Truly yours Yours cordially

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Yours sincerely Sincerely yours SIGNATURE This is placed just below the complimentary close. It signifies that the writer is giving assent to whatever has been mentioned in the letter. The signature is usually hand written. It can be facsimiled if too many of the same letters are being sent e.g., Sales Promotion letters from FMCG companies, Credit Card information letters, etc. The signature should be legible. After leaving three blank lines for the signature following the complimentary close, the sender’s name is typed. The sender’s designation may appear on the line below the name. If a letterhead has been used, you can end with the name and designation. But, if the letter has been written on plain paper, the company’s name may be typed two lines below the complimentary close in capital letters. On a Letterhead Yours truly,

On plain paper Yours truly, WOOLWORTH INDUSTRIES

Ajay Agarwal Director

Ajay Agarwal Director

Per Pro (Per Procurationem) Signature

This has a Latin origin meaning, ‘as an agent for’. It suggests legal authority. This is used when the person who signs, is not personally liable but has been given power of attorney to sign on behalf of another person or company who are actually responsible. The words per pro or P.P. are put before the name of the person or company on whose behalf the letter is sent. E.g., If the Principal is on leave, the Vice-Principal can sign on her/his behalf. THE OPTIONAL PARTS 1. The reference number: This appears on the top, left corner of the paper, on level with the date. The words ‘Ref. no.’ may be preprinted on the letterhead itself. The reference number gives the letter number, file number and other filing details. This makes it easier to locate the file. The purpose of the reference is to enable replies to be linked to the previous correspondence and also to send replies to the proper official or department. Stating the ‘reference’ helps in easy access. Therefore, addressees’ are requested to quote the reference in their future correspondence.

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There are different ways of mentioning a reference numberReference No… Ref. No. … In reply please quote… 2. The subject line: This is a written line, which helps the reader to find out, at a glance, what the letter is about. It is usually typed below the salutation—aligned with the left margin. Alternatively, it can be either indented or centered. Sometimes, the subject line is typed above the salutation or at the very top of the page. Sometimes, the subject line can also be underlined. Some writers omit the word Subject and put the other information all in capital to distinguish it from the other parts of the letter. In case of lengthy communications, it is a must to write a subject line. It is also useful for filing and sending replies. It adds to the clarity of the letter. 3. Delivery mode: This indicates the type of delivery service to be used to send the letter. There are different options available–AIR MAIL, REGISTERED POST, HAND DELIVERY, COURIER, FAX, etc. 4. Courtesy copies: This is abbreviated as c.c. When the same letter has to be sent to more than two parties, ‘c.c.’ is used. All the recipients also know who all have received the same letter. The names of the persons should be typed in order of importance. They can also be displayed alphabetically. ‘c.c.’ is typed on the left, two lines below the ‘enclosures.’ For example, c.c.: Mr. Arjun c.c.: 1. Mr. Arjun General Manager ABC Ltd. 2. Accounts Manager, ABC Ltd. ‘c.c.’ also stands for ‘carbon copy.’ 5. Enclosures: These are related documents which have to be sent along with the letter. For example, Cheque, Demand Drafts, Attested copies of mark sheets, Brochures, Price lists etc. The enclosures are placed behind the letter and clipped or stapled along with it. If there is more than one enclosure, they are numbered and placed in the order of their serial number. The enclosures are indicated in the business letter by writing any of the following. For example, Enclosure Encl. Encls: The enclosure can also be named. E.g., Encl: Invoice

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The enclosures are indicated on the bottom left hand corner of the letter after the signature. The enclosures help the outward clerk and the receiver to check what documents have been sent along with the letter. 6. Initials: It is important to know who has dictated the letter and who has typed the letter. For this reason, it is customary to put their initials at the bottom, near the left hand margin. This helps in fixing responsibility for typing and dictating the letter. The person who types the letter is not necessarily the person who signs it. When many people are involved in the same communication, it is better to write the initials. It can be done in any of the following ways. For example, KRG: UJ KRG uj KRG/UJ KRG-uj 7. Postscript: This is a Latin word, Postscriptum meaning ‘something written after the close.’ In present times, where most letters are written by Word Processors or typed, it is bad business manners to add some forgotten point with the P.S. If you have forgotten to add something in the main body of the letter, do not use the postscript to do that. It creates a bad impression in the mind of the reader. Retype the whole letter and send it. The possible times when you do use P.S.(i) It should be used to add a friendly note to a business letter. It helps in establishing friendly contact with your business partner. For example, P.S. How is your new office coming up? P.S. It was nice of you to have called up for my personal bereavement. (ii) It can also be used to reinforce an incentive that can prompt the receiver to action. For example, P.S. There is a prize for the first woman entry. (iii) It can also be used to emphasize a point already made in the letter. For example, P.S. Production has stopped. We need the raw materials immediately. REVIEW QUESTIONS Section A 1. Choose an appropriate complimentary close option— (i) (ii) (iii)

Yours Faithfully, Your’s faithfully, Yours’ faithfully,

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Yours faithfully, Yours faithfully,

2. When the salutation is Dear Mr. Bapat, the correct complimentary close is— (i) Yours obediently, (ii) Yours faithfully, (iii) Yours affectionately, (iv) Yours sincerely, 3. Fill in the blanks. (i) Postscript is indicated by writing _____ and is used for_____. (ii) Any documents sent together with a letter are indicated by _____. (iii) The commonly accepted styles of writing the date are ______ and _____. (iv) The purpose of the reference number in a letter is _______. Section B 1. What are the details that are usually indicated in the heading of a business letter? 2. Write short notes on the following— (i) The inside address (ii) Postscript (iii) The use of Messrs (iv) Per pro. Signature Section C 1. Describe the different parts of a business letter with suitable illustrations. 2. Name the compulsory and optional parts of a business letter and show their placement on a paper.

CHAPTER

5

STYLES OF LAYOUT Layout refers to, how things are arranged in an area. We can have the layout of the furniture in a room, or the layout of the rooms in a house or the layout of the plants in a garden, etc. In Business Communication, we refer to layout as the way in which all the parts of a letter on a paper are arranged. The order of all the parts—Inside address, subject line, date, etc. is the same and they are also placed in the same order in a letter. The only thing that can be varied is the indentation and the paragraph styles. These can vary according to different organization cultures or specific people. The layout also sees a change when you observe it across different countries. Certain set patterns are present in some areas of the world and it is good to get familiar with those styles, especially if you are part of international business and your letters go to different countries. Some of the styles can be described in the following paragraphs— 1. Full block form This is a new and modern style of letter layout and is used widely. There is no indentation at all. Everything begins at the left margin. The address has no punctuation, e.g., commas and full stops. The salutation and the complimentary close also do not have any punctuation at the end. The appearance is left heavy and right light. It seems to push everything to the left. Another feature is that there is double line space between the parts. The paragraphs also have double line spacing. Advantage: It takes less time to type as there is no punctuation and no change of margin. Disadvantage: The date cannot be seen easily after it has been filed till you take out the letter properly. This is because the letters are also punched on the left and bunched together from the left only.

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Example ** 3rd June 2007 REGENCY COACHING INSTITUTE 12, Greenways Road Raja Annamalai Puram Chennai-600028 Sirs We offer extensive coaching classes to students of class 11 and 12. Our teachers are extremely qualified and dedicated. We can boast of 100% results in the state level board examinations. Another advantage is that we also train them for entrance examinations for both engineering and medicine at no extra cost. Our fees are also very competitive and affordable. We invite you to send your children to join our institute so that they can benefit to make a success of their lives. Yours faithfully, Proprietor ** 2. Modified block form This is a slight modification of the Full Block form. However, the date is in its usual position on the right. The complimentary close is also on the right in its usual position. The inside address is in the block form. The salutation and the complimentary close are followed by a comma. All the paragraphs begin at the left margin. There is double line space between the paragraphs. It removes the disadvantages of the Full Block form and is hence, very popular. It appears neat and readable, even in a file. It can be refereed to easily by the date, even after it has been filed.

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Example ** REGENCY COACHING INSTITUTE, 12, Greenways Road Raja Annamalai Puram Chennai-600028

3rd June 2007

Sirs, We offer extensive coaching classes to students of class 11 and 12. Our teachers are extremely qualified and dedicated. We can boast of 100% results in the state level board examinations. Another advantage is that we also train them for entrance examinations for both engineering and medicine at no extra cost. Our fees are also very competitive and affordable. We invite you to send your children to join our institute so that they can benefit to make a success of their lives. Yours faithfully, Proprietor ** 3. Indented form This is a very old style, when most of the letters were handwritten and is not much in use, now The inside address is indented. Every paragraph begins 3 to 5 spaces from the left margin. The letter looks untidy and uneven from both margins. DISADVANTAGE–This takes more time to type because of the indentation. Example ** REGENCY COACHING INSTITUTE, 12, Greenways Road, Raja Annamalai Puram, Chennai-600028. Sirs,

3rd June 2007

We offer extensive coaching classes to students of class 11 and 12. Our teachers are extremely qualified and dedicated. We can boast of 100% results in the state level board examinations. Another advantage is that we also train them for entrance

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examinations for both engineering and medicine at no extra cost. Our fees are also very competitive and affordable. We invite you to send your children to join our institute so that they can benefit to make a success of their lives. Yours faithfully, Proprietor ** 4. Semi-indented form It is also called Semi-Block form. The inside address is in Block Form. The beginning of every paragraph is indented. The date is on the right. The complimentary close is also on the right. The salutation and complimentary close are followed by a comma. Example ** REGENCY COACHING INSTITUTE 12, Greenways Road Raja Annamalai Puram Chennai-600028

3rd June 2007

Sirs, We offer extensive coaching classes to students of class 11 and 12. Our teachers are extremely qualified and dedicated. We can boast of 100% results in the state level board examinations. Another advantage is that we also train them for entrance examinations for both engineering and medicine at no extra cost. Our fees are also very competitive and affordable. We invite you to send your children to join our institute so that they can benefit to make a success of their lives. Yours faithfully, Proprietor ** 5. Hanging-indented form The inside address is in Block form. The date and the complimentary close are on the right.

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Each paragraph starts on the left margin. The further lines of each paragraph are indented 3 to 5 spaces from the left margin. Disadvantage: It takes considerable time on a manual typewriter, though this is becoming rare. It is easy to use if you have a word processor. Uses: This is used for sales letters and brochures etc. when the appearance should attract the reader immediately. How does this happen? The opening line of every paragraph “HANGS OUT.” Main points and striking statement scan be highlighted here. CAUTIONOnly words worth highlighting should be used. For example, ‘BEWARE’, ‘RUSH IMMEDIATELY’. Words like ‘ON’, ‘THE’ etc. should not be used here. Example ** REGENCY COACHING INSTITUTE 12, Greenways Road Raja Annamalai Puram Chennai-600028

3rd June 2007

Sirs, We offer extensive coaching classes to students of class 11 and 12. Our teachers are extremely qualified and dedicated. We can boast of 100% results in the state level board examinations. Another advantage is that we also train them for entrance examinations for both engineering and medicine at no extra cost. Our fees are also very competitive and affordable. We invite you to send your children to join our institute so that they can benefit to make a success of their lives. Yours faithfully, Proprietor ** 6. NOMA form It has been adopted by National Office Management Association of America. It is very recent. All lines begin at the left margin. The inside address is in the Block Form. It has no salutation. The complimentary close is not present. The writer’s name and title are typed in capitals, one line below the space for signature. The typist’s initials are in the left bottom corner.

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If there are numbered items in the letter, they begin at the left margin. However, if the body does not have a numbered list, the items are indented 5 spaces and there is no full-stop at the end of items. This style has not gained much popularity as it is not in the familiar mode. .

Example ** REGENCY COACHING INSTITUTE 12, Greenways Road Raja Annamalai Puram Chennai-600028

3rd June 2007

INFORMATION ABOUT OUR INSTITUTE

We offer extensive coaching classes to students of class 11 and 12. Our teachers are extremely qualified and dedicated. We can boast of 100% results in the state level board examinations. Another advantage is that we also train them for entrance examinations for both engineering and medicine at no extra cost. Our fees are also very competitive and affordable. We invite you to send your children to join our institute so that they can benefit to make a success of their lives. Yours faithfully, PROPRIETOR nrg ** REVIEW QUESTIONS Section A 1. Write notes ona. Modified Block Form b. Disadvantages of Indented Form c. Advantages of Full Block Form d. NOMA form 2. What are the different styles of a business letter layout? 3. What are the factors that determine the choice of a layout?

CHAPTER

6

WRITING RESUMES Getting the job that’s right for you takes more than sending out a few résumé’s. Planning and research are important if you want to make a good impression. The best way to start out is by analyzing what you have to offer: your skills, characteristics, values and interests. Then you can identify employers who can match your needs. 1. Analyze what you have to offer. What are your marketable skills? You can follow this 7-point program and analyze your traits. 1. List ten achievements in order of importance. 2. Look for the pattern of skills that contributed to each achievement. 3. Ask a friend/relative what you are good at, and compare the answer with your own assessment. 4. List your employment qualifications, including educational, work and outside activities. 5. Ask a friend/relative to list out your most personal traits and compare them with your own assessment of yourself. 6. List the things that you have liked best about your work before. 7. List out your interests and hobbies. 2. Determining what you want. You are now ready to turn your self-evaluation into shortterm career goals. • Determine your functional goals 1. Find out if you like working independently or as a team. 2. Find out the materials that you enjoy working with. 3. Ask yourself what setting you enjoy working in. •

Determine your personal goals 1. Find out how much you want to earn? 2. Ask yourself how far you want to go? 3. How far do you want to progress?

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Find out your work environment preferences 1. 2.

3.

What type of an organization or industry do I want to work for? What type of community do I enjoy working in?

Seeking employment opportunities. When you are looking for work, you may occasionally feel rejected. But bear in mind that there is an employer who is just as anxious to find you as you are to find him. • •

Find out where the job opportunities are. Find out which organizations that interest you really need you.

WRITING A RÉSUMÉ The purpose of a resume is to get you an interview. A resume is a form of advertising. As in all forms of advertising, your objective is to call the reader’s attention to your best features and to downplay you’re your disadvantages, without misrepresenting or distorting the facts. •

Controlling the format and style

The reader’s initial interest will be attracted to the resumé based on its appearance, not its content. For a good impression, use clean black type on white bond paper. Leave ample margins all around for easy reading. Break up the text by using sub headings that call for attention. Be sure that your grammar, spelling and punctuation are correct. Keep the writing style simple and direct. The key characteristics of a good resume are— 1. 2. 3. 4.

Neatness Simplicity Accuracy Honesty

• Tailoring the contents Most potential employers have affixed idea about what should be there in a resume. The bare essentials are your name, address and your educational background. Your resume should highlight your strongest, most impressive qualifications and skirt the doubtful areas. Don’t exaggerate and claim to have skills that you actually don’t possess. Focus on your strengths and come out a winner. Fallacy: The purpose of the resume is to list all your skills and abilities. Fact: The purpose of the resume is to kindle employer interest and get you an interview. Fallacy: A good resume will get you the job you want. Fact: Thousands of resumes cross the employer’s desk daily. Fallacy: Your employer will read your resume carefully.

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Fact: Your employer will not spend more than ten seconds on your resume. Fallacy: The more information you present about yourself, the better it is. Fact: By presenting too much information, the employers desire to know you more will be killed. The format can be as follows– 1. Name and address. The opening section of your resume should show who you are, how you can be reached, and what kind of a job you are interested in. 2. Career objective. Your objective should indicate what you want to do and how you are qualified to do it. 3. Summary of qualifications. If your qualification is long and varied, you might want to summarize them and highlight your strongest points. 4. Education. The education column is very essential if you are applying for your first job. However, if it is not your first job, the education column can be displayed later. You can concentrate on your work experience in the beginning. State all the details about your education from the 10th class. Also mention off-campus seminars and workshops. If you have volunteer work experience like NSS or NCC services, mention it here. Mention the grades only if favourable. 5. Work experience. You must give details of all the related jobs that you have had. The other unrelated jobs should also be mentioned. For each work experience give the following details1. 2. 3. 4. 5. 6.

Name and location of employer What the organization does. (If it is not clear from the name) Your functional title How long you worked there Your duties and responsibilities Your significant achievements and contributions.

6. Wherever possible, quantify your achievements. Activities and achievements can be mentioned in detail so as to bring out the best in you. 7. Your resume should also describe all paid and non-paid activities that demonstrate your skills. You should list projects that demonstrate your leadership abilities, organization, teamwork and cooperation. Include speaking, writing or tutoring

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experience, participation in athletics or creative projects, fund-raising or social service activities. Try and quantify your achievements wherever possible. 8. Other relevant facts. You may also want to include a section that describes other aspects of your background pertain to your career objective. For example, if you were applying to a travel service, you might want o mention that you know some other foreign language also. You can also talk about your travel experience. 9. Personal data. Provide only the personal data that will help you get the job. Exclude any items that could encourage discrimination and reduce your chances for getting a job. You should mention about your good health, since it enhances work performance. 10. References. A list of three to five references may impress the prospective employer. You can choose from your former and present employers, business associates, professors and contacts who can attest your character. Relatives should not be used a references. Before naming someone in your reference, please be sure to inform him or her about it. In fact, you should ask their permission for it. Then clearly write their name, address, designation and telephone number so that the prospective employer can contact them if needed. 11. Supporting documents. Instead of including supporting documents with the résumé, offer to supply them on request. There can be different kinds of résumés 1. The Chronological Résumé: This is written in date-wise order of your work history. You should start with the most recent and work your way backwards. The work experience should be placed immediately after the personal details and should be given maximum weightage. 2. The Functional Résumé: This focuses attention on your areas of competence. It organizes around your list of achievements. The functional résumé is useful for people who are just entering the job market or who are trying to give their career a new direction or for those who do not want to highlight breaks in employment. 3. The Targeted Résumé: This shows how you qualify for a certain job. Immediately after stating your career objective, list out any capabilities that pertain to it. These type of resumes are very good for people who are very sure of what they want to do and who can demonstrate their ability in the desired area. We have included a few guidelines which you can use to write your resume, but make sure you retain your creativity and ensure a positive response from an employer. Here we go….

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A CHECKLIST Contents and style • Use short noun phrases and action verbs. Not whole sentences. • Present the strongest and most relevant qualifications first. • Avoid personal pronouns. • Use facts, not opinions. • Omit the date of preparation. • Omit mentioning your desired salary, vacation schedule. Contact information • List your name, complete mailing address, telephone number and e-mail id. • Use a title such as Résumé as the heading. Career objective and skill summary • State the type of work you want and your career objective. • State a broad and flexible goal so that your job prospects increase. • Present your strongest, most attractive qualification first. • Summarize your other qualifications. Education • List out all your schooling and training stating from high school. List the most recent first. • Mention the name and location of all your school with the dates you have studied there. Also include the certificates/degrees you have earned there. • Indicate your specializations and other subjects studied. • Do not forget to mention your grades /scores. • List your elective courses. • List any other relevant training experiences like seminars or workshops attended and certificates obtained. Work experience • List out all your paid employment and volunteer work. • Indicate part time jobs also. • State the month/year of starting and ending each job. • Provide the name and location of the employer firms. • List your job title and briefly describe your functions. • Mention on-the-job recognitions and awards or exemplary contributions to your employers.

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Activities, honors and achievements •

•

List out all the unpaid activities, including offices and leadership positions you have held; significant awards or scholarships not listed elsewhere; projects that you have undertaken, writing or speaking activities, publications and roles in academic and professional organizations. Avoid mentioning about your affiliations with religious and political organizations.

Other relevant facts • •

List things like your typing speed or proficiency in languages. Mention your ability to operate any machines, equipment or computer software.

Personal data • • •

Omit data that could place you in a negative light. Mention your age in an objective manner. It should not suggest your youth and inexperience or your senior age. List out job related hobbies and interests.

References • • • • •

List three to five references or offer to supply them on request. They should be academic or professional references, not relatives. Provide a name, title and contact number for each reference. List a reference only after you have his/her permission to do so. Exclude your present employer if you wish your job search to remain confidential and mention ‘resume submitted in confidence’ at the top.

REVIEW QUESTIONS 1. Why do we need to write a résumé? 2. What points should we keep in mind while planning out our résumé? 3. Write out your résumé, keeping in mind all the essential details that have to be included.

CHAPTER

7

APPLICATION LETTERS Application letters are written when someone wants a job. The first objective of an application letter is to seek an interview. So it must be distinguished, in order that it arouses interest. If you are looking out for a job, you will probably be sending your résumé to a number of prospective employers. In all probability you will be mailing the same résumé to all of them. But you must tailor your application letter for each employer in such a way that they can understand how you can benefit the organization. The application letter should be more like a persuasive letter, something similar to a sales letter. The style of the letter should project confidence, because you can’t hope to sell a potential employer on your merits unless you truly believe in them yourself and sound as though you do. Your letter should also reflect your personal style, so be yourself. Don’t use slang. Finally show that you know something about the organization. It gets attention. It conveys your desire to join the organization. Follow the AIDA plan in writing your application letter: Attention, Interest, Desire, and Action. There can be two types of application letters– 1. Solicited: Which are written in response to an advertisement. 2. Unsolicited: Which are written on the writers’ own initiative; without being asked for. When you are writing unsolicited applications, you must do an especially good job of capturing the attention and raising interest of the employer. Begin an unsolicited application letter by focusing on one or more of the following: • • • •

Your strongest work skills and how they would help the organization. The match between job requirements and your qualifications. The name of someone respected by the employer. News about the organization that demonstrates our awareness.

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•

An imaginative catch phrase.

•

The source of your knowledge about the job opening. **

Sir/Madam, Mr. Mohan Raj of Anna University has suggested that I should send my Bio-data to you for an appropriate post in the Department of Management of your college. I have post Doctoral experience coupled with teaching undergraduate students where I did my research. My enclosed details will reveal that I have a host of other qualities and interests that will greatly help the credentials of the organisation. I will be grateful for an opportunity to meet you at your convenience. My contact details are given on my Bio-data. Thanking you. Yours faithfully, Encl: Personal Bio-data ** When you are writing a solicited application letter, begin by mentioning how you got to know about the opening or vacancy. For example, With reference to your advertisement in… State that you are interested in the vacancy right in the opening paragraph of the letter. The middle part of the letter should: Summarize those qualifications that are directly related to the job advertised. Provide evidence of desirable qualities. Refer to your résumé. While writing the closing paragraph, make sure that it fulfills two important functions: 1. To ask the reader for a specific action 2. To make a reply easy for the reader ** To, The Advertiser, Post Box No. 2325 The Hindu Chennai-600001

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Sir/Madam, This is with reference to your advertisement in ‘The Hindu’, dated 20th July, 2007. The vacant post of a marketing manager is ideally suited for me. I have over 10 years experience in marketing for an FMCG company like yours and have travelled extensively all over the country. I am fluent in five regional languages and will be agreeable to settle in any city that the job requires. My detailed résumé is attached for your kind consideration. I look forward to hearing from you soon. Thanking you. Yours faithfully, ** In almost all cases, the action you should ask for is an interview. But, don’t demand it. Try to sound natural and appreciative. Offer to come to the employer’s office at a convenient time or, if the firm is some distance away, to meet with it’s nearest representative. Make the request easy to fulfill by stating your telephone number and the best time to reach you. Refer again to your strongest selling point and, if desired, your date of availability. An alternative approach is to ask for an interview and then offer to get in touch with the reader to arrange for it, rather than requesting a reply. Whichever way you use, mail your application letter and résumé promptly, especially if they have been solicited. APPLICATION BLANKS Many organizations have their own prescribed application forms, which contain various questions to be answered by the applicant. The completed application form itself becomes an application. Application Blanks are preprinted letters that have the basic information requisition printed beforehand. All that the applicant has to do is to fill in the blanks that are left so that the personal details can be filled in. This is an easier way to get people to apply for jobs as it makes their job easier. These application blanks can be got from an organization itself, if they have the practice of using them. The advantage of application blanks is that they ensure standardization. It becomes easier for the employer to compare the candidates for their qualification and ability. It also is a speedier process, which can help in scanning the applications fast, especially if many people have applied and there is a shortage of time and manpower. We can see application blanks on the Internet sites of Headhunter Agencies. Try filling up one of them! Another advantage is that the applicant does not forget to write about some important information. He just has to fill in the details as he goes along. The disadvantage, however, is that the applicant cannot show his creativity and personal style in writing an application letter.

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REVIEW QUESTIONS 1. What is an Application Blank? 2. What points must be kept in mind while writing an application letter? 3. Should we follow the principles of effective communication while writing an application? Why? 4. What is the difference between solicited and unsolicited applications? 5. Draft an application in response to the following advertisement: “Wanted sales representative, willing to travel extensively in Northern India to sell space for our monthly financial magazine. Salary commensurate with qualification and experience. Apply within a week to Box. No.22765, The Times of India, Mumbai.” 6. Draft an application letter for the post of a Chief Accountant in a large export organization. 7. Draft an application to Agmark (P) Ltd, Chennai, for the post of a lady receptionistcum-typist-cum-telephone operator, specially emphasizing your good command over English, your knowledge of the job of handling PABX/Telex and your dignified personality.

CHAPTER

8

APPOINTMENT LETTERS An employer writes an appointment letter to the candidate who has been selected for a particular post. The head of the personnel section or the chief of the organization normally sends it. It is normally sent in duplicate. The selected candidate should sign one copy, to show his acceptance. He can retain the other copy for his records. An appointment letter mentions many details. Some of them are— • • • • • • • • •

The consolidated salary The other benefits The leave rules The date of joining The working timings The nature of duty, in brief The designation The period of notice required from either side in case of termination or resignation The probation period, if any

Some companies may mention other relevant details also. Points to be kept in mind while writing an appointment letter– 1. 2. 3. 4. **

The letter should refer to the interview and the letter of application It should express the employer’s pleasure in the appointment All the details are to be correctly mentioned (Given previously) It should end with goodluck wishes to the candidate for the new job.

Dear Mr. Larry, This is with reference to your application dated 2nd July, 2007 and the subsequent interview on 20th July 2007.

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I am pleased to inform you that you have been selected for the post of the Sales Manager in our organization. You are requested to contact Mr. Ajay Denver on or before 30th July 2007. He will be guiding you about the nature of your duties. The terms and conditions of your appointment are as follows— •

The post is a permanent one, with a probation period of 6 months. Your performance will be reviewed by us and on proving satisfactory; your services will be confirmed. • Your salary has been fixed at Rs. 20,000/- p.m. Your yearly increment will be Rs. 500/• You are entitled to all other benefits as per our company rules. • A notice period of 1 month is required from either side in case of termination of services or resignation. We wish you all the success in your future venture. Yours faithfully, ** REVIEW QUESTIONS 1. Draft a letter intimating the appointment to a person who has been appointed for the post of an accountant in your office. 2. You have appointed a secretary to help you in your duties. Draft an appointment letter. 3. Write an appointment letter for a hospital nurse to be appointed for a temporary assignment only. 4. Your marketing executive has gone on a maternity leave. Appoint a replacement for her for the period of 3 months.

CHAPTER

9

REFERENCES & TESTIMONIALS INTRODUCTION People apply for jobs from different places to all over the world. Some go through the advertisements in the newspapers and magazines, others may be lucky and get jobs through personal contacts. Campus recruitments place people right from the colleges and institutions where they study; still others browse through the Internet and manage to find vacancies. In certain cases, where the prospective employer has no clue about the candidate, it is necessary to get what is called a ‘Reference’ or a ‘Testimonial’. This is because the candidate may make tall claims about themselves and their abilities, qualities and special achievements. This has to be verified. The company may want to check all this and the best way to do it is by taking a testimonial or a reference from a reputed person who has long standing relations with the prospective candidate. It can be taken from someone who can ‘vouch’ for the candidate. We will look into these documents in brief. TESTIMONIAL This is an open document. It is not addressed to anyone in particular. A testimonial is not written for any specific post or for any specific person. It is a document that endorses the abilities and character of a candidate. It is more in the nature of a certificate that testifies the character and a qualification of the person in whose favour it is written. A testimonial should be written by a person, who is himself reliable and respectable. The advantage of a testimonial is that the same one can be attached with different job applications.

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Points to be kept in mind while writing a testimonial— 1. It should be brief. 2. It should limit itself to the qualifications and character description of the candidate only. 3. It is like a certificate, and so, should not be written in the letter format. 4. It can mention allied interest and achievements of the candidate. 5. It can be taken from an ex-employer, in which case, pleasant remarks should be made about essential work qualities e.g., integrity, honesty, punctuality, hard-work etc. 6. It carries a title–RECOMMENDATION or TESTIMONIAL. 7. The writer should have known the candidate for a considerable amount of time. Only then will his remarks be of value. 8. It can be written on a personalized letterhead or a letterhead of the organization in which the writer is working. Some tips… • A very old testimonial has no value. It should not be preferably more than one year old. • It is advisable to take a testimonial from recognized authorities, whether you may have current use for it or not. • It should mention the capacity in which you know the candidate. • It should also mention the duration for which you have known/worked with the candidate. REFERENCE A reference is a person who is ready to vouch for another. A reference has a major difference from a testimonial i.e., a reference is related to a specific case, whereas a testimonial is generalized. The same testimonial can be attached to a number of applications. A reference can be attached for a specific job application only. A reference is asked on request. It is asked for by an enquirer and should be addressed to him alone. It can be given on a specified format or can be written in an open format. The pre-formatted one ensures that necessary details are not left out. Also, it is convenient to fill in. Points to be kept in mind while writing a reference letter— 1. 2. 3. 4.

It is addressed to the prospective employer. It should not make vague, generalized statements. It should give specific reference to the information sought. It should talk about the candidate’s integrity, ability, character etc.

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5. The letter must be polite and relevant. Unnecessary information should not be given. 6. It should be marked ‘CONFIDENTIAL’ and must be treated in the same way. REVIEW QUESTIONS 1. What is a testimonial? When is it used? 2. What are the situations in which we use a reference letter? 3. Draft an open testimonial for your telephone operator, who is applying for the post of a receptionist in a larger office. 4. A lady has worked efficiently with you for the past 5 years as a sales representative. She has now decided to move abroad, as her husband has got transferred. Draft a testimonial for her that she can use in her future. 5. You have received an enquiry about your best Sales Manager. Draft a reference letter for him.

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REPORTS A report is a logical presentation of facts and information. It is the basic tool on which decisions can be based. The information presented in the report is needed to evaluate progress and plan future action. Reports provide feedback to an organization to guide future courses of action. But what is a report? C.A. Brown defines it very simply: A report is ‘a communication from someone who has some information to someone who needs that information.’ We cannot undermine the importance of reports. All professional matters dealing with business need reporting. Especially large-scale organizations base a lot of their activities and decisions on reports. They have regular systems of reporting on the progress and status of different activities. Reports are written for different purposes. They may be written for presenting accounts, reviewing performance, planning for future expansion, presenting market surveys, displaying health and treatment profiles in hospitals, etc. Decision makers need clear, concise, accurate and readable reports. Good reports make for good decisions. Even the most capable managers must rely on reports to decide on crucial issues. You may be surprised at the number of documents that qualify as ‘reports.’ The term covers everything from pre-printed forms to brief informal letters and memos to formal 2-volume manuscripts. Some reports are even delivered orally. But, in general, when people speak of reports, they refer to written, factual accounts that objectively communicate information on some aspect of business. It can be from any functional area like personnel, finance, marketing, production, etc. The goal of making reports is to make the information as clear and convenient and accessible as possible. Because time is precious, you tell the readers what they want to know—no more, no less—and you present the information in such a way that it is geared to their needs. Reports vary widely in their purpose. They also differ with the type of audience they are written for.

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TYPES OF REPORTS Business reports can be classified in different ways. 1. On the basis of formality Informal Report: This is usually in the form of a person-to-person communication. It does not follow any format and informally conveys the required information. Formal Report: This is prepared in a prescribed form and is presented in the proper way to the prescribed authority. They can be statutory (which are necessary by law. For example, Director’s report at an AGM, Auditor’s Report) or non-statutory (Which are not compulsory by law, but help the management in policy formulation etc.) 2. On the basis of frequency of issue Periodic or Routine Reports: These are presented at regular, routine intervals in the normal course of business. The time period could be annually, semi-annually, monthly, fortnightly, weekly or even daily. Generally, these reports are a mere statement of facts. They do not go with a recommendation or opinion. For example, Progress Reports, Monthly Sales Reports etc. Special Reports: They are related and generated for a single occasion or situation. They deal with non-recurrent issues. An individual or a committee is appointed to investigate the situation and present its findings. They give suggestions to the management to take decisions. For example, Project Report, Feasibility Study Report, First Information Report (F.I.R.), etc. 3. On the basis of function Informative Report: This presents facts and information related to an issue or situation. For example, a report presenting sales figures for a quarter. Interpretive Report: This analyses the facts, draw conclusions and makes recommendation to solve the problem. For example, If the report delves into the causes of low sales during a particular period, it becomes an interpretive or analytical report. 4. On the basis of the nature of the subject Problem-Determining Report Fact-Finding Report Performance Report Technical Report Both individuals and committees can prepare reports. Reports are prepared after careful deliberation and a cautious approach by the members. A DIFFERENT TYPE OF CLASSIFICATION F.I.R. or First Information Report: This is required when there is a burglary, accident, theft, fire, building collapse, etc. The report has to give all the information, which is available

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immediately after the incident occurs i.e. What happened, When did it happen, Who noticed it, What steps were taken immediately after it, Who all were present on the scene, etc. A responsible person, who is present on the spot of the incident, prepares it. It is submitted to any office of authority for information and further action. For example, Regional office, Police station, etc. The F.I.R. also states the extent of damage on casual estimation. Progress report: This gives information about the progress of a student, employee or a project. This report can be prepared as comments, or filled in a standard format. A bridge construction, a road laying project, an employees training program, a students progress through the year, etc. can all be presented in a progress report. Inspection report: This should be prepared after an inspection is complete. The supervisor, auditor or any other expert in the field can prepare it. Inspection reports become necessary when you have to find out the following— • • • • • • • •

The quality of goods, plant and machinery The quality of work done Deviations from preset standards The presence of required people The accuracy of financials The inventory status Adherence to rules and procedures Timings are being followed or not

Printed forms can be used to record the comments or the inspectors can use their own technique of reporting. Inspection reports can be prepared on a routine basis or after a surprise check. Performance appraisal report: This is usually prepared for recording the performance of an employee and deciding his compensation, Special incentives, Promotion, etc. The immediate boss usually does it. A second appraiser may also be present, if needed, to avoid partiality. Performance Appraisals can be confidential or in consultation with the employee concerned. This depends on the organizational policies. After reading the Performance Appraisal Report, an employee can get feedback about his performance in the organization. It is also available to other senior managers of the organization, who wish to know about the employee. Project report: A Project report is written when a project has been completed and all the details have to be put in a written format. The project can be a live one or simulated. A project report helps in comparing the work done by different people. It may/may not follow a prescribed format. However, all project reports will contain some essential parts. It can be used to decide future course of action and may also list out the problems that are being faced in the project. It can be used for sanctioning finance, and as a planning tool. It is also used for convincing other relevant authorities.

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Annual report: This is written as a requirement of Companies Act, 1956. It details all the financial operations of a company during its financial year. It is normally written and printed once a year and is circulated to all members (owners) of a company. This is so that they are all aware of the happenings of their company. The contents of an annual report are– • • • • • • • • • •

The Company profile Notice of the AGM Director’s Report Auditor’s Report Balance Sheet Schedules forming part of the Balance Sheet Profit & Loss Statement Notes to the Accounts Cash Flow Statement Accounts of Subsidiary Company, if any.

Feasibility report: It can be prepared in the following situations– • • • • • • • • •

When an organization/individual proposes to launch a new product Before entering a new market To start a new service To open a new shop Before venturing into a market segment Before buying a new, expensive machine Before constructing a building or house Before planning expansion of man or machine requirements To evaluate the financial viability of a proposal.

A Feasibility Report can help in making a go/no go decision. It is invaluable for decision makers when they have a major project on hand. People, who grant loans and funds for new projects, normally decide whether or not to go ahead, on the basis of the feasibility report. Feasibility reports normally cover all types of feasibilities e.g., Location Feasibility, Financial Feasibility, Marketing Feasibility, Technical Feasibility etc. There are many inputs that are required for the preparation of a feasibility report. For example, Government policies, Available finances, Environmental considerations like pollution restrictions and infrastructure facilities available. Survey report: This is written after a survey. It could be a Market survey, Institutional survey, Customer survey,

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Product survey, Location survey, Competitor survey, Student survey, Executive survey, etc. A survey can be done for many reasons. The reasons can be academic or business. A specific person can commission the survey for a specific reason, or an organization could sponsor it for expansion of knowledge databases. The survey report can help you to update existing statistics. A survey is normally carried out with the help of a questionnaire. Press report: Press reports are scripts for publication in the newspapers and other periodicals. They are read by millions of people, from all walks of life and of all age groups. Press reports are specific messages, published to convey different opinions to the reading public. The topics can range from • • • • • • • • • •

Politics issues Health Economic matters Foreign affairs Education Entertainment Social issues Current affairs Administrative matters Religious matters

They cover the development under different government regimes, the speeches of important proceedings and people, the programs of an election manifesto, changes in financial, stock and commodity markets and thousands of other events that take place in the complex world. CHARACTERISTICS OF A GOOD REPORT You can come across many types of report in companies. What distinguishes good and bad reports? To be labelled as a good report, there should be certain qualities that should be present. Some of these characteristics can be presented as follows— Accuracy: This is very essential for a good report. If your facts are wrong, it may lead to disastrous results. The business will suffer and so will your reputation. You should describe the facts in a concrete form. Do not leave things vague. All the relevant facts must be reported. Nothing should be left out. Provide plenty of evidence for your conclusions or else people may find things hard to believe.

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Precision: The writer should be absolutely clear about the exact purpose of the report. Precision gives it a kind of cohesion and unity. Relevance: The facts presented in the report should have a bearing on the central purpose of the entire issue or situation. Irrelevant facts make reports confusing. They should never be included. Also if relevant facts are left out, the report will become difficult to follow. All details should be included without making it too cluttered. Brevity: A report should be as brief as possible. But this quality should not be achieved at the cost of clarity. If the report can be clear only if it is long, then it should be made long. But the central idea is that it should not be unnecessarily long. Include everything, but be brief. Simple and unambiguous language: It should be free from fancy statements and figures of speech. Since it is a technical document of utility, it should remain simple and non-confusing. Reader orientation: While drafting a report, one should keep in mind the people who will be reading it. A report meant for the layman will be totally different from a report meant for technical experts. Clarity: A good report is absolutely clear. The person reading it should not have any problem in understanding it. Clarity should be there in presentation and purpose. The sources of data, findings and recommendations should all be extremely clear. Suitable headings and paragraphing must be done. If the report contains figures, they should be presented in suitable tables and formats. The report must be written systematically for extreme clarity. FACTORS AFFECTING REPORT FORMAT, STYLE AND ORGANIZATION Reports are like bridges spanning time and space. Organizations use them to provide a formal verifiable link among people, places and times. Some reports are needed for internal communication; others are a vehicle for corresponding with outsiders. Some are required as a permanent record; others are needed to solve an immediate problem or answer a passing question. Many move upward the organizational ladder to help managers monitor the various units in the organizations; some move downward to explain the management decisions to lower level employees for day-to-day operations. Business reports may appear in different guises. However, why a report is prepared provides the best clues on how to organize it, write it and set it up. Although business reports serve hundreds of purposes, most reports are used for one of the following six general purposes: 1. 2. 3. 4.

To monitor and control operations To help implement policies and procedures To comply with legal and regulatory requirements To obtain new business or funding

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5. Do document work done for a client 6. To guide decisions on particular issues. Each of these purposes imposes different requirements on the report writer. If your readers need information to oversee an operation, you would present the information in one way. However, if you were contributing information to solve a complex issue, you would present the report in a different way. The factors WHO originates it? It can be on the writer’s own initiative. OR It can be prepared at the request of another person. WHAT subject does it cover? Sales reports, Compensation policies, Engineering proposals, Research studies, Progress reports. WHEN is it prepared? Routine, recurring reports prepared on daily, weekly, monthly, quarterly or annual basis. OR Special non-recurring reports prepared in response to unique situations. WHERE is it sent? Internal reports are prepared for use within the organization. OR External reports are sent to people outside the organization. WHY is it prepared? Informational reports providing facts. OR Analytical reports providing analysis, interpretation, conclusions and often recommendations. HOW will it be received? Receptive readers OR Skeptical or hostile readers. Preparing a report Once you are clear about the purpose of writing a report, the person’s for whom it is meant, the facts to be examined and the facts to be included, and the time at your disposal, and know what type of report you are going to write, it is time to start the work. In the book, Write Better, Speak Better, the following five steps are suggested to write a report: 1. Investing the sources of information 2. Taking notes 3. Analyzing the data

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4. Making an outline 5. Writing the report 1. Investing the sources of information: Investing the sources of information is a kind of spadework. It is done right at the beginning. The extent of the investigation will, of course, depend on the length and importance of the report. Major sources of information are–company files, personal observation, interviews, letters, questionnaires, and library research. • Most of the relevant information is available in the old files of the company. Sometimes old recommendations and precedents may be there. These can be helpful, e.g., Declining sales, rising costs. • Personal observation is also of great help when it comes to filing reports, especially on accidents and project progress status. • Interviews are also helpful in collecting information for report generation. Staff members, customers, suppliers and other related parties could be questioned, either directly or through written questionnaires. • Library research is also helpful. Trade journals, magazines, newspapers and reference books can be consulted. 2. Taking notes: During investigations, the person who is preparing the report keeps taking notes. As he continues with his data collection, he keeps processing what he is writing. This helps him in finding a pattern of what is happening and helps him in writing the report. 3. Analyzing the data: All the data collected is analyzed. Some needs to be rejected and more might be needed fresh. The writer should never be in a hurry here, as this is an important stage. 4. Making an outline: Once the writer has planned the report in his mind, he should prepare an outline. In this, the problem is stated, the facts are recorded, they are analyzed and the logical conclusion is reached. This is more like a rough copy and is very helpful in the final report writing. 5. Writing the report: This requires a lot of planning and consultation. It should be correct in all ways–logically, grammatically and clarity-wise. The writer must take pains over this, as it will be read by the person who needs it and they will form an impression am bout the report writer through it. Parts of a report A report has several parts, which enables the writer to layout all the information in a simple easy-to-read form. All reports do not need all the parts, but longer reports, which are formal, do need to have all the parts. 1. Title: This should always be there. it will indicate the subject of the study, the period and the location of the study. For example, A report on the coconut industry in the city of Chennai in the first quarter of 2003-2004. If the report is long, it can

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cover the whole page, including other things like the writers name etc. In case of a short report, the title appears at the top of the first page only. Terms of reference: This gives details about the assignment and the purpose and scope of the study. Procedure: This mentions the methods used to collect information for the report writing. The methods of data collection will depend on the nature of the study. For example, visits, personal inspections, experimentation, interrogation, old records, etc. Findings: This is the main part where the findings are presented. The collected facts and figures have to be organized into a presentable and readable form. Suitable headings and sub-headings are to be included. This section may end with a summary of the most important findings that emerge. There may be a separate section with the conclusions. Use of illustrations: A report becomes much more readable, clear and effective if the findings are explained with relevant illustrations. These can be in the form of charts, graphs, diagrams, maps, etc. Recommendations: These are proposals for action suggested by the report writing authority. This is included only if the assignment has asked for it and are usually given by senior people. Signature, Place, Date: All the people who are in the report writing committee must sign the report. The signature is on the right and the place and date are on the left. The date is the date-of-submission of the report. Table of contents: This is included only if the report is long. It can be attached after the title page. Appendix: This is supplementary material given at the end of the report. This is something, which has been used or referred to in the report. For example, map, questionnaire, etc. If there is more than one appendix, they are numbered. Acknowledgements: This is a list of names of people or organizations that helped in the report writing. It will appear before the first chapter.

An additional section of a report can be the ADDENDA. These are all optional items and you will not see them in every report. Their inclusion will depend on their need, the length of the report and the technical nature of the report. This will include the followingList of references: Sometimes other written material is used and quoted in the report that you write. When this is done, you must always quote the place from where it has been taken and who has authored it. You can mention the references at the end of each page with an ‘*’ mark or compile them and put them together at the end of the report. Bibliography: If the report is based on some extensive work already done by someone else, the party should be named under ‘bibliography.’ It can also include works recommended for further reading. Glossary: It is the list of technical words used in the report and their meanings. The need for a glossary is dependent on who is going to read the report. If the reader is from the

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same field, it is not necessary. However, if it is going to be presented to a layman, the report must definitely contain list of the difficult and technical terms that have been used. Appendices: Statistical data, charts, maps and diagrams, copies of questionnaires, etc. are not incorporated in the main body of the report. This is because it creates a diversion and the flow of the report is lost. These things are however essential for reference and are, hence included at the end. Contents page: This is given in case of long reports. It is normally included in the beginning. It specifies the various items that will appear in the report along with the page number on which they will appear. List of illustrations: If the report contains many illustrations, pictures, tables etc. a compiled list of all of them can be given at the beginning of the report, after the Contents page. This list will also include the page on which the particular illustration will occur. Title page: This is normally found on every report. It gives the heading of the report, the person(s) to whom it is submitted, the names of the writer(s) and the date on which it is submitted. Example Report of a sub-committee on why the sales of a sports goods shop has gone down. To the Proprietor All Sports Ltd. I. Terms of reference The sub-committee was appointed by the Proprietor of All Sports Ltd. Mr. Srinivasan on 12th June 2007. The sub-committee comprised of 4 customers/students, namely, Akram, Wazir, Emanuel and Rohit, who were authorized to look into the reason for the sudden decline in sales for the shop. II. Procedure The sub-committee conducted a survey in the neighborhood and visited former customers at their schools, homes and sports coaching centers. After that it conducted 2 meetings on 20th and 25th June 2007. These meetings discussed the problems of the former customers and the suggestions that were given by them. The members also visited the other sports goods shops in the same area to find out the reasons of their popularity. III. Findings The sub-committee felt that the main reason for decline in sales were the following— 1. The attitude of the new salesman was not pleasant. In fact, it was rude and this had deterred the customers from coming back.

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2. They were not stocking all sizes of items, e.g., gloves, bats, etc. The goods were there, but the choice of size was not wide. So people had to go to other shops to get the right sized goods. IV. Recommendations The sub-committee recommends that: 1. The rude salesman could be removed or trained for better customer service and attitudes. 2. A good stock keeping could be done, so that customers have all the size choices available and they do not have to look at other shops. 3. A small propaganda could be conducted through banners and newspaper inserts to highlight the new, refurbished and more pleasant shopping experience at All Sports Ltd. Date: 25th June 2007 W.A, W.Y, E. J, R.S. Place: Chennai Example Report of the Committee on the Improvement Program for an Engineering College in Tamil Nadu.

To the Management Committee Agarwal Trust I. Terms of reference The committee was appointed by the management by resolution number 101 adopted at a meeting of the Board of Directors, held on 26 March 2007. The committee consisting of Rajiv and Arvind, were authorized to choose a suitable site to open an engineering college and report within 1 month. II. Procedure 1. 2. 3. 4.

The committee visited 3 engineering colleges in the first week. They met the management staff, and students. They also met the class-four employees. They took a detailed questionnaire and found out the merits and de-merits of all the colleges from all the respective parties points of view. 5. They complied the findings and put together some consensus views. 6. They also did a market survey for potential students and found out their requirements. 7. They also went through media reports and found out gaps that could be filled in engineering colleges.

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III. Conclusions The conclusions of the committee can be mentioned as follows— The students needed good transport, to be provided by the college. The fees of most of the colleges were very high. Extra-curricular activities were non-existent. Staff seminars and staff development were nil. The management was disinterested in most of the colleges. The seats were being filled with candidate known to the management, with no consideration to his academic achievements. IV. Recommendations 1. The bus could be made air conditioned, since the travelling distance was large. 2. Staff could be sent for national and state level improvement programs. 3. The fees could remain high since there was a potential market. 4. While admitting management quota students, some screening could be given to very weak students. 5. The student council could be constituted with more energetic and motivated students so that they could participate in inter-collegiate activities. 6. Points and credits could be given to staff and students who helped and participated in the co-curricular development of the students. 7. The management could have some representatives to form a core committee, who had more time and more interest in the running of the institution. 8. A placement cell could be created with a full-time placement coordinator who would contact corporate offices for placements of the students. 9. Students could spend more time on application-oriented projects rather than concentrating on lecture based teaching only. This would help in improving the image of the college. 10. There should be a student-staff coordinator who was empathetic toward students and who could be a via media between the two for all problems and suggestions. Date: 25th April 2007

Arv, Raj

Place: Chennai EXERCISE 1. There has been some unrest amongst the employees of a multinational company. After initial enquiries the management has come to know that the workers have

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innumerable issues, because of which they are unhappy. They commission a professional consultant who does an enquiry and submits his findings as a report. Write the report. A company wants to manufacture another new brand of coconut oil. Before manufacturing, he wants a report on the coconut oil market in Tamil Nadu, Andhra Pradesh and Karnataka. Write the report. As the sports coordinator of a school, you are asked by the school Principal to present a report to her about the declining interest of students in the games period. There has been a rising of interest amongst rural women towards small businesses. Write a report on why the trend is changing and present it to the bank authorities that will use it to sanction loans. Parle has decided to set up a new fruit processing plant at Allahabad to use the locally produced guavas. Examine the possibility and write a feasibility report. The results of the university have been declining for the last 2 years. As the Vice Chancellor, commission a group to find out the reasons and write a report. You are a student Council president. You have to write report on the activities that took place in your college during the academic year. The customers of a reputed courier company have started lodging a lot of complaints since the last 2 months; about their documents being tampered with during transit. Write report listing the reasons and give appropriate recommendations to remove the same. The college library has to be made more students friendly. Survey the reason and write report to the librarian. Police harassment has been reported from the women’s jail. Do an inspection and find out relevant information that you can use to write your report. The report must highlight the reasons for the harassment and give recommendations to reduce the same.

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TOOLS OF INTERNAL COMMUNICATION Inter-office correspondence refers to written communication that flows between people of the same organization. This type of communication flows all the time and in different directions. However, there are different tools for different purposes. Some of them are– 1. 2. 3. 4.

Office memorandums Office mirculars Office notes Office orders

We will understand each one of them in detail. OFFICE MEMORANDUMS OR MEMOS Memorandum is popularly known as memo. The literal meaning of the word memorandum is ‘a note to assist the memory.’ Memos are informal letters written by heads of departments or employers to their subordinates or employees. They are never sent outside the organization. The main uses of the memo are as follows— • • • • • • •

It can be used to give or seek suggestions. It is used to issue instructions to the staff. It can be used to communicate policy changes to the staff. It can be used as a tool to seek an explanation from an employee on some matter of conduct etc. It can be used to request help. It can be used to request information on some issue. It can be used to grant permission or withhold permission for some activity.

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However, if the matter is serious and merits discussions, it is not advisable to use a memo. Lengthy matters also cannot be dealt with using memos. Memos can be filed in the company records for future reference, since they comprise written communication. The memo format The memo is written differently from a letter. The name of the sender and the recipient must be mentioned on the memo since it travels within the company. The designation and the departments of both should also be mentioned, so that it can be reached and tracked easily. Memos may or may not have reference numbers. There is no salutation and no complimentary close in a memo. The memo should be properly dated. It is normally written in a direct style with no formal trappings. But, care should be taken that the memo does not become so formal so as to loose all its seriousness. The basic principles of communication must be inculcated in a memo also. i.e., it should be clear, concise, courteous, complete, etc. Even if the memo is written for disciplinary grounds, basic courtesy should be maintained. Inter-office memos are not distributed outside the organization and thus may not need to be typed on the best quality paper according to all the format rules of letter writing. But they nevertheless convey important information. Clarity, careful arrangement, and neatness are therefore important. As with letters, the guidelines that have developed for formatting memos, help recipients understand at a glance what they have received and from whom. Many organizations have memo forms printed, with labelled spaces for the date, the recipient’s name, the sender’s name, and the subject. If such forms do not exist, memos are typed on plain paper or sometimes on a letterhead. Memos typed on plain paper always have a title like Memo or Inter-office Correspondence centered at the top of the page or aligned with the left margin. The basic essentials to be written are— Date: To: From: Subject: These four pieces of information may be arranged in almost any order, as long as they are present. Advantages of memos 1. It is brief. It is the no-frills communication. It contains just the message in its simplest form. 2. It is convenient. There are no formats to follow and formal procedure to keep in mind. The major part of the paper is left free apart from the 4 headings. The message can be typed or hand written.

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3. It is inexpensive. Since it is only inter-office communication, expensive stationery need not be used. 4. It can be kept and referred to in the future. If the memo is important, it can be stored in a file. If it is not so important, it can be read and disposed off. Memos can be delivered by hand or through inter-office mail. OFFICE CIRCULARS Circulars are meant to convey the same information to a large number of people. The information contained in a circular is usually of general nature. It cannot be confidential, since a large number of people see the circular. Circulars can be used for many purposes. For example, 1. 2. 3. 4.

It is used to intimate the changes in timings of canteen, library, and office etc. To emphasize certain rules and regulations of the office. To announce an event or a program for which all people can be present. To inform the employees about the changes in various rules and regulations of the company, e.g., medical rules, L.T.C., reimbursement of conveyance and entertainment expenses, etc.

The subject of the circular must be written on top. A circular can either be circulated by hand or be put up on the notice board. If it is circulated by hand, people who read it must sign. The purpose is that we know who all have read the circular. If some people have been left out, the circular can reach them again. OFFICE ORDERS The word order suggests compliance or acceptance. It always flows from top to bottom and has an unmistakable authority about it. The office order is a tool of downward communication. It travels from top to bottom. The following are the circumstances under which office orders can be issued: 1. 2. 3. 4.

Postings Imposing certain restrictions Granting and/or withholding permissions Intimation of disciplinary proceedings etc.

An order is an authoritative communication. It can be mistaken easily. Very often it gets misrepresented and misunderstood and can lead to serious consequences. The following points should be kept in mind while issuing orders: •

Orders must be very concise. They must not contain any frivolous and unnecessary information.

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The language must be absolutely clear. Anyone reading it should be able to understand it. All slangs, phrases and idioms should be avoided. It should be to the point without unnecessary words. Orders should be specific. They should clearly mention the person for whom it is meant. They must be such that an employee is able to follow it. An order must be completed. There should not be any loose threads hanging around. Everything must be documented. Nothing should be ambiguous and left to the imagination.

OFFICE NOTES These are used in horizontal communication. They are notes exchanges between departments. People of equal rank also exchange notes. Office notes do the following things: 1. 2. 3. 4. 5.

They ask and seek suggestions. They solicit advice. They can seek or give information concerning some issue or employee or situation. They help the colleagues to keep in touch. They seek approval in case of transfers, data exchange and problems.

The office notes follow the same format as the memorandum. They have to be addressed to someone in particular and should be signed by the sender. The date should also be mentioned. REVIEW QUESTIONS Section A 1. What are the advantages of a memo? 2. When do you use office circulars? Section B 1. Under which circumstances do you use office orders in business communication? 2. What is the function performed by office notes?

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ARTICLE REVIEW An article review or precis as it is called, is a clear and concise statement of the substance of a longer passage in a connected and readable shape. It must be correct, concise and clear. It is a writer’s own words, and should be about one-third or even lesser of the original. When you write an article review, you should make sure that it is an abridgement of the original. It is distinct from a summary or an abstract, though many people use it synonymously. Remodelling of sentences rather than selection and deletion must be followed. Why is an article review required? Very often, in today’s fast paced world, people do not have time to go through lengthy written material. They also cannot afford to miss out on what is going on. Reading becomes a necessity. They would prefer to get updated with the main points of any topic or news material in a brief and clear way. There are many situations that may warrant a précis. For example, the Prime Minister would not have time to go through national and international papers everyday. The summarized précis is presented to him daily. The Chief Executive might want to find out why a prime client is so upset with him since a long time. For this purpose the whole communication —both written and oral will be presented to him in a review or a précis form. He can quickly go over it and understand the situation. A review comes handy in more situations than one. It is important to master the art of writing a perfect review, not only from the point of an examination question, but also for future business communication practice. Steps to be followed while writing a review: FOLLOW THE 3C’S Correctness, Clarity and Conciseness Keeping these in mind, proceed on the following steps. 1. Read the article and get a general idea of the theme.

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2. 3. 4. 5. 6.

Re-read the article, if required read several times. Underline the important points. Write down the same title. Write the article in points using your own language. Re-read the article to ensure that no crucial points have been over-looked and nothing extra has been added. 7. Connecting your points, write down a well-connected, readable paragraph. 8. Count the words in the paragraph and make adjustments to suit the required length. 9. Review and rephrase your rough draft. Remember to keep it correct and clear. It tests a person’s ability to read and understand. After completing a few article reviews, you will sharpen your ability to express yourself in fewer words. These skills are very essential in day-to-day business life. Summarizing involves reading skills, understanding and judging the important and key points, a thorough understanding of the language you are summarizing in, and the ability to write clearly and simply. You frequently have to present the list of business letters written by various people. You may also have to include the reviews of reports presented to you by different departments, organize them and present them in your own report. There are many a time during business dealings, that you have less space, but you might have to fit in more information. What do you do in these circumstances? You review it and then condense it. Sometimes book and articles reviews are written for publication. You would have seen them in newspaper dailies. When a new book gets released or an important article has been written, people publicize it. It is written about in a review form in other publications. Article review writing skills can also be used in other situations. They are— • • • • • • •

Writing a telegram Writing a synopsis of a meeting Summarizing a speech Writing a telephone message Sending a long message by fax Writing minutes of a meeting Reviewing a book

Busy executives and politicians are always in a hurry. They would like to read only the review of all the articles in the paper. They have time only for a summary of the performance of their company or unit. In these situations, Précis writing skills are very helpful. If people excel in it, they can even find employment on the basis of it.

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The following points must be taken care of: 1. 2. 3. 4. 5. 6. 7. 8. 9. 10. 11. 12. 13.

Quotations and repetitions must be left out. Unnecessary details should not be included in the summary. Statistical data, examples and illustrations should not be written in the summary. Instead, you should write the inferences got from them. Questions should not be included. Exclamatory sentences should not be avoided. Flowery, figurative expressions should be replaced with simple prose. Abbreviations should not be included. Long, unfamiliar words should be replaced with simple, easy to understand words or phrases. Long sentences can be replaced with smaller ones. Lengthy explanations should be left out. Repetitions are a total no-no. The review or summary should make sense on its own. It should be written in the same logic flow as the original story.

REVIEW QUESTIONS 1. Take a news magazine e.g., ‘India Today’, ‘The Week’, etc. Browse and pick any article that you like and can understand. Read it fully and then write an article review. Remember, the review should mention the name of the magazine, its issue date and the title of the article. 2. Choose a sports magazine. Find out if there is any article describing the life and achievements of any sportsperson, read it thoroughly. Then do an article review. 3. Pick out your favourite film star. Read an article about him/her and write an article review. 4. Read your favourite author’s novel. Try to write a book review and compare it with the book review of the same novel, which has been published.

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CHAPTER

13

COMMUNICATION THROUGH NOTICES INTRODUCTION On frequent occasions, a businessman is required to communicate with different parties outside the company. This is done to fulfill various purposes. It is very important that all employees learn the knack and technique of communicating with people outside the company in a proper way since they become ambassadors of their company and should conduct themselves with business etiquette, both in oral or written communication. Public notices are a simple and easy way to reach across to many people at the same time. One notice can ensure that a number of people read about the same thing and become aware about it. Giving Public Notices is also a cheaper method than advertising on radio and television to reach out to the public. As the name suggests, it is a notice given to the public in general for their information. Public notices can be seen in newspaper dailies and other magazines. They can be issued on any of the following reasons: 1. If shares are lost in transit. 2. When the office premises are changed. 3. When a warning is given about some ex-employee, still posing as an employee. 4. When a trade mark is being violated. 5. When telephone numbers change. 6. When a tender notice is to be given for supply of goods. 7. When a tender is floated for construction of premises. 8. When intimation is to be given for an Annual General Meeting. 9. When the Board of Directors of a company have to meet. 10. To intimate the public about a lost cheque or other financial document.

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In all cases, a notice has to be written. There is no fixed format for writing a notice. However there are some essentials that have to be included, e.g., The company’s name The company’s address The heading “NOTICE” The date The place from where it has been issued The signature of the authority that has issued the notice with his designation. TENDER NOTICE This is a special type of a public notice. All newspapers carry one or more tender notices. It will do you good to scan a few, as you understand this topic. Why are tenders needed? 1. When an organization needs to get some work done, e.g., Modernization of its office or factory Ensuring supply of fruits and vegetables in hotels, etc. Getting a contractor for a fixed term to supply food in the train, plane, etc. Getting someone to supply equipment for your office Finding someone to construct a factory or shed etc. Getting someone to provide raw materials for your factory, which you require in production. 2. When the job is comparatively large, and the company does not want to show favoritism to any particular supplier and want to get certain jobs done at competitive rates, they use tenders. Suppliers are invited through the tenders, to come and offer to supply their goods or provide their services. The tender notice gives all the details of the job required. The suppliers can read it and if it suits their needs, they can submit their proposals in sealed covers before a specified time and date. A token earnest amount is also to be included when the tender is submitted. This is so that unscrupulous elements are turned away. When the specified time nears, all the tenders are opened in the presence of the parties and the offers are compared for prices and quality. The most competitive bidder gets the contract. The tender notices must give the following details so that it is easy for the interested parties to understand the job and submit their proposals on time. Some requirements are– •

The qualification of the people who can fill up the tender

• •

The time of submission The date of submission

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• • • • • • •

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The time of opening of the tender The name of the person to whom the tender has to be submitted The detailed job requirements The approximate cost involved The type of quality desired The earnest money to be deposited The cost of the tender

REVIEW QUESTIONS 1. When is a tender notice warranted? 2. What are the details that are to be included while floating a tender? EXERCISE 1. Cut out 6 ‘TENDERS’ from the newspaper and paste them in your Business Communication notebook. Compare and contrast them. Then try to write a tender notice yourself.

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CHAPTER

14

ENQUIRIES & REPLIES The first step before placing orders is to make an enquiry. Until a customer knows what is available; he will not be able to place an appropriate order. To find out the details of the goods and services the supplier offers, he needs to ask him about the same. Most often, the supplier is located very far away from the buyer. Phone calls are expensive and it is not possible to find out all the detailed information of phone. At these times, the buyer writes what is called the Enquiry Letter. The seller will answer it and write a reply letter. ENQUIRY LETTER Enquiries can be of two types— • •

Solicited enquiry: This happens when a seller, advertises his products or services and does publicity about himself and his company. He solicits or asks for enquiries. Unsolicited enquiries: If the seller has not made any initiative to advertise or publicize his organization and products or services, but the buyer gets to know of it on his own, it is called unsolicited enquiry.

Buyers send enquiry letters in many situations. Some of them can be stated as below: When they want to find new suppliers When they want to find out the price of the goods When they want to enquire about special goods When they want find out newer schemes which the seller offers When they want to enquire about payment terms When they want to make colour or style choices When they want to make the best choice A letter of enquiry should be straightforward and clear. There should not be any ambiguity. The prospective buyer should know what he wants if he has to enquire about it. If he himself is not clear and the letter is not worded properly, he will not get a satisfactory

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response. The enquiry letter should also be courteous since it is a request for information. Needless to mention, it should also be compact, with all the questions written properly. The enquirer should not be hesitant, as he is actually not placing an order. He is merely making an enquiry to clear any doubt that he might have or to find out more information. The letter should be written in a positive tone, be brief, and to the point. It is very important to tell the supplier that you need the information by a certain date, or else there are chances that he takes his own time to reply to your enquiry. Some other types of enquiries • •

Routine enquiry: This is made by an existing buyer and old customer in the normal course of business. Special enquiries: These enquiries can be regarding something which does not form part of routine trade. They can be regarding some favour.

Points to be kept in mind while writing an enquiry letter Mention the purpose of your letter clearly. Request for information on the type of goods or services that you require. Ask for a catalogue, if possible in that kind of a business. Request for samples, if possible. If you are asking for a service, ask for a demonstration. Give an idea about the probable size of the order. Tell him about yourself and how you got to know about him. Ask him about his credit terms. Enquire about any discount that he may be able to give. Make enquiries about the mode of delivery. Tell him about any specific packing that you may need. Inform him if you have some specific transporters that you would like to use. Tell him if you are interested in regular supplies or if you are a one-time customer. The opening sentences are very important. It will be good to go through the following sentences as examples of typically used opening remarks of enquiry letters. For example, Please quote your prices for the following items… Please send your latest catalogue and price list for the following… We will appreciate if you could send us the details of… We would be pleased to get information about the prices and terms on which you could supply… It will be good if you could send us information for your products… Please quote your lowest prices for the following goods… The closing remarks can end the business letter. It is equally important to end on a business-like note. For example,

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• • • • •

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We would be grateful if you could reply by Please treat our enquiry as urgent We will appreciate an early response Should your terms prove to be satisfactory to us, we will respond by placing an order immediately. Since we are in urgent need of the goods, we would be grateful if you could reply immediately.

** Dear Sir, During the recent exhibition, held at Pragati Maidan, New Delhi, I saw some samples of your new ceramic tiles for office flooring. I am an interior designer and have regular use of your items. Your innovative designs really impressed me. I would like to get further details about your product so that I may be able to use them in my work. Please give me the following information: 1. The colours, designs and sizes of your tiles. 2. The prices. 3. Is there a special processing required on the under-flooring? If you have a local office in my city, I would like to have the address and contact number so that I can contact them easily. I will be grateful if you could send me the details before the end of May 2007. Yours faithfully, ** REPLY TO THE ENQUIRY Any enquiry must be responded promptly. The seller should reply even if the terms and conditions promised by the buyer are not agreeable to him. If he feels that he will not be able to supply the goods or render any services, he should still make the effort to answer the enquiry promptly. The fact that someone has taken interest in the business and written to him is enough to motivate him to reply promptly. He should thank the enquirer immediately. This will improve his reputation in the market and make him appear more professional and business-like. Replies can either be positive or stating an inability to supply the goods. In case they are positive, they will be attached to a price list, catalogue of the goods and services provided along with other relevant details that will help the prospective buyer. Replies should, in fact be more like a sales letter. It should prompt a shaky and unsure customer to actually become a customer. Replies should also contain the payments terms and conditions and should have a reference to the enquiry letter.

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Replies should clearly and correctly convey all the information, which has been requested by the prospective or existing customer. It is not necessary that only a new customer write an enquiry letter. An existing customer can also have many doubts. He also might want to expand his business dealings with the seller. The seller might have launched a new product or service, which might interest the buyer. In such cases, it is necessary to satisfy all the queries of the buyer beforehand. The person who writes the reply to the enquiry has an extremely important role to play. He should not treat all enquires by the same yardstick. Each one should be analyzed for their peculiarity and responded to appropriately. The replies should be polite and direct and answer all the questions asked in the enquiry. If possible, go a bit beyond, and provide some additional information, which can help to cement the business ties and promote trade. The replies should express gratitude for the enquiry made. It must be clearly understood, that, ‘first time’ enquiries are different from routine enquiries. In fact, if the reply is really good and well written, it can also do the job of a salesman. It can convince the buyer to buy. Points to be kept in mind while drafting a reply letter 1. Refer to the enquiry letter by date or reference number, if any. 2. Thank the party for displaying interest in his company and initiating the process by the enquiry letter. 3. Remember to answer ALL the queries. 4. Add a short description about your favourable terms. 5. Try to sell your special products and services. Make them as attractive as possible. 6. State the payment terms clearly and correctly. Let there be no room for vagueness. 7. If you are sending the catalogues and price lists separately, inform the buyer in the reply letter. 8. If you are arranging a demonstration, ask for the customer’s convenient time. Tell him that you will be getting in touch with him to fix it closer to the date chosen. 9. Use some sales talk to stimulate the buyer’s interest. 10. Show your willingness to serve the customer in other ways apart from the particular enquiry made. 11. You can also use this opportunity to sell your company and other products. 12. Let him know, how benefited you will be to become his customer. Spell out those benefits. ** Dear Sir, Thank you for showing an interest in our product. We are enclosing our catalogue and price list for your kind consideration. The designs displayed on the last 4 pages are our latest ones and are currently very popular abroad. They have a special coating that prevents staining. We have supplied these to a number of leading architects and construction contractors in and around

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Mumbai. The offices have found them easy to maintain and clean. The physical appearance is also very attractive. We will be happy to discuss your requirements personally. Please call us anytime at the numbers given below and I will have my local representative call you when you are free. Yours truly, ** Sometimes, you cannot help the customer by giving him the required information. It may be confidential, or may not be available or you may be facing some problems of your own, because of which you are unable to help him. Courteously explain why the information cannot be given, and suggest some other source to help him. Write in a helpful tone. It will boost your business reputation. Points to be kept in mind while expressing your inability to give information. 1. 2. 3. 4. **

Appreciate your enquirer for showing an interest in you. Apologise for not being able to give information requested. Give the correct reason for not being able to help him. Suggest some other source of information.

Dear Sir, Thank you for showing an interest in our company and contacting us. Though we are serving customers, we are not in the position to take on any new orders at present. This is because we are facing some financial problems due to non-receivables. I will however give you the address and telephone number of some other companies who are engaged in the manufacture of the same ceramic tiles. I hope this will help you with our current assignment. We will however be ready to serve you in the future. Please accept our apologies for the inconvenience. Yours truly, ** Important terms used in Offers and Quotations F.O.R.

Free on rail. The charges for loading the goods onto the train are borne by the seller. They are included in the quotation.

C.W.O.

Cash with order. Cash should be included with the order. In case, this is not done, the order does not get executed.

C.O.D.

Cash on delivery. The payment is made when the goods are delivered to the customer.

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E. & O.E.

Errors and Omissions excepted. You can find this on the bottomleft hand side of an invoice. It means that the seller has the right to make corrections, in case he has made any omissions or errors.

F.O.B.

Free On Board. This term is used in export-import dealings. It means that the bill amount included the charges up to loading onto the ship. The charges after that are to be paid separately by the buyer.

Ex-warehouse

This pertains to the price of the goods at the warehouse of the seller. All charges of transportation etc. are to be taken care of by the buyer separately.

Loco

This indicates the price of the goods at the warehouse of the seller. It may or may not indicate the packing charges. The buyer should clarify this separately.

Carriage forward

In this, the transportation charges are to be borne by the buyer separately.

Carriage paid

The cost of delivering the goods at the buyers place are to be borne by the seller.

Forwarding note

The consignor (the person who sends the consignment of goods) prepares a note in the prescribed format, this will give particulars of the goods and the name and address of the consignee (the person who receives the goods).

REVIEW QUESTIONS 1. You are a shopkeeper selling ladies readymade garments. Write letter to a supplier based in Mumbai asking him for his catalogue mentioning the styles, prices and colours. 2. Draft a reply to the same. 3. Enquire from your suppliers about the price and time of delivery of a type of embroidery thread that you need. Also ask them if they have a minimum order quantity. 4. Write a letter from Kabir Generators Ltd., Bangalore to Messers. PPO Ltd., Bangalore giving a quotation for the supply of generator sets. Emphasize in your letter the installation service, after sales service and replacement facilities that you provide. 5. Write a letter from Messers. PPO Ltd. accepting the offer and requesting the supply an installation of 10 Gensets. 6. A school library intends to buy notice boards and magazine display racks. Draft a letter from the school Principal asking Saturn Displays from the catalogue with prices.

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7. 8.

9. 10.

11. 12.

13.

14.

15. 16. 17.

18.

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The letter should stress that a substantial discount should be given, since it is for an educational organization. Invite an advertising agency to quote their best rates for designing a marketing campaign for a new menswear showroom to be launched in the same city only. You are organizing the silver jubilee celebrations for your hospital. Since you are looking after the catering, write a letter to the caterer asking him to quote his best possible rates and to come and discuss with you personally. Your class has to go for an outstation tour. Write letter to a reputed tour operator to come and meet you and offer the best possible package. You have received an order to supply steel, office furniture immediately, within 2 weeks. Draft a reply that you will only be able to supply a part of the order, since the other half of the items are not in stock. Draft a letter confirming an order given on the phone. Give the final sales value and enclose an order form. You have seen an advertisement on television, for an office-jogging machine that assures fitness for employees. Write a letter to the manufacturer enquiring details about the same, as you are interested in acquiring one for your office. Invite Décor experts to submit a quotation for carrying out renovation and beautification work for your corporate office. They are to submit their plans and quote for the job. Tell them that you have requested other decorators also to quote, so, ask them to be competitive in their offer. You have received a request for a quotation for supply of examination answer sheets from a school that often asks for a quotation from you but takes material only from his regular supplier. Write a letter, telling them that they are aware of this and you would not likely to quote for them in the future. Make an unsolicited offer to an office offering computer printer cartridges of all types. Draft a letter to confirm a ladies handbag quotation sent earlier on telephone, expanding the quote and making the order ‘firm.’ You are the managing director of a company in Bangalore, dealing with computer blank CD’s. Draft a reply to an enquirer in Nainital, furnishing quotations for your range of varieties. Write a letter on behalf of garden agencies, Patna to Householders, Kolkota, asking for their quotations of prices for their gardening equipment. Also enquire about the concessions and mode of payment and credit facilities.

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CHAPTER

15

QUOTATIONS AND OFFERS QUOTATION In business, when an organization wants to place an order for some goods, or want to get some service rendered, they ask for a quotation. A quotation is a specific offer for sale. It is made in response to a specific enquiry. It is not a generalized offer. On the other hand, an offer is general and voluntary. It is generally available to those who want to take it. It is not specialized or customized for a particular individual or company. When you intend to get some work done or some service rendered, you ask several suppliers and providers to quote for the job. Normally all interested parties go through the details and then quote their price. You will then go through the various quotations that you have received and select the best one that fits your requirements. It is not necessary that the cheapest quotation is the best. It is necessary to go through all the details about the quality offered, time estimated to complete the job, etc. A quotation indicated details about prices of the specific goods desired, terms of payment, payment amount, conditions of delivery, etc. A quotation must be truthful. There should not be any hidden costs that can inconvenience the buyer at a later date. Everything must be clearly specified in the quotation. When you are asking for a quotation as a buyer, mention all the details that you want. It might be a quotation for painting your factory or construction of a shed or air conditioning an office etc. Your request for the quotation must be polite and courteous. It must have the complete details about what you want. It will also be advisable to suggest that your quantity of business will be large, in case the quotation is favorable. You must make your business need attractive to the person who will quote for business.

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On receipt of a request for a quotation, we have to respond with a firm offer. ** Dear Sir, We are a company engaged in processing grains into flour. Ours is a well-known company, recognized for its quality. We require reliable people to supply wheat and rice to us for the coming financial year. We have heard about your high quality grains and request you to submit a quotation to us. If your prices and terms are favoruable, we shall consider giving you substantial orders for this year. Please send us your quotation, carriage paid, within a fortnight. Yours truly, ** Sir, We are a large industrial concern located on the outskirts of Chennai. We are in the process of redecorating our office premises, covering 5000 sq. ft. For this, we are contacting leading interior decorators to do the job. We will intimate you of our specific requirements as soon as you respond to our letter. We cordially invite you to visit our premises and will be very happy to take you around. Central air conditioning is to be installed in the entire office. Please call us so that we can fix up the date to meet. Yours truly, ** Reply to request for a quotation By and large, quotations follow a standard pattern, unless it is for an unusual job. The quotation can be tabulated for clarity and there can be a separate personalised letter attached. Initially the letter should thank the person for asking him to quote. It should do the job of a salesman. It should try and convince the buyer about how beneficial it would be for him, if he accepts this particular quotation. ** Sir, Thank you for singling us out and asking us to supply food grains to you for the coming year. We are indeed grateful for the interest you have shown in us. We are a well-known company, who are extremely conscious about quality in our products. We will be happy to quote our best prices for you, since we would like to have a longterm business relationship with you. I would also like to add that we have a long list of satisfied customers who have never had any reason to complain.

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We are enclosing herewith a price list for the various grades of grains. The prices are carriage paid. We look forward to an early response from you and will be happy to clarify any other queries that you may have. Yours truly, ** A FIRM OFFER is a promise in which the seller agrees to accept an order at the stated price provided the order is received within a specified time only. A firm order is made when the prices of goods keep fluctuating frequently. In these situations it becomes difficult to quote a price for a long time as you yourself do not know about the market conditions in the near future itself. Firm offers are also made when the supplies are less and demand is more. The firm’s offer letter must state the reason why they are making a firm offer only for a limited period only. It should also state the last date till when the offer is valid. There should be confusion in the letter. It should clearly and surely spell out all the details you are offering to the customer. ** Dear Sir, Thank you for your letter of 7th April 2007, asking for a quotation for the supply of 200 units of air conditioners. Our price list is enclosed; we give a discount of 10% if the order is more than 500 units. We will deliver the goods carriage paid within the city of Chennai. Please note that this discount offer is valid for 3 months only. We are making this special offer to you since your order is considerable. Please note that we do not generally offer discounts on our A.Cs during the peak summer season. We urge you to take advantage of this and place the order as soon as possible, so that we can also commence work at our end. Thanking you. Yours truly, ** Offering a substitute If the requested goods are not available, you can offer what is called a close substitute. For this, the supplier must understand the correct needs of the buyer and then offer a substitute, only if he genuinely feels that the substitute will fulfill the needs. He should not offer the substitute just for the sake of retaining the customer. The customer will never forgive him in case something goes wrong. One must not give into the temptation of simply offering something. This will only satisfy your short-term need. Proper business strategy indicates that the long-term goal must superimpose short-term benefits.

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** Sir, We thank you for your enquiry letter dated March 26, 2007 for the supply of 250 numbers of Urvashi soap cakes, costing Re.1.00 each. We are sorry to say that we have discontinued to manufacture of the Re.1.00 bar and have introduced a Rs. 2.00 and Rs. 3.00 bar. They are much bigger in size and last longer. Your total cost might go up, but the satisfaction of using it will be much greater. We trust that you will place your monthly requirement of soap cakes with us and enable us to continue to be in your service. Yours faithfully, ** Asking for special favours Sometimes the buyer may need a special favour from the supplier. This may be in the following forms: Discount Special concession Free gift packing Free delivery to a nearby location Interest free credit time to pay Extra offers Free samples of new products In such cases, he needs to show the supplier that the letter and tell him that he will stand to gain in case he gives the favours. He may gain either by increased sales or free publicity. The letters written on such times need to be extra courteous and endowed with the ‘you’ attitude. ** Dear Sir, Our supermarket has been stocking your dry fruits for the past two years. However, as you are aware, that we do our own branding, and sell all goods under our name. This year, for the festival season, we are unable to segregate the dry fruits and repack them into smaller gift packets to sell. We propose that if you could supply us smaller gift packs in our required quantities, then, you could retain your name and also gain publicity through our store for your efforts. We would however like to mention that we would not be paying you any extra amount for the gift packing.

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Please intimate us by the end of the fortnight if you are agreeable to our offer, so that we do not have to look around for another supplier. Looking forward to out continued association. Yours faithfully, ** Reply to the letter asking for a favour—Positive reply Dear Sir, We are in receipt of your letter asking us if we will be able to supply smaller size gift packing of our dry fruits for the coming festival season. Since you have been our regular customer for a long time and we have always had considerable sales through your supermarket, we have decided to agree to your offer. We will be able to arrange the special smaller gift boxes as per your request, instead of the wholesale, bulk sale we used to have with you. This is possible, as you have informed us well in time. We hope the proposed order will exceed 4000 boxes so that we will be able to absorb the extra packing cost. Please place your order by the 15th of this month so that we have sufficient time for planning at our end. Yours faithfully, ** Reply to the letter asking for a favour—Negative reply ** Dear Sir, We are in receipt of your letter asking us if we will be able to supply smaller size gift packing of our dry fruits for the coming festival season. Since you have been our regular customer for a long time and we have always had considerable sales through your supermarket, we wanted to agree to your request. However, presently we are not in a position to oblige you due to organizational problems. We are about to reorganize our business and do not want to introduce any new things for this year. Please understand that this is in the best interest of the customer, as we do not want anything to go wrong. We will continue to supply in the bulk packing, but can refer to a person who does very attractive retail packing for gift boxes at a reasonable rate. Thank you for your support and we hope we will be in a position to accommodate you next year. Yours faithfully, **

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REVIEW QUESTIONS 1. Make an offer to a college about your package deal for a department excursion for thirty students leaving station for four days. 2. Make an offer to be the DJ for New Year eve at a corporate party. 3. Draft a favourable reply to the above letter. 4. Make an offer to a hospital to supply the fruits and vegetables for their kitchen for a period of one year. 5. Offer to provide your lunch delivery services for an office with twenty-five managers. Write out the reply also. 6. Quote attractive terms and conditions for maintenance of the garden of a big industrial complex. 7. Offer to supply computer stationery at attractive rates for a period of one year for an office. 8. You are a cable network provider. Write a letter to subscribers who are already the members of an existing cable provider, offering better viewing with lesser payment.

CHAPTER

16

ORDERS Order letters are the main letters for a company. All other letters arise from these. But, the best part is that they are by and large standardized letters. The contents are mostly tabulated. Orders are normally placed after the enquiries made, and offers made by the supplier. Frequently, orders are sent orally, but it is always advisable to follow up with a written order. It is very important for the order to be detailed and complete so that it can be promptly executed. If there are unclarified assumptions, then it will necessitate another exchange of letters. This will take time and the execution will get delayed. Points to be kept in mind while writing an order letter 1. The seller should be thanked for his quotation, especially if he has offered a special price or freebee with the order. 2. Give a complete specification of the goods you are ordering • Number/Quantity • Size • Colour • Style • Brand • Model number • Unit price • Quality 3. Give forwarding directions so that the seller knows how to send the goods. 4. State how you will be paying him, e.g., • By check • Cash with order • Debit to the account

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• Have any discounts been offered to him? • Cash on delivery Give your desired packing instructions, especially if they are perishable goods or fragile goods. Mention if you want insurance during transport or not. Mention the date by which you need the goods. Mention if you would like to be supplied with alternative or substitute goods in case the ones ordered are not available. At the end, mention what is most important to you, e.g., Quality Prompt delivery Good packing

** Dear Sir, We are happy to place an order with you for the supply of B2 cleaning disinfectant fluid. We expect that the liquid will be of the same high standard as the sample, which has lead to the order. We are filling up the order form that you have provided. All the details regarding our order are present in that. We would appreciate if you could deliver our material within this week. Yours truly, ** ** Dear Sir, We confirm our telephonic order for 12 dozen packets of polythene bags. Enclosed is our cheque for Rs.______ as advance payment. Please deliver the goods by this weekend, at the above-mentioned address on our letterhead. We shall be happy to place future orders with you, provided we approve of your goods. Yours faithfully, ** ** Dear Sir, We are happy to say that the Sagar brand of raincoats that we purchased from you a week ago have proved very popular and have all sold out. Hence, we need another consignment of raincoats immediately.

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Since the monsoon season will not last long, I request you to send the consignment as soon as possible, preferably within this week. Please dispatch immediately on carriage forward terms as before. The other particulars of the order remain the same. Thanking you, Yours faithfully, ** ORDER FORM An order form is a pre-printed paper kept read to be filled up. It is also called an order-blank. It has routine headings and sub-headings, which are normally found in almost all orders. The person placing the order fills up all the necessary particulars. The order forms save time and energy and facilitate quick filing and serve as a ready reference. Since all the columns are given, it ensures that no detail is left out while placing the order. These order forms are very common for repeat orders and large orders. They are also used for routine, small orders. The main advantage of these order forms is that they provide extreme convenience. They are however quite monotonous and it is essential that a covering letter is attached to the filled-in order form to mention any special information that cannot be included in the order form. The covering letter can also impart the personal touch to the order. Normally company’s who give frequent orders keep pre-printed order forms ready for use. REVIEW QUESTIONS 1. You are a retailer based in Mumbai selling raincoats and umbrellas. Before the forthcoming monsoon season, you want o stock up on all sizes of the above goods. You only want them in specific colors. Write to a supplier in Kolkata, ordering the same and requesting for a prompt delivery. 2. Write a letter acknowledging the above order. 3. You are the purchase in-charge of a college in Chennai. Your institute is organizing an essay contest for students from other colleges. You are required to assess the number of participants and place an order for the requisite stationery from a wholesaler in Chennai itself. Write a letter. 4. Acknowledge the order and express regret to supply it. 5. The West Watch Corporation, Baroda has received an order from a customer for 100 quartz watches. The order did not specify the colour of the dial and straps, or even the price at which he can buy them. Draft a letter on behalf of WWC. Tactfully ask for the required information so that you can process the order fast. 6. You are a supplier of writing instruments. A retailer in New Delhi has placed an order with you to supply 10,000 ball pens. He has however forgotten to mention

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whether he would like blue pens or black. Write to him asking for a clarification for the same. Mention that you need the information as soon as possible so that you can execute the order promptly. You have received an order for toothbrushes of various sizes and colours, but you are unable to execute it in time due to certain internal problems. Write to your customer, who is based in Coimbatore, requesting him for extension in time. Reply to the above. You are a retailer of footwear. You have placed an order with a manufacturer of school shoes to supply 50 nos. of black school shoes of size 6 within a month. Write a letter on behalf of the manufacturer, politely refusing the order, since you already have heavy orders on hand. Messrs. Sethu & Sons, Mumbai have placed a large order for ‘Promilk’ baby food, manufactured by you. They are not in a position to pay such a high price for your goods. Write a letter to them, expressing your inability to execute the order at a reduced price. Acknowledge an order of Re. 1.00 Urvashi Soap Cakes. Decline the order and express regret since you have stopped manufacturing the Re.1.00 soap cakes. Suggest them to buy the Rs.2.00 soap cakes instead. Reply to the letter, accepting the suggestion. Maruti Udyog Ltd., has received an order to supply 1 no. ‘Wagon R.’ Write to them and give them the address of the dealer situated nearest to them and request them to contact him directly since you do not handle direct sales. You have received an order for the supply of stationery worth Rs. 5000/- from one of your retailers. But they already owe you Rs. 10,000/- from the past order. Write a letter seeking a settlement of accounts before executing the present order. You are a wholesaler of erasers, based in Hyderabad, and have received an order from a stationery shop in Vishakapatnam, for 12 dozen Rubwite erasers. You do not have them in stock, but can supply another variety of erasers, which are equally good. Write a letter to your customers regretting your inability to supply the erasers he wants and inducing him to buy the ones you can supply. Messrs. Nemachand & Sons have placed an order with a wholesaler of dry fruits for the supply high quality almonds and raisins for a full year. The supply could commence from July 2003 till June 2004. Ask him for his quality samples and request him to quote his best prices as you are taking his supplies for a long period of time. Acknowledge an order placed by a customer who had stopped ordering from you due to your quality problems. He has been brought back by the consistent efforts of the marketing team. A long-standing customer has placed an unusually large order for the supply of bulbs and other electrical fittings for his forthcoming construction site. Write a letter acknowledging the order and showing appreciation of his regular orders and prompt payments.

CHAPTER

17

COMPLAINTS AND CLAIMS All businesses encounter some mistakes. Most of the mistakes happen by accident. Mistakes can occur both on the part of the customer, e.g., He mentions the wrong size while ordering women’s clothes. OR On the part of the supplier, e.g., He dispatches the wrong style of clothes to the customer. Many people are involved in the entire business. So the likelihood of a mistake-taking place is high. It goes higher as the number of people in the chain increase. There are many reasons, which can give rise to mistakes— • • • • • • • • • • • • • • • •

Incomplete order Defective order Defective or inappropriate packing that can damage the goods A wrong understanding of the order Delay in execution Poor quality of raw materials used Poor quality of finished goods Defective pieces been dispatched Insufficient quantity Wrong size Wrong colour Wrong pattern Wrong billing Wrong attitude Inappropriate production process The wrong quantity has been delivered

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• Discourtesy from the staff at the office or factor • Arrival of duplicate bills, even after you have made payment. As you see, the list of possible mistakes is endless. COMPLAINT/CLAIM LETTER Lodging a complaint requires special care. It should be done carefully, with tact. The letter should be courteous and clear. The letter should not have an offensive tone about it. The complaint should be made politely but firmly, without displaying emotions of anger or annoyance. In the case of a supplier making a mistake, the purpose of writing a claim or a correction letter is that you can get a correction or an adjustment done. The mistakes have to be brought to the notice of the supplier who has made the mistake and an adjustment has to be made. As soon as the mistake is discovered, it is customary to first inform the supplier over the phone. Then it is followed up with a letter. If the company is a reputed company, registering the complaint is enough. They make adjustments on their own. However, sometimes you get caught with unscrupulous suppliers. In those cases, it becomes difficult to get them to make adjustments to compensate you. Points to be kept in mind while writing a complaint letter 1. 2. 3. 4. 5. 6. 7. 8. 9. **

Reference should be made to the date of the order and the order number. A clear description of the mistake or deficiency in service should be mentioned. Nothing should be let to imagination. The loss suffered should be mentioned accurately, without any exaggeration. The possible action that can be taken by the supplier can also be suggested to make good the mistake. The customer should request that an adjustment be made. Appeal to the supplier’s sense of goodwill. Be definite about what you are asking for. Be firm about your need for fast redressal of the problem. Sirs, We would like to bring to your notice the fact that despite placing an order of pencil cells with you, we have yet to receive the consignment. It is almost a month since we dispatched our order letter. As we do not have any information from you, we assume that something has gone wrong. We would be grateful, if you could intimate us after finding out the reason for delay. Thanking you. Yours truly,

**

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** Dear Sir, I had ordered drawing room furniture from you. However, when I opened the packing, I was shocked to see a bedroom set inside. Obviously there has been some confusion over two orders. I would request you to kindly exercise some speed while you are sorting out the mistake, so that I do not have to wait for too much time for my furniture. We expect that you will act immediately. Yours faithfully, ** ADJUSTMENT LETTER The success of any business depends on the satisfaction of customers and hence it is important for the company to know whether the customers are satisfied with its goods/services or not. If a company has dissatisfied customers, it is likely that they will talk to others and may even complain in the press. This is bad for the reputation of the company. Complaints do come. When that happens, you should make sure that you address them to the best of your ability. There may be adjustments to be made; you should promptly take the opportunity to get close to your customer and solve his complaints. At the end of it, you should ensure that he is satisfied with your efforts. Goodwill can be created by prompt and genuine attention to customer complaints. In fact, all employees must be trained to be sympathetic to customers, not only the marketing and customer service departments. Presently, there is an increase in customer awareness about their demands and needs. There are legislations to protect their rights. Hence, it is even more important to address customer complaints amicably, so that the do not spread a bad word about you. A company’s bad reputation and careless attitude can be suicidal for its business. In present times, of growing competition, ‘If you don’t take care of your customer, someone else will.’ So it is mandatory to ensure customer satisfaction and pay prompt attention to any dissatisfaction. The adjustment policy of any company must be framed with the ultimate objective in mind. The customer must be kept at the center and then all the various adjustments should be worked out. However, a company cannot loose its financial balance in the process of making adjustments. We will see some different types of adjustment letters that are written by companies. 1. Granting adjustment to the customer 2. Refusing adjustment—buyer beware

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Offering a partial adjustment Apologizing, when the damage cannot be set right Making an adjustment, just to keep the customer happy Responding to a customer complaint in a grievance column Stop-gap letter, till the time the investigation is over

Whether an adjustment is granted or not, the letter must follow certain basic principles and contain certain essentials. This is, so that good customer relations can continue. When the customer finds something wrong with the goods or devices, his confidence gets shaken; your reply must be geared to restore his confidence. On the other hand, he may be full of anger and may feel cheated by you. Your letter must again try to pacify him and regain his goodwill. The adjustment letter must express regret for the inconvenience that the buyer has had to undergo. You must also explain why things went wrong and try your best to convince the buyer that this is not a regular feature and he will have no cause to complain in the future. Assure him of your speedy response, no matter whose fault it is. You letter must reflect your positive attitude towards the error. You must be objective and tell him/her that you will locate the error and try to control it so that it does not occur again in the future. You must be helpful towards the customer, because no matter whose fault it is, he is your customer and you do not like to see him inconvenienced. ‘Customer is the King’ must be evident in your dealings and specially in an adjustment letter. Do not jump to a defensive immediately. Whatever it is, understand the problem, and then respond. Be sympathetic for the inconvenience caused to your customer and for the loss he has had to incur, in terms of money or time or energy. Once you make a good beginning, the rest is easy. Remember, if you start the letter well, it will go on well. “If you are dissatisfied, tell us; if you are satisfied, tell the others.” Letters granting Adjustment when a mistake has occurred An adjustment is made when some fault has occurred in the execution of the order. The goods, which reach the customer, are damaged or delayed. They cause inconvenience to the buyer. Points to be kept in mind while writing the letter Express regret and sympathy with the customer as he has been inconvenienced. State what has caused the inconvenience from your end.

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Mention how you will be correcting the fault and what adjustment you will be making. Tell him that you will take all precautions to see that the fault does not occur again. Be sincere in your tone. Do not make it seem that you are obliging the customer by listening to him. Show appreciation of the customer’s efforts in informing you. ** Dear Sir, I would like to offer my sincere apologies for the mix up in the furniture order. I am well aware of the hardships you would have had to go through. A careless employee caused this. I however, own up to the mistake and assure you that this will not happen again. In the meanwhile, I have dispatched your correct order of bedroom furniture and I do hope that it will reach you within three days. Our person will be contacting you to collect the mistaken order items. Please make it convenient for him to collect the furniture. I do like to thank you for your kind letter informing me about the mistake. Please accept my sincere apologies again. Yours truly, ** Letters refusing adjustment It is to be understood that any company should never refuse to help the customer. It may happen that you can service him for the mistake that has occurred, but he may have to pay for it himself. If this is conveyed in a professional way, there are more chances that the customer will not take offence and give him further orders despite the goof-up. It is poor customer relations to refuse to do any work such as repairing, or delivering well again. You must be willing to render the service, but explain that the customer will have to pay for it. Not entertaining any claims from the customer is a most un-businesslike policy. Points to be kept in mind while writing the letter Express regret for the customers inconvenience. Inform him why the problem has occurred. Tell him that you will be assisting him in solving the problem. But, politely, request him to bear the cost of the damage. Make every effort to maintain goodwill.

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** Sir, This is to bring to your notice your complaint regarding the wrong varieties of apples that were sent to you. This mistake was actually caused, as you did not mention the correct variety that you wanted. In that situation I had made the effort of enquiring from you about the exact variety that you needed. Since there was no response from your end, I assumed that you would have ordered the variety that you normally take from us. I am sorry I will not be able to change the consignment and help you in this matter. Yours faithfully, ** Letters offering partial adjustment This is a fifty-fifty path. A compromise is reached when the difference of opinion cannot be resolved. This will be regard to the quality or the standard of service or any other subjective judging mechanism. It is a settlement reached between both parties to Maintain cordial relations. Avoid litigation and legal hassles. Continue with business. Solve the present issue without fuss. Jointly share the burden since both the parties are not to blame and insurance has not been taken. Points to be kept in mind while writing the letter 1. Express regret for the customers inconvenience. 2. Explain the problem and make sure that he understands that it is not your fault alone. 3. Propose a couple of ways to solve the problem. 4. Make it clear that the onus is on both of you and hence, both must make equal efforts. 5. Tell him that partial adjustment is the only solution, since no other option is viable. 6. Ensure that the customer is in full agreement to the solution. ** Dear Sir, With reference to your complaint regarding the quality of the water that we had sent by lorry to your apartment complex, I would like to clarify the following–

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Firstly, all the water, which is sent under our name, carries our quality stamp. You are aware of this, as you have been our regular customer for the past four years. We personally take care to ensure that our customers are satisfied. In this particular incident, we have found out after investigation that the drivers had tried to cheat us and had sold some of the water on the way. They had refilled the tanker with water from some other source and hence we have reached this state. We have since, dispensed with that driver and we assure you of no quality complaints in the future. However, to satisfy you, we have decided to deduct 50% of that particular bill. We do hope that you will be satisfied with our adjustment. Thanking you. Yours truly, ** Letter of apology when the damage cannot be set right There occur unfortunate situations when the damage is irreparable. Either it is discovered to late or it is too large in magnitude to do anything about it. In such cases, the only other option is to apologize to the customer for the loss. Examples of such losses are— 1. If goods ordered for a special occasion reach late, e.g., Diwali, Birthday present etc. 2. If your customer has been insulted and hurt by your staff and he has switched over to your competitor. 3. If you require the raw material during the production process and it is not delivered till a month later, your losses would be phenomenal. 4. If you have been waiting for an interview letter from a company and the courier delivers it long after the interview is over, you would have lost an excellent job. There can be many more types of such losses, which cannot be reversed later. It is very difficult to undo the damage and there is certainly no possibility of providing any adjustment. The best that can be done in such situations is to write a proper apology letter. Express tact, humility and sincerity. Points to be kept in mind while writing the letter Express regret for the loss of the customer. Express sincere apologies for the same. Assure him that every care will be taken from your end to prevent such occurrences in the future. Request him to give you another chance in the future, if possible. Assure him that you will personally take interest in his order if he agrees to have business relations with you.

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** Dear Sir, We have received your complaint regarding the raw materials that we supplied to you. We are well aware that due to the delay in sending the goods, your own production process stopped, and you could not honor the commitments that you made to your customers. We do realize that it is futile to ask for forgiveness, but nevertheless, we would like you to know that the circumstances that caused the delay were unavoidable. We were aware of your need for the raw materials, but our own factory went on strike and by the time the issue was resolved, it was too late. We do hope that you will understand, as you also belong to the factory owner’s community. We request you to give us another chance in the future so that we can prove that we are good suppliers. Thanking you, Yours truly, ** Writing an adjustment letter just to keep the customer happy Sometimes, during the ordinary course of business, the customer gets offended. You as a supplier should take care of the buyer’s needs and keep him happy. Only then will he give you continuous orders and keep the business relationship alive with you. You should review all your customers from time to time. If this process reveals that some customers have been inactive and have not contacted you for a long period of time, you should pull up your socks. Contact him and try to win his goodwill. Find out whether he has any complaints against you. Sometimes, customers do not tell the seller when they are dissatisfied and unhappy. They merely turn away and start business with others. These letters are normally addressed to a person in the organization, with whom you have been having previous dealings. Points to be kept in mind while writing the letter Express regret that you have missed serving the customer since some time. Tell him that he was a highly valued customer for you. Ask him for the reason why he has not placed orders with you. Tell him that you have not been aware of the grievance and that you apologize for the same. Try to persuade the customer to contact you for future business.

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Tell him to come out with his grudges against you—high prices, poor quality, untimely delivery, etc. Assure him of your best services in future. ** Dear Sir, You will be surprised on getting a letter from us. We are one of your old suppliers of adhesives. Since the last two years we have not being having any business dealings. I would like to renew our business ties once again so that we can have a mutually satisfying business relationship. I would like to tell you that we have expanded our product base and are now manufacturing about 25 types of adhesives, including Speciality ones. This has been possible because of the new technology and machines that we have imported from China. Our information says that our products will certainly match with your requirements. We sincerely hope that you will give us a chance once again to be one of your regular suppliers and prove our organization through consistent quality and affordable prices. Thanking you. Yours truly, ** Responding to a customer complaint in a grievance column Sometimes, your customer is so offended by you that he does not wish to contact you directly. He lodges his complaint in the press. May be, initially he tried to contact you but your office proved unresponsive. So he gave up and contacted the press. In such cases, when the complaint has become public, great care must be taken while responding and writing adjustment letters. One slight mistake and it can get blown out of proportion. Points to be kept in mind while writing the letter 1. 2. 3. 4. 5. 6. 7. 8. 9.

Express your regret at having inconvenienced the customer. Assure him that you were unaware of his problem. Express regret at his having had to take the trouble to contact the press. Tell him that had he taken a bit more effort to contact you, he would not have had to face so much hassle. Assure him that since you are now aware of the issues involved, you will be doing your best to help solve the problem. Tell him about the step you have already taken to resolve the issue. Request him to speak to you directly. Seek an appointment with him for meeting. Hope to improve your business ties and expecting future orders from him.

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** Dear Sir, This is with reference to the news item you had published in the newspaper regarding our company. It is unfortunate that you had to take the trouble to contact the press. We were not aware of the issue at hand; hence we could not take steps to solve your problem. However, now that we are aware of the situation, we are sending our senior manager to meet you. He will sort out the issue till you are satisfied. We request you to give us a chance to serve you better in future. The problem arose due to some unfortunate, unavoidable circumstances and we assure you of our best services hereafter. Thanking you. Yours faithfully, ** Writing a stopgap letter till the time the investigation is over When a problem occurs and you have finalized a course of action, there occurs a time gap before the customer is able to see the correction. In such cases, it is better to write an adjustment letter. The customer feels that you are on the job and he does not create more fuss. These letters must be sent immediately before the customer starts getting impatient and contacts you to let out his frustrations. Points to be kept in mind while writing the letter Express concern that a lapse has occurred. Inform the customer of the action you have initiated to solve the problem. Tell him that it will take some time for the adjustment to be completed. Assure him that you are doing your best to accelerate the adjustment. Request him for some time and patience so that the job can be completed to the satisfaction of both the parties. Assure him that he will not be inconvenienced in the future by similar complaints. Appreciate him for contacting you to solve the problem. ** Sir/ Madam, This is with reference to your order No. 45DR789. The consignment of watches has been dispatched from our Surat factory, on time. However, due to the sudden earthquake in the region, all traffic, especially heavy vehicles have been stopped. We are aware that this will cause a problem to you, since you have to meet your future export commitments. For this reason, we request you to kindly let us know

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the exact number of pieces that you require urgently, so that we can dispatch another set by air freight. The accounting for this can be done later. We will bear the cost of the transportation by air. Thanking you and hoping for your best attention in the future. Yours truly, ** REVIEW QUESTIONS 1.

2.

3. 4.

5. 6.

7.

8. 9.

10.

Write a letter to your bank in Chennai, complaining about the rude behaviour of the cashier. Tell him that it was extremely offending and hurt you, especially since you have been a long-standing customer of the bank. A DVD player, which was ordered by you from your local retailer, has been delivered in a damaged condition. Write to the company, complaining about the retailer and his careless attitude and request him to do the needful since it is causing anxiety to you. Draft a reply from the FMCG company, assuring the customer that he will attend to his grievances immediately. In the last month, you have received the same bill from Metro water three times. Write to them informing them of their mistake and request them to be careful in the future. Draft a reply from Metro water. Your college had hired a hall for holding their Annual Convocation. After the function, the hall owner complained that a few seats had been damaged and has sent you a bill for the same. Draft a letter expressing your regret at the seats getting damaged while they were under your use and agree to pay the amount. Assure him that this would not occur again. Your office electricity bill has been on an average totaling up to Rs. 10,000/- p.m. For one particular month, you have found that it has multiplied 5 times over. This not even being the hot summer month, you are surprised at the anomaly and would like to request the electricity department to rectify the error and look into your compliant. Draft a favourable reply from the electricity department. You have paid Rs. 1500/- for signing an AMC for your air conditioner. However, even after this, the company does not send their representatives and you have to be at their backs to get someone to service your AC. Write a letter to them expressing your irritation and telling them to cancel the contract and return your money. You are in urgent need of supplies to replenish the depleting stock of handloom cushion covers in your retail outlet. You have written to the manufacturer, but he

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has not replied. Write another letter to him, conveying your urgency and advising him not to loose out on this business opportunity. You have got visiting cards printed by a reputed printer of your city. He has however not used the quality of paper that he promised. Write a letter to him, pointing out the anomaly and request him to rectify the mistake in some way. Remind him that your company has enjoyed a long business relationship with him and that you would not like to endanger it. You have bought a mixie from a reputed company. However, when you opened the sealed packing at home, you found that the main body was cracked. Write a letter to the manufacturer telling him about the problem and asking him to replace your set immediately. You are a car company; selling vehicles through authorized dealers only. Lately, you have found that one of the dealers is not treating customers properly. You have got to know this through some customer complaints. Write a letter to your dealer, informing that this type of customer treatment is not conducive to business and he should do something to rectify the situation. Tell him that you will not be able to continue his dealership, incase this continues. Your neighbour has rented out their premises to an office. The place has 20 salesmen who insist on parking their vehicles in front of your gate. This is causing a lot of inconvenience to you and your guests. Write a letter to the office in-charge and request him to do something about the menace so that good neighbourly relation can be maintained and you do not have to approach enforcement agencies to help you. Write a reply for the above situation. Write a letter complaining to a production unit in your locality to dispose off their waste in the appropriate area and not litter the road. You have received a complaint about the bad quality inks that you supplied to a printer. You have sent one of your reputed employees to investigate the situation and have found the complaint baseless. Write a reply letter. A customer has returned a bill stating that he has been charged with goods that he did not buy. Draft the letter, apologizing for the situation and send the corrected bill with it. You are the owner of a petrol pump, which also has a car servicing facility. Till 2 months ago, it used to be fully booked. Now, because of the bad conduct of an employee your bookings have gone down to zero. Write a letter to your regular customers, apologizing for your faults and requesting them to give you another chance of serving them, since now you have rectified the situation by sacking that particular employee.

CHAPTER

18

SALES LETTERS Selling is the most important functions for business. It is this that secures orders and brings in money for business to survive. All sales work depends on communication skills. How effectively you are able to communicate the benefits of your products to the consumers will determine the sales that will be generated by your company. Sales communication is both oral and written. Written sales communication can be in the form of SALES LETTERS. What are the uses of writing a sales letter? A sales letter can fulfill many objectives. Like a salesman, a sales letter has to perform the basic functions of ‘informing, persuading and convincing the customer to buy.’ We can list out the basic objectives as follows— 1. It is the main source of securing orders for a Mail Order Business House, e.g. Burlington’s. 2. It helps introduce new products and services in a cheaper way. 3. It can reach out to more people in a shorter time and in a less expensive way. 4. It reaches people and places where salesmen can’t. 5. It acts as a reminder, if it is sent repeatedly. 6. It can present more information about the product and service than an advertisement, since the latter is expensive. 7. It does not hinder the customers. They can read it at leisure. A sales letter can be written easily and is an easy and inexpensive medium for reaching out to a number of potential and existing customers. They can also be personalized and for individual buyers or groups of buyers. Writing the sales letter The customer is initially not aware of the product. So the product/service has to be introduced to him. Later, he should get so interested that he should be motivated into action and not rest till he acquires the product.

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We can separate the process into stages. These are the stages that must be reached as the sales letter progresses till the end. The various stages are— • Attracting the customers attention • Creating a desire in him to buy the product • Convincing him to buy • Motivating him to buy Each stage is a separate section and needs to be addressed in each letter. It should come in a proper sequence. If all the 4 stages are not taken care of, it becomes an incomplete sales letter. Points to be kept in mind while writing a sales letter •

Attracting the customers attention: A number of ‘tried-and-true’ attention getting devices are used in sales letters for a wide variety of products and services. The opening of the letter should attract enough favourable attention to make the reader continue. Actually there are many ways to attract attention. The basic appearance should be good—the stationery, the letterhead, print quality, neatness and the cover. Attention can be attracted by bad writing also. But it does not give rise to any positive thought and lasts only for a moment. It is advisable to use favourable opening statements. There are many styles you can adopt. 1. A piece of genuine news: In the past 30 days, 4 times the average number of cars has been sold. 2. A sample of the product: Here’s your free sample of the revolutionary adhesive tape. 3. A challenge: Don’t waste today wondering what you will do tomorrow. 4. A solution to a problem: Don’t sweat while walking. Wear our personal A.C. on the road. 5. A striking statement: Travel around the world without spending money. 6. A startling offer: Invest Rs. 200/- a year and get a fortune after 10 years. 7. Proverb: It is the busiest man who has time to spare. 8. Stories and Anecdotes: The story must be told in an interesting manner. Then it should be related to the product being sold. 9. Using quotations from well-known persons: On the covers of novels you have recommendations from famous people. 10. Using the ‘You exclusive attitude’: This offer is for the most charming girl in our office. 11. Using the ‘if…. when’ opening line: If you are in a hurry, this is the ideal packed food for you. 12. Asking a question: Do you spend if your time worrying about your sagging skin? 13. Begin with ‘when…’: When you finish your engineering, you will need to contact us.

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14. Use a command: Get the best out of our washing machine. 15. Using startling command words: STOP—piling on calories before it is too late. • Creating in him, a desire to buy the product. A person buys goods to fulfill certain desires. A human being will buy to fulfill any one or more of the following desires– 1. To be entertained—Cassettes 2. For improving health—medicines 3. To save money—Ration goods 4. To satisfy greed—Extra clothes 5. To achieve social status—Mercedes’ car 6. To take advantage of opportunities—Discount sales 7. To beautify oneself—Cosmetics 8. To satisfy basic needs—Vegetables, grains, clothes 9. For convenience—Washing machine, grinder etc. 10. For comfort—Air conditioner 11. To provide warning against danger—Warning bells 12. For education—Books There can be many other needs in a human being, which are waiting to be satisfied. After the first step, being aware of the needs, the seller should know how to relate his product with the user’s needs. If the desire is already there, it will not be difficult to sell the product. It is just a question of matching the product with the consumer’s needs. However, if the desire is latent, then the supplier has to create the desire first. Advertising and sales letters or personal selling can do this. Then, the product can be placed before the consumer when he will readily take it up. •

Convincing him to buy: Even when the buyer sees a product, he is not convinced to buy it. His mind goes through a series of ‘yes and no’s.’ Doubts and uncertainties arise due to different reasons. This stage of the sales letter should basically be directed at removing all the possible doubts the customer may have about buying and then about buying your particular product. For this he himself must be aware of the various doubts that can arise. Some of them are listed. 1. Do I really need this product? 2. Should I buy some other brand of the same product? 3. Is it value for money? 4. Will I be wasting money if I buy it? 5. Will the product give me trouble-free service? 6. Is it durable? 7. Is the company genuine? 8. Will the after sales service be good? 9. How long will it last me? 10. Is there a provision to repair it?

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11. Does it fit into my budget? 12. Will my lifestyle and image be enhanced by it or lowered? 13. Will it deliver what it promises? There are numerous such doubts and more, which are always present in the mind of the buyer. A good sales letter should be written after careful thought. It is not an easy task. The person writing out the letter should be aware of all these doubts. It is not necessary that all the above doubts are present in the minds of all the customers. Customers are different. The queries regarding the product per se can be removed in the sales letter. But the personal doubts about lifestyle choices etc. can also be addressed. In such cases, personalized sales letters can be written. Facts and figures can be used to overcome some doubts. References and satisfied customers can also be a good source and their comments can be included in a sales letter. Basic doubts about he product can be removed by promises of a demonstration or a free trial offer. Samples can also be sent along with the letter. If the cost is bothering the potential customer, you can include the actual cost of running of the machine, which will help to remove doubts from his mind. However, one thing must be kept in mind. Too many facts should not be used to confuse the buyer. Confidence, in fact will get eroded and decreased like that. It is a better policy to build up one or two good points and strengthen them. It is also important to link all the stages of the letter with the same need and same selling point. The letter should go in a continuous flow, e.g. If the need of the buyer is buying time-saving things, then it is better to sell him/her ready to eat foods, which require minimal effort. Elaborate cookbooks, which require lots of preparation time and cooking time, will not appeal to the customer. The target mark should be concentrated on in the sales letter and other sales efforts should be directed towards them alone. If the seller generally sends sales letters to the population in general, it will only waste his time and money. e.g. VLCC, the weight reduction center focuses on overweight and obese people. They give advertisements, which show overweight individuals and the results of the centers efforts. Sales letters can also be mailed to people who would need such treatment. •

Motivating him to buy: This is the last part of the letter. It is very important. All the previous stages are geared to prepare the person so that he eventually goes and buys! All the interest aroused and educating and convincing will go waste if the customer is not motivated into action. The entire structure of the letter is created in a way so that the reader is pushed into action.

In case the reader is confused, the last part of the letter must tell him exactly what to do. It must ensure and secure action. The action suggested should also be connected to the previous section. For example, if you have suggested a free trial, you should now ask him to go for a free trial. Another important thing is that it should be easy for the customer to achieve action. If the suggested course of action is difficult, it will de-motivate the customer and he will loose

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interest. In case this happens, all your efforts in writing and sending out the sales letter and money spent in doing so, will go to waste. Some common inducements to secure fast action are— 1. 2. 3. 4. 5. 6. 7. 8. 9. 10. 11. 12. 13. 14. 15. 16. 17. 18. 19. 20.

Gift coupons that is valid only up to a certain date. Concession vouchers, which can be redeemed till a particular time only. Reply paid post cards for the reader to sign and mail. Price reductions till a certain time only. Limited quantity available. Samples. Free trials. Suggesting a visit to the office or the showroom. Giving a free holiday, e.g. Mahindra holiday resorts. Seeking an appointment for the sales man, e.g. Eureka Forbes Giving notice of future price increase. Making an appeal to the personal pride of the customer. Presenting a scary picture in case the offer is not taken, e.g. Vaccines Sending order blanks with the sales letters. Enclosing a business reply envelope, e.g. Credit card companies Offering special service, which no one else does. An arranged visit to the site, e.g. Real estate agents do this. Prize winning opportunities, e.g. Britannia campaigns for the ICC World Cup. Offering prestigious free membership. Giving an add-on offer.

The above are some examples of how a customer can be immediately motivated into action. Care must be taken while writing this letter. If in case, you promise the potential consumer something that has got over and can no longer be given, it will prove to be the worst publicity for your company. The same customer will NEVER come back to you. He will also spread bad vibes about your organization to many others, which can be detrimental to your reputation. The last sentence of the letter, which is the final impression on the reader, must be a request for definite action. Points to be kept in mind while writing 1. 2. 3. 4.

Begin in a forceful way. Describe the product or service you are selling. Use positive words and phrases. Highlight the positive areas of your product or service. For example, Satisfactory performance, low price etc. 5. Make the letter simple and easy to follow. 6. Be clear in the incentives you give to stimulate action. Make sure that they exist.

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Induce the reader into easy action, immediately. Be smart in your writing. Be truthful. Do not write anything false. Close the letter by telling the reader what to do and how to do it. Dear House maker, Give yourself a rest! Stop scrubbing clothes and beautify your hands again! There is no need to groan daily seeing the pile of clothes. You can rest while our machine does your work. The dirtiest, grimiest stains that your children bring home can be cleaned in a flash. Our super machine will scrub, rinse and even squeeze out the excess water from your clothes. They will be ready to hang out and will dry in 30 minutes. Ask us for a demonstration of our power saving washing machine. We will be at your doorstep the same day so that we can escort you to our demonstration center. Our washing machine has a world-trusted name as it has been made in collaboration with Hindal-the famous makers of washing machines since the last two decades. As an introductory offer, we are offering a discount of 10% and we will also give you a free gift with it. End your boring chores. Spoil yourself and indulge in a new washing machine. Yours truly, Hindal-Agar Washing Machines

** Dear Madam, Do you work late? Do you struggle to cook and tire yourself? Are your evenings spent in the hot kitchen: chopping and cooking? We have an answer to your problem. Now you can enjoy leisurely evenings and spend some quality time with your family. STOP that entire struggle. What is worth? What is it getting you? Rewards? No, then step into your neighborhood grocery store and ask for our ‘ready-to-eat’ dishes. You have wide variety to choose from. We have vegetarian and non-vegetarian, both spicy and bland preparations. The best is that, we offer special preparations for high blood pressure and diabetes patients. In addition, you don’t have to worry about too much oil in our preparations. Dieteticians and housewives who are on our recipe panel have specially prepared the dishes. The added benefit? Yes, we have more. It does not even pinch your pocket. You will spend almost the same amount as your monthly budget. The tiny bit extra amount will be well worth your while. Try the variety today and we can assure you that you will not stop. Yours sincerely, **

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Dear Student, Tired of preparing answers? Aren’t you exhausted of skimming through text books? We have a solution for you. Our science and mathematics guides are here. They simplify your studies so much that you will start complaining that there is too little to study! Laughing? You thought that is not possible? Well, buy our guidebooks and see for yourself. It is an investment in your future! You will always thank us for the excellent study material that has been prepared with you in mind. All the topics have been covered in simple language. It has been made very easy to memorize, so that your study time comes down by 25%! Buy our copies today to avoid disappointment. Yours truly, ** Dear Doctor, Tired of using the same old thermometers for your patients? Come try out our revolutionary new technology gadgets to measure the temperature of your patient. Your time is precious. You can’t afford to waste it. What you need is an instant temperature indicator. Well, we have it for you. Small and handy it also comes in attractive colors. You must be thinking of the cost. But, to your surprise, that is as little as its size!! Don’t waste time. Be the first in your profession to use it and show off to your colleagues. Our salesman is just a telephone call away. Hurry, so, call him now. Yours sincerely, ** Dear Special Lady, Have you looked at your skin? Have you looked at a baby’s skin? How different it is! But now it is possible for you to get back that skin. The skin you were born with. Take a look at our skin care products. Just apply and revel in the smoothness. You are sure to come back for more and more. One look at you and others will come running to you-to ask for the secrets of your youth. Hurry now. Bring back childhood. Our products are so safe, that you need not worry about using them constantly. We have day care and night care preparations. Our new product is displayed in all stores near your house. Easy buying, easy on the pocket. Become our customer now. It is fashionable to be using our products. So don’t loose out on even one day.

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Buy today. You will come back for more. This pricing and quality has never been seen before in India. Regards, Yours faithfully, ** REVIEW QUESTIONS 1. You are to mail sales letters to the following people— • Housewives • Children • Working women The products are— • Books on gardening • Exercise machines • Rechargeable batteries Draft the letters. 2. Write a sales letter to promote sales for the following— • Laptop for housewives • Speakerphone for a chef • Alarm clock for students • Business hotel for travelling executives • Hair colour for beauty parlors • Pain relief tablets for migraine patients 3. Draft a letter to obese people inducing them to join a 6-week weight reduction program that you offer at your health center. Tell them that they also have the advantage of learning yoga for free if they sign up within 15 days. 4. You have started a business center. Write a sales letter to schools to induce them so that they can tell their students to do compulsory training at these centers during the summer break. 5. As a sales man for credit cards, write a letter on behalf of your bank urging housewives to try out their cards. 6. You have started an excellent dry cleaning facility in your city. Write a sales letter to the housewives in the neighbourhood, informing them of it and requesting them to try it out. Also give them a suitable incentive. 7. Fast foods have come to stay. Your father has just opened an excellent fast food joint, which is focusing on quality food. Write a letter to city colleges inviting them to send their students to try out the food at your joint.

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CIRCULAR LETTERS Circular letters are business letters directed towards people outside the company. They are meant to notify or convey certain basic changes or other important information about the company. They are written when the same information is to be conveyed to a LARGE number of people. The people to whom circular letters can be sent are— Customers Suppliers Company bankers Auditors of the company Shareholders Competitors Business partners Employees Business friends, etc. Circulatory letters are letters that circulate the same message. They must be written in an attractive and interesting way, so that the recipient goes through the entire letter. When does a company write circular letters? There are many occasions when these are written. 1. When a new business is established 2.

When there is a change in the constitution of the business. For example, • Change in the major shareholders • Taking over the business by some other stronger party

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• Admission, death or retirement of a partner • Conversion of a partnership firm into a limited company • Conversion of a sole proprietorship into a partnership or public limited company Opening a new branch of the office Shifting of the office to a new premises Introducing a new product Price reduction on goods or services Clearance sales Obtaining a new agency Granting or withdrawing the power of attorney Reporting to the shareholders about the progress of some special work undertaken by the company To announce the expansion of business or premises Change of title Issue of bonus shares or debentures Offering new shares to existing shareholders Appointment, discharge or retirement of a senior employee Circulation of resolutions adopted at the AGMs or extraordinary AGMs.

ADVANTAGES OF CIRCULAR LETTERS Circular letters are generally cyclostyled or xeroxed. It is very convenient to send them this way as many of them can be easily prepared and posted together. They are also not very expensive. In fact, it is a cheaper way of disseminating information to people scattered at far-flung geographical areas. Circular letters also do not intrude upon the reader. They can lie there and can be read at leisure. Also as it is written communication, the person cannot deny having got it. They can also be kept as a record in the receiver’s files so that he does not forget the vital information. Also, hundreds of them can be posted in one day. They can reach areas where it is difficult for people to go. Points to be kept in mind while writing the letter 1. 2. 3. 4. 5. 6.

They should be carefully worded. They should convey the information in a simple and clear way. There should be no scope for ambiguity. They should not become a platform for self-praise. They should be personalized as much as possible. They should be pleasing to read. They should have the date on top.

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7. 8. 9. 10.

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The circular letters should have the new, complete address of the company on top. They are addressed in general to people, e.g., Dear friends, Dear Sirs, etc. They are signed by an authority in the company. There should not be any extra, frivolous matter in the circular letter.

** CHATTERJEE & CO. 28, Russel Street, Chowringhee Kolkata I would like to inform you about the sad demise of my partner, brother, Mr. Joy Chatterjee, who was the founder of this firm. Without his guidance and hard work, this firm would not have been able to reach this position today. To fill his gap, I am taking in Mr. Probir Sengupta. Mr. Probir Sengupta has been the manager of this firm over the last fifteen years and is fully aware of the working of this firm. We have decided to continue working in the same style as before. Any changes will be informed to you as and when they happen. The firm will also continue under the same name. “CHATTERJEE & CO.” We trust that the altered arrangements will not alter the trust you have had in us for all these years. Thanking you. Yours faithfully, For CHATTERJEE & CO. Chinmoy Chatterjee ** ** State Bank of Chennai Local Head Office 288, Mount Road, Chennai

15/12/2007

Dear Sirs, You will be pleased to note that we are opening two new branches of your bank at Adyar and T. Nagar. This is so that we can service our customers in these two areas with greater ease. We do not want our esteemed customers to travel great distances

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to avail the facilities of our bank. Hence this step has been taken for your benefit. It is the humble desire of our bank to secure the goodwill of our loyal customers and also to expand out customer base further. We do hope that you will patronize our new branches with the same zeal that you have been coming to our existing ones. We have excellent customer facilities and a state-of-the-art equipment to help you finish your dealing much faster. Do visit us as soon as possible and recommend us to your near and dear ones. We assure you that they will thank you for it. Thanking you. Yours faithfully, For State Bank of Chennai, Manager ** ** BILAL MATCHES COMPANY Tilak Road, Sivakasi Tamil Nadu We are happy to inform you that because of the large growth in business of our organization, we would like to admit to our partnership, Mr. Saif Khan, who has been associated with our firm for the last ten years. He has been working in different capacities and has all-round knowledge of the business. He also puts the business interests foremost and has been discharging duties in a responsible manner. He has invested Rs. 1,50,000/- as his capital and therefore proves his good intentions in the business. With this new capital, we hope to expand our business by installing some extra capacity, so that we can serve you better and grow our business as earlier. We trust that you will continue to give us your patronage as before. Mr. Saif Khan’s signature is given below. Mr. Khan will sign “——————” Thanking you. Your faithfully, For BILAL MATCHES, M. BILAL Managing Partner. **

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** AMMA NANA STORES 21, Chamiers Road Chennai-28

20/7/2007

Dear Sirs, We are happy to inform you that our popular store has just been shifted from 33, Chamiers Road to 21, Chamiers Road. This decision was taken as we wanted to expand our shop and that was not possible due to constraint of space in the earlier area. Our new premises are spacious and pleasant and will offer you a much-enhanced shopping experience. We have air-conditioned our shop and have sectioned different products in different areas. We have also added to our sales staff who will be there to guide you in the shop. We guarantee you more convenience and a more pleasant time in our shop. We request your continued patronage. Please recommend us to your friends so that we can mutually benefit. Thanking you. For AMMA NANA stores, M. Maleni. Proprietor ** REVIEW QUESTIONS 1.

You are the owner of a medical shop. Due to some problems, you have to move your business premises. Write a letter to all your regular customers informing them about the change and giving your new contact. 2. Draft a letter to your business partners informing them of the opening of your new bank branch to serve another area as your business has grown. Include the address of your new branch. 3. You had a partnership firm with your brother, dealing in hardware items. Write a letter to your bank, informing him of the sudden demise of your brother and telling him that now his son would be taking his place. 4. Your company has been on a growth spree for the last 5 years. Now you want to diversify into related products and need the money to do so. So you have decided to advertise for a public issue. Write to your bank and other legal authorities to advise you on the same.

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6.

7. 8. 9.

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Write a letter to the local newspapers requesting them to publish that your company has a new partner and giving details for the same, so that all interested parties will get the information. Your company has been dealing in skin care products for the last 5 years. Realizing the potential for hair care products, you have decided to diversify into the same area. Write to your interested business associates informing them of your decision. Write a circular announcing a clearance sale of your men’s wear store. Write a letter to be printed in the newspaper, announcing the opening of a new fastfood restaurant. Write a circular to your customers announcing the retirement of your senior partner from your book publishing business.

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LETTERS TO THE EDITOR Have you ever desired to write something, which can get published? You don’t have a degree in journalism. You don’t have any connections with the press. But you feel strongly about some issue. Where can you write? Whom can you approach? You can contact any magazine or newspaper. You can write to any journal-general or subject related. They all have, what you call as–“Letters to the Editor” column. It can also be known as “Reader’s Views” or by some other similar name. You would have seen a ‘Letter to the Editor’ column in your daily newspapers. Letters to the editor are letters written by the public to the editor of newspapers, magazines and journals. The purpose of writing them is to attract the attention of the public in general, or to a particular issue. Such letters can generate public sympathy and debate to a great extent. Very often, heated exchanges take place and the ‘letters to the editors’ column is witness to a series of interesting interchanges of viewpoints. Different people with different points of view will respond and react to the issue in their own way. Some will support and some will oppose the views of the person who first brought up the issue. Letters can be sent by mail or by e-mail. It is important to include your complete address for correspondence, so that the editor can contact you, if required. The letters can be either written as an attachment or as textual matter in the main letter itself. It is very common to see many people writing in these columns and expressing their views. The letters should be brief, clear and simple. There should be no need for the editor to call you again for any clarifications. The ideas should have a logical flow from the beginning to the end. There should be no mistakes and needless to say, the letter should make a relevant point. The editor should have pride in publishing your letter. The language and grammar should be faultless. In case you need help, do not hesitate in asking someone for it. You can write about a number of issues— •

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• • • • • • • • • • • • • • •

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Any specific incident regarding a social topic Opinions on sports and sportspersons Various viewpoints on politics and different political parties About something that has appeared in the paper as a news item, in the previous issue Any law and order problem in a particular area or the place in general An observation on the educational system An tragic incident in the country or elsewhere On some super achievers. Bad performance of a Public Sector Unit. Complaint against an established system On social responsibility On economic issues facing the country or the world economy in general On new tax implications On impact of media On suggestions for implementing new reforms, etc.

Some things that can be avoided are— 1. 2.

Un-parliamentary language. Personal insulting remarks. This cannot be used as a forum for mud-slinging and insulting others. 3. Filthy expressions are to be avoided. 4. Any wrong references should not be made, lest you get into trouble. 5. Anonymous letters should not be sent. No publication of repute will publish them. Some samples of letters— 1. Letter in ‘India Today’ Dated August 25th, 2007. This is about an article published in an earlier issue of the same magazine. The writer says: “ NEW GOAL We always rue the fact that Indian sports ails from lack of expertise, coaching facilities, spirited sportspersons and good stadia, but Rajiv Mishra’s sad tale reveals that perhaps the single largest factor is our lackadaisical attitude (“Hit and Run”, August 11th 2003). The onus now lies on the Sports Authority of India, the Indian Hockey Federation (IHF) and other affiliated bodies to help Mishra stage a comeback. Let us not lose another star.” Poonam Guha, Kalyan. 2. Letter in ‘Business Today’ Dated August 17th, 2007. This is also about a previous article published by the magazine. The writer says:

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“Rationing Education The story Great Indian Housing Boom (BT, July 20, 2006), made a good read. Your publication has successfully captured the enthusiasm of wannabe house owners in the story. With finance companies cutting interest rates to an all-time low, young people are finding it increasingly convenient to buy their own houses. Business Today should perhaps consider doing a similar story on easy access to educational loans for students wishing to pursue higher studies in India and abroad.” M.D.S. Mann, through e-mail. 3. Letter in ‘The HINDU’ dated August 30, 2007. This is a general letter about the reader’s views on the recent blasts. “MUMBAI BLASTS Sir, the twin blasts, the sixth and seventh in the past nine months in the country’s commercial capital, have failed to deter the business community in Mumbai. India is growing politically and economically strong and the terrorists want to disrupt this stability and create panic among the people. The time has come for the Union and State Governments to take a tough stance.” M. Nazeeruddin, Kurnool, A.P. 4. Letter in ‘The Week’ dated July 20, 2007. This is a letter referring to the current news of the country. “The BJP’s liability One serious hurdle to a negotiated settlement to the Ayodhya dispute is the deep distrust that most Muslims have of the BJP, since the BJP is, quite justifiably, viewed as partisan (Seer’s solution’, July 6). The BJP’s identification with Ram mandir would have worked to its advantage had it not been in power but in the present circumstances the mandir becomes its liability. Although the BJP may distinguish itself from VHP’s position; it may not be sufficient enough to convince the Muslims that it is capable of playing the mediator. The need of the hour is the policy of give and take to arrive at an honorable solution.” G.S. Rao, Bangalore. REVIEW QUESTIONS 1.

Write a letter to the editor of a newspaper or magazine about— (a) The recent surge in share prices (b) The ways to catch ticket-less travellers (c) The advantages of rain water harvesting

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(d) (e) (f) (g) (h) (i) (j)

The forthcoming cricket series with New Zealand The mess in the U.P. assembly The rehabilitation of the slum dwellers The vagaries of the monsoon and the governments preparedness for it The empowerment of the girl child The reservation for women A road in your locality which is in urgent need of repair

CHAPTER

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COLLECTION LETTERS The problem facing business today is the collecting payments from their customers. Business do not like parting with cash till as long as it is possible to retain it. Most of the business is transacted on credit. It is the seller’s belief that the customer will pay, once he receives his goods. However, in his eagerness to do business, he forgets that the world comprises of different types of customers. We can divide them as follows— • • • • • • • • • • • •

Good paymasters Dishonest Negligent Miserly Customers who are in financial problems Clever manipulators Easy going Muddled Very busy to pay No empathy with others because he himself has lots of money Dissatisfied with the goods/services Takes all the time possible

Most companies have an accounts section that takes care of receivables. However, it does happen that customers do not pay on time and need to be reminded or even threatened at a later stage. In such situations, special letters called ‘collection letters’ have to be written to the customers. They are written when customers who have purchased on credit do not pay their dues on the due date. The supplier has to then make special efforts to collect his money. The party who has to pay is called a ‘debtor’ and the party who has to collect the money is called the ‘creditor’. Some debtors pay up immediately when they get a reminder, others are more troublesome. Normally, companies follow standard policies while writing collection letters.

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Telephone calls, faxes, e-mails and even personal visits may be required to get money out of a customer. But, collection jobs have to do the task carefully. They should try not to offend the customer. They should not put their request too strictly till it reaches a crisis point. It must not seem that you are a fussy supplier and do not understand the customers problems. In order to do this, the writer of the collection letter needs to know the customer very well: needs to know how he/she handles their business and how their current financial position is. A collection letter is also called a DUNNING letter. This refers to a series of letters written again and again asking for settlement of account. THE COLLECTION SERIES Collection or dunning letters are written in series. The pressure keeps increasing with each letter in case the customer still fails to pay up. A collection series is persuasive; it gradually and gently sells the idea to the customer that it is in his own advantage to pay up as soon as possible. Since it is a series, it allows you to tailor your letters based on the reasons for the customers’ non-payment. Debtors are of various types and the reasons of non-payment have been listed above. It can be any of those or even other special reasons. There is no point in assuming the worst reason in the beginning itself. They supplier should show great restraint and maturity in handling the customer at this stage. It is better to begin with a gentle approach and keep building on the pressure in case the payment does not arrive. The ultimate objective of retaining the customer should never leave the mind. The stages in the series 1. Sending a statement showing the accounts position 2. Reminder/Strong reminder 3. Discussion 4. Appeal 5. Warning/Legal action General points to be kept in mind while writing the letter 1. The letter should focus on the ‘you’ attitude. 2. It should be cheerful and positive. 3. The letter should be written after taking into account the reason why the customer has not paid up. 4. The approach should be friendly as far as possible. It should not scare away the debtor.

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5.

6. 7. 8. 9. 10. 11. 12. 13.

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Brevity is not an ideal feature of a collection letter. A detailed account of the receivables along with a note about the hardships you are facing due to the nonpayment of the money should be given. The letter should be firm. It should not brook any casualness. The timing of the collection letter must be right. It should reach him when his business is at a seasonal high. This makes money payment easier. You should try and motivate action through the letter. Anger should not be visible in the letter, at least the initial ones. Suggest different ways to solve the payment problem. Do not humiliate the customer. Do not give wrong figures for payment. Remember to try and retaining the customer, as all customers are the same. The next one will also behave in the same way.

Stage 1. Sending a statement showing the accounts position At this stage no request for payment is normally made. It is assumed that the debtor will pay in due course. This letter is very simple and an attachment showing the details of the amount to be paid is sent i.e., the invoice is attached with a simple covering letter. It will mention the way the payment is to be made, e.g., Demand draft, Cheque etc. along with other relevant details. Stage 2. Reminder/ Strong reminder At this stage, the benefit of doubt should be given to the customer. We should not assume that he is not paying purposely. The benefit of doubt should be given to him and it should be thought that he has only forgotten to make the payment and does not possess malicious intentions. There can be many reminders sent in case the client does not pay. Each reminder should be stronger than the previous one. But, sufficient time must be given between each. The second and subsequent reminders should mention that previous reminders have been sent. It should indicate expectation that the payment will be made as soon as possible. A maximum of three reminders can be sent. The basic feeling that the customer has forgotten to pay because of the pressures of business, must override all the communication in the reminder stage. The statement of account must be enclosed again. Threatening words should not be used here. Tell the customer that he must make a prompt remittance of the due amount. ** Dear Sir, We had sent you the statement of accounts. However, since it is well past the due date, we would like to remind you about the payment due from your end.

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In case, you have already sent the cheque, please accept our thanks and ignore this reminder. Yours faithfully, ** Stage 3. Discussion If continued reminders do not bring the desired response, the supplier must assume that there is more to the situation than it seems. A direct letter must be written to find out what the problem actually is. If there is a problem from the supplier’s part i.e., defective goods, late delivery, etc., the problem can be sorted out and solved. The supplier should try and take interest in the customer’s problems and try and offer to solve them, since this will be in his own interest. He will get his payment promptly. You can also offer to visit the customer if needed. The customer is also most welcome to visit your premises. You must try to reach an amicable solution. This stage is not one where you should loose hope about getting your payment. The only difficulty is that the customer is not keen to solve the problem and send you the payment soon. ** Dear Sir, This is to refer to the outstanding payment from your end. We would like to remind you that after sending the statement of accounts, we had also written a reminder letter to you. However, we have still not received the payment. We think that there may be some reason for you to be dissatisfied; hence there has been no payment from your end. If so, could you please intimate us about the matter so that we can take appropriate remedial steps soon. On the other hand, if you are satisfied with our execution of the order, please send us the payment soon, so that we can proceed with your next order. May we expect your reply within this week? Yours faithfully. ** Stage 4. Appeal A letter of this type will be written if there is no proper response from the side of the buyer. The other option is to send a strong, threatening letter, but if it is better to make one last try before going towards extreme measures. This appeal should be made to arouse his selfrespect and esteem. And help him not feel ashamed of himself. Your letter should arouse feelings of fairness and justice so that he also feels he is doing a wrong thing by not paying for the goods/services received. You must mention the extent of time that has elapsed since he should have rightfully made the payment. Please say how it has hampered your business activities and how much inconvenience it has caused you. Tell him that since is in business and he can also become a seller, so he should place himself in your shoes and behave decently to retain his reputation in the market.

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** Dear Sir, This is to bring your attention to the outstanding amount that is due to us. I would like to bring to your notice that we have already sent several reminders to you about our payment. We are surprised at your silence. It is already three weeks since the payment has been due. As you are also in business, you will appreciate the importance of receiving payment on time. Hence, I would like to request you to kindly send the money as soon as possible so that we can continue our mutual business relationship. I will expect the payment as soon as you receive this letter. Yours faithfully, ** Stage 5. Warning/Legal action When all appeals fail to bring any response from the debtor, there is no choice left but to threaten with legal consequences. This is like ‘The final straw’ and hence is also the last stage of the ‘collection series.’ The tone of the letter written at this stage must be very strong, but it must not be rude. Courtesy must be maintained even now. The client should be informed that legal action would be taken against them, as they have not heeded to your payment requests despite repeated reminders. The letter should mention all the steps you have taken to avoid a legal situation and state your efforts to make him pay. Do not set a date for legal action, but set a date by which it will be taken, in case payment is not received. Regret the situation, but express your inability to change it, since the customer himself has been unaccommodating. ** Dear Sir, We have written to you repeatedly, about the money outstanding, due to us. You have not even bothered to reply to us about the same. We are sorry to tell you that in case the money does not reach us 2 weeks from the dispatch of this letter, we will be forced to take legal action, since we are also facing a problem due to paucity of cash. We sincerely hope that you will take this opportunity and save both of us from the harassment of legal formalities. It is now in your hands to send the cheque and close this account soon. Yours faithfully, **

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REVIEW QUESTIONS 1.

2. 3.

4.

5.

6.

7.

8.

9.

Your regular customer of stationery items has not paid up his bill for the last 3 months. He however, continues to place orders with you. Write a letter to him, hinting at your urgency of funds and requesting him to settle his dues immediately. Remember that you do not want to offend him, since he is your regular customer. A letter asking for immediate payment has been sent by mistake to a customer who has already paid and cleared his accounts. Write to him, apologizing for the error. You have just dispatched furniture worth Rs. 1,00,000/- to a customer who is in the process of furnishing his office. Write a letter to him attaching the statement of accounts to him, and requesting for prompt payment so that you can continue the cordial business relationship with him. Draft a letter to Messrs. Daulatram & sons, Chennai, who owe you Rs. 2,50,000/-. Tell them that you have already sent them 2 reminders and have still not received any payment or other communication from them. Your need for cash is immediate and if not received, you might have to take legal action on the. Your customer in United States, has not paid for his last consignment of cotton garments. The amount is considerable and you have already reminded him to pay. Write a letter to him telling him about your upcoming business promotion tour to the United States and request him to keep the payment ready in the first week of July, as you will come and collect it personally. You have a new customer who does not seem to be promising. For his first order itself, he paid after repeated reminders and did not even include interest for nonpayment for 6 months. Write a strong but courteous letter to him pointing out that he must pay the interest on the bill amount. You are the owner of a beauty parlor. You had recently done make-up for a theater group. However, they seem to have forgotten that they owe you money for the services rendered. Draft a letter to them, enquiring about their performance and reminding them that their payment is due. You have received a request from a new customer informing you that they have run into financial difficulties in their business. However, they would certainly like to pay your dues. They are requesting you to consider giving them an alternative to pay in installments over the next 6 months. • Draft a positive reply from your side, agreeing to the request. • Draft a reply not agreeing to the suggestion, since you need the money urgently. A regular customer of yours has run into financial difficulties and will not be able to pay his dues to you worth Rs. 1,00,000/-. He is the owner of an Air-conditioning servicing agency and has made an offer to you in lieu of the money he owes you. He suggests that he will maintain all your office A.C.’s free, for a period of one year.

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• Draft a reply agreeing to the suggestion • Draft a reply disagreeing to the suggestion You have taken on a new customer to whom you sell herbal cosmetic items. Draft a letter to him with the first consignment informing him about your company’s credit terms and when and how he has to make the payment. Also put in a request for the first cheque, which is now due. You are the owner of a ladies gym. One of your rich customers has not paid her yearly subscription overdue for 6 months, though she uses the gym regularly. Write a tactful letter to her, explaining your position and requesting her to give the money as soon as possible. Compile a letter from the situations below: • A customer has gone bankrupt and owes you an amount of Rs. 2,10,000/-. He is however enclosing an amount of Rs. 70,000/- with the letter. He says that he cannot pay the rest. He is closing shop and is moving out of the country. • You have recently got a contract from a big government office to supply their year’s requirements of uniforms. After the efforts, you realize that they do not settle their dues for almost a year. Realizing the situation, write to them asking for an advance for about 3/4th the amount since you do not have the wherewithal to execute the order on your own. You are a dealer in computers. You have recently installed a high-class computer lab in a college. Your payment does not seem to be coming despite repeated requests. The college authorities however continue to give oral assurances about your payment. Draft a suitable, strong letter. You are a customer who has really harassed your supplier for money. Your payment was outstanding for more than a year and you are paying only after he has served a legal notice on you. Write an apology letter and request him to maintain cordial relationship with you in future.

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CHAPTER

22

CREDIT AND STATUS ENQUIRIES Most of the business and trade today is based on credit. Credit, which refers to ‘Buy Now, Pay Later’ is opposed to Cash, which refers to ‘Buy Now, Pay Now.’ Credit sales account for more than seventy five percent of business. They play a vital role in the growth of any business. As credit always carries an element of risk of non-payment, all businessmen prefer to make a number of enquiries before they extend credit to someone. In the course of business, you may also be called upon to give a credit status rating to another business colleague. For all this, it is important that we know about what the credit enquirer really wants and what parameters we have to check up if we ourselves have to grant credit to someone. Letters regarding credit are very important letters and have to be written with great care and after a full investigation only, or else there are good chances that it might prove disastrous. WHY IS CREDIT NECESSARY? Credit is useful to all parties. To the buyers—it enables them to buy large quantities of goods without having to keep ready cash. They can still conduct business, even if their cash is being used elsewhere. To the seller—They can attract big buyers if they give credit terms. If they insist on cash payment for all goods, they might not be able to get good customers. Even though the sales increase on giving credit, it carries with it high risks of delayed payment, even non-payment. It is therefore necessary for all companies to have what is called a ‘standard credit policy.’ This means that they should have a systematic method of going about analyzing buyers and after that having a set procedure for collection. (Which we have discussed in the chapter concerning collection letters). According to the credit policy, the company must get complete details about the customer with regards to the following— 1. Internal factors 2. External factors

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The internal factors will include— • His CAPITAL. This will include the cash, stock, building, machinery and other assets. • His CAPACITY. This includes the person’s skills, judgment, business acumen and experience. • His CHARACTER. This is important, as it is a crucial ingredient in making of any business. His integrity, honesty, hard working nature and the respect he commands in the market. The external factors will include— • His CIRCUMSTANCES. This is very important, as it is to do with factors outside the control of the business. These are the weather conditions, natural calamities, political situation, the government’s financial and economic policies, the foreign trade position, the computerization of business, the rate of liberalization of the economy etc. All these aspects are taken into account before granting credit. Where can you get information to assess the credit rating of your potential customer? It is important to note that names can be given by the customer himself or can be found out by the sellers’ own initiative. There are different sources that can assist you in this. They are— 1. Trade references: These are firms or business acquaintances that know the concerned company and who can put in a good word about them. The company itself normally gives trade references. While giving the names, they must be careful to give such companies who themselves have a good reputation. They should be checked repeatedly to make sure there is a favourable image. In case, the trade references are not given, the company can be asked for the same. 2. Bank references: This will refer to the bank of the company who is requesting credit from you. The buyer’s bank will answer status enquiries only to another bank. So, the business house must make the enquiry to his own banker who in turn will ask the buyer’s banker, whose name has been given by the buyer itself. A bank knows several things about a customer. It is normally the most reliable source of credit information. They can advise you on the scale of business by seeing the value of the cheques presented and given, and the time of their peak business and lean business apart from other things. 3. Credit enquiry agencies: Chambers of Commerce, Trade associations and other mercantile agencies provide credit information for fixed charges. Since business houses are members of one or more of these organizations, they are in a position to find out the financial standing and paying capacity of those companies. 4. Market gossip and grapevine: This is another source of information to find out

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the credit rating of potential customers. Very often, it is a reliable source but it is better not to rely on it without some other information to substantiate it. 5. Personal interview: Sometimes, meeting the person and talking to him can enable the person to get relevant information. Casual talk may reveal the financial position of the person and the state of his business. If the interviewer is shrewd, he can greatly benefit by this method. Note—It must be noted that in case of any references the ‘References’ must be notified in advance that their name has been given. The status enquiry letter must state that the information about the client is been requested as a matter of company policy, and not because of any doubt about the customer. It must also be an extremely polite letter seeking simple clarification about the internal and external factors affecting the client. Credit information is in the mutual interest of both the buyer and the seller so either party should not feel insulted and should take it as a normal business procedure. Points to be kept in mind while writing a letter to the potential customer to ask the names of references about him. 1. 2. 3. 4. 5. 6. 7. 8.

Thank the party for the order. Assure him that you are willing to extend credit to him. Tell him about your company policy of confirming with references about the financial standing of the potential customer before extending credit to him. Explain why you need the information. Ask him for specific names and addresses: Bank reference, Trade reference, etc. Assure him that you will keep the information confidential. Request the customer to send the required information as fast as possible, since that will speed up the dispatch process. Make a request for complete information so that you do not have to trouble him again. ** Sir, Thank you for your order of 23rd July 2007, for 1000 bags of cement. You had requested that they be delivered on 15days credit. We are willing to do so. But we have a standard formality to complete. For all our new customers, we maintain files regarding their credit worthiness. We are enclosing a form, which you can fill up and give the names of two trade references and one bank reference. It will be in your interest to fill up the form and return it as fast as possible, so that we can speed up the verification process. Just to remind you, this is our usual way of working, so please do not take offence at our request.

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In case you are in urgent need of the cement, it would be advisable to settle this order with cash, since it does take about three weeks to complete the formalities. Thanking you. Yours truly, ** Points to be kept in mind while replying to the supplier about reference details. 1. 2. 3.

Appreciate the party for his request. Assure him that you do not mind giving the names of any references. Include the complete details of the required references so that he can contact them without any difficulty. 4. From your own side, assure the supplier that he will not face any problem from your end regarding payment. Tell him that you have been in business for a long time and your credit rating is good. 5. Hope for a long and fruitful business relationship. ** Dear Sir, I am in receipt of your request for the names of trade and bank references. I assure you that I do not mind giving these names. I have enclosed the complete contact details and numbers in the attached form. I do appreciate the trouble you have to go through in order to accommodate new customers. I am in a hurry for this particular order and hence I am enclosing the cash payment for 1000 bags of cement, as otherwise, my construction activity will get stalled. I do hope that you would have verified the required details of my credit worthiness so that we can establish a credit payment system for the future orders. I have been in the construction business for the last ten years and do hope to continue that relationship with you. Thanking you. Yours truly, ** Points to be kept in mind while writing to the reference, requesting credit information. 1. 2. 3. 4. 5. 6. 7.

Introduce yourself. Give the name of the party about whom you are enquiring. Tell him that the party already knows that you will be contacting them. Assure them that it is a regular business practice for your firm. Be very precise in your enquiries. Mention the amount of credit your potential customer has asked for. Also mention the time for which he requires it.

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8.

Mention all the points for which you require clarification. For example, the financial position of the customer, how promptly he settles accounts, how much credit can be given and for what length of time, etc.? 9. Assure the reference that all his information will be kept confidential. 10. Express your willingness to render similar service to him if he needs it. 11. Request him to tell the truth about all the details. ** Sir, This is in connection with my new client Messrs. S. Ram & Co. of 24/4, M.G. Road, Ahmedabad. They have given your name as a credit reference. They have placed an order worth Rs. 10,000,00/- on credit with us. They require credit for one month. Since this is the first business dealing with them, your information will prove very valuable. We would want to know about your experience of doing business with them. There is a self-addressed envelope enclosed for your convenience. We will be grateful if you could give us the details as soon as possible so that we can proceed with the formalities. We would be glad to render similar help to you in the future, when you require. Please be assured that whatever information you give, will be in utmost confidence. Thanking you. Yours truly, ** Giving credit status information about the customers General points to be included— 1. 2. 3. 4. 5. 6. 7. 8. 9. 10.

The reply should be frank and truthful. It should be prompt. The reference should not give their personal opinions. They should just furnish the details and let the supplier decide for himself. Since, the talking about a person’s credit is a delicate matter, the letter must be tactful. The letters must be marked ‘confidential’ and must be addressed to the person who has asked for the enquiry. The writer should not normally assume any responsibility for whatever decision the seller takes. He is just required to state the facts. The credit applicant’s position should not be unnecessarily damaged or spoilt. There should be a reminder towards the end that the information is being given under confidence. The reply can be favourable or unfavourable.

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Points to be kept in mind while replying to credit status enquiries. (Favourable reply or Unfavourable reply) 1. 2. 3. 4. 5. 6. 7. 8.

State how long you have known the credit customer. State the business relationship you share with him. Mention the current financial position of the customer. Talk about his future prospects (if he has any) State whether he has been a slow or fast payer. Mention whether he has defaulted in earlier situations, to the best of your knowledge. Give information about his internal and external situation. Mention the good and the bad business points that are necessary for the enquirer to take an appropriate decision. 9. Your opinion should be given only if asked for; or else leave it with the bare facts. 10. Mention that your advice does not make you responsible in any way regarding the eventual behaviour of the customer. He may behave contrary to expectations. For example, He may pay promptly, when he has never done such a thing earlier or viceversa. 11. Mention that you would like your reference details to be treated in strict confidence. ** Sir, We are privileged to give you information regarding Messrs. S. Ram & Co. of Ahmedabad. We been working with them for the past six years and have always given them credit of more than Rs. 10,00,000/-. They have always been settling their dues on time and you need not worry about them as far as these amounts are concerned. They have a good reputation in the market and are known for their acumen and business integrity. If they have promised you that they will settle their dues in a particular period of time, then they certainly will keep up to their promise. They are also doing well in their business and hence, money should not be a problem for them. This is our personal experience of your client, and we request you to treat it as such. We are not responsible for any decision that you may take in this matter. Thanking you. Yours truly, ** ** Sir, We are privileged to give you information regarding Messrs. S. Ram & Co. of Ahmedabad. We have been working with them for the past six years and can very surely say that you must not extend credit of any amount to them. They are known

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to be problem creators and will harass their supplier to the utmost. This is our personal opinion, and we would request you to verify this also with their bank and other trade contacts. We are in no way responsible for any action that you may decide to take in the regard. We would be grateful if you treat this information as strictly confidential. Thanking you. Yours truly, ** ** Sir, We are privileged to give you information regarding Messrs. S. Ram & Co. of Ahmedabad. We have known the party for the last six years. Having been a trading partner with them for these many years, we would like to mention that they do not give any trouble with smaller amounts. However, if the amount is as big as you have mentioned, you have to proceed with credit after much consideration. The fact is that they do not have a very strong order book and their business has suddenly got a lot of competition from smaller suppliers. Keeping all this in mind, you should think carefully before entering into a business relationship with them. This is however, our personal opinion and you need not get influenced with it. We would like to request you to keep it in utmost confidence. Thanking you. Yours truly, ** Informing the customer of the decision taken Once the reference details have been gone over, it is better to make up the mind immediatelywhether to grant credit to the potential customer or whether to refuse credit. Whatever decision is to be conveyed, it should be done promptly and professionally. The ultimate decision will of course, depend on a number of composite factors— • • • • •

The internal factors affecting both business The external factors The referee’s reply The market gossip The 6th sense of the seller

Points to be kept in mind while writing a letter granting credit 1. Since this is a positive reply, it should be warm. 2. Mention that credit has been agreed to. 3. Give all the information about the regular terms of payment to prevent future misunderstanding.

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Business Communication

Do not do an obliging attitude in the letter. Be prompt and assure him of our best services. ** Sir, This is with reference to your request for credit. We are pleased to inform you that it has been approved and we can proceed with the order. Your account has been opened on a monthly basis. In case you pay before, you can avail a discount of 1% on the total bill amount. We will be grateful if you keep to the deadlines, so that we can continue our business dealings fruitfully. Thanking you. Yours faithfully, **

Refusing credit: If due to any reason, credit cannot be given to the customer; it should be put forth in a pleasant way. Curtness and rude writing is to be avoided. This is an extremely unpleasant thing to write, so it must be done tactfully so that the receiving party does not get hurt. Try not to loose the customer. Do not give vague and false reasons for refusing credit. The reason should be mentioned with a ‘you’ attitude, saying that he is only benefited by the decision. Suggestions can be made so that business can still be carried on. For example, the order quantity may be reduced, so that he can pay the smaller amount by cash itself, or he can borrow some money so that he does not loose out on the excellent goods/services. Points to be kept in mind while writing a letter refusing credit 1. 2. 3. 4. 5. 6. 7.

Refusal of credit must be written in the beginning itself, so that false hope does not build up as the letter goes on. Apologies should be given for the same. The letter should be extra-polite. Inducements can be given to buy on cash. He should be assured of utmost co-operation, in case he becomes a cash customer. Express extreme confidence on the buyer and hope that he will understand your problem and still be loyal to you. End on a hopeful note. ** Sir, This is with reference to your request for credit. I am sorry to inform you that it will not be possible to extend credit facilities to you due to unavoidable reasons. However, if you do wish to buy from us, we will be most willing to supply on a cash basis. We are sure that you will not treat this decision in the wrong light. We suggest that you buy from us in smaller lots as it will be easy for you to settle the accounts easily.

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We wish to assure you that we do want to continue business relations with you. Thanking you. Yours faithfully, ** REVIEW QUESTIONS 1.

2.

3.

4.

5.

6.

7.

8.

You have got a big order to supply 100 nos. of air conditioners for a newly constructed office. However, you do not have any information on the financial situation of the company. Write a letter requesting for references. A highly placed official in HP has just been transferred to your city. You are the owner of a well-known computer stationery shop. Write to him and offer him credit, in order to get him as a regular customer. You have received a first-time order for goods worth Rs. 5,00,000/- from a new customer. After enquiries you find out that their financial position is not conducive to carry on business. Draft a suitable reply, refusing the order. You have been asked about the paying capacity and attitude of your close business contact. Knowing him, you know he does not pay promptly, till matters become ugly. Write a letter to the enquirer, informing him about the same. Inform a customer, that since he has been causing trouble to you for the last few times, you would like to suspend credit trading with him. However, you will be pleased to carry on cash dealings since you have enjoyed a long- standing business relationship. Your friend is a good and fair businessman. You have got an enquiry about him from someone who is new in the business. Draft a favourable reply to him about your friend. Messrs. Raju and Sons, Mumbai, have placed an order with you for goods worth Rs. 60,000/-. This is on 15 days credit and they have given you a clean bank reference. However, your own sources have found out that they are unreliable and do not deserve credit. Write letter, suggesting that you only do business on cash basis. Sen & Sons, Kolkata have got an order for a consignment of jute from Bangladesh. They would like to know more before they jump into a business relationship with them. They contact a mutual person Mr. Andrew and Co. in Kolkata. Draft 3 replies from Mr. Andrew and Co. (i) A favourable reply (ii) An unfavourable reply (iii) A neutral reply

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CHAPTER

23

BANK CORRESPONDENCE A bank is the most crucial institution for any business. They keep in touch with business and business cannot do without them. From newspapers, we know that a single day bank strike looses millions of rupees for business. Banks are vital. They grease business and facilitate them so that they can continue in their work of making money and leave the money management to them. In advanced countries, specially, banks are indispensable. Banks play many roles. They help in many ways. In fact, they oil the connections so that business carries on. The main roles and functions of banks are as follows— 1. 2. 3. 4. 5. 6. 7. 8. 9. 10. 11. 12.

They accept deposits They provide credit They enable purchase and sale of foreign exchange They handle hundis, promissory notes and bills They advise against letter of credit. Banks collect subscription, taxes and bill amounts etc. They provide personal tax assistance They issue travellers cheque Banks also issue gift cheque They provide safe deposit lockers of different sizes and requirements They allow money transfer They issue demand drafts, etc. to send payment to other parties.

Bank correspondence can take place between any of the following parties— • • • • •

Bank—Customer Customer—Bank Bank Branch—Bank Head Office Bank Head Office—Bank Branch Bank—Bank

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Most of the bank correspondence is of routine nature. Even then, certain points are to be kept in mind. A very important requirement of bank correspondence is secrecy and confidentiality. Also the letters should possess all the principles of effective communication. For example, they should be concise, clear, complete, accurate, etc. They should be tactful, polite and also very neat and clean. Since these may involve numbers, it is important not to use dirty, illegible handwriting for fear of mistaken reading. There are different situations that can call for a business letter. These fall under any one of the above-mentioned exchanges. 1. 2. 3. 4. 5. 6. 7. 8. 9. 10. 11. 12. 13. 14. 15. 16. 17. 18. 19. 20.

A new customer wants to open a bank account A customer looses a cheque/demand draft A customer wants to close an account A business wants to cross the overdraft limit of his current account Request for a loan Asking for information on a particular bank employee A standing instruction to a bank to pay insurance premiums Asking him to look into the LC as soon as possible A letter to a customer concerning sanctioning of a loan A letter procuring acceptance of a bill through a bank Instructions to a bank regarding D/P To confirm a particular employee’s confirmation A branch manager requesting opening another branch to ease load on his branch A letter from the bank head office to the branch pertaining to transfers, promotions, appointments, etc. The branch manager’s reports to the head office regarding branch administration, trade conditions, expansion schemes, progress, etc. Letter written by an angry customer regarding bad service. He threatens to shift his account elsewhere A letter from the customer to the bank requesting the latter to accept a documentary bill A letter asking a branch for a circular letter of credit A confidential enquiry about the status of a client A letter from a bank to the customer, informing him about his bounced cheque.

There are many other situations, which will be under this, and you will get adequate practice once you write the letters. Points to be kept in mind while writing these letters 1. 2.

Be brief. Give complete details in all the letters. Do not leave anything open.

Bank Correspondence

3. 4. 5. 6.

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Simple and effective language is beneficial. Definite instructions must be given where required. The letters should be carefully worded to maintain secrecy for the customer. They should be written with a ‘you’ attitude. ** Dear Sir, Ref: Opening a Savings Bank Account I would like to open a savings bank account at your esteemed branch. I am residing in the same locality and it would therefore be convenient for me to operate my account from your branch. I have fulfilled all the necessary formalities and have got myself introduced from an existing account holder. Please issue the following to me 1. A cheque book for 20 leaves 2. A pay-in slip booklet 3. A passbook I look forward to use my account regularly. Thanking you. Yours faithfully, ** ** Dear Sir, Ref: Stop Payment I would like to inform you that I have misplaced the cheque number D342567. This had been issued to Messrs. Dayaram & Sons. The cheque was dated 30th July 2007 and was not crossed. I would like to advise ‘STOP PAYMENT’ in case the cheque is presented to your branch. Thanking you. Yours faithfully, ** ** Dear Sir/Madam, Ref: Opening a safe deposit locker I have recently moved to this locality and have opened a savings bank account with your branch. My account number is S986453. I have also taken a fixed deposit worth Rs. 50,000/- for a period of 5 years.

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I would like to request you to kindly permit me to subscribe to a locker at your branch. This will ease my problem considerably and I will be obliged if it is issued as soon as possible. Thanking you. Yours truly, ** ** Dear Sir, Ref: Requesting overdraft against personal security The approaching month of Diwali is likely to lead to a considerable increase in the turnover of our shop. With this possibility in view, we have started ordering our requirements from our wholesale dealers. As our orders are likely to be fairly large, we approach you with a request for an overdraft of Rs. 25,000/-. The drawings would be spread over a period of 2 months i.e., September and October 2007. We undertake to place our account in credit by the end of December 2007. We shall be obliged if you could grant this overdraft against our personal security. We shall be happy to show our books of accounts to you so that you can satisfy your doubts regarding the position of our business. Thanking you. Yours truly, ** ** Dear Sir, Ref: Status Enquiry letter We will be obliged if you could let us know your opinion of the financial position of Ganpathy & Sons, Teynampet, Chennai. They have asked our client for a credit facility of Rs. 2,00,000/- for 1 month. Please be assured that any information that you give us will be treated as confidential. Thanking you. Yours truly, ** REVIEW QUESTIONS 1.

A businessman has got his first export order. He wants to take an overdraft from his current account for Rs. 25,000/- without any security. Write a letter.

Bank Correspondence

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3.

4.

5.

6.

7.

8. 9.

10. 11.

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• Draft a positive reply from the bank. • Write a refusal letter from the bank. You are the branch manager of a very flourishing branch of a well-known bank. Your branch office if in need of redecoration and painting. Write a letter to your head office requesting funds and permission for the same. Write a letter from the head office about a complaint received from a customer about the rude behaviour of the officials of your branch. Also draft a reply to the same, apologizing for the incident and assuring corrective action. As the manager of a branch, write a tactful letter to an important customer who is in the habit of overdrawing their account without prior permission and arrangements. You are a company executive having an account with a foreign bank. You have gotten transferred to Mumbai from Chennai. • Write letter to your bank requesting closing your savings account since you will not be residing in Chennai hereafter. • Write a reply from the bank saying that you need not close your account, since it can be operated from Mumbai local branch itself. This is because of the new Internet banking facility that you have installed. • Write another letter from the executive requesting to close the account due to bad service. Write a letter from a big business house that has commenced business in New Delhi. You are to write to a local bank requesting their representative to meet them, as they want to open their corporate account in their branch. You have a savings account with your local bank in Kolkata. You do not regularly receive 6-monthly statements from them showing your account details as per the agreement. Write a complaint letter. As the Branch Manager of a bank, write to the chief personal manager at your head office, recommending promotion of a dedicated, sincere and deserving employee. Your customer has applied for a loan to start a new entrepreneurship venture. Write to your head office, recommending his case and requesting them to sanction the loan. You have applied for a loan against your fixed deposit. Write to your bank giving details and requesting them for an early sanction. Your credit card has been stolen along with your wallet. You have already intimated your bank telephonically about the same. Formalize the information by writing to the bank giving full details and requesting them again to alert all purchase points. One of your clients has requested for a loan against his property. However, according to the rules, you feel that the security is less compare to the amount of loan requested. Write to your client informing him about the same and asking him to give more security so that you can clear his loan fast.

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Write a letter of credit. You have found that your account statement does not tally with the deposits and withdrawals that you have actually made. Write a letter to your bank bringing this to their notice and asking for a correction. 15. Write a letter to open a savings account. 16. As branch manager, write to a client, informing him that because of the cashiers mistake his account has been over-credited with Rs. 50,000/-. Tell him that you are rectifying the error and if you could bear with them.

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CORRESPONDENCE PERTAINING TO INSURANCE Life is full of risks. So is business. Despite that, both life and business have to go on. But there is something we can do to protect ourselves from the various risks that can befall us i.e., takes insurance. HOW DOES INSURANCE WORK? Let us assume that 1000 people buy an insurance policy to protect themselves against business risks. They all pay yearly or monthly premium at different rates depending on what policy they take. A lot of money gets collected with the insurance company. But, all of them do not suffer a loss. Only a few may suffer a loss. So, the money, which has accumulated from their collective premium, is used to compensate the few who have suffered loss. This is how the money becomes available to the insurance company to pay people. The need for business insurance Business involves a lot of money. It is also filled with risks. The risks are of different types. They may be from natural calamities like fire, storms or floods. They may also be from war or riots. Death is also an uncertainty that can cause harm to a business. The best alternative, therefore, is insurance. Insurance is basically classified under two headings— • •

Life Insurance Non-Life Insurance

Life Insurance is also called Assurance. It is a contract whereby the insurer (The Insurance Company) undertakes to pay the insured (The person who takes the Insurance Policy), a certain sum of money, either on the death of the insured or on completion of a certain number of years.

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The insured takes a policy from the insurance company and undertakes to pay a predecided premium at fixed intervals for a fixed period of time. The premium can be paid in a lump sum or at periodic intervals, depending on the type of policy taken and the ability of the insured party. Non-Life Insurance is also called General Insurance. It can be of many types—Fire Insurance, Marine Insurance, Property Insurance, Storage Insurance, Fidelity Insurance, Jewelry Insurance, etc. Nowadays, almost anything can be insured. You can take a policy when you travel inside the country or abroad, you can take a policy to cover yourself against diseases, and other losses, e.g., Earthquakes. Earlier, in India, insurance was the prerogative of the government. Now, however, with increased liberalization and decreasing controls, the insurance sector have opened up and we have a host of foreign companies having joint venture operations with Indian concerns. They offer attractive insurance policies against a wide variety of risks at affordable premium rates. The government still holds a major share of the insurance market. Even movies and surgeries are being insured. The process of taking an Insurance policy and claiming compensation Insurance companies sell policies directly through the employees or indirectly through appointed agents. • The agent approaches the client. • He senses and/or enquires about the insurance needs of the client. • From his available portfolio, he offers suitable policies to the client, e.g., if the client has a girl child, he will offer a policy especially for her. • The client goes over the choice of policies and enquires about the various premiums to be paid under different schemes. • He chooses the most appropriate policy for himself. • The agent gets the policy formalized through the Insurance Company, which he is representing. • He collects the premium from the client and the insurance cover commences. • The policy has been bought. • The client will continue to pay premium till as long as he has the policy in accordance with the schedule. • If a loss occurs, for which insurance has been taken, the insured party will contact the agent or the Insurance Company directly. He will also file an FIR. • The insurer must see the loss before it is tampered with. For example, If a car accident has taken place and the car was insured, it should not be taken to the repair center prior to the survey. • The company will send their representative to the site of the accidents. • They will verify the occurrence of the accident and gauge the extent of damage. • If need be, photographs are also taken by the insurers photographer. • A claim is filed and the insurer or the owner of the property undertakes the repairs.

Correspondence Pertaining to Insurance

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•

After the loss is made good or the repair is completed, the bill is sent to the insuring company • The Insuring Company sends back a compensation check for the loss amount. Presently, Insurance policies are used for a variety of other reasons. Loans can be taken against policies; tax benefits are available if policies are taken. There are a variety of letters that can be written during Insurance correspondence. Some of them are— 1. 2. 3. 4. 5. 6. 7. 8. 9. 10. 11.

An enquiry regarding terms and conditions of different policies. Submitting an insurance proposal to the Insurance company. Accepting the proposal. Rejecting the proposal. If premiums are not paid, the insurance company will write a reminder. If they are not paid for a long time, the policy can lapse and that has to be communicated through a letter. To surrender the policy due to various reasons. To apply for a loan against a policy. To revive a lapsed policy. If the agent has absconded and the customer of facing problems. To issue a duplicate policy certificate, if the original has got lost.

Points to be kept in mind when writing a letter for life insurance 1. The policy number must be mentioned in each letter. 2. The name of the life insured should be written. 3. The sum assured also must be given. 4. The other details relevant to the issue must be written clearly. 5. There should not be any ambiguity. 6. The ‘you’ attitude should be adopted. 7. The insurer should clearly state what his problem is. 8. Since, insurance companies receive a lot of business correspondence, your letter should be brief and to the point. Fire insurance It is a contract whereby the insurer, in consideration of payment, undertakes to indemnify the insured against the loss or damage to property due to fire during the insured period. The insurance policy can be renewed after it expires or a new, more suitable one can be taken. Here the harm should come from fire alone. There are many rules and clauses, which are examined in detail before the policy is taken and even before a claim against fire insurance is settled. Floating policy: This is taken to cover the goods belonging to the same person, but

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stored at different places and in different lots. Traders generally take this type of a policy in respect of goods lying in various places, docks, warehouses, etc. Valued policy: Under this policy, the insurance company undertakes to pay the insured an agreed value for his goods in the event of their total loss, irrespective of the real value of the property at the time of their loss. Specific policy: Under this policy, the insurance company undertakes to pay or indemnify the insured against any loss or damage caused by fire to his property up to an amount insured under the policy. The value of the property is not the criterion to ascertain the extent of indemnity. Therefore, the property may even be under-insured. Marine insurance It is a contract whereby the insurer undertakes to indemnify the assured in the manner and to the extent thereby agreed against marine (sea related) losses. These losses should be incidental to marine travels and adventures. Marine insurance usually covers damage on the ship, goods, freight, or on any other interest engaged in a marine adventure. There can be many types of risky elements. For example, storms, accidents by collision of ships, fire, sinking, spoilage, jettison, damage due to leakage, etc. Voyage policy: Under this policy, the property is insured for a particular voyage only, however long or short it may be. If the ship is changed, and the goods are sent further by another ship i.e., another voyage, another policy will have to be taken. This policy is generally issued for a fixed amount, not a fixed time. Generally, the cargo that is exposed to the perils of the sea is insured under this. Time policy: Under this type, the property is insured for a specified period of time e.g., 3 months, 6 months. Normally it is not for more than one year. If the goods do not reach the destination within this period, the policy is to be renewed. Normally ship owners take these policies for their ships. Valued policy: This states the value of the goods, which is agreed by the insured and the insurer. The value need not be the actual value of the goods insured. Therefore, there is no argument about the actual worth of the lost goods. Undervalued policy: It is issued without determining the value of the goods insured. Whenever a loss occurs, the value of the goods is assessed by the Insurance company, with the help of experts. ** Dear Sir/Madam,

1st August 2007

Ref: Requesting for a policy against fire We would be obliged if you insure our goods against fire. The goods consist of paper articles worth Rs. 2,50,000/-. They are presently at our store at 24/8 Nungambakkam High Road, Chennai-34. You can issue the policy for that amount and cover the risk for 6 months starting from September 15th 2007.

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We have filled in the policy form and are returning it to you for your consideration. Our store will be open to your inspection in case you so desire. We will be happy to pay whatever premium with regard to this policy. Thanking you, and waiting for your reply. Yours truly, ** Dear Sir or Madam,

20th August 2007

Ref: Fire Policy number D.3334 I regret to inform you that a fire broke out at my warehouse at No. 12, Godown Street, Parrys, Chennai-600001 at about 3 A.M. last night. The night watchman, Mr. Mohan, first noticed it. He called up the fire brigade immediately. But, by the time they arrived, the premises were completely gutted. The fire was put out with great efforts by 6A.M. According to my estimate, my stock of value Rs.1, 00,000/- has been destroyed. We had additional stock, keeping in mind the approaching festival season. I would request you to kindly send your representative or surveyor to inspect the loss. Please let me know what I can do from my side to speed up the process. Thanking you. Yours truly, ** Sir, We have received your letter today informing us about the loss by fire, which occurred at your warehouse at No. 12 Godown Street, Parrys. Chennai-600001 on 19th August 2007. We had sent our surveyor for investigation. He found out that the fire was caused by negligence and the place did not have adequate fire fighting equipment, as per the regulations laid down by our company. When we granted the cover, the shop was inspected and the fire fighting equipment was found to be in order. We suspect that after the inspection, you did not make any efforts to keep the fire readiness situation in working order. We also found that you have not paid your premium on the policy for the last quarter, thought the date is already over. Under these circumstances, we regret to say that the claim cannot be granted, as it does not remain a valid claim if the terms are violated. We request you to kindly pay the premium as soon as possible so that you can be safeguarded against future fire risks. Thanking you. Yours truly, **

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REVIEW QUESTIONS 1. Write a letter from an insurance company refusing a claim. 2. A policyholder writes to Life Insurance Company requesting them to sanction him a loan worth Rs. 25,000/- against his Jeevan Suraksha Policy. He needs it to pay for a house loan installment. Write the letter and a positive reply from LIC, sanctioning the loan. 3. A truck loaded with readymade garments was looted near Mumbai, on its way to Pune. Write a claim letter to the Insurance Company, giving complete details. 4. ABC Ltd. has bought a new factory at Gurgaon, near New Delhi. The total estimated investment including machinery etc. is Rs. 55, 00,000/-. Write a letter on their behalf to New India Insurance, requesting them to suggest a suitable policy. 5. An Insurance Company gets a letter from one of its policy holders that their office premises had caught fire and the complete office got destroyed. However, their policy had expired only 1 day before. Write a request letter from the client to settle the claim and compensate the loss. Also write a letter from the insurance company, refusing the claim. 6. Write a letter from a company asking for a marine insurance policy. 7. You want to insure your life. Write a letter to LIC asking them to send their agent to meet you. Request them to send the different policy options so that you can make an appropriate choice. 8. Your goods are sailing from Chennai to Singapore. They are of a perishable nature. Write to the Insurance Company requesting them for a suitable policy. 9. Your children need a policy that will assure them of security for their future. Write to the Insurance Company. 10. Write a letter making a claim on a policy consequent to the death of the assured person. 11. Write a letter to the client, intimating him of the maturity of his policy. You have to tell him that he will be receiving a sum of money and that he has to be ready with relevant documents. 12. Having received a claim for compensation for damage to goods under a marine policy, you have dispatched the surveyor. His report says that the claim is in order and that the insurance company can settle the claim. Write a letter to the client on behalf of the Insurance Company settling the claim and enclosing the cheque. 13. Your consignment of leather bags to London has got damaged during a voyage. Submit a claim for compensation to the Insurance Company, giving all the necessary details.

CHAPTER

25

LETTERS RELATING TO EXPORT AND IMPORT INTRODUCTION Export and import trade is carried on across the borders of a country. It is vital, since in many cases, a country cannot manufacture all the goods it needs. In other cases, some countries produce more than what they need, and so find it sensible to send the surplus to other countries. Export helps a country earn valuable foreign exchange. Foreign Exchange can be used to import other goods. Developing countries, especially, need good reserves of Foreign Exchange. India is now in a comfortable position as far as her FOREX Reserves are concerned as we export huge quantities of garments, leather goods, gems and jewelry, technology, etc. We need to import huge quantities of other essential items, e.g., Petroleum. Export and import resemble regular trade, but since they have to enter different countries, they have to pass some formalities and fulfill some conditions. The exporting country needs to keep records of what goods are leaving the shores, what quantities and which countries it is headed to. The importing country needs to know what goods are coming in, from where, what quality levels, and at what price. The trade also has to fulfill the conditions of the Export-Import Policy of that country. According to this, there are certain documents that have to be filled up, certain processing fee to be paid to different authorities, e.g., Insurance, Port, Handling Charges, Freight, Bills, other invoices etc. The import-export process •

It can be carried on directly between exporter and importer or through commission agents or through export houses (Government or Private). • Both the exporter and importer have to get a license from the government, which entitles them to do the trade.

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The importer contacts the exporter OR vice-versa. The middle men can also play a role in between. The terms and conditions are discussed and agreed upon. For example, Quality of goods, their type, colour, style, quantity etc. The necessary documents are prepared, both by the exporter and importer. The payment terms are discussed and the respective banks are contacted. Meanwhile the goods are made ready. Insurance is taken for the transit period, e.g., Marine Insurance. C&F agents are hired for the paperwork. The shipping company is contacted. The port authorities are informed and necessary paper completed., e.g., Bill of Lading, warehousing bills etc. The goods are sent. They are received at the port of the importer and necessary clearances are obtained from the government etc. Payments are made through the previously agreed mode. The goods are released and transported to the importers site. Final letters are exchanged between the exporter and importer. If both parties are satisfied, the business continues and further orders pour in. However, if there are complaints, the chapter is closed and no further business is transacted.

In the course of these formalities, certain letters are exchanged between— • • • • • • • • • • •

Exporter—Importer Exporter—Exporter’s bank Exporter—Port authorities Exporter—C&F agents Exporter—Insurance companies Importer—Port authorities Importer—Importer’s bank Importer’s Bank—Exporter’s bank Importer—C&F agent Importer—Insurance companies Importer—Middleman—Exporter

Important terms and documents used during export and import There are many technical terms that are used in Export-Import correspondence. Given below is a brief explanation of the more commonly used ones. You will encounter them in the letters you write.

Letters Relating to Export and Import

1. 2. 3. 4. 5. 6. 7. 8. 9.

10. 11. 12. 13. 14. 15.

16. 17. 18. 19. 20.

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F.O.R.—Free on Rail F.A.S.—Free Alongside Ship F.O.B.—Free on Board C&F—Cost and Freight C.I.F.—Cost, Insurance and Freight Franco or Rendu—Free Ex-ship: Similar to C.I.F. Bill of entry: This is a form which helps the importer to declare the information regarding the goods that have entered the country. Letter of credit: This is a type of payment advice from the importer to the exporter. The purpose is to ensure payment for the exporter, since the importer is unknown to him. The banks are involved and papers of the LC are sent. The importer will obtain it from his bank and send it to his exporter, only then the exporter will ship the goods. Bill of lading: This is a document of title to the goods that have been shipped. The shipping company issues this as a proof of having received the goods on board. Insurance policy: This is issued by an insurance company, to safeguard the interests of the importer and exporter, with regards to their goods. Consular invoice: Whenever the customs authorities levy import duty on the value of the imports, the exporter has to obtain a consular invoice. Certificate of origin: This document will state the place from where the goods are originally coming. Bill of exchange: This secures payment for the exporter through his bank. Shipping advice: After the goods have been shipped, the exporter has to inform the importer about the dispatch date, ship details etc. This is done through the shipping advice. Commission agent: They are individuals who bring the exporter and importer together, for a fixed commission. Quotation: It is the price quoted by the exporter for specific goods. Indent house: They help the importer secure orders and are basically middlemen. Port: It is the place from where the ships carrying cargo arrive and depart. They also dock at ports and harbors. Indent: The word indent means an order for goods. An importer can place an order directly with the exporter, or through indent houses. In many countries, traders have little knowledge about the foreign markets. So, it is advisable that they go through indent houses that can get them quality goods at competitive prices.

Points to be kept in mind while writing the export-import letters 1.

The person writing these letters should have a thorough knowledge of the procedures involved and the special terms used in export-import procedures.

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There should be close contact between the marketing department, who has contacted the importer or the middlemen who bring the exporter/importer together (as the case may be) AND the commercial department who write the letters and take care of the EXIM procedures. Otherwise, communication barriers can abound. Export-import letters should be extremely courteous, since they also carry the image of the country along with that of your company in each correspondence. They should be prompt, without any unnecessary delay in between the transaction. There should be a personal touch, since the customer and supplier are remotely located and may not ever meet also. You should be careful of what the words can mean in other languages. They should not be conveying any other meaning; apart from what you want to say i.e., they should not be ambiguous. They should be concise and to the point. On the other hand, they should also contain complete details of what you want to say. The receiver should not have to clarify additional details by writing extra letters. Be polite and business-like. ** Sir/Madam, We are manufacturing safety matches on a large scale. For this purpose, we need to import machines that can speed up the production work. We have got to know that your company manufactures these machines. We would like to pay a visit to your country so that we can figure out the feasibility of buying similar machines. Kindly let us know that dates which would be convenient to you and the number of days which will be needed for the complete inspection. Thanking you and hoping for an early reply. Yours faithfully, ** Dear Sir, I have come to know that you are trading in high quality stationery products. Since it is in our interest to provide our customers with good quality material, we have been referred your name. We would like to know how much time it would take to reach the goods to our country by airfreight. The various options of transport will be studied and then we will place the order. I would like to receive a catalogue of your designs, so that it can become easier to make a choice. Thanking you. Yours truly, **

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** Sir, Ref: Your Indent No. 231P/12/7/07 In continuation of our letter of 03rd July 2007, we have the pleasure of informing you that your indent has been accepted by Abbas & Sons of Dubai. They are prepared to effect shipment by the end of September. We thank you for your business with us and assure you of our best services always. Yours truly, ** Sir, Ref: Your Indent No. DF4507-12/06/07. 50 dozen cut orchids have been air freighted yesterday, the 11th of July 2007 by Emirates. As desired by you, the flowers have been specially packed to resist the hazards that normally befall perishable goods. This has been done at no extra cost. Further, the flowers are insured Filed-to-shop, so that we need not bear any financial loss. We hope that you will like the excellent flowers. The entire necessary document file has been sent. We request to kindly honour the bill when it is presented and take delivery of the documents. We appreciate your interest in our products and assure you of highest quality. Thanking you. Yours truly, ** Sir, We are pleased to inform you that we have shipped 100 sewing machines to you. The goods have left by ship on 25th August 2007. Each packet is marked and numbered as per your instructions. Our bankers, American Express Bank will be sending the documents to you. A duplicate copy is enclosed, for your benefit. You are requested to kindly honour the documents when they are presented. We hope that you will have no trouble in assembling the machines. However, for your benefit, we will arrange for our local representative to assist you, once you receive the consignment. His contact details are enclosed. Thanking you and hoping for a profitable business relationship. Yours faithfully, **

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REVIEW QUESTIONS 1.

2.

3.

4. 5. 6.

7.

The Importer—Messrs. National Machines Ltd. 15, Oxford Street. LONDON.S.G. 65. The Exporter—Durable Mixies (P) Ltd. Ambattur Industrial Estate, Chennai. • Write an enquiry letter from the importer to the exporter. • Give a firm offer to the importer stating the quality and quantity of goods that can be supplied. • Accept the offer from the exporter and place a firm order. Mention ALL the details. • Accept the order and state when you can deliver the goods. • Write a letter to a C&F agent asking him to assist you in the deal. • Contact an insurance company asking them to approach you for marine insurance. • The exporter should contact the importer’s bank since payment has not yet been received. • After the payment is received, thank the importer and express a desire to continue business with him. • The importer write a letter expressing satisfaction with the proceedings and the goods delivered. Write a letter to your agent in Indonesia, instructing them to scout for some business in that country and also telling him to scrutinize some documents that your importer there has sent, since they are found to be suspect. Messrs. Edward Brothers, New York, place an order with Harwinder textiles, Ludhiana for a consignment of hosiery. Draft a letter giving instructions for shipment through a particular shipping company only, since they have a tie-up with them. Write a letter from an importer requesting his banker to open an irrevocable Letter of Credit in favour of a particular exporter. Draft a letter to Promise Traders, Melbourne, from Mumbai, advising them about the dispatch of their goods by sea on a particular date. Your agents are satisfied by your quality of cotton shirts supplied by you to South Africa. However, the packing was poor, and hence some water seeped in during transportation. Draft a letter on their behalf, asking them to decrease the amount for the damaged goods. Also request them to change their packers for the next consignment. You are an exporter of cut flowers. You have a big market in the Middle-East, especially, U.A.E. Write a letter to an insurance company, specifying your business and requesting them to become agents for insuring their goods during transit for the coming year.

CHAPTER

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DOCUMENTATION Documentation can be defined as either of the following. What is to be remembered is that the process signifies writing down all important aspects of a particular process, procedure, case or incident that had occurred to provide future ready reference. An advantage of documentation is that it will remain, irrespective of whether the people are present or not. It is independent of people. Also it continues in its state unless damaged by will or accident. Documents provide ready reference in case of loss of memory and also serve as a proof, in case of conflict. 1. Evidential or reference documents: Documents provided or collected together as evidence or as reference material. 2. Process of providing written information: The process of providing written details or information about something. Documenting significant issues or incidents in an employee’s performance or behaviour is critical to providing accurate feedback as well as providing a record of issues. Department heads need such documentation for performance appraisals and performance improvement plans, as well as preparation for grievances or management actions such as verbal and written warnings or termination. What constitutes good documentation? The following points offer guidelines: 1. Be consistent: Do not document or discipline one person for a behaviour or issue you ignore in others. Test yourself with these questions: “Is this problem an issue for other members of my department?” “If so, am I addressing the problem with them too?” “If not, why?” Thinking through these questions is an excellent way to ensure you are maintaining a fair and balanced perspective. 2. Be specific: Example of poor documentation: “Staff member was late three times in the past month.” Better: “Staff member was 30 minutes late on 4/2; reason given, traffic. 45 minutes late on 9/2; reason given, overslept. One hour late on 23/2; reason given- car problems.”

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3. Write in a clear, factual manner: Note the university or department policy or procedure that was violated. Whether the documentation is an informal note for your records or a formal written communication, date the document, including the year. 4. Avoid emotional content. Documentation is less effective if it includes personal impressions such as “I think...” or labels like... “He’s a complainer...” or adjectives like “very unproductive...” or drawing conclusions about the reason for an individual’s actions such as “It’s probably because of her divorce...” 5. State the consequences. If the behaviour continues, what will happen? Good documentation in formal communications such as performance improvement plans or written warnings provides a clear indication of what steps will be taken if the issue is not resolved. 6. Acknowledge positive performance. Documenting improvements and corrective actions is important primarily because it’s the right thing to do and ensures a fair and balanced record. Additionally, in the legal realm, failing to document positive performance or improvements can strengthen a claim of discrimination. 7. Obtain employee signature. If your documentation is formal and will become a part of the employee’s personnel file, ask the employee to sign and date the document. The document should include a statement that the individual’s signature does not necessarily indicate agreement, but verifies that he or she has received and understands the communication. If the employee refuses to sign, note that on the document. 8. Give employees an opportunity to respond. Allow individuals to respond to your formal documentation in writing and include the response as part of the record. To get started, consider the following guidelines for effective and useable documentation: 1. Whatever the medium (paper or electronic), develop standardized formats and templates. In addition to the resulting consistency, your staff will likely find the road to documentation easier to navigate when the path is laid out, than when staring at a blank screen (or paper). 2. Make documentation part of your organizational culture, and if needed, make it part of employee performance objectives. 3. Establish content guidelines that include explanations and reasoning. 4. Allow sufficient time and resources for documentation when scheduling projects and services. 5. Use documentation as a marketing tool for sharing valuable information, and to strengthen the lines of communication between IT and the end-users. In short, effective technical documentation will take some time and effort, but it can be a worthwhile endeavour.

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Rule No. 1: Put it in Writing “If it is not in writing, it did not happen,” a partner with a law firm has once said. Instead, the saying highlights the fact that oral conversations that have no documentation are easily denied or contested. A lack of documentation of a critical decision or event can even indicate to a jury that you are the party making up the facts. The need for documentation on construction projects would seem to be entirely selfevident. Projects require detailed plans and specifications directing the parties in how a building should be constructed. The parties generally have contracts detailing their rights and responsibilities on the project. Most contractors are at least familiar with the concept that changes in work affecting time or money generally need to be documented with change orders before the work is performed. Invoices are submitted in writing with applications for payment. Waivers of lien rights are signed and transmitted. Despite this paper construct that parallels the erection of the building itself, it is surprising at how often critical decisions, discussions, representations and agreements are never reduced to writing. For example, you are out on the site and the general contractor’s foreperson directs you to do a specific task. Although this direction is different from the plans, the foreperson insists that you do it instead per their express oral instructions. This is a situation that needs to be discussed, analyzed and confirmed in writing. Also, it is difficult to predict winning a claim for extra work without documentation of why your work deviated from the plans and specifications. Even if a conversation is not documented, individual witnesses may be able to testify about decisions, conversations and events. The real issue is that a failure of documentation creates an opening for your opponent to contest a fact that would otherwise be locked in place with documents. In construction litigation cases, there is always enough room for disagreement and posturing based on letters, plans and specifications. You should try to avoid giving your opponent a free shot at attacking your position with conflicting witnesses when it can be avoided with a simple letter or memorandum. Rule No. 2: Documents are Power “Documents are power,” said a senior partner with a first law firm. Being familiar with history, we already appreciated that analyzing a case required digging through the historical documentation and creating a chain of facts and evidence from the raw source material. Information contained in documents is usually the lifeblood of most lawsuits. This is particularly true in construction litigation, where cases tend to be unusually documentintensive. While there are piles of paper, every case also tends to focus on a few critical documents as the lynchpin of success. You need to understand this fact when you are performing a job. Hopefully, you will follow Rule No. 1 and make sure that critical decisions and communications on the job are documented in writing. Once you are over the hurdle of producing documentation of events,

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you need to ensure that written communication is accurate and maintains a positive and effective tone. The best policy is to keep things simple, clear and concise. Simply state the facts in your memos or letters rather than engaging in editorial commentary that may confuse the issue. Maintaining a purely factual tone tends to make later readers view the documents with less skepticism. When a document is clearly aggressive and partisan, it is easier to discount the factual position contained in the document. The tone and personality of the writer can have a great influence on a jury’s perception of events. The president used this style of writing on a consistent basis. As an added point of note, in person he tended to speak as aggressively as he wrote his letters. Regardless of the validity of the position he took, you can see where a skilled lawyer can easily make such a person appear combative, argumentative and obstructive to the progress of a job. Tone and appearance are important to a jury. The final point to glean from this discussion is to always assume that your written documents may eventually be blown up and dissected in front of a jury. If you are angry or upset when writing, make sure you let the letter sit on your desk for a bit and edit it before it goes out. Also, try to be careful and clear in your selection of language in addressing a topic. It can also be a great help to have your lawyer review your correspondence if an issue is particularly important or if you have liability concerns relating to an issue. CONCLUSION It is always best to make sure that you properly and timely document your position during the project. It is far better to have a letter that you can show to a third party supporting your position than to be stuck with competing witnesses at trial. Be clear, direct and concise in your documentation. Assume that your documents may eventually be the proof at trial, and dictate the tone and attitude of your written documentation accordingly. By preparing documentation, you encourage: • Clarity: It gets your ideas out of your mind and down on paper. • Communication: Refined, it acts as a guide for those who serve you. This is especially important if you will be delegating the work and not actively involved in the project. Moreover, documentation helps to transfer knowledge. • Consensus: Stakeholders in the project are more likely to discuss and come to a balanced agreement. Many of us can keep a fair amount of information in our brains at any given time. Documentation is still very important though.

PART 5 USING SOFTWARE APPLICATIONS & THE INTERNET

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CHAPTER

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MICROSOFT OFFICE The skills that Microsoft Office training affords us will give a wider range of career positions to choose from. You can become virtually indispensable to your company by being a top producer and forward thinker. One of the greatest benefits to understanding the full capabilities of MS Office is flexibility. All of these programs and many more can fully integrate to give you maximum flexibility and performance from any department in your business or career. Microsoft Office has several programs that you can learn to master. A popular program in the MS Office suite is Access, which is a database program used to manage contacts and other information. Office also includes Excel, which is used to create customized spreadsheets to hold many forms of data. One of the most used applications in offices all over the world is Microsoft Outlook. MS Outlook is a robust tool for managing contacts, e-mail, office notes, calendars and so much more. PowerPoint is a presentation design software package that allows you to create slide shows and handouts that will make any seminar or meeting a complete success. This is a tool with the help of which we can use the computer. It has many features which are enumerated below– Word processing software   

Auto Correct  Automatically corrects spelling and grammar mistakes. Grammar Check  Checks documents for grammatical errors. Templates  Preexisting document that is formatted in the proper manner.

Electronic spreadsheet software  Perform Calculations  Such as interest rates on a loan.  Organization  Data is organized into rows and columns.

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Charting  Allows you to make charts easily based on calculations in the worksheet.

Database management system software  Create a Database  Insert data into a table.  Access a Database  Access the database at any time.  Manage a Database  Change data as needed. Presentation software  Slide Shows  Allows one to communicate a message or idea across to other individuals. 

Clip Art  A gallery full of images that can be inserted into the presentation.



Handouts  Slide shows can easily be made into a handout for a class or group.

Distance learning software  Convenience  Work from home and on your time.  Economic  Eliminates time and money that may be spent on travel to and from an institution of learning. Microsoft Office has the following components that are explained in detail. The versions keep getting updated by the company and the purpose of bringing in new versions is to make it more user-friendly and include more functions. MICROSOFT EXCEL Microsoft office’s spreadsheet application can be used to track and analyze numerical data for display on the screen or in a printed format. Excel is designed to help you to record and calculate data, and present it in a clear and attractive manner. Excel provides you with various charts and layout options to enhance your spreadsheets. The following are the tips about the many features of Microsoft excel: Here you go— 1. Cells are areas in a worksheet in which you store data. In formulas you refer to cells by specifying their column and row locations in the worksheet. This is called a cell

Microsoft Office

2. 3. 4. 5. 6. 7. 8. 9. 10. 11. 12. 13.

14. 15. 16.

17. 18.

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reference. You can enter text, values and formulas in text. The cell A3 will refer to column A and row 3. When you open a new workbook, it usually contains multiple worksheets. Each worksheet has 256 columns and 65, 536 rows. Therefore each worksheet contains 16, 777, 216 cells. Columns are labelled A through IV. Rows are numbered 1 through 65,536. Each cell can store up to 32,000 characters. When working with worksheets, you will need to select a cell or a range of cells to complete a variety of tasks. A range may consist of adjacent or non-adjacent cells. You can also name and select named cell ranges. Data appears in cells, defined in part, by the column width. You can control the width of columns or hide them. You can also adjust columns while print previewing your workbook. You can align cell data horizontally and vertically. The web wrap function shrinks text to fit it; it can orient text in a variety of angles. Using menu commands, you can clear cell formats, contents or comments. Or clear all of these items. You can copy cell data from one cell to another in a variety of ways. The methods you chose often depend upon the source and destination. You can delete cells, entire columns, from a worksheet; the existing cells adjust to take the place of the removed cells. A cell entry can be changed (edited) in a variety of ways. When cell editing is enabled, the formula bar gains extra controls and displays the contents both in the cell and the formula bar. Entering cell data is very straightforward. There are, however, many techniques to enter different types of data, such as, dates, time, fractions, percentage and formulas. When you enter a value, excel applies a format that it thinks is appropriate to your entry. You can also apply common number formats from the formatting toolbar, such as currency and percentage, or you can select specific number formats using menu commands and the format cells dialogue box. You can move cell data from one cell to another in a variety of ways. The best method to choose depends upon the location of the source data and the destination. Sheet tables let you work with multiple worksheets within a single workbook file. You can select, group, insert, rename, delete, move and copy sheet tabs. You will use formulas to calculate values stored on your worksheet. Cell references and reference names indicate the location of cells in a worksheet. Functions are predetermined formulas. Operators tell excel the kind of calculation to perform. Parentheses affect the order of operations. They must be used in pairs. You also have the option to create your own, simple formulas. Functions are predetermined formulas that perform specific calculations, such as finding an average of a future value. Functions require arguments—the data to be

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calculated. To make it easy to create a function, excel provides the paste wizard function. 19. You will sometimes need to change a formula—perhaps, replace an operator, add a set of parentheses, or change the cell or range to which the formula refers. All this is possible. MICROSOFT WORD Microsoft word is Microsoft Office’s word-processing application. It is an extremely versatile program that allows you to create both visually exciting documents that can contain drawings, tables, charts, as well as basic correspondence and reports. Functions that can be performed by Microsoft word 1. 2. 3. 4. 5. 6. 7. 8.

9. 10. 11. 12. 13.

14.

You can open a saved document that is on your disk or your hard drive. You can edit an open document file. You can create a new document file, format it and print it. There is an ‘undo’ feature that allows you to undo any mistakes that you may have made in your document. Some documents are too big to be viewed in the word window. You can insert new text into the existing one. You can save whatever work you have done and name the file according to your choice. Later the file can be sent as an attachment over e-mail or printed to get a hard copy. Another feature is that you can select text, graphics, tables and other information and copy-paste it elsewhere. You can also make desired changes to the selected text alone. Also, you can delete and edit the selection only and not make any changes to the remaining text. Text can be copied onto other files or to another site in the same file. Microsoft word automatically checks the spellings of your text document and underlines it with a wavy line so that you know about it. There is also an in-built dictionary that can automatically correct the spellings. Grammar check facility is also present. Text can be aligned at the left or right margin, evenly justified between margins or centered along a vertical axis. You can also choose to format your text. You can format the font and change the appearance, size, colour and other aspects of the type in your documents. This can be done for the whole text or only selected text. Different sections of the text document can be made to look different by trying different combinations of formatting. There is a facility of including footnotes, which are usually found in a numbered list form, at the bottom of the pages of a document. Endnotes are similar, but are at the end of a document. Word automatically numbers and renumbers footnotes and endnotes when notes are added or deleted from the text.

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15. 16. 17. 18. 19. 20. 21.

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Paragraphs can be quickly indented from the left, using the toolbar buttons. There is a first line indent, hanging indent, left indent and right indent facility in Microsoft word. Page margins can be set and quickly be changed using the ruler on the screen or the can be set to precise locations using the dialogue box. Page breaks can also be used to begin a new page of text before the previous page is filled up. Use the page numbers feature to add page numbers to the top or bottom of your document pages. You can also set different spacing between paragraphs and lines of text. Use the tab facility to precisely, left align, center align, right align or decimal align text on the page. An important and very useful feature of Microsoft word is the facility of drawing tables for arranging numbers in rows or columns. Tables can be formatted with a variety of border and shading styles.

MICROSOFT ACCESS Microsoft office’s database application is designed to create tables, forms, and reports based on records that you create. Access helps to organize this information, and to use it as the basis of queries or searches, which filter the data, is specified ways. Access helps you to manage large amounts of information to show relationships among records. Like all other Microsoft applications, access allows you to arrange your data in visually attractive formats. How you can proceed to use Microsoft access— 1. Each database has a database window that displays the objects, e.g., forms, reports, tables etc. in the currently open database. You can customize how Access display objects in the window. 2. The database window is always open when you are working on it. It can be minimized and other can made prominent. 3. Access menus are context-sensitive i.e., the options on the menu depend upon what you are working on. 4. Database objects can be arranged alphabetically by name, or by type, data created, or data last modified. 5. When you change the default database folder, specify the folder in which access will save the new databases that you create or else access automatically will save it in the default folder. 6. The personalized menus feature places the commands that you use most at the top of each menu and hides the commands that you do not use often. 7. There is a database wizard with which you can create a database. 8. The linking function allows you to operate more than one database at a time. But, whatever database you are linking, should be opened already.

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Simple select queries can be performed on the databases, which return a subset of data from a table. Data can also be edited in Access. You can use the find function to locate data in a worksheet. Filtering allows you to view data, which fulfill a certain condition only. This reduces the quantity of data you are to work on. You can perform the sort function on one field or use the advanced filter/sort on multiple fields. Forms in Access are usually used to provide user interface for the purpose of data entry. Tab controls divide a form into multiple pages. Since access has a directory of names and addresses, a label creating facility is provided. Page numbers can be added to a report.

MICROSOFT POWER POINT This is Microsoft office’s presentation application. It helps you to create interactive, selfrunning, or speaker controlled visual displays. PowerPoint makes use of multimedia technology to include, photographs, drawings, text, graphs, video and audio clips in your presentation. Presentations created in PowerPoint can be used to accompany lectures or as the basis for websites. Power Point can also be used to create 35-mm slides, overhead projections and printed handouts. PowerPoint is an audio-visual program. It can be used to present ideas, sales pitches, budgets, plans, and educational inputs—you name it—to groups of people. In PowerPoint, you create what the program calls slides, but don’t get confused with that term. A slide is simply an image. All the slides can be put together to form a presentation. A presentation is a series of slides whose goal is to dazzle or persuade an audience. As you will see for yourself, when you use the computer, that PowerPoint offers many pre-designed presentations. You yourself don’t have to be an artist to create a professional looking presentation with this program. But, on the other hand, if you are the adventurous kind, you can create a beautiful and stimulating presentations within minutes. This is how you can go about your job— 1. The opening dialogue box displays each time you start PowerPoint. 2. By default, the standard toolbar and formatting toolbar are located side by side beneath the menu bar. You may however move one or both bars by clicking on the two vertical lines at the left of each bar and then dragging the bar to a new location. 3. Most buttons of the two toolbars are similar to the buttons available in other Office 2000 applications. 4. The office assistant will jump into action when it senses that it can help you with a function.

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5.

6. 7. 8. 9. 10. 11. 12. 13. 14. 15. 16. 17. 18. 19. 20.

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Design templates are pre-designed presentations that contain a wide variety of stylish designs such as co-coordinating backgrounds, fonts, colours, objects etc. PowerPoint provides a number of professionally designed templates so that you can focus on your content, rather than the designing. Template designs are applied to all the slides in the presentation. You cannot select more than one template design. However, you can alter individual slides as desired. Slide sorter view displays every slide within a presentation in miniature view. This allows you to see the entire flow of your presentation and also allows you to make some universal changes to all slides or selected slides if desired. Different colours, textures and patterns can be added to the background of one slide, select slides, or to an entire presentation. Changing a default background can create interesting and eye-catching results. The slide layout feature helps you to decide, if you want only text, or pictures with it. You can have the text at a variety of places in the slide. Titles, sub-titles placement can also be decided and added at appropriate places. A header contains information that will appear at the top of a PowerPoint page or a handout. Footer contains information that appears at the bottom of a slide, note page or handout. This can include the date, time, slide number, and/or additional text. The PowerPoint allows you to draw objects using various pre-defined shapes, colours, and effects. The group option allows you to combine several objects into one. The order option allows you to change how objects are layered on a slide by sending them backward or forward in the order. Data can also be displayed in a graphic way, in the form of tables, graphs etc. There is also a facility of displaying organizational charts. PowerPoint provides you with a facility to save your presentation as a HTML document so that it can be used as a web page on the World Wide Web or on the company intranet. There is also a facility of providing a Hyperlink, so that viewers can get connected to other files and related web pages. Transitions are special effects that take place while moving from one slide to the next during a slide show. PowerPoint’s animation feature, allows you to animate the appearance of specified objects and text during a slide show presentation.

MICROSOFT OUTLOOK EXPRESS This is Microsoft office’s scheduling and organization application. It provides you with a calendar, journal, contact list, task list and notes. Outlook also creates and manages e-mail, either through an online service or through a workplace network.

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Outlooks components are fully integrated. For example, you can send an e-mail scheduling a meeting. This will automatically show up on your calendar. Outlook is particularly useful in a networked environment, where it can serve to coordinate the activities of those whose it. It can be used to find mutually convenient times to schedule meetings, for instance, or to assign tasks to team members and track their progress. Here is what all you can do— 1. You can perform simple file management tasks without leaving outlook. You can use the folder list to work with the contents of both outlook folders and any other folders on your hard disk. 2. Use the outlook bar, located on the left side of the outlook window, to navigate between outlook components. 3. Outlook today enables you to see your day or your week at a glance. View appointments, tasks and mail message information all in the same window. 4. You can use the calendar to maintain an appointment book and set reminders to alert you before each appointment. 5. There are some appointments e.g., meetings that recur. Outlook schedules all of them in your calendar. For example, Meeting every Monday at 11 A.M. 6. You can also display the names of holiday in your calendar. 7. You can also print out your schedule for a day, week or month. 8. Outlook enables you to enter address, phone number, e-mail address and other information about your contact. 9. The autodial facility allows outlook to dial the telephone number of your contact for you. It can also automatically create a journal entry to record information about the phone call. For example, contact name, length of call. 10. Create a list of the phone numbers that you most frequently call using the outlook autodial feature. You can have outlook call a contact in the speed dial list from anywhere in outlook. You do not have to return to the contact window. 11. You can create and name a distribution list of multiple e-mails and fax addresses. This can help you to send one mail to the entire group of recipients. 12. You can create and send a new e-mail message to an individual contact also. Copies can be sent to a selected few. 13. When you receive an e-mail, and you would like to send the same to one of your contacts, you can use the forward mail function and type out the desired recipients e-mail ID. 14. A recurring task is a series of repeating action items. For example, Submitting a status report every two weeks or calling a contact every six months. You need only create a single recurring task. Outlook will take care of creating the next tasks as needed.

CHAPTER

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SEARCH ENGINES WHAT IS INTERNET? The term Internet has been coined from two terms— ‘Interconnection’ and ‘network’ A network is a simple collection of a group of computers that are connected together for sharing information and resources. Several such networks have been joined together across the world to form what is called the Internet. Thus, it is a network of networks. The Internet comprises of millions of computers connected together by different means. Nobody owns the Internet. Although there are organizations that help manage different parts of the networks, there is no single governing body that controls the Internet’s functioning. The users of the Internet are a varied lot ranging from researchers to bored 5 yearolds looking for entertainment. As a research tool, it is incomparable. Using Internet, any business organization can watch its competitors more closely. New customers can be found and existing customers can be better supported. Many online shopping malls exist on the Internet, where one can place an order for something by just pressing a few keys and some mouse clicking. For individuals, the Internet is a great way to keep in touch with friends or relatives around the world. You can contact them immediately through chat or send e-mail. It can also be used to keep updated on any topic of interest or hobby. As an educational resource, the Internet is virtually limitless. It can also be used as an entertainment media.

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WHAT IS A BROWSER? A browser is software that is used to locate and display web pages. The most popular browsers are— • •

Netscape Navigator Microsoft Internet Explorer

You can see them as icons on your desktop. These are graphical browsers, which means that they can display graphics as well as text. In addition, most browsers can present multimedia information, including sound and video. Searching for information on the Internet There are some special websites on the Internet, which allow you to search for the desired information on the Internet. Most of these sites also group the information available on the Internet under various categories e.g., business, sports, entertainment, etc. These categories are also called subject guides. Subject guides are very useful for browsing general topics. A search engine is a program that searches through a database. Some of the special websites are— • Yahoo • WebCrawler • Excite • Info seek • Alta Vista A search engine maintains a database of keywords. When you request the search engine for information, it attempts to locate the specified information in its database of keywords. If the search engine finds a match, it displays these references. Accessing a search engine is just like accessing any other website. For example, you can use the http://www.yahoo. com URL to reach the yahoo search engine. Notice that the available information is grouped under various categories. If you are looking for a general topic, you can start exploring the desired category links. If you are looking for a specific topic, then type the keywords to search in the text box and click in the search button. How to do it? Suppose you want information on ‘calcium’. Take the following steps— 1. 2. 3. 4.

Connect to Internet Start the Netscape navigator Connect to the www.yahoo.com site or www.google.com or others Now you can specify the information to be searched.

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5. Type Calcium in the search text box. 6. Click the search button. The browser sends the typed information to the web server that hosts the search engine. If the search engine was successful in locating the specified information, it will display all the references of calcium. Explanations of some technical terms • URL (Universal Resource Locator): It is a standardized way of representing different documents, media and network services on the World Wide Web. • WWW (World Wide Web): It is a system of Internet servers that support specially formatted documents called web pages. • Web Browsers: They are applications that make it easy to access the World Wide Web. For example, Netscape navigator, Microsoft Internet explorer. • HTML (Hypertext Markup Language): This is a language that helps in creating web pages. It supports links to other documents, as well as graphics, audio and video files. This means that you can jump from one document to another simply by clicking on these links. • HTTP (Hypertext Transfer Protocol): This is a protocol that World Wide Web clients and servers use to communicate. • BPS (Bits per Second): This is called Baud rate; it is the speed at which your modem can transfer data. • Modem: This is a device that enables a computer to transmit data over telephone lines, converting digital signals to analog and vice versa.

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CHAPTER

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THE BUSINESS APPLICATIONS OF THE INTERNET From a business perspective, the Internet means opportunity. The Internet provides many facilities— • It enables companies with avenues to save money • It helps to reduce the costs of procurement • It can help to reduce the communication costs between different organizations and also within the organization • It enables the increase in human resource productivity • It can help to gain new customers • It enables to learn new techniques of quality control • It enables learning of technological developments • It helps to imbibe better financial practices. It opens a world market to both small and large businesses, giving each an equal footing in a new era of electronic trade. In older times, it was not so easy for small business to go beyond their local horizons. The Internet has also stimulated the growth of many support industries that establish, maintain and expand Internet connectivity and assist business in using technology. Forrester Research predicts that the amount of business conducted over the Internet will increase from $150 trillion by the end of 2003 to $200 trillion by the end of 2008. These figures and other researches indicate a strong confidence in the Internet as a business transaction tool. The Internet is an environment where imaginative vision and reality can merge to create unique and unexpected opportunities.

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WHAT IS e-COMMERCE? Electronic Commerce, as it is also known, is a business activity that takes place over the electronic network. Broadly speaking, e-commerce includes transactions that utilize any computing or communication technology. The most well-known and most powerful medium for e-commerce is the Internet. For this reason, e-commerce is sometimes called Internet Commerce or i-commerce. e-commerce has changed the way businesses do business. It is rare to find a company that does not have website. Those who don’t are called Brick and Mortar businesses and those who have an online presence are called Click and Mortar businesses. e-commerce virtually eliminates the barriers of time and distance. It brings the world on your computer. Now, with e-commerce, transactions can occur instantly and globally, saving money for both the buyer and the seller. Business can be taken out of the ordinary workplace, e.g., it is not necessary to walk into a clothes store to buy some garments. You can as well buy it on the Internet. Transactions can take place ANYWHERE. The only requirement is a computer with an Internet connection. Radical changes came to e-commerce when the Internet was opened for commercial use in 1991. At this time, most consumers know little about the Internet, and could hardly even find any use for it. Within the year, however, consumers were looking up the Internet for product information. Now, e-commerce is almost synonymous with the World Wide Web. The growth of one enhances the other. Given below are some advantages of doing business on the Internet that have fuelled the growth of e-commerce. • • • • • • • • • • • • • • •

It provides a global market with no geographical boundaries It gives an access to about 2050 million people Customers have an access to multiple suppliers and prices and goods and services The Internet is available 24 hours a day, 7 days a week An interactive environment minimizes delays You can get immediate feedback from the customers You have access to fast changing information Feedback through supply chain channel is instantaneous It provides customer support It can answer FAQ’s i.e., frequently asked questions It provides the ability to interact with customers, get information, analyze it and react to it It is cost-effective, since it is one-to-one The cost of the middleman is not there. The buyer and seller can meet directly on the Internet The distribution costs are also minimized or eliminated Reduces paperwork, with savings in human resource hours.

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Business-to-consumer e-commerce This can be represented as B-to-C or B2C e-commerce. It consists of the sale of goods to the general public. Goods can be tangible objects such as books, flowers, computers, etc. They can also be intangible services delivered online such as magazines, software, classes, etc. In addition, B2C companies provide services, e.g., financial and investment companies, travel and hospitality companies, etc. Business-to-consumer companies maximize benefits for both the seller and the buyer. Consumers have a wide access to a variety of goods and services without the constraints of time and distance. They can easily compare shops to find the best buy. To attract customers, sellers are now providing services such as access to product reviews, chat rooms, discussion forums, and other product related information. Many companies are using web-tracking technology to determine customer needs and personalize their offerings to match a customer’s profile and needs. Business-to-business e-commerce Only one-fourth of all e-commerce revenue comes from business-to-consumer interactions. Most e-commerce actually takes place between businesses. The tremendous potential of business-to-business e-commerce, also known as B-to-B or B2B, is attracting global attention. It is expanding at a much faster rate than the B2C market. B-to-B includes a number of organizations that provide services to businesses. These range from entirely online services such as those offered by financial institutions to physical services such as warehousing and shipping. Other organizations specialize in providing information resources to businesses. They collect data, organize it, and market it, to aid businesses in their decision making process. MARKET SECTORS AND THE INTERNET The Internet is complementing and supplemeting old businesses and creating new ones. The market sectors most affected most visibly by the Internet are retail, finance, supply chain, media and entertainment. The Internet has itself generated a supporting structure that has become a new revenue generating market. Thus we can see that there are many uses of the Internet. It has become all-pervading and people in business, industry and education as well as professionals are using it in their day-to-day activities, both personally and work-wise. IMPACT OF INFORMATION TECHNOLOGY Information technology is currently taking center stage. The enormous advantages it has in easing the delivery of information around the world, as well as the central role of information

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in the new global economy, means that information technology will shape the dynamics of the new millennium. A popular theory and explanation of the contemporary changes occurring around us is that we are in the midst of a third major revolution in human civilization, i.e., a Third Wave. First there was the Agricultural Revolution, then the Industrial Revolution, and now we are in the Information Revolution. Yet are we, in fact, in the middle of a revolutionary jump? Are we seeing and living through a continuous or a discontinuous change in human society? And even if the present era embodies a fundamental change, is the rise of information technology and all its associated effects the key dimension of change in this fundamental societal transformation? Information and communication technology and a worldwide system of information exchange has been building growth for over a hundred years and physical technology and industry is not slowing down in growth – rather it is accelerating. Society is, in fact, transforming in a fundamental way, but the Information Revolution is only part of a more general phenomena involving multiple and interdependent causes, including human values, ways of life, culture, science, politics, and economy. This holistic revolution is creating chaos, unrest, numerous social problems and a reorganization of human life. Economy, society, education, religion, psychology, science, and technology are all changing, since they are all reciprocally interconnected. Information technology (IT) is playing a crucial role in contemporary society. It has transformed the whole world into a global village with a global economy, which is increasingly dependant on the creative management and distribution of information. Globalization of world economies has greatly enhanced the values of information to business organizations and has offered new business opportunities. Today, IT provides the communication and analytical power that organizations need for conducting trade and managing business at global level with much ease. To coordinate their worldwide network of suppliers, distributors and consumers, organizations have developed global information systems that can track orders, deliveries, and payments round the clock. This has been possible because of the development of IT in its present form. In the broadest sense, information technology refers to both the hardware and software that are used to store, retrieve, and manipulate information. At the lowest level you have the servers each with an operating system. Installed on these servers are things like database and web serving software. The servers are connected to each other and to users via a network infrastructure. And the users accessing these servers have their own hardware, operating systems, and software tools. Also known as information and communication technology (ICT), it is defined as the technology required for information processing. In particular, the use of computer and computer software to convert, store, process, transmit, and retrieve information. The information society has passed through four transformational stages of development, the most radical stage starting at the tail end of the twentieth century. This stage has brought a never-ending revolution, particularly with the introduction of information and communication technologies.

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During this period, there have been unprecedented developments, profoundly affecting the social structure – the decline of manufacturing sector as compared to the prospering information-rich service sector is one example of such developments. India is moving fast towards becoming an information society as the Government of India is paying due attention to the use of information technology (IT). The Prime Minister of India constituted a National Task Force on IT and Software Development in May 1998 with the purpose of formulating a long-term National IT Policy to convert India into an IT software superpower. These steps are helping India to shift from an “economy of goods” to a “knowledge economy” or “knowledge driven economy.” The beginning of the knowledge society has been made through creation of parks and corridors, and the Prime Minister has given a mission of converting India into a “knowledge society” by the year 2008. Today, India is one of the largest exporters of knowledge workers. IMPACT OF INFORMATION TECHNOLOGY ON SOCIETAL DEVELOPMENT A society can also refer specifically to any group of people, other animals and/or plants and the interactions within that group. This can be anything from a small neighbourhood to the entire global community. Religion, ethnicity, interests, political opinions or other relating factors may help form a group of people. Society can be defined as “a community, nation, or broad grouping of people having common traditions, institutions, and collective activities and interests.” Technological developments which have occurred in information technology have influenced a “broad grouping of people” in their “common traditions, institutions and/or collective activities.” This broad grouping of people primarily occurs in the industrialized world of where “information technology” is commonly available. We shall use the common traditions, institutions and collective activities and interests as the basis for our examination of the impact information technology has had on society. We shall also integrate this examination with the impact of how information technology has changed the “way we work.” This integration will occur in two areas of the analysis of society, first the institutions and second the collective activities of the society. COMMON TRADITIONS In the context of this report it is helpful to highlight a difference between “traditions” and “activities/interests.” Tradition can be defined as the following: “An inherited, established, or customary pattern of thought, action, or behaviour (as a religious practice or a social custom). Cultural continuity in social attitudes, customs, and institutions.” The influence of information technology on religious practices has mainly been to the effect of making information about them more accessible. The most relevant question though

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is whether the developments in information technologies have influenced the continuity of social attitudes, customs or institutions. CULTURAL CONTINUITY Social attitudes have changed in that citizens of a society now expect the various elements of that society to be better informed than previously. They also expect to be able to access more information about a specific product, service or organization so that they can make informed decisions with regard to their interactions with that entity. Governments The government of a nation is comprised of many varied institutions. However, developments in information technology have helped governments to improve their “service” to their citizens. Information technology has also had a major impact on the defense capabilities of governments. This covers both a government’s capability to wage war and their intelligence gathering capability. Advances in weapons technology and weapons design have increased the effectiveness of various governments’ armed forces. For example it would have been impossible to design aeroplanes such as the B2 Bomber if it were not for the advances made in information technology. The B2 bomber relies on a “continuous curvature” design to minimize radar signature. It would have been impossible to design or build this machine without the development of computer modelling techniques. Governments also have had to become more careful with their sensitive information. Commercial businesses The advances in information technology have heavily influenced commercial businesses in several areas. The most important role of information technology in a commercial business, however, is to provide a commercial advantage. Advances such as computer-aided design, relational database technologies, spreadsheets and word processing software provide a commercial benefit to the business, as does automation of manufacturing processes. Advances in information technology over the last thirty years have lead to the television, for example, being more widely used today than thirty years ago. The introduction of transistor-based televisions reduced costs while increasing reliability. News & media organizations Due to the nature of news and media organizations, information technology has particular relevance to them. As noted earlier, “Information technology is the technology used to store, manipulate, distribute or create information.” News and media organizations are intimately acquainted with each of these elements of information technology. Educational organizations The developments that have occurred in information technology have had many influences

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on educational establishments. The distribution of information is not the only concern of educational establishments. For example, one of the aims of universities is to create information. This creation is often done by research. Information technologies have enabled researchers to access a wider source of information than previously available through such technologies as the Internet. The original Arpanet was set up primarily to assist research. The Internet and other related technologies, such as electronic mail, enable collaborative projects to be undertaken between geographically distant groups. Collective activities and interests The influence of information technology on the collective activities and interests of a broad range of people is also considerable. The phrase “collective activities and institutions” has a wide scope which can be divided into two main areas: 1. 2.

Work processes, Social.

IMPACT OF INFORMATION TECHNOLOGY AND ELECTRONIC GOVERNANCE e-governance is the effective way of governance utilizing IT to enhance efficiency of government offices. The Government of India is devising new policies to envisage a SMART – simple, moral, accountable, responsible, and transparent governance to bring nationwide reforms. The customs department plans to use electronic data interface (EDI) to handle all transactions relating to custom duties more efficiently, for which initiatives have been taken by National Informatics Center (NIC). Other areas of computerization include railway and air reservations, allotment of permanent account numbers (PAN), processing of passports, results of examinations, vigilance information, etc. The income tax department has introduced an online tax accounting for collecting the income tax by RBI and 31 commercial banks throughout the country from 1st June 2004. IT policy and emphasis on e-governance e-governance attempts in the country started with a bang. The initial impetus came from the Ministry of IT, which produced a concept paper, emphasizing the method by which the state has to deliver its services in the information age. The world envisages a SMART government and promises to establish the required institutional mechanisms to facilitate initiatives towards synergic utilization of IT to enhance effectiveness of governance. NASSCOM conducted a survey of ten leading states (Andhra Pradesh, Tamil Nadu, Karnataka, Maharashtra, Madhya Pradesh, Kerala, Uttar Pradesh, Rajasthan, Gujarat and West Bengal) and pointed out that all these states have an IT policy, expert group, e-governance cell, and some even have a separate IT department. Some of them have also included specific policy measures that not only aim to facilitate IT investments in the state but also focus on using IT for governance-related issues.

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IT budget and e-governance funding Initially, IT budgets of Indian states have been very low, however, during the last half decade, the budgetary support for IT projects has shot up. A NASSCOM survey of the ten states for 2002-2003 revealed a total allocation of about Rs. 3 billion. Kerala topped the list with an allocation of Rs. 964.2 million, followed by Andhra Pradesh and West Bengal with Rs. 548.3 million and 355.1, respectively, towards IT projects in the states. INITIATIVES BY STATES AND UNION TERRITORIES Technology is playing an important role for the all-round development of the country. In 1988, the NIC set up NICNET, a satellite-based computer communication network connecting 439 cities and towns in India. Most of the states and union territories have taken initiatives in one way or the other. Today, we are all in agreement that the world is becoming increasingly dependent upon technology as is evidenced by the big role it is playing. The Internet has become a major shareholder. All developing nations can derive tremendous advantages from this technology for updating the knowledge of its researchers and scientists. The Indian software and services industry has significantly helped to boost the Indian economy. Society expects to be able to store information more than was previously conceived. Society expects to be able to manipulate the information it has for its own benefit, to increase understanding and discover new relationships. Society expects to be able to distribute information quickly, efficiently and cheaply. The Government of India has been working gradually and successfully towards improving the IT policy climate in the country.

PART 6 GRAMMAR

The ever-quickening pace of business today, leaves no time for anyone to read long, detailed letters, memos, notices and other forms of business communication. It is therefore widely accepted that business writing must be as brief as possible, without being curt, offensive or unclear. Careless or slipshod expressions, besides being ugly in themselves, may lead to difficulties and confusions. Every effort must be made to maintain the highest standard in commercial correspondence and writing. In case mistakes happen, they may prove costly to the organization and may affect the reputation of the company adversely. You all must be familiar with this section of the book, since the contents are not new. You should be well versed in the intricacies of grammar and punctuation. We will briefly recapitulate it for your benefit. Please remember that all this is not a topic in itself. It will form a part of every business correspondence that you encounter.

CHAPTER

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PUNCTUATION On the highway, signs tell you when to slow down or stop, where to turn, when to merge. In a similar fashion, punctuation helps readers to understand their prose. The proper use of punctuation prevents readers from losing track of the meaning. When you speak, the tone of your voice, the gestures you make, and the pauses you insert help your listeners to understand what you are saying. Punctuation tells your readers where one thought ends and where another one begins. It adds emphasis and clarifies things. Writing without punctuation is like raveling from KanyaKumari to Kashmir without any road signs. Imagine the confusion! It is most important to use correct punctuation. Wrong punctuation is worse than using no punctuation at all. 1. The period (.): The period is a terminal punctuation. Most often it is used at the end of a sentence. The period represents the longest pause. It’s uses are as follows— • It is used to end any sentence that is not a question. • It is used with certain abbreviations of words and with initials of a name. • It is used between rupees and paisa in an amount of money, e.g. Perumal has decided to campaign for the post of Chief Minister. Take the packet to the courier. I wonder where the meeting will be held. This book was written by R.K. Narayan. The U.N.O. is an international organization. I spent Rs. 20/- for the book. 2. The exclamation mark (!): These should be used after emotionally charged language. Although it is not used frequently, the exclamation mark can do a great deal to bring life to business correspondence. Strong emotion such as anger, surprise or enthusiasm is expressed in an exclamatory sentence. For example,

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Yes! Radha won the award. Welcome! Cadbury’s will not sacrifice quality for profits! 3. The question mark (?): A question mark is used with any direct question that requests an answer. For example, Are you paying by credit card or cheque? Would you like to have some tea? Do not use question mark for commands phrased like questions for the sake of politeness. For example, Will you send us a cheque today? Will you please return my book? Could you please keep quiet now? 4. Comma (,): A comma has numerous uses. It plays an important role in business writing. A comma separates items in a sentence and helps the reader to correctly interpret each thought. By learning where to place commas you will become a more effective business writer. Too few or too many commas can hamper correct understanding. Consider this. There are no commas. For example, After you have eaten the leftover sambar vegetables rice and chutney should be kept in the refrigerator. Corrected version. After you have eaten, the leftover sambar, vegetables, rice and chutney should be kept in the refrigerator. Consider this. There are too many commas. For example, Keep the paper, pens, pencils, rulers, and erasers, back, into the, box, and close it, tightly. Corrected version. Keep the paper, pens, pencils, rulers and erasers back into the box, and close it tightly. Be sure to justify each comma you use. The following uses of a comma can be understood: • Commas separate items in a sentence. For example, He took the job, learned it well, worked hard and succeeded. • A comma is used when a dependent clause introduces an independent clause. For example, Before you leave, please verify your address. After we receive your cheque, we will process your order. No comma is needed if the dependent clause does not introduce the independent clause. For example,

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Please telephone Mr. Singh if you would like more information. Contact the officer-in-charge for details. • Commas are used with calendar dates. A COMPLETE calendar date consists of a month, a day, and a year. Whenever a complete calendar date occurs within the body of a sentence, the year is set apart from the rest of the sentence by commas. Incomplete calendar dates require no commas. For example, On July 15,1965, the time capsule was sealed. • When two independent clauses are joined by a conjunction, place a comma before the conjunction. For example, The painting is attractive, but it does not suit my office. The natural beauty was breathtaking, but they longed for the city buzz. • A comma replaces the word ‘and’ between adjectives. For example, Rekha is a caring, sincere and loving parent. Notice the difference between the three sentences. 1. We arrived on a dark cold stormy night. (No punctuation) 2. We arrived on a dark cold and stormy night. (No punctuation) 3. We arrived on a dark, cold and stormy night. (Correctly punctuated) • Use commas with complete geographical locations. When a COMPLETE geographical location occurs within a sentence, the name of the state, province, or nation is set apart from the rest of the sentence by commas. When an incomplete geographical location is named in a sentence, no commas are necessary. For example, The convention will be held in Chennai, Tamil Nadu, next year. The convention will be held in Chennai next year. • Parenthetical Expression- When one or more words interrupt the flow of a sentence, a parenthetical expression is created. The expression is separated from the rest of the sentence by commas, both before and after. For example, The review was, to say the least, favourable. The operation will, therefore, be postponed. • Commas are placed before and after non-essential elements. Words, phrases or clauses that are not essential to the meaning or structure of a sentence are considered non-essential elements. To determine if an item is non-essential, omit it from the sentence. If the meaning and structure of the sentence are complete without the item, it is considered non-essential. For example, My oldest son, Kshitij, ran in the All-India marathon. Your favourite fruit, the mango, is very expensive this season. • A comma follows an introductory word. The introductory word is the first word in a sentence, which leads the reader to the independent clause. It is separated from the clause by a comma. For example,

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Obviously, he is not suited for the job. Generally, they are warm people. Unfortunately, the breeze blew the clothes away. Luckily, the train came on time. Yes, Mr. Senthil was employed as a clerk at our office. Currently, I am studying at Ethiraj College. • Transitional Expressions: A word or a phrase that links sentences or independent clauses is a transitional expression. When a transitional expression is used to link two sentences, a comma follows it. For example, Your latest catalogue had not yet arrived when we placed our order. As a result, we were unable to use the new price to calculate the total cost of our order. • Commas separate items in a series: When three or more words, phrases, or clauses are taken as one unit to form a subject, a series is formed. The final item is usually set apart from the others by the word ‘and’ or ‘or’. For example, Dot Matrix, ink jet and laser are types of computer printers. Sanjiv bought shirts, shoes, socks and ties to complement his new suit. You can have fruits, vegetables, curds or buttermilk. If Shanti wants cups, saucers, or spoons, I can lend them to her. 5. Semicolon (;): The semicolon is used to separate. It may also be used to join. It is an important punctuation and the reader would do well to be acquainted with its usage. • A semicolon separates two independent clauses when they are closely related. For example, The manuscript is due within a week; the book itself will be published at the end of the month. You type the letter; I will post it. Please dispatch the goods at once; we must meet our deadline. • A semicolon is used in a series for clearer understanding, especially when the series becomes too long. Both the cases are illustrated. For example, There is no semicolon. Our Indian offices are in Mumbai, Maharashtra, Chennai, Tamil Nadu Hyderabad, Andhra Pradesh, Bangalore, Karnataka, and Bhopal, Madhya Pradesh. Corrected version. Our Indian offices are in Mumbai, Maharashtra; Chennai, Tamil Nadu; Hyderabad, Andhra Pradesh; Bangalore, Karnataka; and Bhopal, Madhya Pradesh. You can see that better understanding is possible in the second case.

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• It can be used to separate independent clauses when the second one begins with a word such as however, therefore or a phrase such as for example, in that case, on the other hand. For example, His test scores were quite low; on the other hand, he has a lot of relevant experience. She sits quietly in class; therefore the teachers use her as a role model. 6. Colon (:): A colon is often used as a clue to the reader that a list, an explanation or an example will follow. The items following the colon may be in words or in complete sentences, in paragraph form or in a list. • A colon is used before an explanation. For example, Meena’s reason for missing the bus was simple: She got up late. • A colon is used before illustrating an example. For example, This is how you can learn to cook: Buy a cookbook, collect the ingredients, and follow the instructions. • It is used to separate two contrasts. For example, We make plans: the insincere workers sabotage them. They washed the dresses; their children promptly dirtied them. • A colon is used before listing in a paragraph form. For example, Several factors influenced our decision: finance, personnel, space and equipment. • The colon has several other applications that usually occur in business writing. For example, Use Ratio References Salutations Time

Example 15:1 (15 to 1) 17:55-62 (Volume: page number) Dear Mr. Das: (mixed punctuation) 4:45p.m. (Hour: minutes)

7. The dash (--): The dash is a strong punctuation. Because of the impact it creates, it should be used less frequently than other marks of punctuation. When typing a dash, type two hyphens with no spacing before, between or after. It is used in different situations. For example, • A dash is used to show a sudden change in thought. For example, I was angry--but why rake up the past now? • A dash places emphasis on what is going to follow. For example, The response to the advertisement has been excellent--much better than we expected. • A dash is used to summarize several subjects, all belonging to the same verb. For example, Rich and poor, old and young, high and low--our products cater to all of them.

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Sometimes, dashes or brackets set off words in explanation. For example, Everybody--the spectators, the umpire, the opposition--applauded Sachin Tendulkar’s batting.

8. The hyphen (-): The hyphen is used to bring things together, to show that two items are related. Because the purpose is to join, there is no space before or after a hyphen. There are many uses of a hyphen. For example, • The hyphen is used to join prefixes and suffixes to root words. A prefix is a syllable added to the beginning of a word; a suffix is added to the end of a word. For example, Post-dated Ultra-ambitious Pro-Indian Anti-inflammatory Hold-up Take-off • To form compound words. A compound word is two or more words used as one. Compound words may be nouns, verbs or adjectives. For example, Tax-free bond Time-consuming task Able-bodied person Well-organized proposal One-third Brother-in-law Maid-servant • It is also used to join letters and numbers in a range. It is used between the first and the last letters or between the high and the low numbers in a range. The hyphen indicates that the items are related and takes the place of to or through. In printing, however, these are slightly longer and are known as ‘en dashes’. For example, The range of scores for the first test match was 51–93. The temperature during the day varied from 23–41 degrees Celsius. The seminar will be held in August 2003 in Mumbai. I have read A–Z of the British Encyclopedia. 9. Ellipsis points (… ABC…): An ellipsis is an omission of words from a direct quote. As you prepare business messages, you may find it necessary to include only part of what another person said or wrote. When this occurs, use ellipsis points. Ellipsis points are a series of three periods separated from the quote and from each other by one space. When the ellipsis occurs at the end of a sentence, the ellipsis points follow the period. Ellipsis points are used in business correspondence and

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advertising to indicate a pause. For example, in an advertisement for FM Radio: “Are you listening…?” In other forms of business writing, ellipsis points are used to indicate that words have been omitted from a direct quotation. For example, In your letter of July 8, 2003, you stated, “…the deadline for payment was July 7, 2007.” Kanya choked on her tears as she made her acceptance speech. She said, “ I am truly honoured….” 10. Parentheses ( ): Parentheses, like commas, may be used to separate certain nonessential information from the rest of a thought. The information that they contain may be so unimportant so as to omit it altogether and not suffer any loss in meaning. Names, dates, time, amounts, references, abbreviations, area codes, phone numbers and addresses are just a few of the items that can be enclosed within parentheses. There are certain rules to be followed when you use parentheses: • Both left and right parentheses must be used. For example, Whites Drycleaners (WD) accept clothes till 6 p.m. ABC Ltd., (Booksellers and Publishers), have opened their new shop. • Commas, semicolons, periods, or other punctuation marks should be used as needed within the parentheses. For example, The welcome drink will be served with a baked potato, broccoli with cheese sauce (or, if you prefer cream sauce), and a colourful fruit garnish. The books (all pertaining to astrology) were piled on the table. • The presence of parentheses should not affect the use of punctuation elsewhere in the sentence or question. For example, After she retired (lucky woman!), Nikita moved to Kolkata. 11. Quotation marks (“ ”): Quotation marks may serve different purposes in business communication. They are also called inverted commas. • They are used to indicate that the writer is using the exact words of another individual. The length of the direct quotation depends on whether it will be set off by quotation marks or emphasized in a separate, indented paragraph. If the quoted material occupies more than 4 typed lines, it should not be displayed in quotation marks. A quotation of this type should be displayed as a separate, single-spaced paragraph and should be indented on the left and right sides. This indented format, together with information about the source of the material, makes quotation marks unnecessary. For example, “I would like to handle this account, myself,” said the chairman. In his book, “First Things First” Stephen R. Covey says: One of the best ways to strengthen our independent will is to make and keep promises. Each time we do, we make deposits in our “Personal Integrity Account.” This is a metaphor that describes the amount of trust we have on ourselves, in our ability to walk our talk. It’s

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important to start small. Make and keep a promise—even if it means you’re going to get up a little earlier in the morning and exercise. Even if it means you’re not going to watch television tonight. Even if it means you’re going to subordinate taste to nutrition for a week. Be sure you don’t violate that commitment and be sure you don’t over promise and under deliver. Don’t risk making a withdrawal from the Personal Integrity Account. Build slowly, until your honor becomes greater than your moods. Think carefully about the full reality you’re in, and based on that careful thought, move into it and say, “I will do this.” And then, no matter what, do it. Little by little, your faith in yourself will increase. And if the thing you’ve committed to do is principle-centered, you gradually become a little more principle-centered. You keep the promise to yourself, and your own Integrity Account goes up. •

Quotation marks are used to identify literary and artistic works. They can also be used to enclose the title of a song or the title of a television or radio show. For example, Chapter 8 in Business Communication is “Punctuation.”

Star Plus recently announced that they would be showing reruns of the popular serial “Saans” daily at 11p.m. • A quotation mark is used to emphasize words or phrases that are unique or have a special meaning in a particular message. If the words of phrases are special, consider displaying them within quotation marks. Humorous items, definitions and technical terms, which are used in non-technical writing, can be displayed within quotation marks. However, if words are displayed too frequently within quotation marks, the benefits of the display are lost. For example, “Shorty” is an unlikely nickname, since he is six feet tall. Is the word “data” singular or plural? “Net Profit” refers to the profit after reducing tax. • The titles of books, magazines, etc., are enclosed within inverted commas. For example, “The Power of Positive Thinking” is a very popular book. Some guidelines in using quotation marks— 1. In all cases, quotation marks are used in pairs. 2. Punctuation may be included in a quotation. If the quote is taken from a printed source, the punctuation should be included where the original author inserted it— even if it is incorrect. 3. Direct quotes that occur in the middle or near the end of the other statements or questions are introduced by either a colon or a comma. 4. The ending punctuation may be placed before or after the quotation marks, but never in both places. When there is confusion, use the stronger punctuation. Exclamation marks are the strongest, followed by question marks and periods. For example,

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Punctuation Mark Period Comma Colon Semicolon Question mark

Placement Inside quotation marks Inside quotation marks Outside quotation marks Outside quotation marks Inside, if the quotation is a question. Outside, if the entire item is a question.

12. Apostrophe (’): An (’) apostrophe is used within a sentence to bring clarity, variety and emphasis to writing. As you write letters, memos, and reports, you will use the apostrophe in three ways. • An apostrophe is used in place of omitted letters in contractions. A contraction is a combination of two words in a shortened form. An apostrophe is used to signal the omission of one or more letters in the contraction. If you are unsure about when to use an apostrophe, remember this: A contraction always has an apostrophe. There are several contractions that, when spoken, sound the same as possessive pronouns. These are listed in the following table of potentially confusing words. For example, Doesn’t for does not He’ll for he will She’ll for she will We’ll for we will Can’t for can not Won’t for will not Word

Meaning

Its possessive form of pronoun ‘it’ It’s contraction of ‘it is’ Their possessive form of pronoun ‘they’ They’re contraction of ‘they are’ Theirs possessive form of pronoun ‘they’ There’s contraction of ‘there is’ Whose possessive form of pronoun ‘who’ Who’s contraction of ‘who is’ Your possessive form of pronoun ‘you’ You’re contraction of ‘you are’ • An apostrophe is used to show possessives. A possessive shows ownership. Both nouns and pronouns may be expressed as possessives. The apostrophe is either

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placed before the s (’s) or after the s (s’) depending on the noun. The context of the sentence will often provide a clue to placement of the apostrophe. For example, A week’s wages Two weeks’ wages A customer’s views A customers’ views • An apostrophe is also used to form the plural of letters and figures. For example, Dot your I’s and cross your t’s. I discussed this matter with a number of M.L.A.’s. REVIEW QUESTIONS 1. 2. 3. 4. 5.

List two ways in which a colon may be used; give an example of each. What are ellipsis points? Explain how the use of a hyphen differs from the use of a dash. List three ways in which the period is used in business writing. What is a comma? Explain its use with examples.

Carefully read each item below. Insert the terminal punctuation that would best suit each situation. Choose between a Period, Question Mark, or an Exclamation Mark. 1. 2. 3. 4. 5. 6. 7. 8. 9. 10.

Thank you for bringing the error to our attention Where is the Prime Minister’s office Will you please be sure Lalita gets the file before noon You’re our best sales representative Ramesh has agreed to chair the committee Your order has been shipped on March 27 The fire alarm is sounding When will your book be ready for publication When will R.G. be released from hospital Act now

Read each sentence below and insert commas where necessary. 1. The person we hire must be a poised confident individual. 2. A file cabinet an executive desk and three reclining chairs were to be arranged in the office. 3. The house has a new roofing new carpeting and a fresh coat of paint. 4. Pascal Basic and C are computer-programming languages. 5. The script calls for natural entertaining actors.

Punctuation

6. 7. 8. 9. 10.

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The successful applicant must be a proficient typist an accurate proofreader and a cooperative worker. Rajshri and Mohan named their triplets Deepa Geeta and Meeta. People attending the concert may park in Lot A D or F. The clean basic lines of the design give the garment its appeal. Your resume should include information about your work experience your educational qualifications and your activities.

Insert commas and semicolons where necessary in each of the following sentences. 1. 2. 3. 4. 5. 6. 7. 8. 9.

Polyester was popular in the 60s today buyers prefer natural fibers. Word processing has increased our ability to produce written messages rapidly yet the demand for office personnel has not declined. Jayalakshmi is 18 her brother is older. The chairs were the wrong colour the style was ideal. After lunch proofread the document print it and deliver it to the vice president. Neena was disappointed by the tone of Seth’s remarks and she asked him to take a more positive approach to the issue. Because he did not want to miss any calls Prasad bought a cellular phone and printed both its number and his desk phone number on his business card. The train will arrive at 9 p.m. today it will depart at 4 p.m. tomorrow. When Archana phones tell her that Puja has accepted the position and will begin work on Wednesday July 7.

Add quotation marks wherever necessary. 1. Did the shopkeeper shout Goodbye! Or Good Buy! 2. The sign on the boat read, for Sale. 3. Everyone on the plane laughed when the youngster yelled, Are we there yet? 4. Why are people who live in India called Indians? 5. Mr. Singh asked me, why don’t our workers come to the factory on time?

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CHAPTER

2

PARTS OF SPEECH Every word in a sentence has a use or function. Once you know the function of words, you will be able to select the right word for your business correspondence. This, in turn, will help you to communicate your ideas more effectively. People will be able to understand what you want to say. The parts of speech are detailed as follows— 1. Noun: A noun can be the name of a person, place or thing. They include things that you can see or touch. For example, car, building, apple, Srinivas. Basically nouns can be classified into 4 groups: • Proper Nouns: This is the name of a particular person, place or thing. They are written with a capital letter. For example, Taj Mahal, Moorthy, Mumbai. • Common Nouns: These identify a general class of persons, places, things or ideas. They are not capitalized. For example, city, road, manager, happiness. • Abstract Nouns: These give a name to a quality or a state of being. For example, patience, charity, birth. • Collective Nouns: These denote a grouping of people, places, animals or things. For example, A crowd of people, A herd of cattle, A set of pens. Here are 3 sets of common, proper and collective nouns for comparison. Common city flower company store

Proper Chennai Jasmine Hindustan Lever Globus

Collective a bunch of flowers a group of companies a chain of stores

Plural forms of nouns Nouns can be either singular or plural. There are different ways to change singular nouns

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to their plural form. The most common way is by adding an ‘s’ or ‘es’ to a noun. Some have been done for your understanding— Singular noun

Plural noun

Rock Song Tax Speciality Cargo Shelf

rocks songs taxes specialities cargoes shelves

A few nouns form their plural by changing the vowel in the singular. Woman Tooth Mouse Parenthesis

women teeth mice parentheses

In compound nouns, s is added to the principal word to form the plural. Son-in-law Editor-in-chief

Sons-in-law Editors-in-chief

Possessive forms of nouns A noun becomes possessive when it is used to show the ‘ownership’ of an object. Using an apostrophe (’) indicates this. Some situations have been shown for your understanding: 1. (’s) is normally added to the word to show its possessive quality. For example, The man’s car The woman’s apartment The secretary’s desk The company’s assets A day’s work 2. When the noun is hyphenated, add (’s) to the last word. For example, Mother-in-law’s house Mayor-elect’s office 3. Sometimes, to make a singular noun possessive, we only add an apostrophe (’). This is when there are two or more s sounds at the end. For example, King James’ crown Chris’ hair Boss’ house Mr. Charles’ application

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4. Also, in the case of a plural noun, which ends in s, you can form the possessive by adding only an apostrophe. For example, The troops’ food The elephants’ trunks 2. Pronoun: A pronoun is a word that stands for a noun. It saves the effort of repeating the noun again and again. Pronouns help to make reading and writing more attractive. There are six types of pronouns: • A Personal Pronoun is a substitute for a noun that refers to a specific person or object. For example, He is making a speech. It was she. Your application was submitted too late. The car lost its shine. If Rohan hits him, Jagan will call the police. Our summer break comes a week after theirs. • A compound Personal Pronoun has the suffix self or selves. For example, He himself checked all the visitors who entered the cinema hall. The management thinks that he praised himself too much for making that sale. The ladies themselves made all the plans for the trip. Chitra saw herself as the most dedicated mother at the ceremony. • A Relative Pronoun does the work of a pronoun as well as connects two statements. They join two sentences together. They refer or relate to nouns that have gone before. Some of them are—who, whose, whom, which, and that. For example, Srini is not sure for whom he will vote. I climbed into the bus, which left for Rome. Any athlete whose ability is great should try their chance at the Olympics. The salesman who sells the most furniture will win a trip to Goa. Happy is the man that avoids bad company. • An Interrogative Pronoun is similar to Relative Pronoun, but it is used to ask a question. For example, Who told you to use my credit card? Whom do I call? What was the reason for the shouting? Which picture should be used for the advertisement? • An Indefinite Pronoun is used to make a general statement about individuals and objects. For example, Each of the students took careful notes. Nobody saw Mr. Gopal leave the building.

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Is there anything that I can do? One of the commuters left a briefcase in the train. • A Demonstrative Pronoun is used to indicate a specific person, place or thing. For example, These are state-of-the-art CD players. Are those the carpets we ordered? That is the reason why Hema was promoted. 3. Verbs: A verb describes an action or ‘state of being’ of the subject. It is the most important part of speech in a sentence. Every complete sentence must have a verb. Some complex sentences have more than one verb. When you are constructing sentences, remember that you should build each sentence around the verb. Verb types • Action verb: This expresses acts. It adds power and precision to the communication. For example, Sonia organized the party in a beautiful way. The chairman praised the volunteers for their work. Rahul accidentally erased the cassette. The student reported the day’s activities. • State-of-being verb: This expresses the 5 senses. (seeing, hearing, smelling, taste, touch). It is also called a linking verb. It is less powerful and less precise than an action verb. For example, The room smells of whisky. The cake tastes too sweet. Malini is a good servant. Yesterday was a cold and windy day. Preeti looks beautiful today. Rama’s voice sounds melodious. Verb tense This indicates the time the action occurs. There are 2 groups of Verb Tenses—Simple tense and perfect tense. • Simple tense: This includes Past, Present and Future. Past Simple Tense Verb—Indicates an action that has been completed. For example, Akash performed better than Sparsh in sales last month. Akash sold more than Sparsh last month. Mr. Ram travelled to the conference in an automobile. Mr. Ram went to the conference in an automobile.

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Present simple tense verb: Indicates an action that is going on or an action that is continuous or habitual. For example, The medical representatives are displaying their products. Durga Jain, our office manager, edits all outgoing correspondence. Future simple tense verb: Indicates actions that are expected to occur in the future. Future tense is formed by adding auxiliaries like ‘shall’ or ‘will’ before the present tense form of the verb. For example, I will vote on Election Day. You shall rise when the judge enters the room. Will you attend the wedding? • Perfect tense: This shows the action that has been completed at the time the statement is made. It can be Past Perfect, Present Perfect and Future Perfect. Present perfect tense verb: This refers to an action begun in the past and completed in the present. For example, Krishna has repaired our mixie many times. The band has practised long hours for this parade. Those children have dined here for the past 12 months. Past perfect tense verb: This refers to an action that was completed before another event in the past occurred. For example, Krishna had repaired our mixie before we closed that night. The band had practised long hours before the parade started. The children had eaten their dinner before we arrived at the school. Future perfect tense verb: These are used to express an action that will be completed before a stated time in the future. For example, Krishna will have repaired our mixie by the time we close for the night. The band will have practised for the parade long before the sports day celebrations. By the end of the next year, those children would have dined here many times more. Verb voice Voice is the term used to indicate whether the subject is doing or receiving the action. The meaning of the sentence and the emphasis are communicated through the proper use of Verb Voice. The two verb voices are Active and Passive. • Active voice: When the subject of the sentence is performing the action, the verb is in the active voice. In Business Communication, the active voice is generally preferred because it is more direct and concise. The following sentences show how the verbs are used in the active voice. For example, They work for Ashok Leyland. Shyam will audit the books at the end of the year. Tanya is designing a new office for her client.

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Passive voice: When the subject of the sentence receives the action, the verb is said to be in the passive voice. The passive voice is rarely used in business writing. It is used when the subject is unknown or when the writer wants to soften the message to avoid making an accusation. Another use of the passive voice is when you want to emphasize the action rather than the person performing the action. The use of passive verbs is shown in the following sentences. For example, Ashok Leyland had them as its employees. The books would be audited by Shyam by the end of the year. The client is getting a new office designed by Tanya.

Verb mood Communicators use verb moods to express facts, commands or conditions. The three moods are indicative, imperative and subjunctive. • Indicative mood: This is used to make statements or to ask questions involving facts. This is the most common type of mood used. For example, Who do you think will be promoted? The new employee appears to like her job. • Imperative mood: This is used to give commands and instructions or to make requests. For example, Phone Mr. Pathak before you leave. Sit down and discuss your problem. Do your homework. • Subjunctive mood: This is used to express a wish, a doubt or a situation that is not a fact. This mood is not used much in communication. For example, I wish Nandkumar were here. Should Nandkumar arrive, we could go for a movie. If Ramu were here, he would have been a big help. 4. Adjectives: This provides additional information about a noun or a pronoun. It describes a noun. Adjectives are also called modifiers. They answer questions like ‘which one’, ‘how many’, ‘what kind’. For example, An efficient staff Poor you Brisk trade A heavy price Most adjectives can take 3 forms: Simple, Comparative and Superlative. The simple form modifies a noun or a pronoun. It is the form used in dictionary definitions. Use the comparative form while comparing two items. It is formed by adding ‘er’ to a regular adjective or ‘more’ or ‘less’ to an irregular adjective.

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When comparing three or more items, use the superlative form. This can also be used to emphasize a particular quality. If you add ‘est’ to a regular adjective or ‘most’ or ‘least’ to an irregular adjective, you can form a superlative adjective. Simple Hard Safe Dry Happy Costly

Comparative Harder Safer Drier Happier Costlier

Superlative Hardest Safest Driest Happiest Costliest

When the word becomes difficult to pronounce or too long, then one uses ‘more’ and ‘most’ to form the comparative and superlative. Simple Useful Expensive Beautiful

Comparative More Useful More Expensive More beautiful

Superlative Most Useful Most Expensive Most Beautiful

There are some exceptions where the comparative and superlative are formed in a different way. This is because the English language has absorbed several aspects of other languages. Simple Good Bad Little

Comparative Better Worse Less

Superlative Best Worst Least

5. Adverbs: An adverb modifies a verb, or adds to the meaning of a verb, an adjective or another adverb. It answers questions like what, where, why, how, in what manner, or to what degree. For example, Modifying a verb: Our marketing department works efficiently. Sita writes neatly. Modifying an adjective: She was not dependable, although she was highly capable. This pudding is quite sweet. Modifying another adverb: His work was too widely diversified. He did extremely well in his exams. • Notice that most of the adverbs above are adjectives turned into adverbs by adding ‘ly’, which is how many adverbs are formed. For example,

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Adjective Efficient High Extreme Special Official Separate •

Dropping or changing the final letter of the adjective, then adding ‘ly’, forms some adverbs. For example, Adjective Due Busy

•

Adverb Efficiently Highly Extremely Specially Officially Separately

Adverb Duly Busily

Some adverbs do not end in ‘ly’ at all. For example, Often Fast Too Soon Very So Quite

6. Prepositions: This connects a noun or a pronoun to another word in the sentence. They are words, which are found in every sentence. For example, Of To For With At By From About Most of the people you know are happy with their lives. For further information about the package, call Prateek. Is Raju in the garden?

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What are you staring at? The words in bold are the nouns and pronouns that are used with a preposition, and are called it’s object. The correct use of certain prepositions • At, in At is used with places, usually small towns and villages It is used before a definite point of time. For example, The battle was fought at Panipat. He lives at Mehrauli. In is used with countries and large town. It is used before a period of time. For example, He is in England these days. She lives in Mumbai. He will come back in two days’ time. • By, with By is used to express the agent or doer of the action. For example, He was struck by his enemy. The police was attacked by the mob. With relates to the instrument with which the action is done. For example, He killed two birds with one stone. He was struck with a stick. • Between, among Between is used with two persons or things. For example, Divide the shares between the two brothers. The two quarreled between themselves. Among is used when there are more than two people or things. For example, He was standing among the people. The brothers quarreled among themselves. • In, into In is used while speaking of things at rest. For example, She is in hospital. He was standing in the reception. Into is used in speaking of things in motion. For example, They marched into the hall. He jumped into the well. • On, upon On is used while speaking of things at rest. For example,

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He sat on the sofa. The plane landed on the runway. Upon is used for things in motion. For example, The cat sprang upon the mice. I jumped upon my sister. • In, within In means at the end of a future period. For example, I shall be here in two days. Within means before the end of a future period. For example, I shall be here within two days. • After, in After is used to denote some period of time in the past. For example, He returned to New Delhi after a week. In is used to show some period of time in the future. For example, He will return to New Delhi in a week. • Beside, besides Beside means ‘by the side of’ or ‘outside of’. For example, He came and sat beside me. His reply is beside the question. Besides means ‘in addition to’. For example, Besides giving him advice, he also gave him money. Besides men, many women were also present. • Before, for Before denotes a point of future time. It is used both in negative and affirmative sentences. For example, The sun will rise before seven o’ clock. The sun will not rise before seven o’ clock. For denotes a period of future time. It is used in negative sentences. For example, The sun will not rise for an hour. • Since, from, for Since is used to denote a point of time, never a period of time. For example, I have not seen him since last month. I have been staying here since last week. From denotes a point of time. For example, He worked from morning to evening. He will begin school from tomorrow.

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For denotes a period of time. For example, I have not seen her for five days. I have been studying for six hours. Some common words followed by prepositions— • • • • • • • • • • • • • • • • • • • • • • •

Acquaintance with: I have no acquaintance with Radha. Apology for: She offered him an apology for her conduct. Aptitude for: I have a great aptitude for Mathematics. Candidate for: Raman is a strong candidate for the post. Capacity for: You have no capacity for mastering facts. Cause for: There is no cause for anxiety. Cause of: She is the cause of the whole trouble. Claim on: I have every claim on you. Claim to: You have no claim to the throne. Complaint against: I have no complaint against her. Control over: Ganga has no control over his anger. Disgrace to: She is a disgrace to her family. Duty to: We owe a duty to our parents. Heir to: The prince is the heir to the throne. Influence with: I have no influence with the teacher. Interest in: You have no interest in music. Invitation to: She has sent us an invitation to dinner. Limit to: There is a limit to his tolerance. Pride in: She took great pride in her son’s achievements. Progress in: He has made no progress in his studies. Regard for: I have great regard for him. Reputation for: Our company has a reputation for honesty. Subscription to: I have sent my annual subscription to the magazine.

7. Conjunction: They are words, which usually join parts of sentences. They join words and phrases. Conjunctions are different from prepositions in the sense that they are also connectors, but they do not have an object. For example, Because Yet Although If But And

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Until While Either…or Neither…nor Not only…but also I hope it will not rain or snow for the coming parade. Both Pooja and Ankur are working in the same firm. Rajeev was promoted to Branch Manager because he was the best engineer. I like to eat sweets, but they make me put on weight. We waited at the station until the train arrived. Neither Sita nor Gita passed the examination. You can either eat bread or chapatti. Not only must you know how to read, but also know how to write. 8. Interjections: Interjections are words that express no solid information, only emotion. For example, Wow! Oh no! Good! Well, well! Such purely emotional language has its place in private life and advertising copy, but it is not used in more serious correspondence. Interjections are not related grammatically to other parts of the sentence. Most interjections have no meaning if they are taken out of the message context. An interjection is mostly punctuated with an exclamation mark. For example, Ouch! That hurts. My goodness! How can you treat your colleague like that? Wow! That was a beautiful gesture. How sad! He had to leave so early. 9. Articles: The words ‘a’, ‘an’ and ‘the’ are called articles. They are really demonstrative adjectives. ‘a’ or ‘an’ are indefinite articles because they give us no definite knowledge about the person or thing that is being spoken about. For example, a doctor—(can be any doctor) an apple—(can be any apple) When to use ‘a’ or ‘an’? • If the word immediately after the article starts with a vowel, use ‘an.’ For example, An orange, an umbrella, an inkbottle. However, there are some exceptions to this. For example, An heir, an hour, an honest man. This is because the ‘h’ is silent in the pronunciation and the second letter is a vowel.

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• If the word immediately after the article starts with a consonant, use ‘a’. For example, A boy, a horse, a reindeer. • Sometimes a word may begin with a vowel, but it is pronounced with the sound of a consonant. For example, A European, a unicorn, a union. This is because these words begin with a consonant sound, that of ‘yu’. ‘The’ is called the definite article, because it points out some particular person, place or thing. For example, He saw the doctor—meaning some particular doctor I want to eat the grapes—meaning the available grapes. The definite article is also used in the following cases— • When a singular noun is meant to represent a whole class. For example, The cat loves milk. The cow is a useful animal. • With names of rivers, mountains, oceans, mountain-ranges, seas, gulfs, etc. For example, The Persian Gulf The Red Sea The Himalayas lie to the north of the Northern plains. The Indian Ocean • Before the names of certain books. For example, The Bible, The Vedas, The Quran, The Guru Granth Sahib • With a superlative. For example, The darkest cloud has a silver lining. This is the best book amongst all. • Before musical instruments. For example, The flute, the guitar REVIEW QUESTIONS 1. When are pronouns used to replace nouns? 2. What is an interjection? Give an example. 3. Compare the uses of the articles a, an, and the. 4. What is the difference between an adverb and an adjective? Construct a sentence that uses at least one adverb and one adjective. 5. Complete the following sentences by filling in ‘a’, ‘an’ or ‘the.’ 1. Copper is —— metal.

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He is not —— man I saw at the station. ——— Reindeer is a native of Norway. Alladin had ———— wonderful lamp. I first met him——— year ago. The guide knows ———— way. ————— Ganga is ———— sacred river. Yesterday, ———American called at my office. French is —————easy language. He is —————untidy worker.

6. Besides each noun, write its possessive noun. 1. Woman 2. Secretaries 3. Worker 4. Priti Balakrishnan 5. Editor-in-Chief 6. Children 7. Daily Times 8. Nobody 9. Desks 10. The Gopals 7. Underline the correct pronoun in each case. 1. (We, Us) sales representatives are overworked. 2. (Who, Whom) do you trust to do a good job? 3. Just between you and (I, me), the pay is poor. 4. The programmer (who, whom) is selected will really have to work hard. 5. It’s (he, him) who should get the raise. 6. The best positions went to Jayalakshmi and (she, her). 7. He turned as large a profit as (I, me) did. 8. I’ll give the assignment to (whoever, whomever) isn’t busy with another one. 9. (Who, Whom) will you talk to? 10. Give Jamal and (I, me) that office. 8. Review possessive nouns. Then underline the correct option in each case. 1. (Its, It’s) imperative that we close the office today. 2. Maruti and Ford have changed the design of (there, their, they’re) brakes recently. 3. (Your, You’re) mistaken if you think that I will budge on this issue. 4. Take note of (your, you’re) mistakes.

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5. 6. 7. 8. 9. 10.

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It is (our, are) conviction that we can climb the highest peak. Always be sure that (your, you’re) employees understand what is expected of them. Do you know what (there, their, they’re) planning for the sales meeting? Give each secretary a copy of (her/his, their) schedule. If (its, it’s) warranty has not expired, we will not charge you for fixing it. In (its, it’s) final clause, the contract mentions about punctuality requirements.

9. Review adjectives. Then, for each simple adjective in parenthesis, give the most appropriate form, in the space provided. 1. Of the four, Suresh’s sales record is (good). 2. Which painting is the (large) of the two? 3. Inspect our ten branches before choosing the (promising) one. 4. Having lifted both, I can pick out the (heavy) one. 5. After tasting the chocolates, you can pick out the (good) one. 10. Review adverbs. Then turn these adjectives into adverbs. 1. Intense 2. Poor 3. Real 4. Full 5. Complete 6. Whole 7. Busy 8. Secondary 9. Due 11. Review prepositions. Then underline all the prepositions in the following sentences. 1. Providing a few free samples of LEO Coffee, created better sales in many areas. 2. He brought with him the habit of using instant, fast food. 3. If the right people are informed of your offer, word of mouth advertising will take care of the rest. 4. The management will meet behind closed doors for several reasons, none of which are secret. 5. She will definitely meet you by Friday. 12. Review prepositions. Then choose the correct options from the choice given in the bracket. 1. He was placed (between, among) two girls. 2. She comes (of, from) a noble family. 3. The soldiers marched (in, into) the courtyard. 4. He was standing (among, between) his subordinates. 5. He is true (to, with) his friends. 6. He was struck (with, by) a stone. 7. I differ (with, from) you on this point.

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That edition is very different (to, from) the other. He is not suitable (to, for) this post. She was struck (with, by) lightning. I am sick (with, of) idleness. Distribute the mangoes (among, between) the students. Do not translate word (by, for) word. The train is (behind, after) time. We must enquire (into, about the matter). He is married (to, with) his cousin. Someone is knocking (at, on) the door. What is the time (in, by) your watch? He is not (at, in) office just now. He congratulated me (for, on) my success.

13. Beside each word below, write ‘C’ for Conjunction; ‘A’ for Article; or ‘I’ for Interjection. 1. The 2. Although 3. Oh no! 4. But 5. Because 6. An 7. Good! 8. If 9. Unless 10. And

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CHAPTER

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STYLE IN BUSINESS WRITING The word style is used in different ways in business writing. A person’s ability to organize and express ideas is called style. The format of a letter, memo, or report may be referred to as style. Reference manuals are sometimes called style manuals. In this chapter, the term ‘style’ is used to refer to the basic rules for number display, Capitalization, Word Division and Abbreviations that apply to business writing. Writers should be highly concerned about correct usage as they are about their basic writing skills. Correct usage is usually called “Mechanics”. Mechanics and good writing skills usually work together for a number of reasons. The main reasons are— • • • •

To minimize the number of distractions in a message To bring consistency in communication To reflect well on the writer and the organization To have a positive effect on the reader.

Writing mechanics demonstrate the writer’s polish and reflect on the company’s professionalism. Mechanics will be dealt with under four sections. 1. Capitals: Early in your education, you must have been taught to capitalize the first letter of a sentence. There are, however, numerous other places where we use the capital letter. • The first letter of the first word of a sentence starts with a capital letter. For example, Our conference is being held in Pune. Please find out the recipe for chocolate cake. • The first letter of the first word of a direct quotation starts with a capital letter. For example, According to the Prime Minister, “The nation should exercise restraint in creating communal tensions.”

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• Capital letters are used to start proper nouns and adjectives derived from them. For example, Our office is opening a branch at London. We presented a bouquet to Ram, who was recuperating in hospital. Malini owns an ancient Chinese carpet. I like Chinese food. • Names of Religious Sects, Political Parties, Subjects, Languages, Places, Rivers, Mountain ranges, Gulfs, Titles of Books, Names of Languages, etc. should start with a capital letter. For example, Sonia Gandhi is the leader of the Congress party. The snow-capped peaks of the Himalayas are a beautiful sight in winter. The Ganges is a well-known river in India. Jesus Christ started Christianity. Jeffery Archer has written “Kane and Able”. Statistics is my favourite subject. • Names of Dynasties, Buildings, Ships, Planes, etc. start with a capital letter. For example, The Rajdhani Express is a premier train of India. The Concorde was one of the finest planes that France has produced. The tragic story of Titanic has been turned into a lovely film. Shiva is a revered deity among the Hindus. The Mughals built the Red Fort. • All nouns and pronouns referring to God start with a capital letter. For example, Muslims pray to Allah. Shivratri is a holy day for Hindus. • The pronoun ‘I’ and the interjection ‘O’. For example, I am a good girl. O God! • All the words in a heading except articles, prepositions and conjunctions. For example, The Role of Banking in India’s Developing Economy. The Power of Positive Thinking. • Capital letters are used in Abbreviations of Degrees, Personal Titles etc. For example, My son is highly qualified. He has done his B.E. and M.B.A. I would like to become an M.P. • All words used as a form of address start with a capital letter. For example, Dear Sir. Respected Madam.

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• The complementary closing of a letter, starts with a capital letter. For example, Your’s truly Your’s faithfully. • The first word after a colon should start with a capital letter, if it begins a complete sentence, otherwise not. For example, Follow this rule: When in doubt, leave it out. • The names of Domestic and Foreign Government Agencies, units and organizations are capitalized. For example, Environmental Protection Agency World Health Organization The United Nations Organization Department of Finance • Time as in Date, Holidays, Seasons and Religious Days are capitalized. For example, Winter Carnival Spring Easter Thursday, February 3 2. Abbreviations: Abbreviations are a simple way to save time and space in business writing. Their use should be limited, however, to those that the reader will recognize and understand. If an abbreviation is to be used again and again within a letter or a report, the complete form-followed by the abbreviation in Parentheses—should be used at the first instance. The reader will then understand the abbreviation when it occurs again. For example, The North Atlantic Treaty Organization (NATO) has many members. The NATO was called upon to review the developments of the area, which were hampering peace. There are different types of abbreviations— • Acronyms: These are special types of abbreviations. Acronyms are pronounced as words. They are words formed by using the first letter of each major word of a compound item. For example, Random Access Memory becomes RAM United Nations International Children’s Emergency Fund becomes UNICEF. • Some business organizations are known by their abbreviated names. They are sometimes called initialisms. The standard format for initialisms is all capital letters, no periods or spaces. For example, International Business Machines is known as IBM. India Tobacco Limited is known as ITC.

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• Measurements may be abbreviated when they occur frequently in tables or business forms. They are displayed in lower case and do not have periods. Measure Abbreviation Centimeter cm Foot ft Gallon gal Kilogram kg Miles per hour mph Pound lb Pages per minute ppm Words per minute wpm •

•

All the months of the year and the days of the week have a standard abbreviation. They should, however, not be used in formal reports. Months January February March April May June July August September October November December

Abbreviation Jan Feb Mar Apr May June July Aug Sept Oct Nov Dec

Days Monday Tuesday Wednesday Thursday Friday Saturday Sunday

Abbreviation Mon Tues Wed Thurs Fri Sat Sun

Names may be abbreviated by using initials or a shortened form. However you should be sure that the person does not object to the abbreviated form. For example, C.N. Murthy S.P. Singh Vasi. Subramaniam

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•

Personal titles should be abbreviated when they appear before a name. For example, Mrs. Mr. Ms. Dr. • Professional titles, degrees and designations normally start with a Capital Letter. Normally the title is written in full. For example, Professor Reverend Vice President Other examples are given below. Designation Chartered Accountant Chief Executive Officer Chief Operating Officer

Abbreviation CA CEO COO

Abbreviation Bachelor of Science Bachelor of Business Administration Master of Business Administration Bachelor of Medicine and Bachelor of Surgery Bachelor of Engineering Bachelor of Pharmacy Doctor of Philosophy

Degree B.Sc. B.B.A. B.B.A. M.B.B.S. B.E. B.Pharm. Ph.D.

•

Names of states and provinces are abbreviated. For example, T.N. for Tamil Nadu U.P. for Uttar Pradesh

•

Symbols are a sign of abbreviation. Only those symbols, which are sure not to be misinterpreted, should be used. For example, Symbol & * @ # % $ K “ ’

Definition Ampersand (and) Asterisk (refers reader to a note) At, each, per Number Percent Dollar Thousand Inch Feet

Example Jenson & Nicholson *Discount as applicable [email protected] #10 10% $25.00 640K 9” 6’

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•

Time Zones are depicted using abbreviations. For example, 0500HRS GMT ETA 1440HRS • Other abbreviations. So many abbreviations are used in business that it is impossible to give a complete listing of them. Some are, however, referred to in the following table. Some abbreviations use capital letters; others use lower case letters. Some use periods; others do not. Term Account Also known as Amount As soon as possible Average Balance Care of Collect on Delivery Continued Credit Department Extension Free on Board For example Maximum Money Order Net weight Not applicable Organization Paid Purchase Order Quantity Statement

Abbreviation acct a.k.a. amt. ASAP avg. bal. c/o COD cont. Cr. Dept. Extn. FOB e.g. max. MO nt.wt. N/A org. pd. PO qty. stmt.

3. Numbers: They play an important role in our lives. They can be used to represent, describe and locate people and objects. Because numbers are so widely used, attention must be given to expressing them correctly in business writing. There are some general guidelines relating to the way numbers are expressed. • Whole numbers (numbers that do not have any decimal or fractional parts), greater than ten are written in figures. For example, Arthi purchased nine tickets for the movie. The new restaurant has a seating capacity of 220.

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• Numbers that begin a sentence are expressed in words. If the number is large, rewrite the sentence to fit the number at the back. For example, Three inches of rain fell last night. Eight hundred tickets have been sold for the match. Thirteen thousand three hundred and seventy-seven people attended the public meeting. Rewrite this as— The public meeting attendance was 13,377. • Be consistent in expressing numbers, and strive for easy reading. When numbers greater than ten and less than ten appear in the same sentence, use figures for all numbers. For example, If you make the payment within 10 days, you will get a discount of 20%. • Punctuating numbers: If the number has 4 or more digits or more, a comma is used. The comas are omitted in house numbers, telephone numbers and model numbers. For example, 1,00,000 soldiers 7,000 or 7000 ID No. 10588 4537 West Street • Money: This is expressed in figures. If the amount is a whole number, the decimals and zeroes are omitted. A comma is used in money amounts of thousand and more. In the Indian context, for amounts less than Re.1, use figures and spell out the word paisa. For example, Rs.450 Rs.21, 707 Rs.380.99 98 paisa • Fractions: When a fraction is used by itself, it is expressed in words. Use a hyphen between the numerator and denominator. For example, One-third of the class Two-fifth of the population • Percentage: In non-technical business writing, percent is written as a word, and the number is expressed as a figure. For example, 51 percent 8.5 percent 4. Word division: In general you should avoid dividing words at the end of lines. But when you must, follow these rules. • Words of five or fewer letters should not be divided even if they have two or more syllables. For example, Table, sitar, happy

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• The last word on a page should not be divided. Avoid dividing the last word of a paragraph also. • Divide as few words as possible. • Do not divide figures, abbreviations, contractions or items containing symbols or numerals. • Do not divide one syllable words. For example, Since, walked, train • Make sure that at lease 3 letters of the divided word are moved to the next line. For example, sin-cerely instead of sincere-ly. • Divide hyphenated words immediately after the hyphen. For example, anti-inflammatory instead of anti-inf-lammatory. REVIEW QUESTIONS 1. 2. 3.

Why are style guidelines important to a business writer? List three general guidelines for writing numbers. Give an example of each. Explain how percentage figures should be written in non-technical business documents. 4. When should the word the be capitalized in the name of an institution or organization? 5. List two conditions under which a word should not be divided. 6. Several names of organizations, agencies and companies are given below. By what abbreviation are they most commonly known? 1. Beginner’s All-purpose Symbolic Instruction Code 2. Hindustan Lever Limited 3. Central Intelligence Agency 4. Cable News Network 5. British Broadcasting Corporation 6. Bharatiya Janata Party 7. Information Technology 8. Indian Airlines 9. European Union 10. Board of Control for Cricket in India. 7. Indicate how each of the following words can be divided. 1. Advertisement 2. Certifiable 3. Everywhere

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4. 5. 6. 7. 8. 9. 10.

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March 21, 2002 Eager Fast-paced Strenuous Willing Quantity Transition

8. Use capital letters wherever necessary. 1. he was questioned about his role in the cauvery water dispute. 2. she threw the ball into the Indian ocean. 3. the president, mr. nair, wishes to see you. 4. have you read the Ramayana or the mahabharatha? 5. in India, hindus, muslims, sikhs, Christians and parsis live in communal harmony. 9. Select the appropriate expression for each number in the items below. 1. (Thirty-six/36) inches equal (one/1) yard. 2. Effective January 1, your salary will be increased by (Twenty-five ruppes/Rs.25) a week. 3. The average price was (96 p/Rs.0.96) a unit. 4. Bobby has grown almost (Two/2) inches since his last visit. 5. Be sure to have a dental checkup every (6/six) months. 6. Will the contract be effective from May (30/31st/thirty-first) or on the (1/1st/first) of June? 7. The entire process will take only (10/ten) or (15/fifteen) minutes. 8. Official estimates say that more than (2,000,000/2 million/two million) people will attend the (3-/three)- day event.

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CHAPTER

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SENTENCE STRUCTURE A sentence is a group of related words that express a complete thought. A sentence always contains a subject and a predicate. It is the basic unit for organizing messages. For effective business communication, it is necessary to learn about sentence construction, to help us frame our letters and reports properly. You can improve your ability to communicate by becoming familiar with sentence construction and learning how to organize sentences. Importance of constructing grammatically correct sentences: • Your messages will be clearer • Your writing will be more precise • Your credibility will increase • Your organization’s image will improve. Sentences can serve one of four basic functions. These four functions are— 1. To state a fact. A statement or a declarative sentence is followed by a period. For example, Rajeev spoke to Rajshekhar about the request. The school closed for vacation on June 5, 2002. 2. To ask a question. A question or an interrogative sentence is followed by a question mark. For example, Have you finished your report? Are you going to office? 3. To issue a command or make a courteous request. A command or a request is also known as an imperative sentence, and is followed by a period. If not mentioned, ‘you’ is understood to be the recipient of the command or request. For example, [You] Please bring the file for our next meeting.

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[You] Send the application form in time. [You] Sit down. 4.

To express strong emotions. An exclamatory sentence is followed by an exclamation point. For example, Congratulations on your promotion! It’s raining!

PARTS OF A SENTENCE The starting point in developing your understanding of how to structure sentences is to know their two essential parts. These parts are— The SUBJECT The PREDICATE. THE SUBJECT This is the part of the sentence that tells us who or what is being discussed. There can be 3 types of subjects— 1. The complete subject: This includes all words directly related to the subject. It has been italicized for your understanding in the following examples. For example, Young, energetic, Suriya is playing. The cheque, which was for over Rs.1000, bounced back. She left in a hurry. 2. The simple subject: This is the main noun or pronoun in the complete subject. In the same examples, the simple subject has been made bold. For example, Young, energetic, Suriya is playing. The cheque, which was for over Rs.1000, bounced back. She left in a hurry. 3. The compound subject: When two or more simple subjects are connected by a conjunction, a compound subject is formed. The conjunctions can be and, or, but, nor, for, yet, so. The compound subject is bold in the following examples. For example, Sridevi and Jayaprada went for the dance program. The office and factory were closed for the holiday. Neither Sita nor Gita were at home. Either fork or spoon can be used for the salad.

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THE PREDICATE The predicate is the part of a sentence that tells something ABOUT the complete subject. There are 3 types of predicates— 1. The complete predicate: This includes the verb and all the words directly related to it. The Complete Predicates are in italics in the following examples. For example, Young, energetic Suriya is playing. The cheque, which was for over Rs. 1000, bounced back. She left in a hurry. 2. The simple predicate: This is the main word in the complete predicate. The verb expresses action or a state of being. The simple predicate is in bold, in the same examples. For example, Young, energetic Suriya is playing. The check, which was for over Rs. 1000, bounced back. She left in a hurry. 3. The compound predicate: Is formed when two (or more) simple predicates are connected by a conjunction. The compound predicate is in bold in the following examples. For example, She works hard and earns well. The accounting report was prepared, reviewed and accepted. She swam well, but lost the race. I wont see Hari, until you join me. ACTIVE AND PASSIVE VOICE A transitive verb has two voices—active and passive. Compare the following: 1. 2.

The king killed the lion. The lion was killed by the king.

Both the sentences mean the same thing. But, in the first sentence, the subject (the king) is the doer of the action (killed). In the second sentence, the subject (the lion) is the sufferer or receiver of the action. (was killed). Sentences written in the active voice normally communicate more clearly, concisely and forcefully than those in the passive voice. In the active voice, the subject does the acting; in the passive voice the subject is acted on. For example,

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Renu submitted the report. (Active voice) The report was submitted by Renu. (Passive voice) The active voice is more direct, stronger and vigorous than the passive voice. It generally requires fewer words and results in shorter and more understandable sentences. You should try and use more of active speech in writing. Look for the advantages of active speech in the following sentences. The principles of Business communication were learnt by the students. (A) The students learnt the principles of Business communication. (P) Applications for the job will be reviewed by a committee. (A) A committee will review the job applications. (P) The above examples clearly show the power, liveliness and conciseness of the active voice. There are however, many uses of the passive voice. Passive speech should be used when the doer of the action is unknown or unimportant. It can also be used when you do not want to emphasize negative or unpleasant ideas. For example, Ram’s shipped your order late. (Active voice) Your order was shipped late. (Passive voice) From Active to Passive We can turn Active in to Passive by taking the object in the Active voice and making it the subject in the Passive voice. For example, Present tense Birds build nests. Nests are built by birds. Children like sweets. Sweets are liked by children. Past tense The police caught the thief. The thief was caught by the police. They had not done their homework. Their work had not been done by them. Future tense We shall pardon her. She will be pardoned by us. I shall have written the letter. The letter will have been written by me.

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PHRASES A phrase is a group of related words that function as a part of speech. Phrases do not contain both a subject and a verb; some phrases contain one or the other, some contain neither. Here are some examples of phrases. For example, Verb phrases—can sell/have keyed/is considered Noun phrases—the home office/a fast car/an excellent proposal Adjective phrases—bright and articulate/ready to wear/above average Some commonly used phrases— 1. Between you and me— Between ourselves 2. By leaps and bounds— By a series of sudden and rapid advances 3. In no time— Very soon 4. In a fix— In a difficult position 5. From hand to mouth— Having just enough money. Having no savings. 6. Pros and cons— Arguments for and against 7. Rank and file— Ordinary, undistinguished people 8. Through thick and thin— Through all obstacles and difficulties 9. The three R’s— Reading (w) riting and (a) rithmetic 10. Ups and downs— Prosperity and adversity 11. Stone’s throw— Very close 12. Off and on— Occasionally 13. Off one’s guard— Heedless, unprepared 14. In vogue— In fashion 15. Kith and kin— Blood relations Using phrases as parts of speech: As adjectives, adverbs and nouns—can make your writing more interesting. They can add variety and colour. Phrases are a way of adding strong words to your sentences and bringing power to your writing. Finally they can strengthen your writing by providing helpful details and showing relationships. Note how the italicized phrases add detail and liveliness. For example, Ravi manages. (No phrases) Ravi manages better than the average person. (Adjective phrase) Ravi manages employees in the plant. (Prepositional phrase) IDIOMS Idioms are commonly used in speech. You will encounter idioms in official and personal speech. The given examples are some commonly used idioms. You will benefit if you learn the meanings of some of them and start using them in your speech.

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a. To beat about the bush: Not to come to the point. Do not beat about the bush. Come straight to the point. b. Above all: More than anything else. Above all, be truthful. c. To add insult to the injury-To harm after insulting. To add insult to the injury, he also abused my brother d. All in all: Everything. The headmaster is all in all in the school. e. Apple of one’s eye: Loved and prized intensely. Her son was the apple of her eye. f. At arm’s length: Keep at a distance. I did not get too close to the new employee. I kept him at arm’s length. g. With open arms: Very welcoming. The students did not welcome the new student with open arms. h. Axe to grind: A personal interest. Ramesh had no axe to grind, so he did not take mush interest in the assignment. i. Bad blood: Ill feeling. The demand for a separate state has created bad blood between the people. j. Keep the ball rolling: Carry on successfully. I was given charge of keeping the ball rolling for the new project. k. To bark at the moon: To think of acquiring something impossible. There is no use barking at the moon. You will never become the CEO. l. Drive a hard bargain: Be very strong and stick to your point. The marketing manager got a good deal for his company. He drove a hard bargain. m. Beat about the bush: Not come to the point. Do not beat about the bush. Come to the point. n. To beat black and blue: To beat severely. The policeman beat the prisoner, black and blue. o. Bed of roses: A condition of extreme luxury. Life is not a bed of roses. p. To have a bee in one’s bonnet: To having some problem or nagging thought in the mind. He has a bee in his bonnet; he does not listen to good advise. q. To bell a cat: To undertake the most dangerous part on behalf of a group. The boss needs to be told of our revolt. Who will bell the cat? r. Below the mark: Not up to the standard. You better improve; your work is below the mark. s. A piece of one’s mind: To saying something frankly. I gave him a piece of my mind, when he misbehaved with the neighbor. t. Chip of the old block: Just like the father. Your child is a chip of the old block. u. In cold blood: Deliberately. The murderer shot his victim in cold blood. v. Get on one’s nerves: Get irritated. His continuous sniffing gets on my nerves. w. To be born with a silver spoon in the mouth: To be a rich man’s child. Mohan is lucky. He is born with a silver spoon in his mouth.

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x. Bottle up-suppress: He did not say anything; just bottled up his feelings. y. Hammer and Tongs: With much noise and vigor. The siblings were fighting like hammer and tongs. CLAUSES A clause is a group of related words that contains both a subject and a predicate. There are two kinds of clauses: 1. 2.

Independent Clause Dependent Clause

An independent or main clause expresses a complete thought and has a subject and predicate. It can stand alone as a separate sentence. A dependent or subordinate clause does not express a complete thought and cannot stand-alone. It depends upon the main clause for the thought to be complete. This is almost always introduced by a conjunction. For example, because, as soon as, if, or, when OR by a pronoun. For example, who, which, that. In the examples below, the independent clauses are in brackets. 1. 2. 3.

After she left, {I went out for dinner.} {I hate her}, for telling me all those lies. {Parvati ran away} as soon as she caught sight of the teacher.

REVIEW QUESTIONS 1. 2. 3. 4.

Define ‘Subject’ of a sentence. How will you identify the ‘Predicate’? What is a clause? Explain what you understand by a ‘phrase’?

5. Identify the COMPLETE subject by underlining it once and the COMPLETE predicate by underlining it twice. 1. ‘Leo Packers and Movers’ will move the household articles. 2. Ram was able to talk to Udit about the new product. 3. Rekha initiated the new product line. 4. Tilak, the plant manager was also active in politics. 5. All of the stolen merchandise was replaced.

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Productivity in the plant went up by 55%. There were seven employees on vacation at the same time. Janul, who got promoted, is now the supervisor. The sun and the moon were all that he wanted. Why can’t you return the money that you borrowed?

6. Rewrite the sentences in the active voice. 1. The delivery was made by DHL courier service. 2. Your report has been read by four of us. 3. A choice of colour must be made by all of you. 4. Complaints are handled by Padma Rao. 5. New ideas were picked up at the fair by our representatives. 7. Put the following sentences in the passive voice. 1. They found her guilty of murder. 2. Manners make character. 3. They kept us waiting. 4. The teacher gave us a lecture. 5. Keep to the left. 6. One should obey one’s parents. 7. They painted the doors green. 8. Do not laugh at a beggar. 9. I forgave him all his faults. 10. We refused them admission. 8. Change the voice in the following sentences. 1. English is spoken all over the world. 2. We should not waste our time in idle gossip. 3. Someone stile the documents yesterday. 4. Has anyone answered your question? 5. Nobody could do anything about the matter. 6. He was dismissed from the service for his careless attitude. 7. Whom are they referring to? 8. A new company has been floated. 9. Surely somebody must have found the lost papers by now. 10. Many new discoveries have been made in the last twenty years.

Foreign Words and Phrases

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CHAPTER

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FOREIGN WORDS AND PHRASES Some words and phrases of other origins like Latin and French, find extensive usage in English Business writing. The reader will definitely benefit from taking a note of the following words and phrases. 1. 2. 3. 4. 5. 6. 7. 8. 9. 10. 11. 12. 13. 14. 15. 16. 17. 18. 19. 20. 21. 22. 23.

ad valorem: According to value bonafide: Genuine en bloc: As a whole en route: On the way ex officio: By virtue of one’s office ex-parte: One-sided fait accompli: An established fact impasse: Deadlock in camera: In camera inter alia: Among other things ipso facto: Virtually locus standi: The right to interfere mala fide: In bad faith nota bene: Take notice nouveaux riches: Persons who have become lately rich par excellence: Eminently per capita: Per head per diem: Per day status quo: The existing condition sub judice: Under consideration of a judicial body. ultra vires: Beyond one’s powers verbatim: Word for word versus: Against

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via media: A middle course vide: Indicates reference to some passage or book, etc. vis-à-vis: Opposite viva-voce: By oral testimony

Some more foreign words 1. addenda: A section of extra information that is added to something, especially to a book. 2. ad hoc: Arrange for a happening when necessary, and not planned in advance. For this special purpose. 3. anno domini: Used in the Christian calendar to show a particular number of years since the year when Christ was believed to have birth. 4. ante meridian: Anti-clockwise 5. au revoir: Good bye 6. bona fide: Good conduct 7. bon voyage: Have a nice journey 8. coup de grace: An action or event that finally ends something that has been getting weaker or worse. 9. de facto: Existing as a fact, actual, real, although it may not be legally accepted as existing. 10. entrepreneur: A person who makes money by starting or running a business, especially when this involves taking financial risk. 11. 12. 13. 14. 15. 16. 17. 18. 19. 20. 21. 22.

en masse: Altogether, usually in large numbers, collectively. entourage: A group of people who travel in large numbers with an important person. errata: A list of errors, a mistake in a book. It is shown in a list at the back or front. et cetera: etc. to go on. ex-officio: Included or allowed because of your rank or office. fait accompli: Something that has already happened or been done and that you cannot change. faux pas: An action or a remark that causes embarrassment because it is not socially correct. in toto: Completely, including all parts, wholly or entirely. ipso facto: Because of the fact that has been mentioned. laissez-faire: Free for all. Never mind. modus operandi: A particular method of doing things. post mortem: A medical examination of the body of a dead person in order to find out how they died.

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23. prima facie: In the face of it. Based on what at first seems to be true, although it may be proved false later. 24. pro forma: Prepared in order to show the normal way of doing something or to provide a standard method. It is always sent in advance. 25. pro rata: In proportion to. Calculated according to how much of something has been used, the amount of work done, etc. 26. résumé: A short summary on account of something. 27. sine die: Sudden indefinite closure. 28. status quo: The as it is now, or as it was before a recent change. 29. tete a tete: A private conversation between two people. REVIEW QUESTIONS Fill in the blanks with help from the chapter. 1. Can you tell me the _______________rate? 2. Please give me a short_______________ about yourself, so that I can contact you if there is a suitable opportunity. 3. The friends are enjoying a private______________. 4. The students created such havoc that the college authorities had to declare a ______ _____ closure. 5. Because of the numerous mistakes in the mathematics textbook, an __________ could be added with the next edition 6. He lost his job and then his parents passed away. It was __________ for him. 7. The office authorities appointed an _______________ clerk because the regular employee had to go on sudden leave. 8. After the complete investigation, the detective understood the ______________ of the murderer. 9. The ________________ proved to be very stressful, especially when they knew the cause of death. 10. The customer asked for the _________________ invoice. Write the meaning of the following words Pro forma Modus operandi Sine die Fait accompli Post mortem Ad hoc Pro rata

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Résumé Tete-e-tete Errata Match the following: Viva-voce: Per capita: Sub judice: Ad valorem: En boc: Malafide: En route: Per diem: Locus standi: Nota bene:

take notice per day per head in bad faith according to value by oral testimony as a whole on the way take notice the right to interfere

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FIGURES OF SPEECH A figure of speech is a departure from the ordinary form of expression, and the ordinary course of ideas in order to produce a greater effect. Figures of speech may be classified as under— 1. 2. 3. 4.

Those based on resemblance. e.g., Simile, Metaphor, Personification, Apostrophe. Those based on contrast. e.g., Antithesis, Irony, Oxymoron Those based on association. e.g., Metonymy, Synecdoche Those depending on construction. e.g., Climax, Anticlimax

Some simple figures of speech will be discussed here. Simile: In a simile, a comparison is made between two objects of different kinds which have however at least one point in common. The simile is usually introduced by such words as ‘like’, ‘as’, ‘so’. For example, As good as gold. As clear as crystal. The manager was as cool as a cucumber, even when there was a crisis. As proud as a peacock. The blushing bride looked like a flower in bloom. As the water gushes out from the mountainside, so my love gushes out for you. Metaphor: A metaphor is an implied simile. It does not say that one thing is like the other or acts as another, but takes that for granted and proceeds as if the two things were one. For example, He was a Lion in the fight. (The simile would have said—He fought like a Lion) Life is a dream. The news was a dagger to his heart. The camel is the ship of the desert.

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Every Simile can be compressed into a Metaphor and every Metaphor can be expanded into a Simile. For example, Venu fought like a Lion. (Simile) Venu was a Lion in the fight. (Metaphor)

• Metaphors should never be mixed. That is, an object should not be identified with two or more different things in the same sentence. Personification: In Personification, inanimate objects and abstract notions are spoken of, as having life and intelligence. For example, Death laid its icy hand on my uncle. Pride does have a fall. The sun peeped into the room. Thunder moaned and shouted out it’s anger. Apostrophe: This is a direct address to the dead, to the absent, or to a personified object or idea. For example, O liberty, what crimes are being committed in your name? Roll on, dark, deep, ocean, roll on! Hyperbole: In hyperbole, a statement is made emphatic by exaggeration. For example, Why, man, if the river were dry, I will fill it with my tears. Your hand still smells of blood; all the perfumes of the world will not be able to remove it. Euphemism: This consists in the description of a disagreeable thing by an agreeable name. For example, He has fallen asleep. (i.e., he is dead) You are simply telling me a fairy tale. (i.e., you are telling me a lie) Antithesis: In this, a striking opposition or contrast of words or sentiments is made in the same sentence. It is employed to secure emphasis. For example, Man proposes, God disposes. To err is human to forgive is divine. Speech is silver, but silence is golden. Many are called, but few are chosen. Oxymoron: This is a special form of Antithesis, whereby two contradictory qualities are predicted at once of the same thing. For example, She accepted it as the kind cruelty of the surgeon’s knife. So innocent-arch, so cunningly simple.

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Epigram: This is a brief, pointed saying; frequently introducing antithetical ideas, which excite, surprise and arrest attention. For example, He makes no friend, who never made a foe. The child is the Father of man. Fools rush in where angels fear to tread. Irony: Irony is a form of speech in which the real meaning is exactly the opposite of that which is literally being conveyed. For example, If talking behind my back is a kind deed, then you are my friend. Pun: A pun consists in the use of a word in such a way that it is capable of more than one application. The object is to produce a ridiculous effect. For example, Is life worth living? – It depends upon the liver. An ambassador is an honest man who lies abroad for the good of his country. I must say this drilling machine is a bit of a bore! Synecdoche: In synecdoche, the whole is used to denote a part or a part is used to donate a whole. For example, India (The Indian Football team) won the tournament. He has many mouths to feed. Do you think Switzerland (the Government of Switzerland) would go for a referendum again? Give us this day our daily bread. All the best brains in India could not solve the problem. REVIEW QUESTIONS 1. 2. 3. 4.

What is a Pun? Give an example. How is Irony used as part of speech? What is a Metaphor? Explain with an example. Explain what is a Simile. Give some examples other than those mentioned in the chapter.

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PART 7 BUSINESS ENGLISH

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CHAPTER

1

DICTIONARY USAGE All of us will be familiar with a dictionary. We use it from the time we learn how to read. It is one of the most often bought books worldwide. Many varieties of dictionaries are available-right from a pocket edition to the most detailed versions. It is the place where you look when you have to find out the meaning of a word. Dictionaries are printed in almost all languages of the world. You can also use the dictionary to hunt around for synonyms of words. Although it’s not as handy as a thesaurus, you will find plenty of related words by doing multiple lookups using the words in definitions. For a print dictionary, read the introductory or front matter of the dictionary. You’ll understand the various features and how they’re set off using typefaces (bold, italic), numbering, lettering and punctuation. Remember that the dictionary is not an unquestionable authority. It is written by trained professionals reporting on the real use of words and phrases by the general public. A dictionary will give you the following information about a word: 1. How to spell the word and its special plural form 2. Whether or not the word is capitalized or abbreviated 3. How to break the word into syllables 4. How to pronounce the word 5. The part of speech of a word 6. Different meanings that the word has, as well as synonyms (same meaning) and antonyms (opposite meaning) 7. A sentence or expression with the word used correctly 8. The meanings of important prefixes and suffixes 9. The special uses of the word 10. The history of the word 11. Other words derived from the main word

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Special sections in some dictionaries may also tell us about 1. Foreign words and phrases 2. Abbreviations 3. Addresses of colleges or government offices 4. The population of cities and countries Applying the following pointers will save time when you use a dictionary 1. Know and use proper alphabetical order. 2. Use guide words to save time. 3. Check all abbreviations and symbols in the special sections. 4. If at first you don’t succeed in finding the word, don’t give up. You might need to check several possible spellings before finding the word. 5. Substitute the meaning you find for the word in the sentence. Be sure you select the most appropriate meaning, not merely the first one you come to. 6. Try saying the word aloud after you look at the pronunciation key.

CHAPTER

2

THESAURUS USAGE A thesaurus is a collection of synonyms (words which have basically the same meaning) and antonyms (words which have basically opposite meanings). It is what you refer to when you want another word for a particular word. It however gives more additional information. A thesaurus comes in one of two easy to use forms. For a print thesaurus, read the introduction. There are two main kinds of thesaurus: a Roget-type with a categorization system and an A-to-Z thesaurus. Become familiar with the categorization scheme if you have a Roget-type thesaurus. In an A-to-Z thesaurus, you may also benefit from definitions at each entry. Look up a word in a Roget-type thesaurus in the index. The index will likely have the meanings listed under each word. Don’t limit your search to one category; also look at the categories just before and after the one you first look up. Examine the offerings in all parts of speech in the category of interest. You might find something you can use by broadening your search. In dictionary form, words are in alphabetical order, so you look up “very” under V. In index form, words are classified by meaning, and you would have to look up “very” in the index at the back of the book. The index would guide you to the page or pages where “very” appears. A thesaurus helps you avoid repetition in your writing and helps you find a word for an idea you have in mind. You can use it to increase your vocabulary as the typical thesaurus has synonyms for more than 1,00,000 words. Method to follow Get to know the features of your thesaurus. By understanding the parts of the entries and any changes in typography, you will grasp the nuances of the reference book’s text. Thesauri may also contain antonyms, wordlists, and other interesting features. Choose synonyms carefully. You will soon recognize that few words are exactly interchangeable. Use the thesaurus in conjunction with a good dictionary whenever selecting a word or phrase unfamiliar to you.

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Concise definitions accompany the headwords, supplying users with a basic reference point and helping them to evaluate synonym choices. The Thesaurus.com thesaurus has separate entries for different parts of speech and for different “meaning cores” for a word. Therefore, an entry word represents one meaning and a group of words considered synonymous with it in that sense. The synonyms may have other meanings as well, but they have at least one meaning in common with the entry word and the other synonyms in the list. The definition that comes before the synonym list tells you what meaning is shared by the words in the list. The numbers that appear in superscript after the part of speech serve to distinguish the different meanings of a word. On Thesaurus.com, words with multiple meanings are sorted by frequency of use, with more common meanings appearing before less common meanings. In the example below, abandoned with the sense “deserted” is more common than abandoned with the sense of “bad.” Main Entry: abandoned Part of Speech: adjective1 Definition: deserted Main Entry: abandoned Part of Speech: adjective2 Definition: bad TIPS Use the thesaurus to avoid repeating words within a sentence and avoid beginning successive sentences or paragraphs with identical words. A thesaurus groups words that are similar in meaning. Usually, you reach for a thesaurus when you have a word in mind and you are looking for a word that is like it (synonym) or one that means the opposite (antonym). Remember that no two words mean exactly the same thing. No two words are directly interchangeable. It is the subtle nuance and flavor of particular words that give the English language it’s rich and varied texture. We turn to a thesaurus to find different, more expressive ways of speaking and writing, but we must turn to a dictionary, a sophisticated semantic tool, to determine meaning. Always consider synonyms in their desired context and consult a dictionary if you have any doubt about the application of a word or phrase. In order to make an informed selection from words clustered under a thesaurus concept, you should check the word in a dictionary and be sure to substitute the synonym in an example sentence to see if it sounds right and conveys the desired meaning. An entry may also list antonyms, words that are in direct contrast with the entry word and synonym group. There may also be “contrasted words” that are almost opposite the entry word, but not quite. These words may be stronger or weaker in meaning and may not mean the exact opposite of the entry word. You can see that the help of a dictionary is important when you are looking up antonyms, too.

CHAPTER

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SUMMARIZATION A summary is a shortened version of a text such as a newspaper article, a chapter of a book, a whole book, report or essay. It may also be a brief description of a series of events, a play, opera, film etc. To write a good summary, it is important to learn how to learn the proper way of doing it. To summarize an essay, article, or book, you should not include your own thoughts on the matter, but describe the essay as objectively as possible, whether you agree with it or not, though you may suggest what you think the author is up to, what their agenda or strategy is, at the conclusion of the summary. Try to use pertinent quotations by the author, working them in gracefully where appropriate. Also, any important or conspicuous words, phrases, or terms should be put in quotation marks. You can model your summary on the structure of the original, keeping the size of your paragraphs in roughly the same proportion as the paragraphs of the original. But you do not need to follow the author’s organization slavishly. You might want to use your own organization based upon what you think the point of the essay is. A good summary of something is a critique of it because it makes explicit what has only been implicit. Understanding an argument is halfway work toward refuting or confirming it, so summary is a crucial first step toward using information, expertise, or opinion. It is essential that you read about paraphrasing, summarizing, and quoting in your handbook before you begin your summary. You must understand the differences between paraphrase, quotation, and plagiarism. So a summary is intended to highlight objectively the main points of another writer’s work. Although written in your own words, the summary does not include your opinions of the piece you are considering. Since the summary eliminates those details that are not needed to convey the major points, it is naturally shorter than the original. In general, a summary is from one fourth to one half the length of the original. HOW TO WRITE A SUMMARY Read the piece for understanding first. Never summarize as you read the article for the first time. Before you begin to write, check the topic sentences and key words (words that are

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underlined, italicized, or capitalized). These will clue you in on main ideas. Jot down the organization of the original and follow that pattern in your summary. Check your summary to be sure you have been objective. Your opinions are not part of the original. Check your summary to be sure that you have properly documented any words or phrases that you have taken from the original. Identify your summary and its source. Some instructors will ask that you do this as part of the title of the piece; others will request a footnote. It is easy to follow the given steps for a beginner 1. Read the material first 2. Reread, label, and underline. This time divide the passage into sections or stages of thought. The author’s use of paragraphing will often be a useful guide. Label, on the passage itself, each section or stage of thought. Underline key ideas and terms. 3. Write one-sentence summaries, on a separate sheet of paper, of each stage of thought. 4. Write a thesis—a one-sentence summary of the entire passage. The thesis should express the central idea of the passage, as you have determined it from the preceding steps. You may find it useful to keep in mind the information contained in the lead sentence or paragraph of most newspaper stories—the what, who, why, where, when, and how of the matter. For persuasive passages, summarize in a sentence the author’s conclusion. For descriptive passages, indicate the subject of the description and its key features. Note: In some cases a suitable thesis may already be in the original passage. If so, you may want to quote it directly in your summary. 5. Write the first draft of your summary by (1) combining the thesis with your list of one-sentence summaries or (2) combining the thesis with one-sentence summaries plus significant details from the passage. In either case, eliminate repetition. Eliminate less important information. Disregard minor details, or generalize them. Use as few words as possible to convey the main ideas. 6. Check your summary against the original passage, and make whatever adjustments are necessary for accuracy and completeness. 7. Revise your summary, inserting transitional words and phrases where necessary to ensure coherence. Check for style. Avoid series of short, choppy sentences. Combine sentences for a smooth, logical flow of ideas. Check for grammatical correctness, punctuation, and spelling. The problem we all face when attempting to summarize a piece of writing is figuring out what to include and what to leave out. Below are some tips on how to choose material to include in your summary. • • •

Cross out the less important details. Underline topic sentences and key ideas. Take notes on those key ideas—jot down the information that clarifies the topic sentence, for example.

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VOCABULARY The use of the right word in the right place is a crucial skill in business communication. However, those who do not give the required emphasis to vocabulary do not stand a high chance in any career growth. It is said that people who “learn 2 new words every day” are certain to attain high positions in life. Learning never stops. Vocabulary building is an education that can never and should never stop. Here are some basics about vocabulary. This has been divided into three sections. FREQUENTLY CONFUSED WORDS There are some words, which are so similar to each other that a reader gets confused. It is important to make a distinction between them, as their meanings are very different from each other. Accede Accept Access Advice Affect Allot All ready Born Capital Cite Complement Council Defer Device Die Discreet

— — — — — — — — — — — — — — — —

to comply with to take admittance suggestion to influence to distribute completely prepared given birth to money, chief city to quote to go well with letter writer to put off until later a mechanism to stop living, a tool careful

Exceed Except Excess Advise Effect A lot Already Borne Capitol Sight Compliment Counsel Differ Devise Dye Discrete

— — — — — — — — — — — — — — — —

to go beyond to exclude too much to suggest the result much or many completed earlier carried a government building a view Site — a location to flatter to give advice, a lawyer to be different to plan to colour separate

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Envelop Forth Holy Human Incidence Instance Later Lead Lean Levee Loath Loose Material Miner Moral Ordinance Overdo Peace Pedal Persecute Personal Precedence Principal Rap Residence Role Root Shear Stationary Their To Right

— — — — — — — — — — — — — — — — — — — — — — — — — — — — — — — —

to surround forward sacred of people frequency example afterward a metal to rest at an angle embankment reluctant free, not tight substance mineworker virtuous, a lesson law to do in excess lack of conflict a foot lever to torment private priority sum of money, chief, main to knock home a part to play part of a plant to cut immovable belonging to them a preposition correct

Waive Weather

— to set aside — atmospheric conditions

Envelope Fourth Wholly Humane Incidents Instants Latter Led Lien Levy Loathe Lose Materiel Minor Morale Ordnance Overdue Piece Peddle Prosecute Personnel Precedents Principle Wrap Residents Roll Rout Sheer Stationery There Too Rite Wave Whether

— — — — — — — — — — — — — — — — — — — — — — — — — — — — — — — —

a cover for a letter number four completely kindly events moments the second of two guided claim raise taxes to hate to mislay equipment in warfare under-aged person sense of well-being weapons past due date a fragment to sell to sue employees previous entrants general rule to cover inhabitants to tumble, a list to defeat Route — a traveller’s way thin, steep paper in that place They’re — they are excessively, also Two — the number ceremony Write — to form words on a surface — a swell of water, a gesture — if

SYNONYMS Synonyms are single words, which can substitute for the original word. They have the same meaning as the original word itself. Remember, synonyms are not the meaning of the words. Given below are some commonly used synonyms. You can find a more extensive list in a thesaurus.

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1. 3. 5. 7. 9. 11. 13. 15. 17. 19. 21. 23. 25.

Anxious—eager Curriculum—course Formidable—powerful Tremendous—enormous Dynamic—active Inevitable—unavoidable Zealous—enthusiastic Incredible—unbelievable Exasperate—irritate Deferred—postponed Enumerate—list Mundane—ordinary Inflexible—rigid

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2. 4. 6. 8. 10. 12. 14. 16. 18. 20. 22. 24.

Rebuke—scold Preferred—liked Distinguishing—differentiating Distinct—clear Incessant—continuous Consequence—result Adversary—enemy Panacea—remedy Nonchalant—uncaring Genial—kind Intervene—step-in Magnitude—extent

ANTONYMS Antonyms are single words that are OPPOSITE in meaning to the original words. For an exhaustive list, you can consult a thesaurus. A brief list is given below: 1. 3. 5. 7. 9. 11. 13. 15. 17. 19. 21. 23. 25.

Pursue—discontinue Decrease—increase Moderate—extreme Shorten—elongate Perpetual—transitory Succeed—precede Acquaintance—stranger Foreign—native Attract—repel Hidden—obvious Tact—rudeness Traitor—supporter Conspicuous—unknown

2. 4. 6. 8. 10. 12. 14. 16. 18. 20. 22. 24.

Humble—proud Augment—lessen Odd—even Extravagant—economical Ignorant—wise Finite—infinite Obvious—vague Innumerable—few Synthesis—analysis Informal—restrained Unconsciously—deliberately Crisis—stability

SUFFIXES Suffixes are parts of a word that are added AFTER a word. For example, -ly, -en, -ful, -ened, -ing, -some, -er, -able, -less, -ally, -ive, -s, -ment, etc.

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Some have been done for you. Some words can have different suffixed attached. Circle + -ing = Circling Circle + -ed + Circled Sudden + -ly = Suddenly Help + -ful = Helpful Help + -less = Helpless PREFIXES Prefixes are parts of a word that are added BEFORE a word. For example, Un-, mis-, dis-, in-, en-, up-, under-, etc. Some have been done for you. You can also attach different prefixes to one word. Dis- + appear = disapper Re- + appear + reappear Sub- + standard = substandard Dis- + orientation + disorientation SOME COMMONLY MISSPELT WORDS All of us, even the best spellers, sometimes have to check a dictionary for the spelling of some words. But, people who have never memorized the spellings of commonly misspelt words have to look up so many of them that they often become exasperated and give up on spelling words correctly. If you learn the spellings of the words given below, you will need the dictionary less often and become a better writer. 1. 3. 5. 7. 9. 11. 13. 15. 17. 19. 21. 23. 25.

Abbreviate Preparation Government Correspondence Voluntary Accommodation Benefited Grammar Tuition Acquaintance Committee Repetition Jewellery

2. 4. 6. 8. 10. 12. 14. 16. 18. 20. 22. 24.

Secretary Commercial Favourable Recommend Receipt Temporary Bureaucracy Interrogative Successful Advantageous Separate Preferred

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REVIEW QUESTIONS 1.

Give synonyms for the following words: Odd, obscure, excellent, courtesy, captivity, belligerent, biography, barrier, complementary, compose, compromise, intervene, irrelevant. 2. Find antonyms for the following words: Crafty, hinder, knowledge, lapse, memorize, opposite, optimism, recede, reliable, hesitate, fundamental, flexible, expensive, exclude, enthusiastic, elaborate, conventional. 3. Add suffixes to the following words: 1. fright 2. arrive 3. free 4. hard 5. form 6. warm 7. pity 8. sudden 9. whole 10. former 11. danger 12. spot 13. hero 14. joy 15. trouble 4.

Add prefixes to the following words: 1. harmed 2. just 3. judge 4. sincere 5. rational 6. agree 7. locate 8. decent 9. own 10. normal 11. sane 12. give 13. fire 14. interpret 15. continue

5.

Correct the following spellings (check out a dictionary) 1. Precees 2. Comunication 3. Compny 4. Eficiency 5. Standerd 6. Posibility 7. Relevent 8. Sucessful 9. Acounts 10. Gramatical 11. Comercial 12. Furthur 13. Indiginious 14. Traveler 15. Performence

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REVIEW QUESTIONS Section A 1.

Describe the following— a. Thesaurus b. Business Summary

Section B 1. 2.

What are the steps that can be followed while writing a summary? Describe how to use a thesaurus.

Section C 1.

Enumerate some tips to use a thesaurus effectively.

CHAPTER

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WRITING TECHNIQUES Beginner writers often fail because they overlook the basic rules of good writing. Plain, conversational language is best. We must write as we talk, especially in fiction writing. Pretend that your reader is sitting opposite you and you are talking to him or her. Write to express, not to impress. Avoid jargons and be mindful of your readers. Familiar words are more advisable than unfamiliar ones. Nouns and verbs make reading easier than adjectives and adverbs. There is nothing wrong with simple and easy sentences. In fact they communicate the ideas better than complicated sentences. RULES FOR GOOD WRITING • • • • • • •

• • • •

Subject and verbs always have to agree. Make each pronoun agree with their antecedent. Being bad grammar, the writer should not use dangling participles. Don’t write run-on sentences, they are hard to read. Don’t use double negatives. Don’t use mixed metaphors because they are a pain in the neck and should be thrown out the window. Make sure to understand that a writer when he is writing something should not get accustomed to the habit of making use of too many redundant words that he does not actually really need in order to put his message across to the reader of what he has written. Not good to use sentence fragments. Try not to ever split infinitives. Don’t use a foreign word when there is an adequate English quid pro quo. If you do use a foreign word phrase, it is de rigor to use it correctly.

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Don’t use hyperbole unless you’re the one writer in a million who can use it effectively. Avoid clichés like the plague. Don’t use commas, ever, when they are not necessary, or important. Don’t abbreviate unless necessary. Proof read carefully to avoid mistakes.