Wednesday, January 23, 2008

COMMUNICATION POLICY

Since man graduated from Stone Age, communication has helped him access greater achievements and made him ruler of the earth. It is because of this superior skill of communications that we see various implements and gadgets like internet, telephones, mobiles, palmtops and what not.

The essence of communication is to transform any thought into action. It germinates from the mind, transports through any media to the intended targets and transforms into a physical event that is what we call action. The purpose of this communication from archaic age to the modern age has remained the same to enable action for greater power. In all the pages of history, we see the effective communicators as heroes and those who had failed in communication as the vanquished.

Similarly action in business sense is making higher profits and the profits are then translated into expansive powers in terms of markets, financial and others. To achieve this magnitude, one has to ensure that the communication becomes the foremost part of the business policy. An effective communication would lead to enhanced growth.

For an effective communication, we must first understand what communication means. It is defined as the process in which a message moves from a source (speaker) through a medium (telephone, mobile, e-mail, paper etc) in a code (language), for the ultimate target (listener), who decodes (understands) it and performs an appropriate action (executes the message).

The communication depends on all of the above entire process. Speaker’s background with respect to age, educations, gender, experience etc., compilation of the code that are de-codeable by the target, whose background, age, education, experience, gender etc also are equally important. Thus any sort of communication that is taking place must place equal value to all these elements of the process. And communication in business is of utmost importance.

But sadly and often it is seen in most business organizations this is not recognized and so communications or lack of it rather, results in major problems to its operations and functioning. The basic structures demanded by the business are never recognized nor are used if so.

Whatever the reasons, the best possible thing for us to do is to make sure that our lines of communications and structures are put in place so as to enable us to make an orderly and smooth flow of work and remove the information bottlenecks.

Mapping of Communication processes
In order to remove the information bottlenecks, we have to first identify the sources of the information and its targets, taking into account the number of people employed, the department they work and what they work. This in general is called mapping of the organization for communication process.

For general, any business organization would have points of communication working three ways, between departments, within departments and with outside environment like customers, public offices, govt. offices, suppliers etc.

Sources of communication processes:
The sources of Communications processes involved in this organization are:

Internal: Internal Communication processes can further be classified as Intra-Department within the department Eg. Manager to his Assistants, Supervisor to worker etc., and Inter-departmental between the departments Eg. Sales to production to produce a set of products or stop production, Accounts to Sales for payment collection or budgets etc.

External: involve information received or sent by the organization to external agencies like Banks, Tax Authorities, Suppliers and vendors, Transport carriers, sellers, customers etc.

Clarity in communication processes:
Clarity is the most important part of any communication process. If the message lacks in clarity or specific information, the receiver may misinterpret the message resulting in action that is not intended. This may prove very expensive in case of a project or life saving operation. It must be understood that the clarity in communication process has a lot to do with the age of the transcriber of the information and background in terms of academic, social and work experience. The manager sending or receiving the information must keep in mind the characteristics of the target audience, their social background and knowledge of the language. It is very important that the manager takes initiative to understand what message he receives, rather than questioning the sender’s abilities. This way, the manager will not only help the organization by saving from taking correct decisions, but also from the improved, highly motivated personnel.

Direction of Communication processes in an organization:
Direction of the communication processes in an organization is another important part of the communication process. Depending on the structure of the organization, the communication processes should be routed.

Some adopt a unidirectional approach – instructions is always done from top to bottom, some adopt a limited bi-directional approach – encouraging feedback and voices to reach to certain levels in the organization, some adopt a clear cut free communication bi-directional route making free access upto the top levels a common feature.Thus depending on the route adopted, the effectiveness internal communication processes is affected. In case of the last route, even a scrap of information can be viewed as opportunity and thus leveraged to maximize profits.

Media of Communications processes:
Communication can be effected using many media. From signs and symbols used by the stone age man, to the pictograms of the Egyptians and Chinese to the scripts that which we use form different media of communications. These media used for internal communication process in an organization and external communication process include:

A)Internal communication processes:
The Media for internal communication processes include:
1. Memos
2. General circulars
3. Rules and regulations and norms of the company
4. Minutes of meetings
5. Registers recording the circulation of memo notes, circulars, minutes
6. Filing of such information

B) External Communication processes:
The Media for external information processes include:
i) Communications received from External Agencies:
1. Communication from Customers seeking information for products, complaints, service guidance, instructions for operation, refund of payment, payment and other accounting issues such as bills, receipts, credit/debit notes statement of sales etc.

2. Communications from dealers/distributors: placement of orders, forecast reports, service reports, complaints, information, delivery status, delivery instructions, amendments,

3. Communications from Suppliers: seeking drawings, quotes, order acknowledgement, delivery invoice and other accounting related forms, statements and details.

4. Communications from Govt. depts. Like notices, tax bills, tenders, orders, certificates, approvals etc.

5. Communications from service providers for their products giving information details and quotes etc.

ii) Communications sent to External Agencies:
Order confirmation acknowledgement, dispatch invoices, transport bills, accounting related documents such as credit/debit notes, payments, payment receipts acknowledgements, statement of accounts, payment reminders, forms, taxes, deposits, technical drawings, product information, quotes, notices, Advertisement materials etc.

iii) Documentation of such records:
The records of transaction of communication should be maintained and if not uploaded to a server for easy accessibility and retrieveability. Availability of such information may be specific and based on valid authorization. The records can be entered as low priority, regular priority, or high priority and confidential. Time based storage of such records as permitted by the laws should be done by properly indexing the records. Another important factor that is involved in the maintenance of records is use of a record keeper if available who should ensure that the information is updated in the servers.

Communication flow and decision making:
In most organizations the communication flow is usually routed through the owner of the organization and priorities are decided thus. When the communication reign is handled by the owner, it leads to several problems as cited below:

Information is often incorrect and reveals only a diluted version of the actual information and hence the decision taken on this may not be right for the business.

Because of the owner deciding the priorities, time taken for decision making is longer, and may result in a lost opportunity.

The quality of decision taken depends mainly on the owners background – education, experience, expertise and other resources such as financial implications, manpower and strategic values and so may not be right for the organization.

Misleading information is also passed on to the owner by not presenting the side which is not desired by the owner this results in flawed decision that is not right for the company.

Any decision taken on the fringes of these are often cost to the company and affect the bottomlines. Therefore a strategic review of the entire gamut of information process that is prevalent in the organization needs to be streamlined so as that right information to the right person is possible at the right time. This in essence is what business communication aims at.

Controls of communications processes:
Another factor that is affecting most organizations is the measure of control or if it exists. Competitors generally rely on such tidbits of information to enhance their leverage over the market. Classification of information therefore becomes most essential and how it should be controlled. You can classify the information as General and confidential depending on the level of security or regular or priority depending on the expediency or internal or external depending on the source and target. All these need a level of control and a uniform policy in handling information.

Level of controls are based on the structure of the management – how many layers are there and how many levels of checks are required. Whether the information that is meant for taking the decision on wage cuts should be made relevant to the baseline manager, whether to go in for increasing shift times, or productions or switching over to alternative process for manufacturing – to whom should these issues addressed to and what their level of participation and role in decision making is what calls for this classification into general or confidential.

In matters of priority or regular information bits, it is called for minimizing time utilization for grabbing an opportunity and leveraging for enhancing profits, lowering costs or strategic stocking and distribution measures. Thus we see a priority information should be executed on an immediate basis and a regular one on a routine basis.

Coming to the third type of classification is the external or internal controls. Internal communication controls can be made as inter-departmental and intra-departmental. It can still be fuzzified into intra-group, inter-group depending on the number of SBUs located in the organization.

The external form of communication can be controlled by routing the information to or from the company through a common person or assigning departmentally. And in case of departmental assignment of such controls, it has to be reviewed and acted upon correspondingly with other departments in case of relation of several issues together such as letter from dealer asking for his credit note at the same time advising for booking of order, change of delivery instructions, amendment of orders etc. has to be correspondingly related with the production department, accounts department and dispatch department for suitable course of action.

Framing a Policy

Framing up the communication policy:In consideration of the sources and forms of communications, it becomes very essential that a common communication policy be adopted that would not only ensure that image of the company is maintained but also ensures that it is commonly applied everywhere. This would enable that right information is received by the right person at the right time.

The points that need to considered, while framing the policy are:
1. Image of the company:It should be built upon the image of the company and in line with its policy. For E.g. An aspiring company launching for big time should maintain a high profile communication policy that would ensure that the company’s visuals to its letters are spelt out correctly in definite terms and its esteem apart from handling external sources with such dignity.

2. Levels of controls:In continuation to the image based communication process, efforts to streamlining by way of controls should also be considered. The control measures should not only include information handling procedures and maintaining, storing and retrieving proper records, but also ensure that the levels are regarded as well and address the cost issue of such measures.

3. Accountability and responsibility:These should also be addressed while framing an effective policy with an evaluation and reviewing norms so that action can be taken in case of accountable person failing to adhere to the norms laid down therein.

4. Evaluation:Evaluation in terms of speed of response should also be included as a part of the policy and be held to accountability clause as speed of response results in winning or losing opportunities.

5. Mode of Communication:This is the mother of all norms, as it costs the company on how you respond and also touches the bottom-line as well. The modes may be chosen from E-Mail, Fax, Telephone call, SMS calls, or cell-phone calls. In case, it is to be mailed, whether to courier or send it through federal postal services.

6. Authorizations:Proper and clear cut definition in terms of authorization should be made so that there is no ambiguity while dealing with routine course of operations. As sometimes an express courier charging double the rates than normal routine ones may be required, or if it is utterly essential to use fax instead of e-mail. For all these proper valid authorization should be provided.

7. Appointing a communication interface:In order to streamline information that is floating around the organization, it is of utmost essential that a single source is available in the company to address to the communication processes both internally as well as externally. The profile should be so adopted that a smooth uniform consistent flow of information is possible throughout the communication chain.

8. Creation of Database:Even a communication interface operating would need information essential to make smooth exchange of information both internally and externally. This can be possible by making the information available online through well connected servers that would reduce response time and help create that professional image of the company, avoids duplicity of data, or overlapping of differential information.

9. Others:Other things like maintaining decorum, language, diction and use of proper media for communications should help in creating a policy that will help smoothen your operations, lower attrition rates among employees and define the authorities that enable delegation of work effectively.

Conclusion:
Communication processes streamlined, make for a pleasant customer experience, besides touching the bottom-line effectively, they also lessen the attrition levels within the organizations. A comparative study of the communication effectiveness in terms of cost to the company and bottom lines would help further refine the processes.