How to Become a Successful Distributor in the FMCG Sector

The Fast Moving Consumer Goods or the FMCG sector is a place where goods are sold at a relatively low price and includes products which sell out much quicker than other products. They mostly keep perishable items as opposed to durable items. For example, packaged foods, beverages, toiletries, over-the-counter drugs etc.; whereas durable items include kitchen appliances, textiles, items which can be used for many years. FMCG goods mainly compose of items which have low shelf life. Because it includes items which are required by masses in their daily lifestyle and because this sector has a huge demand, it is essential that this sector divides it work amongst various other short segments. The major segments in the FMCG sector are Manufacturer – Packaging – Sales and Distributorship – Retailer/Wholesaler.A distributor is someone who will ensure that all your products reach the right people. Whether it is business to business or business to personal. In any emerging market, as demand for a product increases, so does the need for distributors. From everyday use items like cooking oil, packaged foods like biscuits, snacks and everything else with an expiry date, every new trend which comes up as a team of dedicated distributors hard at work to find quality manufacturers and help them bring their product to retail.Steps to follow to become a Distributor:

Decide what type of distribution business you will run: Distributors can be split into two categories based on who they serve. The first category is, retail distributors buy from wholesalers or manufacturers and sell products directly to consumers. The second Category is, wholesale merchant distributors buy from manufacturers and resell the products to retailers or other distributors. You need to decide which type suits you best and work upon that.

Decide what you would like to distribute: You could focus on a specific product or offer a variety of items. You could base your decisions on a product about which you may feel passionately or any product which you think is not available much in the market. While many large companies are served by equally large distributors, these distributors are unwilling or unable to serve smaller, more specialized business.

Estimate your start-up costs: In addition to a business plan, you will also need some idea of how much money it will take to get your business up and running. As a distributor, your major area of expense will be your inventory. This means that your start-up costs will go parallel as to what product or products you choose to sell. If you are selling a single product then the pricing will depend on how many retailers you are targeting.

Figure out how to sell your products: This will depend largely on who your customers are and what type of products you’re selling. In any case, you have to chalk down specific goals on what methods you can adapt to sell your goods. One of the best ways to do so is to connect more and more with the manufacturers as well as the Retailer/Wholesalers. The more connections you build, the better opportunities you get. This can mean anything from advertising to personal meetings with store owners to search-engine optimization (SEO).

Form your company legally: You’ll have to legally create the company before you can do business. Check with your state regulations and see if you need to create an operating agreement or another type of founding document. Gather any business partners you have for this venture and have them sign any legal documents you fill out

Make your business licensed and registered: You will have to register your business with the correct places or business association as and when required. Your company should be listed in the legal list of companies. Other legal steps may be required to get your business started.

Contact manufacturers or wholesalers of your products: You will need to find sources from which you will buy your product. To locate manufacturers and wholesalers, you will need to build Relationships and connections which will help you to define your work. Networking is the foundation of the distribution industry. You must gain a deep understanding of your target market and clients to develop stronger partnerships. Keep communication open and available.

Purchase inventory: Once you’ve found a source for product, it’s time to place your first order. You’ll need to purchase however much inventory you need. Keeping in mind the budgetary and space constraints you will also need to buy products pertaining to the limit of your users. This is especially true of products with a short shelf-life or FMCG goods. Also, consider the logistics you will require to distribute your goods.

Find a location for your business: The size of the space you need to hold your inventory will be determined by the size of your product and your delivery method. You should consider starting off small as your business builds a reputation. As your business grows, you can move into larger facilities that can accommodate your inventory needs.

Create a website for your business: Creating a customer friendly website is essential in today’s business model. The website should describe prices and product offerings. This is especially important if you sell directly to consumers. You can also invest in search engine optimization (SEO) that directs potential customers directly to your website by placing it higher in search engine results.

Market your product to potential customers. Send out your catalogue to potential customers in your area. The tools of marketing that you can find in today’s digitally marketed world are immense and of huge influence.

The distributorship business is very lucrative. To become a distributor in the FMCG sector, you must have an eye for spotting trends in their industry, as well as with building relationships with manufacturers and retailers. If you’re interested in becoming a distributor for the FMCG sector, you need to follow the FMCG model.

6 Steps to the Social Aspects of Sustainable Communities Planning

Successful sustainable communities planning can be divided into two categories: physical sustainability and social sustainability. Information on the former (physical sustainability) is readily available but what about the equally important social aspects of building an off the grid eco village? Once energy self-sustainability, food self-sustainability, and structure self-sustainability (home building) is covered, how do you assure that the people in your community will want to stay, and new people will want to join, both of which are foundations of sustainable community growth?

I have identified 6 key components to the social sustainability aspect of community building: decentralized government, individual freedom, recreation, entrepreneurial model for financial independence, group living activities, and an outreach program. It should be noted that A) these are all equally important and B) the importance of each of these increases the more community is emphasized in your eco village; meaning people living together and coexisting rather than just living in the same location and existing.

Decentralized Government:

The definitive work I have read on this point, and recommended for anyone starting a community, would be M. Scott Peck’s book, “The Different Drum: Community Making and Peace.” A summary of why decentralized government, and more specifically decision-making through consensus, is important is three-fold: it builds a community of leaders, it supports equality and fairness assuring everyone is part of major decision-making, and it requires communication and thoughtful interaction.

Each of these three points is important to the long-term social sustainability of a community because they all empower people and keep communication lines open. Lack of communication and people feeling ‘lost in the shuffle’ or insignificant to the creation are arguably the two largest undermining factors of community building, and not just sustainable communities but at work, home, and in people’s families. Nobody likes to feel like their views and needs are going unheard and nobody likes to feel like they aren’t important; the solution is governing by consensus and a decentralized power structure that I’ll cover more in detail in a future article.

Individual Freedom:

Individual Freedom is ESSENTIAL to the growth and sustainability of a community. This seems obvious but my personal opinion is that society as a whole is really missing the boat in this department and the number one reason for people to want to start a new life in an off the grid community, even more important than all the ethical reasons for sustainability, should be freedom.

Individual freedom means being able to dress, think, say, and do what you want as long as it doesn’t harm anyone else. If people want to cross-dress, meditate on their head, smoke pot, and worship the Chicken God they should be able to do so in the privacy of their own home without worrying about repercussions OR JUDGMENT. Start your community with this level of freedom in mind and a consensus governing structure will keep it that way and help expand the paradigm of everyone involved.

Recreation

Recreation is about making your community fun. Your community could be the most off the grid super self-sustainable living environment on the planet, but if it is a boring place to be who would want to live or visit it? The solution is building recreation into your daily living structure and involving the entire community. Things like live music, movie nights, mediation or yoga classes, community construction projects, food production, etc. can all function as recreational activities that help bring people together and keep them together.

True sustainable growth of your community comes from making it a place people want to be all the time. If everyone living in your community wants to get away to have fun then you have failed in your mission to create a truly sustainable environment and you should sit down with all of your members and discuss how to fix it. Success in this area will not only guarantee people will want to stay in your community but it will also keep friends, family and new members coming to you rather than you seeking them.

Entrepreneurial Model for Financial Independence

By “entrepreneurial model” and “independence” I do not mean a community model but an INDIVIDUAL MODEL. A self-sustainable community is by definition financially independent but an individual model for financial independence should also be available to those members that desire more than just ‘retiring’ to a community without the possibility of anything else.

The way we are doing this is by pooling the resources of our community and creating businesses (see also Outreach Program below). Any time a new person is considered for community membership we evaluate potential business opportunities they may bring and work with that person, if they are interested, to create residual income streams that benefit both the individual and the community.

By doing this we create more individual freedom and provide opportunity to build a business and still leave room for people that might want to try community living but aren’t sure they would want to stay long-term. This benefits both them because of the resources and capital we can provide, and us because businesses we help to build still pay a small percentage to the community that helped create them even if the business owner decides to move on.

Group Living Activities

Group living activities are things like group dining, child care, educational classes, laundry, etc.; anything that might be a part of traditional living that can be performed more efficiently by the cooperative effort of the community. These are separate from the recreation activities I mentioned above but they can overlap as there is no reason activities like dining can’t also be structured as recreational activities.

The real key is providing benefit exclusive to the community living experience and maintaining the community ‘energy.’ What this means is that people living in your community should easily be able to tout the extensive time and energy-saving benefits of community living; rather than complain about how exhausting it is dealing with so many people so close. Work together to see what can be streamlined for the benefit of everyone and keep discussion open about how to improve any systems in place. Most domestic duty activities can be performed more efficiently and more enjoyably for an entire community of 80-100 people by a rotating group of two or three individuals; this saves time, money, resources, and should garner the appreciation and support of everyone involved.

Combining group living activities also keeps the energy of the community communal; the goal is for your community to feel and operate like a close-knit family. Family energy, however, requires all of the previous four points. If you look at family models that do, versus don’t, work you will see that successful families maintain each of the listed social points: A) a balance of power where everyone is heard and respected B) freedom where everyone feels comfortable being who they are C) social activities that make the family a fun place to be and D) freedom to leave – nobody is trapped financially or otherwise.

Outreach Program

Unless your community goal is isolation, and in my opinion even if it is, an outreach program is essential to supporting the energy and growth of your community because it brings new people to your creation to see what it is. The more self-sustainable your community is, the less tangible reasons people will have to travel outside the community; this means you need to either bring the outside world to you or people will most likely leave the community just for something new.

The outreach program we are creating is through dedicating a little more than a third of the community to tourism, designing the recreational activities so they are part of the daily living plan but open to visitors of the community, and founding the individual entrepreneurial model on an internet web presence that introduces people to the community through the individual businesses. This is a three tiered approach but any one of these approaches can be used to support your community, the important part is that you have some sort of outreach program that not only help build your community but also helps to educate the world.

Conclusion:

Sustainable communities planning is becoming more popular every year. People want to start a new life but don’t know how or don’t have the resources. If you are someone like me working to change the current paradigm and set people free, be sure you consider the social aspects of community building. We already have a plethora of disconnected and uncooperative communities called the cities of America – they aren’t working. Let’s start creating something different and move ourselves closer to the sustainable planet we are capable of.

Internal Communication Measurement – Why, When and How?

When Should We Measure Communications?

Annual in depth surveys. Engagement and satisfaction surveys are typically carried out annually and can carry additional questions to provide some insights into the effectiveness of communications.

Prior to a specific communications campaign. In order to best understand the impact of communications, it is necessary to measure (awareness, attitudes, knowledge etc) before a campaign.

After a significant communication or campaign. It is important to measure the effectiveness and impact of significant communications programs and initiatives. This allows you to tailor internal communications to make sure they are effective and delivering quantifiable business value.

At intervals to track attitudes. Regular measurement helps communicators to gauge the ever shifting feelings and attitudes within an organization and to tailor messages to make sure they are appropriate to their audiences.

Pulse checks and temperature checks during and after specific events provide an insight into the issues and challenges an organization faces and to gather feedback on specific issues.

At intervals to benchmark and track against KPI’s. Measuring regularly against benchmarks and tracking trends over time provide an early warning of issues that may go undetected until they have escalated further.

What to Measure?

Determining which aspects of communication to measure will depend on the organization’s specific business and communication objectives. A few examples of useful communications measurements include:

Baseline communication measurements prior to communication can measure; existing knowledge, attitudes and behaviors of employees, as well as determining the existing information available, how easy it is to find, the current communications channels available and to identify other factors influencing attitudes and behaviors.

Functional communication measurements
Following a communication or campaign, functional aspects of communication should be measured. Comparisons to the baselines measurements are useful. Additional measures can include; the number and types of messages sent, timing of messages, message cut-through / reach, channel effectiveness and appeal, audience satisfaction with content (types, volume etc).

What to Measure – Measuring Impact

Measuring of the impact communication is a critical step and measures can include:

Audience perception measurements including factors such as; % and types of messages received, communications remembered. Were messages seen as relevant, consistent and credible? Were the messages understood? How well do employees feel they are being supported? Do employees understand exactly what needs to happen as a result of the communication(s)?

Change in Behavior
The objective of most internal communication is to change the attitudes and behaviors of employees. Therefore, it is valuable to identify and measure factors such as; What changed? Was there more or less of a behavior? What is now different?

Impact on business goals / Outcomes
Communication measurement should enable Internal Communicators to quantify the impact of communications on business objectives. For example:

  • The number of employees who signed up for share scheme (following its promotion)
  • The shift in attitudes regarding customer service and the projected impact of increased customer retention
  • The number of usable suggestions submitted via an employee suggestion initiative (and the financial value of those suggestions)

Isolating the impact of communication

Communication does not happen in a vacuum and it can sometimes be difficult to isolate the impact of communication versus other factors (incentive schemes, new product launches, factors external to the organization and so on). Possible solutions include:

  • Communications control groups ( isolating a group, such as a single remote location, and not communicating them about a specific initiative or goal, then looking at how their actions differ from groups you have communicated with)
  • Assessing the change in behavior with regard to a business goal which was communicated well, versus a business goal with little or no communication
  • Estimate the % influence of communications versus other influencing factors.

Calculating the financial value of communication

Calculations of the financial value of communication will, at best, be estimates. However, it is still an important part of communication measurement as it starts a conversation with senior managers as well and can demonstrate the enormous value of effective internal communication.

Consider the impact of an effective internal crisis communication response. A comparison can be made against a situation (internally or within a similar organization) which wasn’t handled as well, and quantifiable value attributed to factors such as:

Volume of customers retained
Retention of good staff who might otherwise have left

Tools to Assist the Measurement of Internal Communication include:

  • Desktop surveys and quizzes. Aside from in depth online or paper based surveys, pop-up desktop surveys and quizzes can provide additional measurement and benchmarking capability throughout the year.
  • Incentives. A prize incentive can encourage staff to participate in a quiz or survey.

Qualitative Communication Measurement

In addition to quantitative measures of communications effectiveness, qualitative communication measurement should also be undertaken. Qualitative techniques can include:

  • Free form answers in surveys.
  • Focus groups
  • Discussion forums. Although face-to-face interviews and focus groups are often the best option for qualitative communication measurement, internal social media can be a useful addition or substitute. Set up employee discussion forums to investigate specific issues. Monitor comments made in discussion forums to gather qualitative measures of how employees are thinking feeling and behaving

Avoiding Survey Bias

Avoiding non-response or self select bias. When surveys rely on employees to opt in or ‘self select’, you may mostly hear from the squeaky wheels or people with an agenda motivating them to participate. A desktop survey tool can provide recurrence, random sampling and escalation options to help ensure that representative internal communications measurement data is collected from across the organization.

Control groups. Set up a control groups for communications campaigns. Identify survey responses from control groups and hence to compare and assess the impact of internal communications campaigns.

Multiple select questions. For some types of questions, e.g. “Where did you hear about XXX from?” or “What factors influenced your decision” providing single answer options can skew results. In these cases, provide multi-select answer options.

Comparisons. Measure the impact of communications on people who saw a particular communications against those who didn’t.

The impact of time on recall. Recall rates will drop over time, hence if communication campaigns are to be compared with one another, communications measurement needs to be carried out at the same time period after each campaign. Ensure that communications measurement is carried out at a consistent time after each campaign.

Providing context for a quiz or survey. Context should be given for a quiz or survey. For example, a product knowledge quiz without context may cause employees to worry about the purpose of the quiz and possibly work harder to ensure they provide the correct answers. However the same quiz with an explanation “the purpose of this quiz if to see how well the communications team are doing, therefore please be as honest as possible” is more likely to provide an accurate measure of communication effectiveness.

Encouraging Survey Participation

Promoting the survey to encourage participation. The higher survey participation rates are, the more statistically accurate and relevant the results will be. Use innovative internal communications channels such as; desktop alerts, scrolling desktop feeds, screensaver messaging and user generated staff magazines to raise the profile of surveys and encourage participation.

Communicating survey findings and actions being taken. When employees believe that the outputs from staff surveys will be constructively used, they are more likely to participate. Therefore, ensure that survey results and the resulting actions being taken are well communicated to staff. Screensaver messages, newsfeeds and articles in the staff magazines are great ways get messages across without their becoming buried in email in-boxes.

Communication Effect

The system of sending information or message from one place to another place is communication.

Understand the meaning of communication and system of communication. Understand about the familiar developments like Mobile, Fax, Computer, E-mail, and Telecommunication.

In ancient times it used to take many days to send a message or information to distant places. But today we can send messages to any part of the world quickly due to the development in the field of communication. The message may be in the form of written piece, sound, picture or movie. Today man uses Telegraph, Radio, Television, Telephone, Fax, Mobile, Videophone, Pager etc., through telegraphy, message can be sent in the form of words. For example: If you want to send a message “Happy Birthday” to your friend. Go to a nearby post office and send the message to his address. This message reaches your friend in few hours. The most common device used for communication is Telephone. We can converse with a person anywhere in the world through a telephone. Depending upon the distance between the communication people, service of the telephone is divided into three categories. The system of sending information or message from one place to another place is known as telecommunication. Through Fax, written material and pictures can be sent. Telephone calls are grouped as local-calls, Subscribers Trunk Dialing, International Subscribes Dialing. Through internet one can access the required information from any part of the world. The modified form of postal service is e-mail.

Speaking through the telephone while driving a vehicle or even walking is not a surprise. Here the mobile phone acts as a receiver and transmitter. The radio waves are set up between the two people, who are communicating with each other. Fax is a modified version of telegraph. The written material pictures can be sent through Fax. For Ex: If you want to send a cartoon story to a news paper, feed the fax machine with your data. The cartoon story written on a paper is transferred to the fax machine at the news paper office through telephone line as it is For this you should know the Fax number of the news paper office.

Every individual needs to be well equipped with the tools to communicate effectively, whether it is on the personal front, or at work. In fact, according to the management gurus, being a good communicator is half the battle won. After all, if one speaks and listens well, then there is little or no scope for misunderstanding. Thus, keeping this fact in mind, the primary reasons for misunderstanding is due to inability to speak well, or listen effectively.

Communication is a process of exchanging verbal and non verbal messages. It is a continuous process. Pre-requisite of communication is a message. This message must be conveyed through some medium to the recipient. It is essential that this message must be understood by the recipient in same terms as intended by the sender. He must respond within a time frame. Thus, communication is a process and is incomplete without a feedback from the recipient to the sender on how well the message is understood by him.

There are a lot of communication barriers faced these days by all. The message intended by the sender is not understood by the receiver in the same terms and sense and thus communication breakdown occurs. It is essential to deal and cope up with these communication barriers so as to ensure smooth and effective communication.

It is of utmost importance not only to communicate but also effectively communicate. Please throw some light on the first instance where Lisa was not suitably promoted. She did give her presentation, she did communicate, then why was she denied her promotion? She did not effectively communicate. The trick is not only to communicate but effectively communicate. And if you can effectively communicate, the world is all yours.

Communication process is a simple process where a message is being transferred from a sender to the receiver. The receiver after receiving the message understands the message in the desired form and then acts accordingly. Not every individual is born with good communication skills; it is inherited in due course of time as the individual passes through the various stages of life. Communication skill is an art which has to be mastered to make one’s presence feel, stand apart from the crowd and emerge as a strong leader in all facets of life.

Don’t always depend on verbal communication at work place. After any verbal communication with the fellow workers, make it a habit to send the minutes of the meeting or the important points through e-mail marking a cc to all the participants. Always depend on planners, organizers and jot down the important points against the date set as the deadline to complete a particular task. During presentations, the addressee must use whiteboards, papers and the participants also must carry a notepad to avoid forgetting any point.

Intra-personal communication skills: This implies individual reflection, contemplation and meditation. One example of this is transcendental mediation. According to the experts this type of communication encompasses communicating with the divine and with spirits in the form of prayers and rites and rituals.

Interpersonal communication skills: This is direct, face-to-face communication that occurs between two persons. It is essentially a dialogue or a conversation between two or more people. It is personal, direct, as well as intimate and permits maximum interaction through words and gestures. Interpersonal communications maybe:

Focused Interactions: This primarily results from an actual encounter between two persons. This implies that the two persons involved are completely aware of the communication happening between them.

Unfocused interactions: This occurs when one simply observes or listens to persons with whom one is not conversing. This usually occurs at stations and bus stops, as well as on the street, at restaurants, etc.

Non verbal communication skills: This includes aspects such as body language, gestures, facial expressions, eye contact, etc., which also become a part of the communicating process; as well as the written and typed modes of communications.

communication like group discussion. Remember you are not the only one speaking in the group discussion; there are other participants as well who are vying for the limelight. You might get only a single chance, and you just can’t afford to miss the opportunity to create that first impression, and as they say first impression is the last impression. An individual might have complete knowledge about the topic assigned to his group, might be well aware of what is happening around him, but if he can’t effectively communicate his ideas to others, he will fail to create his mark. The way an individual communicates his ideas has to be very impressive for him to live up to the expectations of the deciding authorities.

Teddy appeared for an interview with a reputed media house. He had been eyeing for this company for quite a long time. He fared extremely well in the face to face rounds and was looking forward to getting selected in the organization. Unfortunately something else was in store for him. He could not get through the GD Round. He was exceptionally good in academics, had a healthy professional background and even expressed his ideas in his best possible way in the group discussion. The problem was in his communication level. He did try his level best but failed to impress the interviewer and thus lost out on his dream job.

Converting your thoughts into words is an art and one has to master it to win over the trust and confidence of the assessor. One has to very sensibly and carefully choose the right words to share his thoughts with the other participants and make his points clear. Never use slangs, instead go for some corporate jargons or professional terminologies for the desired edge. Also avoid cracking jokes in between as it is considered highly unprofessional. An individual must not stammer in between or chew half of his words. Speak clearly and your voice must never be shaky. There is no one who will beat you there, so why to get afraid of a group discussion?

No one will ever deduct your marks if you greet your fellow participants well. Use warm greetings and never forget the handshake on meeting. These gestures actually help in breaking the ice and create a bond among the participants. Someone has to begin the discussion, so why not you? Take the initiative and start the discussion. Introduce yourself and your team members well. Never believe in personal favors. If any participant is unwilling to speak, do not force him unnecessarily. If someone has spoken well do not hesitate to give him a pat on his back. Such non verbal communications sometimes go a long way in boosting the morale of the participants. Be very confident to win over the trust of the interviewer as well as the other participants.

The pitch and tone must also be taken good care of. You are speaking not for yourself, but for others to listen and respond. Always ensure that you are audible to one and all. Every participant must be able to hear you clearly and understand what you intend to convey. An individual must also learn the art of voice modulation. Don’t keep the same pitch always; learn to play with your tone as per the importance of the word or the sentence. If you want to raise a question to your fellow participants, it must also reflect in your voice. Avoid shouting or being too loud in group discussions. You are here to voice your opinion, not for fighting. Keep your voice polite, soft but convincing. Never sound unintelligent or foolish, as the interviewer has a constant eye on you. Do take care of your punctuation marks and the flow of words. It is no harm to take pauses or breaths in between sentences. Never repeat sentences as it will lead to monotony and others will tend to ignore you. Don’t just speak for the sake of speaking.

Always remember there are other individuals also who are participating in the group discussion. They may not be from the same background as you are, might have an altogether different thought process, but you have no right to make fun of their views. Always respect their opinion. If a participant is speaking, never criticize or oppose him in between. You will get your time to speak, and please wait for your turn. An individual has to be very patient, calm, dignified, sophisticated and above all professional in his approach. The individual who passes the information to others for sharing his thoughts and ideas with them is called the sender. (First Party) The individual who receives the information from the sender and responds accordingly to give him the feedback is called the receiver. (Second Party). In the process of communication the information must reach the receiver in exactly the same form the speaker intends to. If the recipients fail to provide feedback to the speaker, communication is considered to be ineffective and incomplete.

Communication is neither transmission of message nor message itself. It is the mutual exchange of understanding, originating with the receiver. Communication needs to be effective in business.

Communication is essence of management. The basic functions of management (Planning, Organizing, Staffing, Directing and Controlling) cannot be performed well without effective communication. Business communication involves constant flow of information. Feedback is integral part of business communication. Organizations these days are very large. It involves number of people. There are various levels of hierarchy in an organization. Greater the number of levels, the more difficult is the job of managing the organization. Communication here plays a very important role in process of directing and controlling the people in the organization. Immediate feedback can be obtained and misunderstandings if any can be avoided. There should be effective communication between superiors and subordinated in an organization, between organization and society at large (for example between management and trade unions). It is essential for success and growth of an organization.
Communication gaps should not occur in any organization. Business Communication is goal oriented. The rules, regulations and policies of a company have to be communicated to people within and outside the organization. Business Communication is regulated by certain rules and norms. In early times, business communication was limited to paper-work, telephone calls etc. But now with advent of technology, we have cell phones, video conferencing, emails, and satellite communication to support business communication. Effective business communication helps in building goodwill of an organization.

Business Communication can be of two types:
• Oral Communication
• Written Communication

Oral Communication – An oral communication can be formal or informal. Generally business communication is a formal means of communication, like: meetings, interviews, group discussion, speeches etc. An example of Informal business communication would be – Grapevine. Oral communication implies communication through mouth. It includes individuals conversing with each other, be it direct conversation or telephonic conversation. Speeches, presentations, discussions are all forms of oral communication. Oral communication is generally recommended when the communication matter is of temporary kind or where a direct interaction is required. Face to face communication (meetings, lectures, conferences,
interviews, etc.) is significant so as to build a rapport and trust.

Written Communication – Written means of business communication includes – agenda, reports, manuals etc. Written communication has great significance in today’s business world. It is an innovative activity of the mind. Effective written communication is essential for preparing worthy promotional materials for business development. Speech came before writing. But writing is more unique and formal than speech. Effective writing involves careful choice of words, their organization in correct order in sentences formation as well as cohesive composition of sentences. Also, writing is more valid and reliable than speech. But while speech is spontaneous, writing causes delay and takes time as feedback is not immediate.
Advantages of Written Communication

Written communication helps in laying down apparent principles, policies and rules for running of an organization.

It is a permanent means of communication. Thus, it is useful where record maintenance is required.

It assists in proper delegation of responsibilities. While in case of oral communication, it is impossible to fix and delegate responsibilities on the grounds of speech as it can be taken back by the speaker or he may refuse to acknowledge.

Written communication is more precise and explicit.

Effective written communication develops and enhances an organization’s image.

It provides ready records and references.

Legal defenses
An effective and efficient communication system requires managerial proficiency in delivering and receiving messages. A manager must discover various barriers to communication, analyze the reasons for their occurrence and take preventive steps to avoid those barriers. Thus, the primary responsibility of a manager is to develop and maintain an effective communication system in the organization.

Remember effective communication is a necessity in today’s challenging scenario and the above tips definitely go a long way in improving one’s communication skills.

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