Types of Business Communication

A key element of your company’s success is good communication, which you understand as a business leader. Besides talking on the phone, sending texts, or writing letters, you also use other forms of written communication. Business communications may differ in their tone or content depending on their type. Here in this article, we are going to discuss different types of Business Communication with you, so stick with us till the end of the article!

Different Types of Business Communication

Along with that, In the business world of today, communication is essential. Employees, employees of other companies, bankers, suppliers, customers, advertisers, suppliers, and stakeholders are all related to a company. Hence, business objectives and requirements are achieved by interacting and communicating with each other.

Types of Business Communication

In order to better understand how interactions occur within an organization, let’s examine its various forms. There are several ways to classify business communication, including its structure, information flow, and communication modes.

Internal Business Communication

Furthermore, Communication within an organization is known as internal business communication. Informal and formal communications are included. Generally, internal communication refers to sharing information by the various departments within the organization. The importance of internal communication cannot be overstated since it increases efficiency and satisfaction. Essentially, internal communication takes two forms:


Internal, Upward Communication


Communication between the bottom of the organization and the top can be any form of business communication. Moreover, a true pulse on the company’s operations can only be gained by information flowing upwards. For employees to provide complete and relevant information to the organization, most communications flow upward using forms, reports, templates, and other resources.


You could, for example, provide a sales report stating both the number of pitches and the actual sales. A summary of problems and successes is likely to be requested by management.


Internal, Downward Communication


Moreover, the superior communicates with a subordinate or subordinates in this type of communication. Letters, memos, or verbal directives may be used to communicate. Communicating clearly with subordinates should be a leader’s objective. New regulations and safety requirements might be mentioned in a memo about new operations procedures. The safety requirements should be clear and concise; there should be no room for interpretation.

Internal, Lateral Communication

Lateral communication is when colleagues discuss, message, and email one another. The communication could be between departments or just within the department itself. In this scenario, the fulfillment manager will ask the purchasing manager about a special order, resulting in cross-departmental communication. Moreover, clarifications are sought from the fulfillment manager by email or through the office messenger system. Communication among departments could facilitate sharing of status reports and coordination of schedules. At work, coworkers must always behave professionally and respectfully.

External Communication

Communications with customers, suppliers, partners, prospects or vendors are defined as external communication. Regulatory agencies and city offices can also be involved. It is important to make sales presentations or marketing letters both compelling and factual in order to generate customer interest. Moreover, whether oral or written, communication should be concise and clear when speaking with outside entities regarding partnerships or other business administration needs. You will respect people’s time by stating your request clearly and getting to the point.

Horizontal/ Lateral Business Communication 

A horizontal or lateral business communication occurs when communication takes place at the level of coworkers in an organization. These communications are typically verbal or written. These conversations are conducted via messages circulated within departments, across departments, or between similar-minded individuals. Furthermore, this means that only those on the same rank can see information transmitted in this manner. Communication at equal hierarchy levels is crucial for both functional effectiveness and mutual cooperation.


For Instance: To discuss marketing trends, product demands, and customer requirements, the marketing head communicates with the production head of the organization the same way. Managers of different departments will be able to communicate smoothly, ensuring that the message is effectively distributed. 


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