Chapter 12: Business related information 

Introduction: 

Data or information has very little value in itself; it is generally used for some purpose

• Communication
• Storage for later use
• Decision making

If data/information is not communicated, stored, used; it serves no purpose

Definitions: 

• Data: Raw facts – not necessarily in context/ meaningful in their own right
• Information: Processed data
• Management information: Information used for decision making
• Common knowledge/general knowledge: Facts (known by many people) – freely available (media)
• Public domain: Publications that are not subject to copyright – freely available for general use (Must still be acknowledge –Source B)
• Primary research (field research): Data from original source – interview
• Secondary research (desk research): Material produced/ already recorded by someone else – internet research
• Subjective: Facts subject to personal feelings/opinions (may change significantly depending on the people involved)
• Objective: Facts not influenced by personal feeling/opinions (stays the same irrespective of people involved

Importance of communication: 

• Vitally important to understand the basics of communication
• Understanding to whom it will go to, what format is needed, what purpose it serves, what media will be used, determine the type, detail, amount of information needed
• Important to note that it is not ethical to skew information – ignoring important facts

Communications/ organisational objectives: 

• In order for different people, in different departments to work towards a common organisational aims/objectives, there will be extensive formal communication of information

Medium of communication: 

• Written: Information communicated in a written format is permanent
• Very time consuming
• Lacks the ability to convey emotion/ subtle interpretations – lack of tone, facial expressions
• Easier for the reader to superimpose his/her own incorrect emotion/ interpretation on it
• Numerical information is best communicated in a written format – source for back reference if the reader wants to relook at the facts/ figures to make sure they are understood

• Oral: Verbal communication makes it much easier to convey emotion
• Telephonically – tone of voice, pauses, rate of speech, sound effects; convey far more than a written document
• When verbal communication is face to face – body language, facial expression, surroundings, convey even more

• Non-verbal communication: Form of communication that speaks the loudest
• Facial expression, body language, gestures – convey a better/truer message than words (often the clues of sarcasm/ intensity of emotion)
• Integral part of verbal communication – unless gesture are used independently of verbal communication (sign language)

Direction of communication: 

Vertical communication: Between people on different levels (organisation hierarchy)

• From management down: Delegation of authority, tasks/assigning of duties, asking for feedback
• From workers up: Feedback on tasks, queries, grievances, suggestions for improvement
• Often relayed through several levels of management layers (may act on part/all of the information being passed along

Horizontal communication: People on the same level

• Coordination of tasks, problem solving, resolving conflict , sharing information (common goals can be attained)

External communication: 

• Doing presentation to the bank manager to apply for funds, interacting with clients, suppliers, competitors

Diagonal (lateral) communication: Between employees on different levels (outside the direct chain of command

• Used in organisations that follow a networking organisational structure (can be seen in other structures
• Allows for faster dissemination of information

Formality: 

Formal communication: 

• Planned/ official (purpose of storage/ clarification)
• Where possible should be in writing
• May include formal documents – Financial statements, Annual reports, Articles –

Informal communication: 

• Is the default
• Lack of formal communication: informal speculation, grapevine, quick scribbled notes
• High risk method because there is no way to track the message and it often leads to changes of the message/ misunderstanding

Communication problems: 

• Sender relays the information inadequately
• Receiver has difficulty in hearing/ seeing the message
• Problems with the message – wording, language, medium of communication – (Messages sent on the spur of the moment cannot be effectively retracted
• Disturbance in the environment (noise)
• Time issues – information being received after it is needed
• Context of the message
• Non-verbal messages contradicting the verbal message
• Cultural differences (communicate differently
• Different names: zucchini = baby marrow = courgettes
• Different meaning: Jam in America is known as jelly, in South Africa jelly is a gelatine-based, fruit-flavoured dessert

The POPI Act: 

• POPI Act: Protection of Personal Information Act 4 of 2013
• Ensures South African institutions/ businesses are responsible when they collect, store, process, share any information (about businesses, institutions, individuals)
• Forces businesses to protect the privacy of these stakeholders – the way information is used (only be shared with the correct consent procedures in place)
• Enormous implications for the way social media/ database are handed by a business

Collecting/ sorting information: 

• Database is an organised body of related information – stored in the computer/server
• Data can be retrieved in various combinations
• A lot of useful information can be extracted from this
• Search engine on the database may also extract totally useless information

Before starting to collect information, ask the following questions: (5W1H technique)

• Why: Why is it necessary?
• What: What information is needed?
• Who: Who is it intended for?
• When: When is it required?
• Where: Where is it going to be presented?
• How (in which format): In which format is the information needed

• Prioritise the information as you start compiling it
• Simple data will be quick to gather
• Complex information follows an inverted triangle model – initially gather more than you will ultimately use
• You ca only decide what is useful once you start working with it/ developing your document

Visual Data: 

• Not all data/information is necessarily linear
• Sometime long lists of data/ information (detailed facts) can be very confusing; we will then represent it as an infographic
• A visual format, much easier to get a broad picture of what is happening

Infographic: An infographic is a collection of imagery, charts, minimal text that gives an easy to understand overview of a topic. As in the examples below, infographics use striking, engaging visuals to communicate information quickly and clearly. Infographics are a valuable tool for visual communication

Examples of info graphics: 

Interacting with data: 

• Respond professionally to questions and feedback
• We all differ with how we interact/ respond to data/information

Interacting with data/information: 

Visual learners: 

• Remember things they have seen
• Prefer lessons where things are written on the board
• React well to things that are in colour (pictures, diagrams)

Auditory learners: 

• Remember what they hear
• Recall things discussed in class
• Like to discuss things while studying

Kinesthetic learners: 

• Movement-orientated learners
• Have to move constantly, always restless/ constantly fidgeting
• Learn best by doing, building models, role playing

No one falls 100% into one category; only lean strongly to one 

Left brain/right brain

People differ in the way they use their brains

Left-brain dominant: Order, numerical, linear data, language-orientated information

Right-brain dominant: Colour, creativity, innovative thinking, visual data

Presenting/responding to information: 

• Auditory learner may choose to do a formal oral, with charts/tables of information in a PowerPoint presentation (Left brain)
• May go into a long explanation to answer a question
• Visual learner may apply props/posters in a far more creative approach (right brained)
• May draw a picture

Howard Gardner’s multiple intelligences: 

• Howard Gardener radically changed the way intelligence is defined by propagating the theory that intelligence is multifaceted – identifying the specific giftedness of each learner
• Intelligence is in fact a dynamic process (multiple abilities)
• Dendrites in the brain continually grow/ change in response to new information, new pathways are forged
• Personality, experience/ specific types of intelligence will all contribute to the way they perceives/ solves problems

Modern communication methods: 

General: 

• Thirty years ago we were sitting in libraries for hours laboriously copying out notes by hand, your research was limited to what the library had – sometimes books were outdated
• Today research possibilities are endless through the use of the internet – many libraries have become multiple-media centres  
• Emails/ SMS’s have cut down on direct voice communication
• Ability of storing endless information – cut down on the need for filing, archiving hard copies
• Electronic storage can be a problem if information is on a specific computer – alleviated by storage on a network, back-ups on external hard-drives/ internal storage
• Biggest challenge in this rapid growth of communication the amount of fake news
• There are fake news sites that manufacture misinformation for political/ commercial gain
• Always check the source of hyped up or dramatic news (natural disasters/ celebrity deaths to real websites)

Social networking/ electronic gadgets: 

• Social networking/ the use of electronic gadgets has become a part of everyday life – they now take up a significant amount of time in many teenagers’ days
• Businesses now employ Social media mangers
• Social media managers manage businesses social media accounts (monitor comments, reactions, complaints) – this allows them to react immediately to avoid PR disasters
• Huge advantages to the speed, cost, availability of this technology
• Dangers of social media addictions – people living in a virtual world/ losing touch with reality

Business applications: 

• If you do not have an online presence, you will lose customers because customers will search and find competitors with greater ease through websites/apps