Transactional communication is one of the most commonly used methods in business. Business people exchange information through these means all the time. It is the exchange of information that leads to business growth or failure. Without this exchange of information, businesses would not survive. This form of communication leads to problems if either parties are unable to resolve their differences.
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In a business environment, you can find two types of communication: External and Internal. An External communication refers to those that are sent from the business to another party. Internal communication, on the other hand, refers to those that are received by the other party. External communication usually leads to conflict if the parties involved are from different departments. Sometimes, however, this type of communication leads to collaboration.

A good example of External communication is the sale and purchase of products and services. When a business buys goods and then sells them, it is an External communication. But when a business partner with another company, this becomes an Internal communication. This occurs when two companies rely on each other. For example, a business may partner with another company in order to obtain needed equipment for their business. Partnerships like these lead to a win-win situation for both parties.

Transactional communication is also found among co-workers. It is common among entrepreneurs, who work in close partnerships. They exchange ideas, advice, and resources with each other. They share business news, insights, and personal opinions. These activities keep the business informed about its market and position.

Transactional communication between employees also leads to better performance and more positive results. Because employees know the expectations of the business owner, they perform at their best level. This makes the business more profitable. This also contributes to the morale of the business.

But Transactional Communication can also have its downsides. Unwritten rules and guidelines that prevent employees from talking to each other may result into bad communication. Sometimes, employees make complaints to the business owner because of poor performance. In other cases, some of the owners themselves may take part in the conflict by not allowing free flow of communication between employees.

With technology taking over every aspect of life, the need for Transactional Communication is also rising. Today, emails, web conferences, text messaging, and video conferencing are the tools of choice. Companies, even when they are not having regular meetings, are using this method in order to communicate with clients, partners, and other business associates. Transactional Communication has also affected the way people interact with each other on the internet. They no longer talk face to face but rather share files, pictures, and videos via text or email.

Transactional Communication can benefit a business greatly if it is properly implemented. However, one should not rely just on technology. A business owner must be proactive in maintaining good relationships between staff members. Both parties must be committed to resolving conflicts instead of ignoring them.

By properly implementing Transactional Communication, you will be able to communicate more effectively with your employees. Your employees will feel empowered to speak up if there is something that they do not understand. It is also much easier to get things done this way.

To start, you must first define the terms and definitions that you will use in your Transactional Communication. This will help you define what topics will be discussed. You will have to decide whether it is going to be a casual conversation or a formal meeting. You also have to decide how the meetings will go. Will they be held in person or online?

Once you have defined the terms, you can start putting into practice the procedures. In order to ensure that you are communicating properly, you will have to determine who is going to be doing the talking. You can assign someone to be the "go-to" person in the office who facilitates communications. Alternatively, you can assign someone in the human resources department to handle this aspect of business.
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In addition, you should establish rules for communicating. For example, if you are having a weekly meeting, then you have to specify the time that this is to take place. You should also establish some ground rules such as "do not discuss the issues outside of the meeting room". By following these simple steps, you will find that Transactional Communication is actually quite easy!