Memo and Reports

For Internal Circulation and Academic

Purpose Only
 Programme Educational Objectives

Our program will create graduates who:

1. Will be recognized as a creative and an enterprising team

leader.
2. Will be a flexible, adaptable and an ethical individual.
3. Will have a holistic approach to problem solving in the
dynamic business environment.

For Internal Circulation and Academic

Purpose Only
 Business Communication & Information Systems
Course Outcomes
• CO1-Given the circumstances, student manager will be able to ascertain
the barriers to communication and also propose measures to overcome
these barriers.
• CO2 In a given situation, student manager will be able to identify
essentials parameters of effective communication and will also be able
to justify the same.
• CO3 For given situation student manager should be able to draft
Business letter for an organization.
• CO4 Given the circumstances, student manager will be able to draft E-
mail to concerned authority/person.
• CO5 Given the circumstances, student manager will be able to gather
data and make an informed decision based on it.
• CO6 Student manager will be able to identify & explain modern trends
in information system.
 What is a memo?

“Memos solve problems”

– Inform reader of new information
(i.e., policy changes, etc)
– Persuade reader to take action
(i.e., attend meeting, etc)

A memorandum is a short message from one person to another in

the same business or organization.
Memorandums are usually referred to as memos.

In-house business letter

Memos have no salutation line and no signature area at the end.
 Memo Heading

• The formal memorandum uses a special heading, sometimes

preprinted on stationery. Typically, words in the memo heading
are keyed in ALL CAPS, bold, followed by a colon, and double
spaced as follows:

• TO:(Reader’s name)
• FROM:(Author’s name)
• DATE:(Complete and current date)
• SUBJECT:(What the memo is about)

• Be formal with names and titles

• Be concise with subject line
 Format of Memo
• Purpose of memo
– Context and problem
– Background info

• Details
– Analysis of problem
– Divide problem
 Format of Memo
• Recommendations
– Your solutions
– Future problems
– Use lists when possible

• Closing remark
– Courteous ending
– Consider how action will benefit the reader
– No signature
– “I look forward to hear from you…” etc
 Format of Memo
• Attachments
– As necessary
– Include list of attachments in header or bottom of memo
 Keep in mind
• Keep it short

• Sentence structure

• Grammar

• Spelling

• Strong, active verbs

• Appropriate vocabulary

• Conciseness
 Parts of a Memo

Memo
heading

Memo
body

Typist
initials
Report
 What is a Report
• Give a spoken or written account of something that one has
observed, heard, done or investigated.

• Business report are a type of assignment in which you analyze

a situation (either a real situation or a case study) and apply
business theories to produce a range of suggestions for
improvement. They are typically assigned to enable you to
apply business and management theory to a practical situation.
 Types of business reports

• Informational reports. These reports present facts about

certain given activity in detail without any note or
suggestions.

• Such reports are of routine nature. Sometimes they may fall

under statutory routine category.

• E.g. A company accounts head asking for expense report of

the department within the stipulate period is nothing but
informational routine report.
• Analytical reports. These reports contain facts along with
analytical explanations offered by the reporter himself or may be
asked for by the one who is seeking the report.

• Such reports contain the narration of facts, collected data and

information, classified and tabulated data and also explanatory
note followed by the conclusions arrived at or interpretations

• E.g.-A company chairman may ask for a report on falling trends

in sale in a particular area. He will in this case be naturally
interested in knowing all the details including that of opinion of
any of the investigator.
 Research reports.

• Research reports. these reports are based on some research work

conducted by either an individual or a group of individuals on a
given problem.

• E.g.-Indian oil company might have asked its research division to

find some substitute for petrol, and if such a study is conducted
then a report shall be submitted by the research division detailing
its findings and then offering their own suggestions, including the
conclusions at which the division has arrived at as to whether such
a substitute is these and if it is there can the same be put to use
with advantage and effectively.
 Statutory reports.
• Statutory reports. These reports are to be presented according to
the requirements of a particular law or a rule or a custom now has
become a rule.

• E.g. The auditor reports to company registrar has to be submitted

as per the requirements of country legal requirement.
• A return on compensation paid to factory workers during a period
by a factory has to be submitted to competent authorities
periodically.

• These reports are generally prepared in the prescribed form as the

rules have prescribed.
 Non statutory reports

• Non statutory reports. These reports are not in the nature of legal
requirements or rules wants, therefore, the reports are to be
prepared and submitted. These reports are required to be prepared
and submitted:
– for the administrative and other conveniences,
– for taking decision in a matter
– for policy formulations,
– for projecting the future or
– any thing alike so that efficient and smooth functioning maybe
assured and proper and necessary decision may be taken with a
view to see that every thing goes well and the objectives of the
organization are achieved with assured success.
 Special reports.
• Special reports. Such a type of report is specially required to
be prepared and submitted on matters of special nature.

• E.g. Accident report- Due to an accidental death of the

foreman in a factory. The factory manager may ask for a detail
report from the head foreman. Such a report is classified as
special reports.

• These reports contain not only facts and details but they may
contain suggestion, comments and explanations as well.
 Purpose of a Business Report
• Conveys information

• Assist in decision-making Actual solution

• Past information – future planning

• Business concept

• Management model
 Target audience & readers
• Audience is everything
• Format your write up accordingly

• The casual reader/boss who wants the main message as

painlessly as possible

• The interested reader who wants more detail but doesn’t want
to grapple with all the technical details

• The guru who wants the whole story and details of everything
• To address all 3 audiences effectively,

– Include an abstract for the boss

– A main body for the interested non-specialist

– A technical appendix for the guru

• Scope / purpose of the report
– What exactly does the ‘client/reader’ want?

– Report/project objective

• Gather & organise supporting information

• Analyse supporting information
Sections in report writing
 Sections
• Title Page
• Contents
• Executive Summary
• Introduction
• Main Body/Findings/Discussions
• Conclusions
• Recommendations
• References/Sources
• Appendices
 Executive Summary
• Summary of all of the key points purpose

• Scope

• Main points

• Conclusions
• Recommendations
 Executive Summary

• Summary of all of the key points

• Can be read on its own •if appears logical & inline with
expectations, recommendations can be followed without need
to read further

• Should include summary of all parts including

recommendations
• Most important part of the report & written last
 Introduction
• States Purpose & scope

• Main points
• Structure of the Report

• Why the report is being written (objective).

• Solve a business problem

• Recommend alternative approach
• Increase profits
 Main Body of Report
• State how it is organised up front

• Headings clearly identify content

• Presented in an order that leads logically towards

conclusion/recommendations
 Main Body of Report
For example:

1. Research

2. Analysis

3. Assumptions

4. Evaluation

5. Findings

6. Graphs

7. Diagrams
 Conclusion
• Summarise the main body –

• Do not include diagrams or graphs

• Should be short

• Clearly follow order of findings -lead naturally into

recommendations.
 Recommendations
• ALL include recommendations (or at least suggestions).

• At least an indicator of what benefits/results of implementation Return on

Investment etc.

• Couple of approaches:

• Decision: Decision has positive & negative Show likely benefits, costs,
risks etc
• Present your suggested ‘best’ option first

– Suggestion: Suggest ideas that should be considered

– Benefit: Strongly advocate idea to be implemented

 Final Components

• References/Sources
• Appendices
– Survey examples
– Transcripts
– Detailed documentation
– Other reports of relevance/related
Writing Business Reports
 Writing Business Reports
Part One: Steps in Preparing Proposals and Reports

1. Defining the problem

– Limiting the scope of the study
– Outlining issues for investigation
2. Outlining issues for analysis
– Informational assignments
– Analytical assignments
3. Preparing the work plan
– Statement of problem
– Statement of purpose and scope of investigation
– Discussion of tasks, methods, and constraints
– Description of end products
– Review of assignments, schedules, resource requirements
34
 Writing Business Reports

Part Two: Conducting the Field Research

4. Conducting the research

– Reviewing secondary sources
– Collecting primary data
• Documents
• Observations
• Surveys

a. Interviews
b. Questionnaires
c. Experiments
35
 Writing Business Reports

5. Analyzing data

Analyzing data: Quantitative analysis by Calculating

statistics
– Averages
– Trends
– Correlation

Qualitative analysis by using SWOT framework

– Strengths
– Weaknesses
– Opportunities
– Threats 36
 Writing Business Reports
6. Drawing conclusions and developing recommendations

A. Drawing conclusions
• Definition
• Example
• What constitute a sound conclusion

B. Developing recommendations
• Definition
• Example
• What are useful recommendations

37
 Writing Short Business Reports

Part Three: Writing Proposals and Reports

VII. Writing reports and proposals
A. Choosing proper degree of formality
1. Formal tone
2. Informal tone

B. Organizing reports: Components of a formal

report
1. Preliminaries (prefatory parts)
2. Body (text of the report)
3. Supplements
38
 Writing Short Business Reports

1. Developing structure clues

•. Opening
•. Headings and lists
•. Transitions
•. Previews and reviews
•. Ending

2. Letter of Transmittal (included for reference only)

3. Executive Summary

39
 Solicited Proposals

• Are prepared at request of clients

• Meet specifications spelled out in request for proposal (RFP)
• Involve in direct competition with other vendors
• Use a standard organization (purpose of proposal, scope of
work, background of problem, limitations, proposed effort,
methods, schedule, facilities, equipment, personnel, costs,
key points, action ending)

40
 Unsolicited Proposals

• Are initiated by seller without invitation from client

• Face no direct competition from other sellers

• Succeed only if client is convinced of need for action

• One important type of unsolicited proposal, the business

plan, is used to get funding from outside investors or lenders

41
 Steps in Preparing a Proposal & Report
Defining the Problems • Establish the scope of the investigation
• Avoid defining errors

- Why are we having trouble in hiring?

Outlining Issues for Analysis • Informational assignment

• Analytical assignment
- Are salaries too low?

- Is our location poor?
- Is the supply of secretaries diminishing ?
Preparing the Work Plan • Explain how the problem is to be solved
 (steps; time; method)

Doing the Research • Reviewing the secondary data

 • Collecting primary data

Analyzing the Data •Statistical analysis

• Conclusions
• Recommendations
 • Implications / Actions

• Formality
• Consistency in time perspective
Writing Reports or Proposals • Structure

42
 Outlining Issues for Analysis
 Sequentially: study a process; proceed step-by-
step: 1, 2, 3…
 Chronologically: when investigating a chain of
Informational assignments
events; January, February…
(very little analysis or
interpretation)  Geographically: factoring the study
geographically, such as US—by region
 Categorically: Reviewing several distinct
aspects of a subject; Sales, Profit, Cost…
 Problem-solving methodology
 Hypotheses: to discover causes, predict results,
Analytical assignments identify solution to problem (empirical)
(analyses, conclusions, or  Relative merits: to compare alternatives against
recommendations) criteria

43
 The Problem-solving Process

1. Recognize and define the problem

2. Select a method of solution

a. Library research (secondary data)
b. Normative survey
c. Observational analysis (primary data)
d. Experimentation

3. Gather and analyze the findings

4. Arrive at an answer (conclusion)

44
 Preparing the Work plan

Written work plan for a major investigation should include:

1. Statement of problem or needs assessment (overview the current
situation; identify key issues)

2. Statement of purpose and scope of investigation

3. Discussion of sequence of tasks, methods, and constraints / limitations

4. Description of end products that will result from the study (what to be
expected)
5. Review of assignments, schedules, resource requirements

6. Plans for following up after the report is delivered

45
 Preparing the Work plan (cont’d)

Example 1:

Statement of problem
• Our company’s market share is steadily declining.

Statement of purpose and scope of investigation

• To explore different ways of selling our products and to
recommend the one that will most likely increase our market
share by 6%.

46
 Preparing the Work plan (cont’d)
Example 2:

Statement of problem
• Our current computer network system is inefficient and cannot be
upgraded to meet our future needs.
Statement of purpose and scope of investigation
• To analyze various computer network systems and to recommend the
system that will best meet our company’s current and future needs.

Statement of problem or needs assessment

• Ex: Our current computer network system is inefficient and cannot be
upgraded to meet our future needs.
Statement of purpose and scope of investigation
• To analyze various computer network systems and to recommend the
system that will best meet our company’s current and future needs.
47
 Preparing the Work plan (cont’d)
Example 3:
Statement of problem
• We need $2 million to launch our new product.
Statement of purpose and scope of investigation
• To convince investors that our new business would be a sound
investment so that we can obtain desired financing.

Example 4:
Statement of purpose and scope of investigation
• …to analyze the travel and entertainment (T&E) budget, evaluate
the impact of recent changes in airfares and hotel costs, and suggest
ways to tighten management’s control over T&E expenses.

48
 Conducting the Research
Reviewing the secondary •Commonly used in business
sources research
• Popular publications
• Government documents
• Annual reports

Collecting primary data • Documents: company files

• Observations
• Surveys
• Experiments: through
controlled testing

49
 Three Decisions Must Be Made Before
Conducting a Survey

1. Should you use face-to-face interviews, phone calls, or

printed questionnaires?

2. How many people should you contact to get reliable

(reproducible) results, and who should they be? (For
generalizability — 100+)

3. What specific questions should you ask to get a valid (true)

picture?

50
 Analyzing Data: Quantitative

Average Mean Sum

Useful when you want to compare one item or individual with the
group
Median Number in the middle of the list
Useful when one or several or the numbers are extreme
Can be misleading if one of the numbers is extreme
Mode Most frequently occurring number
Useful when you want to know what case you are most likely to
encounter
Trend Pattern exhibited by data over a period of time
(Line graph) Not affected by extreme numbers
Correlation Consistent relationship between variables.
Not necessarily indicate the cause and effect
Ex: Lung Cancer Patients vs. Smokers
51
Analyzing Data: Qualitative

SWOT(TOWS) Framework

Strength(s)

Weakness(es)

Opportunity(ies)

Threat(s)

52
 Reporting Findings

A FINDING from a research study is a specific,

measurable fact.
Example 1:

Nearly 75 percent of the recruiters responding indicated they

were more likely to hire a candidate who was involved in
extracurricular activities.

Example 2:

Only 16 percent of the consumers interviewed knew that

Hason’s Toy Company sells education computer software.
53
 Drawing Conclusions

• Interpretations of what the facts mean, which are

influenced by assumptions and value judgments
• A sound conclusion:

1. Fulfills the original statement of purpose

2. Is based strictly on the information included in the rest of
the report
3. Is logical
54
 Drawing Conclusions (cont’d)

What all facts add up to; derived from findings

Interpretation of what information means
EX: On the basis of its record and current price,
Conclusion I conclude later this company is an attractive
buy.
EX: The findings of this study lead to the
following conclusions.

55
 Developing Recommendations

What should be done in light of facts and their

meanings; a suggested action based on your
Recommendati research
ons EX: I recommend that we write a letter offering
to buy the company for $3 million.
EX: Based on the conclusion of this study, the
following recommendations are made.

56
 Useful Recommendations:

1. Lead to real improvements (practical)

2. Are financially and politically feasible and viable
3. Are based on logical analysis and sound conclusions
4. Take into account all obstacles (limitations)
5. Provide alternatives by analyzing the Pros & Cons of each
alternative
– Good strategy
– Politically sensitive issue(s)
– Objectivity
6. Indicate what should happen next and who should do what

57
 Finding, Conclusion and Recommendation

Example 1:

Finding:
Nearly 75 percent of the recruiters responding indicated they were
more likely to hire a candidate who was involved in extracurricular
activities.

Conclusion:
Active involvement in extracurricular activities is an important job-
selection criterion.

Recommendation:
Students should be involved in several extracurricular activities
prior to seeking a job. 58
Finding, Conclusion and Recommendation
(cont’d)

Example 2:

Finding:
Only 16 percent of the consumers interviewed knew that Hason’s
Toy Company sells education computer software.

Conclusion:
Few consumers are knowledgeable of our line of educational
software.

Recommendation:
An advertising campaign focusing on educational software should
be launched.
59
 Choosing the Proper Degree of Formality
Readability Be consistent in handling of time, place, point of
(Unity) view, subject and tone
Formality Informal tone – appropriate for letter and memo
reports sent to a familiar audience
Formal tone – appropriate for formal reports
submitted to unfamiliar or high-ranking
audiences

Corporate culture affects:

Action-oriented – written in direct order;
employed a crispy and efficient style
People-oriented – written in indirect style, and
the tone is polite and tentative
60
 Organizing Reports: Components of a
Formal Report
Prefatory Parts • Cover
• Title fly (optional)*
• Title page
• Letter of Authorization*
• Letter of Acceptance*
• Letter of Transmittal
• Table of Contents
• List of Illustrations (if any)*
• Synopsis or Executive Summary

61
 Organizing Reports: Components of a
Formal Report (cont’d)
Text of the Report Introduction
Body

Summary

Conclusions

Recommendations

Notes (optional)

Supplementary Appendices
Parts Bibliography

Index (optional)

62
 Developing Structure Clues
Prevent the reader from getting lost (long reports)
Five structural clues used in reports:
Opening Introduces subject and previews main ideas
 Phrased to match audience's receptivity
 Uses informative approach for receptive
audience and descriptive approach for
skeptical audience

Headings and Provide visual clues and help readers scan

lists document
 Are phrased in grammatically parallel terms
 Follow company format
 Use consistent pattern to emphasize key
points and show sequence

63
 Developing Structure Clues
(cont’d)
Connect one idea to next
• Transitions  Link major sections and serve as mini
introductions

Help readers place information in

• Previews and perspective with regard to the rest of the
paper
Reviews  Summarize what has been discussed and
introduce what will be discussed next

 Recapitulates main points in order

• Ending  Emphasizes conclusions and recommendations
(in analytical reports)

64
 Letter of Transmittal

• A separate business letter attached to the front cover of the

bound proposal document
• Introduces the proposal document to the client in response to
the client’s request
• Contains an even shorter version of the abstract and is
signed by the supervising officer of the proposing team

(for reference only)

65
 Letter of Transmittal

October 27, 200-

Mr. Sigi Bergman, Chairman
Research Committee
X Company
1806 Woodward
Detroit, MI 48209
Dear Mr. Bergman:
As requested in your memo of September 17, 200-, we, the
Authorization appointed Orphan Drug Committee, have completed the
assigned task: “What Policy Should Our Company Adopt in
Purpose Ensuring the Availability of Drugs of Limited Commercial
Value?”
As staff members we realized the importance of the question
and devoted considerable effort to (1) providing background
Highlights for the issue and (2) offering several options before ending
with a recommendation.

66
 Letter of Transmittal (cont’d)

Procedure While our bibliography suggests the wide spread of research,

we wish to thank the staff of our library, our marketing
department, and our legal department for giving effort to a
project beyond their daily roles. All transcripts, video taped
interviews, and other printed material are noted in the
appendix but are also on file in the office of the committee
chairman. We hope you find this report, along with the final
recommendation, informative and enlightening.
If you have any inquiries or would like to discuss the topic
Courteous before our group presentation on October 27, 200-, please
contact me at Extension 4567.
Close
Sincerely,

Joseph Haviv, Chairman

(For reference only) 67

 Executive Summary
The purposes of this report are (1) to determine the Sun Coast University campus
community’s awareness of the campus recycling program and (2) to recommend ways
to increase participation. Sun Coast’s recycling program was intended to respond to the
increasing problem of waste disposal, to fulfill its social responsibility as an
educational institution, and to meet the demands of legislation that made it a
requirement for individuals and organizations to recycle.

A Survey was conducted in an effort to learn about the campus community’s recycling
habits and to assess current participation in the recycling program. A total of 220
individuals responded to the survey, but 27 surveys could not be used. Since Sun Coast
University’s recycling program includes only aluminum, glass, paper, and plastic at this
time, these were the only materials considered in this Study.

Source: Guffey, M. E. (2004). Essentials of business communication (6th ed.). International Thomson
Publishing.

68
 Reference
• Raman Meenakshi, Singh Prakash, Business Communication,
Oxford University Press, 2006
• Roy W. Poe, Rosemary T. Fruehling Business
Communication- Fifth edition, paradigm Publication Inc.
• Williams, Krizan, Logan, Merrier, Communication In
Business; Cengage learning.