CHAPTER – FOUR

TYPE OF COMMUNICATION IN ORGANIZATION

A. Internal & external communication

i. External Business Communication
This refers to business transactions carried out by an organization with the outside world.

1. Outward All messages that go out of an organization to suppliers, customers, banks,

insurance companies, government departments, the mass media and the general public are
outward communication. This may be in the form of letters, telephone cells, telegrams, reports,
advertisements, press handouts, speeches, visits etc. this has an important effect on public image
and PR of an organization.

2. Inward whatever communications an organization receives from outside are inward

communications. They have to be registered, attended to, studied, acted up on, replied to and
stored.

ii. Internal Business Communication

This is communication within the organization, between managers, supervisors and workers. The
organization is generally cone-shaped with the highest authority at the top and the multitude of
workers making the bottom. At higher levels, there are an increasing number of chains of
communication coming together. It can be formal and informal. The formal is divided in to
vertical, horizontal and diagonal.

Messages that move up and down the authority line are called vertical communication and those
that move among persons of the same level are called horizontal communication. Messages that
diagonally between individuals at different levels or positions are called diagonal
communication.

b. Formal flow of Communication

2.3.1.1. Vertical Communication
This may be downward or upward.

A. Downward: When the communication flows from higher level to lower level, it is called
downward communication. Order, individual instructions, policy statements, circulars etc.

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 fall under downward communication. Messages that go from the higher authority levels to
the lower levels are downward communication. The common purpose of downward
communication is to give instructions and information and since people at the lower levels
may not understand it easily, downward communication should be simple and carefully
explained to avoid any misunderstanding. It may be told to all concerned in a cluster or down
a chain of command.

Top
Top

B
A D
B C
C

Cluster approach Down a chain of command

Fig. 2.6: Approaches to downward communication

If communication has to pass through many levels of authority on its way down, there is delay as
well as direction of the message because of the editing and simplifying etc. Communication in a
cluster is faster and more effective than communication down in a chain of command.

 Objectives of Downward Communication

a) Information: It can be done orally or in writing. Whatever information is needed for daily
work is given orally. Progressive management believes in keeping employees well informed
about the company’s aims, plans, progress and prospects, etc.
b) Instruction: Subordinates and junior staff are given instructions on the tasks that are to be
performed from time to time. In most cases, it’s done orally. An order is more formal. It is in
written form, and generally means that the matter mentioned in it is formally and finally
accepted.
c) Requests: These are usually made for getting information and a senior may request a junior
to do some additional work.
d) Advice: This may be given on matters related to work or on personal matters if the
relationship permits.

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e) Counseling: is an organized and specialized form of advice.
f) Education and Training: Given to employees, this is done through organized courses and
programs. On-the-job-communication is one part of this which refers to some instruction and
training provided when a new employee takes up his job, even if he has had previous
experience.
g) Warning and Notice: to give warning to employees who step out of line.
h) Persuasion: This means making efforts to change or influence the attitude and behavior of
others. There are three factors in persuasion:
(1) The personal character and reputation of the persuader must be respected and
accepted by others.
(2) The emotional appeal made by the persuader (either to the physical needs, social
needs or ego needs).
(3) The logic of the presentation – show them how they will benefit by accepting.
i) Appreciation: of good efforts, work and achievements of employees by supervisors and
managers is very useful for creating a good attitude among the staff.
j) Motivation: is providing people with a motive, an incentive, an either urge to make effort and
do their best:
(1) Listening to them and respecting their views,
(2) Ensuring that credit is given where it’s due,
(3) Avoiding criticizing people even when opposing their ideas.
k) Raising Morale: This is an important objective of communication. This helps to boost the
confidence of the employees.
 Benefits of Downward Communication
1. Helps to explain to subordinates the organizational plans, policies program and procedures,
work methodology etc. necessary information for performing the job.

2. Helps to convey to the subordinates the expectations of management from them.

3. Acts as a mean to control the activities of the subordinates with active feedback.

4. Provides motivation to the subordinates.

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 Problems of Downward Communication

1. Sometimes the message may be distorted in the transmission from one level to another level.

2. If a particular authority is not present on the time of passing information it may leads to delay
in transmission of the message.

3. Sometimes when the workload is unevenly distributed among the employees it creates
overload or unload of work which causes dissatisfaction among the employees.

 How to Make Downward Communication Effective

1. Managers should be adequately informed.

2. Managers should be clear about how much to communicate.

3. Some authority should delegate to lower levels to shorten the line of communication.

4. Information should be passed on to the correct person.

B. Upward: This communication flows the message from subordinates to superiors. It is reverse
of the downward communication or communication flows from lower level to upper level.
Messages that go from subordinates to supervisors higher levels are upward communication. The
purpose is usually to give information and reports.

Nowadays, upward communication is encouraged. Managers realize that employees who are
listened to are happier and work better. And anyone at any level of the organization might have
some good ideas and suggestions which might be helpful to the organization.

There are, however, many barriers toward upward communication:

(1) Subordinates may be shy and frightened to talk to supervisors
(2) Superiors may not be willing to their subordinates
The following upward channels are found in most organizations:
1) Regular reporting systems
2) Periodical interviews
3) Suggestion scheme
4) Committees (like grievance, welfare, counseling committee)
5) Open door policy
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 6) Informal gatherings
7) Review and feedback
 Objectives of Upward Communication
a) Reports: All employees with any degree of responsibility and independent duties are required
to report, periodically, on their work.
b) Information: It’s necessary to keep information channels open in all directions so that
managers may know not only about the progress that is being made, but also about the
climate of opinion and feeling among the staff.
c) Requests: The staff makes for various kinds of permission or favors. There may be a request
for leave, for permission to report late or leave early… Applications are written requests.
d) Appeals: are special requests for favors that don’t fall within the privileges of employees.
e) Demands: are put up only through employee unions.
f) Representations: are always in writing. N employee who feels that he has not been given
what he deserves (for example, a promotion) makes a representation.
g) Complaints: are made when there are faults or defects in the systems, or in the goods
supplied, so that they may be corrected could be oral or written.
h) Suggestions: from employees at all levels are greatly welcomed by modern management.
Suggestion schemes: Channels to encourage upward communication. They should have
a) A committee for working the scheme
b) A set of rules indicating who is eligible, what is the procedure for examining and
assessing suggestions, what is the basis for rewards?
c) A provision of suggestion forms and suggestion boxes
d) A system of awards
 Benefits of Upward Communication

1. Provides feedback to the superiors.

2. Introduction of new schemes without unduly opposition from the employees.

3. Helps in to promote harmony between the management and the employees.

4. Problems and grievances are redressed.

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 Problems of Upward Communication

1. Employees fear that their criticism may be interpreted as a sign of their personal weakness.

2. Bypassed superiors feel insulted which leads differences between the relationship of the
superiors and employees.

3. Great possibility of message distortion.

 Methods/Channels of Upward Communication

1. Subordinates tell their problem and through discussion find out the solution for a particular
problem with the help of superiors.

2. If employees have any complaint and suggestion about working environment, policy and
procedure, peer group etc., they write to management without giving identification of themselves
and drop into the box. And the management frequently checks these grip boxes and finds out the
solution of problem.

3. Organizations celebrate their anniversary, arrange sports meets for their employees, doing
some kind of social welfare activities like plantation, providing food for flood affected areas etc.
are the mode of social gathering where superiors and subordinates are at the same platform and
share their emotions, feeling and thought more comfortably.

4. It is just opposite to grip box system. Here, identification of employee is not hidden. Any
employee can write directly to the higher level about the problem which he/she had.

5. It emphasizes the psychological aspect of human beings. A superior acts as counselor and
counsels the problem facing employees. Counseling does not mean treating only problem facing
employees but also for the better prospect or how employees do better in their workplace.

 How to Make Upward Communication Effective

1. Superiors should take initiative to get close to the subordinate staff.

2. Keep the line of communication short as much as possible.

3. Timely redress the grievances of the employees.

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2.3.2.2. Horizontal/Lateral Communication
This is a communication flow between persons of equal status in an organization. It may be
written or oral. And the amount may be greater at higher levels of the department than at lower
ones. It facilitates decision-making. It is also used for problem solving and to coordinate task.

 Objectives of Horizontal Communication

The main objective of horizontal communication is exchange information. There may also be
requests for purposes of cooperation and coordination; suggestions may be made either
informally or at conferences or meetings.

Organized horizontal communication is in the form of conferences and meetings. Discussion of

the various problems is the main objective of meetings. Persuasion plays a large part in
horizontal communication, as matters are discussed and agreed upon and coordinated.
Discussions also have an educative value, and are used in training programs.

This communication flows between persons at the same hierarchy level either the same or
different departments or divisions of the organization.

Fig. 2.7: Horizontal/Lateral Communication

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 Benefits of Horizontal Communication
1. It develops mutual trust and confidence amongst employees of same level which help in
maintaining or promote understanding between similar position holders of different departments.

2. If employees at similar position communicate to each other for a given task it will create or
develop the feeling of co-ordination among various departments.

 Problems of Horizontal Communication

1. Sometimes it creates rivalry among employees of various departments.

2. Proximity shows the liking and disliking of an employee who is nearby another in respect of
space. Like in any organization HR Department and Marketing Department are near to each
other than Manufacturing Department. So proximity exists between HR and Marketing
departments and they favor each other as compared to Manufacturing Department.

3. Biasing shows the liking and disliking of an employee due to religion, caste, family
background, personality etc.

 Methods of Horizontal Communication

A. Face-to-Face Discussion: This is when individual communicate directly to another. Face-to-
face communication minimizes the problem of misinterpretation and quick feedback makes the
communication more effective.

B. Telephonic Conversation: When the employees are busy with their work or they are sited far
from each other telephonic conversation becomes more relevant against face to face
conversation. It saves time but sometimes congestion or disturbance and any other obstacles
create delay and distort the message.

C. Periodical Meeting: Periodical meeting means meeting between employees on weekly,

monthly, quarterly, annual bases where all the members are assembled and discuss on
predetermined issues.

D. Memorandum: Memorandum is a written form of communication which transmits between

different departments in the same organization. It is also called an interoffice letter.

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2.3.2.3. Diagonal Communication
This is used for functional authority, and it is important. It’s between individuals at different
levels or positions. Some authorities are sliced away from another department and given to staff
managers. It’s the least used channel of communication. Staff managers are those with authority
to give advice to the organization.

C.Informal/ Grapevine Communication

Factor responsible for the grapevine phenomenon
1. Feeling of certainty or lack of direction when the organization is passing through a difficult
period.
2. Feeling of inadequacy or lack of self confidence on the part of employee, leading to the
formation of gaps.
3. Formation of a clique or favored group by the managers, giving other employees a feeling of
insecurity or isolation.
Forms of grapevine communication
1. Single chain: In this type of chain ‘A’ tells something to ‘B’ who tells it to ‘C’ and so on it
goes down the line. This type of communication flows from one person to another person
through single chain or communication flows one by one. When ‘A’ tells something to ‘B’ who
tells it to ‘C’ and so on. One interesting fact comes out from this type of communication that
when one person passes certain information to other and they treat the message as confidential or
secret which further communicated by another with same feeling of confidentiality and secrecy.
2. Star chain: In this type of chain person speaks out and tells everyone the information he/ she
has obtained. This chain is often used when information or a message regarding an interesting
but non job related nature is being conveyed. Sometimes it also called gossip chain.
3. Cluster chain: In this type of chain ‘A’ tells something to a few selected individuals who
again inform a few selected individuals. And the information flows in similar manner to other
individual
4. Probability chain: The probability chain is a random process in which a transmission of the
information to other in accordance with the laws of probability and then these tell still others in a
similar manner. The chain may also be called random.

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MERITS
1. under grapevine message travel or transmitted faster than any other form of communication
because group formation is based on individual’s own liking and disliking.
2. It supports other channels of communication.
3. Feedbacks are quickly comes out from this type of communication.
4. When an individual communicates with other individual through grapevine it will develop the
cohesiveness and maintain or promote harmony between members of group.
5. By using grapevine communication, employees feel emotional relief. Because they can
communicate with other without the feeling of inadequacy and without threat of higher authority.
DEMERITS
1. There is a great possibility of distortion of message between members of group.
2. Transmission of message depends upon willingness of sender and what method they used in
grapevine which causes sometimes transmission of incomplete information.
How to make effective
1. The managers should try to spot the leaders. So the harmful rumours do not reach the
employees.
2. Involve the workers in the decision making process.
3. The management should immediately use the official channels to contradict the rumours.
2.1.2.2 Verbal communication
Verbal communication is when we communicate our message verbally to whoever is receiving
the message. It is of two types oral and written which had their own advantages and
disadvantages.
Oral communication: Oral communication is the communication where the message or
information exchanges by spoken words. It can be done by both faces to face and also through
mechanical devine.
Written communication: Written communication is the communication where the message or
information exchanges by written words. Letter, telegraph, fax, e-mail are examples of written
communication. Written communication guarantees that everyone concerned has the same
information. It provides a longlasting record of communication for future. Written instructions
are essential when the action called for is crucial and complex. To be effectual, written
communication should be understandable, brief, truthful and comprehensive.

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D. Non-verbal communication
Non-verbal communication is usually understood as the process of communication through
sending and receiving wordless messages. Such messages can be communicated through gesture;
body language or posture; facial expression and eye contact; object communication such as
clothing, hair styles or even architecture; symbols and infographics. Speech may also contain
non-verbal elements known as paralanguage, including voice quality, emotion and speaking
style, as well as prosodic features such as rhythm, intonation and stress. Likewise, written texts
have non-verbal elements such as handwriting style, spatial arrangement of words, or the use of
emotions.

Albert Mehrabian, a contemporary writer on non-verbal communication, has determined from

research that as much as 93% of communication is non verbal. Non-verbal communication is any
information we communicate without using words. Thus the way a person uses voice, body
movement (for example, eye contact, facial expression, gesture and posture), clothing and body
appearance, space, touch, and time is an essential part of every message that he or she sends.

2.3.1.2. Types of Non-verbal Communication

Non-verbal communication can be of different types. The ones listed below can be taken as the
most widely known types of non-verbal communication.

1. Paralanguage: It is the way we say something. It includes such characteristics as rate (speed
of speaking), pitch (highness or lowness of tone), volume (loudness) and quality (pleasant or
unpleasant sound).
2. Facial expression: such as eye contact (very important to control the degree of attention) and
other body movement and gesture.
3. Posture: The way in which a person holds himself indicates something about his feelings
and thoughts. For example, sitting straight exhibits tenseness or anxiety; leaning back is a
sign of relation and leaning forward might indicate excitement.
4. Clothing and personal appearance: ‘You are what you wear!’ It is part of communication.
You never get promoted to a position you don’t look like you fit in. You must wear
appropriate clothing for different situations.
5. Distance and Personal space: We must keep distance according to our relationships.

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6. Physical environment:
a) Color – It has impact on our emotions.
b) Lighting – Different light magnitudes have implications.
c) Room size – Different room size for different occasions
d) Odor – Bad smell could destruct communication.
e) Furniture arrangement, noise, window position…
7. Time: The time we arrive at can tell the respect we have towards the person.
8. Tactile communication: is communication by touch. It is the earliest and most elementary
mode of communication of the human organism. Tactual sensitivity is the most primitive
sensory process in lower organisms. Tactile communication is of special significance to
human beings. It is the first form of communication experienced by the infant, and it is
known that the early tactile experiences are crucial in the later development of symbolic
recognition and response. Parental care and love through infancy and childhood are largely
matters of tactile communication, tactual contacts that comfort, reassure, express acceptance,
give encouragement, and build confidence in the child.
For adults, tactile communication is a potent form of non-verbal communication. It has at
least four characteristics:
a) Tactile communication is ordinarily limited to two persons;
b) Tactile experience is immediate and transitory, operating only as long as contact is
maintained;
c) It is reciprocal in the sense that who or what a person touches also touches him; and
d) It takes place on the level of signal (direct stimulation through the sense of touch) rather
than through symbolic mediation.
9. Silence: can be used to communicate. It is not unusual that what is not said is as important as
or more important than what is said. Silence can have messages such as disagreement,
violation, snoring, etc.

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