CHAPTER FOUR

TYPES OF COMMUNICATION

Chapter Objectives:
After completing this chapter, you will be able to explain:

 Formal communication
 The benefits of the different forms of formal and informal communication
 The meaning of informal communication and its forms.

 Identify and describe types of formal and informal communications.

 Explain the advantages and disadvantages of downward, upward, and horizontal

communications.

Introduction

Every organization is concerned with two types of communication: external and internal.
Externally, it has to communicate with other business house, banks, government offices, the
press, the customers and the general public. Internal communication consists in transmitting
information within the organization.

Internal communication may again be of two types: formal or official, and informal. Formal
communication flows along prescribed channels, which all members desirous of
communicating with one another are obliged to follow. Formally, a clerk working in any of
the section cannot directly communicate with the managing director. He must talk to his
supervisor, who will pass on the message to the departmental manager, from where it will go
to pass through the hands of the sales manager, the accounts officer and a supervisor in the
accounts department. Formal communication may move vertically or horizontally. Vertically
communication can follow downward (from subordinates to superiors). Horizontal
communication flows between employees of equal or comparable status. The format for these
communications is predetermined and cannot be altered.

In addition to these channels of communication, there exists in every organization an

informal channel of communication. There exists in every organization and informal
channels, often called the grapevine, that does not arise out of the organizational needs, but

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 that is, nevertheless, an integral part of its communication system. Rumors that are all the
time spreading in any organization.

4. INTERNAL COMMUNICATION

Internal communication is the exchange of messages between employees inside the

organization. About customer needs, supplier delivery schedules, or project progress, you are
communicating internally. When you talk, send an e-mail message, or write a memo to co-
workers, supervisors, or managers .Businesses cannot function and employees cannot
perform their jobs well without adequate internal communication. Internal communication
may again be of two types: formal or official, and informal

4.1. Formal communication

Formal communication is a type of communication which is found in any formally
organized organization. This type of communication is mainly performed through
writing (letters) which involves upward and down ward communication. In this lesson,
we will discuss about the different forms of formal communication.
In formal communication, transmission of messages is made as per the procedures
specifically set up for the purpose in the organization. Usually orders and instructions flow
from the superiors to the subordinates and reports, suggestions, and recommendations flow
from the subordinates to the superiors.

Figure 4.1 Information flow in an Organization

Horizontal

Upward
Diagonal
Downward

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4.1.1. Downward communication
As explained earlier, communication flows from a superior to a subordinate. The managing
director communicating with the department managers, a manager giving a directive to an
assistant manager or a supervisor, a foreman instructing a worker, are all engaged in the
process of downward communication. Orders, individual instructions, policy statement, job
sheets, circulars etc. fall under downward communication. Down ward communication is
eminently suited to an organization in which the line of authority runs distinctly downward.
With each rank clearly below another, to which it is directly related. But in the complex
structure of large –size mourn organizations, where a number of executives like the
production manager, the sales manager, the purchase officer, etc. enjoy an equal rank, it is
difficult to depend purely o the downward flow of communication. It continues to hold a
prominent place even there, but it has to be supplemented by another channel of
communication.

Main objectives of downward communication

The followings are the main objectives o downward communication

i. To give specific directives about the job being entrusted to a subordinate. The
decisions taken at the managerial level are transmitted to the subordinate staff in the
form of directives so that action may be initiated.
ii. To explain policies and organizational procedures. A clear u9nderstanding of the
policies gives the lower staff a wider perspective so that they can grasp, and play their
role more meaningfully. Fuller knowledge of organizational procedures minimizes the
possibility of misunderstanding and confusion.
iii. To appraise the subordinates of their performance. If the performance of a
subordinate is objectively assessed and the assessment communicated to him in a
considerate tone, it will definitely promotes his efficiency. Appreciation of good work
will raise his morale and strength his dedication, pointing out his shortcomings will
enable him to overcome them.
iv. To give information about the rationale of the job, i.e., to explain to a subordinate the
significance of the job assigned to him and why he was been entrusted with it. The
importance of this objective of downward communication has only recently been
recognized. But it is unbootable that if a man knows the reason for his assignment and
understands the significance of his job in relation with the organizational goals, he is
sure to work more effectively.

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Media for downward communication

The kinds of media used for downward communication include instructions, speeches,
meetings, the telephone, loudspeakers, memorandum, letters, handbooks, pamphlets, policy
statements, procedures, and electronic news displays.

Limitation of downward communication

1. Under –communication & over-communication.

Downward communication is often marred by either under-communication or over-
communication, i.e., a superior may either talk too little or too much about a job.
Sometimes the superior act in a presumptuous manner; they communicate the decision
but withhold relevant background information about how those decisions were arrived at.
If the managing director orders a number of transfers without taking in to confidence his
departmental heads, he is guilty of under-communication, and his action is likely to cause
apprehensions, among his staff. Under-communication may also involve incomplete
instructions, which will inevitably lead to unsatisfactory performance. Over-
communication or talking too much on the other hand, may lead to the leakage of
confidential information.
2. Delay. The lines of communication in downward communication being very long,
transmitting information to the lowest worker is a time-consuming process. By the
information reaches him, it may have lost much of its significance, or it may have caused
damaging delay.
3. Loss of information. Unless the communication is fully written it is not likely to be
transmitted downwards in its entirety. Part of it is almost certain to be lost. In fact, it has
been experimentally verified that only cent of the communication sent downward through
five levels of management finally gets to the workers ‘level’.
4. Distortion. In long lines of communication, information is not only lost but even
distorted. Exaggerating, marketing under–statements, giving unconscious twists to facts
are a part of human nature. Whenever a piece of information passes on from one
individual to another, it loses a little of its authenticity. By the time it reaches its
destination. It may not contain even a lot of the truth.
5. Built-in resistance. Downward communication involves of too much authoritarianism.
The subordinates do not get any opportunity of participating in the decision making

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 process. They are expected to receive the policy decisions and directives without
questioning their appropriateness, utility of validity which they resent.

4.1.2. Upward Communication

If the managers have to transmit information down the line of authority, they have also to
receive information continuously emanating from levels below them. The communication
channel which pushes the flow of information upward is known n as the upward channel of
communication. Managers have only recently come to recognize the importance of upward
communication.

Importance of upward communication

1. Providing feedback. Upward communication provides the management with necessary

feedback. The management is able to ascertain whether the directives issued to the lower staff
have been properly understood and followed. It also gets valuable information on what the
employees think of the organization and its policies.

2. Outlet for the pent –up emotions. Upward communication gives the employees an
opportunity to vent their problems and grievances. Although the management often thinks it
knows and realizes the grievances. Of the employees, the latter hardly feel convinced and
satisfied. In any case, it is of vital importance to look at the employee’s problems as they look
at them. The genuine and pressing grievances are redressed; a ground is prepared for the
solution of some other problems; and with regard to; those problems, which cannot be
immediately solved, at least the employees feel light after having talked about them.

3. Constructive suggestions. Often employees offer constructive suggestions to promote the

welfare of the organization. Some of these suggestions, when implemented, definitely prove
beneficial. If some perceptible change is felt in consequence of the suggestion made by the
employees, they feel highly encouraged. They develop a sense of participation in the
decision-making process. It helps them to identify themselves with the organization and to
develop greater loyalty towards it.

4. Easier introduction of new schemes. Since the employees feel themselves to be a party to
the decision-making process, it helps the organization to introduce new schemes without
unduly antagonizing the employees. They not only willingly lend their concurrence and

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support to any new schemes floated by the management but take extra pains to make success
of it.

5. Greater harmony and cohesion. Upward communication acts as a kinds of lubricant. It

makes the atmosphere in the company congenial and creates greater harmony and cohesion
between the management and the employees.

Methods of upward communication

Some of the more commonly used methods of upward communication arte discussed below.

1. Open-door policy. The employees are given a feeling that the manager’s doors are always
open to them. Whenever they like, can walk in to his room, without and hesitation
whatsoever, and talk to him about their problems.

2. Complaints-and-suggestions boxes. At some convenient places in the office or the factory,

complaints-and-suggestions boxes are installed. The employees are encouraged to drop their
complaints or suggestions, if any, into these boxes. These boxes are opened at regular
intervals and the inform gathered scrutinized.

3. Social gatherings. social gatherings are frequently arranged in different departments. These
gatherings offer a very informal atmosphere in which the employees shed their inhibitions
and feel free to talk about their problems.

4. Direct correspondence. Sometimes the managers may directly write to an employee and
ask him to communicate with him. Or the employees may write to their high-ups on their
own initiative.

5. Reports employees may be required to submit reports about the progress of their work at
regular intervals.

6. Counseling. In some organizations, workers are encouraged to seek the counsel of their
personal problems. What they think to be their personal problem s are often a conglomeration
of domestic and official problems, in the office, they often feel stifled due to lack of offended
by the officious of unduly meddlesome nature of their superiors of even their colleagues. As
they feel encouraged to talk about themselves freely, they provide the managers with valuable
information. While counseling helps the employees to solve their problems, the information
provided by them is utilized by the managers to give a better shape to their future policies
colleagues. As they feel encouraged to talk about themselves freely, they provide the
massagers with valuable information. While counseling helps the employees to solve their

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problems, the information provide by them is utilized by the managers to give a better shape
to their future policies.

Limitations of upward communication

Though no one can dispute the utility and importance of upward communication, it is not
very easy to have a smooth upward flow. Moving against the force of gravity, which seems to
be rather difficult, upward communication suffers from a number of limitations more
prominent of which are discussed below.

1. Employees are usually reluctant to initiate upward communication. The managers

might keep their doors open, but they cannot force the employees to walk into their
room. Employees do experience an awe of authority and fight shy of contacting their
superiors.
2. Employees often feel that if they communicate their problems to their superiors, it
may adversely reflect on their own efficiency. If a supervisor experiences some
difficult in getting co-operation from his workers and points it out ot the departmental
manager, the latter might feel that the supervisor himself is imcompetent. If a clerk
who has just joined the office complains that the filling system of the office is in total
disarray, his supervisor might conclude that the clerk himself is not efficient enough
to handle filing properly.
3. Upward flow of communication is more prone to distortion than downward
communication. In downward communication, distortion is often unconscious, but
upward communication is deliberately distorted. Some managers lose their cool if
they are If they are confronted with unpleasant or unpalatable facts. So information.
Particularly of the unpalatable sort, is suitably edited before it is passed on to them.
While transmitting communication upwards, the transmitter is always conscious of
how it will be received and he cannot resist the temptation of sugarcoating the
information.
4. Sometimes, in the process of upward communication, workers become too bold,
ignore their immediate superiors and directly approach the topmost authorities with
their suggestions or complaints. This proves harmful in two ways. The officers who
have been by passed feel slighted. While the high ups get suspicious of the workers
intentions. The relations between the workers and their immediate superiors get
strained and work suffers.

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 5. Any negligence shown towards upward communication makes the workers cynical.
They carry the impression that the opportunity to communicate upwards that the
management claims to have provided to them is only an eye-wash. This acts as a
barrier to upward communication in future.
4.1. 3. Crosswise Communication
Crosswise communication includes the horizontal flow of information and the
diagonal flow of information. This kind of communication is used to speed
information flow, to improve understanding, and to coordinate efforts for the
achievement of organizational objectives. Modern organizations use many kinds of
oral and written crosswise communication patterns to supplement the vertical
(downward and upward) flow of information.
a. Horizontal Communication

Communication between departments or people on the same level in the managerial

hierarchy of organization may be termed as horizontal or lateral communication. It is the
most frequently used channel of communication workers communicating with other
workers, clerks exchanging information with one another, supervisors holding a coffee-
break session to discuss some organizational problems are all engaged in horizontal
communication.

A dear learner, horizontal communication is the flow of information among people on the
same or similar organizational levels.

The importance of horizontal communication

Horizontal communication is necessary in an organization for the following purposes:

 To coordinate and integrate diverse organizational functions.

 To prepare plan.
 To solve problems: such as how to reduce waste, etc.
 To share information: such as an easier way to perform a task.
 To resolve conflict: such as disagreement between co-workers.
 To build relationship: group member’s interactions, to build understanding and
friendship.

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 The methods of horizontal communication

Horizontal communication is most effectively carried on through oral means. Face to face
exchange of views or a brief conversations carry with them an air or informality. Formal
channels tend to make managers status conscious so that they express their views in
extremely measured terms. This impedes the free flow of communication. But the
congenial atmosphere in which oral communication takes place allows freedom of
expression; there is immediate feedback and all doubts and misunderstandings are sorted
out. Periodical meetings among the department needs are also used for oral
communication. Among written means, letters, memorandums and reports are most
frequently used. Short memos are found very convenient for transmitting small bits of
information. Large organizations provide printed memo forms to various departments
with space provided for information like who is communicating and with whom and what
the communications is curb its growth, it is much better to feed water and cultivate it so
that it can be used for the benefit of the organization.

The advantages of horizontal communication can be summarized as follows:

 It increases worker productivity through coordination of interpersonal working

relationships.
 It boosts morale.
 It allows employees to interact and learn from each other.
 It encourages teamwork and collaboration.
B. Diagonal Communication

Diagonal communication is the flow of information among persons at different levels who
have no direct reporting relationships with one another. Diagonal communication is important
in situations where members cannot communicate effectively through other channels. A
diagonal channel would be the most efficient in terms of time and effort for the organization.

4.2. Informal communication

We have well discussed in the above section about formal communication, this topic will
focus on informal types of communication which is different from the formal one in that
it does not follow any specified pattern .Informal communication is usually
communicated through oral words between friends and workers from different sections or
departments. The most common type of informal communication is known as Grapevine.

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4.2.1. Grapevine

So far we have been discussing the formal channels of communication, which follow
certain definite, predetermined directions. A part from them, there operates in every
organization an informal channel of communication called the grapevine, in any
direction, anywhere, and spreads fast.

About 80 percent of grapevine communication is work related, and over 80 percent of the
time the grapevine is accurate (Cook and Hunsaker).

It is quite natural for a group of people working together to be interested in one another
and talk about appointments, promotions, retrenchments, or even domestic affairs like the
estranged relations of an employee with his wife or the romantic involvements of one
another. Information on most of these matters is supposed to be secret. But some people
drive great pleasure from gathering such “secret” information and transmitting it to
others. They are the leaders who control the grapevine. The information that travels
through a grapevine typically takes the form of gossip (beliefs about other people) and
rumors (efforts to predict future events).

The grapevine is more a product of the situation than it is of the person. Certain situations
like insecurity of service, uncertainty over promotions, special increments to a particular
employee, certain innovations in the organization likely to affect the job prospects of the
employees are sure to activate the leaders of the grapevine so that very soon all kinds of
rumors have spread in the organization. Some employees feel that grapevine information
is more detailed and more current or relevant than messages received through formal
channels.

There are four possible types of grapevine chains see figure 4.2.

1. In single strand chain, person A tells something to person B, who tells it to person
C, and so on. This chain is least accurate at passing on information.
2. In the gossip chain, one person seeks out and tells everyone the information he or she
has obtained.
3. In the probability chain, individuals are indifferent about whom they offer
information to. They tell people at random, and those people in turn tell others at
random.

This chain is likely to be used when the information is mildly interesting but insignificant.

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 4. In the cluster chain, person A conveys the information to a few selected individuals,
some of whom then inform a few selected others. Usually few individuals, called
“Liaison individuals,” pass on the information they have obtained, and they are likely
to do so only to people they trust or from whom they would like favors. They are most
likely to pass on information that is interesting to them, job –related, and above all,
timely.

K1. E
E
K B I

G H
D2. K

C
3. D
E D
D F B
G C F
B C
K
H
B A A
A
K
Single Strand Probability Cluster

Gossip

Figure 4.2 Types of grapevine chains

Advantage and Disadvantages of grapevine

Advantages of the company grapevine include the speed at which messages can travel
the opportunity for management to receive important employee feedback.
Disadvantages of grapevine

1. Distortion: One of the major drawbacks of the grapevine is that it may spread baseless
or destroyed news, which may sometimes prove harmful even to the employees. If a
supervisor is summoned to the managers room and is kept busy there for a couple of

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 hours, all kinds’ of rumors may have spread about him before he has come out. The
grapevine respects nobody and it may ascribe the worst possible motives to the
noblest of people.
2. Incomplete information: The grapevine information is usually incomplete. So there is
likelihood of its being misunderstood or misinterpreted.
3. Damaging Swiftness: The swiftness with which the grapevine transmits information
may even be damaging. A rumour may have spread and caused serious damage before
the management becomes aware of it and can take any rectifying steps.
HOW TO USE THE GRAPEVINE EFFECTIVELY

Because of the damaging effect the grapevine is capable of producing some managers are
highly suspicious of it and want to stop it completely. They don’t realize that the
grapevine can neither wither nor die. The more they try to block its flow, the greater the
force with which it will erupt. Instead of trying to curb its growth, it is much better to
feed, water and cultivate it so that it can be used for the benefit of the organization. The
grapevine can be effectively used in the following ways:

1. The managers should try to find out the people who are more active on the grapevine
and keep them well informed so that harmful rumors do not reach the employees

2. If there is any false rumour, the management should immediately use the official
channels to contradict and to dispel the fears of the employees.

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