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MANORGBEV
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Chapter 12
Communication in
Organizations
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Learning outcomes
Describe the role and importance of communication in the manager’s
job.

Identify the basic forms of communication in organizations.

Describe the role of digital communication in organizations.

Discuss informal communication, including its various forms and types.

Describe how the communication process can be managed to recognize

and overcome barriers
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Communication and The Manager’s Job

A Definition of Communication

Communication
The process of transmitting information from one person to another

Effective communication
The process of sending a message in such a way that the message received is as close
in meaning as possible to the message intended

Data
Raw figures and facts reflecting a single aspect of reality

Information
Data presented in a way or form that has meaning
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The Role of Communication in Management

Characteristics of Useful Information

Accurate information
Provides a valid and reliable reflection of reality

Timely information
Available in time for appropriate managerial action

Complete information
Provides the manager with all the information that he or she needs

Relevant information
Information that is useful to managers in their particular circumstances for their
particular needs
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The Communication Process

Steps in the Communication Process

 Deciding to transmit a fact, idea, opinion,

or other information to the receiver.
 Encoding the meaning into a form
appropriate to the situation.
 Transmitting through the appropriate
channel or medium.
 Decoding the message back into
a form that has meaning to the
receiver.
 “Noise” is anything disrupting the
communication process.
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Forms of Communication in Organization

Interpersonal Communication

Oral communication
Face-to-face conversation, group discussions, telephone calls, and other
circumstances in which the spoken word is used to transmit meaning

Written communication
Memos, letters, reports, notes, and other circumstances in which the written word
is used to transmit meaning
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Forms of Communication in Organization

Communication in Networks and Work Teams

Communication network
The pattern through which the members of a group communicate

Types of Communication Networks

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Forms of Communication in Organization

Organizational Communication

Vertical communication
Communication that flows up and down the organization, usually along formal
reporting lines; takes place between managers and their superiors and
subordinates and may involve several different levels of the organization

 Upward communication consists of messages from subordinates to

superiors
 Downward communication occurs when information flows down the
hierarchy from superiors to subordinates.
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Forms of Communication in Organization

Organizational Communication (cont’d)

horizontal communication
Communication that flows laterally within the organization; involves colleagues and peers
at the same level of the organization and may involve individuals from several different
organizational units

Formal Communication in Organization

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Forms of Communication in Organization

Digital Communication

Information technology (IT) The resources used by an organization to manage information

that it needs to carry out its mission

Information Systems Advances in IT have made it increasingly easy for managers to use
many different kinds of information systems

Transaction-processing systems (TPSs) An application of information

processing for basic day-to-day business transactions

Management information systems (MISs) An information system that supports

an organization’s managers by providing daily reports, schedules, plans, and
budgets

Decision support systems (DSSs) An interactive system that locates and presents
information needed to support the decision-making process
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Forms of Communication in Organization

Personal Digital Technology

Telecommuting
is the label given to a new digital cottage
industry. In telecommuting, people work at
home on their computers and communicate
with colleagues and co-workers using
electronic media
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Forms of Communication in Organization

Digital Communication (cont’d)

Executive support system (ESS)

A quick-reference, easy-access application of information systems specially designed for
instant access by upper-level managers

Artificial intelligence (AI)

The construction of computer systems, both hardware and software, to imitate human
behavior— that is, to perform physical tasks, use thought processes, and learn

Intranets
A communication network similar to the Internet but operating within the boundaries of a
single organization

Extranets
A communication network that allows selected outsiders limited access to an organization’s
internal information system, or intranet
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Informal Communication in Organizations

The Grapevine
An informal communication network among people in an organization

Common Grapevine Chains Found in Organizations

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Informal Communication in Organizations

Informal Communication in Organizations
may or may not follow official reporting relationships or prescribed channels. It may
cross different levels and different departments or work units, and it may or may not
have anything to do with official organizational business.
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Informal Communication in Organizations

Management by Wandering Around
An approach to communication that involves the manager literally wandering
around and having spontaneous conversations with others

Nonverbal Communication
Any communication exchange that does not use words or uses words to carry more
meaning than the strict definition of the words themselves

 Images—the kinds of words people elect to use to give emphasis and

effect to what they say.
 Settings—boundaries, familiarity, home turf (e.g., office location,
size, and furnishings) are symbols of power and influence how
people choose to communicate in organizations.
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Managing Organizational Communication

Barriers to Communication
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Managing Organizational Communication

Barriers to Communication (Cont’d)
Individual Barriers
Several individual barriers may disrupt effective communication. One common
problem is conflicting or inconsistent signals

Organizational Barriers
 Other barriers to effective communication involve the organizational context in
which the communication occurs.
 Semantics problems arise when words have different meanings for different
people.
 Words and phrases such as profit, increased output, and return on investment
may have positive meanings for managers but less positive meanings for labor.
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Managing Organizational Communication

Improving Communication Effectiveness
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Managing Organizational Communication

Improving Communication Effectiveness (cont’d)

More and Less Effective Listening Skills

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Managing Organizational Communication

Improving Communication Effectiveness (cont’d)

Overcoming Barriers to Communication