Communication in

Organizations
 Communication and the Manager’s Job

– 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.
 Managing the Flow of
Information in Organizations Source: Barney, Jay B. and Ricky W.
Griffin, The Management of
Organizations. Copyright © 1992 by
Houghton Mifflin Company. Used with
permission.
 The Role of Communication in
Management
• Characteristics of Useful Information:
– Accurate
• A valid and reliable reflection of reality
– Timely
• Available in time for appropriate managerial action
– Complete
• A complete and undistorted picture of reality
– Relevant
• Content which meets the needs and circumstances of the user
 The Communication Process

Noise

Sender Receiver
3
2 4
Transmission
Encoding Decoding
through channels

1 5
Start Noise
Meaning Meaning

7
8 6
Transmission
Decoding Encoding
through channels

Receiver Sender

Noise

The numbers indicate the sequence in which steps take place.

 The Communication Process (cont’d)
• 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.
 Interpersonal Communication

Form Advantages Disadvantages

Oral 1. Promotes feedback 1. May suffer from
and interchange inaccuracies
2. Is easy to use 2. Leaves no permanent
record
Written 1. Tends to be more 1. Inhibits feedback and
accurate exchange
2. Provides a record 2. Is more difficult and time
of communication consuming
Forms of Communication in Organizations:
Interpersonal Communication
• Oral Communication
– Face-to-face conversations, group discussions,
telephone calls, and other situations in which the
spoken work is used to express meaning.
– Advantages of oral communication
• Promotes prompt feedback and interchange in the form
of verbal questions and responses.
• Is easy to use and can be done
with little preparation.
Forms of Communication in Organizations:
Interpersonal Communication (cont’d)
• Oral Communication (cont’d)
– Disadvantages of oral communication
• Suffers from problems with inaccuracy in meaning and
details.
• Leaves no time for thought and consideration and no
permanent record of what was said.
Forms of Communication in Organizations:
Interpersonal Communication (cont’d)
• Written Communication
– Memos, letters, reports, notes, email, and other
methods in which the written word is used to transmit
meaning.
– Advantages of written communication
• Is accurate and leaves a permanent record
of the exchange.
• Leaves for thought and consideration,
can be referenced.
• Is easy to use and can be done with
little preparation.
Forms of Communication in Organizations:
Interpersonal Communication (cont’d)
• Written Communication (cont’d)
– Disadvantages of written communication
• Inhibits feedback and interchange due to burden of
the process of preparing a physical document.
• Considerable delay can occur in
clarifying message meanings.
Forms of Communication in Organizations
(cont’d)
• Choosing the Right Form
– The situation determines the most appropriate
medium
• Oral communication and email is preferred for personal,
nonroutine, or high priority communications.
• Formal written communication (e.g., memos, letters, reports,
and notes) are used for messages that are impersonal, routine,
and lower priority.
Forms of Communication in Organizations
(cont’d)
• Communication in Networks and Teams
– Communication network—the pattern through which
the members of a group or team communicate.
– Research suggests:
• When the group’s task is simple and routine, centralized
networks perform with the greatest efficiency and accuracy.
• When the group’s task is complex and nonroutine,
decentralized networks with open communications that foster
interaction and exchange of relevant information tend to be
most effective.
 Forms of Communication
in Organizations (cont’d)
• Types of Communication Networks
2
2 3 1 3
4 5
1
1 5 4
4 5 2 Circle
Wheel
3 2
Y
1 3
1
2 2 3 4
2 5
Chain 5 4
Figure 12.2
All channel
 Organizational Communication
• Vertical Communication
– Communication that flows up and down the
organization, usually along formal reporting lines.
• Takes place between managers and subordinates and may
involve several levels of the organization.
– Upward communication
• Consists of messages from subordinates to superiors and is
more subject to distortion.
– Downward communication
• Occurs when information flows down the hierarchy from
superiors to subordinates.
 Organizational Communication (cont’d)
• Horizontal Communication
– Communication that flows laterally within the
organization; involves persons at the same level of the
organization.
• Facilitates coordination among independent units.
• Useful in joint problem solving.
• Plays a major role in communications among members of
work teams drawn from different departments.
 Vertical and
Horizontal
Communication

Source: Van Fleet, David D., and Tim

Peterson, Contemporary Management,
Third Edition. Copyright © 1994 by
Houghton Mifflin Company. Used with
permission.
 Forms of Communication
in Organizations (cont’d)
• Formal Communication in Organizations
– Follows the official reporting relationships and/or prescribed
channels.

Vertical communication
Horizontal communication

Figure 12.3
 Electronic Communication
• Information Technology (IT)
– The resources used by the organization to manage
information that it needs to carry
out its mission.
 Electronic Communication
• Personal Electronic Technology
– Technological advances (e.g., fax machines, cellular
telephones, copiers, and personal computers) have
created opportunities for quickly disseminating and
contacting others in the organization.
– Corporate intranets and the Internet
have made possible teleconferences
and the rapid retrieval of information
from all corners of the globe.
 Electronic Communication (cont’d)
• Personal Electronic Technology (cont’d)
– Telecommuting allows people to work at home and
transmit their work to the company by means of a
telephone and a modem.
• Disadvantages are the lack of face-to-face contact, strong
personal relationships, falling behind professionally, and
losing out in organizational politics.
 Informal Communication in Organizations
• Informal Communications
– May or may not follow official reporting relationships
and/or prescribed organizational channels and may
have nothing to do with official organizational
business.
– Common forms of informal
communications are the
grapevine, management
by wandering around, and
nonverbal communication.
Informal Communication in Organizations
(cont’d)

Informal communication
Formal communication

Figure 12.4
 Informal Communication in Organizations
(cont’d)
• Grapevine
– An informal communication network that can permeate
an organization. Types of grapevines are:
The Gossip Chain The Cluster Chain
One person tells many Many people tell a few

Source: Adapted from Human Behavior at

Work: Organizational Behavior, Eighth Edition,
by Keith Davis and John W. Newstrom.
Copyright © 1989 by McGraw-Hill. Reprinted
by permission of the McGraw-Hill Companies.
 Informal Communication in Organizations
• Management by Wandering Around
– Managers keep in touch with what’s going on by
wandering around and talking to people on all levels in
the organization
 Informal Communication in Organizations
(cont’d)
• 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.
• Much of the content of a message
Words in
may be transmitted by facial the message
expression alone; other 7%
message content is derived
from inflection and tone of Inflection Facial
and tone expression
the voice. Only a small portion 38% 55%
of the message content is due to
the words in the message.
 Informal Communication in Organizations
(cont’d)

• Nonverbal Communication (cont’d)

– Kinds of nonverbal communication practiced by
managers:
• 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.
 Managing Organizational Communication
• Barriers to Effective Communication

Individual Barriers Organizational Barriers

Conflicting or inconsistent cues Semantics

Credibility about the subject Status or power differences
Reluctance to communicate Different perceptions
Poor listening skills Noise
Predisposition about the subject Overload
Languages

Table 12.1
 Informal Communication in Organizations
(cont’d)

• Nonverbal Communication (cont’d)

– Kinds of nonverbal communication practiced by
managers:
• Body language—how people of different cultures and
backgrounds physically position themselves and react to the
stance and body movements of others has a strong influence
on communications between individuals.
 Barriers to
Effective
Communication

Source: Van Fleet, David D., and Tim

Peterson, Contemporary Management,
Third Edition. Copyright © 1994 by
Houghton Mifflin Company. Used with
permission.
More and Less Effective Listening Skills
More Effective Listening Less Effective Listening

Stays active, focused Is passive, laid back

Pays attention Is easily distracted

Asks questions Asks no questions

Keeps an open mind Has preconceptions

Assimilates information Disregards information

Figure 12.5
 Managing Organizational Communication
(cont’d)
• Overcoming Barriers to Communication
Individual Skills Organizational Skills

Develop good listening skills Follow up

Encourage two-way communication Regulate information flows
Be aware of language and meaning Understand the richness of media
Maintain credibility
Be sensitive to receiver’s perspective
Be sensitive to sender’s perspective

Table 12.2