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January 2020 Assignment Bbgo4103

The document discusses formal and informal communication within groups and teams. It defines formal communication as official, predefined communication that follows the organizational hierarchy from top to bottom. Informal communication refers to unofficial communication that occurs freely in any direction. It then describes four types of formal communication networks within groups: 1) Wheel network with one central leader, 2) Chain network with vertical communication up and down the hierarchy, 3) Circle network with horizontal communication and equal participation, 4) All-channel network with communication in all directions for maximum participation. The key aspects and advantages/disadvantages of each network type are explained.

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0% found this document useful (0 votes)
99 views13 pages

January 2020 Assignment Bbgo4103

The document discusses formal and informal communication within groups and teams. It defines formal communication as official, predefined communication that follows the organizational hierarchy from top to bottom. Informal communication refers to unofficial communication that occurs freely in any direction. It then describes four types of formal communication networks within groups: 1) Wheel network with one central leader, 2) Chain network with vertical communication up and down the hierarchy, 3) Circle network with horizontal communication and equal participation, 4) All-channel network with communication in all directions for maximum participation. The key aspects and advantages/disadvantages of each network type are explained.

Uploaded by

sandhya rao
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© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
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Business Management (BIM)

SEMESTER JANUARY 2020

BBGO4103
ORGANISATIONAL BEHAVIOUR

Title: Discuss and explain on formal and informal communication within groups and
teams.

MATRICULATION NO : 900324025102001
IDENTITY CARD NO : 900324-02-5102
TELEPHONE NO : 016-3062407
E-MAIL : [email protected]
LEARNING CENTRE : Shah Alam

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Communication Channels

Communication is mainly a matter of transferring information from one location, person or


group to another. Each interaction requires (at least) one sender, one message and one
recipient. Those include our feelings, the environmental circumstance, the mechanism used to
interact, and even our location. It is categorized as verbal, non-verbal and written using sign
language, gestures, facial expressions, movements, eye contact, or even a voice tone. There
are two main modes of communication within an organization known as formal
communication and informal communication.

Formal communication involves the flow of official information along with relevant,
predefined networks and directions in an organization designed by the management. The flow
of information follows the hierarchical structure of the chain of command but is limited to
work-related matters and communication. Typically, the structure is top-down, between
superior and subordinate, and vice versa. Such communication is usually in writing and may
take any forms such as policy, procedures, manuals, rule books, memorandum, records,
official meetings, and others. Formal communication is regarded to be effective because of
the timely and systematic flow of conversation.

On the other hand, informal communication refers to the mode of communication that goes
in every direction or moves freely within the organization. The unofficial communication
channel that occurs in the workplace is mostly referred to as "grapevine." This can be spoken,
written or even expressed by gestures, facial expression, silence and body language. Informal
communication creates an environment in which different workers interact with each other
regardless of their formal roles, positions and relationships. According to Skill Maker (2014),
informal communication aims to share information, to create personal contacts, to make
friendships, to influence and inspire others, to supplement official channels, to resolve
conflicts, to relax, to seek relief from the monotony of work, and others. Many managers
prefer informal communication methods to figure out what workers are genuinely talking
about or to promote meaningful social interaction in the workplace. Some workers also use
friendly interaction approaches to persuade their superiors of their concerns, without having
to put them in writing or talk to them face to face.

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Formal communication networks in groups and teams

Most of us have worked in teams at some point in our lives. Communication among all
members is crucial within such groups, regardless of the position each individual play. Be it
for two friends on a college team or two executives in a corporate office; the interaction is
crucial to success. Three or even more people working together on a project are far more
successful than one person spending all his effort doing the same stuff. However, to work
effectively, team members need to interact efficiently with each other and with the
management of the company. The more engagement your tasks need, the more proactive and
meaningful your communication needs to be. Professionals in the communication field have
divided the formal communication into four types as below:

i) Wheel Network
This is the most centralized types of a
communication network in which all
information flows from one central person,
typically the leader. The other members have
little or no contact connection with each
other. In this type of structure as shown in
the image on the left, Leader A has direct
control over the other four workers, since the
information comes straight from her to those
employees, and they directly connect back to her.

Characteristics of the Wheel Network:


 The information passes only through the central person/leader
 Less likely to have confusions or misunderstanding.
 Follows the goal-oriented approach method.

Disadvantages of the Wheel Network


 Decisions can be made quickly, but group morale is low, as others do not
take an active part in decision-making (Jodiemichelle777, 2017).
 The leader could feel very powerful and essential.
 This kind of network is not ideal for complex tasks or businesses with a
more significant number of people. If the leader is not competent,

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dedicated or responsive, the entire company will fail due to lack of
decision-makers.

ii) Chain Network


Communication moves up and down or vertically through the
hierarchy in the chain network. Each person communicates
with only the person directly above or below in terms of
reporting superior. Indeed, this communication network
rigidly follows the formal chain of command, in which the top
authority must pass through each link before it comes to an
end. As an example, the CEO will communicate to the head of
the department, who is next in the hierarchical structure. But
does not speak to the clerk at the bottom of the hierarchy. This
might trigger people at the bottom level to feel discouraged,
but it may also motivate them to move up the chain.

Advantages of Chain Network


 There is a leader at the top of the chain, valuable for assignments that must
be carried out within a particular time.
 Suitable when the information to be transmitted is legally correct.

Disadvantages of Chain Network


 One-way communication.
 The leader cannot figure out whether the last member gets the right
information since there is no feedback received to identify the distortion of
the message.
 It often takes time, and the process is very slow.
 Everyone perceives facts differently, and the more people it passes
through, the more it can be changed.

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iii) Circle Network
Circle network is similar to a
chain network except that the
information flows in a circular
direction rather than in a linear
form or route
(SubjectQuery.Com, 2019). So,
each person can easily interact
with his or her colleagues, who
are present next to him or her.
This pattern has no leader, and all
the members of the circle have almost the same authority or power to influence
the team. Thus, it helps members of the group to engage with people with similar
experiences, interests, skills, background, office location, and so on. Many of the
building societies have community networks that are designed in this way.
Although the flow of communication is very slow, every individual has an equal
opportunity to get involved in the discussion. As a result, participants experience
the highest satisfaction as this kind of network offers a platform for individuals to
provide feedback and even allows fast and right decisions on complicated tasks.

iv) All Channel Network


In an all-channel network, messages
flow up, down and across all members
of the group. This mode of contact
promotes equal and unrestricted
participation and cultivates cross-
functional practices. It's best to have
an all-channel network if you're
dealing with a maximum level of
member satisfaction. This requires

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managers at all levels, their subordinates and other members of the organization to
meet their objectives. The all-channel network is perhaps the most decentralized
of the networks, where each individual can interact with the user on either side.
Communication through these channels also happens frequently but not always
face-to-face. Messages can be written in the form of informal memos, WhatsApp,
e-mail or reports. The main feature of this communication pattern is that it
encourages better, more productive and reliable group communication for
complex tasks.
Types of informal Networks
Team members of organizations that struggle to hold a conversation end up not knowing
what makes them more functional because they can't get input from everyone else in the
group and there's nobody else, they can compare their work. In this section, we will discuss
the various kinds of informal communication in the workplace and discuss some of the
advantages and disadvantages of such communication.

i) Grapevine
Grapevine is an informal
workplace communication
channel. It is named because it
reaches across the organization
in all directions, regardless of
the level of authority.
Information flows through the
grapevine in various directions connecting almost everyone in the organization.
Usually, it takes place in multiple locations such as cafeteria, meetings, management
discussions, company events, Skype chat or during and after working hours as a result
of rumours, gossip, secret sharing and also to serve the self-interest of the people.
Thus, grapevine spreads like fire, and sometimes it is not easy to identify the source
of such contact.

Grapevine generally develops due to various reasons:


 When a company is facing a recession, employees feel anxious about it.
 Due to the special treatment and favouritism of the boss, gives other
workers a biased feeling.

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 Subordinates chat about the behaviour and attitude of their superiors and
share opinions with their colleagues.
 Discussion about the rumours regarding the promotion, termination,
suspension and transfer of other employees.
 Gossips regarding the affair between the staff and the supervisor or
relationship bond with other internal workers.

Advantages & disadvantages of Grapevine communication.


Advantages Disadvantages
Managers get to understand the feelings of Contains incomplete information as it
their workers on their policies. is more focused on fabricated facts.
Feedback received is fast compared to the Not always trustworthy, as it does not
formal communication channel. follow the correct path of
communication.
Grapevine is a substitute if formal No documentary record or evidence
communication doesn’t happen. can be shown or produced as a future
reference.
Not controlled by management, since May violate the firm's strictest security
employees control the grapevine protocols and may gather sensitive
information. information.
Flexible communication to any person as it is Distortion of information may occur
free from any defined rule and formality. when the receiver of the message
transmits it further and may mix his
own thoughts.
Teams become more cohesive and lend Employee productivity may be
themselves to a social bond. affected because they spend more time
chatting rather than working.
Helps to fill the gap when official The reputation of the organization may
information is missing, particularly in be hampered as it may hold negative
chaotic or transformation times. information about the high-level
executives.

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ii) Gossip Chain
In the gossip chain, one individual
shares information to everyone. A
chain is much like a circle where one
person remains in the middle, and the
details move through the spins of the
wheel to the others. People in groups
have something in common that ties
them together, and the person may
belong to one or several groups. In the following diagram, ' L ' is in the middle
and forwards the information to others on the wheel rim. Usually, such
information is not related to the job but used to relay interesting or exciting news.

iii) Cluster Chain


This is a famous model of communication
in which information travels through
selected groups. ' A ' says something to a
few chosen individuals, and then those who
get the information pass it on to next set of
selected persons. Some of them keep the
information to themselves and others pass it to the few chosen ones they trust. So,
information of interest is transmitted further, and the chain keeps moving forward in
this way.

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Since grapevine communication is part of the workplace, it cannot be avoided. The smart
manager should take care of all the disadvantages of the grapevine by reducing them and, at
the very same time, find the best way to make use of the advantages of the grapevine for the
success of a company.

How to Make Effective communication among groups and teams.


Some managers may think that they can eliminate or neglect informal communications and
rely entirely on formal communication in day-to-day business activities. However, managers
have to know that grapevine communication is not going away, and they should do better to
strive to connect with employees. This will demonstrate that management is not opposed to
workers communicating and engaging with one another. It will also establish opportunities
for management to participate in discussions to improve employee trust. So, here are the few
recommendations that can be applied for better communication at the workplace.

i) Use of online forums or discussion portals such as Slido and Prosper Forms.
This is an online platform where employees or groups can raise any questions to their
employer about rumours, address their concerns or feedbacks on company policy
matters, preferences and highlight on any wrongdoing at their workstations by fellow
members. This gives the user better confidentiality since they can post everything
anonymously. Even, the management can prepare a simple poll or team satisfaction
survey to ensure that everyone is in the right direction. Later, all can get to the same
page by discussing the results of the poll and addressing any concerns during a Q & A
session. Help Scout (2020) says that Prosper Forms ensures a two-way conversation
and puts an end to dull and one-way presentations. It further energizes the team with
live polling and comments that will keep their attention from start to finish. No matter
where the team members work, Slido offers everyone a fair opportunity to participate.
No interruptions to phone calls, no more feeling left out of the critical discussions.

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Slido (2020), makes it simple to obtain immediate feedback and find areas for
improvement without using a single piece of paper.

ii) Create an Information Dissemination Plan


Even though all leaders would like to avoid disinformation at the root, it's not always
possible. Leaders must collaborate with the communications department and HR
teams to create an information-sharing policy that can be used in the case of an
emergency or to tackle a significant problem that has become too big and has made its
way into the company. There should be an outline of what the argument is, its purpose
to the organisation, and whether it is real or false. The plan must contain actual
requisites for the processes and timeline of the dissemination activities as below:

 To make the concerned issue to known well with accurate information


 To inform stakeholders and target groups about the current issues and the
actions taken
 offers alternate solution or guidance on how to handle the situation

iii) Hold a town hall session to discuss current issues and to update groups on the
latest news
Keep your members aware of the good and bad news that comes along the way. There
is nothing worse than being blindsided by the company's decision to make cuts when
you were in no way prepared for these reforms. Allow both the involved parties to
attend the session and make official announcements to understand and clarify specific
issues to avoid further false circulation of information. The venue must be accessible
by everyone, even for those who are working or studying remotely.

iv) Involve people in the decision-making process


Before any decision or action is taken, management must consider the possible impact
on the informal groups and structures of the company. The management should
recognize people in informal groups who are more active in grapevine communication
and such people should be adequately informed so that false rumours of excitement
and fear do not spread among other members. Board members can pick up and
dismiss inaccurate information by delivering accurate information to manage

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unsystematic communication. Nothing can be better than communicating the actions
and solutions directly to the respective group members in the decision-making
process.

Summary
As we know, communication plays a significant role in our lives as people exchange ideas,
knowledge, emotions and thoughts through communication. Formal and informal discussion
is important among groups and teams as it contributes to the productivity of an organization
whereby formal communication follows a systematic flow of information through the pre-
defined channels with verified and accurate information. Mainly, the teams and groups able
to complete their task in a shorter period by understanding their job roles very well with this
effective communication.

While informal communication is driven by social and personal relationships rather than by
officially recognized rules and formalities and most of the interaction within the company is
carried out this way and, in many cases, the messages exchanged through the grapevine are
accurate. At the same time, the presence of informal communication is vital to support the
efficient functioning of the organization. If properly managed, the informal communication
will turn into a healthy supplement to formal discussions which will undoubtedly allow them
to make the right policy decisions.

Nowadays, many major multinational companies have initiated an open-door policy in which
any employee of any department may communicate directly with the head of the organization
about their issues, concerns, disputes and demands to reduce the difficulty of formal
communication. As such, the use of online forums, namely Slido and Prosper Forms act as a
new way to brainstorm ideas from the team members on projects or key learnings from a
critical situation. Other than this, Information dissemination plan, town hall session and also

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involving people in decision-making process does not only make the leader more transparent,
it can also help them to come up with a better decision for the organization.

Before ending this topic, we can say that good communication, combined with strong
organizational support, integrity among team leaders and consistent development plans, will
contribute to the maximum level of the team's success.

(2815 words)

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