CHAPTER FOUR

TYPES OF COMMUNICATION

Introduction

The purpose of this chapter is to offer you comprehensive information about internal and
external communication. It focuses on formal and informal communications and verbal and non
verbal communications. Moreover, written and oral communications are discussed thoroughly.
Dear learner, there are internal and external communications. Internal communication is a
communication among members of an organization. External communication is a
communication between the organization and external environment.

4.1. INTERNAL COMMUNICATION

Introduction
Dear learner, this section discusses the definition of internal communication, the formal and
informal communications in the organization. It also identifies the advantages and disadvantages
of downward, upward, and horizontal.
Internal communication is the exchange of messages between employees inside the
organization (Angell, 2004). When you talk, send an e-mail message, or write a memo to co-
workers, supervisors, or managers about customer needs, supplier delivery schedules, or project
progress, you are communicating internally.
4.1.1. Formal and Informal Communication

4.1.1. 1. Formal Communication

Formal communication channels are established within the organization’s chain of command in
order to accomplish task objectives.

Dear learner, in an effective organization, communication flows in various directions:

downward, upward, and crosswise: horizontal and diagonal (Cook and Hunsaker, 2001).
Koontz and Weihrich (2004) also identify four kinds of information flows in the organization;
upward, down ward, horizontal and diagonal communication.

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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.
1. Downward Communication
Downward communication flows from people at higher levels to those at lower levels in the
organizational hierarchy (Koontz and Weihrich). The major purposes of downward
communication are to advise, inform, direct, instruct, and evaluate employees and, to provide
information for organization members about organizational goals and policies.

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.

In fact, many downward directives are not understood or even read. Consequently, a feedback
system is essential for finding out whether information was perceived as intended by the sender.

The advantage of downward communication is that when messages are clear and comprehensive,
employees better understand (Angell):
- Their role in the company,
- What resources are available, and
- What is expected from them professionally?
Disadvantages
- Angell described that one disadvantage of downward messages is noise. Downward noise
includes message filtering and distortion. Because message travel through people, their
perceptual differences may magnify, minimize, or alter a message as it moves down through
the ranks. People perceive messages differently, so they may add, delete, or change
information accordingly.
- Another disadvantage of downward messages is that employees may experience message
overload when they receive too much information at one time. Many messages reiterate what
employees already know and other messages do not affect certain employees at all.

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- Downward flow of information through the different levels of the organization is time
consuming. Indeed, delays may be so frustrating that some top managers insist that
information be sent directly to the person or group requiring it.

- According to Stoner, Freeman, and Gilbert, Jr., 1995, problems in downward communication
also exist when managers do not provide employees with the information they need to carry
out their tasks effectively. In fact, they can fail to pass on important information such as a
higher level change in policy or to instruct employees adequately on how to perform their
duties. This lack of communication is sometimes deliberate, as when managers withhold
information to keep employees dependent on them. The net effect of incomplete downward
communication is that employees can feel confused, uninformed, or powerless and might fail
to carry out their tasks properly.
2. Upward Communication

Upward communication flows from individuals at lower levels of the organizational structure to
those at higher levels (Invancevich, Konopaske, and Matteson, 2005).In such situations; the
communicator is at lower level in the organization than the receiver.

Dear learner, the main function of upward communication is to supply information to the upper
levels about what is happening at the lower levels.

Organizational communication researcher Gary Kreps also identifies the following functions of
upward communication:

1. It provides managers with feedback about current organizational issues and problems,
and information about day-to-day operations that they need for making decisions about
directing the organization.
2. It is management’s primary source of feedback for determining the effectiveness of its
downward communication.
3. It relieves employees’ tensions by allowing lower-level organization members to share
relevant information with their superiors.

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 4. It encourages employees’ Participation and involvement, thereby enhancing
organizational cohesiveness.

Upward communication includes progress report, suggestions, explanations, and requests for
aid or decisions.

Dear learner, effective upward communication is usually found in participative and democratic
organizational environments (Koontz and Weihrich). Effective upward communication requires
environment in which subordinates feel free to communicate.

So what can managers do to facilitate the free flow of information? Since most of the
responsibility for improving upward communication rests with managers, they must create an
informal climate that encourages upward communication. They should announce their
willingness to hear from subordinates, seek open-door policy, and utilize informal contacts such
as chats during breaks, in the elevator, or at social gatherings.

Upward messages may have the disadvantage of filtering and distortion, generally because
employees don’t want superiors to view them unfavorably. The superior, not wanting to deal
with bad news, may dismiss a negative message entirely (Angell).

In addition, middle managers may keep information that would reflect unfavorably on them from
reaching their managers.

3. Crosswise Communication
Since horizontal and diagonal communications have some common characteristics, they are
called crosswise communication (Koontz and Weihrich).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
Dear learner, horizontal communication is the flow of information among people on the same or
similar organizational levels (Koontz and Weihrich).

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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.
Examples:
- Communication between production and sales departments in a business organization.
- Communication among the different departments or colleges within a university.

Messages may be exchanged between members of the same department or members from
different departments or teams. When the head of accounting department communicates with the
head of management department concerning the course offerings in a College of Business and
Economics, the flow of communication is horizontal.

While the majority of information shared horizontally is work related, some messages involve
personal information.

Advantages and disadvantages of horizontal communication

Angell expressed the advantages and disadvantages of horizontal communication as follows:

Advantages

- 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.

Dear learner, the most notable disadvantage of horizontal communication is professional rivalry,
which is competition between members of different departments. Sometimes employees may be

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reluctant to share information or collaborate because they feel threatened or jealous. Stiff
competition over company resources, choice projects, or new positions can stifle horizontal
communication.

b) Diagonal Communication

Diagonal communication is the flow of information among persons at different levels who have
no direct reporting relationships with one another (Koontz and Weihrich).

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 (Invancevich et. al. 2005).

4.1.1.2. Informal Communication

An informal communication network operates independently from official channels and involves
messages that flow in all directions and through all levels of authority (Angell).

Informal communication channels exist to serve the interests of those people, who make them
up, regardless of their positions in the organization.
Cook and Hunsaker (2001) identify the gossip, social gatherings, and management by wandering
and informal one-to-one discussions as a typical informal channel.

The Grapevine

Grapevine is informal channel of communication within an organization. Grapevines develop

within organizations when employees share common hobbies, hometowns, lunch breaks, family
ties, and social relationships (Rue and Byars, 2005). The grapevine always exists within the
formal organizational structure. However, it does not follow the organizational hierarchy; it may
go from secretary to president or from engineer to clerk.

The information that travels through a grapevine typically takes the form of gossip (beliefs about
other people) and rumors (efforts to predict future events). For instance, gossip might describe an
incident in which a manager lost his temper, and a rumor might concern expectations that a new
sales office will open next year.

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Messages travel extremely quickly on the grapevine, which is short-cut to formal channels
(Angell). Some employees feel that grapevine information is more detailed and more current or
relevant than messages received through formal channels.

The grapevine satisfies social needs; helps clarify orders and decisions, and serve as a way of
getting out information that can’t be expressed adequately through formal channels.

Managers must recognize that information in the grapevine travels more rapidly than information
in the formal channels of communication.

It is important that managers should recognize that grapevine will exist whether they want it to or
not. Additionally, managers can do little to control the direction, speed, and accuracy of
grapevines.

What managers can do, however, is diminish the amount of grapevine rumors with effective
communication. Management should use it to complement formal channels of communication.
In utilizing the grapevine, honesty is the best policy.

Davis has identified four possible types of grapevine chains see figure 4.2. 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. In the gossip chain, one person seeks out and tells
everyone the information he or she has obtained. This chain is often used when information of an
interesting non-job related nature is being conveyed. 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. In the cluster chain, person A conveys the information to a few
selected individuals, some of whom then inform a few selected others.

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 J

K E
E
K B I

G H
D K

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

Gossip

Figure 4.2 Types of grapevine chains

Davis believes that the cluster chain is the dominant grapevine pattern in organizations. 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.

Advantages of the company grapevine include the speed at which messages can travel and the
opportunity for management to receive important employee feedback. The grapevine can also
explain on confirm confusing or complex formal messages (Angell, 2004).

The downside of the grapevine is that inaccurate rumors can spread that undermine morale or
project performance.

Social gathering

Social gathering is another informal communication. Social gathering for informal exchange can
be created at office parties, company picnic, and luncheons.

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 Management by wandering around

Managers can simply walk around their organizations and informally chat with all levels of
employee to learn about their concerns, ideas, and problems.

4.2. EXTERNAL COMMUNICATION

Introduction
External communication is the exchange of messages between the organization and the external
environment (Angell). The external communication links the organization with the outside
world.

The survival of a business depends on the relationships established between members of

the organization and people outside the organization such as customers, stockholders,
community members, government agencies, and the media.

Organizations are involved in communicating externally to present products and services, to

develop a positive image, to attract employees, and to gain attention.
The channels used for external communication include annual reports, newsletters, brochures,
advertisements, press releases, conferences, and sponsorship of special community events.
Many external messages are viewed or created by company public relations professionals to
ensure that they are consistent with the organizations philosophy and policy.

According to Angell, external communication between the organization and the environment is a
process involving input, throughput, and output. The flow of external message is illustrated in
“figure 4.3.

Input is all the information the organization receives from environment, such as customer
perceptions and expectations, product or service problems, economic trends, and new state or
federal regulations.

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Throughput involves the organization’s analysis and evaluation of the input it receives and the
transformation of that input into outputs.

Output refers to messages the organization transmits to the environment in response to received
input.
Government

Media
Output

The Community
Organization
Input
Stockholders

Customers

Figure 4.3 External Communication Process

For example, an electronics manufacturer may receive information from consumers that its
product requires too much time to install. The manufacturer takes that input and decides to
redesign the product so that it is easier for customers to install. Then the organization
reintroduces the product and promotes the improved installation process to the public.

The most obvious advantage of external communication is feedback from the environment,
which can be vital to the survival of any organization. External information can also help the
organization plan, make decisions, avoid problems, and satisfy customer needs.
According to Invancevich et. al., the typical external communication program includes four
distinct programs:
- Public relations involve the communication of a positive image, exemplary organization
citizenship, and promotion of an identity as a contributor or society and the immediate
community.
- Advertizing involves illustrating products or services in a positive manner. This form of
communication is designed to attract customers.

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 - Promoting the culture and opportunities available to prospective employees. This
communication is designed to attract employee talent to sustain and grow the
organization.
- Customer surveys are used to gather feedback about the experience of external
constituents with the organization. This information is used to make modifications or
changes in service, product, or relationships.

Effective internal communication integrates and facilitates the managerial functions at all
levels; and effective external communication relates and integrates an organization
successfully to its external environment.

Types of communication can be further categorized into verbal communication and nonverbal
communication.

4.3. Verbal Communication

Introduction
Dear learner, this section introduces you about the definition of verbal communication, types of
verbal communication, channels of written and oral communication, the advantages and
disadvantages of written and oral communication. It also includes guidelines, techniques and
formats of channels of verbal communication.

Verbal communication includes any oral or written method of transmitting meaning through
words. However, nonverbal communication is any part of communication that does not use
words. Words are the vessels that carry most of our ideas to others. Words may be either spoken
or written.
Written and oral communications are verbal communication.
4.3.1. Written Communication
Managers communicate in writing every day. They, write letters, draft reports, and send e-mails.
To communicate effectively managers must be able to write clearly, concisely, and persuasively.

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Dear learner, before actually writing a business document, managers need to think about what
they want to achieve. They must identify the purpose of the document, the audience, and the
main point they want to convey (Rue and Byars). Using a form like that is shown below can help
them work through this stage of writing process.

Purpose

- Why am I writing this document?

- What action do I want the reader to take after reading it?

Audience

- Who will read this document?

- How much does the reader already know about the topic?
- How will the reader use the document?
- Are there any special sensitivity of which I should be aware?

Main Message

- What is the main message I want to convey in this document?

- How will I support that message?

Principles of Good writing

Many business managers have difficulty writing well. To improve their writing, managers can
apply several basic principles (Rue and Byars):

1. Write as simply and clearly as possible. Avoid writing in a way that is difficult to
understand.
2. Be sure that the content and tone of the document are appropriate for audience. Do not
waste readers’ time communicating information they already know. However, do not
assume they are as familiar with the topic as you are. Always use polite tone, especially
when writing to customers.
3. Proofread the document. If you are using a computer, use the spell check function. If
you are not using a computer, use a dictionary to check the spelling of words you do not
know. Always read documents for incorrect grammar or usage.

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Written communication has the advantages of providing records and references. A message can
be carefully prepared and then directed to a large audience through mass mailings. Written
communication can also promote uniformity in policy, rules, procedure, and so on. It can reduce
costs in some cases. It is cheaper when the parties to the communication are situated at distant
places. There is less flexibility. Once a message has been sent, it may not be possible to make
changes for incorrectness. It is also difficult to maintain secrecy in written communication.

The disadvantages are that written messages may create mountains of paper, may be poorly
expressed by ineffective writers, and may provide no immediate feedback. Consequently, it may
take a long time to know whether a message has been received and properly understood.

Managers and employees can communicate internally and externally in writing with others
through letters, memorandums (memos), e-mails, faxes, and reports.

4.3.2. ORAL COMMUNICATION

Not all business communication is done in writing. Oral communication is a vital part of your
work. In fact, most business communication is done orally. That is, a great deal of information is
communicated orally.

Some oral communications are formal and take place at meeting or interviews. Most oral
communication is informal and takes place in offices, hallways, in cafeteria, and over the
telephone (Koontz and Weihrich).

Successful managers use their oral communication skills to give clear instructions, motivate their
employees, and persuade other people.

The principal advantage of oral communication is that it makes possible speedy interchange with
immediate feedback. Response to the message is available immediately, i.e., people can ask
questions and clarify points. In a face-to-face interaction, the effect can be noted. It is more
flexible as the words can be changed to suit the reaction the receiver. Furthermore, a meeting
with the superior may give the subordinate a feeling of importance (Koontz and Weihrich).
Clearly, informal or planned meetings can greatly contribute to the understanding of the issues.

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However, oral communication also has disadvantages. It does not always save time, as any
manager knows who has attended meetings in which no results or agreements were achieved.
These meetings can be costly in terms of time and money. It doesn’t provide record unless the
conversation is recorded. It is also not possible when parties are at distant places and no
telephone service is available.

Oral communication takes place through listening and speaking.

4.4. NONVERBAL COMMUNICATION

Introduction
Dear learner, this section introduces you about the definition of nonverbal communication, types
of nonverbal communication, and channels of nonverbal communication. It also includes
guidelines and techniques of meeting, interview, and telephoning.
In either your role of speaker or listener in oral communication, you will need to be aware of the
nonverbal-non word- part of your communication. Nonverbal communication means all
communication that occurs without words (Lesikar et. al). Usually, we use nonverbal
communication to supplement and reinforce our words. Sometimes, nonverbal communication
communicates by itself.
We often think of spoken and written language as the primary medium of communication, but
the messages we send and receive are strongly influenced by nonverbal factors such as body
movements, gestures, facial expressions, eye movements, and body contact (Stoner et. al.,1995).
4.4.1.. Types of Nonverbal Communication
There are three types of nonverbal communication (Lesikar et. al.):
1. Body language
2. Space
3. Time

Body Language

Much of what we send to others without using words is sent through the physical movements of
our bodies.

The most common body languages are facial expression, gesture, and physical appearance.

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The face and eyes are by far the most important features of body language. For example,
happiness, surprise, fear, anger, and sadness usually require definite facial expressions and eye
patterns. By reading a person’s facial expression, we can detect these feelings. Thus, you should
be aware of these two aspects of body language as you speak and listen to others.
The same facial expression can mean different things in different cultures. For example,
agreement or approval is indicated by up-and-down head nods in American culture, but they are
expressed by side-to-side head movements in India (koontz and Weihrich).

Eye contact allows us to read and communicate a number of things. Direct eye contact, for
example, is generally perceived as a sign of honesty, interest, openness, and confidence. If eye
contact is avoided, we feel that the other is embarrassed, nervous, or hiding something. Lack of
eye contact can also communicate indifference or shyness.

In addition, gestures are another way we send non word messages through our body parts.
Gestures are physical movements of our arms, legs, hands, torsos, and heads (Lesikar et. al.).
Through the movement of each of these body parts, we can accent and reinforce our verbal
messages. And we can observe how others punctuate their verbal efforts with gestures. For
example, observe the hand movements of another person while he or she is talking. As you
observe these gestures, you will get a good picture of the internal emotional state of the person.
Moreover, speaking and gestures appear to be linked. In general, the louder someone speaks, the
grater the gestures used, and vice versa.

Another area of body language is physical appearance- our clothing, hair, and adornments:
jewelry, cosmetics and the like (Lesikar et. al.). The appearance of our bodies indicates how our
bodies movements are seem. Consider, for example, how you might perceive a speaker at a
formal banquet dressed in faded blue jeans. No doubt, the speaker’s gestures, facial expression,
posture, and such would be perceived in relation to attire. Accordingly, you want to make sure
that your appearance fits the expectancies of the one situation. And you want to make sure that
you know that appearance is an important part of the body messages that are sent and received in
oral communication.

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. Space

Another type of nonverbal communication involves space and how it communicates meaning in
speaking and listening. Space is the distance that is maintained by the speaker and listener. How
we use space and what we do in certain spaces we create tell much about us. Thus, each of us has
a space language just as we do a body language. And this space language is crafted by our
culture.

According to Lesikar et. al., we create four different types of space: intimate (physical contact to
18 inches); personal (18 inches to 4 feet); social (4 to 12 feet); and public (12 feet to range of
seeing and hearing). In each of these spaces, our communication behaviors differ and convey
different meanings. For example, consider the volume of you voice when someone is 18 inches
from you. Do you shout? Whisper?

People can generally be classified into two major proxemic categories: noncontact group and
contact group. American and Northern Europeans typify the noncontact group due to the small
amount of touching and relatively large space between them during their transactions. Arabs and
Latinos are in the contact group who normally stand very close to each other and use a lot of
touching when they communicate (koontz and Weihrich, 2004).
Our behaviors in each type of space are learned from our cultures. When people do not
appreciate differences in personal zones, discomfort, distrust, and misunderstanding can
occur.Thus, you will need to be sensitive to the spaces of others- especially those from different
cultures.

Time

A third type of nonverbal communication involves time. Just as there is a body and space
language, there is also a time language (koontz and Weihrich). That is, how we give meaning or
value to time communicates to others. To illustrate, think about how you manage your daily
schedule. Do you arrive early for most appointments? Do you prioritize telephone calls? Do you
prepare agendas for meeting? How you respond to time communicates to others. It is not
uncommon for a manager to assume that a subordinate who is frequently late to department
meetings does not care about them.

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 Punctuality is the sign of respect.

And, of course, others’ use of time communicates to you. Time orientations become parts of
messages we send to and receive from one another.

In addition to body language, space and time, nonverbal communication also includes vocal
cues, body posture, and physical environment (things with our space).

- Vocal cues: the tone, pitch and general expression of speech (refers to how words are said
i.e., calm/excited/upset/slow or fast).
- Body posture: the way in which we stand or sit such as sitting up straight or slouching,
leaning back or forward, crossing arms and/or legs
- Physical environment: the color, lighting, the neatness of an office, and so on.
The things with your space also communicate things to others. A clean desk communicates
efficiency versus the disorganization conveyed by a messy one. An attractive reception area
communicates that the organization cares about visitors. Expensive things communicate higher
status than do cheap ones.

Personal things in your space such as trophies, photographs, pictures, plants, and other
decorations also convey messages about you to others (koontz and Weihrich).

To make nonverbal communication effective:

 You should be aware of your nonverbal communication and make sure it is consistent
with your oral or written communication.
 Be aware of, or read, other people’s nonverbal communication because it tells you their
feelings and attitudes toward the communication and you as a person.
 Smile and use eye contact comfortable for all.
 Speak in a pleasant tone of voice.
 Do not cross your arms or legs (signs of being closed to communication).

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Summary

In general, communication is categorized into internal and external communication. Internal

communication is the exchange of messages between employees inside the organization, whereas
external communication is the exchange of messages between the organization and the external
environment.

Internal communication includes formal and informal communication. Formal communication

channels are established within the organization’s chain of command in order to accomplish task
objectives. Formal communication includes downward, upward, horizontal, and diagonal
communications.

An informal communication network operates independently from official channels and involves
messages that flow in all directions and through all levels of authority. It involves grapevine,
social gatherings, and management by wandering. Grapevine is the most common form of
informal communication. There are four chains of grapevine: single strand, gossip, probability,
and cluster. Managers can do little to control the direction, speed, and accuracy of grapevines.

The external communication links the organization with the outside world.Organizations are
involved in communicating externally to present products and services, to develop a positive
image, to attract employees, and to gain attention. The survival of an organization depends on the
relationships established between members of the organization and people outside the
organization.

External information can also help the organization plan, make decisions, avoid problems, and
satisfy customer needs. External communication between the organization and the environment
is a process involving input, throughput, and output.

The typical external communication program includes four distinct programs such as public
relations, advertizing, promoting the culture and opportunities available to prospective
employees, and customer surveys.

Communication also classified in to verbal and nonverbal communication. Verbal

communication includes any oral or written method of transmitting meaning through words.
However, nonverbal communication is any part of communication that does not use words.

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Organization use written and oral communications as verbal communication. The most
commonly used channels of written communication are letters, memos, faxes, e-mail, and
reports, whereas organizations mostly use meeting, interview, and telephone as channels of oral
communication. Successful managers use their oral communication skills to give clear
instructions, motivate their employees, and persuade other people.

Oral communication takes place through listening and speaking. The listening process involves
activities of sensing, filtering and remembering. Some causes of poor listening are Physical
Barriers, Personal Barriers, Semantic Barriers, and Bad listening habits

The ability to communicate clearly, persuasively and confidently through speaking is also one
key to success for both business and professional people.

Nonverbal communication means all communication that occurs without words. Usually, we use
nonverbal communication to supplement and reinforce our words. The three types of nonverbal
communication are body language, space, and time.

Additionally, nonverbal communication includes vocal cues, body posture, and physical
environment.

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