CHAPTER FOUR

TYPES OF COMMUNICATION IN ORGANIZATION

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 non verbal
communications. 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

Internal communication is the exchange of messages between employees inside the organization.
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.

Businesses cannot function and employees cannot perform their jobs well without adequate
internal communication.

Communication between organizational members can be vertical or crosswise, formal or

informal.

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.

In an effective organization, communication flows in various directions: downward, upward, and

crosswise: horizontal and diagonal.

There are four kinds of information flows in the organization as diagramed in figure 4.1.

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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.

Horizontal

Diagonal
Upward
Downward

Figure 4.1 Information flow in an Organization

1. Downward Communication

Downward communication flows from people at higher levels to those at lower levels in the
organizational hierarchy. 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:

 Their role in the company,

 What resources are available, and

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  What is expected from them professionally.

Disadvantages

o 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.
o 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.
o 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.
o 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. In such situations, the communicator is at lower level in the organization
than the receiver. The main function of upward communication is to supply information to the
upper levels about what is happening at the lower levels.

The following are some functions of upward communication:

o 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.

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 o It is management’s primary source of feedback for determining the effectiveness of its
downward communication.
o It relieves employees’ tensions by allowing lower-level organization members to share
relevant information with their superiors.
o It encourages employees’ Participation and involvement, thereby enhancing
organizational cohesiveness.

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

Effective upward communication is usually found in participative and democratic organizational

environments. 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.

Like downward messages, 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.

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. 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.

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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

Horizontal communication is the flow of information among people on the same or similar
organizational levels.

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:

o Communication between production and sales departments in a business organization.

o 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

The advantages and disadvantages of horizontal communication as follows:

Advantages

 It increases worker productivity through coordination of interpersonal working

relationships.

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  It boosts morale.
 It allows employees to interact and learn from each other.
 It encourages teamwork and collaboration.

The most notable disadvantage of horizontal communication is professional rivalry, which is

competition between members of different departments. Sometimes employees may be 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.

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.

4.1.1.2 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.

Informal communication channels exist to serve the interests of those people, who make them
up, regardless of their positions in the organization.

The grapevine, social gatherings, 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. 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.

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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.

Messages travel extremely quickly on the grapevine, which is short-cut to formal channels. 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.

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

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.

There are 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

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 insignificant. In the cluster chain, person A conveys the information to a few selected
individuals, some of whom then inform a few selected others.
J

K E
E
K B I

G H
D K

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

Gossip

Figure 4.2 Types of grapevine chains

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.

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 information
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

External communication is the exchange of messages between the organization and the external
environment. 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.

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.

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.

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 Governme
nt
Output
The Organization

Input

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.

The typical external communication program includes four distinct programs:

o 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.
o Advertizing involves illustrating products or services in a positive manner. This form of
communication is designed to attract customers.
o Promoting the culture and opportunities available to prospective employees. This
communication is designed to attract employee talent to sustain and grow the organization.

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 o 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.

4.3. NONVERBAL COMMUNICATION

In either your role of speaker or listener in oral communication, you will need to be aware of the
nonverbal-nonword- part of your communication. Nonverbal communication means all
communication that occurs without words. 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.

Types of Nonverbal Communication

There are three types of nonverbal communication:

1. Body language
2. Space
3. Time
1. 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.

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. 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 vise versa.

Another area of body language is physical appearance - our clothing, hair, and adornments:
jewelry, cosmetics and the like. The appearance of our bodies indicates how our body
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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2. 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.

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 your 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.

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.

3. Time

A third type of nonverbal communication involves time. Just as there is a body and space
language, there is also a time language. 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).

o Vocal cues: the tone, pitch and general expression of speech (refers to how words are
said i.e., calm/excited/upset/slow or fast).
o 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
o 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.

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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