Topic 12 X Communication

in Organisations

LEARNING OUTCOMES

By the end of this topic, you should be able to:

1. Explain the importance of good communication in an
organisation;
2. Differentiate between formal communication and informal
communication and clarify the forms of communication involved
in it;
3. Evaluate the seven steps in overcoming the barriers of
communication; and
4. Identify the obstacles to changes in an organisation and ways to
overcome the problems.

X INTRODUCTION
According to Lewit et. al (2001), there are many reasons why a manager
communicates. Among them are to motivate, inform, control and fulfil social
needs. Communication in the form of motivation is aimed at encouraging
employees and must be designed so that it is able to influence employees to
achieve organisational goals.

Communication in the form of information provides facts and data to be used in

making decisions towards achieving the objectives that have been set.

Communication as a control function will coordinate and bring together the

work and task of record-keeping in making them tidy and orderly.
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Managers also communicate in order to fulfil social needs through interaction

that does not involve work and emotions. For example, an employee is not only
required to talk on matters related to their jobs but also on matters related to
sports, weather, entertainment, politics and others. Even though this
communication will not give direct effect on his work performance in the
organisation, it can influence the way the employee feels about his workplace
and his relationship with other employees.

According to Rue et. al. (2000), a study found that 50 to 90 percent of the time of a
manager is used to communicate. Unfortunately, according to another study,
almost 70 percent of business communications failed to achieve the objectives
desired. According to another study, lower managers spend 57 percent of their
time communicating while for middle managers it is 63 percent, and for upper
managers it is 78 percent. This percentage of time shows how much time
managers spend to communicate with others.

EXERCISE 12.1

Essay Question

Explain the main reasons why a manager communicates.

12.1 DEFINITION OF COMMUNICATION

SELF-CHECK 12.1
Have you ever encountered a situation of misunderstanding between
your employee and you, or between your manager and you? What was
your action?

Communication is a dynamic and complicated process which involves many

factors that affect its effectiveness. Dynamic process means that the process of
communication is not in a static or fixed condition. Meanwhile, complicated
process means that even though it is a simple interaction involving two people, it
involves numerous variables such as individual, environment, experience of both
parties, and work conditions that determine the efficiency and effectiveness of
the process.
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Communication is the process of transferring information and knowledge

from one individual or party to another person or party using meaningful
symbols. It is a method of exchanging and sharing of ideas, attitudes, values,
opinions and information.

The process of communication begins with a sender who wishes to deliver a

particular message and this process is complete when the receiver of the message
gives out feedback whether the message received is understood or otherwise.
Figure 12.1 below depicts the elements in the process of communication.

Figure 12.1: Process of communication

Sources: Jones, G. R., George, J. M. & Hill, C. W. L. (2000). Contemporary management
(2nd ed.). Boston: Irwin-McGraw Hill

Communication is a process where the exchange of information takes place

between two or more people. Therefore, there are the information sender and
information receiver to deliver a particular message either in the form of
viewpoints, ideas, news, reports or problems. The elements of communication
process are as follows:

(a) Information Sender

Also known as the message source, the sender is a person who has a piece
of information and wishes to deliver it to other parties.
(b) Encode
Encoding takes place when the sender translates the information to be
delivered into a series of symbols that can be identified and understood by
the receiver.
(c) Message
The message comprises symbols in the form of verbal, written or sign
language that symbolises the information to be delivered by the sender to
the receiver.
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(d) Channel
Channel is the method of delivery from one person to another. The channel
must suit the message to be delivered to ensure that the communication
process occurs smoothly, effectively and efficiently.
(e) Decoding
Decoding is the process where the receiver translates the message received
into a form that can be understood and brings meaning to the receiver.
(f) Receiver
The receiver is the individual or party who receives the message delivered
by the sender. The message formed is based on the background of the
receiver.
(g) Feedback
It refers to the reaction of the receiver towards the message received from
the sender. It is a process of returning the message to the sender that
depicts the level of understanding of the receiver towards the particular
message. Providing feedback is the best way of showing that a particular
message has been received and whether the message has been understood
or otherwise.
(h) Disruption or Noise
Any factor that disrupts, confuses and restricts the delivery of message.
Interference may be internally or externally. Internal factors are related to
the individual himself, such as a receiver who does not pay attention to the
message delivered. Meanwhile, external factors are environmental and
physical factors that cause the message delivered not to be perfectly
understood by the receiver.

EXERCISE 12.2

Essay Question

Define communication and the elements involved in communication.

12.2 TYPES OF COMMUNICATION

In an organisation, communication is very important in order to ensure that the
message to be delivered reaches the receiver. Below are three types of
communication in a particular organisation:
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Figure 12.2: Types of communication

12.2.1 Formal Communication

Formal communication is a message or information delivered through the
hierarchy network or job responsibility as defined by an organisation. The three
systems of formal communication frequently used are:
(a) Vertical communication
(b) Horizontal communication
(c) Diagonal communication

(a) Vertical Communication

Vertical communication refers to two types of communication: downward
and upward flow of message.

(i) Downward Communication

According to Rue et.al. (2000), downward communication is a part of
the communication system present in an organisation. It has been
implemented and accepted by management since the beginning. This
channel of communication is frequently used by managers to deliver
messages to subordinates or customers. Downward vertical
communication begins from upper management and travels down
along the levels of management to middle management, lower/line
management and employees.

The purpose of downward vertical communication is to inform or

instruct other management and employees regarding policies or
organisational goals that had been fixed by the upper management.
Other purposes of communication is to provide advice; inform,
instruct and evaluate subordinates; and provide information on the
goals and policies of the organisation to the members of the
organisation.
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Problems in downward communication arise when it is misused, that

is, when managers do not provide opportunities for subordinates to
give feedback or do not provide complete information needed by
subordinates to perform their work effectively. This might result in
the subordinates being confused, less understood and failing to
perform their jobs. This condition happens because most downward
communication is one way and does not encourage feedback from
subordinates using the information.

The choice of channel used in this system is important. Written

communication is usually difficult to alter. It provides a form of
official record but it does not allow immediate feedback. Meanwhile,
verbal communication does not provide a record and can be easily
altered but it allows immediate feedback.

(ii) Upward Communication

Upward vertical communication contains messages or information
from the lower level or subordinates to the upper management level.
Upward vertical communication is used by employees to deliver
suggestions, opinions or feedback to the upper management. This can
be done through meetings, discussions, surveys and others.

The main function of this type of communication is to provide

information to upper management regarding what is happening at the
lower level. Ideally, organisation structures must provide both
downward and upward communications. Communication is
supposed to flow two ways through the formal structure of the
organisation. Unfortunately, upward communication does not flow as
smoothly as downward communication. According to Rue et. al.
(2000), the following are some of the barriers to upward
communication:

(a) Management fails to react when subordinates deliver

information or problems. This failure will cause frustration and
inhibit communication.

(b) Manager does not care about wrong actions. When employees
feel that this kind of attitude exists in their manager, they will
avoid giving information.

The attitude of a manager plays a critical role in upward

communication. If a manager is concerned and listens well, upward
communication can be improved.
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(b) Horizontal Communication

Horizontal communication refers to the flow of message among members
working in the same level of hierarchy in a particular organisation. This
type of communication takes place between colleagues or among managers.
This type of communication forms coordination and relationship among
friends at the same level. For example, the sales manager discusses with the
human resource manager to find out the number of part-time employees
needed for the next month.

Basically, upward and downward communication take place through the

chain of command of the organisation. However, difficulty and
organisation size results in the increase of the communication needs that
crosses the formal line in the chain of command. Horizontal communication
or also known as lateral communication is important in the coordination
among departments and to ensure the perfect functioning of downward
communication, which covers the instructions from upper management;
and upward communication, which consists of feedback from the
subordinates to upper management.

Horizontal communication usually follows a work flow pattern in a

particular organisation, which takes place among colleagues, managers and
departments. The main aim is to provide a direct channel in coordination
and solving problems of the organisation. The benefit of horizontal
communication is that it allows the members of the organisation to develop
relationships with their colleagues from the same level. This will further
develop work satisfaction and cooperation.

(c) Diagonal Communication

Diagonal communication refers to the flow of message between two parties
from different hierarchies or department in a particular organisation. This
type of communication does not follow protocol. This type of
communication is frequently used in informal organisations. For example, a
human resource manager discusses with a clerk from the accounts
department due to incomplete information in the records of employees.

EXERCISE 12.3

Essay Question

What is meant by formal communication? State the different types of

formal communication channels in an organisation.
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12.2.2 Informal Communication

SELF-CHECK 12.2

What do you understand about informal communication?

According to Rue et. al. (2000), there are many informal paths of communication
in an organisation. Most of this communication happens outside the chain of
command. These informal communication channels are known as the grapevine.
Grapevine is an informal network of information among colleagues. The
grapevine in organisations does not emphasise power and rank. The grapevine
may connect members of the organisation in any direction of communication,
either vertically, horizontally or diagonally.

Even though the grapevine can be defined as rumours, they are also useful to
management. Through the grapevine, management is able to deliver information
and receive feedback faster without involving a high cost. Based on the feedback,
the management will evaluate whether to carry out further studies.

12.2.3 Non-verbal Communication

Non-verbal communication is a type of communication that does not use words,
neither verbal nor written. Non-verbal communication is an important addition
to verbal communication and sometimes can alter the meaning of verbal
communication. Non-verbal communication is the best method to communicate
emotions. When combined with verbal communication, it becomes a powerful
tool for a manager to send out information to the employees. Non-verbal
communication consists of:

(a) Kinesics
According to Williams (2000), kinesics is a type of communication that does
not use words. Instead, it uses body language and facial expressions. A
person is able to understand the message delivered by watching the body
language or the expressions shown. For instance, a person will move his
head left to right when he does not understand a certain matter. The use of
body language always raises problems between the sender and the receiver.

(b) Paralanguage
According to Rue et. al. (2000), forms of non-verbal communication
involving tone, pitch, intonation level, volume, and speech patterns such as
silence or halts in a personÊs voice can also be considered as a form of
communication. For example, in the United States of America, a person can
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raise their eyebrows as a sign of disagreement, attracted, being considerate

or giving attention. Meanwhile in Japan, raised eyebrows are considered an
obscene sign.

12.3 INCREASING COMMUNICATION

The first step in forming effective communication is to identify and overcome
barriers in the communication process. These barriers will interfere with the
message to be delivered to the receiver.

12.3.1 Communication Barriers

There are five barriers in communication as depicted in the figure below:

Figure 12.3: Barriers to communication

(a) Selected Perception

This is the tendency of finding out and receiving objects and information
which are consistent with our values, beliefs and desires, but disregarded
or rejected as inconsistent information. Perception is a process whereby an
individual receives, arranges, interprets and stores information obtained
from their environment. They will then be involved in the process of
perception filtering. Filtering of perception is the difference in personality,
psychology or basic experience that influences other people to disregard or
not give attention to certain stimuli. Individuals are also inclined to fill in
the blanks of missing information by assuming what he does not know is
consistent with what he already knows.
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(b) Disruption
Disruption is any factor that interrupts, confuses or restricts
communication. For example, a person talking on the telephone in a noisy
environment will face difficulty in understanding what the receiver is
saying. This disruption will result in a wrong perception towards the
message being delivered.

(c) Emotions
Emotional reactions such as anger, love, jealousy, fear and others will
influence a person in understanding the message being sent to him.
Emotions are subjective reactions when a person communicates. The
emotion and sentiment of the sender influences the method of message
encoding and the receiver may or may not realise the emotional condition
of the sender. If it is obvious, the emotions of the sender and the receiver
will influence the message decoding and the reaction of the receiver.

(d) Communication Skills

The skill to communicate differs from one individual to another. These
differences are caused by culture, education, training and the personality
features of a particular person. For example, Americans prefer and are more
talkative compared to the Japanese because the Japanese culture encourages
precision.

Therefore, Japanese people prefer to wait, listen and discuss a matter in

detail before making any decisions. The effectiveness of communication
also depends on the suitable time for a message to be delivered. For
instance, if a manager decides to give out an instruction or message during
the festive season or in the evening when employees are preparing to leave
the workplace or thinking of taking a long vacation, the effectiveness of
communication will definitely be poor.

(e) Suspicion
The reliability of a particular message will affect the effectiveness of
message acceptance. Reliability of the receiver towards the sender is
influenced by several factors. For example, in a discussion between
employees and management, employees are frequently suspicious about
the claims of the managers. In this situation, as any other situation, the
perception towards the nature or honesty of the sender is important.
Education and experience of a person on the subject of communication will
also affect the process of communication. Another important factor is the
closeness of the receiver to the sender. A good relationship between the two
parties will promote a better and more effective deal between one another
compared to individuals who are always in dispute with each other.
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12.3.2 Measures in Overcoming Communication

Barriers
There are seven measures or steps that can be taken by managers and employees
to overcome the barriers that exist in communication. These are as follows:

Figure 12.4: Measures in overcoming communication barriers

(a) Controlling the Flow of Information

There are times when a manager receives too much information that may
not be relevant or important to him. Therefore, the manager must create a
system that is able to identify and give priority only to the important
messages that requires immediate attention.

(b) Encouraging Feedback

The manager and related parties need to take subsequent measures to
determine whether the message had been understood accurately. From the
feedback received, the sender is able to find out whether the message
delivered had reached its target.
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(c) Language Used

Since language can become a barrier to communication, a manager needs to
properly choose words and language that can be easily understood by the
subordinates. For example, the use of technical language is only suitable for
the experts in that particular area.

(d) Active Listening

Manager assumes that part of the responsibility to communicate
successfully is by giving non-punishing feedback and showing that the
manager is clearly listening to what is being told. Subordinates must act as
good listeners and receivers of information. They need to listen actively,
reduce interference and develop better communication skills through role-
playing and group presentation training.

(e) Controlling Negative Emotions

Like everybody else, a manager needs to control his negative emotions
when communicating because negative emotions can alter or afflict the
contents of a particular message.

(f) Using Non-verbal Signs

Managers need to use non-verbal signs to emphasise important parts in a
particular message in order to portray their feelings.

(g) Using the Grapevine as a Communication Channel

The grapevine is a communication channel that is difficult to be removed in
any organisation. Therefore, managers must be able to use this channel to
deliver information promptly, examine reactions before making the final
decision and in getting feedback.

SELF-CHECK 12.3
After identifying the seven measures in overcoming communication
barriers, in your point of view, how far is the effectiveness of these
measures in practice?
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EXERCISE 12.4
TRUE (T) or FALSE (F) Statements

1. Each basic function of management requires effective

communication skills.

2. Communication depends on the ability to deliver messages and not

in receiving messages.

3. Paralanguage consists of body language and facial expressions.

4. Communication systems of organisations can move downwards,

upwards and horizontally.

5. The grapevine can become a source of information for managers.

Multiple Choice Questions

1. The flow of information received by the receiver from the message

sender is referred to as_____________.

A. decoding
B. feedback
C. perception
D. grapevine

2. Which of the following is a form of non-verbal communication?

A. Paralanguage
B. Perception
C. Horizontal communication
D. Vertical communication

3. What determines the flow of downward communication in an

organisation?

A. Grapevine
B. Semantic
C. Perception
D. Chain of command
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4. Horizontal communication is also known as ________________.

A. one-way communication
B. lateral communication
C. informal communication
D. upward communication

5. Which of the following is NOT considered as a barrier to

communication?
A. Selected perception
B. Disruption
C. Emotion
D. Grapevine

• Communication is an act of sending or spreading information. Communication

is a dynamic and complex process which involves many factors.
• There are eight elements involved in the process of communication ă the sender,
encoding, message, channel, decoding, receiver, feedback and disruption.
• Communication can be divided into two types: formal and informal.
• There are three formal communication systems which are frequently used ă
downward communication, upward communication and horizontal
communication.
• The informal communication channel in an organisation is referred to as the
grapevine.
• Verbal communication is a type of communication that uses speech or writing.
• Non-verbal communication consists of kinesics and paralanguage.
• There are five barriers which interfere with the formation of effective
communication ă selected perception, disruption, emotions, communication
skills and suspicion.
• There are seven measures that can be implemented in order to overcome the
barriers of communication ă controlling the flow of information, encouraging
feedback, language used, listening actively, controlling negative emotions,
using non-verbal signs and using the grapevine as a communication channel.
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Diagonal communication Paralanguage

Horizontal communication Vertical communication
Kinesics