Organisation Comm- Lec 3

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    Formal and Informal Channels of

    Communication

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    Organizational Structure:

    Directing the Flow of Messages

    Organizational structure:

    the formally prescribed pattern of

    interrelationships existing between the

    various units of an organization

    dictating who may and may not

    communicate with whom abstract construction

    depicted in Organizational Charts

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    Formal and Informal Channels of Communication

    Formal Communication

    the process of sharing official information

    with others who need to know it,

    according to the prescribed patterns

    depicted in an organization chart

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    Formal and Informal Channels of Communication

    Formal CommunicationPresident

    Vice

    President

    Vice

    President

    Manager Manager Manager Manager

    Efforts at coordination

    Information

    Instruc

    tions

    anddirec

    tives

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    Formal and Informal Channels of Communication

    Formal Communication

    downward communication: instructions, directions, orders

    feedback upward communication:

    data required to complete projects

    status reports

    suggestions for improvement, new ideas

    horizontal communication: coordination of cooperation

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    Flow of InformationWithin an Organization

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    Centralized Networks

    One central person

    Unequal access to information

    Central person is at thecrossroads of

    the information flow

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    Communication Structures

    Centralized

    Wheel

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    Communication Structures

    Centralized

    Chain

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    Decentralized Networks

    Information can flow freely

    No central person

    All members play an equal role in the

    transmittal of information

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    Communication Structures

    Decentralized

    Circle

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    Communication Structures

    Decentralized

    Comcon

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    Formal and Informal Channels of Communication

    Informal CommunicationStructures

    Deviation from the plannedcommunication structure

    Direction of the flow of information

    Leaving out people in the communication line

    Integrating people into the communicationline

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    Formal and Informal Channels of Communication

    Informal Networks

    Y

    D

    C

    B

    A

    Chain

    A

    JB

    D H I

    K

    F

    GE

    C

    Gossip

    A

    F B D

    J

    H

    CE

    K

    G I

    X

    Probability

    A

    C

    D

    F

    J

    IB

    Cluster

    McGraw-Hill

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    Formal and Informal Channels of Communication

    Grapevine

    1. a secret means of spreading or

    receiving information

    2. the informal transmission of(unofficial) information, gossip or

    rumor from person-to-person -> "to

    hear about s.th. through the

    grapevine"

    3. a rumor: unfounded report; hearsay

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    Formal and Informal Channels of Communication

    Grapevine Characteristics

    oralmostly undocumented

    open to change

    fast (hours instead of days)

    crossing organizational boundaries

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    Formal and Informal Channels of Communication

    Grapevine Characteristics

    inaccuracy:

    levelling

    deletion of crucial details

    sharpening

    exaggeration of the most dramatic details

    while the grapevine generally carries the

    truth it seldom carries the whole truth

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    Formal and Informal Channels of Communication

    Grapevine Figures

    70% of all organizational communicationoccurs at the grapevine level

    estimated accuracy rates: 75-90% the incorrect part might change the

    meaning of the whole message though

    an estimated 80% of grapevine

    information is oriented toward theindividual while 20% concerns thecompany

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    Formal and Informal Channels of Communication

    Factors influencing Grapevine

    Activity IIEmployees rely on the grapevine when:

    they feel threatened,

    insecure,

    under stress

    when there is pending change

    when communication from managementis limited

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    Formal and Informal Channels of Communication

    Positive Aspects of the Grapevine

    social function

    reduction of anxiety

    release mechanism for stress identification of pending problems

    early warning system for organizational change

    vehicle for creating a common organizational

    culture

    desired information can be circulated quickly toa large group of subordinates (inofficially!)

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    Formal and Informal Channels of Communication

    Preventing Rumors

    provide information through the formal

    system of communication on the issues

    important to the employees supply employees with a steady flow of

    clear, accurate and timely information

    present full facts keep formal communication lines open

    and the process as short as possible

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    Formal and Informal Channels of Communication

    Formal Media

    Company newsletters

    Employee handbooks Company magazines

    Formal meetings

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    Formal and Informal Channels of Communication

    Formal Media

    Letters

    Flyers and bulletins Memos

    Faxes

    All-employees mailings

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    Formal and Informal Channels of Communication

    Informal Media

    Face-to-face discussions

    Telephone

    Voice messaging (voice mail)

    E-mail

    Instant messaging (chat)