•Communication networkLets compare two communication situation in an organization

•First Mr Kumar Mangalam Birla chairman of Aditya Birla Group announces new product plans to the stockholders of his company

•Second –one day in the lunchroom two office assistants of Aditya Birla Group gossip about heir colleagues whose service s have been terminated recently

contdThe first situation describes a situation in which

the chairman shares official information which the stockholders need to know

Second situation involves the sharing of unofficial information about what is going on in the company

As both are very common forms of communication in organization set ups

Beneficial to know the ins and outs of formal and informal communication networks existing in organization

Organizations are often described in the way they dictate who may or may not communicate with who

The organizational structure of a workplace is the formally prescribed pattern of inter- relationships existing between its various units

This structure influences in many ways the various forms of communication in the organization

Organization Chart

President

VicePresident

Mkt

Vice President

Opr

Manager

Manager

Manager

Manager

Information

Efforts at Co ordination

InstructionsDirectives

Contd -An organization chart provides a graphic

representation of an organization’s structure and an outline of the planned /formal /connections between its various units

-The organization structure depicts a small part of an organization and an overview of the types of communication expected to occur within it

-Each of the boxes shown in the chart represents a particular business function and the lines connecting the boxes represent the formal lines of communication between the individuals performing these functions

-the lines indicate flow of information in the organization or who is supposed to communicate to whom

ContdPeople in organization communicate formally

with those immediately above them and below them as well as those at their level

Formal communication between people several levels apart occurs rarely

In Present times highly restricted hierarchical structures are giving way to more open forms of organizational structures

ContdThe nature of formal communication differs

according to people’s position in an organization chart

-Information about policies & procedures originates from executives and flows down through managers to supervisors and finally to lower level employees

-Many organizations have formulated official communication policies that encourage regular and open communication

-suggest means for achieving it and spell out responsibilities

Official information among the people of an organization typically flows through formal channels

-The organization chart clearly reveals that information flows in an organization in three different directions-upward/downwards & sideways

Organizational commnicationInformation to be communicated in an

organization

To reduce the chances of misinformation by the grapevine /an organization keeps all its employees informed about every happening and future plan

The content of information is usually a mix of fact /opinion/attitudes and interpretation

All business communication can be divided into five types of information

1.Statutory information: Information such as terms and conditions of service is communicated to all employees as a statutory requirement

2.Regular information: Information regarding normal work situations has to be regularly communicated through routine formal briefing sessions or through informal chat sessions between the manager and various group members or colleagues

3.Major policy or operational change information: which can effect employees/meetings/notices

4.Information Bulletin: To keep people informed about events and happenings taking place in the organization/provide periodic information-news letters-communicated to all employees-creates involvement/belongingness

5.Communication by expectancy: information of critical changes should be carefully and gradually communicated to those who are going o be directly affected by he decision

-before the decision is taken and implemented the people concerned must be mentally prepared for he event/involvement- representatives-head /less shock if negative communication

Contd IMPORTANCE OF COMMUNICATION IN

MANAGEMENT

Communication skills constitute an important aspect of effective management

-managing is a complex process -in simple terms it can be described as the

organization of capital/labour and material to achieve production and distribution of particular goods or services

First the management fixes its objectives in terms of what to do and how to form its policy issues

-T here has to be a system through which the production and distribution process/guided/

co -ordinated and controlled to ensure that the management operation operates smoothly(supply chain management

• Managing is a unified /organized and co-

operative system committed to the achievement of common goals

The sense of unity of purpose and commitment to a single organizational goal can be developed only through the inspiring and persuasive power of communication/Manager needs to have communication skills of a high order

-to structure the information according to its negative/affirmative nature

-to use words and tones which suit the purpose of communication

-the manager should be able to create a desired relationship with audience/workers to produce the needed response

-For training & development programmes -For appraising employees/performance

standards must be properly and clearly communicated-feedback-scope for improvement/failure in communicating the performance feedback-cause emotional problems/dissatisfaction /low morale

-for explaining disciplinary rules & procedures-for ensuring proper implementation

Example HR manager has to have good negotiating skills to arrive at an agreement during collective bargaining process

-for fostering effective participative & collaborative work culture in the organisation

Problems/ suggestions/opinions/recommendations of employees are transmitted through communication channels of the organization

Communication has a direct link with motivation/morale/absenteeism and productivity of employee

-A leaders failure or success depends upon how well he communicates his plans vision and ideas to his followers

-Management as a discipline includes every conceivable form of communication

Organisational pyramid Board of directors

MD

Senior Management

Middle level mgmt

Senior Supervisors

First line Supervisors

Employees/shop floor employees

Vertical CommunicationIn organization there are well defined lines/route

for passing on communicationAt the boardroom level/policy decisions are

taken -from there downward information and

instructions are sent to senior managers or a group o managers

-they ensure that policy decisions are understood/implemented/sustained/monitored/

reviewed/reported as feedback-performance data/employees experience /expectation/suggestions sent upward

-In this organizational system of communication the key links are managers and supervisors

In all large organizations the HRD/HRM or personnel department manages the circulation of information among employees

-They are able to identify needs/guide on policy matters and supervise infrastructural arrangement

-when organization has too many hierarchical levels managers face a lot of difficulty to reach the ground level employees/shop floor employees

This slows the communication in reaching /delayed in getting absorbed and acted upon

Peter Drucker holds-organizations would move towards a flat system of management and executives would walk down he jobs

-to facilitate communication flow downward –prevent employees –getting frustrated by their sense of isolation

• HORIZONTAL COMMUNICATION- Also known as peer communication /it is

needed within the organisation in relation to -Geographical location of division-Functional basis of division

Geographical organisation :In large setup divisions may be based on geographical areas

-such divisions may be known just by number or single letters/example-at TISCO (Jamshedpur)we have G blast furnace having its own division with full fledged hierarchy of employees & executives/other furnaces located separately on he vast Tisco site

-other departments like Research and Development/Total Quality Control Division

FUNCTIONAL ORGANIZATION - Business and industrial organisations form

divisions on the basis of different functions-production /marketing/finance/personnel and

training & development-They function independently /linked - peer group

comm& workflow information-raw material-finished goods-service

Internal communication system in organisation Management

Line/functional Staff Grapevine

Marketing Dept

Marketing Mgr

Prod Mgr

Sales mgr

Mkt research Mgr

Area sales mgr

PersonnelAdministrati

onPublic

Relation

Across all levels & dept

Finance

Communication and the line and staff management

Line and staff management is a system of management in large organization comprising line managers and staff managers

Line managers are responsible for the main activities of the company /manufacturing /sales

Staff managers control the support and service areas/accounting/distribution/Personnel/HR

A network of relationships between members in the line (functional) mgmt and staff(support) mgmt is created by means of effective internal communication system

FORMAL COMMUNICATION1.Line relationship2.Functional relationship3.Staff relationshipLINE RELATIONSHIP:-Is the line of authority which sets down the path

of communication from boss to subordinate and

vice versa-all official communication /orders/instruction

move from seniors to subordinates-follow up actions/ compliance/info/report move

upward

-Organizations insist on respecting the practice /normal chain of authority/one position to next position/example “Through proper channel”

-If communication is oral communicated o immediate boss

2.FUNCTIONAL RELATIONSHIP:-Is the communication that occurs when departments

inform work and related organizational matters to each other

3.STAFF RELATIONSHIP:Is the communication which supports the line management/mkt/prod/does not carry the executive authority of line relationship

ContdInformal communication in an organization

usually flows through chat and grapevineThe creation of a grapevine may create

complications for the information system of organizations

• The grapevine is a fact of all work places - it is an informal adjunct or extension of the

organizational communication

Merits: uniting force/speed/creating of ideas/good personal relations/

Demerits: Rumours/inadequacy/Changing interpretations

ContdSome important functions of managing -Forecasting: Determines organizational

objective and policies/communicate objectives/policies/programmes/procedures/

budgetary provisions -planning:Prepares programmes/procedures

and budgets -Organizing-Sets the organizational

structure/determines the formal and informal relationships within the organization & outside it-this relationship is developed through interpersonal communication

Instructing: provides the bed rock of organization performance/it depends upon interpersonal exchange of information regarding products/processes and targets

Co-ordination: Ensures all efforts are directed towards organizational goals/most demanding of all functions

-it requires excellent communication skills to ensure that all efforts are directed towards the achievement of single organizational goal

-To see that diverse activities are unified into a single whole/manager should relate with all people formally & socially

Controlling: checks results and receive feedback/for effective control over organizational functioning and planning the manager should have the requisite competence to receive information and to respond quickly

-Active communication system is vital for the good health of an organization

-if continuous sharing of ideas and interaction between management and workers takes place

-there will be an overall atmosphere of understanding and goodwill prevail at the workplace

-If decision making is transparent employees would understand and accept even if they affect adversely

NEED FOR COMMUNICATION IN MANAGEMENT

• Today from the small to multinational enterprise every organisation needs an effective communication system to enable it to function and flourish

• In an organisation communication is a means – -to ensure employees job performance and

effectiveness by updating their knowledge -To promote employees sense of belonging and

commitment -to effect changes smoothly

contd -to motivate and create a sense of

identification with the organizational goals -to inform and convince employees about

decisions and reasons behind those decisions -to develop employees clear understanding of

their roles and future growth opportunities in the organization

- empower employees with information on development and activities

CORPORATE MANAGEMENTIn the changing business environment of

multinational competition and globalisation communication tends to become an important component of an organization

-like the functional areas of production /marketing and finance communication too is shaping into a distinct area in the form of corporate communication

Several changes in the modern socio-technological age of information have made people pay more attention to communication as an important tool of successful management these changes are:

-Size of organization/increased production-multinational collaboration

-New developments in information technology/new attitude towards knowledge and value of sharing /knowledge based company’s

-The concept of human capital-their attitude /interest/welfare important to achieve targeted goals & objective

-Need to learn corporate etiquette /greet/shake hand/dress/how to present cards/listen/converse with seniors/ladies/clients

WHY MANAGERS NEED COMMUNICATION SKILLS

As analysed by Henry Mintzberg of MIT managers need effective communication skills to perform the inter-relational roles:

-Interpersonal -Informational -Decisional

All these functions require the manager to handle people and situations with knowledge of human needs

Maslow’s pyramid of human needs

Physiological needs

Security and safety needs

Social needs

Ego needs

Self actualisingneeds

ContdMc Gregor’s X and Y Theories(book The human side

of enterprise)

Theory X –through close control and concern for the job rather than for the doer of that job-workers motivation was assumed to act as imposed from outside through supervision/promise of rewards/or fear of punishment

Theory Y-is the emerging style /it enunciates a balance between control and individual freedom to actualise the individuals potential and evolve as a mature and responsible being/the communication focus to motivation & persuasion rather than control & information

Communication training for managers-It provides the network of sustenance essential for the

growth and smooth functioning of the organization-How do we put it across?-What are the strategies of communicating effectively?-How one can learn them?-Can communication be taught?Today communication has become a buzzwordLot of emphasis is being given to training aimed at

developing skills to write letters/memos/reports/participate in seminars/GD/interviews/make presentations

Your success as a manager depends on how you present yourself/your ideas before others/verbal/non verbal(body language)Communicative competence is an aspect of one’s personality

ContdStrategies for improving organizational

communication

Encourage open feedback -360 degree feedback -suggestion system -Corporate hotlines(AT &T used it during its anti

trust divestitute-1980)Use simple languageAvoid overload-rely on gate keepers/practice queingWalk the talkBe a good listener