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Lecture Notes Business Communication Unit II

Lecture Notes Business Communication Unit II

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Published by Amit Kumar
Corporate Communication: Formal and Informal Communication, Networks, Grapevine, Barriers in Communication, Groups discussion, Mock Interviews, Seminars, Individual and Group Presentations
Corporate Communication: Formal and Informal Communication, Networks, Grapevine, Barriers in Communication, Groups discussion, Mock Interviews, Seminars, Individual and Group Presentations

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Categories:Types, School Work
Published by: Amit Kumar on Mar 16, 2013
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Prof. Amit Kumaramit040985@gmail.comFIT Group of Institutions Page 1
Corporate communication
is the set of activities involved inmanaging and orchestrating all internal and externalcommunications aimed at creating favorable point-of-viewamong stakeholders on which the company depends. It is themessages issued by a corporate organization, body, or instituteto its audiences, such as employees, media, channel partnersand the general public. Organizations aim to communicate thesame message to all its stakeholders, to transmit coherence,credibility and ethic. Corporate Communications helporganizations explain their mission, combine its many visionsand values into a cohesive message to stakeholders. Theconcept of corporate communication could be seen as anintegrative communication structure linking stakeholders tothe organization.Corporate communication -Formal & Informal communication,Networks, Grapevine, Barriers in communication, Groupdiscussion, Mock interviews, Seminars, Individual & groupPresentations.
Formal and Informal Types of Communication
 Formal communication is that which devices support from theorganisation structure. It is associated with the particularpositions of the communicator and the recipient in thestructure.Formal communications are mostly of the written type such ascompany manuals, handbooks magazines, bulletins annualreports and are designed to meet the specific needs of theorganisation.Informal communication is based on the informal relationshipsthat grow up in an organisation and is commonly referred to as"the grapevine". It may be conveyed by a nod, a glance, agesture, a smile, and even silence.Whereas formal communication is generally more articulate,direct and has got official backing, informal communication ismore indirect, less explicit and somewhat spontaneous andflexible. It serves the social needs of the individuals in theorganisation and a manager can utilize the grapevine as apositive aid.However it may also contain distorted information and mayeven degenerate into gossip and rumour and other negativeoutlets of expressions by people in the organisation.The speed at which information flows through a grapevine isoften astounding. The grapevine cannot be destroyed andhence should receive conscious attention of management.
Formal Communication
the process of sharing official information with otherswho need to know it,
according to the prescribed patterns depicted in anorganization chart
11/18/2003Formal and Informal Channels of Communication
Formal Communication
President VicePresident VicePresident ManagerManagerManagerManage
Efforts at coordination
     I    n     f    o    r    m    a     t     i    o    n
I  n s  t   u c  t  i   on s  an d   d i   e c  t  i  v e s 
© Copyright 2002 by Prentice Hall, Inc.
 Type of Formal Communication
downward communication:
instructions, directions, orders
upward communication:
data required to complete projects
status reports
suggestions for improvement, new ideas
horizontal communication:
coordination of cooperation
Centralized Networks
One central person
Unequal access to information
Central person is at the “crossroads” of theinformation flow
Decentralized Networksdd
Information can flow freely
No central person
All members play an equal role in the transmittal of information
Prof. Amit Kumaramit040985@gmail.comFIT Group of Institutions Page 2
Network Performance
Informal Communication
information shared without any formally imposed obligationsor restrictionsif an organization’s formal communication represents itsskeleton, its informal communication constitutes its centralnervous system(Behaviour in Organizations, p. 307)
eng. “grapevine“
An organization’s informal channels of communication, based mainly on friendshipor acquaintance
origin: American Civil War [grapevinetelegraphs]Informal Communication Structures
Deviation from the planned communication structure
Direction of the flow of information
Leaving out people in the communicationline
Integrating people into the communicationline“Grapevine“1.
a secret means of spreading or receiving information2.
the informal transmission of (unofficial) information,gossip or rumor from person-to-person -> "to hearabout s.th. through the grapevine"3.
a rumor: unfounded report; hearsay
11/18/2003Formal and Informal Channels of Communication
Informal Networks
 McGraw-Hill© 2004 The McGraw-Hill Companies, Inc. All rights reserved.
Grapevine Characteristics
mostly undocumented
Prof. Amit Kumaramit040985@gmail.comFIT Group of Institutions Page 3
open to change
fast (hours instead of days)
crossing organizational boundaries
Grapevine Characteristics
levellingdeletion of crucial details
sharpeningexaggeration of the most dramatic detailswhile the grapevine generally carries the truth it seldomcarries the whole truth
Grapevine Figures
70% of all organizational communication occurs at thegrapevine level
estimated accuracy rates: 75-90%
the incorrect part might change the meaning of thewhole message though
an estimated 80% of grapevine information isoriented toward the individual while 20% concernsthe company
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 to alarge group of subordinates (inofficially!)
Coping or Managing the Grapevine
“the grapevine cannot be abolished, rubbed out, hidden undera basket, chopped down, tied up, or stopped“(Managing the Grapevine, p.222)
don‘t try to control or restrict it
use it to supplement formal channels
“Tapping“ the Grapevine
identify and make use of key communicators (
monitor what is happening in the organization
use the grapevine to give new ideas a “trial run“
Preventing Rumors
provide information through the formal system of communication on the issues important to theemployees
supply employees with a steady flow of clear,accurate and timely information
present full facts
keep formal communication lines open and theprocess as short as possible
Formal Media
Company newsletters
Employee handbooks
Company magazines
Formal meetings
Informal Media
Face-to-face discussions
Voice messaging (voice mail)
Instant messaging (chat)
The Nature of Informal Communication
mostly brief interactions
mainly opportunistic (
coordination, initiation)
often time-lags between informal interactions (
 maintenance and re-establishment of context)

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