2. Principles of Management Second Edition © Oxford Fajar Sdn. Bhd. (008974-T) 2014 CHAPTER 15 ORGANIZATIONAL COMMUNICATION

3. All Rights Reserved Ch. 15: 3 Principles of Management Second Edition © Oxford Fajar Sdn. Bhd. (008974-T) 2014 LEARNING OUTCOMES After studying this chapter, you should be able to:  Define organizational communication, and discuss its importance.  Explain the communication process.  Describe the types of communication.  Explain the differences between verbal and non-verbal communication.

4. All Rights Reserved Ch. 15: 4 Principles of Management Second Edition © Oxford Fajar Sdn. Bhd. (008974-T) 2014 LEARNING OUTCOMES  State the differences between vertical and horizontal communication.  Describe the barriers to effective communication, and how to overcome them.  Explain effective organizational communication

5. All Rights Reserved Ch. 15: 5 Principles of Management Second Edition © Oxford Fajar Sdn. Bhd. (008974-T) 2014 15.1 INTRODUCTION  In most organizations, information is the most important component of survival.  Exchanging and sharing of information requires a mechanism—this mechanism is called organizational communication.

6. All Rights Reserved Ch. 15: 6 Principles of Management Second Edition © Oxford Fajar Sdn. Bhd. (008974-T) 2014 15.2 IMPORTANCE OF COMMUNICATION AND ORGANIZATIONAL COMMUNICATION  Gain competitive advantage  Building networks  Leading effectively and performing managerial roles (leadership)  Disseminating and exchanging information  Learning new skills and technologies

7. All Rights Reserved Ch. 15: 7 Principles of Management Second Edition © Oxford Fajar Sdn. Bhd. (008974-T) 2014  Becoming more responsive to customers  Developing innovation and managing change  Thinking analytically  Working as a team  Fostering a sense of social, professional and ethical responsibility 15.2 IMPORTANCE OF COMMUNICATION AND ORGANIZATIONAL COMMUNICATION (cont.)

8. All Rights Reserved Ch. 15: 8 Principles of Management Second Edition © Oxford Fajar Sdn. Bhd. (008974-T) 2014 15.3 GOALS OF COMMUNICATION AND ORGANIZATIONAL COMMUNICATION  The goal of organizational communication is to achieve specific intentions or desires through interaction with others.  All organizational members at all levels should: –ensure communication reaches all organizational members, without discriminating or segregating anyone

9. All Rights Reserved Ch. 15: 9 Principles of Management Second Edition © Oxford Fajar Sdn. Bhd. (008974-T) 2014 –transmit messages that are consistent with actions, otherwise distrust develops among organizational members –convey sufficient information, so that employees realize what is happening in an organization, especially pertaining to their jobs 15.3 GOALS OF COMMUNICATION AND ORGANIZATIONAL COMMUNICATION (cont.)

10. All Rights Reserved Ch. 15: 10 Principles of Management Second Edition © Oxford Fajar Sdn. Bhd. (008974-T) 2014 15.4 BASIC ELEMENTS OF THE COMMUNICATION PROCESS Figure 15.1 Elements of the Communication Process

11. All Rights Reserved Ch. 15: 11 Principles of Management Second Edition © Oxford Fajar Sdn. Bhd. (008974-T) 2014 15.5 TYPES OF COMMUNICATION  Verbal communication –Communication that occurs either orally or in writing Oral communication Written communication  Non-verbal communication Body motions or movements (kinesics) Physical characteristics Vocal cues Proxemics Environment Time or temporal communication

12. All Rights Reserved Ch. 15: 12 Principles of Management Second Edition © Oxford Fajar Sdn. Bhd. (008974-T) 2014 15.5 TYPES OF COMMUNICATION (cont.)  Electronic communication Telecommuting (tele-work) E-mail Video-conferencing Internet

13. All Rights Reserved Ch. 15: 13 Principles of Management Second Edition © Oxford Fajar Sdn. Bhd. (008974-T) 2014 15.6 COMMUNICATION CHANNELS  Messages are transmitted through channels of communication. There are several communication channels: –Formal communication Vertical—upwards and downwards the chain of command Horizontal—within and between departments; increases collaboration and coordination –Informal communication (spontaneous communication channel) Grapevine—usually unreliable

14. All Rights Reserved Ch. 15: 14 Principles of Management Second Edition © Oxford Fajar Sdn. Bhd. (008974-T) 2014  Physical noises  Sender or source of communication  Organizational and physical distance, and time  Value and cultural differences  Lack of common knowledge  Selective perceptions  Semantics  Communication styles 15.7 MAJOR BARRIERS TO EFFECTIVE COMMUNICATION

15. All Rights Reserved Ch. 15: 15 Principles of Management Second Edition © Oxford Fajar Sdn. Bhd. (008974-T) 2014 15.8 EFFECTIVE ORGANIZATIONAL COMMUNICATION  Poor communication and ineffective organizational communication are interrelated. The implications of both include: –Low employee morale –Reduced productivity –Substandard job performance –Dissatisfaction –Lack of commitment –Poor organizational citizenship behaviour

16. All Rights Reserved Ch. 15: 16 Principles of Management Second Edition © Oxford Fajar Sdn. Bhd. (008974-T) 2014 15.8 EFFECTIVE ORGANIZATIONAL COMMUNICATION (cont.)  Effective organizational communication can be encouraged via the following: – Developing trust and openness – Practicing employee empowerment – Expressing concern and empathy – Using organization intranets – Building team players – Fostering behavioural integrity and consistency – Managing power – Encouraging supportive communication