Business at work
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Upward information flows
An upward information flow along a vertical information channel is from a subordinate to a superior. This might be feedback from a downward flow or the communication may originate directly from subordinates. An upward information flow can cover:
. responding to a superior’s request for information on some aspect of work for which the subordinate is responsible
. informing managers about the subordinate’s own performance, problems or their personal ambitions in relation, for example, to promotion or opportunities for developing new skills.
. passing on information about other employees in the subordinate’s section and relations with sections with which there is a direct link
. submitting ideas on improving working methods and solving work problems.
In the interests of effective working relations. Most organisations expect subordinates to report formally through their immediate supervisor or manager. However, they are likely to communicate in formally with managers higher up the hierarchy and in some situations, such as grievance procedure, may go directly to a more senior manager than their immediate superior.
Horizontal information flow
In addition to upward and downward flows, there are also horizontal information flows between people of the same status. Because many operations within an organisation must work very closely together, there must be formal arrangements for the exchange of information between sections and departments. The production department, for example, must have close contact with the purchasing department when it is considering changes to materials and components or introducing advanced machinery and equipment. Production staff also has to exchange information with employees in requirement, training, marketing and transport.
The quality of information.
The essential characteristics of an efficient information system are that
the right people receive the right information at the right time. The
information communicated should be:
. internally relevant to the needs of the recipient
. accurate and concise
. comprehensive, avoiding a time-consuming request for extra information
. clear – it must be presented and communicated without ambiguity or possible misunderstanding.
The person receiving the information must have confidence in the ability of
the sender and, therefore have the confidence to take decisions based on
the contents of the communication. The person sending the information must
be confident that the receiver has the ability to understand, use and take
effective decisions based upon the information supplied.
This information system, the communication media and the kind of
information provided should be review on a regular basis. The information
system should be adjusted to take into account any developments within the
organisation such as changes in its organisational structure or management
style. This review should also take into account external factors such as
advances in information technology.
Informal communications
Vertical and horizontal information flows should be clearly defined. If
individual are not sure about from whom the y should receive information
and instructors, this can lead to the growth of information flows which are
not part of the formal system. If there are two information flows running
at the same time, there can be confusion and a fall in productivity. These
informal systems can generate alternative sources of information and create
a situation where the different levels of management receive inconsistent, inaccurate or even conflicting information.
Many businesses, however, accept that some tasks would not get completed if
they only used formal channels of communications and chains of command. It
may be necessary to short cut the formal system if a matter is very argent
or a clash of a personalities is creating communications problems. Some
informal channels may be tolerated if groups of workers have formed good
working and personal relationship outside of the formal channels. Informal
channels may even be the most effective way of communicating some kinds of
information.
All organisations have a grapevine, which communicates information
informally through personal contact between employees both vertically and
horizontally throughout the organisation. The grapevine can be a quick way
of communicating information to the workforce as a whole as it tends to
operate by word of mouth. It can be used to pass on important information
before an official announcement and, depending upon the feedback generated, the company may modify its intentions before the formal announcement.
The problem with using the grapevine is that information can get distorted
or exaggerated as it is passed on. Proposal to cut a workforce, through 10%
natural wastage and 5% redundancies, may soon get changed to 15% compulsory
redundancies as it spreads through the grapevine. This may be useful as the
actual announcement may prove to be much more acceptable than the distorted
version on the grapevine.
External communications
Efficient internal communications are important, but an organisation’s external communications are vital. Its business prospects will be seriously threatened if it neglects its external communications. An organisation needs to communicate externally with:
. customers and clients
. suppliers of materials, parts, machinery, other physical inputs and business services
. local, national and European authorities that deal with matters such as taxation, planning permission, environmental protection, competition law, investment grants, trading standards, and health and safety
. pressure groups concerned with issues such as consumer protection, animal welfare, environmental matters and the welfare of law paid workers
. the media and the general public on matters that can either damage or enhance the company’s public image.
Organisation must ensure that the quality of their external communications
is as high as possible and select the most effective media for
communicating information. It is obviously important that organisations
maintain effective communications with their customers, and most businesses
invest heavily in market research promotion to attract and keep customers.
Many companies now recognise the importance of providing a communication
channel which allows customers easy access to the company. Some companies
advertise a customer care telephone number or an E-mail address on their
packaging or promotional literature. The customer care section will be
stuffed by people trained in the kinds of communications skills needed to
deal with customers making complains. Larger companies may employ
specialists press officers and public relations officers to handle dealings
with the media, pressure groups and the general public.
Organisations relying on other companies for materials and components can
find themselves in financial difficulties of their external communications
lets them down and orders are not placed at the right time. This may led to
shortages of parts and materials, and production may be held up. Relations
with suppliers may also be affected by poor verbal communications skills
which can cause confusion of the exact nature and delivery of an order. It
is for this reason that any changes to an order made verbally should be
supported by some form of written or electronic confirmation.
Opened and restricted channel of communications
In most organisations, some internal channels and communication media are
open to all employees; stuff at all levels can access the information.
Organisations want to provide some information to all their employees. This
would include, for example, information on health and safety regulations, environmental management policies, incentive chemist and any response to
resent adverse publicity. This downward information flow from the top of
the hierarchy would be open to all.
The content of much downward and upward information flow sis fairly
routine, and organisation are not too concerned about people beyond the
sender and recipient being aware of what is being communicated. However, access to some information and channels of communications may be
restricted. Some information is sensitive – and if it becomes known to
people other than the intended recipients, it could create either internal
or external problems.
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