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Effective Internal Communication “How do managers improve their communication skills” A thesis for the degree of Bachelor of Communication by Monique Natadarma (4226463) Communications/Advertising & Design Management, InHolland University of Professional Education Rotterdam, the Netherlands Graduation coach: Mr. Simon Palser 4 October 2006

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Effective Internal Communication

“How do managers improve their communication skills”

A t h e s i s f o r t h e d e g r e e o f B a c h e l o r o f C o m m u n i c a t i o n

b y M o n i q u e N a t a d a r m a ( 4 2 2 6 4 6 3 )

C o m m u n i c a t i o n s / A d v e r t i s i n g & D e s i g n M a n a g e m e n t ,

I n H o l l a n d U n i v e r s i t y o f P r o f e s s i o n a l E d u c a t i o n

R o t t e r d a m , t h e N e t h e r l a n d s

G r a d u a t i o n c o a c h : M r . S i m o n P a l s e r

4 O c t o b e r 2 0 0 6

Executive Summary

In a business world, communication plays a significant role in order to exchange or to

transmit actions and information between all target groups. An organisations main asset is

people. There are many types of communication means or tools used to promote a dialogue

and interactive participation between employees and managers, especially nowadays is this

technology era. Managers of the organisation as leaders need to be able to communicate

openly to the internal group which are the employees. If the response given by the

employees is insufficient, managers require to measure the effectiveness of the internal

communication and to evaluate methods to generate active communication within the

organisation.

The definition of ‘communication’ must initially be understood and perceived the same way

by the internal groups (i.e. managers, employees, trainees). Communication is a continuous

two-way process of exchanging information between two or more people through certain

means/tools, with the intention that both sender and receiver perceive the same message.

Sometimes people forget that communication is a two-way process, so it is not only sending,

but also receiving response to realize the message is well accepted and understood.

Therefore the following problem statement is raised:

“How do managers improve their communication skills?”

Effective internal communication starts at the top. CEO and managers play important roles

in the organisation development. Senior executives like the CEO provide leadership to align

the organisation with its vision, goal and strategy. Managers must recognise the

communication approaches (either formal or informal) to reach the participation and support

from the internal groups in order to achieve the short and long term plans of the

organisation’s success.

Other than the managerial functions, which are planning, organising, leading, co-ordinating

and controlling; they are require to be able to communicate with the internal groups

(employees, trainees, board of directors). One of the important communication skills that

managers need to practise is the ability to listen. By listening, employees will be willing to

speak or give certain responses. And if managers are open for suggestions that will bring

confidence and feelings of appreciation to the employees. The comments or ideas received

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through the available communication means require to be processed. And the employees

need to be kept up to date with the results or follow-ups. Otherwise, the desire to respond or

participation will be reduced, especially when there is no incentive from the managers. For

instance by conducting surveys; an interactive intranet as a medium to place news and to

receive response from employees; monthly internal newsletter (online or paper); a simple

and a useful method is by face-to-face meeting.

People are the essential assets for a company. If they have no motivation to come to work,

then the company’s objective will not be achieved. Consequently it is essential for managers

to have excellent communication skills in order to communicate with the right communication

means, the right timing and always be open to the employees.

"It is vital for the success of our companies that businessmen and women emerge as real

leaders and demonstrate their ability to communicate effectively, internally and externally."

(Sir Colin Marshall, chairman of British Airways)

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Preface

The background reason of this thesis’ topic is related to my graduation project. I have had

the opportunity to work at the “Consumer Lamps Europe” Business Unit, which is a Business

Unit of the PHILIPS Lighting Headquarters in Eindhoven. The project was about offering a

practical solution for the internal communication problem within the Business Unit

“Consumer Lamps Europe”.

I hope that the readers of this thesis would get a clear picture of how valuable effective

internal communication is within an organisation. An organisation consists of people which

are the most essential asset in an organisation. People communicate everyday.

Communication is a daily activity, that seems like an easy thing to do but often able to

create serious problems.

This thesis is my last school project and is the one that has taken the longest time to finish. I

realize that I have learned a lot during the graduation project at PHILIPS and also while

composing this thesis. Although it was not easy for me to work consistently on this thesis

especially during the summer holidays for at the same time I had to work on the graduation

project. Both graduation projects (practical and theoretical) were quiet challenging for me to

do.

In addition, I like to thank God for making it possible to finish all of the graduation projects

and of course, my parents who always support me no matter what. Also to my friends who

always encourage me every time I feel discouraged, especially for Maxime Vincent and Allia

Rambie. Last but not least, to my graduation coach, Mr. Simon Palser, who presented me

with the PHILIPS project and gave assistance during both practical and theoretical

graduation projects.

Monique Natadarma

Delft, October 2006

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Table of Contents

Executive Summary …..……………………...………………………………….………….....2

Preface…….………………………………………………………………….………………….4

Table of Contents…….…....………………………………………………….……………..….5

1 Introduction....................................................................................................................6 2 Communication..............................................................................................................8

2.1 History .....................................................................................................................8 2.2 Definition .................................................................................................................8 2.3 Models and theories ................................................................................................9

3 Communication in an organisation............................................................................13 3.1 Definition ...............................................................................................................13 3.2 A System theory ....................................................................................................14 3.3 Methods of communication approaches................................................................16 3.4 Main forms of communication in an organisation ..................................................18 3.5 Communication structures.....................................................................................20 3.6 Relation between corporate identity and corporate image ....................................21

4 Role of Communication ..............................................................................................22 4.1 Communication flows ............................................................................................22 4.2 Significance of internal communication .................................................................24 4.3 Problems ...............................................................................................................26

5 Effectiveness of internal communication..................................................................27 5.1 Ways to create effective communication...............................................................27 5.2 Basic principles to support the effective communication.......................................28 5.3 Internal communication means .............................................................................29

6 Case studies.................................................................................................................31 7 Conclusions .................................................................................................................35 8 Acknowledgements .....................................................................................................38 9 Annexes........................................................................................................................39

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1 Introduction

“Communication” is about people’s skill to express or exchange information in order to

achieve the desired needs. People already started to communicate with one another since

the beginning of life, through speaking and visualising (symbols, drawings), and also

communicating is part of daily life. From time to time, the forms of communication, theories,

methods and communication means (channels) develop rapidly, especially since the high-

technology era. Numerous communication means are invented to make people’s life easier

to keep in contact. The internet network provides the facility, either by instant messenger

(able to type message, speak and see the other person) or by e-mailing. These types of

exchanging messages are the most common ones since it is fast, accessible, user-friendly

and up-to-date.

The communication subject applies to the business world as well. It is the most essential

factor in the organisation’s daily activities because communication involves people, and an

organisation consists of people. It is not Human Resources’ responsibility anymore, but the

Corporate Communication department handles the internal and external groups within an

organisation. However the communication topic is always a part of Human Resources

because those two are closely connected and can not be apart. It is important for higher

levels of management and the departmental managers to maintain an interactive and open

relationship between employees at all levels. Therefore communication matters are very

crucial.

Managers require to master communication skills in order to lead and encourage the

participation of employees to accomplish the company’s objectives. Two-ways

communication has to be encouraged so that both parties are able to work as a team. A

suggestion box available for employees to submit ideas/comments, or an interactive bulletin

board/newsletter in the company’s intranet site where employees are able to submit

comments are examples to enhance employees’ participation. Other than through

technological communication means, a very effective way is to promote a face to face

meeting, such as a regular visit by the CEO or the president of the company to the

production factory, or an open forum in a casual event that can lessen the tension between

managers and employees.

The communication usually flows according to the hierarchy level in an organisation. There

are three familiar approaches within an organisation, which are the upward communication,

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downward communication and horizontal communication. Formal and informal

communication manners are accessible to assist a successful two-way communication

between managers, employees and peers.

Communication is a continuous process of exchanging information (a dialogue, not a

monologue) between two persons or more (sender and receiver), which means feedback or

response is highly required so that the sender is aware that the message is received and

understood by the receiver. Thus, the managers must measure the effectiveness of the

available communication means in the organisation. Otherwise it is useless to send

information through a variety of means but receive no response from the employees.

Hence, the main purpose of this thesis is to provide a theoretical background and contribute

my personal point of view based on my practical experience working on the internal

communication problem at PHILIPS Lighting. The communication skills methods are

explained throughout the chapters in order to answer my main question, which is “How do

managers improve their communication skills?”

The content of my thesis begins with a chapter of introduction, then several chapters

supporting my point of view, and it ends with a conclusion. The chapters are:

Chapter 2 - This chapter is about general information of communication and the related

communication theories or models.

Chapter 3 - This chapter is about the methods of communication approach (verbally or

interpersonal) and the organisation communication structure. A section relating to three vital

elements of corporate communication, which are corporate identity, image and strategy, are

also mentioned.

Chapter 4 - This chapter is about the internal communication flows and approaches to

deliver the desired message. Also, the essential factors referring the importance of internal

communication are included.

Chapter 5 - This chapter is about measuring the effectiveness of the action or the means

within the organisation. The variety of communication means is mentioned as well.

Chapter 6 – This chapter contains some examples of how companies manage their internal

communication

2 Communicat ion

In this chapter, the communication history, definition and models/theories are explained

generally. This communication background supports the fundamental information of

understanding the true meaning of communication.

2.1 History Communication started from the beginning signs of life. People exchanged information and

knowledge to further generations by speech (act of speaking) and symbols (representation

of an idea, image or object shape). Speech was initiated about 200,000 years ago. Symbols

were developed about 30,000 years ago, and then came another communication form,

writing about 7,000 years ago. For the past centuries, the worlds of communication and

telecommunication have experienced major progress, especially with the fast growth of

technology.

2.2 Definition The word “communication” originally came from the Latin ‘communicatio’ and Greek

‘communis’. Communicatio means informing, the transfer of information between people and

making connections in that manner. Communis means making something communal, or

letting people share in something or being connected. Both definitions emphasise an

interactive relationships between people through sharing information, either by words or

signs.

The definition of communication(s) according to the Random House Unabridged Dictionary

is:

com‧mu‧ni‧ca‧tion –noun 1. the act or process of communicating; fact of being communicated. 2. the imparting or interchange of thoughts, opinions, or information by speech, writing,

or signs. 3. something imparted, interchanged, or transmitted.

4. a document or message imparting news, views, information, etc.

5. passage, or an opportunity or means of passage, between places.

6. communications, a. means of sending messages, orders, etc., including telephone, telegraph, radio,

television. b. routes and transportation for moving troops and supplies from a base to an area of

operations.

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One of the communication experts, F.R. Oomkes, said that the meaning of communication

concept is:

“The exchange of messages taking place between people who are aware of each other’s

immediate or mediated (possible) presence. This symbolic information is given, received

and interpreted partially on a conscious and unconscious level.”

2.3 Models and theories The communication models developed strongly in the 20th century with the experience of

World Wars I and II. Studies of propaganda, persuasion and subsequently the growth of

communication studies at colleges and universities across the US resulted in the further

development of communication models and theories. The models and theories facilitate

people to understand how the communication process actually works. The following

sections are some of the most common communication models and theories.

2.3.1 Laswell’s Verbal Model of Communication

In 1948, Harold Lasswell described that human communication is a linear or a one-way

process which one person acts on another person simply by using words. It is also called as

a transmission model because it assumes that communication is transmitted in a straight

forward manner, from a sender to a receiver. Laswell’s verbal model consists of five

questions that described of how the communication works.

Figure 1. Lasswell’s verbal model of communication (1948) Who? Says what? Through which channel? To whom? With what effect?

2.3.2 Shannon & Weaver’s Communication Transmission Model

Claude Shannon and Warren Weaver (1949) improved Laswell’s communication model by

adding the concept of noise. Noise is anything that interferes with the intended meaning of

communication. They illustrated the incident of communication as a repeated process. The

process starts with a sender that has the intention of passing on a message to a receiver.

For example: a manager (sender) sends meeting agenda (message) in a letter (medium) to

the secretary (receiver).

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Figure 2. The communication model of Shannon & Weaver (1949)

Feedback Encoding Decoding

Feedback

Sender Message Medium Receiver

• Sender, message

The communication process starts with the sender. The sender has the intention of

delivering a message to a receiver. The material types of the messages are: facts, ideas,

opinions, beliefs, emotions, motivation.

• Medium

For every message, the sender chooses a medium. The choice of medium often influences

the message, for instance, communicating by telephone is more informal than an official

letter to an office supervisor.

• Feedback

After a message is sent to the receiver, the receiver will often give a response to the

message. After that, the sender can reply again. Both responses are called feedback and

can be either positive or negative. Giving and receiving feedback is an ongoing process, as

indicated in the figure of communication model above.

• Encoding and decoding

Before a sender sends out a message, he or she has to decide how to create a message

that is easily understood by the receiver. The message of the sender needs to be adapted

before it can be transmitted to the receiver. This process is called encoding. Then the

receiver of the encoded message will have to decode the message. This means that the

receiver will change the information in such a way that he or she is able to understand the

message. This is called decoding.

• Noise

Noise is any interference or disturbance during the communication process. It occurs when

people have difficulties in concentrating on the message, such as because of a

psychological stimulus like feeling hungry or culture differences like language.

2.3.3 Theory of Reasoned Action

In Figure 3, it illustrates how external factors influence behaviour indirectly. This theory is

often applied in campaigns where behavioural change is the primary objective, such as

election campaigns. This theory only covers the rational decision-making process. However,

in real life situations some decisions are not made rationally.

Figure 3. Theory of indirect effects of external variables on behaviour

External variables - Demographic variables

Beliefs that the behaviour leads to certain outcomes Evaluation of the outcomes

Attitude toward the behaviour

Relative importance of attitudinal and normative components

Subjective norm

Intention Behaviour

Beliefs that specific references think I should or should not perform the behaviour Motivation to comply with the specific references

- Attitudes towards targets - Personality traits

2.3.4 Cognitive Dissonance Theory

Cognitive dissonance is a communication theory derived from social psychology, which

based on:

Cognitive, which means thinking or the mind.

• Dissonance, which means conflict or inconsistency.

In 1950’s and 1960’s, researchers tried to explain how people respond to dissonant

information, or rather, how people respond to information that conflicts with their previous

thoughts or knowledge. This theory indicates that:

Dissonance is a psychologically uncomfortable situation and motivates people to

get rid of it;

In a state of dissonance, people will avoid information that might add to the

dissonance;

In a state of dissonance, people will find information that reduces the

dissonance.

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Dissonance arises easily, especially in a society well-supplied with information. Many of the

responses to dissonance actually involve the exposure to (or avoidance of) the media. For

example, if someone does not believe the reports in the newspaper, even if these reports

are based on reliable and scientific sources.

2.3.5 Mass Media Theory

Mass communication is public communication, where the sender intends to communicate

with a large group of people (a mass public) using different kind of media forms. The sender

of the message intends to reach the public, even though the public never receive the

message. For example, an author writes an article in a magazine, even though not

everybody will read it, however the term mass communication is still appropriate because

the author had the intention of it reaching the public.

The electronic media and print media including broadcasting (radio, television); disc or tape

(video, computer); film/documentaries; internet (blogs, podcast for news, music, video); and

publishing (books, magazine, newspaper).

From all of the communication theories that are mentioned above, I consider that the model

of Shannon & Weaver was one of the first real communication models that is still widely

used until now. The model is used as a basic principle of understanding the meaning of

communication, which is a continuous two-way process, or a dialogue, between a sender

and a receiver. The information or message that the sender is sending to the receiver

requires a certain medium and the response of the receiver is called feedback. An

interruption or noise may happen during the process.

3 Communicat ion in an organisat ion

Following the general definition of communication and theories, this chapter gives further

explanation regarding the internal communication matter in an organisation (or a

corporation). Internal communication is part of the corporate communication activities that

deals particularly with the managers and employees at all levels in an organisation, as the

internal groups.

3.1 Definition Communication is an essential activity in people’s daily lives. This is also applicable to an

organisation. An organisation also has to communicate a message regarding its corporate

identity, image, vision, mission to the external (clients, distributors, buyers, competitors) and

internal (managers, employees) target groups. Some of the definitions of ‘Corporate

Communication’ according to the communication experts are:

“Corporate Communication is the total communication activity generated by a

company to achieve its planned objectives” (Jackson, 1987);

“Corporate Communication is the management instrument by means of which in the

most effective way all consciously used forms of internal and external communication

are adjusted to each other, in such a manner that the organisation reaches and

keeps the intended image with its most important target groups” (van Riel, 1998);

“Corporate Communication is the management function within an organisation which

is responsible for communication processes that are initiated from within the

organisation and thus trying to promote a sustainable interaction between an

organisation and groups of the public in the internal and external environment”

(Marieta Vos, 1999).

The key word concerning corporate communication is that it is a management instrument

and an activity to endorse interaction between both groups, internal and external within an

organisation. The activities include surveying the perceived image of the company in the

eyes of internal and external groups, promotional campaigns to attract new customers,

internal brochures/posters or announcement news on the company’s intranet site.

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Stakeholders Stakeholders are the so called target groups or publics that are involved in communicating

within an organisation. The stakeholders are divided into two groups: internal and external.

Although in this thesis my main stakeholder focuses only on the internal group, I find that it

is necessary to show the relationship with the external group. These two groups are

essential for the stability of the organisation. In Figure 4, the organisation appear to be at

the centre of the internal and external groups. Figure 5 Stakeholders relationship

Internal group

• Employees

• Works council

• Management

• Board of directors

• Retired personnel

• Temporary workers

• Interns

External group

• Government (local,

regional, national)

• Labour unions

• Customers

• Shareholders

• Banks

• Suppliers

• Media

Organisation

The organisation has different kinds of communication techniques to reach both groups. For

instance, an internal weekly newsletter published in the company’s intranet and employees

that are able to give response/feedback online. For the external group, like the media the

organisation can release a press release and a press conference, when a new product is

launched. (See Annex 1.Internal communication position in an organisation)

3.2 A System theory A system theory is one of the organisational theories that endorse into a successful

corporate communication. The features of the theory relates to a wider problem of

understanding the organisational structure, function and development of human systems

with the same principles that are used to understand living organisms. This theory started to

evolve from the nineteenth century until these days. Additionally, the system provides a new

correlation for the study of organisations and organisational communication –the living

organism. The concepts of the theory are: hierarchy, wholeness, openness, and feedback.

• Hierarchy

One of the important rules in a system is the principle of hierarchy. A hierarchy describes a

structure of the management of the business, from the top of the company – the managing

director, through to the production workers. Every organisation has its own product/service

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division (e.g. electrical, automotive); the division has its own departments (e.g. financial,

sales, production, human resource); then managers are in charge for major projects that

require the co-operation with the personnel. Managers need to control the personnel task

and generate communication between them. Figure 5 is an example of an organisational

structure. Figure 5. Organisational structure

• Wholeness

A s e elements bound together in mutual-dependent relationships. Wholeness

The e is regarding open or closed systems. An open systems is a system that

Feedback is a return process of an action, or in other words, a receiver gives response/

yst m is a set of

means that the effect of elements working in relationship to one another differs from the

effect of their isolated, individual actions taken together; or in other words referred to as

synergy (a condition in which the whole is greater than the sum of its parts). For instance, a

group of advertising professionals gather for a brainstorming session. Members of the group

can interact, emerge and produce varieties of ideas during the session. They can collect

more possible ideas at the end.

• Openness

n xt concept

takes in (raw materials, capital), converts them into goods/services (via machinery, human

skills), then sent back to that environment, where they are bought by customers. On the

contrary, a closed system is self contained, does not interact with its external environment.

• Feedback

action back to the sender of the information. An organisation seeks feedback to improve its

performance and to review employees’ satisfactory on the job. All feedback processes

involve communication. Relationships among individual members in organisations depend

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my viewpoint, the four concepts of the System theory (hierarchy, wholeness, openness,

and

urthermore, the members of an organisation need to act as a whole group in developing

dditionally, in theory, both management and employees are able to agree on the tasks to

.3 Methods of communication approaches aches within an organisation: verbal and

rbal and non-verbal communication

on communication and information flow. Examples of feedback are financial audits,

performance appraisal, employees’ surveys and 360-degree feedback.

In

and feedback) are extremely significant in the process of achieving effective internal

communication. A clear structure of an organisation must be well defined in the hierarchy

feature. An organisation with more than one level of management may suffer from

communication problems that can interfere with almost any aspects of the organisation, like

one of the Business Unit in PHILIPS Lighting, which is the Consumer Lamps Europe.

Although it is only one of the Business Units, the organisation structure is so high

spread throughout many countries in Europe. That makes it difficult to communicate and

often creates internal problems due to culture differences or lack of information.

F

the end results. The correlation between the members and the action taken would affect the

company’s outcome. Also without openness between management and employees,

miscommunication or rumours would occur. The management team must ensure that both

managers and employees have access to the same content of information. Thus feedback

sessions are highly required in the communication process, to discover the positive/negative

response and whether the message is perceived as expected. Feedback usually is usually

measured by written or visual means (like surveys), or verbally (face to face meeting)

through formal or informal occasions. I suppose that people have more courage to be

honest when the feedback is done through surveys so they are able to be anonymous.

A

improve the organisation and capable to work together to support the vision and mission of

the organisation. In my opinion, however in practise, the same incentives must apply to both

parties, or else parties with differing incentives will develop different goals, adverse the

effect of the shared information. Managers may inform the goals, but if no coaching or

assisting given by managers of how to accomplish the desired results; employees may

perform a poor job. (See Annex 2. Key aspects to motivate managers)

3There are four methods of communication appro

non-verbal; one-way and two-way; inter-personal and mass communication; internal and

external.

• Ve

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Ver l s in the form of words, by orally (spoken) or

bal communication

ba communication is exchanging message

written forms. The science of nonverbal communication is called kinesis. Forms of non-

verbal communication are such as: graphical data (pie charts, histograms and maps),

human signals (body language, gesture, facial expression, personal touch) and visual signs.

Those forms of non-verbal signals are expressed through behaviour as well as verbally and

also have symbolic meaning. Both verbal and non-verbal forms of communication are used

simultaneously. For example, text, images and verbal are combined in a business report,

while presenters make use of words and gestures. Figure 6a. Examples of (non)-ver

• One-way and two-way communication

Bot o itting of the messages from the sender to the

munication

h c mmunication forms refer to the transm

receiver and are open for all kinds of feedback. One-way means communication in only one

direction to the audiences, including news broadcasts, posters, and speech. Two-way

communication involves both parties to interact, such as a face-to-face interview and group

discussions. Feedback is collected by answering surveys, personal meetings or through

available interactive response tools in the company’s intranet. Figure 6b. Example of one-way & two-ways com

• personal and mass communication

Ind u on communication ways to interact. When

Inter-

ivid al or group meetings are the most comm

the aims for publishing or broadcasting certain information to attract a larger group of

population, it is better to use mass media, like the newspaper, television, radio, or through

digital communication.

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Figure 6c. Examples of mass communication

• Internal and external communication

The r arget groups, depending on the department

o ganisation deals with a variety of t

function. For instance, the human resource managers tends to focus more on the

employees (internal) communication, while the marketing managers concern themselves

with the external group (i.e. suppliers). Both managers need the appropriate communication

approaches to reach the desired results, perhaps by organising ‘casual Friday drinks’ after

work-hour for open forum to maintain employees’ relationships with the management. Figure 6d. Example of internal and external communication

3.4 Main forms of communication in an organisation se organisations involve people.

here are three main forms of corporate communication, as follows:

Ma st important one from the three communication forms

operation between managers and employees, so that the desired goals are achieved.

Communication is the life source of an organisation becau

These days, the management team within an organisation realizes the need to express,

receive, deploy, transmit, or exchange information and also the efforts at communications

between the external and internal groups increase substantially.

T

1. Management communication

nagement communication is the mo

within an organisation. Early 20th century management writer, Mary Parker Follett defined

management as “the art of getting things done through people.” There are five management

functions: planning, organising, leading, coordinating and controlling. One of the manager’s

roles is to continuously persuade subordinates that the goals and mission of the

organisation are desirable. Communication is the responsibility of all levels of an

organisation, from the senior, middle, junior management, subordinates to the factory

workers. Thus the need of effective communication skills and the communication

channels/means are significant in order to generate an active communication and co-

For instance:

developing a shared vision, mission, objectives of the company;

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g and managing the change process;

I b e ends upon good communication by

ma r management levels and the departmental

arketing communication consists of the forms of communication that support sales of

goods and services. Advertising, branding, direct marketing, graphic design, marketing,

n

rganisational communication is used to cover the internal and external target groups, or

could be described as all forms of communication used by the organisation, other than

at “all communication activities

ithin the organisation must be integrated in order to support the achievement of the

initiatin

empowering and motivating employees.

eli ve that organisational success often dep

nagers, including the CEO as well. The highe

managers are obliged to motivate and to coach the employees of how to achieve the

organisational goals. (See Annex 3. Effective internal communication starts at the top)

2. Marketing communication

M

packaging, promotion, publicity, sales promotion are some of the forms. Marketing

communication takes the largest share of a company’s budget, including qualitative and

quantitative aspects, such as: financial data (e.g. advertising expenses), information on

target groups (e.g. patterns of media consumption) and data on the quality of external

agencies (e.g. advertising agency).

3. Organisational communicatio

O

marketing communication. For instance: public relations, public affairs, investor relations,

labour market communication, corporate advertising, environmental communication and

internal communication. All of those communication activities mainly focus on maintaining

the relationship between the organisation and the public.

According to the Finnish writer Aberg (1990), he stated th

w

organisation’s aims and goals.” Additionally, he stated that “the communication has four

functions: supporting internal and external core operations (to regulate); organisation and

product oriented profiling (to persuade); informing internal and external audiences (to

inform); and socialising individuals into a good organisational citizen (to integrate).”

The four communication functions are coordinated in order to make an effective contribution

in achieving the organisation’s goals.

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.5 Communication structures ommunication structure is a system or a network of the way how communication flows

se of exchanging information through the available

(iii) open circle structure

(iv) chain structure

hanges information with various individual

characters. This leads to fast decision-making, but not all the participants receive

(ii)

takes a lot of time and many mistakes can be made, but

(iii)

fied but decision-making leaves something to

(iv)

In m oin best solution to achieve a

two-way communication process. In reality however, communication processes often

3C

within an organisation, with a purpo

communication means. In Figure 8, four different types of communication structures exist in

an organisation: wheel structure, circle structure, open circle structure, and chain structure.

Figure 8. Communication structures

(i) Wheel

structure (ii) circle structure

(i) Wheel structure one person exc

the whole information.

Circle structure each participant has contact with two other individuals. The

exchange of information

the participants are more satisfied.

Open circle structure no central figure, but have a varied contact pattern in a

structure. The participants are satis

be desired.

Chain structure is similar with the circle structure.

y p t of view, these communication structures are not the

appear to be just like this. Very often there isn’t enough information received by the

receivers. Information is transmitted from various sources (either trustworthy or not) and

whether or not the communication is effective just so depends on how the receivers

perceive the messages. Therefore employees should be the priority to receive (internal)

information from the managers or higher level management, rather than from unrelated

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.6 Relation between corporate identity and corporate image e identity, strategy and

ees to identify with their company and it will

mpany’s identity.

w ustomers’ confidence in the company’s

ledging the vital role of financial target groups

the financial resources.

hus, in my viewpoint the ways internal and external groups perceive the company’s image

parties or the media. Otherwise, rumours are spread that may cause damage to the

employees’ loyalty and trust to the company.

3Furthermore, in corporate communication, the concept of corporat

image are the main elements that represent an organisation and can not be separated.

Corporate identity means all of the forms of expression that a company uses to convey its

personality to the public, meanwhile corporate image refers to how the company is

perceived. People recognise a company’s corporate identity in expressions such as the

house style, logo, commercials, public relations, internal values and norms. Corporate

image is not only created by the company, other parties like news media, labour union,

environmental organisations, and journalists are also included to create the image. In

addition, corporate image is seen as reflecting the identity of an organisation. A company

that has a strong and convincing corporate identity can achieve more with its target groups.

A strong corporate identity is effective in the following ways:

Raising motivation among employees.

A strong corporate identity enables employ

also affect their behaviour to become more committed to the job.

Inspiring confidence among company’s external target groups.

Various external target groups can develop a clear picture of the co

Acknowledging the vital role of customers

A ell-defined corporate identity inspires c

capabilities and creates a long lasting relationship, which will secure the future of the

company.

Acknow

The suppliers have confidence in the company in supplying

T

identity, and strategies are important for the success of a company. These aspects are

related to one another in concerns of behaviour and employees’ commitment to the job.

Also, when the identity of the company is recognized in a positive way in the public view,

then the employees’ trust and enthusiasm factors are increased because they feel safe to

invest their energy for the company’s benefits. Managers have to share the strategies to

achieve the desired goals with the employees and also involve their participation in

decision-making. By doing this, employees are aware that their contributions are

appreciated and are significant for the company.

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4 Role of Communicat ion

This section defines the communication approaches in an organisation, either formal or

informal; and the essence of the importance an organisation to have an effective internal

communication. Potential communication problems are also mentioned in here.

4.1 Communication flows There are two methods of how the communication flows within the organisation, which are:

formal and informal communication. Each communication flow has its own functions and

communication means in order to achieve the organisational objectives.

4.1.1 Formal Communication

Formal communication is a communication approach through official communication

channels in order to deliver the message between organisational members. The formal

communication system is usually specified in the policy manuals and the organisational

charts. All of the three communication directions: upward, downward and horizontal. Its

functions and purposes are to: interpret, influence and coordinate.

• Upward Communication

Upward communication defines the communication flow of the information/messages from

the lower (subordinates/employees) to higher level (managers/superiors) of the organisation

hierarchy. The types of messages are usually concerning employees’ opinions (any

problems, comments, and suggestions), individual performance report, task-related matters,

and also regarding financial issues.

This flow of communication often experiences difficulty in encouraging a two-way

communication between the subordinates and the managers, while the involvement,

opinion, and commitment of the employees are highly important in order to achieve the

organisation’s goals. The subordinates should feel free to report their problems or give

suggestions to superiors. On the other hand, the superiors have to be open to receive the

proposals or criticisms. Some of the communication channels/ means that will improve the

effectiveness of upward communication are the suggestion systems (suggestion box),

employees’ surveys, face-to-face conversation, open-door policy, management reports.

Managers need to gain employees’ trust and loyalty by encouraging, supporting, coaching,

and regularly organising face-to-face meetings.

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• Downward Communication

ownward communic n ow from higher level of

rganisation hierarchy to the lower level. Managers must have good communication and

sk and its

lationship to the company’s goals or other activities); procedures (policies, benefits);

e report; and indoctrination to encourage employees

dual and groups),

newsletters (electronic or paper), memos, and speeches. Common problems occur with

n inadequacy of information load (not all information are

orizontal communication identifies the flow of exchanging messages across or diagonal

among peers or co-workers at the same functional level of an organisation. This approach

vement or changes according from the

sponses.

D atio refers to the information/messages fl

o

people skills to influence the employees since they are responsible to inform the company’s

goals, values and strategies and also how to achieve the desired results. The types of

messages are related to job instructions and rationale (purpose of the ta

re

individual feedback performanc

commitment to the goals and objectives of the company.

These days, the information usually flows through e-mail (for indivi

downward communication contai

relevant), inappropriate communication means, filtering of information and also often

organisation relies on the means (written, mechanical, electronic) rather than face-to-face

contact. (See Annex 4. The types of information)

• Horizontal Communication

H

facilitates problem solving, shared information and task coordination between departments

or project teams. The problems that occur with horizontal communication are due to issues

like, territoriality, competition, specialization and lack of motivation to expend additional

effort of the task requirement.

My point of view regarding the formal communication flows is that common problems occur

at the upward communication, where employees have less interest in giving feedback to

managers. Although the upward and downward communication approaches are slightly

easier to communicate because the communication structure and the means are accessible.

From what I experienced, big companies often conduct many surveys but after collecting the

results from the employees, the action to follow-up the results is simply not done or not

becoming a priority. Therefore I am able to understand how important it is to gain trust from

the employees and to encourage them of giving feedback. Managers should perform the

follow-up and demonstrate the required impro

re

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4.1

management to other colleagues.

he other colleagues may or may not be aware of the actual information, so the reliability of

open and honest communication with the

mployees and frequently share relevant information with them in order to diminish the

gra v al of organisational communication occurs through

en the internal groups, including employees, management,

orks council, board of directors, trainees, and retired staff. These days, many companies

n organisation (Figure 9). That means that every individual who works in a different

on process (a dialogue, not a monologue) and the involvement of actively

.2 Informal Communication

Informal communication is a social interaction of exchanging information that involves

people in the organisation, where there is no need of using the formal communication

channels. This communication flow is necessary to maintain the aspect of organisational life.

The most regular places where informal communications take place are usually the

canteens, hallways, or smoking rooms.

A main concern of informal communication is about the grapevine or rumours. One person

initiates and discusses an issue regarding changes in the

T

the message is unclear and the rumours may spread. Often rumours happen due to lack of

information and insecurity.

For that reason, I conclude that employees need to receive information about inside issues

of the organisation from the managers or other reliable internal sources, rather than from the

media or external parties. Managers should have

e

pe ine. Although a great de

grapevine. Participants in grapevine communication include all groups in the organisation

(managers as well as employees and men as well as women).

4.2 Significance of internal communication One of the fundamental keys of achieving organisation’s desired objectives is by maintaining

effective communication betwe

w

realise that ‘people’ (internal groups) are the most important asset, which brings the people

as the main priority issue in the organisation.

Internal communication includes all communication that is aimed at the target groups within

a

function level (production staff, management) in an organisation, or organisational part

(division, line department), and at another location (local, abroad) is involved in the process

of exchanging information, creating values and behaviours within an organisation. In

addition, a good structured communication plan with clear strategies, policies, vision, and

objectives is fundamental to achieve the desired results of an interactive two-way

communicati

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25

cation through available media plays an important part in

urthermore, higher management needs to pay more attention to the internal

needs and circumstances

mployees should inform to the management regarding new technique or new technology

chieving

tween employees and managers need to be

proved so that organisational goals are achieved.

participating employees. Communi

the development of maintaining active internal communication, as well as a face-to-face

meeting which is more personal and effective.

Figure 9. Internal communication: a two-way communication process between management and employees

F

communication matter and place it as main priority in an organisation’s life. The background

reasons are: (See Annex 5. How to motivate employees to work)

• Employees must be aware of organisation’s activities

Employees represent the identity, behaviour and values of the company. The employees

define company’s image when they interact with external groups (i.e. customers,

competitors, government, suppliers).

• Employees should enhance their awareness to changing

E

development in certain areas that can improve the quality or the process of a

company’s desired goals.

• Employees require a higher information need

Employees are primary groups that must receive relevant information in order to diminish

grapevine within an organisation, particularly when organisation experiences major

changes. Thus a two-way communication be

im

• Quality awareness of products and services

Every organisation desires to employ well trained, motivated and loyal employees in order to

improve the quality of products and services. Managers should support employees by

training skills, personal encouragement, and maintaining an open communication.

• Raise employees commitment to the job

Good internal communication can generate a better work atmosphere and prevent

employees from becoming ill or quitting their job. It also makes the process of recruiting new

staff easier.

Management

informs

inform

Management= sender Employee = receiver

Management = receiver Employee = sender

Employees

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26

rganisation. The following are the possible

auses of problems concerning internal communication, based on my experience and

f the internal

• Communication problems between management and employees’, due to lack of

formation or incon ployees are rmation, unless the

anagers deliberately attempt to convey the information.

• The choice of using words or language in exchanging information influences the

uality of communic in tion iven to words and

any factors affect how an individual will attribute meaning to particular words. It is

erbal communication.

d procedures that results in

, they are uncertain of sending information to the right

peo ,

erstand other’s point of view due to stress or pressure at work.

The n portant.

is affected by the past experience with

pirations,

and cal lines. Culture differences such as time,

4.3 Problems Problems are potentially to occur within an organisation, whether it is a big or a small

company, or perhaps local or multinational o

c

literature review: (See Annex 6. Factors that influence the behaviour o

ommunication) c

in sistency. Usually em not aware of the info

m

q ation, such as mis terpreta . Meaning has to be g

m

important to note that no two people will attribute the exact same meaning to the same

words.

• Misreading of body language, tone or other forms of non-v

• No structured and written organisation policies an

insignificant two-way communication or a dialogue between the internal groups.

• Managers have no communication tools to measure the effectiveness of the

communication works, in other words

ple, also not knowing whether or not the receivers understand the message. As a result

people can misinterpret the message and a grapevine can occur easily due to lack of

information.

• Employees misund

y i tend to do what is urgent rather than what is im

• Managers are deficient in communicative skills and are inexperienced in becoming

leaders. Communication problems can arise when managers see no values in

communicating with subordinates or other staff. For instance, managers’ hesitation of being

candid.

• The manner of interpersonal communication

others and also by the organisational relationship two people have. For example,

communication from a superior may be perceived differently than from a subordinate.

• Effective communication requires interpreting the basic values, motives, as

assumptions that operate across geographi

manners, privacy, language, and norms, the opportunities for miscommunication are

expected to happen.

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5 Effect iveness of internal communicat ion

This chapter is about measuring the effectiveness of the action or the means within the

organisation. The communication means is mentioned as well.

5.1

communication approach covers

asp s

es should feel that they are a part of a large whole and have the big picture of the

ove l their

futu

n so their

con

two communication experts, Vos and Schoemaker, communication auditors

ass

user-friendly, such as intranet.

alty to

the g

usually assist managers for support and advice during changing

process in organisation.

Ways to create effective communication Effective communication refers to a successful two-way process of conveying messages

from a sender to a receiver, including feedback given. The

ect of thinking, writing, speaking and listening, as well as formal and informal methods.

I ensure that in real life, no matter the size of the organisation (small, medium or large), the

value of internal communication is essential. Employees who are better informed are more

satisfied, feel more involved and eventually contribute more to the organisations’ success.

Employe

ral company’s objectives and strategies, so they are motivated and feel secure for

re carrier. Managers have to remember to perform follow-up or take action, after

conducting surveys or other activities that involves employees’ participatio

tributions are really valued. (See Annex 7. Key Principles to Effective Internal

Organizational Communications)

Indicators for an effective communication According to

emble several indicators to implement relevant aspects to the internal communication

performance, as follows:

1. Clarity aspects: information for staff and user-friendly communication means.

All the information that employees receive about policies, tasks, social issues, are required

to be complete, easy to understand, up-to-date and accessible. The communication means

are also

2. Environment orientation (internal environment) aspects: commitment and

communication experts deal with changes.

Good communication relationship between the people leads to commitment and loy

or anisation as a whole. Thus, it is important to support the interactive communication

activities that involve people participation, especially from bottom-up level. Higher level

management or the CEO should show their face to the employees (until the lower level).

Communication experts

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3. Consistency aspects: coherence to the Human Resources department and other

com

ternal communication and HR are related because both matters deal with people. There

urvey for instance or other

ommunication issues.

. n skills.

nd strategies about how those goals will be reached.

. Ensure all employees receive employee handbooks containing all the up-to-date

o-way communication can be maintained between staff and

ace-to-face contact with employees, at least once a

7. r accomplishments. This helps employees

munication activities.

In

are clear procedures of the timing of information issued to staff and media. Additionally,

managers need to give time for follow-up, after conducted s

c

4 Responsiveness aspects: communicatio

Managers require having good communication skills to promote response from the people,

and this applies to staff that interrelates with customers.

5. Effectiveness and efficiency aspects: internal audits and image.

Internal communication and the means are being assessed to investigate the effectiveness

and efficiency. Another assessment is referring to the perception of employees to

company’s image. Additionally, the research desires to find out about employees

satisfactory of the job performance and working conditions.

5.2 Basic principles to support the effective communication Downward communication:

1. Ensure all employees receive a copy of the strategic plan, including the organisation’s

mission, vision, values, goals a

2

personnel policies.

3. Ensure all employees have a copy of their job description and organisation chart.

4. Regularly organise management meetings (at least bi-weekly), even if there is nothing to

report. This way tw

managers.

5. Monthly staff meeting to report how the organisation is doing, major accomplishments,

concerns, announcements about staff or changes, etc.

6. Leaders and managers should have f

week.

Regularly hold meetings to celebrate majo

perceive what's important, gives them a sense of direction and fulfilment

8. Ensure all employees receive yearly performance reviews, including their goals for the

year, updated job descriptions, accomplishments, needs for improvement, and plans to

help the employee accomplish the improvements.

Upward communication:

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1.

for the week after and any issues/comments.

d staff meetings to request feedback. It is better that the member of

the feedback session. Therefore

4. ees so they know

ubsequently, I believe that when managers implement the above principles in

communication relation

internal communication is going to be effective and will include

Means or tools in communication refer to the medium that is used to convey the message

ure 10

org

today’s world is all about technology and instant messaging, the common usage means are

For loyees, they are implied to give

the newsletter through the respond column on the company’s intranet site.

Mo ), management

org

very crucial at this point in order to find out whether or not the message send from

eadquarters is fully understood. This kind of problem occurred in PHILIPS Lighting in

Ensure all employees give regular status reports to their supervisors, including previous

tasks done last week, plan

2. Ensure all supervisors meet face-to-face at least once a month with their employees, to

discuss progress, listen to any current concerns, etc. The function of this meeting is to

develop a relationship between supervisor and employee.

3. Use management an

the meeting prepare what they like to mention during

for the meetings chairmen it is advisable to send meeting’s agenda or presentation in

advance.

Perform action after the feedback and maintain updates to the employ

what is happening. This could intrigue active participation and motivation from the

employees when they know that their contributions are valued.

5. The most common form of communication is the grapevine circulation within an

organisation.

S

communication approaches and keep maintaining an active

between the employees, the

the participation of all internal groups.

5.3 Internal communication means

from a sender to a receiver. Referring to the communication approaches, in Fig

(below), it shows the potential communication channels/means that I observe current

anisations mainly use to promote a two-way interaction between the employees. Since

done through the intranet site or by e-mailing system. It is fast, accessible, and user-friendly.

instance, after a manager sends information to emp

feedback through the available means to give comments/suggestions about certain topics in

reover, when dealing with employees abroad (a multinational company

should take into consideration the cultural and language barriers. Although under the same

anisation, each country has its own culture and ways of working. Therefore feedback is

h

Eindhoven.

Figure 10. Communication means

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Upward communication

Face to face meetings

Telephone/tele-conference

Suggestion boxes

Employee surveys

Open door policy

Open forums

Discussion board on

company’s intranet

Training and workshops

Newsletter (written/electronic)

Corporate blogging

Downward communication

Face to face meetings,

team meetings

E-mails, video messages

Leaflets/flyers/posters

Speeches

Newsletters

(written/electronic)

Interactive intranet site

Bulletin boards

Manuals and handbook

Internal magazines

Horizontal Communication

Interdepartmental meetings

Newsletters (written/electronic), magazine

Interactive intranet site

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6 Case studies

The following secti s of how com their internal

. Nederlandse Gas

ederlandse Gasun onal gas company ffice building in

a problem with the internal commu e problem

“How to inform old building to the new ones in

d, about security a k and adequate a way

le? What out the tr e bu ing for shorter or longer periods

very day?”

munica r this which d programme

f printed media, vid n. The m he target group in

visual, interactive . This coherent information package consisted of a

ocumentary film, a computer disc and a set of leaflets. The short, dramatised video

ocumentary gave a fascinating impression of the Security Department, surveillance in the

new building, the coming and going off staff and visitors (ID card system), the activities of

the emergency services in case of tragedy/disaster, and procedures relating to information

security. The computer disc contained information in text and image on safe working

conditions and company security. This disc is interactive and was distributed to all staff after

the (compulsory) viewing of the documentary. On the first day entering the office, all staff

received a number of leaflets: a floor plan of the building, the evacuation procedure,

guidelines for work station furnishing and telephone use, and other important instructions.

The other communication tool was a monthly staff newsletter ‘Gasuniek’ and the company

video (four times a year) was used to bring the forthcoming changes to the attention of all

staff. The security unit was allocated in an office room with video equipment in the entrance

hall, where trainees, holiday workers and staff members of suppliers could be briefly

instructed and informed on security and safety in the new building.

2. Eastman - “The broken record technique” method.

Eastman is a large producer of polyester plastics for packaging and supplier of raw

materials for paints, coatings, etc. Eastman has 15,000 employees in 30 countries, of which

on is a few example panies manage with

communication.

1 unie.

N ie, the Dutch nati , moved into its new o

1994, the Security Department had nication. Th

is: all 1000 staff, who are moving from the

one weeken nd safe working conditions in as quic

as possib ab ainees, who visit in th ild

e

Internal com tion developed a plan fo comprised an integrate

o eo and computer informatio essage reached t

a and readable way

d

d

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32

,300 are in Europe. One of the effective communication means that Eastman uses is

presenter develop h’ messages instead of waiting

r employees to read the intranet (‘pull’). Netpresenter is a news medium which can be

ees using screensavers for personal pictures, Eastman news appears.

nique” or the power of repetition is the best method of internal

nt, efficient, fast and hardly without any load on the network.

structured Communication plan and practical recommendations are given in order to solve

S: The PHILIPS Lighting internal communication report is presented at an individual

HP serves more than one billion customers in more than 170 countries on six continents.

2

intranet. Net ed a technical system to ‘pus

fo

connected to the intranet and utilises push technology to bring our news to every screen.

Instead of employ

“The broken record tech

effective communication. With Netpresenter, messages that require the attention of

employees are now displayed via screensaver. Using ‘push instead of pull’ technology,

employees don’t have to do anything, news is pushed directly to them. When a computer is

not being used for a few minutes, the screensaver starts and the messages are displayed

again. Manager can easily send message with hyperlink to the full article on the intranet by

using Netpresenter. It is sufficie

3. PHILIPS Lighting - Business Unit Consumer Lamps Europe

One of the Business Units in PHILIPS Lighting, BU Consumer Lamps Europe has a problem

concerning the internal communication. They have various communication means available

to communicate with the employees (including outside the Netherlands), however the

managers receive little feedback from the employees. There are various communication

means available and also many information is send out without verifying the effectiveness of

the messages or the communication means itself.

From the PHILIPS Business Excellence Survey results, it shows that the managers need to

coach and encourage employees more in giving feedback. Also, the lower the management

level, the less feedback is given back to the upper management. This can be caused due to

the distance (outside the Netherlands) and culture differences.

A

the internal communication problem. More dialogue sessions and interactive means will be

used in the future, and of course face to face meetings will be organised more often

because they are more personal. Monthly interactive newsletter and discussion board in the

intranet, regular visit by the CEO to the factories, open-door policy, training and workshops

are some of the recommendations.

(P

report)

4. Hewlett-Packard Company (HP), with the slogan “the HP way”.

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33

heir business success depends on some of these factors:

opportunities

os from senior management;

Regional site visits, allowing employees to ask the CEO questions;

to develop 30-, 60- and 90-

and creating action plans at the

. FedEx Corporation – slogan: “anytime, anywhere”

HP has approximately 150,000 employees worldwide and their revenue in 2006 is US$88.89

billion. HP's mission is to invent technologies and services that drive business value, create

social benefit and improve the lives of customers — with a focus on affecting the greatest

number of people possible.

T

motivated employees;

trust as the basic guidelines to a high performing workplace;

all employees make contribution;

operate the ‘open door policy’ to create a workplace where everyone's voice is

heard;

communication flows across all levels of the company;

good internal communication to keep employees well informed and provide feedback

These are some other HP communication initiatives:

Employee networks, including web discussion forums and newsletters;

Twice-weekly global e-mail alerts to provide employees with company-wide news;

Senior Leaders meetings, providing managers with important updates for their

teams, occurring every six weeks;

Quarterly business performance review vide

Twice yearly “state of the company” broadcasts from the CEO to all employees.

The detailed presentations of the results are made to all executives and customized reports

are given to each group manager. Managers are then required

day action plans for responding to the data. In addition, HP’s Board of Directors, Executive

Council and CEO Mark Hurd personally share in reading employees’ anonymous written

comments. To complete the feedback loop, results and next steps are shared with

employees after senior management assesses the company-wide data and determines

appropriate next steps. Employees can also expect their managers to share work group

data and solicit their participation in identifying key issues

work group level.

5

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34

sophies and approaches to gain employees commitment and

ialogue that are of interest to this project. Such as “the people service profit, techniques

reatment”, which brings to high

lev y employees were an integral part of the decision-making

pro ill provide the highest

pos l

In a su iew sessions, managers hold feedback with their employees to discuss the

sur department. As a group,

the e

action plan to solve issues, this becomes the responsibility of all the employees in the

workgroup. It’s not just the manager trying to resolve the issues, but it’s the employees and

those issues may be. It’s a means of

eng i ncerns about

issu

FedEx is a global shipping, logistics and supply chain management company. With annual

revenues of US$31 ($40) billion, FedEx operates in about 220 countries and territories

around the world and employs more than 260,000 employees and contractors globally.

FedEx is using some philo

d

used in surveying the workforce, and the guaranteed fair t

els of service demanded b

cess, due to his belief that “when people are placed first they w

sib e service, and profits will follow”.

rvey rev

vey findings and identify problems within and outside of their

y d velop formal, written action plans for solving these problems. Once they develop an

the manager working together to resolve whatever

ag ng all of our employees so that they can participate in expressing co

es and at the same time participate in solving any problems that might arise.

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35

7 Conclusions

"No manager can be effective in his job unless he is able to communicate. It is the most

essential single skill. I hope that managers everywhere will seek to improve their ability,

for it is one that can be learned."

(Sir John Harvey-Jones, former chairman ICI and renowned European 'trouble-shooter’)

People are the most important asset of an organisation, which means the communication

lation with the internal group must be a top priority in the management’s agenda and

ob

ategy. The

elements of the organisational strategy must be constructed in order to compose the

strategy for corporate communication. An organisational strategy includes: vision, mission,

strategy, goal, policy, aim and tactic.

The management of an organisation use different kind of strategies in communicating with

the internal groups to encourage an active involvement, dialogue and increase the sense of

belonging (the “we feeling”). I offer the following recommendations as the answers for the

above question.

These are the potential steps for managers to improve their competencies in

communication:

1. Construct messages with a clear purpose in mind. Managers should avoid covering too

many issues at one time. Focus on one or a few key points.

2. To persuade and inspire people, aim for true intimacy. Approach the communication

openly, honestly, even vulnerably.

3. Do not forget to listen. Every communication should be structured to invite and

encourage feedback.

4. Pay attention to timing. Managers need to be visible and accessible, ready and willing to

answer questions, provide clarifications, and offer support.

re

budget. According to the quotation from Sir John Harvey-Jones, he stated how essential it is

for managers to be able to practise their communication skills in order to perform the j

well.

This brings back to my main question which is:

“How do managers improve their communication skills?”

A corporate communication strategy is linked and is part of the organisational str

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36

. Managers need to be aware of their body language and actions. People are alert to any

cues as to what is really go Facial expressions, moods, who

the manager has lunch with, and whether the manager is present during organizational

mal

channels. Create an in that handles communication

. Developing managers’ communication competencies in feedback and coaching. For

een (high level) management with the personnel. Also, by providing facilities and

discounts arrangements stimulate employees to be loyal to the job.

w the task with line manager

and this communication approach usually the most effective one.

and commit to them.

The communication channels should be determined, which ones are mandatory and

In addition, management should review the quality and effectiveness of all

separate within organisations. It does not mean that there is no need for an internal

co uch as PHILIPS) is highly recommended to employ an internal

in

5

ing on in the organization.

events will be interpreted by employees.

6. Stay in touch with the grapevine. The grapevine operates more effectively than for

ternal communication department

issues.

7

instance, employee performance review, reward issue and develop future assignments

with them.

8. Organise social activities and provide facilities to employees.

A recreational event or social activities may help reduce the gap and improve the bond

betw

9. Communication via the line manager.

Employees have an opportunity to ask questions and revie

10. Set a calendar plan for internal communication activities.

Communication activities should be plan in advance and set in the yearly organisation’s

agenda, like group meetings, personal performance review, open forum, social drinks.

11. Openness strategies.

Openness is an essential factor in communication. The openness strategies consist of

closed-door, door-ajar, open-door, and influencing strategy. These strategies define the

quantity of the organisation desires to be open or publish its news/issues to its publics.

12. Set standards

which ones are optional. For instance, a mandatory activity is a town-hall meeting holds

every quarter.

the available channels.

Management and communication are two related subjects that are sometimes difficult to

communication department (if necessary) or a corporate communication department. In a

ntrary, big company (s

communication team or department due to a large number of employees in many countries

the world.

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37

an

ma

Su the employees’ participation and create a warm

As it was mentioned before, communication is a two-way process of exchanging messages,

co

message has been understood or not. When the message is unclear, it is reasonable that

munication means and a

dia

Fu managers regarding

, strategies and how to achieve them. Managers

an

Co end for instance, an

to diminish the gap between

(hig

me er

anagers’ communication skills is the ability to listen. By listening,

em

su

rs master communication skills and actually perform

the

oc

No

ma competencies. Although communication is simply like an easy

ing to do, conscious or unconsciously, problems regularly occur in an organisation.

The managers’ role in daily situations is important because they are the ones who interact

d communicate with the employees. In addition, they have to be the experts in

intaining an active and healthy communication relationship between one and another.

bsequently, managers need to stimulate

working atmosphere for people to eagerly come to work.

when the receiver and the sender perceive the same message that means the

mmunication is successful. A feedback or response is required in order to confirm the

both parties perceive differently. Therefore an interactive com

logue meeting are needed to encourage employees’ participants.

rthermore employees need to be communicated to regularly by the

the company’s vision, mission, objectives

d the CEO must show their face and have personal contact to engage people’s loyalty.

mmunication activities must be scheduled ahead in the yearly ag a,

informal meeting, like social drinks or casual Friday capable

her level) management and employees. This way, employees have the opportunity to

et and talk with the managers openly or at least in a less formal atmosphere. Anoth

important point regarding m

ployees will be willing to speak or giving certain response and being open for any

ggestions will bring confidence and feeling appreciated.

As a result, I believe that if the manage

above steps, improvement and active participation (of managers and employees) will

cur in achieving effective communication in an organisation.

matter how small or how big the size of the organisation, managers must learn and

ster the communication

th

Managers are trained to gain excellent communication skills so that a two-way

communication process (or dialogue) occurs and employees become more motivated to do

their job. When employees are motivated, they execute the duty well and enhance a

commitment to the company.

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38

8 Acknowledgements

- Blundel, Richard. “Effective Organisational Communication: Perspectives, principles and

practices” (2nd edition). Prentice Hall, UK 2004.

- Blundel, Richard. “Effective Business Communication: Principles and practice for the

de.” Wolters-

oordhoff BV, the Netherlands 2005.

i_n14730211

http://www.impactfactory.com/gate/effective_communication_skills_training/freegate_1657-

mmunications.htm?iNoC

.info/2004/08/six-types-of-business-blogs.asp

-http://web.cba.neu.edu/~ewertheim/interper/commun.ht

information age.” Prentice Hall, UK 1998.

- Daniels, Tom; Spiker, Barry & Papa, Michael. “Perspectives on Organisational

Communication” (4th edition). Brown & Benchmark Publishers, USA 1997.

- Hargie, Owen & Tourish, Dennis. “Handbook of Communication Audits for Organisations.”

Routledge, UK 2000.

- Herle, Mariet & Rustema, Carin. “Corporate Communication Worldwi

N

- Jay, Ros. “The Seven Deadly Skills of Communicating.” International Thomson Business

Press, UK 1999.

- van Riel, Cees. “Principles of Corporate Communication.” Prentice Hall, UK 1992.

- Vos, Marieta & Schoemaker, Henny. “Accountability of Communication Management.”

LEMMA Publishers, the Netherlands 2004.

- Vos, Marieta & Schoemaker, Henny. “Integrated Communication: Concern, internal and

marketing communication.” LEMMA BV, the Netherlands 1999.

Online articles links:

- http://www.findarticles.com/p/articles/mi_m4422/is_4_22/a

-

2103-14314.html

- http://hodu.com/management-communication.shtml

-http://www.bdc.ca/en/my_project/Projects/articles/hr_internal_co

- http://www.strategicconnections.com/article_BPPart1.htm

http://www.intranetjournal.com/articles/200510/ij_10_26_05a.html

- http://www.managementhelp.org/mrktng/org_cmm.htm

http://www.melcrum.com/cgi-bin/melcrum/eu_content.pl?docurl=topic%20corporate

http://www.hopkins-business-communication-training.com/articles-on-organizational-

communication.html

- http://www.corporateblogging

9 Annexes

S

e

in the organisation

h company,

s the most in the

less than 10%. So it is clear that the internal communication section

n team

any.

In this section, additional information is presented. The graduation project of the PHILIP

Lighting is pr sented as a separate report.

Annex 1. Internal Communication position

According to the result findings from an organisational communication researc

Melcrum, it states that the Corporate Communication department operate

internal communication function (38%), after that is the Human Resources with 19% and

Marketing division with

is under the Corporate Communication department, which needs its ow

management, especially in a big comp

Organisation divisions responsible for Internal Communication

Corporate Communication

38%

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39

Human Resource 19%

Other22%

Marketing9% CEO's office

6%PR6%

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40

Annex 2. Key aspects to motivate managers of communicating effectively.

Annex 3. Effective inter ication starts at the top

Effective internal communication starts at the top: help executives understand the need for

clear, concise communic

A study conducted for the Allen g up in 2003 to identify the key drivers of

effective change management found a strong statistical relationship between CEO and

divisional executive communication and "organizational satisfaction and culture." This

orrelates strongly with employees' perceptions that "major changes appear well planned"

nd "implementation of changes is well handled," as described in CW. CEO and divisional

xecutive communication was found to be far more likely to influence employees'

erceptions that change was well planned and well implemented than, say, immediate

anager or team communication.

ommunication audit results from other organizations reveal some very untidy scores:

10 percent of employees agreed that executives were aware of their concerns.

15 percent agreed that the head office communicated effectively.

19 percent agreed that senior executives were visible.

19 percent agreed that executives sought their views and listened.

21 percent agreed that they were informed of plans and directions.

* 23 percent agreed that executives communicated well.

nal commun

ation

Consultin Gro

c

a

e

p

m

C

*

*

*

*

*

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41

o put these audit findings into perspective, our research found that, on average, 61 percent

range of such "big

r

popular

EO personally about the future of the business (which was precarious at the time) because

ed by the chief pilot (the senior

town hall meetings don't appear to be the answer, although

types of information that involve in the internal

ommunication function, according to H.Koeleman.

T

of employees are satisfied with communication with their immediate manager, and 63

percent understand the expectations of them in their job roles.

It's not as if employees' demands on senior executives are that taxing. Research of what

topics employees wish to hear about from their CEO reveals a limited

picture" topics as:

* The future of the organization.

* Overall corporate strategy.

* Top-line financial results.

* Major changes (e.g., redundancies).

* Feedback from the board of directors (or, in the public sector, government).

* Major stakeholder issues.

* Responses to media attention.

Employees also understand that the CEO and other executives can't visit often. Fo

example, pilots in a 17,000-employee airline said they didn't need to hear from the

C

"he's too busy." But they did expect to be kept fully inform

executive responsible for them).

Curiously, big road shows or

they feature the CEO and/or other executives "live." Typically, 50 to 60 percent of

employees are satisfied with them, but these events correlate only moderately with their

overall satisfaction with communication.

Annex 4. The types of information

Internal groups should aware of the communication circulation happens in the organisation,

like the kinds of information, the content, the sender and receiver of the information. The

next table explains the various

c

Types of information Content of the message Example

1. Task information Information on how to perform How to organise a me a task, involves work

instructions, working method, and a panswe

process information about production.

eting resentation; how to

r the phone.

2. Management information Information on the organisation Quarterlas a whole. company

y results of the ; ways of working.

3

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42

. Human Resources Information on facilities and The types of salary scale use information benefits of the organisation. in the organisation.

4. Motivational information Information that serves to keep employees motivated for the activities in the organisation.

Social event; individual meeting between manager and team member.

5. Project information Information relating to Qutemporary internal projects. projects.

ality projects; environmental

Annex 5. How to motivate employees to work.

g power to the people’ e fond of declaring that 'people are our most important asset'.

e of how to manage and motivate men and women

in Britain - the

oured more in the breach than the observance.

, Hal Rosenbluth, entitled his book The Customer Comes

econd. People-first, however, is evidently rare in British firms. According to International

make the effort to understand what other people

ally think, what they want and what they can contribute; second, it must create

y in the firm, of what management is doing and why.

rtial knowledge. Where that knowledge

rtial to hieve lity, productivity and

study didn't w their

trategic ignorance must exce ag

as beneficial.

Managers can't communicate on't know. Nor will f they

’Employee Motivation: GivinLarge British companies ar

Surely, too, the knowledge and practic

would be especially well developed and widely applied. In fact - and not only

people priority is hon

US purveyor of customer service

S

Survey Research, British employees are less satisfied with their jobs than any other

European workers. In an era of supposed better management of human resources, the

surveyed Britons have grown increasingly unhappy. ISR found that motivation and

commitment 'were even lower than in the confrontational and destructive industrial relations

climate' of the mid-1970s.

Sensitivity to different cultures, corporate and national, is essential if companies want to

reap the benefits of expansion. The basic elements remain the same, however, in any

environment. Management must, first,

re

understanding, shared by everybod

A research by accountants Ernst & Young explored the extent of knowledge about corporate

strategies. Customers, it turned out, knew nothing about them: suppliers knew little: and,

most disturbing of all, middle managers had only pa

was raised from pa full, big gains were ac d in qua

profitability. The investigate employees belo

ed even that of middle man

management level: but

ers - and curing it must be justs

what they d they motivate effectively i

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43

om overwo hat by

ent s r as their

workforces. The subordinates, moreover, thought very little of the quality of their managers

mplained ack of in g.

That places heavy emphasis inte munications. For best

sults, communication starts, not with articulating a vision or values, but with genuine

it preaches, involved every staff member in

iscussing and then signing its value statement. National Westminster Life, a big financial

ent as a recruiting tool - and the draft

ons and events by emphasizing what went well, and use the

xperience as a learning opportunity.

2. Ask staff. "Have I made our vision, mission, and goals clear and understandable?

s with people with whom you are uncomfortable.

9. Set goals each month on ways to accomplish "Managing by Walking Around."

themselves suffer fr rk, stress and insecurity. T was the sad picture painted

an Institute of Managem urvey, which found its 1,300 espondents as gloomy

in general - and co in particular about l

on the need for excellent

formation, as well as trainin

rnal com

re

participation. One consultancy, practising what

d

services start-up, used a draft vision and values docum

was only finalised after the executive team was complete.

20 Ways to Communicate With Your Employees 1. Include affected employees in goal setting.

2. Give frequent and meaningful recognition for a job well done.

3. Interact with employees on an informal basis.

4. Go to staff's work area. Meet them on their own turf.

5. Ask for staff's opinions and listen with an open mind. Try to understand their point of view.

6. Share non-confidential information with staff, and ask for their input and response on

issues.

7. Offset demoralizing acti

e

8. Listen 80% of the time and talk 20%.

9. Ask staff what rumors they have heard, and address them.

10. Get into the "trenches" with staff. Look for opportunities to understand employees' jobs

better.

11. Give information to staff after management meetings.

1

13. Ask staff, "What can I do to help you with your job, and what am I doing that gets in your

way?"

14. Ask staff "What is making our clients/customers the most and/or the least satisfied?"

15. Praise in public and give feedback in private.

16. Find something to like about each staff member with whom you work.

17. Actively make a point of speaking to all employees seen each day.

18. Build bridge

1

20. Occasionally have lunch with staff members. Use this as an opportunity to build trust.

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44

very individual in the internal groups are required to improve their communicative skills

gain knowledge of the procedure in

g reports, and skills to listening as well as

sible, user friendly and up-to-date.

oyees so that everyone has the same desired goals. Of course, the managers have

r

through formal and informal approaches between

e above factors must be kept in mind when measuring, evaluating and organising

communication process between

. Key Principles to Effective Internal Organizational Communications

ports the premise that organizations must

, the organization

ication by having to

g

asic skills in listening, speaking, questioning and sharing feedback. These can developed

Annex 6. Factors that influence the behaviour of the internal communication

1. Organisational structure

The structure of an organisation must be clear, including the name, position, job description,

responsibilities and functions, otherwise business practises will be interrupted.

2. Organisational culture and leadership style

Organisational culture influences the level of openness and dialogue between employees

and managers. Managers, as the leaders are obligated to listen to employees’ voice (ideas)

and always inform company’s objectives and strategies.

3. Communicative skills

E

through training and practising. They need to

group/individual meetings, presentations, makin

giving feedback.

4. Information systems

Information systems in the organisation should be acces

5. Organisation strategy

The management team has to communicate organisational strategies and goals clearly to

the empl

to assist the employees in implementing the plans to achieve the end results.

6. Group and individual behaviou

Internal communication is also influenced

groups and individual behaviour.

All of th

events in order to increase an effective and active internal

the internal groups in an organisation.

Annex 7

1. Unless management comprehends and fully sup

have high degrees of communications (like people needing lots of water)

will remain stilted. Too often, management learns the need for commun

respond to the lack of it.

2. Effective internal communications start with effective skills in communications, includin

b

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45

me from these

kills is conveying that you value hearing from others and their hearing from you.

re effectively.

with some concerted review and practice. Perhaps the most important outco

s

3. Sound meeting management skills go a long way toward ensuring effective

communications, too.

4. A key ingredient to developing effective communications in any organization is each

person taking responsibility to assert when they don't understand a communication or to

suggest when and how someone could communicate mo