COMMUNICATION

Communication plays key role in the success of a manager. How much professional
knowledge and intelligence a manager possesses becomes immaterial if he is not able to
communicate effectively with his subordinates and create understanding in them. Directing
abilities of a manager mainly depend upon his communication skills. That is why
organisation always emphasise on improving communication skills of managers as well as
employees. The word communication has been derived from the Latin word ‘communis’
which means ‘common’ which consequently implies common understanding. Communication
is a social intercourse which is a two-way process which involves exchanging information,
ideas, thoughts, feelings, and messages between individuals or groups through various
methods, such as speaking, writing, gestures, or visual signals. It involves a sender who
conveys a message, a medium through which the message is transmitted, and a receiver
who interprets the message . communication is used a means to link people I an
organisation to achieve common goal . in other words Communication is the sum of all
things one person does when he wants to create understanding in the mind of another. It
involves systematic and continuous process of telling, listening and understanding.

IMPORTANCE -
1. Establishes effective leadership: Communication is the basis of leadership. Effective
communication helps to influence subordinates. While influencing people, leader
should possess good communication skills
2. Promotes cooperation and industrial peace: Efficient operation is the aim of all
prudent management. It may be possible only when there is industrial peace in the
factory and mutual cooperation between management and workers.two way
communication promotes cooperation and mutual understanding between the
management and workers.
3. Acts as basis of decision making: Communication provides needed information for
decision making. In its absence, it may not be possible for the managers to take any
meaningful decision. Only on the basis of communication of relevant information one
can take right decision.
4. Helps in smooth working of an enterprise: All organisational interactions depend on
communications It is only communication which makes smooth working of an
enterprise possible
5. Motivates employees – open communication builds confidence among employees
and help to reduce misunderstanding and conflicts among employees which leads to
high productivity . Communication helps to boost morale of employees and
managers.
TYPES-
Formal Communication
Formal communication flows through official channels designed in the organisation chart.
This communication may take place between a superior and subordinate, a subordinate and
superior or among same cadre employees or managers. The communications may be oral
or written but generally recorded and filed in the office. Formal communication may be
further classified as – Vertical and Horizontal. Vertical communication flows vertically, i.e.,
upwards or downwards through formal channels. Upward communications refer to flow of
communication from subordinate to superior whereas downward communication indicates
communication from a superior to subordinate. The examples of upward communication are
– application for grant of leave, submission of progress report, request for grants, etc.
Similarly, the examples of downward communication include – sending notice to employees
to attend a meeting, ordering subordinates to complete an assigned work, passing on
guidelines framed by top management to the subordinates, etc. Horizontal or lateral
communication takes place between one division and another. For example, a production
manager may contact marketing manager to discuss about schedule of product delivery,
product design, quality, etc.
The pattern through which communication flows within the organisation is generally indicated
through communication network. Different types of communication networks may operate in
formal organisation. Some of the popular communication networks are presented and
discussed in given figure.
(i) Single chain: This network exists between a supervisor and his subordinates. Since
many levels exist in an organisation structure, communication flows from every
superior to his subordinate through single chain.
(ii) Wheel: In wheel network, all subordinates under one superior communicate through
him only as he acts as a hub of the wheel. The subordinates are not allowed to talk
among themselves.
(iii) Circular: In circular network, the communication moves in a circle. Each person can
communicate with his adjoining two persons. In this network, communication flow is
slow.
(iv) Free flow: In this network, each person can communicate with others freely. The
flow of communication is fast in this network.
(v) Inverted V: In this network, a subordinate is allowed to communicate with his
immediate superior as well as his superiors superior. However, in later case, only
prescribed communication takes place.
Informal Communication
Communication that takes place without following the formal lines of communication is said
to be informal communication. Informal system of communication is generally referred to as
the ‘grapevine’ because it spreads throughout the organisation with its branches going out in
all directions in utter disregard to the levels of authority. The informal communication arises
out of needs of employees to exchange their views, which cannot be done through formal
channels. Workers chit chating in a canteen about the behaviour of the superior, discussing
about rumours that some employees are likely to be transferred are some examples of
informal communications. The grapevine/ informal communication spreads rapidly and
sometimes gets distorted. It is very difficult to detect the source of such communication. It
also leads to generate rumours which are not authentic. People’s behaviour is affected by
rumours and informal discussions and sometimes may hamper work environment.
Sometimes, grapevine channels may be helpful as they carry information rapidly and,
therefore, may be useful to the manager at times. Informal channels are used by the
managers to transmit information so as to know the reactions of his/her subordinates. An
intelligent manager should make use of positive aspects of informal channels and minimise
negative aspects of this channel of communication.

Grapevine Network
Grapevine communication may follow different types of network.
In single strand network, each person communicates to the other in sequence.
In gossip network, each person communicates with all on non-selective basis.
In probability network, the individual communicates randomly with other individual
. In cluster, the individual communicates with only those people whom he trusts. Of these
four types of networks, cluster is the most popular in organisations.
ADVANTAGES (FORMAL)
 LONG TERM RECORD
 QUICK PERFORMANCE OF TASK AS TIMELY TRANSMITION OF INFO.
 MAINTAINS DISCIPLINE AND DECORUM IN ORGANISATION

DISADVANTAGE
 Time consuming
 No interpersonal relationship
 Do not satisfy social needs of employees

Advantages ( INFORMAL)
 satisfy social needs of employees
 maintains interpersonal relationship
 Quick transmittion of info.
 Sometimes help the organistion to get out of the problem as subordinates are free to
respond

 DISADVANTAGE
 Spread rumours
  Hampers effective working environment
 Leads to distortion of original msg
 Info. Is unreliable

Johari window
Monetary Incentives
Monetary incentives are financial rewards given to employees to motivate and
enhance their performance. These incentives are tangible and directly related to the
compensation or financial benefits an employee receives.

1. Salaries and Wages

 Explanation: Regular payments made to employees in exchange for

their work and services.
 Importance: A primary motivator ensuring employees' financial
stability and satisfaction with their basic compensation.

2. Bonuses
  Explanation: Extra payments given to employees for achieving specific
targets or exceptional performance.
 Importance: Encourages employees to exceed performance
expectations and contributes to organizational goals.

3. Commissions

 Explanation: Earnings based on a percentage of sales or revenue

generated by an employee.
 Importance: Highly motivating for sales roles as it directly ties earnings
to productivity and success.

4. Profit Sharing

 Explanation: A system where employees receive a share of the

company’s profits.
 Importance: Aligns employees’ interests with the company’s success,
fostering a sense of ownership and responsibility.

5. Stock Options

 Explanation: Grants employees the option to buy company stock at a

future date at a predetermined price.
 Importance: Motivates employees to contribute to the company’s
long-term success and can lead to significant financial gain.

6. Performance Incentives

 Explanation: Financial rewards based on individual, team, or company-

wide performance metrics.
 Importance: Directly links financial rewards to performance,
encouraging employees to meet and exceed objectives.

7. Retention Bonuses

 Explanation: Payments given to key employees to retain them during

critical times or through organizational changes.
 Importance: Helps in retaining top talent and ensures continuity and
stability within the organization.

8. Holiday Pay and Overtime

  Explanation: Additional pay provided for working during holidays or
beyond regular working hours.
 Importance: Compensates employees for their extra efforts and time,
maintaining morale and productivity.

9. Allowances and Perks

 Explanation: Financial benefits such as travel allowances, housing

allowances, and meal subsidies.
 Importance: Enhances overall compensation packages and meets
specific needs of employees, improving satisfaction and loyalty.

10. Retirement Benefits

 Explanation: Financial contributions made by the employer towards

employees’ retirement savings plans.
 Importance: Provides long-term financial security, making the job
more attractive and promoting long-term retention
NON MONETARY

Non-monetary incentives are rewards that do not involve direct financial compensation but
aim to enhance employees' motivation and satisfaction through other mean . Intangible

1. Recognition and Awards: Public acknowledgment of achievements, such as

employee of the month.
2. Career Development Opportunities: Training, professional development,
and career advancement opportunities.
3. Work-Life Balance Initiatives: Flexible working hours, remote work options,
and generous leave policies.
4. Job Enrichment: Adding meaningful tasks, increasing variety, and granting
more autonomy in job roles.
5. Positive Work Environment: Creating a supportive, inclusive, and engaging
workplace culture.
6. Employee Wellness Programs: Health initiatives like fitness programs,
counseling services, and health screenings.
7. Team Building Activities: Events and activities that promote teamwork and
strengthen relationships.
8. Autonomy and Empowerment: Granting employees control over their work
and decision-making processes.
9. Workplace Amenities: Providing amenities such as comfortable workspaces,
recreational facilities, and on-site services.
 10. Social Recognition: Informal praise and acknowledgment from peers and
leaders, such as verbal praise or thank-you notes.

INTRINSIC MOTIVATION

ADV. INTRINSIC
1. Enhanced Creativity: When people are intrinsically motivated, they are more
likely to be creative and innovative, as they are more willing to explore new
ideas and take risks.

2. Higher Quality of Work: Intrinsically motivated individuals tend to produce

higher quality work because they care more about the process and outcome
of their tasks.

3. Increased Job Satisfaction: Employees who are intrinsically motivated

typically experience higher job satisfaction because they find their work
meaningful and enjoyable.
 4. Resilience to Failure: Individuals motivated by intrinsic factors are more
resilient to failure because they derive satisfaction from the effort rather than
just the outcome.

5. Ethical Behavior: People driven by intrinsic motivation are less likely to

engage in unethical behavior, as their actions are guided by personal values
and satisfaction rather than external rewards.

6.

EXTRINSIC

1. Increases Short-Term Motivation: When immediate results are needed,

extrinsic rewards can provide the necessary motivation to achieve short-term
goals.

2. Versatile Application: Extrinsic rewards can be applied in various contexts,

such as education, workplace, and therapy, to motivate different types of
behaviors.

3. Enhanced Productivity: In a work environment, extrinsic rewards can lead to

enhanced productivity, as employees are motivated by bonuses, promotions,
and other tangible benefits.

4. Attracting Talent: Competitive extrinsic rewards, such as high salaries and

bonuses, can attract skilled and talented individuals to an organization.

5. Effective for Routine Tasks: Extrinsic motivation is particularly effective for

routine or monotonous tasks where intrinsic motivation might be lacking.

DIS

INTRINSIC
1. Less Immediate: The effects of intrinsic motivation are often less immediate
compared to extrinsic motivation, which can offer quick rewards and
recognition.
 2. Potential for Burnout: Individuals who are highly intrinsically motivated may
overextend themselves, leading to burnout, especially if they do not balance
their passion with self-care.

3. Resource Intensive: Creating an environment that fosters intrinsic motivation

can be resource-intensive, requiring time, effort, and creativity from leaders
and educators.

4. Less Tangible Measurement: Intrinsic motivation is harder to measure and

quantify compared to extrinsic rewards, making it challenging to assess
progress and impact.

5. May Require External Triggers: Sometimes, intrinsic motivation needs an

initial push or trigger from external sources to get started, especially for tasks
that are initially perceived as uninteresting.

EXTRINSIC
1. Diminishing Returns: Over time, the effectiveness of extrinsic rewards can
diminish, requiring increasingly larger rewards to achieve the same level of
motivation.

2. Undermines Intrinsic Motivation: Relying too heavily on extrinsic rewards

can undermine intrinsic motivation, reducing overall engagement and
satisfaction with the task.

3. Short-Term Focus: Extrinsic motivation often promotes a short-term focus on

immediate rewards rather than long-term goals and personal growth.

4. Creates Dependency: Individuals may become dependent on external

rewards, losing the ability to motivate themselves without them.

5. Potential for Unethical Behavior: High-stakes extrinsic rewards can

sometimes lead to unethical behavior, such as cutting corners or manipulating
results to achieve the rewards

Reduces job satisfaction

 Intrinsic rewards
 Sense of meaningfulness. This reward involves the meaningfulness or importance
of the purpose you are trying to fulfill. You feel that you have an opportunity to
accomplish something of real value—something that matters in the larger scheme of
things. You feel that you are on a path that is worth your time and energy, giving you
a strong sense of purpose or direction.
 Sense of choice. You feel free to choose how to accomplish your work—to use your
best judgment to select those work activities that make the most sense to you and to
perform them in ways that seem appropriate. You feel ownership of your work,
believe in the approach you are taking, and feel responsible for making it work.
 Sense of competence. You feel that you are handling your work activities well—that
your performance of these activities meets or exceeds your personal standards, and
that you are doing good, high-quality work. You feel a sense of satisfaction, pride, or
even artistry in how well you handle these activities.
 Sense of progress. You are encouraged that your efforts are really accomplishing
something. You feel that your work is on track and moving in the right direction. You
see convincing signs that things are working out, giving you confidence in the
choices you have made and confidence in the future.

Contemporary motivational practices

1. Employee Recognition Programs
 Explanation: These programs acknowledge and reward employees for their
achievements and contributions, fostering a culture of appreciation and recognition.
 Example: Companies use platforms like Bonusly or Kudos to allow peers and
managers to give real-time recognition and rewards.

2. Flexible Work Arrangements

 Explanation: Providing employees with flexible working hours and remote work
options to accommodate their personal and professional needs, enhancing work-life
balance.
 Example: Tech companies like Google and Microsoft offer remote work options and
flexible schedules to boost employee satisfaction and productivity.

3. Professional Development Opportunities

 Explanation: Offering continuous learning and development programs to help
employees grow their skills and advance their careers.
 Example: Companies provide access to online courses, workshops, and training
sessions through platforms like LinkedIn Learning or Coursera.

4. Purpose-Driven Work
 Explanation: Aligning work tasks with the company's mission and values to give
employees a sense of purpose and connection to a larger goal.
  Example: Non-profit organizations and social enterprises emphasize the impact of
their work on society, motivating employees through a sense of meaningful
contribution.

5. Performance Feedback and Coaching

 Explanation: Regular, constructive feedback and personalized coaching to help
employees improve their performance and develop their potential.
 Example: Implementing systems for continuous feedback rather than annual reviews,
using tools like 360-degree feedback and one-on-one coaching sessions.

6. Wellness Programs
 Explanation: Promoting physical, mental, and emotional well-being through wellness
initiatives and programs.
 Example: Companies offer gym memberships, mental health resources, mindfulness
programs, and wellness challenges to encourage a healthy lifestyle.

8. Employee Autonomy
 Explanation: Allowing employees more control over how they complete their tasks
and make decisions, fostering a sense of ownership and responsibility.
 Example: Implementing flexible project management approaches like Agile or Scrum,
where teams have more autonomy and self-management.

9. Collaborative Work Environment

 Explanation: Creating an environment that encourages teamwork, collaboration, and
open communication.
 Example: Using collaborative tools like Slack, Trello, or Microsoft Teams to facilitate
communication and project collaboration.
 .