Informal Communication in Organizations

Introduction:
Informal communication is casual communication between coworkers in the workplace. It is
unofficial in nature and is based in the informal, social relationships that are formed in a
workplace outside of the normal hierarchy of business structure. This type of communication is
important in the workplace as it can help with employee morale and can encourage the feeling of
belonging for the employees as well as a client or customer.

Some Common Types of informal Communication in the Workplace:

Good examples of informal communication in the workplace can be seen whenever one
employee interacts with another employee in a casual and conversational way. They can talk
about the game that was on last night or even about a company policy change.
One of the great informal communication examples is to think of it like a conversation between a
family at a dinner table. Any child can turn to the mom or dad of the family (or the boss of the
company) and casually ask them questions about something they brought up in a family meeting.
It’s a calm and carefree scenario to discuss things.

Some Examples of Grapevine or Informal Communication in The Workplace:

(1) The manager calls an employee to his chamber and talks with him for sometimes relating
to official work. Rumor is spread that the employee will be promoted to higher position
ignoring the promotion of other employees.
(2) The employees of a company have come to know the profit figure for the year from the
accounts department. Somebody among the employees within the company puts some
imagination to it and tells others that the company is going to offer bonus to the
employees on the basis of profit earned.
(3) Due to delay in supply and shortage of raw materials the work in a factory has been
stopped for a few days. The workers made it a rumor that the management authority is
going to retrench a large number of employees soon.

Types of Informal Communication:

There are four different types of informal communication:

1. Single Strand: One person communicates with one person and then they go and
communicate with another one person. Communication is traveling from one person to
another one person.
 2. Gossip Chain: Group conversation where everyone is talking to each other informally.

3. Probability Chain: Each individual randomly tells another individual the same message.

4. Cluster Chain: One person shares information with a group of selected individuals and
in turn each of those individuals shares that information with others.

All of these different types of informal communication are all about how information flows
between employees outside of a professional and formal meeting scenario.

Advantages of Informal or Grapevine Communication

Advantages:

i) Informal Communication is friendly and inviting and is a great sign that someone has
a friend in the company.

ii) Informal Communication has an advantage in business because if employees have

friends to communicate with they will enjoy their job more, which can increase
productivity.

iii) Flow of Information is fast and suitable for emergencies.

iv) New ideas, suggestions, opinions may come out through such communication as
people can express their feelings without fear.

v) It can work as an outlet of expression of complaints, dislikings, grievances etc.

Disadvantages:

i) Inaccurate, incomplete and half-truth information can spread through Informal

Communication.

ii) In most cases, it is emotional and full of sentiments which can change its meaning.

iii) No one can be held responsible as it is not possible to find out the supplier of wrong
information in the case of an inquiry.

iv) It spreads rumors and endangers consolidation and unity of the organization.
 v) It creates conflict between groups by spreading rumors against them and reducing
their morale.

Effective Use of Informal Communication or Grapevine Communication

Efficient managers can make proper use of informal communication and apply it for the
wellbeing of the organization if some general steps like the following are taken:

1. The managers should keep a watchful eye on the leaders who spreads rumors and keep
them well-informed about the actual situation.

2. Managers should involve the employees in decision-making process etc.

Right Mixture of Formal and Informal Communication:

An appropriate mixture of formal and informal communication makes a business communication

more effective. There is no golden rule of arriving at the right mixture but the experienced
managers and executives who are familiar with the ins and outs of the department and
understand the nature of the employees can find out a proper blend for a particular situation.

While formal communication will help the execution of official orders, informal communication
will assist in improving human relations and work environment.

References:

1. Management Principles and Practices, by Ricky W. Griffin (11th edition), page 544-547

2. http://www.yourarticlelibrary.com/business-communication/informal-
communication/informal-communication-meaning-purpose-and-importance/70204

3. https://www.bamboohr.com/hr-glossary/informal-communication/