HUMAN RESOURCE MANAGEMENT

WEEK 26

Employee Communication,
Involvement and Engagement
 Learning Outcome

• At the end of the lesson you should be able to

understand:
– The nature of the communication process
– The importance of employee communication
– The nature of effective communication
– The effects of employee involvement and engagement
– The essentials of negotiation skills
 What is Organisational Communication?

 Organisational communication is the specific

process through which information moves and is
exchanged throughout an organisation.
 Information flows:
– Through formal and informal structures.
– Downward, upward, and laterally.
 Formal and Informal Communication
Channels

 Formal channels follow the chain of command

established by the hierarchy of authority
 Informal channels do not adhere to the hierarchy
of authority
• The grapevine is an informal channel through which
rumours and unofficial information pass
 Communication Flows and Directions

 Downward communication

 Upward communication

 Lateral communication
 Downward Communication

• The flow of information follows the chain of

command from top to bottom
• Downward communication informs lower level
personnel about the higher level managers’:
 Strategies
 Objectives
 Instructions
 Policies
 Feedback
 Upward Communication

• The flow of information from lower to higher

levels of the organisation
• Upward communication informs higher level
personnel about lower level workers’:
 Problems
 Results
 Suggestions
 Questions
 Needs
 Lateral Communication

• The flow of information across persons or work

units at the same hierarchical level
• Lateral communication enables persons and work
units to coordinate:
 Problems
 Needs
 Advice
 Feedback
 Types of Communication Networks

• Decentralised communication network

• Centralised communication network

• Restricted communication network

 Decentralised Communication Network

• All group members communicate directly

and share information with one another
• Sometimes called an all-channel or star
network
• Involve interacting groups
 Centralised Communication Network

• Information flows to a central person and is

redistributed
• Sometimes called a wheel or chain network

• Involve coacting groups

 Restricted Communication Network

• Limited and possibly biased communication due

to polarised subgroups contesting each other’s
positions and maintaining sometimes antagonistic
relationships
• Involve counteracting groups
 Effective Employee Communication

• Mutual trust is very much a feature of the good

psychological contract
• Good communication is not simply about passing
information down;
• it is also about:
– sharing information
– trusting people to interpret that information
– listening to what people say (if necessary, acting upon what
has been said or explaining why no action has been taken)
 Effective Employee Communication

• Managers have a central role in any communications

strategy;
• the good intentions of communication specialists can
be ruined and mutual trust damaged by managers:
– who do not pass messages on
– who distort the messages they are entrusted with
– who do not provide feedback from what they have been
told by their staff
• This may imply training for managers at all levels in
communication skills and ensuring that
communication is seen as a core part of their jobs
 Effective Employee Communication

• Communications also need to be linked to the business plan,

with everyone in the process clear about their roles in making
communication happen
• Good communication is also about consistency:
– People are more likely to listen if there is a regular flow of information
that they trust
• Information needs to be delivered through a variety of
channels:
– some people take more notice of messages delivered verbally, while
others pay greater heed to written material
 Methods of Communicating with Employees

• There are many methods of communicating with

employees
• It is important to remember that audiences differ
• Some organisations ‘segment’ employees so they can
tailor communications to different audiences
• Organisational size is also important:
– communication is much easier in a single site establishment
than in a multi-national organisation, especially where
different languages and cultures are involved
 Methods of Communicating with Employees

• Developments in technology, notably web-based

technologies, have increased the range of options in
recent years beyond traditional methods such as
notice boards and in-house newsletters
• Many organisations are not just using their intranet
and email but also encouraging their employees to
connect via social networking on the web
 Methods of Communicating with Employees

• Some methods of communication are top-down, such as

presentations from senior managers
• Others, such a team briefings or meetings provide more
opportunity for dialogue
• Face to face communication with line managers can be a good
way of providing two-way feedback
• Focus groups can be a good way of providing qualitative
feedback
• Employee attitude surveys which ‘take the temperature’ in the
organisation on a regular basis are also an important
mechanism for employees to express their views.
 Developing a Communication Strategy

• No single method of communication works

effectively, standing alone:
– Written messages, whether on paper or on screen, will be
consistent but may not be read
– oral messages may be misunderstood or misinterpreted
• In most cases, and especially where messages are
only communicated in writing (though intranets can
permit some dialogue), opportunities for two-way
communication are limited
Points for an Effective Communication Strategy

• The following are suggested as starting points for a

communication strategy:
– Convince top management of the importance of
communication.
– Build alliances across the organisation to support initiatives
– Recognise that no single method will be effective
– Use a mix of approaches and use all available channels
where relevant (written, face-to-face, web-based, moving
images)
Points for an Effective Communication Strategy

– Target the form(s) of communication to the audience; (for

example, different methods for shop floor employees and
senior managers)
– Respect cultural diversity and vary approaches accordingly
– Make sure that messages are consistent, over time and
between audiences
– Ensure clarity of message and keep things as simple as
possible
– Train managers in communication skills and ensure that
they understand the importance of communication
Points for an Effective Communication Strategy

– Seek wherever possible to develop and sustain two-way

communication, dialogue and feedback
– Ask yourself whether employees feel that the culture of the
organisation is such that they can say what they think
without discomfort; and if they can’t, think about how that
culture can be changed
– Consider whether communication is built into the planning
stages of all activities
– Review communication initiatives to check what has
worked, what hasn’t, and why
 Why Communicate with Employees?
• Good two-way communication can help to build the
psychological contract, in which:
– employees feel valued by their employer
– the employer values (and is seen to value) employees’ contributions
• Communication is an important aspect of employee
engagement
• Two most important drivers of employee engagement
identified by CIPD research are:
– having opportunities to feed upwards
– feeling well-informed about what is happening in the organisation
 Key Drivers of Employee Engagement

• CIPD research finds that key drivers of employee

engagement are:
– opportunities for upward feedback'
– feeling well informed about what's happening in the
organisation'
• Which in turns promotes:
– better performance
– employee retention
– positive emotions towards work
 Key Barriers to Engagement

• key barriers to engagement have been identified as:

– a lack of fluidity of communication/knowledge sharing
– poor visibility of senior management
– quality of downward communication
 Employee Involvement Defined

The degree that employees share information,

knowledge, rewards, and power throughout the
organisation:
– active in decisions previous outside their control
– power to influence decisions
– knowledge sharing
 Forms of Employee Involvement

Formal Statutory Direct

Employees
Codified practices Required by law personally involved
Example: Self- Example: European Example: Staff vote
Managed Teams codetermination against smoking in the
workplace

Informal Voluntary Representative

Casual information Reps decide for other

No legal requirement
exchanges employees
Example: Strategic
Example: Boss asks Example: Employee
task force
for ideas reps as directors
 Levels of Employee Involvement

High involvement — Employees have

complete decision making power
High (e.g., Self-Managed Teams)

Full consultation — Employees offer

recommendations (e.g., gain sharing)
Medium

Selective consultation — Employees

give information, but don’t know the
problem
Low
How Involvement Improves Decisions

Identify and define

problems better

Employee Usually identify more

and better solutions
Involvement

More likely to select

the best option
 Contingencies of Employee Involvement

• Decision quality
• Decision commitment
• Decision conflict
• Structured problem
 Overcoming Involvement Challenges

• Cultural Differences
– Better in collectivist and low power distance cultures
• Management Resistance
– Educate/train managers to become facilitators
• Employee and Union Resistance
– Concerns about increased stress, giving up union
rights, and union power
– Solution is trust and involvement
 Negotiation and Negotiating Skills

• The purpose of negotiation is to engage in joint

problem-solving in order to reach an agreement
satisfactory to both parties
• This does not preclude the possibility of disagreement
and conflict between the parties
 Negotiating Skills

• It is important to note that although there is a

whole range of skills that are essential for the
conduct of effective negotiations, emphasis
should be placed upon particular skills required
for each stage of the negotiation process.
• The vital skills are the following:
– Persuasion
– Presentation skills
– Note-taking and summarising skills
 Negotiating Skills

• Persuasion - Persuasive skills can be used by a management

and union negotiating teams to put forward the reasoning,
facts and arguments to justify and support their demands and
offers
• Presentation skills - Both parties rely a great deal upon the
spoken word and should take care to ensure that oral
presentations in bargaining, for example, are well structured;
including the initial explanation of the rationale behind offer
or claim, summarising throughout the negotiations, and
presenting or countering arguments during negotiations
 Negotiating Skills

• Note-taking and summarising skills - Taking accurate notes

will assist negotiators by providing a record of what has been
said and to and by whom, identifying important arguments and
amendments, and for checking the accuracy of salient
contributions concerning what has been agreed, or what has
yet to be agreed before and after adjournments