10.2 Formal communication channels and networks
Formal communication channels follow the organisational structure or hierarchy and flow in four directions:

Figure109.1 Four directions of communication flow
These four directions in which communication can travel are: downward; upward; lateral or horizontal; and diagonal. Downward (1) communication involves communication from higher to lower levels so that leadership can communicate goals, strategies or role expectations. Upward (2) communication flows from lower levels to higher levels of the organisation, for example, when there is a need to communicate problems, results or suggestions.
Horizontal (3) communication occurs across the same level and involves for example, coordination of activities with peers (teams, committees), dissemination of useful information from one department to another (for example sales forecasts from the sales department to production, and problems such as a problem with product design from the production department to research and development). Horizontal communication facilitates the l inking of different areas of expertise and this may encourage innovation. Diagonal (4) channels may potentially cause conflict as they involve communication between the lower level of one department to a higher level in another. In the diagram above, this may cause friction between the employee in accounting department C and the Vice-President (VP) of Accounting as the employee has gone around his or her own superior. Nevertheless this type of communication may be useful as it may simply be information relevant to the Marketing Department and the VP Accounting does not need to be involved.
Formal communication networks also occur within the hierarchy of the organisation and reflect how groups of employees, for example those in a department, work together. Networking or mapping the flow of communication in an organisation can be a useful device. This can identify who is communicating with whom and whether the lines of communication are effective and efficient, or whether there is potential for destructive conflict or tension arising from the communication channels (for example, inappropriate diagonal communication).
Activity 10a
- Read through the various communication network types on pages 226-223 of the textbook.
- Analyse the communication network in your own workplace, or interview a friend or relative who works and network their workplace using Figures 9.6 and 9.7 on pages 231 and 232 of your textbook as a guide. Is the network effective (goals and tasks are accomplished) and efficient (resources such as time and money are not wasted)?