Business

Organizational Communication

Last updated: 13 February 2026

What Is Organizational Communication?

Organizational communication is the process by which individuals stimulate meaning in others' minds using verbal and non-verbal messages within a formal organization (Baden Eunson et al., 2016). It involves how members attribute meanings to messages and sometimes distort them through various channels (Anna Rogala et al., 2016). Rather than a static process, it is the flow of messages within a network of interdependent relationships that brings an organization to life through coordinated action and the creation of shared meaning (Stewart L. Tubbs et al., 2020)(Robert L. Heath et al., 2013).

Primary Functions and Components

Organizational communication serves three primary internal functions: command, relational, and managing ambiguity (A Thorne et al., 2021). Command involves communicating authority and tasks to reach goals, while relational communication builds working relationships (A Thorne et al., 2021). Managing ambiguity helps clarify instructions and solve problems during crises (A Thorne et al., 2021). The study of this field centers on how people gain information, shape opinions, and coordinate efforts to achieve both individual and collective goals through strategic interaction (Robert L. Heath et al., 2013).

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Formal and Informal Communication Networks

Communication occurs through both formal and informal channels (Gert Alblas et al., 2021). Formal communication follows fixed organizational structures and policies to facilitate goal achievement (Michael A. Hitt et al., 2017)(Gert Alblas et al., 2021). Conversely, informal communication happens randomly, such as through gossip or cluster chains, helping employees resolve problems quickly and build commitment (Tamara Gillis et al., 2006)(Gert Alblas et al., 2021). These networks represent patterns of interaction—who communicates with whom—that directly affect an organization's coordination, innovation, and overall performance (Michael A. Hitt et al., 2017).

The Role of Organizational Culture and Climate

The communication climate is heavily influenced by organizational culture, which consists of shared beliefs and behavioral patterns (James Burrow et al., 2016). Cultures range from closed, relying on top-down decision-making and rigid rules, to open, which encourages creativity and information sharing (James Burrow et al., 2016). Effective leadership communication is essential for creating a culture of openness, allowing problems to be discussed honestly and ensuring the successful execution of organizational strategies through trust and transparency (Tamara Gillis et al., 2006).

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