• Formal communication
• Informal Communication

Organizational communication is an open system of communication among people within a specific context for the purpose of achieving common goals through cooperative efforts. Organizational communication is of two types.

1. Formal communication
2. Informal communication

Formal communication

Communication which follows hierarchy at the workplace is called as formal communication. Employees communicate formally with each other to get work done within the desired time frame. Throughout the internal formal network, information flows in four directions.

1. Upward communication
2. Downward communication
3. Horizontal communication ( between departments )
4. Diagonal communication ( Cross-functional communication between employees at different levels of the hierarchy, beyond the immediate one, neither horizontal nor vertical )

These four types are called the direction of communication flow or paths of communication.

Informal Communication

This is also referred to as grapevine or the rumor mill. Employees also communicate with each other just to know what is happening around. Such type of communication is called as informal communication and it has nothing to do with designations, hierarchy and so on.

Next: Ways of Managerial Communication