Communication Networks: Formal vs. Informal Communication
Communication skills are essential for everyone in the business organization whether it is for business executives, sales employees or even labor workers. An example would be how sales representatives of the company are required be eloquent and persuasive speakers in order for them to be able to sell the products or how labor workers in the chemical factory also need to communicate effectively in order to avoid delay in production or conflicts or how business executives are able to convey their visions and delegate tasks to their subordinates. However, to reach optimal effectiveness in communication, simply having leaders or employees with good communication skills are not sufficient for business to succeed as it only accounts for small degree of communication effectiveness. Organization needs to develop effective communication networks for employers and employees to communicate throughout the organization structure. To be more specific, it is how organization improves the communication flow within and across each business departments. Communication networks are categorized into two categories: Formal and Informal Communication Networks. However the question remains whether which types of communication networks are more effective.

Formal Communication

The best way to describe formal communication networks is what is known as organizational chart. It is simply a system designed by management to dictate how communication should flow within the organization. Without organizational chart or formal communication, communication can become messy and ineffective since there are no clear communication channels as to where communication should be directed to. As business students, we are familiar with the organizational charts where Shareholders are on top of the hierarchy and communication is passed from them