PowerPoint slides by R. Dennis Middlemist Colorado State University Chapter 14 Communication and Negotiation Hitt Black Porter m a n a g e m e n t

PowerPoint slides by

R. Dennis Middlemist

Colorado State University

Chapter 14Chapter 14

Communication Communication and Negotiationand Negotiation

Hitt

Black

Porter

m a n a g e m e n t

2

Learning ObjectivesLearning Objectives

Explain why communication is vital for effective management.

Describe the basic process of communication.

Explain how culture can influence communication.

After studying this chapter, you should be able to:

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Learning ObjectivesLearning Objectives

Identify key barriers to effective communication.

Describe approaches to overcoming communication barriers.

Describe the basic process of negotiation.

After studying this chapter, you should be able to:

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Basic Model of Basic Model of CommunicationCommunication

Communication: the process of transferring information, meaning, and understanding from sender to receiver Encoding Medium Decoding Noise

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Basic Model of Basic Model of CommunicationCommunication

Sender• Encodes message• chooses a medium

(channel)• Sends the

message

Receiver• Receives message• Decodes message• May send feedback

for clarification

Noise: Can interfere at any point

Adapted from Exhibit 14.1: Basic Communication Model

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Examples

Modes of CommunicationModes of Communication

Adapted from Exhibit 14.2: Modes of Communication

Oral WrittenConversationSpeechesTelephone callsVideoconferences

VERBAL MODE(LANGUAGE USED TO CONVEY MEANING

LettersMemosReportsE-mailFax

DressSpeech intonationGesturesFacial expressions

Advantages VividStimulatingCommands attention

Difficult to ignoreFlexibleAdaptive

Decreased misinterpretation

Precise

Effectiveness of communication increases with congruence to oral presentation

Can emphasize meaning

NONVERBALMODE

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Disadvantages

Modes of CommunicationModes of Communication

TransitorySubject to misinterpretation

VERBAL MODE(LANGUAGE USED TO CONVEY MEANING

Precision loss in translation

InflexibleEasier to ignore

Meanings of nonverbal communication not universal

Adapted from Exhibit 14.2: Modes of Communication

Oral WrittenNONVERBALMODE

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Media of CommunicationMedia of Communication

Different media have different sets of characteristics (media richness) Personal-impersonal nature Speed in sending and receiving Availability of multiple cues Opportunity to receive immediate and continuing

feedback from the receiver

One should match message with medium for effective communication

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Factors in Media RichnessFactors in Media Richness

Adapted from Exhibit 14.3: Factors Contributing to Media Richness

Rich Media• Personal• Multiple cues to

aid in decoding• Immediate

feedback

Lean Media• Impersonal• Few cues to aid

in decoding• Delayed

feedback

Examples:

Rich Lean

Face to face Telephone E-mails, memos

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Organizational Context of Organizational Context of CommunicationCommunication

Organizational characteristics that affect communication Composed of individuals and groups Oriented toward goals Differentiated functions Intended coordination Continuity through time

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Directions of CommunicationDirections of Communication

Adapted from Exhibit 14.4: Directions of Communication within Organizations

Supervisor Supervisor

Subordinate Subordinate

Lateral communication

Downward communicationGoals, Objectives, directions,

Decisions, Feedback

Lateral communicationInformation, (formal or informal)

for joint problem solving

Upward communicationInformation, Questions,Suggestions, Problems,

Requests forclarification

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Channels of CommunicationChannels of Communication

Formal communication channels Specify individuals responsible for tasks Specify individuals responsible for communicating

information above and below them Indicate persons (positions) to whom work-related

messages should be sent Informal communication channels

Tend to operate laterally more than vertically Move information quite rapidly Carry both work-related and nonwork information

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Channels of CommunicationChannels of Communication

Adapted from Exhibit 14.6:

CEO

Vice President of Marketing

Manager Toy

Manufacturing

Advertising Manager

Promotions Manager

SupervisorBoard Games

Testing

SupervisorElectronic

Games Testing

Solid lines indicate FORMAL channels of communication

Dotted lines indicate INFORMAL channels of communication

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FormalCommunication Channels

Patterns of organizational Patterns of organizational CommunicationCommunication

Adapted from Exhibit 14.6: Characteristics of Formal and Informal Communication Channels

• Authorized, planned, and regulated by the organization

• Reflect the organization’s formal structure

• Define who has responsibility for information dissemination and indicate the proper recipients of work-related information

• May be modified by the organization

• Minor to severe consequences for ignoring them

• Develop through interpersonal activities of organization members

• Not specified by the organization• May be short-lived or long-lasting• Are more often lateral than

vertical• Information flow can be very fast• Used for both work-related and

nonwork information

Informal

Communication Channels

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Example of Communication Example of Communication NetworksNetworks

Network 1Network 2

Adapted from Exhibit 14.7: Examples of Two Organizational Communication Networks

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Level

Barriers to CommunicationBarriers to Communication

Adapted from Exhibit 14.8: Barriers to Communication

Interpersonal Selective perceptionFrame of referenceIndividual differencesEmotionLanguageNonverbal cues

Origin of Barrier Affects Communication Between:Individuals or groups

Organizational Hierarchical (barriers resulting from formal structure)

Functional(barriers resulting from differences between functional departments)

Individuals and/or groups within an organization

Individuals and/or groups in different organizations

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Level


Cultural LanguageHigh/low-context cultureStereotypingEthnocentrismCultural distance

Origin of Barrier Affects Communication Between:Individuals or groups in different

organizations with different national cultures

Individuals or groups from different organizational cultures

Individuals or groups form diverse cultural backgrounds within an organization

Adapted from Exhibit 14.8: Barriers to Communication

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Communication Differences in Communication Differences in High-and Low Context CulturesHigh-and Low Context Cultures

Adapted from Exhibit 14.9: Communication Differences in High- and Low-Context Cultures

Japan Italy

France Canada USASouth Korea

China

Saudi Arabia

Vietnam

Germany

Australia

New Zealand

High-Context Cultures

Low-Context Cultures

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Communication Differences in Communication Differences in High-and Low Context CulturesHigh-and Low Context Cultures

High-Context Cultures More and greater

adjustments in messages Rank of receiver will

probably affect message and medium

Nonverbal communication cues may be very important

Medium may be as important as message

Low-Context Cultures Fewer and smaller

adjustments in messages Rank or receiver may or

may not affect message or medium

Nonverbal communication cues not as important

Message is more important than medium

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Cross-Cultural BarriersCross-Cultural Barriers

EthnocentrismThe belief in the superiority and importance of one’s own group

StereotypingThe tendency to oversimplify and generalize about groups of people

Cultural distance The overall difference between two cultures’ basic characteristics such as language, level of economic development, and traditions and customs

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Improving CommunicationImproving Communication

Be more open-minded Develop empathy Listen actively Observe nonverbal

cues

Listening Skills

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Simplify the language Organize the writing Understand the audience

What is the direction of the communication ? Does the receiver have any expectations concerning

this communication? Is the communication formal or informal? Does the receiver have preferences for certain

channels of communication?

Sending Skills

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1. Study general principles that apply to all types of intercultural communication.

2. Learn about the fundamental characteristics of the other cultures with which you will be working.

3. For high-context cultures, learn as many details in advance about the target organization(s) and their specific individual representatives.

4. For high-context cultures, use at least a few words or phrases in the listener’s language.

5. For high-context cultures, be especially careful about body language and tone of voice.

6. For low-context cultures, organize written communications so that the major points are immediately and directly stated.

7. Study and respect communicators’ preference for greater degrees of formality, especially compared with the typical American approach of casual informality.


Adapted from Exhibit 14.10: Tips on Being a More Effective Cross-Cultural Communicator

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Gatekeepers Individuals at the communication interface between

separate organizations or different units within an organization

Increase formal communication Replace some face-to-face communication with

electronic communication Develop communication networks Create centralized office to manage communication

activities

Organization-Level

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Communication and Communication and NegotiationNegotiation

Negotiation Process of conferring to arrive at an

agreement between different parties, each with their own interests and preferences

Two types of negotiation activities Day-to-day activities of the managers

organizational unit Part of a formally appointed negotiating

team representing unit or organization

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Achieving Effective Achieving Effective NegotiationsNegotiations

Adapted from Exhibit 14.11: Improving Effectiveness of Negotiations

Less effective More effective

• Positions• People Involved• Maintaining/Increasing

Competition(Win/Lose Focus)

• Interests• Problem/Issue• Decreasing/Lessening

Competition(Collaborative Focus)

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Key Factors in Key Factors in Cross-National NegotiationsCross-National Negotiations

Three principal variables generally determine the outcome of negotiations People

Listening skills Orientation toward people High self-esteem Influence in the home organization

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U. S. Managers

Important characteristics Important characteristics Needed by NegotiatorsNeeded by Negotiators

Adapted from Exhibit 14.12: Important Characteristics Needed by Negotiators in Four Countries

Japanese Managers

Chinese Managers

(Taiwan) Brazilian Managers

1. Preparation and planning skill

2. Thinking under pressure

3. Judgment and intelligence

4. Verbal expressiveness

5. Product knowledge

6. Ability to perceive and exploit power

7. integrity

1. Dedication to job


3. Ability to win respect and confidence

4. Integrity

5. Listening skill

6. Broad perspective


1. Persistence and determination

2. Ability to win respect and confidence



5. Interesting



2. Thinking under pressure





7. Competitiveness

Source: J. L. Graham and Y. Sano, Smart Bargaining: Doing Business with the Japanese, 2nd ed. (New York: Harper Business, 1988).

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Key Factors in Key Factors in Cross-National NegotiationsCross-National Negotiations Three principal variables generally determine

the outcome of negotiations Situation

Location Physical arrangements Emphasis on speed and time Composition of the negotiating teams

Negotiation process

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Stages in the Stages in the Negotiation ProcessNegotiation Process

Planning and preparation Advance planning and

analysis Background research Gathering of relevant

information Planning of strategies and

tactics Setting objectives Predetermining possible

concessionsStage 1Planning and preparation

Adapted from Exhibit 14.13: The Five Stages in the Negotiating Process

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Relationship building between negotiation parties Developing trust Developing personal

rapport Establishing long-term

associationStage 2

Relationship building between negotiating parties

Stage 1Planning and preparation


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Information exchange Learning about the needs

and demands of the other set of negotiators

Acquiring and exchanging other information

Stage 3Information exchange

Stage 2Relationship building between

negotiating parties



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Persuasion attempts American managers treat

as the most important stage

Mixture of approaches Assertive and

straightforward Warnings or threats Calculated delays

Stage 4Persuasion attempts



negotiating parties



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Concessions/Agreement Permit each party to take

away something of value American managers tend

to have less leeway for concessions

Some use normative appeals such as “it’s your obligation”

Stage 5Concessions/Agreement

Stage 4Persuasion attempts



negotiating parties



Documents

PowerPoint slides by R. Dennis Middlemist Colorado State University Chapter 14 Communication and Negotiation Hitt Black Porter m a n a g e m e n t