What is communication?

First of all, let us define communication. According to Dictionary.com, the word “communication” is defined as the imparting or interchange of thoughts, opinions, or information by speech, writing, or signs. However, do you think that communication would be more of an “interchange” instead of an “imparting”? In this case, is sending an e-mail message or posting a notice a form of communication? Is holding an “informative” meeting a form of communication? The answer: no. These are mere forms of notification. Why? Let us take a look at the following model which illustrates the Communication Cycle.

Effective communication entails a sender to transmit a clear message for a recipient to understand and not just be heard. Upon receiving the message, the intended recipient would be able to acknowledge the message and/or provide feedback if need be back to the sender. Nonetheless, if you agree with me on this specific definition, how many of us do practice effective communication?

Sometimes? All the time? None at all? But how important is communication in an organization? This next case study will demonstrate the significance of organizational communication.

Case Study: The Re-birth of Continental Airlines

The following details the profile of Continental Airlines, one of the best airline companies in America and the world currently.

The following details the profile of Continental Airlines, one of the best airline companies in America and the world currently, in 1994.

During these trying times, Continental Airlines was undoubtedly THE worst airline in the whole of America. With abysmal morale, non-existent cooperation among employees and a barrel full of lies from the management, the company was in total chaos. As then CEO, Gordon Bethune, once remarked that it was “a company with a lousy product, angry employees, low wages, and a history of ineffective management.”

Faced with an organization in dire straits, Bethune knew he had to radically change the company culture and communication was the key to Continental’s survival and revival. He knew that positive, healthy interaction was vital in turning things around and interestingly, the first thing that Bethune did was to open up the executive offices to all employees.

In the past, the twentieth-storey office for Continental’s top management in Houston was like a fortress. Its doors were shut from prying eyes as surveillance cameras prowled the place like tigers searching for a prey. No one could enter this area without a security pass and this was not exactly the most inviting place to be for any employee. However, in a symbolic gesture, Bethune literally opened the once-locked doors to the entire company. Thereafter, open houses were organized for employees in order for employee-management barriers to be broken and thus allow trust to, once again, be built.

Nonetheless, the road to restoration was not always a smooth-riding one. However, Continental’s leaders kept up with their regular meetings with their people, as views were aired and shared. Honesty and patience were a priority as the management revealed everything to its employees, good news or bad. Bulletin boards were also put up in every employee area that displayed the company’s ratings for the previous year, as assessed by the Department of Transportation; and daily company news updates. Additional forms of communication were also put in place, including monthly and quarterly employee newsletter which were mailed to each employee’s house and even 800-number hotlines for any employee to enquire about anything from anywhere in the world. Bethune’s communication policy was simple: “Unless it’s dangerous and illegal for us to share it, we share it.”

As weeks become months, slowly but gradually, Continental finally began to function as a team. In the year that Bethune took over the reins of CEO, 1994, the company lost US$204 million. By the end of the next year, Continental posted a profit of US$202 million. Subsequently, for the next half a decade, Continental posted twenty-four consecutive profitable quarters in a time when their competitors struggled to remain afloat.

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