CHAPTER ONE

INTRODUCTION

1.1 Background of the Study

All human interactions are form of communication. In this business world, nothing can be achieved without effectively communicating with employers, employees, clients, suppliers, and customers. If you look at the most successful business people in the world, you will see people who have mastered the art of communication.

Business all over the world today is very challenging. To stay profitable in the highly challenging and competitive global market economy all factors at production (i.e men, machine and materials), should be wisely managed. Among the factors of production, human resource constitutes the biggest challenge because unlike inputs, employee management demands skillful handling of thoughts, feelings and emotions to secure highest productivity. Effective organizational communication plays an important role in this challenge.

Communication has crucial impacts or among work groups in that organizational communication is a channel to flow information, resources, and even policies. “Organizational communication can be broadly defined as communication with   one   another   in   the   context   of   an   organization.

Effective communication in the contexts of business organization refers to the major action programs that are used by organization to achieve their mission and goals. The focus of business organizations is viability and profitability. The first requirement of the spirit of organization is high performance standards for the growth as well as for individuals in the organization.   

A successful organization is most often and efficient enterprise. Understanding of management strategy or organization policy and effectiveness is not as easy as some people believe. It requires proper evaluation or the position of an organization, whether the adopted strategy is working well and if not, why and how should we go about it?

Conclusively, in all human organization, the art of communication cannot be overemphasized; it is the means by which people interact and work with one another. Just like blood stream in people, communication represents the bloodstream of organization. This means that nothing can be achieved in an organization without effective communication. Communication skills are important in all human endavours, including business. Even though communication skills are so important to success in the workplace, there are many individuals who find that there is a limit to their communication skills and that they seen to have reached a stumbling block in their progress. They may sometimes struggle to convey their thoughts and ideals in an accurate manner, making it difficult to reach their full potential as a communicator, a manager, and a leader of others.

1.2 Statement of the Problem

Organizational communication research has mainly been conducted both in the business management field and in the communication field; however, researchers in the public administration field have provided little knowledge about organizational communication and its roles and effects. (Eunju, 2009).

Several studies emphasize that effective communication can enhance organizational outcomes (Garnelt, Marlowe, & Pandey, 2008; Pandey & Garnelt, 2006). Communication influence on the perception and opinions about persons, communities, organizations, governments, and even society. As a managerial tool, communication is frequently expected to share information with members, to coordinate activities, to reduce unnecessary managerial burdens and, rules and ultimately to improve organizational performance (Eunju, 2009). Little or no research has been done on the effect or relationship between effective communication and organizational performance therefore the need for this study to examine the symbiotic relationship between effective communication and organizational performance in manufacturing firms in Port Harcourt.

1.3 Objectives of the Study

The aim of this study is to examine the relationship between communication and organizational performance. In specific terms therefore, the study is aimed at:

1.       To examine the relationship between the information senders and organizational performance.

2.       To examine the relationship between the information channels and organizational performance.

3.       To examine the relationship between the medium of information and organizational performance.

1.4 Research Questions

For the execution of this job, the following research question will aid the understanding of this research work:

1.       Does the information sender influence organizational performance?

2.       Does the channel of information influence organizational performance?

3.       Is there any relationship between medium of information and organizational performance?

1.5 Statement of Hypothesis

The following research hypothesis will aid the conduct of this study:

HO1: There is no significant relationship between the information senders and organizational performance.

HO2: There is no significant relationship between the information channels and organizational performance.

HO3: There is no significant relationship between the medium of information and organizational performance.

1.6 Significance of the Study

          This study is important because, it will expose students, and other academicians to the concept and principles of effective communication and its effect on organizational performance. This study will also aid business managers and other corporate bodies to come to terms with effective communication influences and the best possible way to align themselves with the best interest of the organization. It will also be useful to other researchers and the general public at large.

1.7 Scope/Limitation of the Study

The study scope of this study contextually is to examine the relationship between effective communication and organizational performance. The study limits scope geographically to selected manufacturing firms in Port Harcourt, Rivers State.

The major limitation of the study is the short time frame the research lasted, coupled with the tight academic time table, which prevented a very comprehensive study. The fund available to the researcher was also limited and therefore the study was limited to a small portion of the survey population.

Another limitation is the difficulties, encountered by the researcher in obtaining all needed information and materials from the right source and compilation of data for the project.

1.8 Definition of Terms

CHANNEL

The channel is a means by which a message is conveyed.

COMMUNICATION

Communication as is a process that involves the transmission of message from a sender to the receiver.

DECODING

Decoding is a process that occurs at the reception level where impulses, figures and symbols are interpreted and translated into meaningful information.

NOISE

Noise is anything that hinders, disturbs, and interferes with communication whether from the side of sender, the message channel, or the receiver.

ORGANIZATIONAL PERFORMANCE

Organizational performance is a measure by how well a company meets the individual objectives of its business plan.

PROFITABILITY

Profitability is the state of yielding financial profit or gain. It is often measured by price to earnings ratio

RECEIVER

The receiver is the person(s) the message is targeted at.