Indian industry witnessed important changes during liberalization, privatization and globalization. Mergers, acquisitions, entering international markets and competing at the global level, brought about many changes in the Indian industry. One of the visible effects is the dramatic change in workforce composition. This apart the system of hierarchy which is quite strong in Indian organizations often goes ill together with collaborative and team based working. Emerging technologies such as Internet, Intranet, voice mail, faxes, pagers, and other wireless devices have also impacted the communication processes in organizations substantially. Communication processes within an organization are vital for achieving overall effectiveness. Multifarious pressures on the industry demand communication needs to be redefined including which in turn require changing mindset of the individuals working in the organization. Communication links different areas of organization, they are relevant at all levels, and affect employees at all levels working in any capacity. Communication facilitates execution of basic management functions, namely, planning, organizing, directing (leading) and control. There can be no effective management if there is no effective means of communication. Organizations need to exercise management control by ensuring transparency, trust, and free flow communication across organizations. The paper reports results of a study undertaken to analyze perceived effectiveness of organizational communication at three levels in six automotive firm located in Punjab and Haryana. Study covered obtaining data from 538 management personnel cutting across junior, middle, and top levels. It was found that personnel at three management levels, namely, junior, middle and top levels in the automotive industry perceived variation in the effectiveness of downward, upward, horizontal and overall communication flow. However, vertical and lateral communication were perceived to be more important for organizational success which are characterized by accuracy, timeliness, precision and clarity to subordinates, constructive feedback, use of different modes of communication, repetition of important messages, encouragement for unconstrained flow of communication, building trust across the departments, openness in communication, constructive confrontation, and full expression, etc. The paper backed by data identifies some key factors that act barriers to both vertical as well as lateral communication.
Vertical communication, horizontal communication, downward communication, upward communication