The Problems Of Ineffective Communication In An Organization

Project and Seminar Material for Secretarial Administration

The Problems Of Ineffective Communication In An Organization


This study investigates the problems of ineffective communication in the banking industries. It is a case study conducted in only one organization, the purpose of the study was to identify the negative aspect that stress cause and the effect in the organization. Books relating to the topic were consulted to give theoretical frame work to the study. The population and the sample size of the study were 75. This instrument used for the collection of data was the questionnaires and the researcher’s observations.The questionnaires were returned for the analysis, 5 research questions were formulated to generate answers. The study revealed that human feelings and biases can cause communication ineffective in the banking industry, lack of safe keeping of information by workers in the industry cause breakdown in communication. Finally, it was recommended that management should make sure that relevant information are neither delayed nor held from employees and the customers, as theses can cause conflict, gossips, rumors and half truth and that information should be properly encoded, considering the cultural differences of the target audience or recipient.

Table Of Contents

Preliminary Page(s)

  • Title
  • Declaration
  • Approval
  • Dedication
  • Acknowledgement
  • Abstract
  • Table of Content

Chapter One


  • 1.1 Background of the Study
  • 1.2 Statement of the Problem
  • 1.3 Purpose of the Study
  • 1.4 Research Questions
  • 1.5 Significance of the Study
  • 1.6 Scope of the Study
  • 1.7 Limitation of the Study
  • 1.8 Definition of Terms

Chapter Two

Literature Review

  • 2.0 Introduction
  • 2.1 Concept of Communication
  • 2.2 Importance of Communication
  • 2.3 Types of Communication
  • 2.4 Barriers of Communication
  • 2.5 Strategies of Minimizing Incidences of Communication Breakdown
  • 2.6 Problemss of Communication Breakdown
  • 2.7 Summary of Chapter Two

Chapter Three

Research Methodology

  • 3.0 Introduction
  • 3.1 Area of Study
  • 3.2 Research design
  • 3.3 Population of the study
  • 3.4 Sample and Sampling Techniques
    3.5 Instrument for data collection
  • 3.6 Administration of the instrument
  • 3.7 Methods of data analysis and presentation

Chapter Four

Data Analysis And Interpretation

  • 4.0 Introduction
  • 4.1 Data analysis
  • 4.3 Major findings
  • 4.4 Discussion of the findings

Chapter Five

Summary, Conclusion And Recommendation

  • 5.0 Introduction
  • 5.1 Summary
  • 5.2 Conclusion
  • 5.3 Recommendations
  • 5.4 Area for Further Studies
  • References

Chapter One


1.1 Background of the Study

Communication is indispensable in all sphere of human and business endeavours. It is the life wire and the key to success of all business organizations.Communication involves everybody, it is the pivot upon which the existence of human and business organizations revolves, and based on this, the issue of communication has developed into a major area of study and formidable social force.

Banking Industries (organizations) cannot operate without communication. Communication is the life source of every industry, because industries involve people. People cannot interact with each other without communication. In the absence of communication, everything would grind to a halt.

According to James et’al (2009), communication is a means by which a thought is transferred from one person to another. It is also the process by which the person (group) share and impact information to another or group clearly understand by one person and another.

Velenguela (2002), opines communication as any act by which one person gives to or receives from another person’s information about that person’s needs, desire, perceptions, knowledge or effective states. Communication may be intentional or unintentional, may involve conventional or unconventional signals, may take linguistic or non-linguistic forms and may occur through spoken or other modes.

Wikipedia (2009) defines communication as a process of transferring information from one entity to another. Communication processes are sign mediated interactions between at least two agents which share a repertoire of signs and semiotic rules “Communication is commonly defined as the imparting or interchange of thoughts”, opinions, or information by speech, writing or signs”. Communication can be perceived as a two-way process in which there is an exchange and progression of thoughts, feelings or ideas towards a mutually accepted goal or direction.

He further explains communication as a process by which information is enclosed in a package and is distracted and imported by the sender to a receiver via a channel/medium. The receiver then decodes the message and gives the sender a feedback. Communication requires that all parties have an area of communication community.
According to Webster (2009), defines communication as an act or instance of transmitting information assign and convey meaning in an attempt to create and share understanding. This process requires a vast repertoire of skills in interpersonal processing, listening, observing, speaking, questioning, analyzing and cooperation occur.

Communication can take various forms, but all forms involve the transfer of information from one party to the other. In order for the transfer of information to be qualify as a communication, the recipient must understand the meaning of the information transferred. If the recipient does not understand the meaning of the information conveyed, communication has not taken place.

Workers in the Banking industry would not know the industry objectives, so they would not strive to achieve the industry objectives and also would not know what their roles and responsibility are; so they will not be able to carryout their jobs and would not be able to inform workers of changes. The industry would not be aware of the competitors’ activities and a lot of other things without communication.

Communication is one of the basic functions of management in any banking industry and its importance can hardly be overemphasized. It is a process of transmitting, information, ideas, thought, opinions and plans between various parts of the industry.

It is not possible to have human relation without communication. However, good and effective communication is required not only for good and successful business.

Effective Communication is required at various levels and for various aspects in the industry such as manager employee relations. Effective communication is of information and decision i.e. an essential component for management employees unless they are communicated effectively of what he wants to be done, he should also be sure of some basic facts such as how to communicate and what results can be expected from that communication. Most of management problems arise because of lack of effective communication. Chances of misunderstanding and misrepresentation can be minimized with proper communication system.

Ineffective communication can be caused by incomplete messages, individual difference. As human beings, each person is uniquely different from any other person. Therefore, people may interpret want differently, perceive realities differently, have variable opinions, attitudes and emotions towards people, things and events differently they may have different developmental experiences, intelligence, cultural and political beliefs, all of which may tend to affect the way they conceive or perceive a message.

An Industry: Is a group of productive organizations that produce or supply goods, service or sources of income.
Wikipedia (2009), sees industry from so many aspect such as:

  • Industry as a commercial production and sale of goods
  • As a specific branch of manufacture and trade.
The Banking Industry

Answer bag (2009) sees banking industry as a sector of an economy used to cover any form of economic activity, such as “Banking industry” and hence course a very broad sweep. More specifically, industry is divided into:
Primary Industry – The acquisition of naturally accruing resource like coal and fish.

Secondary Industry – The manufacturing of goods, tertiary industry which serves the public as well as primary and secondary industry includes distribution, transport, warehousing and retailing.

1.2 Statement of the Problem

Inefficient communication constitutes a major problem to any organization. It goes a long way in preventing such organization from achieving the set objectives. Irrespective of the different perspective one may look at it, be it from the angle of the employee or the employer, it is always believed that inefficient communication is unfavourable towards the realization of the organizational goals.

Some of the problems associated with ineffective communication in a business organization using my case study as an example are,

Lack of proper channels of communication throughout which information is obtained. This explains why there still exists situations were minor problems which could be solved by simple dialogue between the workers and the management most times lead into major problems which cause some set back in the company.

Secondly, the organization is not willing to carry its employees along, through sharing of information on management decisions. This gave way for workers to receive and give information from the grave vine rumors, and rumor being unhealthy development brings about negative opinion and also leads to unfavorable reaction to the organizational problems. The business organizations I am researching on, being a manufacturing and service company, often run out of stock of raw materials, this explains why productions is not carried out as scheduled, no other genuine reason could be given for this lack of raw materials but inefficient communication which breeds negative development in an organization. And as we all know disrupted production does not enhance regular payment of workers salaries and motivation and when workers are hungry, they go unhealthy about the organization who does not truly see communication as vital aspect of communication gap is bound to suffer.

1.3 Purpose of the Study

The general purpose of the study is to investigate the problems of ineffective communication in the banking industry. Specifically, the purpose of the study are:

  1. To find out the causes of communication breakdown between managers and subordinates.
  2. To find out why subordinates fail to understand messages communicated to them by their managers and subordinates.
  3. To find out why managers use ambiguous languages or words to communicate with their subordinates.
  4. To find out the best way to communicate easily in the banking industry.
  5. To establish cordial relationship between managers and subordinates.

1.4 Research Questions

  1. What are the causes of communication breakdown between managers and subordinates in the banking industry?
  2. Why do subordinates fail to understand messages communicated by managers?
  3. What are the effects of ineffective communication in the banking industry?
  4. What are the best ways to communicate easily within the banking industry?
  5. How can cordial relationship be established between managers and subordinates?

1.5 Significance of the Study

This research work is aimed at using the most effective means of communication and its impact on all aspects of human and business activities. The result of this research work will also help business organizations know the strategies and how to implement it to enhance effective communication in organization, and also how to reduce the barriers to effective communication.

Banking Industry Staff

The research work will be of benefit to banking staffs because; it will help them to contribute to the achievement of their organizational goals and objectives.

Banking Industry

The work will be of benefit to the banking industry because it brings about utilization, improvement and retention of the various organizational manpower.


The study will benefit students on the knowledge of effective communication for academic use and for use in their prospective working places.

Future Researchers

This research will be of benefit to future researchers as a source of information for literature review (secondary data).

1.6 Scope of the Study

The researcher intends to cover concept of communication in industry, role of communication, types of communication, cause of communication breakdown, highlight the barriers to communication in banking industry with particular emphasis on strategies of how to minimize the incidences of communication breakdown in an industry.

1.7 Limitation of the Study

Normally, in carrying out any research work which involved information gathering from primary source (use of questionnaires, personal observation, interview etc). One is bound to face a lot of problems which limit the achievement of the objectives. Therefore, it becomes very difficult for one to cover the whole range of the problem due to the following reason:

  1. There is dearth of financial funds to carryout a comprehensive research.
  2. There is a problem of not having free access to some vital documents which will help to facilitate the research work as a result of confidential classification status.
  3. The study is limited by time. The time allocated for the collection of data from the industry to collide with the lecturer’s hours.
  4. It will be very difficult to be able to speak to the highly placed personalities in order to make enquiry.

1.8 Definition of Terms


Communication is defined as the process of exchanging messages between two parities with the aim of having such messages understood and appropriate action taken. In another way round, communication is the exchange of information verbally or written.


They are processed data or result from logical manipulation of data which allows decision making.


They are those facts and figures about people, machines objectives and places etc, which are unprocessed.


Is defined as a place where valuable things are kept for save custody.


Industry is the combination of firms producing similar goods and services.


Are referred to as those on the top ranking of the management i.e. the heads.


Are referred to as those junior staff in an industry.


Is referred to that person who initiates an idea shared with people.


Referred to that person receiving the message, encode it to understand it.


The process of transcribing the message into symbolic form e.g. through writing, picture and speech.


The works known or regulatory performed by a performer or company.


To do with meaning, the meaning of words.

Chapter Five

Summary, Conclusion and Recommendation

5.0 Introduction

This chapter presents a summary of the study discussion of findings on which conclusion is drawn and recommendations made. Based on the data collected and analyzed. The chapter also gives or suggests areas of further studies.

5.1 Summary

The study generally examines the “problems of ineffective communication in the banking industry”. Related literatures are reviewed to provide a theoretical base covering. Concept of communication. Types of communication, barriers to effective communication. Importance of communication strategies for minimizing incidences of communication. Breakdown in the banking industry.

Five research questions were raised to guide the study while a total population of 75 was studied. A set of questionnaire was used as instrument for data collection, while the mean score statistical techniques were used for data analysis. Findings from analysis revealed that inattention, information gathering, bipolar thinking, emotion, information overhead etc. are various causes of ineffective communication. It was also observed that for communication to be effective, communicators should make clarity and simplicity their goal, avoid or minimize the use of big, ambiguous words, slang and idioms. Communicators are also advised to communication when emotion laden i.e. when angry repressed as this can affect them negatively.

5.2 Conclusion

Communication plays a vital role in the growth and survival of any society or organization. One important skill hat effective leaders and manager is the ability to communicate their version. Inability to communicate our resolve and reasoning means that we cannot persuade other people to act. No matter how great the ideas are, it will be useless, if it is not transmitted to and understood by others.

No business or bank can survive today’s complex and competitive environment if it can not get its messages across to customers or if customers have to struggle to do decipher their message. Within the organization, failure will result if employees receive unclear, confusing or conflicting messages and instructions. So, the importance of communication cannot be overemphasized because it is what makes every department in any industry, organization to work effectively. It is upon it that organizations are built.

It is important to know that the success of any organization or industry largely depends on effective communication and also that the parties involved should be capable of maintaining good communication network which will keep to establish good rapport and bring undersigning among them accordingly and consequently achieve organization’s goals and objectives.

5.3 Recommendations

Based on the findings made and conclusion drawn from relevant information gathered and analyzed, the following are hereby recommended;

  1. Management should make sure that relevant information is neither delayed nor held from employees and customers as these can cause conflict, gossips, rumors and lack truths.
  2. Information should be properly recorded considering the cultural differences of the target audience or recipients.
  3. The use of big, ambiguous words, slang and idioms should be avoided or at least minimized for effectiveness.
  4. Management should ensure that the channels of communications are open and free for both managers and subordinates to allow the free flow of communication.
  5. Communication should make clarity and simplicity their goal and not unnecessarily showcase their linguistic ability when communicating.
  6. Finally communicators should fashion message to ensure that it says what they mean and also take those differences into account.

5.4 Area for Further Studies

In the course of this study, the researcher covered areas that had to do with problems of communication in the baking industry, but left some areas uncovered.

These areas are as follows:

  1. The use of modern communication equipment to achieve effective communication in an industry.
  2. Written communication is the best means to achieve effective communication
  3. Effective communication
  4. Replication of this.

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