If you ask employees what makes them work better, they might say flat hierarchies, supportive management, or even office culture. But what they’re really suggesting is efficient communication.
From friendly interactions and teamwork to regulated channels and formats—clear communication ensures that ideas and feedback are shared effectively, making everyone’s job easier and more impactful.
According to Grammarly’s The State of Business Communication report, 93% of business leaders believe their ability to work effectively hinges on the way people communicate around them.
Communications in an organization are either formal or informal. Both are important within contexts, but things get dicey when people conflate the two
In this article, we’ll discuss formal vs. informal communication, explain when to use either, and help you improve your overall communication skills within an organizational setting.
Formal vs. Informal Communication: Differences, Similarities, and Tips to Improve
Summarize this article for me pleaseUnderstanding Formal Communication
Most workspaces have official communication protocols that reinforce the company’s image and culture, which are designed to reduce errors and distractions in employee interactions.
Formal communication refers to a structured way of exchanging information through official channels. These conversations are monitored and trackable and follow a pre-defined hierarchy. Email chains, task requests, video conferences, whitepapers, project updates, and company-regulated chat channels are some prominent examples.
It’s completely practical and aims to formalize communication to share information as the company wants.
Types of formal communication
Depending on how the ideas are shared, formal communication can be of three types:
- Vertical: When formal communication takes place across organizational levels in a hierarchical chain. Superiors can talk to their subordinates (top-down), and subordinates can share ideas with their superiors (bottom-up)
- Lateral or Horizontal: When employees from different departments working at the same level communicate with each other. For example, product development team members engage in collaborative communication with their marketing colleagues to orchestrate a product launch
- Diagonal or Crosswise: This means that employees from different departments working at various levels can communicate diagonally. An example would be a product team lead talking to a sales development representative (SDR) to determine the feature requests to prioritize in the next sprint
Characteristics of formal communication
You can identify formal communication by identifying some distinct traits:
- Consistency around protocols and professional vocabulary
- Asynchronous and approval-based nature, often making it slow and laborious
- Written form of execution, which makes it detailed, task-oriented, and easily referenceable
- Focus on privacy, which makes formal communication an ideal option for a need-to-know basis approach to project confidentiality
Examples of formal communication
A good way to identify formal communication is to see whether it’s being officially documented. The supporting documents within the internal communication matrix may include
- email threads
- orders and inventory updates
- task requests
- asynchronous video communications and live webinars
Formal communication effectively smooths internal operations between departments, colleagues, and hierarchies.
Since this communication flow is all about systems and guidelines, a streamlined communication strategy can help you push information more efficiently. As an all-in-one productivity management platform, ClickUp focuses heavily on team communication and ways to make workspace interactions better.
For instance, the ClickUp Internal Communication Template is tailor-made for people who want to establish a strong company culture internally.
With this template, you can implement how information should be passed around, scale the communication touchpoints to keep up with complexities, and comply with various data privacy laws—all without starting from scratch.
Here’s how you can go about it:
- Set communication goals, tasks, and subtasks with ClickUp Goals and ClickUp Tasks, delegate tasks to stakeholders, and set timelines and deadlines with ClickUp Calendar
- Set up internal channels such as emails, chats, and meetings and prescribe thumb rules to contain information flow
- Modify custom statuses, fields, and views to sift through updates and monitor the content
This template is great for maintaining transparency across the board and helping employees be productive at work. It also serves as a centralized hub for keeping company-wide conversations, announcements, and communications-related documents in one place.
Advantages and disadvantages of formal communication
Formal communication has strengths and weaknesses. Understanding these pros and cons is crucial for knowing when to use official predefined channels.
Advantages of formal communication
Formal communication is an essential part of a high-functioning company because
- It fosters discipline and professionalism among workers
- It brings transparency and efficiency to conversations
- Since most of it is documented, it supports audits and data compliance
Disadvantages of formal communication
Having said that, the factors that make formal communication so effective also make it rigid.
- Such communication has little room for individuality as it prioritizes work over personal feelings and opinions
- The long-running threads maintained for the sake of regulations can eat up a lot of time
- It may appear cold and discourage employee bonding
The role of formal communication in organizations
It’s hard to imagine a company without a formal communication strategy. Adherence to these rules means that information is shared transparently, without distortion, and in ways that can be tracked for reference.
In organizations with complex internal hierarchies, it also establishes authority and fosters employee discipline.
Summarize this article for me pleaseUnderstanding Informal Communication
Not all conversations need to go through formal channels. Some personal and instantaneous conversations get the job done by saving time.
You must have heard of grapevine communication—the unofficial ways in which colleagues share information with each other.
Informal communication is the unofficial flow of information based on the social relationships shared by employees. It’s spontaneous, free-flowing and rapid. Verbal communication about tasks, helping out a colleague at work, or having stress-free chats in informal language during lunch break—anything that doesn’t follow company-regulated communication channels, is part of informal communication.
Types of informal communication
Informal communication doesn’t follow strict rules or structures, making it highly flexible and dynamic. It can take many forms, each serving different purposes and contexts within a workplace.
Here are its four main types:
- Single-strand chain: When a person says something to another person, and that person relays the same message to someone else, the chain continues. It’s the most natural type of informal communication
- Cluster chain: When someone confides in their trusted peer, and the peer shares the information with other people they trust. This type of conversion is based on trust but gets passed around between selected groups of people. An example would be the manager separately discussing client changes with the product team and the product team members discussing the same with the design team
- Gossip chain: The most common type of informal communication—gossip chain involves people talking to groups of people and those groups sharing the same with other groups of people. It’s the fastest way to disseminate information informally
- Probability chain: Sometimes, an employee can randomly pick a few colleagues to share information, and those colleagues continue the trend by randomly relaying the content to others. An example would be someone mentioning new HR policies to a colleague who sat at the same table at lunch
Characteristics of informal communication
Informal communication happens beyond emails and dashboards, and it has some key traits for easy identification:
- It’s instant, personal, and carefree
- As a synchronous mode of communication, it cuts down the time needed to go through the formal route, making employees more productive
- Informal communication is good for employee morale as they have friends to share feelings with
- Despite the comfort of informal talks, it might be inaccurate since the content is not documented, verified, or trackable
- Disgruntled employees often create communication challenges by spreading misinformation through informal channels
Examples of informal communication
Any informal conversation not required to be logged into the system is part of informal communication. This may include
- Verbal updates on tasks and projects
- Water cooler talks and hallway greetings
- Group lunch and company retreats
You might find colleagues talking informally about how they spent the weekend, the game they watched last night, or the new HR department policy.
Advantages and disadvantages of informal communication
Informal communication can be incredibly effective, but its success largely depends on the context in which it’s used. Understanding where informal communication excels and where it might fall short can help you leverage its strengths and mitigate its drawbacks.
Advantages of informal communication
Informal communication supplements the limitations of formal communication.
- It makes the office experience more natural and conversational
- It helps employees open up to their colleagues and creates bonds that help during teamwork
- Informal communication builds confidence and a sense of belonging—two key things you find in highly productive employees.
Disadvantages of informal communication
However, informal communication is not without its flaws.
- It’s unregulated and can cause misinformation to spread fast
- If employees are too invested in small talk and gossip, that may negatively impact team culture and productivity
- Leadership cannot track informal convos, so there is no accountability
A lot of flaws in informal communication stem from a lack of structure in internal communication, as updates get passed around verbally. One of the best ways to mitigate that is to use a project plan communication template, such as the ClickUp Employee Communication Template. It’s a simple yet comprehensive way to disseminate information so the relevant people stay updated with authentic details.
As you might have guessed, HR teams find this one particularly helpful.
Here’s how you can make the best use of it:
- Plan and implement your communication strategy using the Communication Plan Strategy View
- Use the ‘Getting Started Guide’ view to explain the communication matrix and ground rules to avoid miscommunication
- Use the ‘Communication Updates’ view to track old and upcoming updates
- Reduce the need for informal communication by monitoring interactions in ClickUp Dashboards
- Create an easy-to-follow visual layout by adding custom statuses to monitor the progress of tasks and subtasks within your communication plan
This template merges project management with employee management for seamless communication.
The role of informal communication in organizations
At its best, informal communication builds connections with other employees. It breaks down hierarchies, facilitates the free flow of information, and fosters empathy. A gentle pat on the back for good work, helping a junior solve an issue, or lending an ear to make peers feel heard are gestures that are not entirely possible in a formal setting.
The Hawthorne Studies, conducted by Elton Mayo, demonstrated that informal communication affects the development and reinforcement of performance standards and member expectations within workgroups. This suggests that informal interactions can shape organizational culture and norms more effectively than formal communication
Summarize this article for me pleaseFormal vs. Informal Communication
Workplaces cannot choose a default channel over the other as both types of communication are important in contexts. Let’s understand where they differ and how to switch between them.
Key differences between formal and informal communication
Here is an overview of the key differences between formal and informal communication:
| Formal communication | Informal communication |
| It’s regulated, professional, and hierarchical | It’s flexible, non-regulated, and mimics the spread of grapevine |
| It’s asynchronous and approval-based, making it slow | It’s synchronous, making it rapid |
| Formal communication is mostly written | Informal communication is gesture-based, and verbal communication |
| It maintains data accuracy and secrecy, making it more reliable | It may not be fairly accurate or secretive as information gaps create rumors and half-truths |
| Aims to address official goals and tasks | Aims to improve employee bonding and team culture |
Similarities between formal and informal communication
Despite their markedly different approaches, formal and informal communication work together to establish a positive company culture.
- They give people the freedom to share ideas and contexts through various channels and formats
- Both formal and informal communication help in decision-making and productivity
- People absorb information faster when you combine different channels for dissemination
Balancing formal and informal communication in internal settings
The secret to a highly productive workplace is balancing formal and informal communications. If you’re struggling to understand when to use which format, look for company policies on official communication. Formal communication strategies are often well-documented by HR and team leads. You’ll find approved channels, timelines, processes, and rules in them.
As a general rule of thumb, if something is strictly work-related, requires others to know, and is confidential, it goes through the formal channel.
The key difference between formal and informal communication channels is in your headspace. You should use informal communication when you’re taking a break or quickly catching up with a coworker. But remember not to overshare through informal channels or act on information you cannot verify. By observing when and how others use formal and informal communication, you can learn to balance them.
Examples where formal and informal communication intertwine
Imagine Sarah, a project manager, juggling both formal and informal communication in her daily work. She starts her day with a structured team meeting, following a strict agenda and documenting action items. Later, she catches Bob from marketing in the break room, and they brainstorm a brilliant campaign idea over coffee. This blend of formal structure and casual interaction keeps her team aligned while sparking innovation.
Meanwhile, Alex, a new hire, experiences the power of mixed communication styles firsthand. He attends a formal onboarding session, digesting company policies and procedures. But it’s the informal lunch with his mentor, Javier, where he really learns the unwritten rules of office culture. As Alex navigates his first performance review—a formal process—he’s grateful for the informal feedback Javier has been providing all along, helping him feel prepared and supported in his new role.
Summarize this article for me pleaseTools for Effective Communication
Establishing communication guidelines is difficult, and it’s more difficult to maintain them over time. As the company grows in terms of operations, workforce, partners, and clients, little gaps start to appear that lead to miscommunication, false information, and lack of clarity.
Using an internal communication tool like ClickUp will simplify information flow. Here’s how:
- Use ClickUp Docs to strategize communication plans, invite people to collaborate on the communication wiki, add relevant links and files, and use the rich text editor for better navigation
- Run through content creation and distribution by using ClickUp Brain. Ask the AI tool to analyze formal communication plans and highlight areas for improvement, create content outlines, and even ask it to suggest the next steps. It’s your AI assistant that lives in your ClickUp space, ready to serve you relevant content
- Use ClickUp Chat to bring all the real-time conversations in one place. You can assign tasks, share project-related content, create individual chat views, and manage access privileges. This greatly improves the speed of formal communication
- For conversations where text messages don’t capture the complete context, try ClickUp Clips. Record your screen and walk your team through instructions, training modules, software features, marketing plans, project workflows, feedback, and more, with supporting voiceovers
- Switch between Kanban board, list, table, and Gantt views to help stakeholders understand the work in progress and how to communicate with other stakeholders
- Visualize strategic initiatives with ClickUp Whiteboards so stakeholders get the correct information from the beginning. Add ideas, arrange them with a drag-and-drop feature, and turn them into individual tasks. It’s easy to follow and reduces the time wasted on email chains
Instead of starting from scratch, try the ClickUp Communication Plan Template. You can further modify and develop this fully customizable document to suit your use cases.
For example, suppose the sales manager is implementing a program for a new demographic. In that case, they can explain to SDRs how to communicate, follow protocols, and update deal status. This way, SDRs will know what entails formal communications and what they can discuss informally.
With this documented plan of action, you can
- Create a framework in ClickUp Docs for teams to follow a consistent communication strategy with
- Establish roles and stakeholders through ClickUp Tasks so people know what to discuss and with whom
- Define formal communication channels and edit custom views and fields for better visibility
- Use ClickUp Milestones to track and measure performance
The best part about the template is that companies can use it to organize internal communication and fix their messaging to customers and vendors.
Summarize this article for me pleaseImprove Internal Communication With ClickUp
Honest, transparent, and real-time conversions build corporate culture and help employees become more productive. Both formal and informal channels encourage employees to be at their productive best.
As an enterprise collaboration tool, ClickUp aids managers and employees in communicating efficiently without switching between too many platforms. It has a series of digital tools made for on-the-go communications.
Sign up to ClickUp today and strengthen your internal communication.
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