Management Communication
A CASE-ANALYSIS APPROACH
F I F T H E D I T I O N
Management Communication
A CASE-ANALYSIS APPROACH
James S. O’Rourke, IV Teaching Professor of Management
Arthur F. and Mary J. O’Neil Director The Eugene D. Fanning Center for Business Communication
Mendoza College of Business University of Notre Dame
Prentice Hall Boston Columbus Indianapolis New York San Francisco Upper Saddle River
Amsterdam Cape Town Dubai London Madrid Milan Munich Paris Montreal Toronto Delhi Mexico Sao Paulo Sydney Hong Kong Seoul Singapore Taipei Tokyo
Library of Congress Cataloging-in-Publication Data O'Rourke, James S Management communication : a case-analysis approach / James S. O'Rourke. -- 5th ed. p. cm. Includes bibliographical references and index. ISBN-13: 978-0-13-267140-8 (alk. paper) ISBN-10: 0-13-267140-9 (alk. paper) 1. Communication in management. 2. Communication in management--Case studies. I. Title. HD30.3.O766 2013 658.4'5--dc23 2011033216 Editorial Director: Sally Yagan Acquisitions Editor: James Heine Editorial Project Manager: Karin Williams Editorial Assistant: Ashlee Bradbury Director of Marketing: Maggie Moylan Senior Marketing Manager: Nikki Jones Marketing Assistant: Ian Gold Senior Managing Editor: Judy Leale Production Project Manager: Debbie Ryan Art Director: Jayne Conte Cover Designer: Suzanne Behnke Composition: Integra Software Services, Pvt.Ltd. Printer/Binder: Courier/Westford Cover Printer: Lehigh-Phoenix Color/Hagerstown Text Font: Times New Roman, Arial
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To: Pam, Colleen, Molly, and Kathleen. And to Jay, Cianan, and Ty. Your inspiration, patience, and support have been indispensable.
Thank you for making this possible. To my colleagues: Sandra, Sondra, and Liddy. You are among
many who have encouraged me, corrected me, kept me honest, and held me accountable for my ideas. And to Andrea and Judy:
Teaching and writing are so much easier with your help. And, of course, to my friends in MCA and the Arthur Page Society:
Thank you for the support, counsel, and good ideas. My life is richer for having shared your company.
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CONTENTS
Preface xv
Chapter 1 Management Communication in Transition 1 What Do Managers Do All Day? 2 The Roles Managers Play 3 Major Characteristics of the Manager’s Job 5 What Varies in a Manager’s Job? The Emphasis 6 Management Skills Required for the Twenty-First
Century 6 Talk Is the Work 7 The Major Channels of Management Communication
Are Talking and Listening 8 The Role of Writing 8 Communication Is Invention 9 Information Is Socially Constructed 10 Your Greatest Challenge 10 Your Task as a Professional 11 For Further Reading 11 Endnotes 11 CASE 1-1 Odwalla, Inc. (A) 13 CASE 1-2 Great West Casualty v. Estate
of G. Witherspoon (A) 17 CASE 1-3 Domino's "Special" Delivery:
Going Viral Through Social Media 19
Chapter 2 Communication and Strategy 26 Defining Communication 26 Elements of Communication 27 Principles of Communication 27 Levels of Communication 28 Barriers to Communication 29 Communicating Strategically 29 Successful Strategic Communication 30 Why Communicating as a Manager Is Different 32 Crisis Communication 33 For Further Reading 36
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Endnotes 37 CASE 2-1 Starbucks Coffee Company: Can Customers Breastfeed in a Coffee
Shop? 37 CASE 2-2 Taco Bell Corporation: Public Perception
and Brand Protection 43
Chapter 3 Communication Ethics 50 The Ethical Conduct of Employers 52 Defining Business Ethics 52 Three Levels of Inquiry 53 Three Views of Decision Making 54 An Integrated Approach 55 The Nature of Moral Judgments 55 Distinguishing Characteristics of Moral Principles 56 Four Resources for Decision Making 57 Making Moral Judgments 58 Applying Ethical Standards to Management
Communication 60 Statements of Ethical Principles 60 The “Front Page” Test 63 For Further Reading 64 Endnotes 64 CASE 3-1 Excel Industries (A) 66 CASE 3-2 A Collection Scandal at Sears, Roebuck &
Company 69 CASE 3-3 The Tiger Woods Foundation:
When Values and Behavior Collide 72 CASE 3-4 Google's New Strategy in China:
Principled Philosophy or Business Savvy? 79
Chapter 4 Speaking 88 Why Speak? 89 How to Prepare a Successful Management
Speech 90 Develop a Strategy 90 Get to Know Your Audience 90 Determine Your Reason for Speaking 92 Learn What You Can About the Occasion 93 Know What Makes People Listen 93
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Understand the Questions Listeners Bring to Any Listening Situation 94
Recognize Common Obstacles to Successful Communication 95
Support Your Ideas with Credible Evidence 96 Organize Your Thoughts 97 Keep Your Audience Interested 100 Select a Delivery Approach 102 Develop Your Visual Support 103 Rehearse Your Speech 104 Develop Confidence in Your Message and in
Yourself 105 Deliver Your Message 106 For Further Reading 107 Endnotes 107 CASE 4-1 A Last Minute Change at Old Dominion
Trust 108 CASE 4-2 Preparing to Speak at Staples, Inc. 110
Chapter 5 Writing 112 An Introduction to Good Business Writing 114 Fifteen Ways to Become a Better Business Writer 114 Writing a Business Memo 116 The Six Communication Strategies 116 Writing an Overview Paragraph 116 Sample Overviews 117 The Informative Memo 118 The Persuasive Memo 118 Standard Formats for Memos 119 Meeting and Conference Reports 120 Project Lists 120 Make Your Memos Inviting and Attractive 121 Editing Your Memos 121 Writing Good Business Letters 122 When You Are Required to Explain Something 123 When You Are Required to Apologize 124 A Few Words About Style 124 Make Your Writing Efficient 124 Speak When You Write 126
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How to Make Passive Verbs Active 127 Make Your Bottom Line Your Top Line 128 How to Encourage and Develop Good Writers 128 For Further Reading 129 Endnotes 130 CASE 5-1 Cypress Semiconductor Corporation 130 CASE 5-2 Carnival Cruise Lines:
Fire Aboard a Stranded Cruise Ship 137 CASE 5-3 AntennaGate: Apple's Loss of Signal (A) 146
Chapter 6 Persuasion 154 The Human Belief System 155 Two Schools of Thought 155 The Objectives of Persuasion 158 Outcomes of the Attitudinal Formation Process 159 The Science of Persuasion 159 Successful Attempts at Persuasion 160 Should You Use a One- or Two-Sided Argument? 167 Managing Heads and Hearts to Change Behavioral Habits 169 Being Persuasive 170 Endnotes 171 CASE 6-1 The United States Olympic Committee:
Persuading Business to Participate in the Olympic Movement 172
CASE 6-2 An Invitation to Wellness at Whirlpool Corporation 175
CASE 6-3 Kraft Foods, Inc.: The Cost of Advertising on Children’s Waistlines 176
Chapter 7 Technology 182 Life in the Digital Age 182 Communicating Digitally 183 Electronic Mail 184 Privacy and Workplace Monitoring 188 The Internet and Online Behavior 193 Text Messaging 193 Social Media 194 Etiquette and Office Electronics 195 Working Virtually 197
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Teleconferencing 199 For Further Reading 202 Endnotes 202 CASE 7-1 Cerner Corporation: A Stinging Office Memo
Boomerangs 205 CASE 7-2 Johnson & Johnson's Strategy with Motrin:
The Growing Pains of Social Media 209 CASE 7-3 Facebook Beacon (A): Cool Feature or an Invasion
of Privacy? 215
Chapter 8 Listening and Feedback 221 An Essential Skill 221 Why Listen? 222 The Benefits of Better Listening 223 The Role of Ineffective Listening Habits 224 An Inventory of Poor Listening Habits 224 Developing Good Listening Habits 227 The Five Essential Skills of Active Listening 228 A System for Improving Your Listening Habits 229 Giving and Receiving Feedback 230 Guidelines for Constructive Feedback 230 Knowing When Not to Give Feedback 232 Knowing How to Give Effective Feedback 232 Knowing How to Receive Feedback 235 For Further Reading 236 Endnotes 236 CASE 8-1(A) Earl’s Family Restaurants: The Role of the Regional Sales
Manager 237 CASE 8-1(B) Earl’s Family Restaurants: The Role of the Chief
Buyer 239 CASE 8-1(C) Earl’s Family Restaurants: The Role of the
Observer 241 CASE 8-2(A) The Kroger Company: The Role of the Store
Manager 243 CASE 8-2(B) The Kroger Company: The Role of the Pepsi-Cola
Sales Manager 245 CASE 8-2(C) The Kroger Company: The Role of the Instructional
Facilitator 246 CASE 8-3 Three Feedback Exercises 248
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Chapter 9 Nonverbal Communication 250 A Few Basic Considerations 251 Nonverbal Categories 251 The Nonverbal Process 252 Reading and Misreading Nonverbal Cues 252 Functions of Nonverbal Communication 253 Principles of Nonverbal Communication 254 Dimensions of the Nonverbal Code 255 The Communication Environment 255 Body Movement 255 Eye Contact 256 A Communicator’s Physical Appearance 256 Artifacts 257 Touch 257 Paralanguage 258 Space 259 Time 261 Color 262 Smell 263 Taste 264 Sound 264 Silence 264 For Further Reading 267 Endnotes 267 CASE 9-1 Olive Garden Restaurants Division: General
Mills Corporation 269 CASE 9-2 Waukegan Materials, Inc. 271
Chapter 10 Intercultural Communication 273 Intercultural Challenges at Home 273 Cultural Challenges Abroad 275 Business and Culture 277 Definitions of Culture 277 Some Principles of Culture 278 Functions of Culture 281 Ethnocentrism 281 Cross-Cultural Communication Skills 282 For Further Reading 282
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Endnotes 283 CASE 10-1 Oak Brook Medical Systems, Inc. 284 CASE 10-2 LaJolla Software, Inc. 286
Chapter 11 Managing Conflict 289 A Definition of Conflict 291 Conflict in Organizations 291 Sources of Conflict in Organizations 292 Sensing Conflict 292 The Benefits of Dealing with Conflict 294 Styles of Conflict Management 295 So, What Should You Do? 296 What If You’re the Problem? 298 For Further Reading 299 Endnotes 300 CASE 11-1 Hayward Healthcare Systems, Inc. 301 CASE 11-2 Dixie Industries, Inc. 303 CASE 11-3 Hershey Foods: It's Time to Kiss and Make Up 307
Chapter 12 Business Meetings That Work 316 What’s the Motivation for Meeting? 317 So, Why Meet? 318 What Is a Business Meeting? 318 When Should I Call a Meeting? 319 When Should I Not Call a Meeting? 319 What Should I Consider as I Plan for a Meeting? 320 How Do I Prepare for a Successful Meeting? 321 What Form or Meeting Style Will Work Best? 323 How Do I Keep a Meeting on Track? 324 What Should I Listen for? 325 What Should I Look for? 325 What Should I Write Down? 326 How Can I Make My Meetings More Productive? 327 Can Business Meetings Ever Improve? 328 For Further Reading 328 Endnotes 329 CASE 12-1 Spartan Industries, Inc. 330 CASE 12-2 American Rubber Products Company (A) 332
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Chapter 13 Dealing with the News Media 336 Introduction 336 Why Interviews Are Important 338 Should You or Shouldn’t You? 341 A Look at the News Media 343 Getting Ready 347 Making It Happen 350 Staying in Control of an Interview 351 Follow-Up 353 For Further Reading 353 Endnotes 354 CASE 13-1 L’Oreal USA: Do Looks Really Matter
in the Cosmetic Industry? 355 CASE 13-2 Taco Bell: How Do We Know It’s Safe to Eat? 359 Exercise 13-1 Buon Giorno Italian Foods, Inc. 368 Exercise 13-2 O’Brien Paint Company 369
Appendix A Analyzing a Case Study 371
Appendix B Writing a Case Study 378
Appendix C Sample Business Letter 385
Appendix D Sample Strategy Memo 387
Appendix E Documentation 390
Appendix F Media Relations for Business Professionals: How to Prepare for a Broadcast or Press Interview 399
Index 405
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NEW TO THE FIFTH EDITION
Six brand-new, current-issue case studies: Case 1-3: Domino’s “Special” Delivery: Going Viral through Social Media. Case 3-3: The Tiger Woods Foundation: When Values and Behavior Collide. Case 3-4: Google’s New Strategy in China: Principled Philosophy or Business Savvy? Case 5-2: Carnival Cruse Lines: Fire Aboard a Stranded Cruise Ship Case 5-3: AntennaGate: Apple’s Loss of Signal (A). Case 7-2: Johnson & Johnson’s Strategy with Motrin: The Growing Pains of Social
Media.
New writing assignments for several case studies, including: Case 6-3: Kraft Foods, Inc.: The Cost of Advertising on Children’s Waistlines. Case 7-3: Facebook Beacon (A): Cool Feature or an Invasion of Privacy? Case 11-1: Hayward Healthcare Systems, Inc. Case 11-3: Hershey Foods: It’s Time to Kiss and Make Up. Case 13-1: L’Oreal USA: Do Looks Really Matter in the Cosmetic Industry? Case 13-2: Taco Bell: How Do We Know it’s Safe to Eat?
Approximately 10% of new anecdotes and examples, including extensive new examples in the Managing Conflict chapter.
A new section on social media and its uses, as well as updated content on the Internet and online behavior.
Newly updated chapter on Technology and its applications in business.
Up-to-date census data in the chapter on Intercultural Communication.
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PREFACE
Many years ago, as an Air Force officer assigned to a flight test group in the American Southwest, I had the opportunity to speak with an older (and obviously wiser) man who had been in the flying business for many years. Our conversation focused on what it would take for a young officer to succeed—to become a leader, a recognized influence among talented, trained, and well-educated peers. His words were prophetic: “I can think of no skill more essential to the survival of a young officer,” he said, “than effective self-expression.” That was it. Not physical courage or well-honed flying skills. Not advanced degrees or specialized training, but “effective self-expression.”
In the years since that conversation, I have personally been witness to what young managers call “career moments.” Those moments in time are when a carefully crafted proposal, a thorough report, or a deft response to criticism saved a career. I’ve seen young men and women offered a job as a result of an especially skillful speech introduction. I’ve seen others sputter and stall when they couldn’t answer a direct question—one that fell well within their area of expertise—during a briefing. I’ve watched in horror as others simply talked their way into disfavor, trouble, or oblivion.
Communication is, without question, the central skill any manager can possess. It is the link between ideas and action. It is the process that generates profit. It is the emotional glue that binds humans together in relationships, personal and professional. It is, as the poet William Blake put it, “the chariot of genius.” To be without the ability to communicate is to be isolated from others in an organization, an industry, or a society. To be skilled at it is to be at the heart of what makes enterprise, private and public, function successfully.
The fundamental premise on which this book is based is simple: Communication is a skill that can be learned, taught, and improved. You have the potential to be better at communicating with other people than you now are. It won’t be easy, but this book can certainly help. The fact that you’ve gotten this far is evidence that you’re determined to succeed, and what follows is a systematic yet readable review of those things you’ll need to pay closer attention to in order to experience success as a manager.
WHAT THIS BOOK IS ABOUT This book will focus on the processes involved in management communication and concentrate on ways in which business students and entry-level managers can become more effective by becoming more knowledgeable and skilled as communicators.
The second premise on which this book is based is also simple: Writing, speaking, listening, and other communication behaviors are the end-products of a process that begins with critical thinking. It is this process that managers are called on to employ every day in the workplace to earn a living. The basic task of a manager, day in and day out, is to solve managerial problems. The basic tools at a manager’s disposal are mostly rhetorical.
Management Communication supports learning objectives that are strategic in nature, evolving as the workplace changes to meet the demands of a global economy that is changing at a ferocious pace. What you will find in these pages assumes certain basic competencies in communication, but encourages growth and development as you encounter the responsibilities and opportunities of mid-level and higher management, whether in your own business or in large and complex, publicly traded organizations.
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WHAT’S DIFFERENT ABOUT THIS BOOK This book is aimed directly at the way most professors of management communication teach, yet in a number of important ways is different from other books in this field.
First, the process is entirely strategic. We begin with the somewhat nontraditional view that all communication processes in successful businesses in this century will be fully integrated. What happens in one part of the business affects all others. What is said to one audience has outcomes that influence others. Without an integrated, strategic perspective, managers in the twenty-first century economy will find themselves working at cross-purposes, often to the detriment of their businesses.