Team processes - the exchange of information.

Work-place relationships in teams and across teams are not confined to formal instruction and response loops. Informal networks, or the grapevine or gossip, are active in all organisations. Informal networks are not controlled by management as most formal networks are, although knowledge of the grapevine can help management to identify problems.

Within the organisational structure, communication flows through various networks along different channels structure (hierarchical or flattened) and the challenges of remote teams/staff (

Information on the grapevine is generally seen by staff to be more accurate than much formal communication, but gossip is generally acknowledged to serve the interests of those in the informal channel.

The research shows that informal communication becomes more important as you move towards the lower levels of an organisation. There are three driving forces behind gossip are: 1. The importance of the information discussed. 2. Lack of information from formal communication networks (there may have been an important omission by management or communication may have been misleading or inadequate 3. A difficult work environment in which people do not feel secure (e.g. the threat of restructure and job loss)

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Rumours and Gossip Scenario: You are a senior manager and have been discussing a minor restructure with other senior managers and your new CEO. The restructure plans are in very early development and no job losses are likely. In fact no changes may end up being made unless the new CEO can be convinced that they will gain efficiencies without too much disruption. You overhear a team member saying to another that a massive restructure is being planned and it's likely the team will lose their jobs. They both seem upset. What would you do?