EXECUTIVE SUMMARY This report examines the communication issues within the Buddong Systems case study.

More specifically, it critically analyses the actions of CEO Ken Young has sent an intimidating e-mail to General Manager and Managers to increase 10% sales by the end of next quarter as he demanded. It concludes that Young made low richness of communication channel and that he sent the e-mail with informal language that hardly to understand by the recipients. The CEO is found to have communicated ineffectively; he was not skillfully decoding the message as not listening to Philips advice. Nevertheless, the report finds that he failed to adapt to unfamiliar cultural contexts by ignoring the Asian workers involvement in the meeting. He even failed to moderate his tone to suit his employees and use racist language to prevent involvement of Asian workers in the meeting as he found it difficult to communicate with them. Johansen did not commit to work effectively with others such as managers and the project team members. Finally, the two way communication system is not conducted well between the staff and management. Consequently, it is recommended that Young make more appropriate and considered better choices for communication situations in term of channels of transmission. As a CEO, he should aware of the context or language which he communicates, and have significant communications cross-checked by another individual to prevent conflicts. Besides that, Johansen should take responsibility to communicate well with project team members for better outcomes or solutions.

1. INTRODUCTION The CEO of the Buddong systems, Ken Young, sent an intimidating email to each of Johansens Managers and Johansen concerning with the slump in sales. This sales slumping was consequently harming the value and opinion of the company. The purpose of this report is to critically analyse the communication issues related to this scenario. The low richness choices of communication channel and use of language and nonverbal communication will be discussed. Besides that, Youngs intercultural communication will be examined. The organizational communication and direction of communication will also be analysed. Based on an assessment of these issues, recommendations will be provided with the aim of preventing future communication situations from becoming more serious. Secondary research of relevant journalism was used to prepare this report.

2. MEANS OF COMMUNICATION 2.1 Communication Process The CEO was not committed to the importance of communication and not listening to his staff what he asks for additional 10% sales figure even though Philip Wang had explained in technical terms that it is not possible to achieve. In this case, The CEO was not skillfully decoding the message sent by Wang due to his bad attitude (arrogance), he is not able to listen to the real problem with regards to the 10% increase by sales that he demanded. The message received by Young was interpreted wrongly or understood mistakenly, what Wang advice is based on his knowledge and experience. On the other hand, Young glaring angrily through expression towards Wang after the advice was given which Wang as the receiver realized the message sent by the CEO (Berlo,1960). 2.2 Choice of Communication Channel The messages sent by Young through e-mail were tend to be straightforward and have least of ambiguity. The latter are likely to be complicated and have the possible for misunderstanding (Daft and Lengel,1986). Youngs problem was using low richness channel such as e-mail to convey message which very complex and its nature

non-routine. The meetings were held to facilitate communication but some managers have been isolated. Some managers were not daring to voice out due to Youngs bad temper. Young should have known what the choices of recipients (managers) are so that able to match appropriate media richness with the ambiguity involved in the communication.

2 INTERCULTURAL COMMUNICATION 3.3 Cultural Intelligence and Cultural Competence Young is not a high cultural intelligence person (Spinks and Wells,1997) because he is not willing to adapt to unfamiliar cultural contexts and access cultural knowledge of his employees which come from different culture background. Young refused to communicate with Asian workers by not making effort to develop cultural competence in order to get know more deeply. Besides that, this situation might influence other managers or demotivate them to consider employees culture. Young is an unconscious competence person which performs his own culture difference (Triandis,2000). 3.4 Context Model The CEO ignoring the technical workers whom were Asian immigrants shows his refusal to communicate with them and refused to accept the company problems which the organisation had not caught up with the technology. This will demoralize and demotivate the technician to work or create new ideas for company since they did not get any information. Young even to the extent commenting that Asians are difficult to talk with because they are more high context by showing the emotion on their expression which lead to Young frustrating. His Asian workers is a large emphasis on nonverbal codes (Lustif and Koester, 1999) without giving suggestion and just smile to communicate whereas Young is in low-context culture because he wants the job done quickly without concerrning about the technical workers, just directly by telling Kirk that he just wants to meet with the movers and shakers.

3 USE OF LANGUAGE 4.5 Tone Mr. Young said in angry tone to his employees to stop them from asking questions. The tone made several managers nervous and kept silence. The CEO has clearly violated his fundamental role in the communication process by using angry tone to stop his employees voice out. He is some sort of defending his employees by saying Im right, you are wrong, your way of thinking is incorrect, thus he demoralizes his power in workforce. Speaking in angry tone can distressed managers and they might think it is difficult to build close relationship or communicate with the CEO in future communications. 4.6 Informal Language and Racist Language An e-mail that sent by the CEO to Managers are types of informal language which rude or even offensive because he was pressuring or instructing his subordinates (Ferguson,1959) to increase in sales, if it is not achieved they might SHAPE UP or SHIP OUT which is the jargon that are used uncommonly and is often vague in meaning. He even sent an e-mail to Kirk to increase in sales by the end of next quarter or HEADS WILL ROLL, which same meaning to SHAPE UP or SHIP OUT. The CEO is using the informal language can operate in similar ways to jargon that might confused all the managers in understanding what message is he trying to convey. The language is straightforward and rude as he said I dont care what you have to do to get it. The CEO is even pressuring his subordinates in order to get the job done efficiently.

Racist language can be unpleasant and offensive. The CEO is intended to create discomfort in the technical workers to whom the language is directed (Asante,2003). He refused to communicate with his technical workers due to their racial origin or cultural and he mentioned that Asian workers are difficult to communicate. 4.7 Nonverbal Languages Mr.Young glare at Philip angrily after Philip said it is impossible to increase sale by 10%, this distressed Philip because he was just giving an advice and he never thought that Mr.Young get so angrily by looking at him directly which showed as hostility. Direct eye contact with angry glare can be interpreted as aggressiveness. The CEO glared intently at the questioner can stop the managers to voice out because they feel stress and afraid or uncomfortable with his angry eye gaze. Asia immigrants are not contributed to the CEO, they just kept silence whenever Mr.Young ask them something. Silence can be misinterpreted as dissatisfaction or as a weapon to hurt others(De Vito,2005). Besides, it can mean that Asian immigrants are anxious and fearful of speaking (Miliken,2003). The CEO also flaw to pay close attention to the silent portion of conversation can result in missing a critical part of the message. 4 ORGANISATIONAL COMMUNICATION 5.8 Lack of Team Communication Mr.Johansen failed to communicate with the team leader. The appointment of the team members must be accepted by the team but Johansen hastily formed the project team and appoint them the team leader himself and just left them. Mr.Johansen is not even bothered whether the team members interact among them or whether the team is functioning. In this case, he just left the problem to them. There is no co-coordinating and guidance to the team. The project team has conflicting opinions plus there were no control and guidance. The General Manager did not commit to the job well since he never communicates with the members in a team. 5.9 Direction of Communication Ineffective programs are dominated by downward communication that flows from one level of a group to employees (lower level). Successful programs need balance between downward and upward communication so things can be improved (Harriman,1974). As in this case, new program was raised up by Young but employees doesnt seemed to have any interest with the many required program due to the employees are not consulted before their implementations same goes to Kirk, he was half listening to Youngs speech which is lack of upward communication in higher level of group. New program was created by Young without communicating through discussion or survey about the program to all employees in his company. The two way communication system is not apparent between the staff and management. 5 CONCLUSION Evidently, Youngs choice of channel was seriously defective for some managers; hence future communications of this nature should be made more carefully and selectively. Young should adapt to unfamiliar cultural contexts so that he would not discriminate the Asian workers. The language used was unfriendly and distance the relationship between CEO and employees. In isolation, Young should carefully analyse his choice of language, prior to sending written communications or oral communications. Young also stabbed to inform and encourage using negative form of expression (direct eye contact) and pressure subordinates, which he should avoid in the future. Young should have two ways communication system in order to enhance the communication direction in an organisation. Johansen should take the responsibility to commit and follow up to the job assigned by Young. Finally, this is clearly demonstrates the limitations of communicating important information to managers and employees and harmful impact of communicating without reasonable thought.

6 RECOMMENDATIONS 7.10 Young should take responsibility for his arrogance behavior and undertake not to conduct himself in this manner again in order to progress past this unfortunate situation. 7.11 Young should carefully evaluate and re-evaluated before sending that might impact the feelings of worker. 7.12 Youngs message should reviewed by another manager or assistant, as a suggestion minimise the risk of harmful message transmit. 7.13 Researched more systematically about his employees cultural background and with the assist of others. 7.14 Message must be transmitted in more appropriate form or on a richer channel. 7.15 Communicated with an appropriate degree of formality and respect, as not to isolate subordinates. 7.16 Analysed within the organizational context, so that may reduce the conflicts in communication. 7.17 Young should implement two ways communication system (upward and downward communication) to enhance in future communications. 7.18 Johansen should take the responsibility as a General Manager to conduct his work and manage his project team well by interactions. 7.10Johansen should communicate with team members or coordinate weekly meeting about the outcomes or solutions.