Rumors in Grundfos

Résumé du document

Grundfos is a well-established company on both the Danish and the Global market. The Group is one of the world's leading pump manufacturers.
According to one of the handed out fictive situation, there are rumors about the closing the financial department of the French subsidiary.

The closing of this department will allow expanding the sales and marketing department. The rumor is also about the relocation of the financial department employees in the German financial department.

People spread rumors in all contexts and about all subjects. Rumors could be observed in the professional context and managers have to be aware of their diffusion and their effects. This paper will focus on the rumors, the reasons why they appear, the types of rumors in organizations, their consequences and the means to control them.
Usually, rumors appear when employees feel uncertain regarding to a situation, most of the times it is during a change process. Researchers distinguish several types of rumors. Some have a positive content and do not have negative consequences on the organization; whereas others are negative in their content and could be harmful for the organization.

Extraits

[...] Rumours come from informal network. Rumours are unsubstantiated information spreading by individuals who find on it a considerable importance. Rumours differ from news, which are normally based on real facts. They differ from gossips too which are most of the time about people (Bordia et al, 2006). Gossips permit to individuals to obtain information that they don't have and to make social comparisons (G. Michelson, V.S. Mouly, 2004) Reasons of the existence and the diffusion of rumours Rumours appear and are diffused in an organisation for several reasons. [...]

[...] In this context, many rumours could appear and spread. In order to avoid new rumours, several suggestions can be given to Grundfos Suggestions to avoid future rumours Grundfos can adopt a preventive strategy which its goal is to avoid that rumours appear. First, an open communication has to be practiced between manager and his team. In this way, they should set up moments and spaces of discussion between managers and their teams. During these meetings, employees could speak about their uncertainties and ask questions to their manager. [...]

[...] And in order to motivate them and to make them competent and innovating, the Group provides a lot of trainings. Moreover they communicate to the employees the values of Grundfos by several communication materials. The values of the group are summarized in three words: Be, Think an Innovate. means being responsible. means thinking ahead. “Innovate” it is because for Grundfos innovation is a key, the innovations make Grundfos unique Rumours in organisations Definitions In organisations, there are two communication networks. [...]

[...] Several researches were conduct to analyse the rumour spread within organisations. Most of the time, rumours appear and are diffused during change process because employees are uncertain and anxious about the future prospects for their job. Moreover, through their researches, theorists provide solutions to control rumours in organisations. In the Grundfos' French subsidiary, rumours were appearing about the closing and the relocation of the financial department in order to allow the development of the sales and marketing departments. The rumours were diffused for several reasons; first, employees felt uncertain and anxious about a future change because the formal network did not provide information. [...]

[...] In complement of this official message; the refutation of the rumours by the chief of the financial department could be very efficient because employees of the department know him and he is concerned by the rumour as much as the employees. Of course the chief of the financial department will need help from the organisational communication to provide the relevant information and answer to the questions in the good way. He should organize a meeting gathering all the employees of the department. [...]