Downward communication: Refers to the flow of communication from the higher to the lower level. Communication from superiors to subordinates at different levels of the organisation is known as downward communication. Downward communication from top management relates to organisational plans and policies. At the middle and lower levels, such communications include order and instructions, rules and procedures, etc. Manager can communicate with subordinates through meetings and directives.
Upward communication: Flows from a subordinate to his superior in the hierarchy. It can be regarded as a process of systematically encouraging employees to share with management their feelings and ideas.
But upward communication can only be successful if managers are receptive to employee's ideas, suggestions or recommendations. Upward communication can be accomplished through suggestion systems, formal grievance procedures and task forces.