When we interact with artistic texts, we are decoding the symbol systems that are being encoded. In the process of decoding, the author’s portrait along with his influence imprinted in every detail of the work will be revealed. And then, we can describe the encoding process as well as recognize the hidden instructions of the implied author – “the director” who is behind everything that is happening in the work. By introducing the theoretical system and clarifying the meaning of Wayne Booth’s concept of implied author - a key issue of The Rhtoric of Fiction, we determine the potential application of implied author theory in the process of encoding and decoding works of art to clearly see the relationship between author - text - reader as well as the nature of the literary reception process. These are not only instructions for researching narrative works but also potential instructions for teaching narrative works in high schools today.