0
Tata McGraw Hill Publishing<br />Channel Management<br />
SDM- Ch 13<br />Tata McGraw Hill Publishing<br />2<br />Channel Management<br />Is in three broad phases:<br />Use of powe...
Use of Power Bases<br />Use of the 5 power bases brings diverse channel partners in line for effective implementation<br /...
SDM- Ch 13<br />Tata McGraw Hill Publishing<br />4<br />“Power” of Motivation<br />French & Raven<br />Reward – incentives...
SDM- Ch 13<br />Tata McGraw Hill Publishing<br />5<br />Channel Conflicts<br />Conflict is generated when actions of any c...
SDM- Ch 13<br />Tata McGraw Hill Publishing<br />6<br />Conflicts Result From…<br />Each channel member wanting to pursue ...
SDM- Ch 13<br />Tata McGraw Hill Publishing<br />7<br />Four Stages<br />LATENT<br />PERCEIVED<br />FELT<br />MANIFEST<br ...
SDM- Ch 13<br />Tata McGraw Hill Publishing<br />8<br />Types of Conflicts<br />Latent Conflict:<br />Some amount of disco...
SDM- Ch 13<br />Tata McGraw Hill Publishing<br />9<br />Types of Conflicts<br />Felt Conflict:<br />Reaching the stage of ...
SDM- Ch 13<br />Tata McGraw Hill Publishing<br />10<br />Reasons for Channel Conflict<br />Roles not defined properly<br /...
SDM- Ch 13<br />Tata McGraw Hill Publishing<br />11<br />Reasons for Channel Conflict<br />Future expectations not likely ...
SDM- Ch 13<br />Tata McGraw Hill Publishing<br />12<br />Resolving Conflicts<br />A 4 Stage Process<br />Understanding nat...
Tata McGraw Hill Publishing<br />Conflict Resolution Styles<br />Avoidance<br />Styles are a combination<br />of assertive...
SDM- Ch 13<br />Tata McGraw Hill Publishing<br />14<br />Avoidance<br />Used by weak channel members.<br />Problem is post...
SDM- Ch 13<br />Tata McGraw Hill Publishing<br />15<br />Aggression <br />Also known as a competitive or selfish style.<br...
SDM- Ch 13<br />Tata McGraw Hill Publishing<br />16<br />Accommodation<br />A situation of complete surrender.<br />One pa...
SDM- Ch 13<br />Tata McGraw Hill Publishing<br />17<br />Compromise <br />Obviously both sides have to give up something t...
SDM- Ch 13<br />Tata McGraw Hill Publishing<br />18<br />Collaboration<br />Also known as a problem solving approach<br />...
Upcoming SlideShare
Loading in...5
×

Distribution managment -channel_conflicts

1,519

Published on

Published in: Business, News & Politics
0 Comments
0 Likes
Statistics
Notes
  • Be the first to comment

  • Be the first to like this

No Downloads
Views
Total Views
1,519
On Slideshare
0
From Embeds
0
Number of Embeds
0
Actions
Shares
0
Downloads
100
Comments
0
Likes
0
Embeds 0
No embeds

No notes for slide

Transcript of "Distribution managment -channel_conflicts"

  1. 1. Tata McGraw Hill Publishing<br />Channel Management<br />
  2. 2. SDM- Ch 13<br />Tata McGraw Hill Publishing<br />2<br />Channel Management<br />Is in three broad phases:<br />Use of power bases<br />Identifying and resolving channel conflicts<br />Channel co-ordination<br />Use of power….<br />
  3. 3. Use of Power Bases<br />Use of the 5 power bases brings diverse channel partners in line for effective implementation<br />5 power bases are: reward, coercion, legitimate,expert and referent (French & Raven)<br />Two more power bases in the Indian context are support and competition<br />
  4. 4. SDM- Ch 13<br />Tata McGraw Hill Publishing<br />4<br />“Power” of Motivation<br />French & Raven<br />Reward – incentives for good performance<br />Coercion – threat of punishment for non-performance<br />Referent – benefit of sheer association with a strong company<br />Legitimate – arising out of a contract<br />Expert – specialized knowledge<br />Support – additional benefits for better performers only<br />Competition – created between channel partners <br />Countervailing power……<br />
  5. 5. SDM- Ch 13<br />Tata McGraw Hill Publishing<br />5<br />Channel Conflicts<br />Conflict is generated when actions of any channel member come in the way of the system achieving its objectives<br />Three broad categories of channel conflict are:<br />Goal conflict – understanding of objectives by various channel members is different<br />Domain conflict – understand responsibilities and authority differently<br />Perception conflict – reading of the market place is different and proposed actions vary<br />
  6. 6. SDM- Ch 13<br />Tata McGraw Hill Publishing<br />6<br />Conflicts Result From…<br />Each channel member wanting to pursue his own goals<br />Each wants to retain his independence<br />There are limited resources which all of them want to utilise in achieving their goals<br />Features of conflicts:<br />Initially latent and does not affect the working<br />Is not normally possible to detect till it becomes disruptive <br />Four stages….<br />
  7. 7. SDM- Ch 13<br />Tata McGraw Hill Publishing<br />7<br />Four Stages<br />LATENT<br />PERCEIVED<br />FELT<br />MANIFEST<br />Each stage is progressively more severe than the earlier one<br />
  8. 8. SDM- Ch 13<br />Tata McGraw Hill Publishing<br />8<br />Types of Conflicts<br />Latent Conflict:<br />Some amount of discord exists but does not affect the working or delivery of customer service objectives. <br />Disagreement could be on roles, expectations, perceptions, communication.<br />Perceived Conflict:<br />Discords become noticeable – channel partners are aware of the opposition.<br />Channel members take the situation in their stride and go about their normal business <br />No cause for worry but the opposition has to be recognized<br />
  9. 9. SDM- Ch 13<br />Tata McGraw Hill Publishing<br />9<br />Types of Conflicts<br />Felt Conflict:<br />Reaching the stage of worry, concern and alarm. Also known as ‘affective’ conflict.<br />Parties are trying to outsmart each other.<br />Causes could be economical or personal<br />Needs to be managed effectively and not allowed to escalate.<br />Manifest Conflict:<br />Reflects open antagonistic behaviour of channel partners. Confrontation results.<br />Initiatives taken are openly opposed affecting the performance of the channel system.<br />May require outside intervention to resolve<br />
  10. 10. SDM- Ch 13<br />Tata McGraw Hill Publishing<br />10<br />Reasons for Channel Conflict<br />Roles not defined properly<br />Allocation of scarce resources between members seem unfair to some<br />Differences in perception of the business environment<br />
  11. 11. SDM- Ch 13<br />Tata McGraw Hill Publishing<br />11<br />Reasons for Channel Conflict<br />Future expectations not likely to materialize<br />Decision domain disagreements – who has to decide on what (key account pricing)<br />Channel members do not agree on objectives<br />Misunderstanding or mis-interpretation of routine business communication<br />Resolving….<br />
  12. 12. SDM- Ch 13<br />Tata McGraw Hill Publishing<br />12<br />Resolving Conflicts<br />A 4 Stage Process<br />Understanding nature and intensity<br />Tracing the source of the conflict<br />Understand the impact of the conflict<br />Strategy and plan of action for resolution<br />
  13. 13. Tata McGraw Hill Publishing<br />Conflict Resolution Styles<br />Avoidance<br />Styles are a combination<br />of assertiveness and<br />co-operation.<br />Aggression<br />Accommodation<br />Compromise<br />Collaboration<br />Least effort and <br />results<br />Maximum effort and <br />Best results<br />
  14. 14. SDM- Ch 13<br />Tata McGraw Hill Publishing<br />14<br />Avoidance<br />Used by weak channel members.<br />Problem is postponed or discussion avoided. <br />Relationships are not of much importance.<br />As there is no serious effort on getting anything done, conflict is avoided.<br />
  15. 15. SDM- Ch 13<br />Tata McGraw Hill Publishing<br />15<br />Aggression <br />Also known as a competitive or selfish style.<br />It means being concerned about one’s own goals without any thought for the others.<br />The dominating channel partner (may be the principal) dictates terms to the others. Long term could be detrimental to the system.<br />
  16. 16. SDM- Ch 13<br />Tata McGraw Hill Publishing<br />16<br />Accommodation<br />A situation of complete surrender.<br />One party helps the other achieve its goals without being worried about its own goals.<br />Emphasis is on full co-operation and flexibility in approach. May generate matching feelings in the receiver.<br />If not handled properly, can result in exploitation<br />
  17. 17. SDM- Ch 13<br />Tata McGraw Hill Publishing<br />17<br />Compromise <br />Obviously both sides have to give up something to meet mid way.<br />Can only work with small and not so serious conflicts.<br />Used often in the earlier two stages.<br />
  18. 18. SDM- Ch 13<br />Tata McGraw Hill Publishing<br />18<br />Collaboration<br />Also known as a problem solving approach<br />Tries to maximize the benefit to both parties while solving the dispute.<br />Most ideal style of conflict resolution – a win-win approach<br />Requires a lot of time and effort to succeed.<br />Sensitive information may have to be shared<br />
  1. A particular slide catching your eye?

    Clipping is a handy way to collect important slides you want to go back to later.

×