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Conflict and negotiations
- 2. WHAT IS CONFLICT? It is a result of differences between Within oneself ( Intrapersonal Conflict) Two people (Interpersonal Conflict) A person and a group Groups (Intergroup conflict) the interactive process manifested in incompatibility, disagreement, or dissonance within or between social entities
- 3. CONFLICT IN ORGANIZATIONS A process that begins when one party perceives that another party has negatively affected, or is about to negatively affect, something that the first party cares about. It is that point in an ongoing activity when an interaction “crosses over” to become an interparty conflict.
- 4. SOURCES OF ORGANIZATIONAL CONFLICT Competition for scarce resources Inherent conflict Line-staff relationships Differences in Goals and Values Organizational Ambiguities
- 5. TRANSITIONS IN CONFLICT THOUGHT Traditional View of Conflict is the belief that all conflict is harmful and must be avoided. Causes are poor communication, lack of openness and failure to respond to employee needs Human Relations View of Conflict is the belief that conflict is a natural and inevitable outcome in any group Interactionist View of Conflict is the belief that conflict is not only a positive force in a group but that it is absolutely necessary for a group to perform effectively
- 6. A CONTEMPORARY PERSPECTIVE Conflict is neither inherently good nor bad, but is inevitable In dealing with conflict the critical issue is how it is managed Conflict is defined in terms of the effect it has on the organization functional conflict dysfunctional conflict
- 7. CONTEMPORARY PERSPECTIVES ON INTERGROUP CONFLICT A. Functional conflict: Enhances/benefits organizational performance. It occurs when the groups disagree on the best means to achieve a goal, not on the goal itself ; typically results in selection of a better means alternative. Positive contributions of functional conflict are: a. Plays an essential role in preventing group or organizational stagnation and resistance to change. b. Can lead to increased awareness of problems that need to be addressed. c. Can result in broader and more productive searches for solutions. d. Can facilitate change, adaptation, and innovation.
- 8. B. Dysfunctional conflict : Any conflict that hinders the achievement of organizational goals. Management must seek to eliminate such conflict. Functional intergroup conflict can turn into dysfunctional conflict. The Consequences of Dysfunctional Intergroup Conflict are: B. Changes between groups : 1. Distorted perceptions 2. Negative stereotyping 3. Decreased communication A. The changes within groups: 1. Increased group cohesiveness 2. Emphasis on loyalty. 3. Rise in autocratic leadership 4. Focus on activity
- 9. MANAGING INTERGROUP CONFLICT THROUGH RESOLUTION Collaboration Avoiding Compromise Competing Accommodation
- 10. CONFLICT-RESOLUTION GRID Accommodating or Smoothing Problem Solving or Collaboration Avoiding Competing Allowing other group to win Working together to solve problems Ignoring or steering clear of other group Working to dominate and control Compromising Finding acceptable solution so everyone feels good
- 11. WHEN TO USE THE DIFFERENT CONFLICT-RESOLUTION APPROACHES Competing approach – use on important issues where you are certain you are right, and where the benefit of a resolution outweighs the drawback of possible negative feelings by the dominated group Accommodating approach – use in disputes that are of far greater importance to the other group than they are to your group
- 12. WHEN TO USE THE DIFFERENT CONFLICT-RESOLUTION APPROACHES Collaboration approach – use when both groups are willing to invest time and effort to reach a resolution that maximizes everyone’s outcome Avoiding approach – use primarily as a temporary expedient to buy more time. Compromising approach – use as a middle ground Good backup approach when other approaches fail to resolve the issue
- 13. NEGOTIATIONS In an organizational context, negotiation may take place: 1. between two people 2. within a group 3. between groups • A process in which two or more parties exchange goods or services and attempt to agree on the exchange rate for them. • A process in which two or more parties attempt to reach acceptable agreement in a situation characterized by some level of disagreement.
- 14. ELEMENTS OF NEGOTIATIONS 1. Some disagreement or conflict exists 2. There is some degree of interdependence between the parties 3. The situation must be conducive to opportunistic interaction 4. There exists some possibility of agreement
- 15. WIN-LOSE NEGOTIATING Classical view that negotiations are a form of a zero- sum game i.e., to whatever extent one party wins something, the other party loses Also known as distributive negotiating i.e., the process of “distributing” scarce resources
- 16. WIN-WIN NEGOTIATING A positive-sum approach i.e., situations where each party gains without a corresponding loss for the other party Does not mean that everyone gets everything they wanted An agreement has been achieved which leaves all parties better off than they were prior to the agreement
- 17. NEGOTIATION TACTICS 3. Joint Problem-Solving 4. Power of Competition 5. Splitting the Difference 1. Good-guy / Bad-guy Team 2. The Nibble
- 18. VARIABLES THAT AFFECT NEGOTIATIONS There is no one best way to negotiate The selection of specific negotiation strategies and tactics depends on: 1. The nature of the issues being negotiated 2. The environment in which the negotiations take place 3. The nature of the outcomes desired from the negotiations
- 19. 1. Mediation 2. Arbitration 3. Conciliation 4. Consultation USING THIRD-PARTY NEGOTIATIONS
- 20. a. Mediation—a neutral party acts as a facilitator through the application of reasoning, suggestion, and persuasion. b. Arbitration—the third party has the power or authority to impose an agreement.
- 21. c. Conciliation—the third party is someone who is trusted by both sides and serve primarily as a more formal authority to influence the outcome than does a mediator. d. Consultation‐the third party is trained in conflict and conflict‐resolution skills and attempt to aid problem solving by focus in more on the relationship between the parties than on the substance issues.
Editor's Notes
- Competition for scarce resources- because the vital resources of money, manpower, time, materials and equipment are limited, allocating them to groups produces conflict, for some will certainly get less than they need or want Inherent Conflict – Standardized procedures, rules and policies that regulate behavior tend to reduce the likelihood of conflict but at the same time, resistance to control that they impose is fostered. Moreover, in a complex organization the number of levels of authority may create problems that increase the potential conflict. Line-staff relationships – the differences of the task responsibilities of line and staff members, while enabling them to accomplish their respective tasks, also increases the likelihood of conflict between them. Differences in Goals and values- Groups within an organization often find it difficult to agree on action plans because they usually develop different goals and objectives. Similarly, many conflicts arise because some believe that a popular value should be applied to all situations, thus exceeding those whose values are different Organizational ambiguities- conflict may occur when goals are questionable and roles are not clearly defined. In addition, adequate standing operating procedures (SOPs) or nonsystematic approaches to mission planning and problem solving may also increase conflict.
- Any confrontation or interaction between groups that harms the organization or hinders the achievement of organizational goals Management must seek to eliminate dysfunctional conflict The changes within groups: 1. Increased group cohesiveness—the group puts aside differences and closes ranks. 2. Emphasis on loyalty—group norm for conformity becomes more important; group goals become more important than member satisfaction. 3. Rise in autocratic leadership—comes in response to the demand for group direction and members' desire for strong leadership. 4. Focus on activity—members focus on doing what the group does well; group becomes more task‐oriented. 1. Distorted perceptions—each group views itself as a better performer than the opposing group and as more important to the organization. 2. Negative stereotyping—all negative stereotypes ever developed about the opposing group are reinforced. Each group underestimates differences within their group and exaggerates differences between the two groups. 3. Decreased communication—communications between groups usually break down.
- It is also known as Distributive Negotiation, since the process of dividing or “distributing” resources is used. It is quite common in organizations; characterizesmost bargaining of prices, salaries, etc.