Intergroup conflict arises from the interdependence of subgroups within an organization that have differing goals and norms. It is driven by social identity theory as individuals seek positive identity from their own group. Intergroup conflict can have both functional and dysfunctional effects depending on how it is handled. Sources of intergroup conflict are primarily structural due to overlapping responsibilities between subgroups. Managing intergroup conflict involves diagnosing the issues, facilitating collaborative problem solving between groups, and addressing underlying structural causes through interventions like clarifying rules or changing personnel.