This document discusses intergroup relations and conflict within organizations. It focuses on the State Bank of Pakistan as a case study. The bank has various departments that work together, but may also experience conflict. The human resources department aims to acquire, develop, and retain talent through enabling culture and strategic partnerships. Managing intergroup conflict is important, as it can impact employee performance and the bank's goals. Measuring conflict and handling styles can help diagnose issues. The document concludes that reducing relationship conflict among employees through focus on objectives and teamwork can improve organizational performance.

2. GROUP
A group is defined as "a number of persons near, placed,
or classified together."

3. INTERGROUP RELATIONS
Intergroup relations between two or more groups and their
respective members are often necessary to complete the work
required to operate a business.

4. CONFLICTS
• Some conflict, called functional conflict, is considered
positive, because it enhances performance and identifies
weaknesses.
• Dysfunctional conflict, however, is confrontation or
interaction between groups that harms the organization or
hinders attainment of goals or objectives.

5. INTERGROUP CONFLICT
Intergroup conflict refers to the collective incompatibility or disagreement
between two or more divisions, departments, or subsystems in connection
with tasks, resources, information, and so on.

6. MANAGING INTERGROUP CONFLICT
The management of intergroup conflict involves channeling the
energies, expertise, and resources of the members of conflicting groups
for synergistic solutions to their common problems or attainment of
overall organizational goals.

7. DIAGNOSIS
The diagnosis of intergroup conflict can be performed by means of interviews,
observation, company records, and the perceptions of the organizational
members.

8. MEASUREMENT
A comprehensive diagnosis of intergroup conflict should include the
measurement of the following:
1. The amount of conflict that exists between two specific groups.
2. The styles of handling conflict of the ingroup members with the
outgroup members.
3. The sources of intergroup conflict and the style of handling such
conflict.
4. Organizational learning and effectiveness

9. ORGANISATION STUDIED
State Bank of Pakistan
‫بینک‬‫دولت‬‫پاکستان‬ v
State Bank of Pakistan
Headquarters Karachi, Pakistan
Established 1948
Governor Ashraf Mahmood Wathra
Central bank of Pakistan
Currency Pakistani rupee
PKR (ISO 4217)

10. COMPANY OVERVIEW
The State Bank of Pakistan (SBP; Urdu: ‫پاکستان‬ ‫دولت‬ ‫)بینک‬ is
the central bank of Pakistan. While its constitution, as
originally laid down in the State Bank of Pakistan Order
1948, remained basically unchanged until January 1, 1974,
when the bank was nationalized, the scope of its functions
was considerably enlarged. The State Bank of Pakistan Act
1956, with subsequent amendments, forms the basis of its
operations today. The headquarters are located in the
financial capital of Pakistan, Karachi with its second in the
capital, Islamabad.

11. DIFFERENT DEPARTMENTS OF SBP
1. AGRICULTURAL CREDIT AND MICRO FINANCE DEPARTEMENT
2. BANKING INSPECTION ON SITE DEPARTEMENT
3. BANKING POLICY AND REGULATIONS DEPARTEMENT
4. CONSUMER PROTECTION DEPARTEMENT
5. EXCHANGE POLICY DEPARTMENT
6. FINANCE DEPARTEMENT
7. LEGAL SERVICES DEPARTEMENT
8. HUMAN RESOURCE DEPARTEMENT
9. INFORMATION SYSTEM AND TECHNOLOGY DEPARTEMENT
10. ISLAMIC BANKING DEPARTEMENT

12. HUMAN RESOURCE DEPARTEMENT
Mission Statement
To transform the State Bank of Pakistan into an “Employer of Choice”
which nurtures talent through its enabling culture.

13. VISION STATEMENT
We are committed to excellence at acquiring, developing and retaining the right
talent by:
 Aligning our HR policies with market
 Serving as a strategic partner to the line Departments
 Administering superior and prompt HR services

14. 1. Recruitment & Career Development
2. Employees Benefits
3. General Services & Admin
4. Reward Management & PMIS
5. Employee Relations & Trainings

15. MANAGING INTERGROUP CONFLICTS
• Management makes cogent decisions because they know that conflict is very
important and it has significant impact on employee’s performance.
• It’s an era of competition in banking sectors, all banks are in pursuit to
improve their services and products by according due importance to the
customers.
• Large number of stakeholders transfers their loyalty from one bank to another.
• It had put the banks on toes to operate with improved performance.
• Conversely, there is no supposition of a “best way” to control conflict.
• Bank management is offering Golden Handshake for reduction of their
employees.

17. Strengths
Brand name
Market Leader
Wide Distribution
Network
Government Owned
Diversified Portfolio
Weaknesses
Minor hindrances
Hierarchical management
Lags modernization
Opportunities
Merger of associate banks
with SBP
Opportunities for public
sector banks
New Branches and ATM's
Expansion on Foreign soil
Threats
CRM customer relationship
management
Private banks venturing into
the rural
Employee Strike
SWOT ANALYSIS

18. • Measurement of relationship aspect in the
Banking sector is essential due to the
sensitivity of employees’ job.
• Management strives to reduce the conflict
by keeping employees focus towards their
objectives and team work.
CONCLUSION

19. Special strategies may be adopted
to lessen relationship conflict
amongst the employees of an
organization enabling organization to
improve their performance.
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