Conflict and Negotiation Chapter 13 Organizational Behavior: Foundations, Realities, & Challenges Nelson & Quick, 5th edition Conflict and Negotiation

Nature of Organizational Conflict Conflict – any situation in which incompatible goals, attitudes, emotions, or behaviors lead to disagreement or opposition between two or more parties Functional Conflict – a healthy, constructive disagreement between two or more people Dysfunctional Conflict – an unhealthy, destructive disagreement between two or more people 2

Emotional Intelligence (EI) the power to control one’s emotions perceive emotions in others adapt to change manage adversity

Importance of Conflict Management Skills “As managers we spend about 21% of our time dealing with conflict.” Conflict management skills predict managerial success High Emotional Intelligence (EI) needed to manage conflict EI is valid across cultures

Consequences of Conflict Copyright ©2006 by South-Western, a division of Thomson Learning. All rights reserved 4

Diagnosing Conflict Examine the issue Analyze the context Know the parties involved

Questions to Use When Diagnosing Conflict Yes No Are the parties approaching the conflict from a hostile standpoint? Is the outcome likely to be a negative one for the organization? Do the potential losses of the parties exceed any potential gains? Is energy being diverted from goal accomplishment? YES = dysfunctional

Causes of Conflict in Organizations Structural Factors Specialization Interdependence Common resources Goal differences Authority relationships Status inconsistencies Jurisdictional ambiguities Personal Factors Skills and abilities Personalities Perceptions Values and ethics Emotions Communication barriers Cultural differences Conflict Copyright ©2006 by South-Western, a division of Thomson Learning. All rights reserved 5

Globalization and Conflict Cultural differences and individual differences increase the potential for conflict Individualism/ Collectivism Masculinity/ Femininity Uncertainty/ Avoidance Time Orientation of values Power/ Distance 6

Forms of Conflict in Organizations Interorganizational Conflict – conflict that occurs between two or more organizations Intergroup Conflict – conflict that occurs between groups or teams in an organization Intragroup Conflict – conflict that occurs within groups or teams 8

Forms of Conflict in Organizations Interpersonal Conflict – conflict that occurs between two or more individuals Intrapersonal Conflict – conflict that occurs within an individual 8

Managing Interpersonal Conflict Understand power networks Recognize defense mechanisms Develop strategies to deal with difficult people

Forms of Intrapersonal Conflict Interrole Conflict – a person’s experience of conflict among the multiple roles in his/her life Intrarole Conflict – conflict that occurs within a single role, such as when a person receives conflicting messages from role senders about how to perform a certain role Person–role Conflict – conflict that occurs when an individual is expected to perform behaviors in a certain role that conflict with his/her personal values 8

Resolving Intrapersonal Conflict Use self-analysis Diagnose the situation; ask Does the organization values match my own? Ask role senders what is expected Use political skills to buffer negative effects of role conflict stress

An Organizational Member’s Role Set Copyright ©2006 by South-Western, a division of Thomson Learning. All rights reserved An Organizational Member’s Role Set Outside the organization Inside the organization Superior role senders Client Supervisor Superior Peer role senders Focal Role Supplier Colleague Employee role senders Employee’s colleagues Potential employee Employee 1 Employee 2 Employee 3 Boundary of the organization SOURCE: J. C. Quick, J. D. Quick, D. L. Nelson, & J. J. Hurrell, Jr. Preventative Stress Management in Organizations, 1997. Copyright © 1997 by the American Psychological Association. Reprinted by permission. 9

Power Relationships in Organizations Copyright ©2006 by South-Western, a division of Thomson Learning. All rights reserved SOURCE: W. F. G. Mastenbroek, Conflict Management and Organizational Development, 1987. Copyright John Wiley & Sons Limited. Reproduced with permission. 10

Aggressive Mechanisms Defense Mechanisms Aggressive Mechanisms Fixation – an individual keeps up a dysfunctional behavior that obviously will not solve the conflict Displacement – an individual directs his or her anger toward someone who is not the source of the conflict Negativism – a person responds with pessimism to any attempt at solving a problem 12

Compromise Mechanisms Defense Mechanisms Compromise Mechanisms Compensation – an individual attempts to make up for a negative situation by devoting himself/herself to another pursuit with increased vigor Identification – an individual patterns his or her behavior after another’s Rationalization – a compromise mechanism characterized by trying to justify one’s behavior by constructing bogus reasons for it 12

Withdrawal Mechanisms Defense Mechanisms Withdrawal Mechanisms Flight/Withdrawal – entails physically escaping a conflict (flight) or psychologically escaping (withdrawal) Conversion – emotional conflicts are expressed in physical symptoms Fantasy – provides an escape from a conflict through daydreaming 13

Win–Lose versus Win–Win Strategies 18

Ineffective Techniques for Dealing with Conflict Nonaction Character Assassination Secrecy Conflict Due Process Nonaction Administrative Orbiting 20

Effective Techniques for Dealing with Conflict Superordinate Goals Confronting and Negotiating Expanding Resources Conflict Changing Structure Changing Personnel 20

Negotiation Negotiation – a joint process of finding a mutually acceptable solution to a complex conflict Two or more people involved Conflict of interest exists Willing to negotiate for a better outcome Parties prefer to work together

Approaches to Negotiation Distributive Bargaining – the goals of the parties are in conflict, and each party seeks to maximize its resources

Approaches to Negotiation Integrative Negotiation – focuses on the merits of the issues and seeks a win–win solution

Conflict Management Styles Avoiding – deliberate decision to take no action on a conflict or to stay out of a conflict Accommodating – concern that the other party’s goals be met but relatively unconcerned with getting own way Competing – satisfying own interests; willing to do so at other party’s expense 21

Conflict Management Styles Compromising – each party gives up something to reach a solution Collaborating – arriving at a solution agreeable to all through open and thorough discussion 21

Conflict Management Styles Assertive Competing Collaborating Assertiveness (Desire to satisfy one’s own concerns) Compromising Avoiding Unassertive Accommodating Uncooperative Cooperative Copyright ©2006 by South-Western, a division of Thomson Learning. All rights reserved Cooperativeness (Desire to satisfy another’s concerns) SOURCE: K. W. Thomas, “Conflict and Conflict Management,” in M. D. Dunnette, Handbook of Industrial and Organizational Psychology, (Chicago: Rand McNally, 1976), 900. Used with permission of M. D. Dunnette. 22

Creating a Conflict-Positive Organization Value diversity and confront differences Seek mutual benefits, and unite behind cooperative goals Conflict Positive Take stock to reward success and learn from mistakes Empower employees to feel confident and skillful

3 Organizational Views of Conflict Competitive conflict Belittle differences Seek win–lose situation Suspect Blame SOURCE: The Conflict-Positive Organization by Tjsovold, © 1991. Reprinted by permission of Prentice-Hall, Inc., Upper Saddle River, N.J. 25

3 Organizational Views of Conflict Avoidance of conflict Evade differences Reduce risks Despair Withdraw SOURCE: The Conflict-Positive Organization by Tjsovold, © 1991. Reprinted by permission of Prentice-Hall, Inc., Upper Saddle River, N.J. 25

3 Organizational Views of Conflict Positive conflict Value diversity Seek mutual benefit Take Stock Empower SOURCE: The Conflict-Positive Organization by Tjsovold, © 1991. Reprinted by permission of Prentice-Hall, Inc., Upper Saddle River, N.J. 25

Conflict Management Tools Ability to reduce organizational toxins High emotional intelligence Negotiation skills