1 Strategic Business Program Business Leadership and Conflict Management Class 3

Conflict Interpersonal conflict is unavoidable, but we can learn to manage it. Conflict: A condition that exists anytime two or more people disagree. Conflict is a natural phenomenon, neither inherently good or bad, but there may be positive or negative outcomes.

Sources of Conflict Conflicts may originate from a number of different sources, including: Differences in information, beliefs, values, interests, or desires. A scarcity of some resource. Rivalries in which one person or group competes with another.

Sources of Conflict Task Interdependencies One member of a group or a group fails to finish a task that another member or group depends on, causing the waiting worker or group to fall behind. Different Evaluation or Reward Systems A group is rewarded for achieving a goal, but another interdependent group is rewarded for achieving a goal that conflicts with the first group.

Desirability of Conflict Functional conflict: works toward the goals of an organization or group Increases information and ideas Encourages innovative thinking Unshackles different points of view Reduces stagnation

Dysfunctional Conflict Dysfunctional conflict: blocks an organization or group from reaching its goals Tension, anxiety, stress Drives out low conflict tolerant people Reduced trust Poor decisions because of withheld or distorted information Excessive management focus on the conflict

Levels and Types of Conflict Intrapersonal conflict Occurs within an individual Threat to a person’s values Feeling of unfair treatment

Levels and Types of Conflict Interpersonal conflict Between two or more people Differences in views about what should be done Efforts to get more resources Differences in orientation to work and time in different parts of an organization

Conflict Management Strategies Compromise Collaboration Avoidance Harmonizing or Accommodation Competition

Conflict Resolution Process Step One: Set the Scene Step Two: Gather Information Step Three: Agree the Problem Step Four: Brainstorm Possible Solutions Step Five: Negotiate a Solution 10

Stress Any interference that disturbs a person’s healthy mental and physical well-being. Can cause: low quality of service High staff turnover Poor reputation Poor organizational image Dissatisfied workers

Stress Signs are often spotted by family, friends, and colleagues before the affected individual recognizes it.

Solutions to Stress Time management Organization Communication Inner balance Breaks

Apologies Person who did harm must admit that she/he did something that caused harm Person must show genuine regret or shame abut what happened Person must apologize without making excuses or trying to justify his or her actions When appropriate, offender should attempt to make up for what she or he did

Other Problems and Techniques Clouding Fogging Passive aggressive Aggression 15

Downsizing as a Source of Conflict The evidence indicates that downsizing is guaranteed to accomplish only one thing — it makes organizations smaller. — Jeffery Pfeffer (1998).

Downsizing as a Source of Conflict reducing work hours reducing pay taking outsourced work back building inventories freeze hiring and reshuffle workers do training, maintenance, etc. refrain from hiring during peak demands encourage people to innovate (product, services, & markets) transfer people to sales to build demand

Beliefs and Performance Beliefs are assumptions or convictions that a person holds to be true regarding people, concepts, or things. Beliefs, values, and norms guide the actions of individuals and groups. They are quite powerful as people will often risk danger and die for deeply held beliefs and values.

Values and Performance Values are the ideas about the worth of importance of things, concepts, and people. They come from a persons beliefs.