Conflict and Negotiation Class 26 11 19 Sang Hoon Han PhD Candidate CPA Department of Management and Human Resources Fisher College of Business The Ohio State University Conflict Overview 2 Conflict Overview Conflict occurs when one party perceives that its interests are being opposed or negatively affected by another party View of Conflict Initially experts believed all conflict was bad Conflict had to be avoided or quickly resolved It was recognized that conflict is inevitable and managers need to learn to live with it OB Specialists realized that conflict had both positive and negative outcomes Organizations could suffer from too much or too little conflict Moreover OB scholars found that different types of conflicts can have different consequences 3 Conflict Overview Positive conflict and negative conflict Functional Conflict Constructive or cooperative conflict characterized by consultative interactions a focus on the issues mutual respect and useful give and take Dysfunctional conflict Conflict that is detrimental to organizational goals and objectives and threatens an organization s interests Organizations could suffer from too much or too little conflict apathy lack of interest hindrance to cooperation and teamwork division among members 4 Test your knowledge o The less conflict there is the better it is for the organization X o All conflicts are dysfunctional X o Organizations can suffer from too little conflict O o Too much conflict can be negative for organizational performance O 5 Conflict Resolution Management 6 Different Conflict Resolution Strategies High Obliging Lose Win Integrating Win Win Compromising s r e h t o r o f n r e c n o C Lose Lose Avoiding Low Low Concern for self Win Lose Dominating High 7 Different Conflict Resolution Strategies High s r e h t o r o f n r e c n o C Integrating Win Win People confront the issue and cooperatively identify the problem generate and evaluate alternatives and select a solution Appropriate for complex issues when time and resources are available for problem solving when resources possessed by both parties are needed to solve the problem Low Strength deals with underlying problem Weakness time consuming resource needed High Low Concern for self 8 Different Conflict Resolution Strategies High Passive withdrawal from problem or active suppression of the issue Appropriate for trivial issues when costs of confrontation outweigh benefits of resolving conflict when cooling off period is needed Strength buys time Weakness temporary fix and sidesteps underlying problem s r e h t o r o f n r e c n o C Lose Lose Avoiding Low Low Concern for self High 9 Different Conflict Resolution Strategies High Obliging Lose Win s r e h t o r o f n r e c n o C Low concern for the self and a great concern for others Appropriate party when you think you may be wrong when the issue is more important to the other when you are willing to give up something in exchange for something else when preserving relationship is important Strength enhances cooperation Weakness temporary fix may not fix underlying Low Low problem Concern for self High 10 Different Conflict Resolution Strategies High I win you lose tactics Often called forcing Often relies on formal authority to force compliance Appropriate when a deadline is near when an unpopular solution must be implemented when the other party lacks expertise to make decisions Strength speed Weakness breeds resentment s r e h t o r o f n r e c n o C Low Low Concern for self Win Lose Dominating High 11 Different Conflict Resolution Strategies A moderate concern for both self and others Appropriate High when opposing parties have opposite goals or equal power when consensus cannot be reached temporary solution to a complex problem is needed Strength everyone gets something Weakness temporary fix that can stifle problem solving Compromising s r e h t o r o f n r e c n o C Low Low Concern for self High 12 Test your knowledge Which of the following is true about integrating strategy in handling conflicts A It is appropriate for complex issues B It is appropriate when time is available for problem solving C It is appropriate when resources possessed by both parties are needed to solve the problem D It generally consumes much time E All of the above A B C and D are all true about integrating strategy Therefore choose E 13 Test your knowledge The conflict handling strategy is characterized by high concern for others and high concern for self A B C D E Compromising Integrating Obliging Avoiding Dominating 14 Test your Knowledge The avoiding conflict handling style is characterized by A High concern for self and low concern for others B High concern for self and high concern for others C High concern for others and low concern for self D Low concern for others and low concern for self E Moderate concern for self and others Test your Knowledge Nate is a manager at a small appliance store He is working with an unhappy customer who is yelling at him Nate s policy on handling customer complaints is to give the customer what they want even at a cost to the company This represents the handling style A compromising B integrating C obliging D avoiding E dominating Types of Conflict 17 Intragroup conflict o Relationship conflict Pinkley 1990 Interpersonal incompatibilities Interpersonal negative emotions friction dislike annoyance irritation Detrimental to performance less effective work suboptimal products o Task conflict Amason Sapienza 1997 Different viewpoints in task content and goals what No interpersonal negative emotions Beneficial to performance benefit from different opinions improve decision quality o Process conflict Jehn 1997 How to process task how Duty assignment responsibility to each member Hinder effective performance if continued 18 Dynamic Nature of Conflict 19 Test your knowledge Mark s group tends to experience a great deal of conflict regarding how to process tasks and who is responsible for which task According to Jehn and Mannix 2001 this is known as conflict A B C D E process task relationship work project 20 Dynamic Nature of Conflict 21 Dynamic Nature of Conflict 22 Test your knowledge Which type of conflict should be managed at a low level throughout a project to support team performance A B C D E Interactional conflict Relationship conflict Task conflict Process conflict Intergroup conflict 23 Negotiation 24 Negotiation Definition A process of a joint decision making made by two or more parities
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