discussion board-work conflict

10 Major Topics I’ll Learn and Questions I Should Be Able to Answer

10.1 A Contemporary View of Conflict MAJOR QUESTION: How can a contemporary perspective on conflict make me more effective at school, work, and home?

10.2 Conventional Forms of Conflict MAJOR QUESTION: What are some types of conflict and how can I manage them to my benefit?

10.3 Forms of Conflict Intensified by Technology MAJOR QUESTION: What can I do to manage work–family conflict and incivility to make me more effective at school, work, and home?

10.4 Effectively Managing Conflict MAJOR QUESTION: What can I do to prevent, reduce, or even overcome conflict?

10.5 Negotiation MAJOR QUESTION: What are some best practices for effective negotiation?

How Can These Skills Give Me an Advantage?

MANAGING CONFLICT AND NEGOTIATIONS

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The Organizing Framework in Figure 10.1 summarizes the key concepts you’ll learn in this chapter. You’ll notice a large number of person factors, such as your personality, experience, conflict-handling styles, mindfulness, and civility influence the type, fre- quency, and intensity of conflict you have in all arenas of your life. Many of these same factors influence how you negotiate. You’ve also undoubtedly expect relationship quality, leadership, organizational climate, as well as a number of norms and practices to shape conflict and negotiations at work. The importance of these factors notwith- standing, our primary focus in this chapter is understanding conflict and negotiation processes themselves, and how they in turn impact nearly every outcome in the Orga- nizing Framework. This complexity and broad impact of conflict, in particular, high- lights the critical importance of managing conflict for your own satisfaction and performance at work.

FIGURE 10.1 ORGANIZING FRAMEWORK FOR UNDERSTANDING AND APPLYING OB

SOURCE: © 2014 Angelo Kinicki and Mel Fugate. All rights reserved. Reproduction prohibited without permission of the authors.

INPUTS PROCESSES OUTCOMES

Person Factors • Personality • Experience • Skills and abilities • Conflict-handling styles • Values • Needs • Mindfulness • Ethics • Incivility

Situation Factors • Relationship quality • Leadership • Organizational climate • Stressors • Incivility • Alternative dispute resolution

practices

Individual Level • Conflict and negotiation • Emotions • Interpersonal skills • Perceptions • Performance management

practices • Trust • Communication

Group/Team Level • Group/team dynamics • Conflict and negotiation • Decision making • Performance management • Leadership • Communication • Trust

Organizational Level • Human resource policies and

practices • Communication • Leading and managing

change and stress

Individual Level • Task performance • Work attitudes • Citizenship behavior/

counterproductive behavior • Turnover • Career outcomes • Creativity

Group/Team Level • Group/team performance • Group satisfaction • Group cohesion and conflict

Organizational Level • Accounting/financial

performance • Customer satisfaction • Innovation • Reputation

Winning at Work Negotiating Salaries and Raises

What’s Ahead in This Chapter We continue our discussion of the group and team level in the Organizing Framework and address conflict and negotiation in this chapter. Conflict is an inevitable part of organizational life. We describe both positive and negative forms of conflict—yes, there are both. We also explore common forms of conflict at work, such as per- sonality and intergroup. Significant attention is given to work–life conflict and cyberbullying, problems created and intensified by Internet technology and social media. We then provide practical guidance on how to manage various forms of conflict, followed by an explanation of negotiation, including types of negotiations and ethical pitfalls.

honest and say: “I’m not sure my salary reflects mar- ket value, so I’m checking with colleagues to find out what the current salary range is in our field. Would you be willing to talk about compensation?” Assure them you’ll keep it confidential, and then, if they’re willing, start by giving them a range where your salary falls and asking them how it compares with theirs.

• Query former colleagues. Ask former coworkers what they think is an appropriate range for your job in a company of your employer’s size and in- dustry. It may help to keep the discussion in the third person: “What do you think is a competitive or appropriate salary for a solid performer doing X type of work in a company like mine (or a company like yours)?”

• Give to get. Another effective approach is to offer your salary and then ask: “Does that sound compet- itive with what you’re making or what your company offers?”

• Ask recruiters. One of the very best sources is re- cruiters who place people in jobs and companies like yours. Salary is almost always part of their dis- cussions. So, if you’re going to build out your net- work, adding a recruiter or two who will share such info can be extremely valuable. But you need the relationship first. It’s no use cold calling a recruiter and expecting him or her to answer your questions—that expertise is part of what recruiters get paid for!2

Experts offer this advice for getting the best compensation you can.

Negotiating Your Salary for a New Job • Know the market rate. Research what companies

are paying other employees with similar jobs in the same area. Glassdoor.com often can help.

• Know your own value. Can you justify asking for more than the market rate? If yes, then be prepared to justify this premium with compelling examples of your perfor- mance and accomplishments. Whether asking for pre- mium or not, it is always a good idea to focus on how you benefited your past or present employers.

• What’s in it for them? Of course, like everybody else you pursue particular jobs because of how they will benefit you. However, during interviews and negoti- ations for a new job you are best served by focusing on the ways you can benefit your new employer, help the hiring manager reach her goals, and what a positive impact you’ll have in work teams.

• Be honest. Don’t exaggerate your current or past pay, your actual value, or accomplishments.

• Don’t go first. Try to wait for the other person to name a number. If you feel you must say something first, then you might say you want to be paid the rate of a top performer with your qualifications. If you have to give an answer, give a range, not a specific dollar figure.

• Consider benefits, too. Some of the most valuable parts of your compensation package may be insur- ance, retirement savings, vacation time, or the abil- ity to work from home a certain percentage of time. Retirement may seem like eons away, but an em- ployer matching your 5 percent contribution to your 401(k) plan is like giving you an extra 5 percent of pay—without an immediate tax bite.

• Look at the long term. If you can’t get a big pay package, consider whether you can ask for some- thing else that will help your long-term career, for example, a chance to work on an important assignment.1

Negotiating a Pay Raise Preparation is critical. You need information, and the following are some valuable sources and techniques for acquiring it. • Ask current colleagues. Peers are the best but also

the toughest source. The best strategy is to be

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379Managing Conflict and Negotiations CHAPTER 10

Because conflicts occur between people, a good place to begin is for you to learn about your own tendencies for conflicts with others. You likely believe you have relatively few and are easy to get along with, which may be true. However, even the most problematic bosses think so of themselves. Test your impressions of yourself by completing Self- Assessment 10.1.

MAJOR QUESTION

How can a contemporary perspective on conflict make me more effective at school, work, and home?

THE BIGGER PICTURE

Conflict is an ever-present part of your life and an important group-level process in the Orga-

nizing Framework. To help you better understand and manage conflict, we explore several

common causes of conflict at school and work. Then you’ll learn about what it means to have

too little, too much, and just enough conflict (the conflict continuum). We explain why not all

conflict is bad or dysfunctional; some forms are functional or desirable. Next, we describe

some desired outcomes of functional conflict.

10.1 A CONTEMPORARY VIEW OF CONFLICT

Interpersonal Conflict Tendencies Please be prepared to answer these questions if your instructor has assigned Self- Assessment 10.1 in Connect.

1. Does your score match your perception of yourself?

2. The assessment measures how well you get along with others and how they treat you; both are sources of conflict. If you were to improve the measure, what other factors do you think should be included?

SELF-ASSESSMENT 10.1

Conflict Is Everywhere and It Matters Conflict is a pervasive part of the human experience. Some surveys report that employees spend two or more hours per week, or one day per month, dealing with some type of con- flict at work. Not only is conflict time consuming, but employees also report many other undesirable consequences, such as

• 25 percent call in sick. • 24 percent avoid work-related events. • 18 percent quit. • 16 percent say they’ve been fired. • 9 percent attribute project failures to conflict.3 

Whether these statistics move you or not, you can safely assume that all forms of conflict at work are underreported. Due to these consequences, and the fact that conflict occurs both within and between levels in the Organizing Framework for OB, managing it effectively is essential for individual, departmental, and organizational effectiveness.

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However, it is important to realize conflict has both positive and negative conse- quences. The goal of this chapter is to help you understand how to avoid the negatives while also gaining from conflict’s positive outcomes. Let’s begin by defining conflict, describing the conflict continuum, and then explaining the difference between functional and dysfunctional conflict.

A Modern View of Conflict Conflict  occurs when one “party perceives that its interests are being opposed or negatively affected by another party.”4 The word perceives reminds us that sources of conflict and issues can be real or imagined, just like perceptions of fairness. A lack of fairness, perceived or real, is a major source of conflict at work. 

A Conflict Continuum Ideas about managing conflict underwent an interesting evolution during the 20th cen- tury. Initially, management experts believed all conflict ultimately threatened manage- ment’s authority, reduced productivity, and thus had to be avoided or quickly resolved. They later recognized the inevitability of conflict and advised managers to learn to live with it. Emphasis, nevertheless, remained on resolving conflict whenever possible. Be- ginning in the 1970s, OB specialists realized conflict had both positive and negative out- comes. This perspective introduced the revolutionary idea that organizations can suffer from either too much conflict or too little. Neither is desirable.

Appropriate types and levels of conflict energize people to move in constructive directions.5 The relationship between conflict intensity and outcomes is illustrated in Figure 10.2. The differences between types and levels of conflict lead to the distinction between functional and dysfunctional conflict discussed next.

Functional vs. Dysfunctional Conflict The distinction between functional conflict and dysfunctional conflict pivots on whether the organization’s interests are being served. Functional conflict,  commonly referred to as constructive or cooperative conflict, is characterized by consultative interac- tions, a focus on the issues, mutual respect, and useful give-and-take. In such situa- tions people often feel comfortable disagreeing and presenting opposing views. Positive outcomes frequently result. 

FIGURE 10.2 RELATIONSHIP BETWEEN CONFLICT INTENSITY AND OUTCOMES

SOURCE: C. G. Donald, J. D. Ralston, and S. F. Webb, “Arbitral Views of Fighting: An Analysis of Arbitration Cases, 1989–2003,” Journal of Academic and Business Ethics, July 2009, 1–19.

Positive

Neutral

Negative

Intensity

O ut

co m

es

Too little conflict

Too much conflict

Appropriate conflict

HighModerateLow

Characterized by apathy, lack of creativity, indecision, and missed deadlines

Characterized by eroding performance, political infighting, dissatisfaction, lack of teamwork, and agression.

381Managing Conflict and Negotiations CHAPTER 10

Each of these factors is lacking in cases of dysfunctional conflict,  disagreements that threaten or diminish an organization’s interests.6 This danger highlights the valuable role of management, and your own actions, in determining whether conflict is positive. To effec- tively deal with any kind of conflict, we need to understand some of the common causes. 

Common Causes of Conflict Certain situations produce more conflict than others. Knowing the causes can help you and managers anticipate conflict and take steps to resolve it if it becomes dysfunctional. Table 10.1 lists many of the situations that tend to produce either functional or dysfunc- tional conflict. Which have happened to you?

Proactive managers look for these early warnings and take appropriate action. For example, we can sometimes reduce conflict by making decisions on the basis of majority approval rather than striving for a consensus. However, if conflict is unnoticed or allowed to continue, it can and does escalate.

Escalation of Conflict When conflict escalates, the intensity increases and often leads to cycles of provocation and counter-provocation. The conflicting parties then often replace meaningful exchange and debate with increasingly destructive and negative attacks, which are often more about undermining or hurting the other party than advancing one’s own interests.7 People then take positions that are increasingly extreme and hard to justify. Conflict escalation often exhibits these five characteristics:

1. Tactics change. Parties often move from “light tactics,” such as persuasive argu- ments, promises, and efforts to please the other side, to “heavy tactics” that include threats, power plays, and even violence.

2. Number of issues grows. More issues that bother each party are raised and included in the conflict.

3. Issues move from specific to general. Small and specific concerns often become more vague or general and can evolve into a general dislike of or intolerance for the other party.

4. Number of parties grows. More people and groups are drawn into the conflict. 5. Goals change. Parties change their focus from “doing well” or resolving conflict to

winning and even hurting the other party.8

Which of the five characteristics are present in the following OB in Action box?

TABLE 10.1 SITUATIONS THAT COMMONLY PRODUCE CONFLICT

Incompatible personalities or value systems Inadequate communication

Overlapping or unclear job boundaries Interdepartment/intergroup competition

Competition for limited resources Unreasonable deadlines or extreme time pressure

Unreasonable or unclear policies, standards, or rules

Decision making by consensus (dissenters may feel coerced)

Organizational complexity (conflict tends to increase as the number of hierarchical layers and specialized tasks increases)

Collective decision making (the greater the number of people participating in a decision, the greater the potential for conflict)

Interdependent tasks (one person cannot complete his or her assignment until others have completed their work)

Unmet expectations (employees who have unrealistic expectations about job assignments, pay, or promotions are more prone to conflict)

SOURCE: Adapted in part from discussion in A. C. Filley, Interpersonal Conflict Resolution (Glenview, IL: Scott, Foresman, 1975), 9–12; and B. Fortado, “The Accumulation of Grievance Conflict,” Journal of Management Inquiry, December 1992, 288–303. See also D. Tjosvold and M. Poon, “Dealing with Scarce Resources: Open-Minded Interaction for Resolving Budget Conflicts,” Group & Organization Management, September 1998, 237–255.

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Since 9/11, heightened airline secu- rity has increased frustrations for both airline employees and passen- gers. Passengers have to abide by ever more rules that employees must enforce. For instance, on a flight from Europe to the United States, a simple passenger request escalated quickly. “Bill Pollock asked a flight attendant about a sign telling passengers not to venture beyond the curtain sepa- rating economy class from the rest of the plane,” The New York Times re- ported. “He wanted to stretch his legs and visit his wife seated on the opposite aisle, using the passageway behind the galley in the plane’s midsection. But when he questioned a flight attendant on the policy and began recording their conversation using his cell phone, the situation quickly escalated: The flight atten- dant grabbed his phone and nearby federal air marshals intervened.”

The marshals held him against the wall with his hands behind his back. Pollock said, “I wasn’t violent, I didn’t use four-letter words. All I did was ask this guy about the sign on the curtain and they flipped out.” Afterward Pollock wondered about his rights and the rules, such as being restricted to particular cabins and not just bathrooms, as well as the right to video/audio record flight crew. A spokesperson for the Federal Aviation Administration responded that there is no rule limiting passenger movement on planes, but “no person may assault, threaten, intimidate, or interfere with a crew member in the performance of the crew member’s duties.”

YOUR THOUGHTS?

1. What is your reaction? 2. Why do you think the situation escalated? 3. What could the flight attendant have done differently to prevent escalation? 4. What could the passenger have done differently to avoid escalation?

First a Question, Then a Major Altercation9 OB in Action

Heightened airline security since 9/11 has increased frustrations and conflicts for passengers and employees. © Jim West/Alamy

Why People Avoid Conflict Are you uncomfortable with conflict? Do you go out of your way to avoid it? If so, you’re not alone. Many of us avoid conflict for a variety of reasons both good and bad. Some of the most common are the following:

• Fear of harm to ourselves. • Fear of rejection. • Fear of damage to or loss of relationships. • Anger. • Desire not to be seen as selfish. • Desire to avoid saying the wrong thing. • Fear of failure.

383Managing Conflict and Negotiations CHAPTER 10

• Fear of hurting someone else. • Fear of getting what you want.10

This list is self-explanatory, except for the last item. It refers to people who, for per- sonal reasons, feel undeserving or fear the consequences of success and thus tend to sabo- tage themselves.

Of course, avoiding conflict doesn’t make it go away. It may continue or even esca- late. Moreover, avoiding conflict can cost you a promotion. Many otherwise qualified employees are passed over for management and executive positions because they avoid making tough decisions, confronting poor performance, or challenging weak or faulty ideas. This suggests that conflict-handling, not conflict-avoiding, skills are in high de- mand.11 Southwest Airlines took this to heart. 

Leaders wanted to shake up what they viewed as a culture of “artificial harmony” among staffers. The company now promotes middle managers to executive positions partly based on their ability to spark conflict among staffers, says Elizabeth Bryant, vice president of training. During a five-week training program, these high-potential managers learn to foster vigorous but respectful internal debates.12

This view is reinforced by noted management consultant Patrick Lencioni, who said: “The only thing worse than engaging in conflict is not to do so.”13

What is the alternative? The Applying OB box below provides useful suggestions. For our purposes, it is enough to become aware of our fears and practice overcoming them, as the rest of this chapter will show.

Applying OB

When you’re tempted to avoid conflict, you may be wise to do the following instead.

1. Stop ignoring a conflict. Ignoring or working around a conflict won’t make it go away and may cause further escalation. Instead, bring both sides together to ad- dress the issues.

2. Act decisively to improve the outcome. Delay only causes the problem, real or perceived, to fester. Addressing a conflict in short order can help unveil misunder- standings or simple oversights before they grow into something more or spread.

3. Make the path to resolution open and honest. Involve all relevant parties, collect information, and determine a desired outcome. Doing so helps resolve misunder- standings and focuses everybody on the end state instead of wallowing in the (alleged) offenses.

4. Use descriptive language instead of evaluative. Beware of accusations and judg- mental language. Both put people on the defensive and impede progress. Instead, focus on the problem (behaviors, feelings, implications) and solution rather than the perpetrator.

5. Make the process a team-building opportunity. If the problem affects the team, then it may be beneficial to approach the conflict and its solution as a team. Such resolutions may improve relationships in such a way that the team functions even better than it did before the conflict.

6. Keep the upside in mind. Effective conflict resolution creates “success momentum.” In other words, conflicts are signs along the road to the final and desired destination. Don’t get bogged down and lose sight of the ultimate goal or bigger picture.

Avoiding Conflict Makes It Grow14

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Let’s remind ourselves what we get for our conflict-solving efforts. After all, embrac- ing conflict or taking a more functional and constructive view can be difficult if not counterintuitive. What are the outcomes we seek?

Desired Outcomes of Conflict Management Conflict management is more than simply a quest for agreement, nor should it be a quest for victory. If progress is to be made and dysfunctional conflict minimized, we need a broader goal. An influential model of cooperative conflict outlines these three desired outcomes:

1. Agreement. Equitable and fair agreements are best. An agreement that leaves one party feeling exploited or defeated will tend to breed resentment and subsequent conflict.

2. Stronger relationships. Good agreements enable conflicting parties to build bridges of goodwill and trust for future use. Moreover, conflicting parties who trust each other are more likely to keep their end of the bargain they have made.

3. Learning. Functional conflict can promote greater self-awareness and creative problem solving. Like the practice of management itself, successful conflict han- dling is learned primarily by doing. Knowledge of the concepts and techniques in this chapter is a necessary first step, but there is no substitute for hands-on prac- tice. There are plenty of opportunities to practice conflict management in today’s world.15

We therefore encourage you, when possible, to look at conflict not as a war or a battle, but instead as an opportunity or a journey. Keep the following observation in mind for the balance of this chapter:

Conflict gives you an opportunity to deepen your capacity for empathy and intimacy with your opponent. Your anger transforms the “other” into a stereotyped demon or villain. Similarly, defensiveness will prevent you from communicating openly with your opponents, or listening carefully to what they are saying. On the other hand, once you engage in dialogue with that person, you will resurrect the human side of his/her personality—and express your own as well.16

TAKE-AWAY APPLICATION

Practicing Functional Conflict

1. Think of a conflict or a strained situation that you either haven’t addressed or have purposefully avoided.

2. Describe how you could apply suggestions 2, 3, and 4 from the Applying OB box above.

3. If the situation involves a team or a group of people, describe how you might use this as an opportunity for team building (suggestion 5).

4. Identify and focus on the upside (suggestion 6), because it will help motivate you to follow the other suggestions and prevent you from getting discouraged.

385Managing Conflict and Negotiations CHAPTER 10

As we discussed in the first section, opposition isn’t necessarily a problem. It can be a constructive way of challenging the status quo and improving behaviors, processes, and outcomes. New ideas by definition contrast with old ideas or ways of doing things. However, opposition becomes an issue if it turns into dysfunctional conflict and im- pedes progress and performance. Personality conflict and intergroup conflict can both cause a number of undesirable outcomes across levels of the Organizing Framework for OB.

Personality Conflicts Given the many possible combinations of personality traits, it is clear why personality conflicts are inevitable. How many times have you said or heard, “I just don’t like him [or her]. We don’t get along.” One of the many reasons for these feelings and statements is personality conflicts. We define a personality conflict  as interpersonal opposition based on personal dislike or disagreement. Like other conflicts, personality conflicts often escalate if not addressed. Think of personality conflicts you’ve had at work or school. What were the consequences for you? The other person? Members of your team, department, or class? Did they escalate? If the source of a conflict really is personalities, it is particularly troublesome since personality traits are by definition stable and resistant to change.

Research shows that conflicts over work tasks can turn into personal conflicts and escalate into bullying.17 But they have other undesirable outcomes too, such as negative emotions related to particular coworkers and to work in general. If these feelings persist beyond work, employees can ruminate and fail to recover appropriately. The result can harm their health and non-work relationships.18

A particularly troublesome form of conflict that is too often attributed to per- sonalities is sexual harassment and other forms of discrimination. Such conflicts have nothing to do with personalities and are unethical if not also illegal.19 But the accused often attribute the target’s resistance and complaints to personality: “She’s too sensitive,” or “He can’t take a joke.” It is critically important to identify and remedy such conflicts.

MAJOR QUESTION

What are some types of conflict and how can I manage them to my benefit?

THE BIGGER PICTURE

You can probably think of many types of conflicts from your own life, and you likely have a

good idea what caused most of them. But in this section we focus on two of the most com-

mon and consequential types of conflict in organizations—personality and intergroup. The

first occurs at the individual level and the other at the group level. Understanding both types

will make you more effective at managing an extremely valuable group-level process in the

Organizing Framework.

10.2 CONVENTIONAL FORMS OF CONFLICT

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How to Deal with Personality Conflicts

Bill Gross is the billionaire investor long known as the bond king. Beginning in the early 1970s he worked at PIMCO and built a $2 trillion empire. His stern, domineering, “my way or the highway” approach caused many conflicts. But in recent years these conflicts with noted individuals within the firm, including then-CEO Mohammed El-Erian, became intolerable. El-Erian and others left, and Gross tried to fire more. Eventually the board fired Gross. The troubles didn’t stop there. Investors have pulled nearly $400 billion since Gross’s departure, and he is suing PIMCO for $200 million more. He now works just down the street at a competitor—Janus.20 © Patrick T. Fallon/Bloomberg/Getty Images

Kevin Reddy, the chair and CEO of Noodles & Co. Restaurants and former COO of Chipotle Mexican Grill, hired Dan Fogarty as chief marketing officer knowing Fogarty’s personality clashed with that of the company’s president, Keith Kinsey. (Fogarty and Kinsey had previously worked together at Chipotle.)

Reddy knew that Kinsey was analytical and pragmatic, while Fogarty was un- structured and creative. The CEO counted on and took advantage of their differ- ent personalities and heated debates. Reddy believed executives who challenge one another—rather than validating each others’ ideas—produced the best think- ing. He said, “I don’t mind if it gets a little bloody as long as it’s merely a flesh wound.”21

How successful his strategy proved is hard to say. But it is worth noting that in 2015 Fogarty left in March, citing “personal reasons,”22 and Kinsey left in June to become CEO of Portillo’s Hot Dogs.23

The CEO Who Planned a “Food Fight” OB in Action

387Managing Conflict and Negotiations CHAPTER 10

TABLE 10.2 HOW TO RESPOND WHEN AN EMPLOYEE EXPERIENCES A PERSONALITY CONFLICT

For The Employee For Third-Party Observers For The Employee’s Manager

1. Be familiar with and follow company policies on diversity, discrimination, and sexual harassment.

2. Communicate directly with the other person to resolve the perceived conflict (emphasize problem solving and common objectives, not personalities).

Do not take sides in someone else’s personality conflict.

Investigate and document the conflict; if appropriate, take corrective action (feedback or behavior modification).

3. Avoid dragging coworkers into the conflict.

Suggest the parties work things out for themselves in a constructive and positive way.

If necessary, attempt informal dispute resolution.

4. If dysfunctional conflict persists, seek help from direct supervisors or human resource specialists.

If dysfunctional conflict persists, refer the problem to the parties’ direct supervisors.

Refer difficult conflicts to human resource specialists or hired counselors for formal resolution efforts and other interventions.

Butt Your Heads Together and Fix the Problem24

At Black Butte Coal in Wyoming, a warehouse supervisor and maintenance manager’s conflict esca- lated to the point that their manager was going to fire both of them. Not only did they disagree and argue, but they also yelled at each other in front of other employees. It seemed that their goals for their respective departments, and the determination of each to meet those goals at the other’s cost, caused them to lose sight of the bigger picture and the way their efforts contributed to the outcome for the larger company. 

Amanda DeBernardi, the HR manager, stepped in to help. She put the two employees in a room with a blank piece of paper in front of each. She then gave each the opportunity to explain his position and issues, without interruption, while the other took notes.

Problem-Solving Application

Apply the 3-Step Problem-Solving Approach

Step 1: Define the problem in this case.

Step 2: Identify the potential causes.

Step 3: Make your recommendations. DeBernardi got you started on a potential solution, but what else would you do? You can build on her actions or take a different course. Explain.

Table 10.2 presents practical tips for both you and managers who are involved in or affected by personality conflicts. Best practices vary depending on the party. Steps 2 through 4 in the table show how to escalate your concern if the conflict is not resolved.

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Intergroup Conflict Conflict among work groups, teams, and departments is a common threat to individual and organizational effec- tiveness, as illustrated in the Organiz- ing Framework. The application of hydraulic fracturing (fracking) to ex- tract oil, for instance, has caused in- tense conf licts between local residents, local and state legislatures, energy companies, and environmental groups. In Florida, environmentalists are against fracking, local govern- ments and citizens are concerned about damage being done in their communities, oil companies are eager to drill, and all these concerns roll up to the state legislature, which must ul- timately decide what to do. In early 2016 the state considered legislation that would regulate fracking. The other parties then argued that the mea- sures the state is considering miss im- portant elements and potential consequences.26 

Because so many parties can be involved, and because intergroup conflicts can each be so different, we differentiate them in terms of states and processes. 

Conflict States and Processes • Conflict states  are shared perceptions among team members about the tar-

get and intensity of the conflict. Targets can be either tasks (goals or ideas) or relationships.

• Conflict processes  are the means by which team members work through task and relationship disagreements.27

Recent research strongly supports what you likely suspect, that conflict processes, or the ways teams manage differences, matter. Much like the case in ensuring distributive and procedural justice, process always matters!28 So much so that a leading expert and her colleagues concluded this about conflict processes: “How teams interact regarding their differences are at least as important as conflict states, that is, the source and inten- sity of their perceived incompatibilities.”29 

The importance of conflict states and processes is commonly highlighted in mergers, such as those in the telecom industry where consumers, regulators, content providers, and telecom companies themselves often have opposing interests and views. When Comcast offered to buy Time Warner, for instance, consumers and regulators argued that this merger would result in less competition, fewer choices, and higher prices. Content pro- viders, companies that make TV shows and movies, were concerned that fewer providers would enable those that do remain to charge higher fees to distribute their content.30 The opposition won; the merger didn’t happen. We address conflict states (targets) in more detail in the next two sections of this chapter.

In-Group Thinking—“Us vs. Them” Cohesiveness—a “we feeling” that binds group members together—can be a good thing or a bad thing. A certain amount of

The exponential growth of Uber and other ride-sharing companies has caused tremendous conflicts between taxi drivers, as well as between ride-sharing companies and the local and federal officials who regulate transportation around the world. For instance, violent protests in Paris and other French cities by drivers opposed to ride sharing brought traffic to a standstill.25 The way Uber and other such companies deal with and resolve these conflicts will be critical to their future success. Some cities and countries have outlawed their services and others have restricted them. The road to this industry’s future expansion is not so smooth. © Marcio Fernandes/AP Photo

389Managing Conflict and Negotiations CHAPTER 10

cohesiveness can turn a group of individuals into a smooth-running team. Too much cohesiveness, however, can breed groupthink, because a desire to get along pushes aside critical thinking and challenges to existing or inferior ideas. The study of in-groups has revealed an array of challenges associated with increased group cohesiveness and in- group thinking. Specifically,

• Members of in-groups view themselves as a collection of unique individuals, while they stereotype members of other groups as being “all alike.”

• In-group members see themselves positively and as morally correct, while they view members of other groups negatively and as immoral.

• In-groups view outsiders as a threat. • In-group members exaggerate the differences between their group and other

groups, which typically leads them to a distorted perception of reality.31

Managers cannot eliminate in-group thinking, but they certainly should not ignore it when handling intergroup conflicts. Let’s explore some options for managers— and you.

How to Handle Intergroup Conflict How have you attempted to solve conflicts between a group of which you are a member and another group? While many techniques are successful in particular situations, re- search and practice support three specific approaches:

• Contact hypothesis. • Conflict reduction. • The creation of psychologically safe climates.

Making an effort to understand and appreciate differing company, industry, or cultural customs is an effective way to avoid conflicts and make all parties more comfortable. © Blend Images/Alamy RF

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Contact Hypothesis The contact hypothesis  suggests that the more members of different groups interact, the less intergroup conflict they will experience. Those interested in improving race, international, and union–management relations typically encourage cross-group interaction. The hope is that any type of interaction, short of ac- tual conflict, will reduce stereotyping and combat in-group thinking.

But research has shown this approach to be naive and limited. For example, a study of ethnic majority (in-group) and ethnic minority (out-group) students from Germany, Belgium, and England revealed that contact did reduce prejudice. Specifically, contact over time resulted in a lower desire for social distance and fewer negative emotions re- lated to the out-group. The quality of contacts mattered too, especially regarding equal status, cooperation, and closeness. It wasn’t enough simply to encounter members of the out-group (to just be introduced, for example). 

However, prejudice also reduced contact. Those in the out-group were more reluc- tant to engage with or contact the in-group. Contact had no effect on reducing prejudice of the minority out-group toward the majority in-group.32 One interpretation of these re- sults is that contact matters, high-quality contact matters more, but both matter the most from the in-group’s perspective.

Nevertheless, intergroup friendships are still desirable, as many studies document.33 But they are readily overpowered by negative intergroup interactions. Thus the top pri- ority for managers faced with intergroup conflict is to identify and root out specific negative linkages between or among groups. More specifically, focusing on the per- ceived security and quality of the interactions matters. If you and/or your managers can make the out-group feel there is nothing at stake (they are not being evaluated), they are more likely to feel secure and satisfied with the interaction. This reassurance can also reduce both groups’ prejudices about the other. We can achieve such benefits by sharing social interests or social events where the focus is not on work, particularly the out- group’s work.34

Conflict Reduction Considering this evidence, managers are wise to note negative interactions between members and groups and consider options for reducing conflict. Several actions are recommended:

• Eliminate specific negative interactions (obvious enough). • Conduct team building to reduce intra-group conflict and prepare for cross-

functional teamwork. • Encourage and facilitate friendships via social events (happy hours, sports leagues,

and book clubs). • Foster positive attitudes (empathy and compassion). • Avoid or neutralize negative gossip. • Practice the above—be a role model.35

TAKE-AWAY APPLICATION

Handling Intergroup Conflict

1. Think of an intergroup conflict in your own life. Your example should include a description of a group, team, or department of which you are or were a member, as well as the nature of the conflict state (task or relationship).

2. Then describe how the conflict was handled. Was it resolved?

3. Regardless of your answer to question 2, explain how one or more of the above recommendations could have been applied to reduce, eliminate, or even prevent the conflict described in question 1.

391Managing Conflict and Negotiations CHAPTER 10

Creating a Psychologically Safe Climate As we’ve discussed, conflict occurs at all levels in the Organizing Framework. This means the causes and remedies can also oc- cur at individual, group, and organizational levels. One such organizational-level cause and remedy is a climate of psychological safety. A psychological safety climate  repre- sents a shared belief among team members that it is safe to engage in risky behav- iors, such as questioning current practices without retribution or negative consequences.36 When employees feel psychologically safe, they are more likely to speak up and present their ideas and less likely to take disagreements personally. This interaction results in increased team creativity,37 less conflict within and between teams, and higher individual and team performance.38 Psychological safety climates also help improve employee turnover, safe work behaviors, and job satisfaction.39

How can you and your employers create or foster a climate for psychological safety? Here are three fundamental and widely applicable practices:

1. Ensure leaders are inclusive and accessible. 2. Hire and develop employees who are comfortable expressing their own ideas, and

receptive and constructive to those expressed by others. 3. Celebrate and even reinforce the value of differences between group members and

their ideas.40

Find out the level of psychological safety in one of your groups, teams, or organiza- tions by completing Self-Assessment 10.2. It’s a quick, accurate, and valuable way to get a sense of this important environmental characteristic. Knowing the level of psychologi- cal safety can help you understand why some conflicts occur and how effectively you can handle them.

Psychological Safety Climate Please be prepared to answer these questions if your instructor has assigned Self- Assessment 10.2 in Connect.

1. Identify a group at school or work of which you are a member. It helps if the one you choose has to deal with opposing views and make decisions. Complete Self-Assessment 10.2 focusing on this group.

2. Which items help you understand why the group deals with conflicts as it does?

3. Explain three things you and your group members can do to increase psycho- logical safety and reduce conflict.

SOURCE: Excerpted from A. Edmondson, “Psychological Safety and Learning Behavior in Work Teams,” Administrative Sci- ence Quarterly 44 (1999), 350–383. Copyright © 1999. Reproduced with permission of Sage Publications, Inc. via Copy- right Clearance Center.

SELF-ASSESSMENT 10.2

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Students, employees, and people everywhere have always experienced conflicts be- tween the various arenas of their lives, notably between work, school, and home. But historically, various activities and their demands were confined to the physical loca- tions in which they occurred—work happened largely at the office. Not anymore. Technology has blurred the old boundaries—and also extended mistreatment to every place and every arena. The Internet and social media are new and devastating tools for bullies and other bad actors. For these reasons we give special attention to these forms of conflict.

Work–Family Conflict Work–family conflict  occurs when the demands or pressures from work and family domains are mutually incompatible.41 Work–family conflict can take two distinct forms: work interference with family and family interference with work.42 For example, suppose two managers in the same department have daughters playing on the same soccer team. One manager misses the big soccer game to attend a last- minute department meeting (work interferes with family), while the other manager skips the meeting to attend the game (family interferes with work). Both kinds of con- flicts matter, because they can negatively affect many important outcomes in the Or- ganizing Framework and your larger life domain (see Table 10.3). As research accumulates, it is also becoming clear that work interfering with family is the far more frequent and consequential problem.43

What about you? What level of conflict do you think you experience between school and other domains of your life? Self-Assessment 10.3 will help you see such conflicts from the point of view of others, not just your own perceptions. It can also help you iden- tify which conflicts are the most and least serious, and this knowledge can assist you in deciding what to do about them.

MAJOR QUESTION

What can I do to manage work–family conflict and incivility to make me more effective at school, work, and home?

THE BIGGER PICTURE

We focus our discussion on two particular forms of conflict: work–family conflict and incivility.

You face demands at school and other arenas of your life—work, social life, and perhaps a

family—and these demands can compete with each other and cause conflicts for you. Such

conflicts, along with uncivil behavior or mistreatment, can have dramatic and undesirable ef-

fects on your personal health, well-being, opportunities, and other outcomes in the Organiz-

ing Framework.

10.3 FORMS OF CONFLICT INTENSIFIED BY TECHNOLOGY

393Managing Conflict and Negotiations CHAPTER 10

TABLE 10.3 NEGATIVE CONSEQUENCES OF CONFLICTS BETWEEN WORK, FAMILY, AND OTHER LIFE DOMAINS

Work Interferes With Family

Family Interferes 

Outcomes Linked to Life More Generally

Job satisfaction Marital satisfaction Life satisfaction

Intentions to quit Family satisfaction Health problems

Absenteeism Family-related strain Depression

Performance Family-related performance Substance use/abuse

SOURCE: Adapted from F. T. Amstad, L. L. Meier, U. Fasel, A. Elfering, and N. K. Semmer, “A Meta-Analysis of Work-Family Conflict and Various Outcomes with a Special Emphasis on Cross-Domain versus Matching Domain Relations,” Journal of Occupational Health Psychology, 2011, 151–169.

School–Non-School Conflict Please be prepared to answer these questions if your instructor has assigned Self-Assessment 10.3 in Connect.

1. What is your reaction?

2. Do any of your responses and sources of conflict surprise you?

3. Which do you think is greater, the social dimension (questions 1–6) or the cogni- tive dimension (questions 7–9)?

4. What can you do to prevent or reduce the conflicts you identified?

SOURCE: Adapted from S. R. Ezzedeen and P. M. Swiercz, “Development and Initial Validation of a Cognitive-Based Work- Nonwork Conflict Scale,” Psychological Reports, 2007, 979–99. Reprinted with permission of Ammons Scientific Ltd.

SELF-ASSESSMENT 10.3

Making many conflicts worse is the spillover effect. This means, for instance, that hostilities in one life domain can manifest in other domains.44 Because these and other consequences can be numerous and troublesome, researchers and managers alike have devoted extensive attention and effort to understanding and reducing conflicts and their spillover effects. From a practical perspective, it is helpful to think of balance.

Balance Is the Key to Reducing Conflict A survey asked employees to list the biggest factors that damage work–life balance:

The leading answer by a mile was “bad bosses”—defined as “demanding, overbearing, and mean.” Tied for second, constantly working beyond standard business hours and inflexibility in scheduling work hours and off time. A not-so-distant third were incompetent colleagues and long commutes.45

It is therefore no surprise that 46 percent of employees in another survey said work– life balance was the thing they valued most when looking for a new job (second only to salary, cited by 57 percent).46 Ideally, you will be able to avoid or remove conflicts com- pletely. But more often than not you will have to balance demands coming from the dif- ferent domains of your life. Here are some ideas to consider.

• Work–family balance begins at home. Case studies of successful executives reveal that family and spousal support is critical for reaching senior-level positions.47 This suggests that both men and women need help with domestic responsibilities if there is any chance of achieving work–family balance. 

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Sheryl Sandberg, chief operating officer of Facebook, moved the issue of work–life balance to the front pages with her celebrity and her book Lean In. She championed the belief that women can have it all, including rising to the C-suite in corporate America. But having it all, according to Sandberg, requires a husband or partner who can help balance the load. In her own book, Unfinished Business, Anne-Marie Slaughter, former Princeton dean and State Department official, agrees with Sandberg that women can indeed climb to the top rungs of corporate ladders. However, she claims that women can’t have it all unless they are superhuman, rich, or self-employed. The system needs to change—men need to have the same responsibilities as women and vice versa—in order for there to be balance and for the career trajectories of women to be similar to those of men.48 (Left): © Spencer Platt/Getty Images; (right): © Paul Morigi/Getty Images

A number of companies have taken work–life balance to another level. For in- stance, United Shore Financial Services in Troy, Michigan, requires that employ- ees work only 40 hours per week. Sure, plenty of companies talk about such limits, but it’s a reality at this mortgage wholesaler. Mat Ishbia, the CEO, claims the “firm 40” policy makes employees more efficient and focused when at work, knowing they must be completely unplugged when they leave. There is no after- hours e-mailing or coming in on weekends.

Ishbia also claims that since word about the policy has gotten out, the firm has attracted more talented employees than in the past. He describes the policy this way: “5:55 p.m. on a Friday is no different from 10:55 a.m. on a Tuesday—taking

At United Shore Financial—Give Me Only 40 or You’re Fired!50

OB in Action

• An employer’s family-supportive philosophy is more important than specific programs. Organizational culture must support the use of family-friendly pro- grams in order for employees to benefit from them. For instance, it’s not enough to simply provide child care; employees must also feel supported and comfort- able using it. The same goes for leaving work early to attend a child’s sporting event or recital.

• The importance of work–family balance varies across generations. A study of the work values of 16,000 adults of all ages suggests that organizations should consider implementing work policies targeted toward different generational groups.49 For example, flextime and compressed work programs can attract and retain both Gen Ys and Gen Xers, while job enrichment may be a more effective way to motivate baby boomers.

395Managing Conflict and Negotiations CHAPTER 10

Flex Space vs. Flextime and Your Supervisor Balance requires flexibility, which is a key aspect of many efforts to eliminate or reduce conflicts. That said, not all flexibil- ity is the same. 

Flex space,  such as telecommuting, occurs when policies enable employees to do their work from different locations besides the office (coffee shops, home, or the beach).

Flextime  is flexible scheduling, covering either the time when work must be completed (deadlines) or the limits of the workday (9–5, 10-4, or any time today).

Understanding the differences can help you better balance your own demands be- tween not only work and family, but school and the rest of your life too. At first you might think more is better—more flex space and more flextime will make you happier if not also more productive. Research shows that this is not true. There can be benefits to greater flexibility, but flex space in particular can end up further blurring the boundaries between work and other arenas of your life and consequently adding to conflicts.52 Flex, but beware. 

One final caution: The value of most flexible work arrangements can be undermined if your immediate supervisor isn’t supportive. Put another way, supportive policies mat- ter, but what good is a policy if you aren’t allowed to use it?53 Fully half of companies surveyed offer some sort of flexible work arrangements, yet the same companies report that only a third of employees utilize them.54

Now let’s turn our attention to a different category of conflict—incivility.

Incivility—Treating Others Poorly Has Real Costs Incivility  is any form of socially harmful behavior, such as aggression, interper- sonal deviance, social undermining, interactional injustice, harassment, abusive supervision, and bullying.55 Like other OB concepts, incivility is perceptual—it is in the eyes of the beholder.56 If you feel you’ve been treated poorly, then you’ve been treated poorly, and this feeling is what affects numerous outcomes across levels of the Organizing Framework.

Recent research reports that 98 percent of employees reported experiencing some form of incivility, and 50 percent said they had been treated rudely at least once a week!57

no breaks for Facebook or online shopping. But once the day is done, employees are off duty until the next morning.” Laura Lawson, the company’s chief people of- ficer, says this: “You give us 40. Everything else is yours.”51 The premise, sup- ported by research, is that everybody needs time to recover. More hours do not necessarily translate into more productivity. Some studies in fact show that any more than 48 hours of work per week results in a dramatic decrease in productiv- ity per hour.

United Shore’s practices are quite different from those of many companies trying to better integrate work and life and in the process often further blurring the lines between these two arenas and increasing conflict.

YOUR THOUGHTS?

1. What do you think are the benefits of United Shore’s “firm 40” practice for the firm?

2. What do you think are some of the likely challenges for the firm or its employees? 3. What would you most appreciate about a “firm 40” policy? 

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Table 10.4 describes common employee responses to incivility and their frequencies. Besides the obvious—that no one likes to be mistreated—experts on the topic describe the costs of incivility this way:

The costs chip away at the bottom line. Nearly everybody who experiences workplace incivility responds in a negative way, in some cases overtly retaliating. Employees are less creative when they feel disrespected, and many get fed up and leave.58

Even more shocking is the prevalence and impact of incivility in health care. For in- stance, hospital workers whose supervisors mistreated them were less likely to share knowledge and information, which diminished their team’s performance.59 Another study found that almost 25 percent of physicians said incivility led to patient harm, and nearly 75 percent of those physicians said bad behavior in their team caused medical errors, even contributing to patient deaths.60 

Finally, one estimate is that 13 percent of executives’ time at Fortune 1000 compa- nies is spent dealing with incivility. This equates to seven weeks per year!61 Now that you’re clear on the magnitude of the problem, let’s explore some causes and solutions.

Causes of Incivility It’s no surprise that both individuals and their employers can be the root cause of mistreatment at work. Figure 10.3 illustrates common causes of various forms of incivility.

Note that the causes, just like the outcomes, can occur at all three levels in the Organizing Framework. Also note that incivility is contagious, like emotions, and if unchecked it can escalate. If your boss is rude to you, then you are more likely to look for rude behavior in your interactions with others and respond accordingly (neg- atively). This may help explain why incivility has been shown to be catastrophic to teamwork, because it undermines collaboration and individual member perfor- mance.62 This means bad behavior is truly an organizational problem, even if it starts with a single individual.

Bullying Bullying occurs at multiple levels in OB. Recall our discussion of counter- productive work behaviors and bullying in Chapter 2, where the Winning at Work section and a Problem-Solving Application box addressed bullying from the target’s or individual’s perspective. We build on these here and explore the implications of bullying at the group and organization levels. Bullying is different from other forms of mistreat- ment or incivility in at least three ways.63

1. Bullying is usually evident to others. Bullies at work don’t have to push you down or take your lunch money, like they do in elementary school. But even when the bully- ing is less obvious and nonviolent, coworkers are commonly aware through either

TABLE 10.4 EMPLOYEES’ RESPONSES TO AND THE COSTS OF INCIVILITY AT WORK

48% intentionally decreased their work effort

47% intentionally decreased the time spent at work

38% intentionally decreased the quality of their work

63% lost work time avoiding the offender

66% said performance declined

25% admitted to taking frustration out on customers

12% said they left their job because of it

SOURCE: C. Porath and C. Pearson, “The Price of Incivility—Lack of Respect Hurts Morale and the Bottom Line,” Harvard Business Review, January–February 2013.

397Managing Conflict and Negotiations CHAPTER 10

gossip or other forms of communication (meetings, e-mail, and social media) that someone is being bullied.

2. Bullying affects even those who are NOT bullied. Research shows that employees who are simply aware of bullying of colleagues but are not themselves a target are more likely to quit their jobs. This means bullying has costs that extend well beyond the harm to the person being bullied.64 Simply witnessing or being aware that one of your colleagues is mistreated has negative effects on you.

3. Bullying has group-level implications. Because even those who are not targeted by bullies can be affected, bullying often negatively affects group dynamics and group satisfaction and performance,65 important processes and outcomes in the Organizing Framework.

Given the costs of bullying, what can you and employers do? Table 10.5 provides a collection of best practices from business and research.

Cyber Bullying and Harassment Advances in technology have changed the nature of conflict at school and work.66 The Internet and particularly social media have created new avenues and weapons for bullies at school, at work, and in our social lives. Many researchers now report that virtual bullying is more common than face-to-face bullying, although the two often co-occur.67 Worse still, both face-to-face and cyber bullying affect their victims in two ways. Not only do the uncivil acts directly harm the targeted person, but also the fear of future mistreatment amplifies this effect. Given this, what can you and managers do to avoid bullying and other forms of incivility? The practices described in Table 10.5 are a good start. But it is useful for you and your employer to take specific ac- tions to prevent and address virtual incivility (harassment and bullying) in e-mails and social media. Here are some ideas.

FIGURE 10.3 CAUSES, FORMS, AND OUTCOMES OF INCIVILITY AT WORK

SOURCE: Inspired by and adapted from R. Singleton, L. A. Toombs, S. Taneja, C. Larkin, and M. G. Pryor, “Workplace Conflict: A Strategic Leadership Imperative,” International Journal of Business and Public Administration 8 (2011), 149–156.

• Organizational justice— distributive, procedural, and interpersonal • Destructive leadership— autocratic (employee involvement actively dis- couraged) and laissez-faire (lack of interest in employees) • HR policies and procedures—unfair performance review process, lack of grievance process

Organizational Causes

• Stress • Decreased job satisfaction and performance • Post-traumatic stress disorder (PTSD) • Negative emotions (anger and fear) • Intentions to quit • Uncivil behaviors by others (sabotage and aggression) • Lower group cohesiveness and performance • Damaged organizational reputation

Outcomes

• Lack of character and ethics • Past experience as target of incivility • Sensitivity to injustice and harassment • Different goals • Incompatible personalities • Biases and stereotypes

Individual Causes

• Harassment • Aggression • Unfair treatment by managers and coworkers • Abusive supervision • (Cyber) Bullying

Forms of Incivility

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Brianna Wu is well known for her independent game development studio, Giant Spacekat, which has produced mobile games such as Revolution 60. But Wu also is known as the target of the now infamous online group Gamergate. As one reporter described it, “She came under attack by a vicious posse of cyber trolls intent on ruining her career, invading her privacy, destroying her reputation, and, as indicated by numerous threats, killing her.” The threats have been so severe and persistent that Wu needs a security detail and avoids putting her name on the programs of different events she is invited to attend. She has received no fewer than 108 death threats.68 Part of what makes her a target is that she is determined to develop and market “action-packed video games made for women, by women, starring kick-a$$ female characters,” in what has been and still is an industry dominated by male developers.69

© Joanne Rathe/The Boston Globe/Getty Images

TABLE 10.5 ANTI-BULLYING STRATEGIES FOR GROUPS AND ORGANIZATIONS

Develop a workplace bullying policy.

Encourage open and respectful communication.

Develop a clear procedure for handling complaints about bullying.

Identify and model appropriate ways for people to interact with colleagues.

Develop and communicate a system for reporting bullying.

Identify and resolve conflicts quickly and fairly to avoid escalation.

Identify the situations, policies, and behaviors likely to cause bullying or allow it to occur.

Train employees to manage conflict.

Establish and enforce clear consequences for those who engage in bullying.

Monitor and review employee relationships, with particular attention to fairness.

SOURCE: Adapted from H. Cooper-Thomas, D. Gardner, M. O’Driscoll, B. Cately, T. Bentley, and L. Trenberth, “Neutralizing Workplace Bullying: The Buffering Effects of Contextual Factors,” Journal of Managerial Psychology 28 (2013), 384–407.

399Managing Conflict and Negotiations CHAPTER 10

Policies • Create and enforce policies covering acceptable technology usage. • Ensure that company technology (computers and smartphones) cannot be used

anonymously. • Communicate expectations for e-mail and social media communications outside

work that affect the organization and its members.

Practices • Enforce your policies! • In communications, be wary of: • The use of bold or UPPER CASE lettering (denoting shouting) and underlining

and punctuation. • Messages that are mean-spirited. • Demeaning phrases. • Personal insults. • Avoid sending copies of e-mails related to conflicts to people who don’t need to be

involved—so as not to embarrass the recipient or escalate the conflict. • Think before you hit the send button (it’s a good idea to wait until the next day). • Take appropriate action when you become aware of “conflict-producing” e-mail.70

Victim, Witness, or Perpetrator? You’ve learned about various forms of conflict, as well as potential causes and solutions. Let’s conclude this section by having you assess not just your experience but also your actions. Completing Self-Assessment 10.4 can help you improve your own effectiveness.

Bullying Scale—Target and Perpetrator Please be prepared to answer these questions if your instructor has assigned Self- Assessment 10.4 in Connect.

1. Which three example items do you most commonly experience?

2. What do you think are the causes of these examples? Try to identify causes across individual, group, and organizational levels using your OB knowledge.

3. To what extent do your most common experiences of being bullied match those you most commonly engage in?

4. Describe some things that could be done to prevent or reduce these acts of bullying.

SOURCE: From T. Glomb, “Predicting Workplace Aggression: Reciprocal Aggression, Organizational, and Individual Responses,” International Journal of Organization Theory and Behavior 13 (2010), 249–291. Reprinted with permission. 

SELF-ASSESSMENT 10.4

Another way to be more effective and helpful when witnessing bullying is to take the perspective of the target. Consciously think about what it is like to be him or her, walk in his or her shoes, and experience the effects of being bullied. In a practical sense, perspective-taking can serve as a low-cost and highly effective intervention to help reduce many of the prejudices and bad behaviors often observed in work and school settings. You can also use it when mediating conflicts, because in the heat of the conflict most parties are so focused on themselves that they never think to consider the other’s view.

Remember that mistreatment has more victims than the actual target. Don’t be a si- lent bystander, but do your part to prevent and remedy various forms of incivility at school, work, and home.

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Programming Functional Conflict Have you ever been on a team or committee that got so bogged down in details and pro- cedures it accomplished nothing? Most of us have. Such experiences are both a waste of time and frustrating. To break out of such ruts, you essentially have two options:

1. Fan the fire and get more of the same. Managers can urge coworkers to hunker down and slog through—simply persist. While this approach may work, it can be unreliable (conflict can escalate) and slow.

2. Program conflict. Managers can resort to programmed conflict. Experts in the field define programmed conflict  as “conflict that raises different opinions regard- less of the personal feelings of the managers.”71 The challenge is to get contribu- tors to either defend or criticize ideas based on relevant facts rather than on the basis of personal preference or political interests. This positive result requires disciplined role-playing and effective leadership.

Two programmed conflict techniques with proven track records are devil’s advocacy and the dialectic method. Let’s explore each.

Devil’s Advocacy Devil’s advocacy gets its name from a traditional practice within the Roman Catholic Church. When someone’s name comes before the College of Cardi- nals for elevation to sainthood, it is absolutely essential to ensure that the person had a spotless record. Consequently, one individual is assigned the role of devil’s advocate to uncover and air all possible objections to the person’s canonization. In today’s organiza- tions devil’s advocacy  assigns someone the role of critic. Figure 10.4 shows the steps in this approach. Note how devil’s advocacy alters the usual decision-making process in steps 2 and 3 on the left-hand side of the figure.

The Dialectic Method Like devil’s advocacy, the dialectic method is a time-honored practice, going all the way back to ancient Greece. Plato and his followers attempted to identify truths, called thesis, by exploring opposite positions, called antithesis. Court sys- tems in the United States and elsewhere today rely on hearing directly opposing points of view to establish guilt or innocence. Accordingly, the dialectic method  calls for

MAJOR QUESTION

What can I do to prevent, reduce, or even overcome conflict?

THE BIGGER PICTURE

We extend your knowledge in this section by introducing a number of practical means for

dealing with a variety of conflicts. Specifically, we explore ways to program or create func-

tional conflict. You also will learn about various conflict-handling styles and when to use

them. We then explore how to implement alternative forms of dispute resolution (ADR). The

practical knowledge in this section will enable you to better manage conflicts and in turn

yield many important outcomes in the Organizing Framework.

10.4 EFFECTIVELY MANAGING CONFLICT

401Managing Conflict and Negotiations CHAPTER 10

managers to foster a structured dialogue or debate of opposing viewpoints prior to making a decision.72 Steps 3 and 4 in the right-hand side of Figure 10.4 set the dialectic approach apart from common decision-making processes.

Pros, Cons, and Practical Advice on Programmed Conflict It is a good idea to rotate the job of devil’s advocate so no one person or group develops an undeserved negative reputation. Moreover, periodically playing the devil’s advocacy role is good training for developing analytical and communication skills and emotional intelligence.

As for the dialectic method, it is intended to generate critical thinking and reality testing. A major drawback is that the goal of “winning the debate” might overshadow the issue at hand. The dialectic method also requires more skilled training than does devil’s advocacy. Research on the relative effectiveness of the two methods ended in a tie, although both methods were more effective than consensus decision making.73

FIGURE 10.4 TECHNIQUES FOR STIMULATING FUNCTIONAL CONFLICT: DEVIL’S ADVOCACY AND THE DIALECTIC METHOD

A devil’s advocate decision program The dialectic decision method

6 The decision is monitored.

5 The decision to adopt, modify, or discontinue the proposed course

of action is taken.

4 Any additional information

relevant to the issues is gathered.

3 The critique is presented to

key decision makers.

2 A devil's advocate (individual

or group) is assigned to criticize the proposal.

1 A proposed course of action

is generated.

6 The decision is monitored.

5 The decision to adopt either position,

or some other position, e.g., a compromise, is taken.

4 Advocates of each position present

and debate the merits of their proposals before key decision makers.

3 A conflicting counterproposal is generated based on di­erent

assumptions.

2 Assumptions underlying the proposal

are identified.

1 A proposed course of action

is generated.

SOURCE: From R. A. Casler and R. C. Schwenk, “Agreement and Thinking Alike: Ingredients for Poor Decisions,” Academy of Management Executive, February 1990, 72–73. Reproduced with permission of The Academy of Management, via Copyright Clearance Center.

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However, another study showed that devil’s advocacy produced more potential solu- tions and made better recommendations for a case problem than did the dialectic method.74

In light of this mixed evidence, you have some latitude in choosing a method for pumping creative life back into stalled deliberations. Personal preference and the role-players’ experience may well be the deciding factors in your decision. The important thing is to actively stimulate functional conflict when necessary, such as when the risk of blind conformity or groupthink is high.

Conflict-Handling Styles People tend to handle (negative) conflict in similar ways, referred to as styles. Figure 10.5 shows that five of the most common styles are distinguished by the combatants’ relative concern for others (x-axis) and for self (y-axis). The combinations of these two character- istics produce the conflict-handling styles called integrating, obliging, dominating, avoid- ing, and compromising.75

Integrating (also called problem solving): When using an integrating style,  inter- ested parties confront the issue and cooperatively identify it, generate and weigh alternatives, and select a solution.

Obliging (also called smoothing): If you have an obliging style,  you tend to show low concern for yourself and a great concern for others. Such people tend to minimize differences and highlight similarities to please the other party.

Dominating: Those with a dominating style  have a high concern for self and low concern for others, often characterized by “I win, you lose” tactics. The other party’s needs are largely ignored. This style is often called forcing because it relies on formal authority to force compliance.

Avoiding: With an avoiding style,  passive withdrawal from the problem and ac- tive suppression of the issue are common. We addressed the pitfalls of avoiding conflict earlier.

Compromising: The compromising  style is a give-and-take approach with a moderate concern for both self and others. Compromise is appropriate when parties have opposite goals or possess equal power.

Before you learn about the characteristics of these styles and the best situations in which to use each one, take Self-Assessment 10.5 to learn your own style. Then you’ll be able to see whether what you learn matches your style. Better still, you’ll know the situations in which your preferred style helps you and when it hurts you in handling conflict. For instance, wouldn’t you like to know when an avoiding style is most effective?

FIGURE 10.5 FIVE COMMON CONFLICT-HANDLING STYLES

Concern for self High Low

Low

High

C on

ce rn

fo r

ot he

rs

Dominating

Integrating Obliging

Avoiding

Compromising

SOURCE: From M. A. Rahim, “A Strategy for Managing Conflict in Complex Organizations,” Human Relations, 1985, 84. Reproduced with permission of Sage Publications Ltd. via Copyright Clearance Center.

403Managing Conflict and Negotiations CHAPTER 10

When to Apply the Various Conflict-Handling Styles Consistent with the con- tingency approach described throughout this book, conflict resolution has no “one style fits all” approach. Research and practice thankfully provide some guidance indicating which styles seem to work best in particular situations (see Table 10.6).

Preferred Conflict-Handling Style Please be prepared to answer these questions if your instructor has assigned Self- Assessment 10.5 in Connect.

1. What is your style? On the surface, before reading below, does this make sense to you? Why or why not?

2. Describe a conflict you’ve experienced in which your conflict-handling style helped you.

3. Describe a conflict in which your style didn’t serve you well. Explain why.

4. Which style do you think would have been best for that particular conflict?

SOURCE: The complete instrument may be found in M. A. Rahim, “A Measure of Styles of Handling Interpersonal Conflict,” Academy of Management Journal, June 1983, 368–376. Copyright © 1983. Reproduced with permission of Academy of management via Copyright Clearance Center.

SELF-ASSESSMENT 10.5

TAKE-AWAY APPLICATION

Reflecting on My Conflict-Handling Styles

1. Think of a conflict in your own life.

2. Which style best describes the way you handled the conflict? Was it the appropri- ate style?

3. Explain which style would have been most appropriate and why.

When to Avoid Pamela Valencia, an organizational development consultant and trainer to Fortune 500 companies, recommends avoiding when: 

You decide that the conflict has no value, and that you’re better off saving your time and energy for other matters. Additionally, this can be a good temporary solution if you need more time to gather facts, refocus, take a break, or simply change the setting of the conflict. However, be sure not to avoid people in your attempt to avoid conflict—don’t be evasive.76

Why Styles Matter Because conflict is so pervasive, it is no surprise that researchers and managers have both devoted considerable attention to the topic. Key points about conflict-handling styles follow: 1. Culture.  Conflict-handling styles are not just an individual-level phenomenon.

Departments and entire organizations can develop the same styles—integrating, dominating, and avoiding. And leaders’ own styles have the greatest influence in determining which style gets embedded in the group or organization. 

2. Results. Cooperative styles (integrating and obliging) improved new-product devel- opment performance between buyers and suppliers across several industries in Hong Kong. In contrast, uncooperative styles (dominating and avoiding) increased numer- ous types of conflicts and hampered new-product development. Compromising had

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TABLE 10.6 STYLES FOR HANDLING INTERPERSONAL CONFLICT AND THE SITUATIONS WHERE THEY ARE APPROPRIATE AND INAPPROPRIATE

Style Appropriate Inappropriate

Integrating 1. Issues are complex. 2. Synthesis of ideas is needed to come up

with better solutions. 3. Commitment is needed from other parties

for successful implementation. 4. Time is available for problem solving. 5. One party alone cannot solve the problem. 6. Resources possessed by different parties

are needed to solve their common problem.

1. Task or problem is simple. 2. Immediate decision is required. 3. Other parties are unconcerned

about outcome. 4. Other parties do not have problem-

solving skills.

Obliging 1. You believe that you may be wrong. 2. Issue is more important to the other party. 3. You are willing to give up something in

exchange for something from the other party in the future.

4. You are dealing from a position of weakness.

5. Preserving relationship is important.

1. Issue is important to you. 2. You believe that you are right. 3. The other party is wrong or

unethical.

Dominating 1. Issue is trivial. 2. Speedy decision is needed. 3. Unpopular course of action is

implemented. 4. Necessary to overcome assertive

subordinates. 5. Unfavorable decision by the other party

may be costly to you. 6. Subordinates lack expertise to make

technical decisions. 7. Issue is important to you.

1. Issue is complex. 2. Issue is not important to you. 3. Both parties are equally powerful. 4. Decision does not have to be made

quickly. 5. Subordinates possess high degree

of competence.

Avoiding 1. Issue is trivial. 2. Potential dysfunctional effect of

confronting the other party outweighs benefits of resolution.

3. Cooling-off period is needed.

1. Issue is important to you. 2. It is your responsibility to make

decision. 3. Parties are unwilling to defer. 4. Prompt attention is needed.

Compromising 1. Goals of parties are mutually exclusive. 2. Parties are equally powerful. 3. Consensus cannot be reached. 4. Integrating or dominating style is not

successful. 5. Temporary solution to a complex problem is

needed.

1. One party is more powerful. 2. Problem is complex enough to need

problem-solving approach.

SOURCE: M. A. Rahim, “Toward a Theory of Managing Organizational Conflict,” The International Journal of Conflict Management 13 (2002), 206–235.

405Managing Conflict and Negotiations CHAPTER 10

no effect on performance in these same situations.77 New-product development rela- tionships are increasingly important in the global economy. Give careful consider- ation to the styles you use when working with such partners.

3. Reduced turnover. Research with nurses showed that those with high levels of emo- tional intelligence were more inclined to use collaborative styles and less likely to use accommodating conflict-handling styles.78 Given the intense shortage of nurses in many parts of the world, turnover is a critical and top-of-the-mind issue for nursing managers and health care administrators alike. Therefore, reducing conflict (bully- ing) is an important and effective means for reducing turnover.

4. Contingency approach. No one style is best for every situation. Employees and managers are both well served to apply a contingency approach to conflict-handling styles.

Third-Party Interventions: Alternative Dispute Resolution Disputes between employees, between employees and their managers or employers, and between companies too often end up in lengthy and costly court battles. US businesses spend hundreds of billions of dollars per year on direct legal costs. But this number is puny when compared to indirect legal costs, such as opportunities not pursued due to liti- gation concerns, disclaimers, and extra testing. All such costs are ultimately passed on to consumers in the form of higher prices.79 

A more constructive, less expensive approach called alternative dispute resolution has grown rapidly in recent years. The benefit of alternative dispute resolution (ADR)  is that it “uses faster, more user-friendly methods of dispute resolution, instead of tra- ditional, adversarial approaches, such as unilateral decision making or litigation.”80

The Many Forms and Progression of ADR You may not realize it, but you al- ready know of many forms of ADR, such as peer review, arbitration, and mediation. We will discuss these and more in a moment. These techniques represent a progression of steps third parties can take to resolve organizational conflicts.81 ADRs have four general benefits over litigation:

1. Speed. Mediation, for example, often takes only a few hours and has a 70 to 80 per- cent success rate. This track record is in stark contrast to the months or even years litigation often requires, not to mention the numerous other costs.

2. Low cost. Research shows that ADRs generally cost 90 percent less than litigation. 3. Confidentiality. Because of the discovery process and other legal requirements,

confidentiality is limited in legal proceedings. However, ADRs often provide near- complete control over what’s disclosed and what’s not. Moreover, decisions of ADRs are rarely formalized like the outcomes of lawsuits, which means there is no record to be made public or to use as precedent in future conflicts.

4. Winning solutions. Courts rule based on the law, and their decisions are almost al- ways win or lose, with one party writing a check to the other. ADRs, in contrast, can often reach win–win solutions arranged by the parties themselves.82

The benefits of alternative dispute resolution are clearly acknowledged in the business world; 97 percent of Fortune 1000 companies use mediation (a form of ADR) for some purpose.83 Now that you know the benefits of ADRs, let’s learn about the various forms. Table 10.7 ranks them from easiest and least expensive to most diffi- cult and costly.

We close this section with a reminder. The time to consider the various forms of ADR is when a conflict first comes to light. Regardless of the issue, you are wise to evaluate likely costs and opportunities associated with conflict before it escalates, caus- ing legal action, fees, and anger to foreclose more functional or constructive outcomes.

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TABLE 10.7 DIFFERENT FORMS OF ALTERNATIVE DISPUTE RESOLUTION (ADR)

Form of ADR Description

Facilitation A third party, usually a manager, informally urges disputing parties to deal directly with each other in a positive and constructive manner.

Conciliation A neutral third party informally acts as a communication conduit between disputing parties. This is appropriate when conflicting parties refuse to meet face-to-face. The immediate goal is to establish direct communication, with the broader aim of finding common ground and a constructive solution.

Peer Review A panel of trustworthy coworkers, selected for their ability to remain objective, hears both sides of a dispute in an informal and confidential meeting. A decision by the review panel may or may not be binding, depending on the company’s ADR policy. Membership on the peer review panel often is rotated among employees.84

Ombudsman Someone who works for the organization, and is widely respected and trusted by his or her coworkers, hears grievances on a confidential basis and attempts to arrange a solution. This approach, more common in Europe than in North America, permits someone to get help from above without relying on the formal chain of hierarchy.

Mediation A neutral and trained third party guides the others to find innovative solutions to the conflict. To ensure neutrality, most organizations hired ADR qualified outsiders.85 Unlike an arbitrator, a mediator does not render a decision. It is up to the disputants to reach a mutually acceptable decision. The Equal Employment Opportunity Commission (EEOC) implemented mediation in the 1990s and cut the average time to resolution by 80 percent!86

Arbitration Disputing parties agree ahead of time to accept the decision of a neutral arbitrator in a formal courtlike setting, often complete with evidence and witnesses. Statements are confidential, and decisions are based on the legal merits of the case. Trained arbitrators, typically from outside agencies such as the American Arbitration Association, are versed in relevant laws and case precedents. In many instances, employee arbitration is mandatory for resolving disputes. Heated debate has occurred over the past several years, however, regarding mandatory versus voluntary arbitration. On the one hand, many employers have not reaped the time and cost savings promised by arbitration and now prefer to litigate. On the other, many employees feel arbitration unfairly benefits employers, who hire skilled arbitrators whose job it is to handle such disputes.87

407Managing Conflict and Negotiations CHAPTER 10

MAJOR QUESTION

What are some best practices for effective negotiation?

THE BIGGER PICTURE

Life is an endless series of negotiations. It therefore is valuable to better understand negotia-

tion and related strategies. We discuss different forms and tactics of negotiation in this sec-

tion because they are both the cause and remedy of many conflicts. And they can influence

outcomes across all three levels of the Organizing Framework.

10.5 NEGOTIATION

Negotiation  is a give-and-take decision-making process between two or more par- ties with different preferences. A common example is labor–management negotiations over wages, hours, and working conditions. Negotiation is even more important today given the increasingly complex and competitive workplace. More personally, you’ll nego- tiate many job salaries and promotions and other factors related to your own jobs and career. And you’ll be expected to accomplish more things, in more places, with more people, which increases the value of your negotiation skills.

Two Basic Types of Negotiation Negotiation experts often distinguish between two fundamental types of negotiation— position-based or distributive, and interest-based or integrative. Understanding the differ- ence has great practical value.

Position-Based vs. Interest-Based A distributive negotiation  usually con- cerns a single issue—a “fixed pie”—in which one person gains at the expense of another.88 This win–lose approach is arguably the most common type of negotiation and is characterized by dividing up the pieces of a pie. There is only so much pie to go around, and two (or more) parties negotiate over who gets how much or which parts. Haggling over the price of a car is a position-based or distributive negotiation. You have a particular price you want, and you get it only if the seller compromises on the price he or she desires.

However, many conflicts bring together a variety of interests (not just the price of a car), and each party in the negotiation values those interests differently. The out- come is no longer a fixed pie distributed among all parties. Instead, a host of interests are integrated into a mutually satisfying solution. Such scenarios call for integrative negotiation,  in which a host of interests are considered, resulting in an agree- ment that is satisfactory for both parties.89 This kind of interest-based negotiation is a more collaborative, problem-solving approach. As one group of researchers puts it, instead of dividing a pie, as in position-based negotiation, interest-based negotia- tions often generate win–win outcomes—one party gets the crusts and the other the fruit (the part each prefers). Interest-based negotiations may even lead to creative so- lutions. The parties may decide to build a pie factory together instead of negotiating over individual pies.90

Table 10.8 describes some key differences between conventional position-based ne- gotiation and the more collaborative interest-based process.

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Applying a Collaborative Interest-Based Approach The collaborative, interest-based approach is explicitly based on problem solving, and it can be applied between two or more individuals, between an individual and a group, or between two or more groups. The following protocol is followed by renowned negotiator Christina Merchant.91 

1. Define and frame the issue in terms of parties’ interests. 2. Explain the respective interests (listen, learn, and share). 3. Explore expanding the pie (create value rather than claiming it). 4. Create options. 5. Evaluate options in light of the interest described in step 1. 6. Choose the option that best meets the interest described. 7. Develop and agree on a plan of implementation.

Factors to Consider in All Negotiations Regardless of your negotiation approach, finding areas of common ground can be difficult. Successful negotiators are able to weigh multiple issues and gather information about which are most important to the other par- ties and why. Research and practice provide some helpful hints:

• Know who you are. Personality matters. Research shows that people with high levels of agreeableness are best suited for integrative negotiations, whereas those low in this personality characteristic are better at distributive negotiations.92 Why do you think this is?

• Manage outcome expectations. In most negotiations, each party has an expected outcome and compares it to the actual outcome.93 Skilled negotiators manage ex- pectations in advance of actual negotiations. For example, if two people paid $35,000 for a car, then the one who expected to pay $33,000 was disappointed and the one who expected to pay $37,000 was delighted. Similarly, managers will often

TABLE 10.8 KEY CHARACTERISTICS OF THE TWO FUNDAMENTAL FORMS OF NEGOTIATION

Position-Based Negotiation Interest-Based Negotiation

Adversarial Partner

Focus on winning Focus on challenge to be met

Acquire the most value Create value for all parties

Personal goal focused Solution focused

Impose or sell your own position Find mutual interests and satisfaction

Use salesmanship and manipulation Make honest disclosure of respective interests

Choose between relationship and achieving goals

Emphasize relationship and substance

Yield reluctantly to other positions/ interests

Be open and willing to yield

Outcomes are win–lose or compromise Win–win collaborative outcomes are possible

SOURCE: Adapted from K. Campbell and R. O’Leary, “Big Ideas for Big Problems: Lessons from Conflict Resolution for Public Administration,” Conflict Resolution Quarterly, Winter 2015, http://onlinelibrary.wiley.com/doi/10.1002/crq.21146/abstract.

409Managing Conflict and Negotiations CHAPTER 10

send out a message saying, “It’s been a tough year” in advance of annual reviews and salary discussions.

• Consider the other person’s outcome.94 Of course you negotiate for your own benefit. But it also matters how the other party fares—is he or she satisfied?

• Adhere to standards of justice.95 Not only do the outcomes need to be per- ceived as fair (distributive justice), but so too do the processes by which they were attained. For instance, nobody likes to be taken advantage of, such as by having incomplete information. Again, think of buying a new car. The dealer knows all the numbers, and despite the best information the web has to offer, you are still never as well informed.

• Remember your reputation.96 You may “win” today, only to foreclose oppor- tunities in the future. Put another way, winning at all costs often has significant costs!

Considering these factors can help you decide whether you should pursue a particular position (you win, they lose), or whether you’re better off reaching a collaborative, interest-based agreement that leaves both parties satisfied. 

Emotions and Negotiations Many people believe good negotiators show no emotion, like Roger Federer on the tennis court. But as you’ve learned, emotions are an integral part of the human experience and of almost everything we do. Negotiation experts and researchers acknowledge this and provide guidance on how to use emotions to your advantage. Remember that emotions are contagious. If you want the other party to be calm, creative, or energetic, consider showing these emotions yourself. 

Preparation is critical to effective negotiations. The following tips can help you pre- pare emotionally for an upcoming negotiation.

1. Identify your ideal emotions. How do you want to feel going into the negotiation? Why? Many people answer this question quickly and say, “Calm but assertive,” but

Many people say we are negotiating all the time and throughout our lives. Buying a car is one such instance. These transactions are excellent opportunities to apply your OB knowledge and improve your outcomes—more car for less money. © OJO Images Ltd/Alamy RF

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when probed further they reveal other, if not competing, emotions. The challenge is to realize which emotions will best suit your objectives, and be mindful of them while negotiating.

2. Manage your emotions. What can you do in advance to put yourself in the ideal emotional state? Promote positive emotions. Choose appropriately—meditation to calm you down or perhaps music that pumps you up. If you are ambushed or put on the spot, such as by an unexpected phone call or somebody stopping by your office, buy some time and say to your negotiating partner, “I just need to wrap up what I’m doing, and I’ll call you back in 10 minutes.” This will give you time to regain the ap- propriate emotional state.

Negotiating a pay raise or the price of a new car is stressful. But if you had Christopher Voss’s former job, you would be negotiating on behalf of the FBI for the safe return of hostages in many of the most unstable, war-torn parts of the world. That is an entirely different type of stress. Voss is therefore eminently qualified to teach us all something special about effective negotiations. He of- fers the following advice:

• Be likable! People are six times more likely to make a deal with someone they like.

• Confirm your understanding. Ask questions of the other side to be sure your perceptions of their position are accurate. 

• Let the other side go first. Regardless of how important the outcome is to you, you’ll benefit from learning the other parties’ interests. What is their posi- tion? What do they want? What challenges do they see? You’ll never have all the facts, but do what you can to learn what you can early in the process.

• Don’t make too much of body language. Look for all nonverbal cues, such as tone and volume of voice and facial expressions; sometimes they are quite telling. But don’t rush to conclude that folded arms or crossed legs mean resistance.

• Mind your emotions. Anger most often generates resistance and defensive- ness, which never help your cause. Anger can be used strategically, but be- ware of it and of other unintended and unproductive emotions. 

• Be ready to say, “That doesn’t work for me.” It is important to be willing to say no and walk away. Just be sure to do it gracefully; you don’t want to burn bridges unnecessarily. Says Voss, “If you’re not willing to say no, you’ve taken yourself hostage.”

YOUR THOUGHTS?

1. Which of Voss’s recommendations do you most often follow?  2. Which do you never use? Why? 3. What are two specific things you can do to be more likable during a negotiation? 4. Think of two questions you can use to confirm your accurate understanding of

the other’s position.

Take It from an FBI International Hostage Negotiator97

OB in Action

411Managing Conflict and Negotiations CHAPTER 10

3. Know your hot buttons. What can throw you off balance? Some people seem eter- nally patient, while others get frustrated easily. And some negotiators try to push your hot buttons as a deliberate tactic. Know your own tendencies and be sure to manage them appropriately.

4. Keep your balance. Everyone loses balance once in a while. How will you regain it if lost? Taking a break is a good idea. Stepping out, going to the restroom, or simply calling a “time-out” can provide a break in the action and enable you to regroup. These same tactics can redirect a negotiation that has gone in the wrong direction. You also may want to redirect to higher-level issues, especially if you are getting bogged down in details.

5. Identify your take-away emotions. How do you want to feel when you’re finished? Many people say, “Relieved,” which signifies the stress many of us feel while nego- tiating. Others say, “Satisfied,” which speaks more to performance. Whatever the case for you, set goals for emotions just as you do for other outcomes in negotiations (and in the Organizing Framework).98

TAKE-AWAY APPLICATION

Planning My Negotiations

Identify an upcoming negotiation or an existing conflict that you need to address.

1. Make a plan using the guidelines above.

2. What do you anticipate the benefits of the guidelines will be for the situation you chose?

3. After implementing your plan, reflect on the outcome. Which of the above tips were most helpful?

Do emotions affect position-based and interest-based negotiations differently? The answer appears to be yes. Recent research showed that expressing emotional ambivalence—not clearly positive or clearly negative—can be detrimental in position- based negotiations. The rationale is that it invites the other side to be assertive and take advantage of you. However, in interest-based negotiations, emotional ambivalence was shown to increase value creation. Being ambivalent, rather than clearly positive or nega- tive emotionally, tends to facilitate cooperation and allow you the opportunity to integrate the negotiators’ interests.99 

Nonverbal communications also help convey your emotions during negotiations. You can smile, laugh, or flinch in reaction to a first offer, for example. This signals to your counterpart that his or her proposal is outside your zone of possible agreement or ZOPA —the range of possible outcomes you are willing to accept.100 Be clear about your ZOPA regardless of the form of negotiation you choose. Now let’s close this section and chapter with a discussion of ethics and negotiations.

Ethics and Negotiations The success of negotiations is often influenced to a large extent by the quality of information exchanged. Telling lies, hiding key facts, and engaging in other poten- tially unethical tactics erodes trust and goodwill, both of which are vital in success- ful negotiations. Awareness of these dirty tricks can keep good-faith bargainers from being unfairly exploited. See Table 10.9 for a list and description of unethical nego- tiating tactics. These behaviors also need to be factored into organizational codes of ethics, and every employee from the top to the bottom of the organization must adhere to them.

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TABLE 10.9 QUESTIONABLE AND UNETHICAL TACTICS IN NEGOTIATIONS

Tactic Description/Clarification/Range

Lies Subject matter for lies can include limits, alternatives, the negotiator’s intent, authority to bargain, other commitments, acceptability of the opponent’s offers, time pressures, and available resources.

Puffery Among the items that can be puffed up are the value of one’s payoffs to the opponent, the negotiator’s own alternatives, the costs of what one is giving up or is prepared to yield, importance of issues, and attributes of the products or services.

Deception Acts and statements may include promises or threats, excessive initial demands, careless misstatements of facts, or asking for concessions not wanted.

Weakening the opponent The negotiator here may cut off or eliminate some of the opponent’s alternatives, blame the opponent for his own actions, use personally abrasive statements to or about the opponent, or undermine the opponent’s alliances.

Strengthening one’s own position

This tactic includes building one’s own resources, including expertise, finances, and alliances. It also includes presentations of persuasive rationales to the opponent or third parties (e.g., the public, the media) or getting mandates for one’s position.

Nondisclosure Includes partial disclosure of facts, failure to disclose a hidden fact, failure to correct the opponents’ misperceptions or ignorance, and concealment of the negotiator’s own position or circumstances.

Information exploitation Information provided by the opponent can be used to exploit his weaknesses, close off his alternatives, generate demands against him, or weaken his alliances.

Maximization Includes demanding the opponent make concessions that result in the negotiator’s gain and the opponent’s equal or greater loss. Also entails converting a win–win situation into win–lose.

SOURCE: From H. J. Reitz, J. A. Wall Jr., and M. S. Love, “Ethics in Negotiation: Oil and Water or Good Lubrication?” Business Horizons, May–June 1998.

As we’ve noted, conflict and negotiations are affected by and in turn influence many elements in the Organizing Framework. They can determine your personal satisfaction and performance throughout your professional life. Apply your knowledge of conflict and negotiation to realize its true value. 

413Managing Conflict and Negotiations CHAPTER 10

In this chapter you learned that by managing con- flict and applying sound principles in negotiation, you gain an advantage in working for better out- comes at work, school, and home, and across all levels of organizations. Reinforce what you learned with the Key Points below. Then consoli- date your learning using the Organizing Frame- work. Finally, challenge your mastery of this chapter by answering the Major Questions in your own words.

Key Points for Understanding Chapter 10 You learned the following key points.

10.1 A CONTEMPORARY VIEW OF CONFLICT

• Conflict occurs when one party perceives that its interests are opposed or negatively af- fected by another.

• Conflict can be either functional or dysfunc- tional.

• People avoid conflict for many reasons, but doing so can cause it to escalate.

• Positive outcomes of conflict often fit into three categories: agreement, stronger rela- tionships, and learning.

10.2 CONVENTIONAL FORMS OF CONFLICT

• Common forms of conflict are personality and intergroup.

• We can avoid or overcome personality con- flicts by communicating directly with the other party(ies), avoiding needlessly involving oth- ers, and, if necessary, pursuing help from su- periors or human resource specialists.

• Intergroup conflicts can be avoided or over- come if we distinguish between conflict states and processes, apply the contact hypothesis, and create a psychologically safe climate.

10.3 FORMS OF CONFLICT INTENSIFIED BY TECHNOLOGY

• Work–family conflict occurs when the de- mands or pressures from work and family do- mains are mutually incompatible.

• Work–family conflict can be addressed in many ways, such as by balancing demands between the different domains and implementing sup- portive employee policies and managerial practices, including flex space and flextime.

• Incivility (bullying and harassment) has nega- tive consequences not only for targeted em- ployees but also for coworkers who witness it.

• Cyber bullying is a particularly problematic form of incivility that must be monitored and ad- dressed by organizational policies and practices.

10.4 EFFECTIVELY MANAGING CONFLICT

• Functional conflict can be fostered using sev- eral approaches, such as programmed conflict, devil’s advocacy, and the dialectic method.

• Five common conflict-handling styles are inte- grating, obliging, dominating, avoiding, and compromising.

• Forms of alternative dispute resolution (ADR) include facilitation, conciliation, peer-review, ombudsman, mediation, and arbitration.

10.5 NEGOTIATION • Negotiation is a give-and-take decision-

making process involving two or more parties with different preferences.

• Position-based negotiation usually focuses on a single issue—dividing a “fixed pie”—in which one person gains at the expense of another.

• Interest-based negotiation seeks agreements that are better for both parties than they would have reached through position-based negotiation.

• Emotions and ethics affect any and all negotiations.

What Did I Learn?

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processed and internalized the lessons in the chapter? Refer to the Key Points, Figure 10.6, the chapter itself, and your notes to revisit and answer the following major questions:

1. How can a contemporary perspective on con- flict make me more effective at school, work, and home?

2. What are some types of conflict and how can I manage them to my benefit?

3. What can I do to manage work–family conflict and incivility to make me more effective at school, work, and home?

4. What can I do to prevent, reduce, or even overcome conflict?

5. What are some best practices for effective negotiation?

The Organizing Framework for Chapter 10 As shown in Figure 10.6, you learned that con- flict is an inevitable part of organizational life and serves as an especially important group/team- level process in the Organizing Framework. The way you manage conflict can influence outcomes across all levels of OB. You also learned that the process of negotiation is a valuable tool for pre- venting and managing conflict, as well as achiev- ing goals.

Challenge: Major Questions for Chapter 10 You should now be able to answer the following questions. Unless you can, have you really

FIGURE 10.6 ORGANIZING FRAMEWORK FOR UNDERSTANDING AND APPLYING OB

SOURCE: © 2014 Angelo Kinicki and Mel Fugate. All rights reserved. Reproduction prohibited without permission of the authors.

INPUTS PROCESSES OUTCOMES

Person Factors • Personality • Experience • Skills and abilities • Conflict-handling styles • Values • Needs • Mindfulness • Ethics • Incivility

Situation Factors • Relationship quality • Leadership • Organizational climate • Stressors • Incivility • Alternative dispute resolution

practices

Individual Level • Conflict and negotiation • Emotions • Interpersonal skills • Perceptions • Performance management

practices • Trust • Communication

Group/Team Level • Group/team dynamics • Conflict and negotiation • Decision making • Performance management • Leadership • Communication • Trust

Organizational Level • Human resource policies and

practices • Communication • Leading and managing

change and stress

Individual Level • Task performance • Work attitudes • Citizenship behavior/

counterproductive behavior • Turnover • Career outcomes • Creativity

Group/Team Level • Group/team performance • Group satisfaction • Group cohesion and conflict

Organizational Level • Accounting/financial

performance • Customer satisfaction • Innovation • Reputation

415Managing Conflict and Negotiations CHAPTER 10

IMPLICATIONS FOR ME We highlight eight practical nuggets for you. First, realize that not all conflict is bad or should be avoided. Some amount of functional conflict is desirable and can help you develop as an individual. Be especially mindful of this if you run your own business or wish to do so someday. Conflict can lead to growth. Second, be sure to tend to dysfunctional conflict and don’t allow it to escalate, costing you jobs and relationships. Third, personality conflicts are almost certain to happen. Table 10.2 can be very helpful in dealing with them. Fourth, be mindful of work– school–family conflicts. The way you manage them can dramatically affect your personal fulfill- ment and flourishing in life. Do what you can to balance demands from the various arenas of your life, and look for companies that are also mindful of this and have family-friendly policies and leaders. Fifth, beware of the many forms of incivility at work. Don’t underestimate their causes and effects. Beyond what your employer requires through policies and practices, civil- ity, like ethical conduct, starts with the behavior of individuals. Table 10.5 can help clarify what to do. Sixth, use your knowledge of conflict-handling styles and your own preferences to be more effective when dealing with groups and teams. Table 10.6 is an excellent guide to which style to use given the situation. Seventh, continue to expand your knowledge and skill using interest-based negotiations. Doing so can help you avoid and overcome the resistance com- mon in position-based negotiations. You’re often better off to approach the other parties as partners than adversaries. Finally, the knowledge and tools in this chapter are essential if you hope to manage people effectively. Apply your knowledge and build your skills!

IMPLICATIONS FOR MANAGERS We provide seven practical steps for you as a manager. First, distinguish between conflict states and conflict processes. Doing so will make you more effective at avoiding and remedy- ing conflict as a manager. Second, managing intergroup conflict can make or break your own opportunities and successes. Perhaps the single best way to avoid such conflicts, as well as to deal with them, is to create a psychologically safe climate. Third, beware of the many forms of incivility at work. As a manager you are responsible for knowing what is happening and inter- vening and following up. Do not underestimate how destructive incivility is to individuals, your team, and your larger organization. Not only the targets suffer. Your own actions are the single most powerful tool you have. Don’t tolerate bad behavior. Use Table 10.5 as a guide. Fourth, utilize devil’s advocacy and the dialectic method to arrive at better decisions and be more in- clusive. Fifth, use your knowledge of conflict-handling styles and of your own preferences to become more effective when dealing with groups and teams. Table 10.6 is an excellent guide for which style to use in a given situation. Sixth, become familiar with the alternative dispute resolution choices and use the appropriate remedy (Table 10.7). Seventh, taking an interest- based approach to negotiating with those you manage, and more generally with those with whom you work, can improve their level of trust in you and thus boost your effectiveness.

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Last but not least, if the movement to boost mini- mum wages to $15 across the country succeeds, the burden will fall on the franchisees. McDonald’s decided to raise wages in all its corporate-owned restaurants to $1 above the minimum wage. The move was presumably intended to help keep up with similar wage hikes by Walmart and Target,107 with whom the company often competes for employ- ees. The problem? Corporate stores compete with franchisees too and don’t bear the costs outlined above. A wage hike will likely have a much smaller impact on the corporate-owned stores versus the franchisees.

IMPACT AND POTENTIAL CAUSES The franchise model has worked very well for McDonald’s and the majority of its franchisees. Rev- enues have exceeded expenses and many franchi- sees have become quite wealthy, which explains why many own multiple restaurants. However, fran- chisee satisfaction and performance have steadily declined. In 2015, for the first time McDonald’s closed more stores than it opened, and the level of same-store sales (a key performance measure) also declined. Franchisees and Wall Street analysts attri- bute much of the lackluster performance and conflict to poor corporate leadership and policies. Corporate leaders dictate menu items, pricing, and strategy to franchisees. The addition of McWraps, salads, yogurt parfait, and specialty coffees, for instance, were meant to compete with the likes of Chipotle, Burger King, Shake Shack, and Wendy’s, as well as to keep up with evolving customer tastes.108

Boosted sales is certainly a good outcome for the corporate arm of the company, given it takes a cut of all revenues, but franchisees argue that enough money isn’t left over for them. Some initiatives, like the dollar menu, are actually money losers for some franchisees, yet it is difficult not to offer them be- cause of national advertising that promotes them, not to mention pressure from regional and corporate representatives. Another franchisee provided an ex- ample. “One time our coffee price was a nickel over

BACKGROUND AND SCALE Sixty-nine million. That is the number of customers McDonald’s serves per day around the world! The company does a staggering volume of business. But it might surprise you that despite the brand’s global reach and incredible staying power, it is in the midst of a serious conflict with its other important customers—its franchisees. McDonald’s has 5,000 franchisees around the world who run 82 percent of the chain’s 36,000 restaurants, accounting for just under $30 billion or a third of the company’s total revenue and employing 90 percent of its employees. This means the average franchisee operates six to seven restaurants, and the company lives or dies by their performance.101

TROUBLE UNDER THE GOLDEN ARCHES The relationship between the company and its franchi- sees is very complicated and increasingly strained. While franchisees own their respective businesses, McDonald’s owns the land and buildings they use. That means the company is the landlord and has ulti- mate say over whether particular restaurants open or close. The company also largely dictates menu items, required equipment, and most other details, including pricing in many instances. (One franchisee said he controls the price of fewer than 20 of 100 menu items.)102

Franchisees must follow directions from the com- pany and pay an assortment of expenses and fees, such as rent of 15 percent of revenues, a royalty of 5 percent of revenues, and 5 percent of revenues for advertising.103 On top of this, various additions to the menu require new equipment. The McCafe coffee and espresso equipment can cost up to $20,000 per ma- chine, expanding grill space to accommodate all-day breakfast takes another $5,000, and installing a second drive-thru window can cost $100,000.104  A milkshake machine costs $20,000, and a new grill $15,000.105 While the corporation focuses on the res- taurants’ top line, operators worry about what’s left af- ter paying rent, payroll, royalties, and other expenses.106

PROBLEM-SOLVING APPLICATION CASE

What About McDonald’s Other Customers?

417Managing Conflict and Negotiations CHAPTER 10

identify inputs, processes, and outcomes relative to this case.

Step 1: Define the problem.

A. Look first at the Outcomes box of the Organizing Framework to help identify the important problem(s) in this case. Remember that a problem is a gap between a desired and current state. State your problem as a gap, and be sure to consider problems at all three levels. If more than one desired outcome is not being accomplished, decide which one is most important and focus on it for steps 2 and 3.

B. Cases have protagonists (key players), and problems are generally viewed from a particular protagonist’s perspective. In this case you’re asked to assume the role of CEO.

C. Use details in the case to determine the key problem. Don’t assume, infer, or create problems that are not included in the case.

D. To refine your choice, ask yourself, Why is this a problem? Focus on topics in the current chapter, because we generally select cases that illustrate concepts in the current chapter.

Step 2: Identify causes of the problem by using material from this chapter, which has been summa- rized in the Organizing Framework for Chapter 10 and is shown in Figure 10.6. Causes will tend to show up in either the Inputs box or the Processes box.

A. Start by looking at the Organizing Framework (Figure 10.6) and decide which person factors, if any, are most likely causes of the defined problem. For each cause, explain why this is a cause of the problem. Asking why multiple times is more likely to lead you to root causes of the problem. For example, do employee characteristics help explain the problem you defined in Step 1?

B. Follow the same process for the situation factors. For each ask yourself, Why is this a cause? By asking why multiple times, you are likely to arrive at a more complete and accurate list of causes. Again, look to the Organizing Framework for this chapter for guidance.

C. Now consider the Processes box in the Organizing Framework. Are any processes at the individual, group/team, or organizational level potential causes of your defined

what the advertising price was and the head of the McDonald’s region came in and he said: ‘You are over. You can’t do this.’ That was the first time he told us to sell our business.”109

Beyond the financial implications, many franchi- sees also feel various initiatives have eroded the McDonald’s brand, which makes “the promise of serving good-tasting food fast.” The company re- quires that any order be filled in 90 seconds or less, which many franchisees say is unrealistic for many (new) menu items. These standards will be put to the test yet again with the “Create Your Taste” initiative, which allows customers to personalize their burgers. One longtime but now former franchisee, Al Jarvis, said in an interview that he “loves the taste, but the complexities of making it came to epitomize his disil- lusionment with McD’s. ‘The service times went up because of the expansion of the menu . . . I think they went a little overboard. When I would . . . see cars backed up at the drive-thru my stomach would just knot up. The people were different, the company was different. It became very frustrating . . . I wanted to get the hell out.’” And he did.110

There is evidence to support Jarvis’s concerns. The American Customer Care Satisfaction Index Restaurant Report for 2015 ranked McDonald’s dead last among all fast-food restaurants. This index measures staff courtesy, speed of checkout or delivery, food quality, and order accuracy.111 The frustration Jarvis expressed is increasingly common and has generated an “us vs. them” dynamic between franchisees and McDonald’s corporate staff.

Franchisees also perceive that McDonald’s is using them as a shield, for instance, in deflecting the ques- tion of wages by saying it is up to franchisees to do as they see fit. Doing one thing at corporate-owned stores, which account for only 10 percent of employ- ees, and doing something else at franchise stores has the potential of creating more intense conflicts. Steve Easterbrook, relatively new as CEO, is aware of the performance challenges and determined to make sig- nificant changes. It will be up to McDonald’s employ- ees and franchisees at all locations to effectively implement them.112

If you were CEO, what would you do to help over- come the challenges raised by franchisees while meet- ing McDonald’s goals?

APPLY THE 3-STEP PROBLEM- SOLVING APPROACH TO OB Use the Organizing Framework in Figure 10.6 and the 3-Step Problem-Solving Approach to help

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LEGAL/ETHICAL CHALLENGE

Arbitration and a Snowball’s Chance113

As you likely knew before you read this chapter, arbi- tration is an alternative form of dispute resolution. In theory and in practice it often is intended to save time and money and achieve better outcomes than going to court. If you haven’t actually been involved in arbi- tration, you might be surprised to know you have likely agreed to it many times without knowing it. Most cell phone, cable, Internet, online shopping, and credit card agreements now contain arbitration clauses. In the fine print of their service agreements are buried the words, “The company may elect to resolve any claim by individual arbitration.” This means the com- pany reserves the right to settle any dispute you raise as an individual, or as a group via class-action, using arbitration. You essentially forfeit your constitutional rights to sue and agree to be bound by the decision of a third party, often hired by the company against which you have a complaint.

A 2015 investigation by The New York Times re- vealed that such clauses are increasingly inserted in consumer and employment contracts as a way to work around the courts, limiting consumers’ recourse both as individuals and collectively in class-action suits. Proponents of the bans say arbitration clauses work just as intended: They save time and money by protecting companies from frivolous lawsuits, while

at the same time providing a less costly, faster, and less resource-intensive route to potential satisfaction for customers.

Opponents also have much to say. They often refer to such clauses as “get out of jail free cards” for large corporations. Moreover, many critics claim that rules of arbitration favor companies, which have skill and expe- rience in arbitrating, as well as financial resources, that the vast majority of consumers lack. The deck seems stacked in the big companies’ favor.

The purpose of class-action suits is to allow indi- viduals with relatively small claims to band together and achieve some sort of recourse against an of- fending company. But courts have thrown out numer- ous class-action claims because of arbitration clauses, including a complaint against a travel- booking website for conspiring to fix hotel prices, an- other against Goldman Sachs claiming sex discrimination, and still another against Taco Bell for discriminating against African American employees. William Young, a federal judge in Boston, said of arbi- tration clauses, “Ominously, business has a good chance of opting out of the legal system altogether and misbehaving without reproach.”114  

There is no official tracking system for arbitration that tallies the number of cases, success rates, or

problem? For any process you consider, ask yourself, Why is this a cause? Again, do this for several iterations to arrive at the root causes.

D. To check the accuracy or appropriateness of the causes, map them onto the defined problem.

Step 3: Make your recommendations for solving the problem. Consider whether you want to resolve it, solve it, or dissolve it (see Section 1.5). Which recom- mendation is desirable and feasible?

A. Given the causes you identified in Step 2, what are your best recommendations? Use the

material in the current chapter that best suits the cause. Consider the OB in Action and Applying OB boxes, because these contain insights into what others have done that might be especially useful for this case.

B. Be sure to consider the Organizing Framework— both person and situation factors—as well as processes at different levels.

C. Create an action plan for implementing your recommendations.

419Managing Conflict and Negotiations CHAPTER 10

it, and groups of consumers have no choice but to do so.

What Should Be Done? 1. Nothing. Allow companies to include arbitration

clauses in consumer agreements and contracts as they choose. Explain your reasoning.

2. Modify the clauses to better protect consumers. Explain your recommended modifications.

3. Do away with arbitration clauses. Justify.

4. Create and explain other alternatives.

amount of money awarded. But the Times investiga- tion revealed that between 2010 and 2014 a total of 1,179 class-action suits were filed against compa- nies. Eighty percent were pushed to arbitration by judges. In a single year, 2014, judges ruled against 134 of 162 class-action filings, moving them to arbi- tration or causing the plaintiffs to drop the cases. The story of individual consumer plaintiffs is even more telling. Between 2010 and 2014, Verizon faced only 65 consumer arbitrations, despite having 125 million subscribers. Time Warner Cable had only seven from among its 15 million customers. It thus seems that while arbitration is a contractual possibility, relatively few individual consumers utilize