Management Course: Discussion Topic 7
Conflict and Negotiation in
the Workplace
McGraw-Hill/Irwin
McShane/Von Glinow OB 5e
Copyright © 2010 by The McGraw-Hill Companies, Inc. All rights reserved.
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Cross-Generational Conflict
To reward themselves for a job well done, Generation-Y (Millennial) employees might throw a pizza party during office hours, but this practice bothers older employees who have different views about appropriate workplace behavior.
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Conflict Defined
The process in which one party perceives that its interests are being opposed or negatively affected by another party
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Is Conflict Good or Bad?:
Pre 1970s View
Historically, experts viewed conflict as dysfunctional
- Undermined relations
- Wasted human energy
- More job dissatisfaction, turnover, stress
- Less productivity, information sharing
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Level of conflict
Conflict outcomes
Bad
Good
Low
High
0
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Is Conflict Good or Bad?: 1970s-1990s View
1970s to 1990s – belief in an optimal level of conflict
Some level of conflict is good because:
- Energizes debate
- Reexamine assumptions
- Improves responsiveness to external environment
- Increases team cohesion
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Level of conflict
Conflict outcomes
Bad
Good
Low
High
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Optimal conflict
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Is Conflict Good or Bad?:
Emerging View
- Two types of conflict
- Constructive conflict -- Conflict is aimed at issue, not parties
- Relationship conflict -- Conflict is aimed at undermining the other party
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Is Conflict Good or Bad?:
Emerging View
- Goal: encourage constructive conflict, minimize relationship conflict
- Problem: difficult to separate constructive from relationship conflict
- Drive to defend activated when ideas are critiqued
Constructive conflict
Relationship conflict
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Level of conflict
Conflict outcomes
Bad
Good
Low
High
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Constructive Confrontation at Intel
Intel employees learn to fully evaluate ideas through “constructive confrontation.” The objective is to attack the problem, not the employee, but some critics claim the process is a license for some Intel staff to be bullies.
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Minimizing Relationship Conflict
Three conditions that minimize relationship conflict while engaging in constructive conflict
Emotional intelligence
Cohesive team
Supportive team norms
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The Conflict Process
Sources of
Conflict
Conflict
Escalation Cycle
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Manifest
Conflict
Conflict
Outcomes
Conflict
Perceptions
Conflict
Emotions
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Differentiation
Task Interdependence
- Different values/beliefs
- Explains cross-cultural and generational conflict
- Conflict increases with interdependence
- Parties more likely to interfere with each other
Incompatible
Goals
- One party’s goals perceived to interfere with other’s goals
Structural Sources of Conflict
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more
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Ambiguous Rules
Communication Problems
- Creates uncertainty, threatens goals
- Without rules, people rely on politics
- Increases stereotyping
- Reduces motivation to communicate
- Escalates conflict when arrogant
Scarce Resources
- Motivates competition for the resource
Structural Sources of Conflict
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Interpersonal Conflict Handling Styles
- Win-win orientation
- believe parties will find a mutually beneficial solution
- Win-lose orientation
- belief that the more one party receives, the less the other receives
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Assertiveness
Cooperativeness
Forcing
Problem-solving
Compromising
Avoiding
Yielding
High
Low
High
Five Conflict Handling Styles
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Conflict Handling Contingencies
Problem solving
- Best when:
- Interests are not perfectly opposing
- Parties have trust/openness
- Issues are complex
- Problem: other party take advantage of information
Forcing
- Best when:
- you have a deep conviction about your position
- quick resolution required
- other party would take advantage of cooperation
- Problems: relationship conflict, long-term relations
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Conflict Handling Contingencies
Avoiding
- Best when:
- relationship conflict is high
- conflict resolution cost is higher than benefits
- Problems: doesn’t resolve conflict, frustration
Yielding
- Best when:
- other party has much more power
- issue is much less important to you than other party
- value/logic of your position is imperfect
- Problem: Increases other party’s expectations
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Conflict Handling Contingencies
Compromising
- Best when…
- Parties have equal power
- Quick solution is required
- Parties lack trust/openness
- Problem: Sub-optimal solution where mutual gains are possible
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Structural Approaches to Conflict Resolution
Emphasizing superordinate goals
- Emphasize common objective rather than conflicting sub-goals
- Reduces goal incompatibility and differentiation
Reducing differentiation
- Remove sources of different values and beliefs
- e.g. Move employees around to different jobs
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Structural Approaches to Conflict Resolution (con’t)
Improving communication/understanding
- Employees understand and appreciate each other’s views through communication
- Relates to contact hypothesis
- Two warnings:
Apply communication/understanding after reducing differentiation
A Western strategy that may conflict with values/traditions in other cultures
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Structural Approaches to Conflict Resolution (con’t)
Reduce Task Interdependence
- Dividing shared resources
- Combine tasks
- Use buffers
Increase Resources
- Duplicate resources
Clarify Rules and Procedures
- Clarify resource distribution
- Change interdependence
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Resolving Conflict Through Negotiation
- Negotiation -- attempting to resolve divergent goals by redefining terms of interdependence
- Which conflict handling style is best in negotiation?
- Begin cautiously with problem-solving style
- Shift to a win-lose style when
- Mutual gains situation isn’t apparent
- Other part won’t reciprocate info sharing
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Your Positions
Opponent’s Positions
Area of
Potential
Agreement
Bargaining Zone Model
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Initial
Target
Initial
Target
Resistance
Resistance
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Situational Influences on Negotiation
- Location
- Physical setting
- Time passage and deadlines
- Audience
Courtesy of Microsoft
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Effective Negotiation Behavior
- Preparation and goal setting
- Gathering information
- Communicating effectively
- Making concessions
Courtesy of Microsoft
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Types of Third Party Intervention
Mediation
Arbitration
Inquisition
Level of
Process Control
Level of Outcome Control
High
High
Low
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Choosing the Best 3rd Party Strategy
- Managers prefer inquisitional strategy, but not usually best approach
- Mediation potentially offers highest satisfaction with process and outcomes
- Use arbitration when mediation fails
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Conflict and Negotiation in
the Workplace
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McGraw-Hill/Irwin
McShane/Von Glinow OB 5e
Copyright © 2010 by The McGraw-Hill Companies, Inc. All rights reserved.
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