Management Course: Discussion Topic 7

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chap011.ppt

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

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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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