8-2 Conflict and Negotiation: Why Conflict Arises and What to Do About It Copyright © 2008 by the McGraw-Hill Companies, Inc. All rights reserved. McGraw-Hill/Irwin Organizational Behavior, Core Concepts 8 Organizational Behavior core concepts

8-3 Learning Objectives Distinguish between functional and dysfunctional conflict, and identify desirable outcomes of conflict Define personality conflicts, and explain how they should be managed Discuss ways to manage intergroup conflict, including in-group thinking and cross-cultural conflict

8-4 Learning Objectives Describe methods for promoting functional conflict and styles of handling conflict Identify and describe techniques for alternative dispute resolution Summarize basic approaches to negotiation, giving applications

8-5 A Modern View of Conflict Conflict –one party perceives its interests are being opposed or set back by another party

8-6 Functional versus Dysfunctional Conflict Functional conflict –serves organization’s interests. Dysfunctional conflict –threatens organization’s interests.

8-7 Antecedents of Conflict Incompatible personalities or value systems. Overlapping or unclear job boundaries. Competition for limited resources. Interdepartment/intergroup competition. Inadequate communication. Interdependent tasks. Organizational complexity

8-8 Antecedents of Conflict Unreasonable or unclear policies, standards, or rules. Unreasonable deadlines or extreme time pressure. Collective decision making Decision making by consensus. Unmet expectations. Unresolved or suppressed conflict.

8-9 Why People Avoid Conflict Harm Rejection Loss of relationship Anger Being seen as selfish Saying the wrong thing Failing Hurting someone else Getting what you want Intimacy

8-10 The Conflict Iceberg

8-11 Desired Outcomes of Conflict 1.Agreement 2.Stronger relationships 3.Learning

8-12 Major Forms of Conflict Personality conflict Intergroup conflict Cross-cultural conflict

8-13 Major Forms of Conflict Personality conflict –interpersonal opposition driven by personal dislike or disagreement.

8-14 How to Deal With Personality Conflicts

8-15 Intergroup Conflict Intergroup conflict –conflict among work groups, teams, and departments Too much cohesiveness can breed groupthink because a desire to get along pushes aside critical thinking

8-16 Handling Intergroup Conflict Contact hypothesis –the more the members of different groups interact, the less intergroup conflict they will experience Managers should identify and root out specific negative linkages between groups

8-17 Handling Intergroup Conflict Group members are likelier to perceive intergroup heroes when: 1.Conflict within the group is high 2.Negative interactions occur between groups or members of groups 3.Influential third parties engage in negative gossip about the other group

8-18 How to Build Cross-Cultural Relationships Be a good listener Be sensitive to the needs of other Be cooperative, rather than overly competitive Advocate inclusive (participative) leadership Compromise rather than dominate Build rapport through conversations Be compassionate and understanding Avoid conflict by emphasizing harmony Nurture others (develop and mentor)

8-19 Programming Functional Conflict Programmed Conflict –encourages different opinions without protecting management’s personal feelings.

8-20 Programming Functional Conflict Devil’s advocacy –assigning someone the role of critic. Dialectic method –fostering a debate of opposing viewpoints to better understand an issue.

8-21 Five Conflict Handling Styles Figure 8-3

8-22 Question? Which style for handling conflict relies on formal authority to force compliance? A.Integrating B.Obliging C.Dominating D.Avoiding

8-23 Alternative Styles for Handling Dysfunctional Conflict Integrating –interested parties confront the issue and cooperatively identify the problem, generate and weigh alternative solutions, and select a solution Appropriate for complex issues plagued by misunderstanding

8-24 Alternative Styles for Handling Dysfunctional Conflict Obliging (Smoothing) –involves playing down differences while emphasizing commonalities Appropriate when it is possible to get something in return

8-25 Alternative Styles for Handling Dysfunctional Conflict Dominating (Forcing) –relies on formal authority to force compliance Appropriate when an unpopular solution must be implemented

8-26 Alternative Styles for Handling Dysfunctional Conflict Avoiding –involves either passive withdrawal from the problem or active suppression of the issue Appropriate for trivial issues

8-27 Conflict Monitoring Read an article on Conflict monitoring

8-28 Alternative Styles for Handling Dysfunctional Conflict Compromising –give-and-take approach involves moderate concern for both self and others Appropriate when parties have opposite goals

8-29 Question? What is the process of avoiding costly lawsuits by resolving conflicts informally or through arbitration? A.Distributive negotiation B.Integrative negotiation C.Alternative Dispute Resolution D.Added-Value Negotiation

8-30 Third Party Interventions: Alternative Dispute Resolution Alternative Dispute Resolution –avoiding costly lawsuits by resolving conflicts informally or through mediation or arbitration

8-31 Alternative Dispute Resolution Facilitation Conciliation Peer review Ombudsman Mediation Arbitration

8-32 Negotiation –give-and-take process between conflicting independent parties. Two types: –Distributive –Integrative

8-33 Added-Value Negotiation –cooperatively developing multiple-deal packages while building a long-term relationship

8-34 Added-Value Negotiation Clarify interests Identify options Design alternative deal packages Select a deal Perfect the deal

8-35 How To Negotiate Your Pay and Benefits 1.Know the going rate 2.Don’t fudge your past compensation 3.Present cold, hard proof of your value 4.Let the other party name a figure first 5.Don’t nickel-and-dime 6.Avoid extravagant extras 7.Seek incentives and practical perks