CONFLICT AND

NEGOTIATION

Dr. MG Jomon
 Conflict

A process that begins when ‘A’ perceives that it is

negatively affected by ‘B’, or is about to be negatively
affected by ‘B’, something that ‘A’ cares about .

Dr. MG Jomon
 Conflict views

Traditional view
• All conflicts are harmful and must be avoided

Human Relations view

• Conflict is a natural and inevitable process in any group

Interactionist view
• Conflict is not only a positive force in a group but that is
absolutely necessary for a group to perform effectively

Dr. MG Jomon
 Conflict process-stages (I-V)
 Potential opposition or incompatibility

• Communication, Structure, Personal variables

 Cognition and personalization (conflict defined)
• Perceived conflict, Felt conflict
 Intentions (decisions to act)
• Competing, Collaborating, Compromising, Avoiding, Accommodating
 Behavior (the act)
• Parties behavior, Other’s reaction
 Outcomes
• Increased group performance, Decreased group performance

Dr. MG Jomon
 Conflict Management

• The use of conflict stimulation and resolution

techniques to achieve the desired level of
conflict and conflict resolution

Dr. MG Jomon
 Conflict management Techniques

• Stimulation techniques: Communication, bringing in

outsiders, restructuring, devils advocate

• Resolution techniques: Problem solving,

Superordinate goals, Expansion of resources, Avoidance,
Smoothing, Compromise, Authoritative command,
altering the human variable, altering the structural
variable

Dr. MG Jomon
 Creating Functional Conflicts

 Discussion point

Dr. MG Jomon
 Negotiation

A process in which two or more parties exchange

goods or services and attempt to agree upon the
exchange rate for them

Dr. MG Jomon
 Strategies
Distributive Bargaining
• Negotiation that seeks to divide up a fixed amount of resources; a win-lose
situation
• Ex. Buying/selling a used car, wage settlement
• Area of settlement and settlement point

Integrative Bargaining
• Negotiation that seeks one or more settlements that can create a win-win
solution.
• Ex. Purchase stopped because of earlier credit

Dr. MG Jomon
 Negotiation Process
 Preparation and planning
 Gather information
 Strategy- BATNA (Best Alternative to a Negotiated Agreement –lowest acceptable
value)

 Definition of ground rules

 Charter of demands

 Clarification and justification

 Bargaining and problem solving
 Formalization and implementation
 Formalizing the agreement

Dr. MG Jomon
 Issues in Negotiation

Personality traits
Gender differences
Cultural differences

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 Third Party Negotiations
 Mediator
• A neutral third party
• Facilitates a settlement by using reasoning, persuasion and suggestions
• Has his\her view

 Arbitrator
• Who has legal authority to dictate agreement

 Conciliator
• A trusted third party
• Who provides communication link between partiers

• Often formal and will not put forward his views

 Consultant
Dr. MG Jomon
Dr. MG Jomon