Corporate Conflict Management

Concepts and Skills

Eirene Leela Rout

Faculty, Management Studies
Birla Institute of Technology & Science
Pilani
Nelson Omiko
General Manager
Amber Business Development Services
Muscat, Oman

Delhi-110001
2007
CORPORATE CONFLICT MANAGEMENT—C oncepts and Skills

Eirene Leela Rout and Nelson Omiko

© 2007 by PHI Learning Private Limited, New Delhi. All rights reserved. No part of this book may be
reproduced in any form, by mimeograph or any other means, without permission in writing from the
publisher.

ISBN-978-81-203-3279-9

The export rights of this book are vested solely with the publisher.

Published by Asoke K. Ghosh, PHI Learning Private Limited, M-97, Connaught Circus, New Delhi-110001
and Printed by Mudrak, 30-A, Patparganj, Delhi-110091.
 Contents
Preface ix

Acknowledgements xi

1. INTRODUCTION TO CONFLICT MANAGEMENT 1 –23

Learning Objectives 1
1.1 Different Schools of Thought on Conflict 3
1.2 Understanding Conflict 4
1.3 Components of Conflict 5
1.4 Perspectives of Conflict 7
1.5 Types of Conflict 9
1.6 Models of Conflict 11
1.6.1 Process Model 12
1.6.2 Structural Model 12
1.7 Functional and Dysfunctional Conflicts 13
1.7.1 Functional Conflict 13
1.7.2 Dysfunctional Conflict 14
1.8 Conflict and Performance 17
1.9 Relationship between Conflict and Performance in Team 19
1.9.1 Relationship between Relationship/Affective Conflict and Performance 19
1.9.2 Relationship between Process/Procedural Conflict and Performance 20
1.9.3 Relationship between Task/Cognitive Conflict and Performance 20
Summary 21
Questions 22
References 22

2. LEVELS OF CONFLICT 24 –55

Learning Objectives 24
2.1 Intra-personal Conflict 24
2.1.1 Conflict due to Frustration 25
2.1.2 Conflict due to Goal 26
2.1.3 Role Conflict and Ambiguity 29
2.2 Interpersonal Conflict 32
2.3 Group/Team Conflict 36
2.3.1 Behavioural Signs of Conflict in Groups 41
2.3.2 Work Force Diversity and Conflict in Groups 41
 2.3.3 Conflict and Group Decision-Making 42
2.3.4 Conflict and Role of Communication in Group 44
2.4 Organizational Conflict 45
2.4.1 Organizational Conflict Process 47
Summary 52
Questions 53
References 53

3. SOURCES OF CONFLICT 56 –80

Learning Objectives 56
3.1 Sources of Intra-personal Conflict 56
3.1.1 Cognitive Dissonance 56
3.1.2 Neurotic Tendencies 57
3.2 Sources of Interpersonal Conflict 59
3.2.1 Relationship Rules 59
3.2.2 Personality, Gender and Age Related Issues 60
3.2.3 Evaluating Others 61
3.2.4 Evaluating the Situation 62
3.2.5 Role Incompatibility 62
3.2.6 Changes and Stress Resulting from Environmental Factors 63
3.2.7 Difficult Boss 63
3.2.8 Difficulties with Colleagues 64
3.3 Sources of Group Conflict 65
3.4 Sources of Organizational Conflict 69
Summary 77
Questions 78
References 78

4. MANAGING INTERPERSONAL CONFLICT 81 –113

Learning Objectives 81
4.1 The Thomas Conflict Resolution Approach 83
4.2 Behavioural Style and Conflict Handling 89
4.2.1 Communication Orientation of Each Style 92
4.3 The Cosier Schank Model of Conflict Resolution 94
4.4 Collaboration and Conflict Resolution 95
4.5 Dealing with Difficult Subordinates 98
4.6 Dealing with Difficult Boss and Colleagues 104
4.7 One-to-One Dispute Resolution 106
4.8 A Case Study on “Avoidance” as a Method of Conflict Resolution 108
Summary 110
Questions 111
References 111

5. MANAGING TEAM AND ORGANIZATIONAL CONFLICT 114 –132

 Learning Objectives 114
5.1 Techniques to Resolve Team Conflict 114
5.2 Strategies to Resolve Organizational Conflict 120
5.3 Effective Listening and Dialogue Skills 124
5.4 Humour and Conflict Resolution 126
Summary 128
Questions 129
References 129

6. NEGOTIATION 133 –164

Learning Objectives 133
6.1 Types of Negotiations 134
6.1.1 Distributive Negotiations 135
6.1.2 Integrative Negotiations 137
6.1.3 Attitudinal Structuring 139
6.1.4 Intra-organizational Negotiations 139
6.2 Negotiation Process 139
6.2.1 Preparation 140
6.2.2 Developing and Choosing a Strategy 142
6.2.3 Opening Moves 144
6.2.4 Bargaining and Problem Solving 146
6.2.5 Closure and Implementation 147
6.3 Factors Responsible for Making Negotiation Successful 148
6.4 Tricks Used in Negotiation Process 151
6.4.1 The Four Control Tactics 152
6.4.2 The Seven Pressure Tactics 153
6.4.3 The Nine Trap Tactics 155
6.5 Getting and Keeping the Psychological Advantage 156
6.6 Methods to Counter Negotiating Techniques 157
6.7 Issues in Negotiation 158
6.7.1 Negotiating with Difficult People 158
6.7.2 Gender Differences in Negotiation 160
6.7.3 Cultural Factors in Negotiation 160
Summary 162
Questions 162
References 163

7. THIRD PARTY CONFLICT RESOLUTION 165 –180

Learning Objectives 165
7.1 Mediation 166
7.2 Arbitration 169
7.3 Alternative Dispute Resolution (ADR ) 171
7.4 Managerial Dispute Resolution 172
Summary 178
Questions 178
References 178
8. CONFLICT RESOLUTION PROCESS 181 –196
Learning Objectives 181
8.1 Questionnaire to Assess Potential Conflict 182
8.2 Check List for Sources of Conflict 185
8.3 Conflict Dynamics Analysis 186
8.4 Summary of Conflict Analysis 188
8.5 Analysis of Consequences 188
8.6 Understanding Conflict Outcomes and Participants’ Intentions 189
8.7 Selection and Implementation of Conflict Resolution Strategies 189
8.8 Report Writing and Feedback 191
Summary 192
Questions 192
Annexure 193

9. Developing Effective Interpersonal Skills 197 –223

Learning Objectives 197
9.1 Assertive Behaviour and Conflict Handling 198
9.2 Perception and Conflict 203
9.3 Understanding Self: Johari Window 206
9.4 Transactional Analysis and Conflict Handling 210
Summary 222
Questions 222
References 223

10. The Paradox of Conflict and Creativity 224 –243

Learning Objectives 224
10.1 Need for Increasing Conflict in Organizations 225
10.2 Conflict and Creativity 226
10.3 Stimulating Conflict through Idea Generation 228
10.4 Stimulating Conflict by Motivating Individual Employees 234
10.5 Introducing Conflict and Making Work Environment Creative 236
10.6 Inspiring Creativity by Resolving Workplace Disagreements 238
Summary 242
Questions 242
References 243

11. ASSESSING THE COST OF WORKPLACE CONFLICT 244 –253

Learning Objectives 244
11.1 Effect of Conflict on Organizational Performance 245
11.2 Cost Viable and Effective Methodology to Assess
Conflict 246
11.3 Dimensions of Costs of Conflict 247
Summary 252
Questions 252
References 253

12. DEALING WITH PERSONALITY CONFLICTS AND PROBLEM

EMPLOYEES 254 –275

Learning Objectives 254
12.1 Personality Conflict in Workplace 255
12.2 Personality Types and Response to Situations 255
12.3 Conflict Handling Styles of Different Types of Personalities 262
12.4 Impact of Conflict on Different Personality Traits 267
12.5 Recognizing and Handling of Problem Behaviours 269
Summary 274
Questions 274
References 274

INDEX 277 –280

 Preface
We are glad to place this volume of ‘Corporate Conflict Management:
Concepts and Skills’ in the hands of esteemed teachers, students, researcher
scholars, and executive managers of the subject. This book has been carefully
authored keeping in mind the specific requirements of executive managers and
scholars in different universities who are aspiring to become executives. The
students of MBA as well as those aspiring to pursue similar professional courses
will find this book very interesting and valuable to face a prospective employer.
Through this book, we have tried to present the facts in such a simplified way
to make the readers, students and executives, to understand the subject and use
them as far as they can in every sphere of life.
Using simple language and logical illustrations, we have explained every
chapter. Our attempt throughout this book has been to analytically discuss every
point and strike a clear balance between theory, concept and application. The
relationship between conflicts, human needs and human rights have given rise to
various cases. This work covers cases from all the essential areas of conflict and
sources that lead to conflict. The aim is to expose readers and students to varied
perspectives, to challenge their own positions and ideologies, to inspire, inform
and train them in this field.
This book is divided into 12 chapters, each chapter interspersed with cartoons
and illustrations for easy reading.
We take this opportunity to express our thanks to all those who have constantly
encouraged us in this academic exercise, including research scholars around the
world, without whose help it would not have been possible for us to bring out
this book in time.
We welcome any suggestions that would improve the book, especially from
practicing managers, executives and students will be noted.
Eirene Leela Rout
Nelson Omiko
 Acknowledgements
A work of this nature is a cooperative endeavour and we wish to express our
sincere thanks to all those who have assisted us in one way or the other and have
contributed immensely to this book.
We must first mention the various libraries, especially BITS online library, and
various institutions, including publishers, who had quickly sent us updated
records in this subject. We also wish to thank the chairman of Amber Business
Development, Oman, Eng. Ibrahim Hamad Al-Balushi for his constant inputs in
different models of skill management in the Middle East.
We sincerely appreciate officials, handling conflict issues in workplaces, who
have constantly given us tips on problem solving. We have derived much benefit
from discussions with several distinguished persons who had in-depth
knowledge on the working of corporate disputes in various countries. We must
confess that it would not have been possible for us to complete this work without
the help of corporate institutions. We owe a deep sense of obligation to our
students and research scholars, who have helped in drawing the figures.
It will be unfair not to mention our dear daughter Josephine, who gave us
ample time to concentrate and complete this work in time.
Most importantly, we must also express our thanks to our publisher. We deeply
appreciate our parents for the spirit of joy that we derived from them for
encouraging us to write this book. We believe that our book will open the minds
of leaders in corporate world and they would begin to see issues concerning their
organizations as a matter of concern and the one that could cost the
establishment so dearly.
Encouragement we received from our valuable friends and colleagues has
contributed in no small measure to the usefulness of this work of ours. We place
on record our deep sense of appreciation to all of them.
We owe a debt to gratitude to many in connection with the preparation of this
book. Of them, I feel I must express my sincere regards to some of dear ones.
Eirene Leela Rout
Nelson Omiko
 Chapter 1
INTRODUCTION TO
CONFLICT MANAGEMENT
LEARNING OBJECTIVES
• Understand the significance of conflict
management.
• Know different viewpoints about conflict.
• Appreciate the nature of conflict and its
components.
• Identify two perspectives of conflict.
• Describe four basic types of conflict.
• Explain models of conflict.
• Distinguish between functional and dysfunctional
conflict.
• Describe the relationship between conflict and
performance.

Conflicts are endemic to the human society. Our workplace is so often infected
by grudges, rumours, grumbling, criticism, sarcasm, unpleasant comments,
gossips and politicking that it leads to an atmosphere of suspicion, mistrust and
negativity. Sometimes the circumstances become so difficult that employees do
not like to even see each other’s face, leave aside work together. It spreads to the
personal level leading to mixing up of professional and personal lives and
annihilating the organizational harmony. Meanwhile, there are companies where
employees love to work because they can express their feelings to their
colleagues and trust the organization and its leadership. In such places, mutual
help takes top priority among employees. The bonding becomes so strong the
employees feel like a “family”. Such employees make a better team as they
respect their organizations and take utmost interest in their tasks.
 Conflict arises due to a variety of factors. These may be individual differences
in goals, expectations, values and proposed courses of action or suggestions
about how best to handle a situation. When we add to these differences the
unease arising out of a business’ future, conflict often increases [1 & 2]. Conflict
is further aggrevated in today’s context due to changes in technology, global
shifting of power, political unrest, financial uncertainties, operational
procedures, personnel, clientele, product line, financial climate and even
corporate philosophy and/or vision. These, along with many other factors, make
conflict a reality.
Conflict exists within an organization and is endemic irrespective of whether
or not it is desirable. Managers spend a lot of time dealing with conflict in its
various forms. Many managers see it as something to be suppressed or avoided
in all situations and at all cost, while others feel that as managers, their role is to
maintain peace at all costs. However, recent view highlights conflict as an
indication that specific situation/issue/event needs their immediate attention [3].
Just as a physical discomfort may be a symptom of a graver illness, conflict may
hint towards a potentially serious (or developing) situation in the organization
that needs attention. Any kind of conflict that has arisen in an organizational set-
up requires to be solved. It is up to the management gurus to find ways of
handling them without much loss of resources and/or manpower.
In the past, management theorists used the term ‘conflict avoidance’ but today
this phrase is increasingly being replaced with ‘conflict management’. It
recognizes that while conflict does have associated costs, if handled
constructively, it can also bring with it great benefits [4]. For example,
confrontation if understood in right perspective can lead to change, change can
lead to adaptation, and adaptation can lead to survival and even prosperity [5]. It
fosters an understanding and appreciation of differences. This viewpoint
highlights shift in the paradigm. Managers need to develop flexibility and new
coping skills to function in a positive, productive way in the midst of unsettling
events.

1.1 DIFFERENT SCHOOLS OF THOUGHT ON

CONFLICT
The traditional view of conflict believes that conflict of all kinds is harmful and
must be avoided. According to this school of thought, conflict serves no useful
purpose because it distracts managers’ attention and diverts their energy and
resources. Therefore, conflict should be avoided. It views conflict as a
dysfunctional outcome resulting from poor communication, a lack of openness
and trust between people, and the failure of managers to be responsive to the
needs and aspirations of their employees [6]. Since all conflicts are bad, efforts
should be made to find out the causes of conflict and correct them in order to
improve group and organizational performance. This view of conflict prevailed
during 1930s and 1940s.
The human relations view of conflict believes that conflict is natural and is
an inevitable outcome in any group [6]. It should be accepted as a reality.
Sometimes, conflict leads to improvement in group performance and it can be a
desirable state. Successful management of conflict does not mean total
elimination of conflict rather it involves both sustaining a target level of conflict
and selecting a conflict-reduction strategy to handle conflict when it disrupts
performance or interpersonal relations. This view dominated conflict theory
from the late 1940s through the mid-1970s.
The interactionist view of conflict believes that conflict is not only a positive
force in a group but also it is absolutely necessary for a group to perform
effectively [6]. It is based on the belief that a harmonious, peaceful, tranquil and
cooperative group is prone to become static, apathetic and non-responsive to the
need for change and innovation [7]. In situations that call for creativity and when
discussion of alternatives are needed (as when resisting a tendency towards
groupthink), the stimulation of conflict is one of the solutions to handle the
situation. Managers can purposely create conflict to keep the group viable, self-
critical and creative.

1.2 UNDERSTANDING CONFLICT

According to Oxford English Dictionary, conflict refers to a series of
disagreement or argument; incompatibility between opinions, principles, etc. For
example, “he had a dispute with his brother”, “the irreconcilable differences
between political parties like “the familiar conflict between Congress and the
BJP”. Use of words like dispute , disagreement , incompatibility and difference
of opinion helps us to understand that there is conflict.
A conflict exists when two people wish to carry out acts that are mutually
inconsistent. They may both want to do the same thing, such as eat the same
mango, or they may want to do different things where the different things are
mutually incompatible, such as when they both want to stay together but while
one wants to go to the cinema hall, the other wants to go to the library. The
definition of conflict can be extended from individuals to groups (states or
nations), and more than two parties can be involved in the conflict. The
principles remain the same [8]. Conflict is an overt expression of tensions
between the goals or concerns of one party and those of another.
The core conflict lies in the opposing interests of the involved parties. It is a
state of disharmony between incompatible persons, ideas or interests. It is the
perception in the mind of an individual or group that the other person or group is
hindering the first party from achieving his/their goal. Conflict can arise because
of the combination of interdependence or interaction or incompatibility of the
goals. It can be understood as a state of open, often prolonged, fighting a battle
or war. It is a psychic struggle, often unconscious, resulting from the opposition
or simultaneous functioning of mutually exclusive impulses, desires or
tendencies.
Conflicts are complex processes. There are three factors that influence conflict.
They are attitudes, behaviours and structure. Each factor influences and is
influenced by the others. Attitudes include the parties’ perceptions and
misperceptions of each other and of themselves. These can be positive or
negative. Behaviours can include cooperation or coercion, gestures signifying
conciliation or hostility. Violent conflict behaviour is characterized by threats,
coercion and destructive attacks. Structures refer to the organizational
mechanisms, processes and groups that influence recognition and identity needs.
Conflict is a dynamic process in which structure, attitudes and behaviours are
constantly changing and influencing one another. It emerges as parties’ interests
come into conflict or the relationship they are in becomes offensive.

1.3 COMPONENTS OF CONFLICT

Conflict has been defined in many ways. Analysis of the definitions emphasizes
three aspects of conflict, namely, disagreement, interference and negative
emotion [9–14]. It corresponds to three components of conflict—cognitive,
behavioural and affective.
Conflict can be equated with the presence of disagreement [15]. It is the most
frequently occurring issue in a workplace scenario. Disagreement exists when
parties think that a divergence of values, needs, interests, opinions, goals or
objectives exists. It corresponds to the cognitive aspect of the conflict.
Secondly, conflict highlights behavioural aspects, such as debate, arguments,
competition, political manoeuvring, backstabbing, aggression, hostility and
destruction. While such behaviours may be typical of conflict, they do not
always imply the existence of conflict. It is only when the behaviours of one
party interfere with or oppose other party’s attainment of its own interests,
objectives or goals, conflict is said to exist. Conflict is perceived as interference.
It is “… a process in which one party perceives that its interests are being
opposed or negatively affected by another party” [14].
Finally, while a number of affective states have been associated with conflict,
overwhelmingly, it has been negative emotions such as fear, jealousy, anger,
anxiety and frustration that have been used to characterize conflict.
Presence of any one of the three properties (pure disagreement, pure
interference or pure negative emotion) is not sufficient to label a situation as
conflictual. For example, pure disagreement occurs when there are opinion
differences concerning goals, tasks or activities. It may not be accompanied by
any interference or negative emotion (as in the case of pure disagreement). Just
because people disagree does not mean that they are in conflict. Many a time,
these disagreements are not very relevant or important to an individual;
sometimes these differences are easily resolvable and hold the potential for win-
win solutions. In that case, the situation cannot be labelled as conflict. An
example of pure interference would be a situation where the behaviour or action
of one individual unintentionally prevents another from attaining his or her
goals, perhaps by sheer coincidence. Such involuntary, accidental acts of
interference would not generally be seen or labelled as conflict. Finally,
organizations are replete with instances of pure negative emotions. Often,
individuals dislike or hate others without necessarily disagreeing or interfering
with them. Their negative emotions could stem from others’ personal or physical
attributes, their choice of friends and associates, or from their past behaviours.
Again, just because one employee dislikes another as an individual, it does not
mean that he or she would always be in conflict with that person, especially
when their work related views and opinions are quite similar. Intuitively, the
above examples provide instances of pure disagreement, pure interference
behaviour and pure negative emotion that would not generally be labelled as
conflict. However, it is important to note that such situations may not be the
norm in organizational life. More often than not, disagreement, interference and
negative emotion are likely to occur together. Past conflicts could spill over
leading to greater disagreement, interference and negative emotion in the present
situation. In addition, current instances of pure disagreement, pure interference
and pure emotion, may foster conflict in the future. Conflict can be defined from
a multiple perspective. Conflict does not exclusively refer to its antecedent
conditions or individual awareness of it, or certain affective states, or its overt
manifestations, or its residues of feeling but to all of these taken together [10].
This view corresponds to the sub-area labelled ‘D.I. NE’ in Figure 1.1. Most
reviews of the conflict domain suggest that conflict should be defined using
multiple themes or properties. Interpersonal conflict is defined as a dynamic
process that occurs between interdependent parties as they experience negative
emotional reactions to perceived disagreements and interference with the
attainment of their goals [16]. According to this definition, interpersonal conflict
exists only when all its three components (i.e. disagreement, interference and
negative emotion) are present in a situation. Cases of pure disagreement, pure
interference, pure emotion or cases combining only two of these components,
are not considered to be instances of interpersonal conflict. They have been
explained in Figure 1.1 [16].

Figure 1.1 Conflict: disagreement, interference and negative

emotions interrelationship.

To summarize, an episode of conflict can be understood by analyzing the

needs, perceptions, power, values, feelings and emotions and behaviours of the
people who are party to the conflict.

1.4 PERSPECTIVES OF CONFLICT

Researches have revealed that there are two perspectives of conflict, namely,
cognitive and interactional perspective.
Cognitive Perspective of Conflict
This perspective of conflict emphasizes on how and what people think or on
what goes on intellectually in a given situation. Individual’s interpretation and
perception of a situation depends on his beliefs, schemata, attitudes, values,
perceptions and attributions. This school of thought defines a given situation as
the knowledge structure or schema people hold. It describes situations as firm,
stable entities or activities with fixed labels. Actors determine the situation by
what they perceive. Perceptions of the situation then influence behaviour and
strategic choices made by actors. Cognitive theory of conflict is based on certain
assumptions: (i) It assumes that individuals are fundamentally goal-oriented
whose capacities to use information to accomplish personal and social objectives
drive their existence; (ii) People are unique; they interpret and produce messages
in unique ways. Therefore, the personal characteristics of communicators play a
central role in understanding conflict. Researchers, while analyzing the cause of
conflict, should take into account individual variations in message production
and interpretation. Psychological mechanisms such as encoding, decoding,
planning, strategizing, remembering and imagining are the building blocks of the
cognitive perspective. This perspective tries to answer certain questions: How do
individuals and groups differ in their approach to conflict? What traits best
predict communication in conflict? How do perceptions influence
communication in conflict? What perceptions escalate or mitigate conflict? [17].
Interactional Perspective of Conflict
This school of thought focuses on the issue that how one behaves in a given
situation determines the way other individual/party will react. The way an
individual reacts, accordingly the situation is perceived. For example, if the boss
talks sternly with the subordinates while giving instruction, the subordinates will
react accordingly. The actions or behaviours are a series of interconnected
events. Interpretation is done through the pattern of those interlocked events.
Actors through their behaviours negotiate situations. It regards situations as
largely emergent. A situation is seen as far more fluid than fixed. People create
the situations they perceive, what they perceive is also influenced by what they
do. It depends on how the conversation continues to unfold between individuals
or groups and that behaviour defines the situation. Situation will be differently
defined when other behaviours are introduced [17]. Consistent with this position,
the interactional perspective also embraces the idea of mutual influence.
Communication is not so much a product that is produced, as it is a process that
is enacted. As an ongoing process, any given behaviour is influenced more by
preceding behaviours than by personality or situational constraints. Three
questions dominate the interactional perspective:

What rules or structures do people use to make interpretations and

construct social meanings in conflict situations?
What interactional patterns exist in conflict?
How do people use messages to accomplish multiple goals in conflicts?
 In general, theories either attempt to predict or describe relationships.
Therefore, these theories are often labelled as either predictive or descriptive.
Predictive theories answer the ‘why’ behind relationships. For example, a
predictive theory might attempt to explain the connection between verbally
aggressive remarks and conflict escalation. Descriptive theories , on the other
hand, uncover ‘how’ people do what they do. Although they sometimes have
predictive utility, their main focus is to address changes in behaviour over time.
Descriptive theories explain the interaction process. It attempts to uncover how
people engage in verbally aggressive behaviour or escalation. What form do the
remarks commonly take? What social rules apparently guide such interactions?
How does one escalation tactic affect another tactic? These are common
questions answered in such descriptive inquiry. Cognitive perspectives generally
attempt to predict conflict outcomes whereas theories working from the
interactional perspective attempt to describe interaction processes.

1.5 TYPES OF CONFLICT

Four different types of conflict are described in the following text.
Goal Conflict
Conflict arises when an individual selects or is assigned goals that are
incompatible with each other. Goal incompatibility refers to the extent to which
an individual’s or group’s goals are at odds with one other. For example, a
student may set goals of earning Rs. 500 a week and achieving an 8-grade point
average (on a 10 point system) while being enrolled full-time during the coming
semester. A month into the semester, the student may realize that there aren’t
enough hours in the week to achieve both the goals. The student may then face
inner conflict because of the difficulty in achieving grade point average that he
had targeted (i.e. eight) and the money he wanted to earn. Here, the two goals are
—earning Rs. 500 and achieving eight grade point. They are incompatible goals,
taking into consideration of time factor for an average student.
Several types of goal conflict have been identified. It can occur when an
externally imposed goal conflicts with one’s personal goal; when people are
asked to achieve multiple outcomes (e.g. meeting a quantity quota while not
making any mistakes) while performing a single task; or when there is a trade-
off between several types of tasks or outcomes when multiple goals or tasks exist
(e.g. devoting time to sell product A and product B in a limited period of time.).
These situations may give rise to conflict.
Affective Conflict
It can be explained as the incompatible feelings and emotions within the
individual or between individuals. Interpersonal conflicts as well as antagonism
between groups are examples of affective conflict. It can be understood as
emotional, social and personal conflict.
Most affective conflict is focused on personalized anger or resentment, usually
directed at specific individuals rather than specific ideas. It comes from the
perception that one is being attacked or criticized. It provokes hostility, distrust,
cynicism and apathy among/within individual/team members thereby obstructing
open communication and integration. The causes of affective conflict may be:
equity (fairness), dissatisfaction of social needs (such as needs for inclusion,
control and affection), emotional states and perceptions.
 This form of conflict can be visible or hidden and serves to consume valuable
energy or block the ability of the individual/group to conduct its work. Low
performing teams are often crippled by affective conflict. It lowers
individual/team effectiveness. Its effects can be seen in poor decision quality,
lower productivity and less creativity.
Cognitive Conflict
It occurs when ideas and thoughts within an individual or between individuals
are incompatible [18]. The effects of cognitive conflict are mainly positive, like
better decision quality, higher productivity and more creativity. Successful teams
use a variety of techniques that help them keep ideas separated from people. A
hallmark of high performing teams is their ability to critically consider and
evaluate ideas.
Procedural Conflict
Procedural conflict exists when group members disagree about the procedures to
be followed in accomplishing the group goal. Union-management negotiations
often involve procedural conflicts before the negotiations actually begin. The
parties may have procedural conflicts over who will be involved in the
negotiations, where will they take place, and when will sessions be held (and
how long will they last). After negotiations have been concluded, different
interpretations about how a grievance system is to operate provides another
example of procedural conflict [18]. To handle such a conflict, new procedures
can be formulated, a new agenda can be suggested or the group goal can be
modified. Procedural conflict can be productive.

1.6 MODELS OF CONFLICT

Models of conflict help us to understand the processes and factors involved in
conflict episode. Researches on conflict highlight two models—the process
model and the structural model [19].

1.6.1 Process Model

The process model views conflict between two or more parties in terms of the
internal dynamics of conflict episodes. Conflict process follows five stages
occurring sequentially one after the other. They are as follows:

1. Frustration This emotion arises when one party perceives the other party
as interfering with the satisfaction of his own needs, wants, objectives,
etc. There are three factors precipitating the condition for conflict in the
frustration stage. They are (i) Communication (poor communication
arises from semantic difficulties, misunderstandings and ‘noise’ in the
communication channels. (ii) Structure: This includes variables like size,
degree of specialization in the task assigned to group members,
jurisdictional clarity, member-goal compatibility, leadership styles, reward
systems and the degree of dependence between group influence conflict
conditions.
(iii) Personal variables: These include individual value systems and the
personality characteristics that account for individual’s idiosyncrasies and
differences [20].
2. Conceptualization This stage focuses on the way each party understands
and perceives the situation. The parties involved define the conflict
situation and the salient alternatives available which, in turn, affect the
 behaviour of the other party.
3. Behaviour Here one can observe the actions that result from the
perception of conflict that influences the behaviour of each party. These
influences affect the results in three areas: the orientation in handling
conflicts, the strategic objectives which match with orientation, and the
tactical behaviour to achieve the objectives set.
4. Interaction The interaction between the two parties either escalates or de-
escalates the conflict.
5. Outcome When conflict ceases, we see the results that range from
agreement to long-term hostility.

The process model is generally supported in literature; however, the last two
stages, interaction and outcome, can be combined into one stage [20, 21 & 22].

1.6.2 Structural Model

The structural model identifies the parameters that shape the conflict episode.
There are four such parameters described below [19].

1. Behavioural predisposition This includes one party’s motives, abilities

and personality.
2. Social pressure The pressure arising from cultural values, organizational
work group norms, interest, and so on.
3. Incentive structure The objective reality which gives rise to conflict viz.,
conflict of interests in competitive issues and common problems.
4. Rules and procedures This parameter includes the decision-making
machinery, i.e. decision rules, negotiation, and arbitration procedures,
which constrain and shape the behaviour of those conflicting parties.

To summarize, the above models suggest that conflict can be defined as an

interpersonal dynamic which is shaped by the internal and external environments
of the parties involved and this dynamic is manifested in a process which affects
group performance either functionally or dysfunctionally [23].

1.7 FUNCTIONAL AND DYSFUNCTIONAL

CONFLICTS
1.7.1 Functional Conflict
Conflict in organizations can be a positive force. Functional conflict is
understood as the creation or resolution of conflict that often leads to
constructive problem solving, improving the quality of decisions, stimulating
involvement in the discussion and building group cohesion. It can be introduced
in the form of dissenting opinion to counter groupthink. This will result in
clarification of important problems and defining and sharpening of the issues as
well. It will also provide more diagnostic information that can generate cues for
better organization and management to prevent occurrence of similar problems
in future. Evidently, this process helps the individuals to develop understanding,
skills and intellect needed to avoid organizational collapse.

Of course, introduction of conflict motivates individual to perform better and

work harder. It satisfies certain psychological needs like dominance, aggression,
esteem and ego, thereby providing an opportunity for constructive use and
release of aggressive urges. In some cases, it facilitates an understanding of the
problem, people and interrelationship that exist within them.
Within a group, conflict may define, maintain and strengthen group
boundaries, contributing to the group’s distinctiveness and increasing group
solidarity and cohesion. Many a time, it leads to alliances with other groups,
creating bonds between loosely structured groups or bringing together different
individuals and groups in a community to fight a common threat.

1.7.2 Dysfunctional Conflict

Dysfunctional conflict can be understood as an undesirable experience that is
avoided [24]. It has serious negative effects. It creates difficulties in
communication between individuals, breaks personal and professional
relationships and reduces effectiveness by causing tension, anxiety and stress.
Intense conflicts over a prolonged period affect individuals emotionally and
physically and this gives rise to psychosomatic disorders and in some cases a
total breakdown of rules, undermining morale or self-concept of human
existence. The various types of responses to conflict are shown in Figure 1.2.

FIGURE 1.2 Various consequences of conflict.

Conflict within a group can allow dissatisfied members to voice their

complaints leading to internal tension and disruption. It may increase bitterness,
alienation and divisiveness within or among groups. Member’s attention gets
diverted from the goals of the group to focus on the conflict.
In an organizational set-up, it is observed that conflict may lead to work
sabotage, lower employee morale and decline in the market share of
product/services and consequent loss of productivity. Besides, lack of trust and
withholding of information lead to communication gap and reduction of job
performance in case the parties in conflict are interdependent in completing their
jobs. Conflict based on competition among the co-workers becomes harmful
when the goal of the organization is higher product quality. Deep and lasting
conflicts that are not addressed may even trigger violence among employees or
between employees and others [25].
 The dynamics of conflict can be understood through an experiment conducted
by Boulding. He studied the impact of introduction of conflict in a group. In the
experiment, managers were formed into two groups to solve a complex problem.
They were told that their performance would be judged by a panel of experts,
based on the quantity and quality of the solutions generated. The groups were
identical in size and composition, except that one of the two groups included a
‘confederate’ or ‘mole’. Before the experiment began, the researcher instructed
the confederate to play the role of ‘devil’s advocate’. His role was to challenge
the group’s conclusions, forcing others to examine critically their assumptions
and the logic of their arguments. At the end of the problem-solving period, the
recommendations made by both the groups were compared. The group with the
devil’s advocate had performed significantly better in the tasks. It had generated
more alternatives and the group’s proposals were judged as superior. After a
short break, the groups were reassembled and told that they would be performing
a similar task during the next session. However, before they began discussing the
next problem, they were given permission to eliminate one group member. In the
group containing the confederate, he or she was asked to leave. The fact that the
high-performance group expelled its unique competitive advantage because that
member made others feel unconformable demonstrates a widely shared reaction
to conflict:
‘I know it has positive outcomes for the performance of the organization as a
whole, but I don’t like how it makes me feel personally’ [26].
The decision to remove a member of an organization for being a ‘trouble
maker’ occurs in real organizations. You must have heard about the Roger Smith
and Perot functional conflict that emerged in 1984. Ross Perot, an outspoken
self-made billionaire, sold Electronic Data Systems (EDS) to General Motors
(GM) for $2.5 billion and immediately became GM’s largest stockholder and
member of the board. GM needed EDS’s expertise to co-ordinate its massive
information system. Roger Smith, GM’s chairman also hoped that Perot’s fiery
spirit would reinvigorate GM’s bureaucracy. Almost immediately, Perot became
a severe critic of GM’s policy and practice. He noted that it took longer for GM
to produce a car than it took the country to win the Second World War. He was
especially critical of the company’s bureaucracy, claiming that it fostered
conformity at the expense of getting results. By December 1986, Roger Smith
had apparently had enough of Perot’s “reinvigoration”. Regardless of whether
his criticisms were true or functional, the giant automaker paid nearly twice the
market value of his stock
($750 million) to silence him and arrange his resignation from the board [26].
Another dysfunctional conflict that can affect organizational set-up is
manoeuvring of the opponents in the light of weak functional performance.
Conflict has both positive and negative impact on the performance of the
organization. It is neither good nor bad; rather it can be used as a tool. As
hammer can be used to build a house as well as to destroy things, conflict can
also be used to build as well as to break relationships. Conflict may sometimes
be desirable and at other times be destructive. It is important to be confronted
rather than to be ignored. Although some conflicts can be avoided and reduced,
others have to be resolved and properly managed. A balanced attitude to conflict
is to be sensitive to the consequences of conflict, ranging from negative
outcomes (loss of skilled employees, sabotage, low quality of work, stress and
even violence) to positive outcomes (creative, alternative, increased motivation
and commitment, high quality of work and personal satisfaction). This attitude
recognizes that conflict occurs in an organization whenever interests collide.
Sometimes, employees will think differently, want to act differently and seek to
pursue different goals. When these differences divide interdependent individuals,
they need to be managed constructively [27].

1.8 CONFLICT AND PERFORMANCE

Figure 1.3 explains the relationship between conflict and performance. As
conflict intensity increases, so does the level of performance. This, however, has
a limit. After a certain point, increment in conflict intensity badly affects
performance. The graph can be divided into three zones on the basis of level of
conflict—
Zone 1 (low level of conflict), Zone 2 (optimum level of conflict) and Zone 3
(high level of conflict). They are characterized as low motivational, effective,
and psychosomatic zones respectively [28].

FIGURE 1.3 Conflict vs. performance.

Low Level of Conflict (Zone 1)

When the conflict level is low, the behaviour of the employees is observed to be
apathetic, stagnant and non-responsive. It can be described as dysfunctional
conflict. An extremely low level of conflict can result in complacency and poor
performance due to lack of inovation. It may be due to low motivation.
 If a group is in the low motivational zone then there is the necessity of
stimulating conflict in order to help the individual/group move towards the
effective zone. Constructive conflict may be fostered by dealing with any or all
of these variables: task, work environment, interpersonal relations, changes in
organizational structure and design, formal or informal communication, super
ordinate goals, attitudes and needs of the employees. While doing so, it should
be taken into account that the employees feel the conflict generated as a
challenge.
Optimal Level of Conflict (Zone 2)
Optimal conflict level is the level where the conflict is characterized as
functional. The behaviour of the employee is observed to be viable, self-critical
and innovative. It is the effective zone leading to high productivity outcome.
Proper care should be taken to ensure that the level of intensity does not cross
the upper limit of the effective zone.
The upper limit of the effective zone varies from person to person. It depends
on the tolerance level of an individual and it is determined by job compatibility,
job experience, attitudinal framework (negative/positive attitude towards work,
people and problems); personality make-up (characterized by high
emotionality/calmness, guilt complex/less guilt prone, submissive/adventurous,
low risk-taking/high-risk-taking, conservatism/radical/experi-
menting/dogmatism, external/internal locus of control, pessimism/optimism and
suspicious/trustworthy nature) [28].
High Level of Conflict (Zone 3)
If the level of conflict is allowed to lapse into extremely high intensity zone, the
utility value of conflict becomes dysfunctional. It is expressed in terms of
disruptive, chaotic and uncooperative behaviour. It can be described as the
psychosomatic zone. The performance of the employee in this zone is badly
affected and once an employee reaches this stage, it is extremely difficul to
retrieve him back to the effective zone.
 Identifying optimal level of conflict for a specific situation requires a good
understanding of the individuals involved and the nature of their assignments. A
manager needs a degree of creativity to determine strategies and tactics for
reducing or, if necessary, increasing the level of conflict. Furthermore, simply
increasing conflict when it appears necessary is not in itself sufficient. For
conflict to foster creativity, it must be channelled and directed. Maintaining
conflict at an optimal point is a difficult managerial challenge [28].

1.9 RELATIONSHIP BETWEEN CONFLICT AND

PERFORMANCE IN TEAM
A series of experiments have been conducted to examine the relationship
between the levels of different types of conflict and team performance, both in
terms of the task and individual attitudes [29 & 30]. It was observed that the
types of conflict determine the nature of relationship with performance. Types of
conflict can be relationship/ affective conflict (interpersonal), task/cognitive
conflict (conflict over what to do; i.e. ends ), and process/procedural conflict
(conflict over how to do it; i.e. means ).

1.9.1 Relationship between Relationship/Affective

Conflict and Performance
Relationship/affective conflict focuses on interpersonal differences. It is a
perception of incompatibility that other members are preventing the
accomplishment of a goal. It is manifested by tension, argument and withdrawal
[31]. The effects of this conflict include behaviours like distraction in the
members’ attention, reduction in their ability to think clearly and encouragement
of perceptions of hostile intentions in other’s actions. It generally has a negative
effect on team performance, as the team members spend their time and energy
focusing on each other rather than on the task and therefore the information
processing ability is limited. Accusatory attributions for other members’
behaviour are encouraged [32]. Not surprisingly, relationship conflict negatively
affects individual satisfaction and commitment to the team. These consequences
are magnified in those teams where members must work closely together to
achieve their goals.

1.9.2 Relationship between Process/Procedural

Conflict and Performance
Procedural conflict exists when team members disagree about the procedures to
be followed in accomplishing the team goal. As the intensity of conflict
increases, the performance of the team is adversely affected.

1.9.3 Relationship between Task/Cognitive Conflict

and Performance
It is the disagreement over the best way to achieve a group goal. Task conflict
has generally been found to have a positive effect on task performance, provided
that the level of conflict is appropriate to the complexity and uncertainty of the
team’s work. For example, a strategic management team may need high levels of
disagreement to facilitate the critical evaluation of decisions; conversely a
production team following routine procedures may find that even a relatively
low level of disagreement interferes with their work. At the same time, task
conflict can cause unease among individuals and weaken their commitment
towards the team. This effect is mitigated by the extent to which team members
believe that they need to work closely together and disagree over task issues in
order to get the job done. In routine tasks, as the level of conflict increases, the
performance of the team decreases. In the case of non-routine tasks, moderate
task conflict is linked to positive group performance [32]. It encourages a better
cognitive understanding of the issue being discussed and so better quality
decisions are made. Team members have the opportunity to express their own
perspective or “voice” their opinions, creating an affective acceptance of group
decisions [32]. Methods for inducing cognitive conflict can be done by forcing
members to question assumptions and confront minority opinions [31].
 Extremely high task conflict can lead to member dissatisfaction and low
commitment to the team. Researches have shown that task conflict was effective
where decisions were made quickly but not when the decisions were decided on
slowly. It was also observed that group members were frustrated when one
dissenting member was allowed to substantially delay group decisions [33].

SUMMARY
Conflict is a part of organizational life. Through effective conflict management, negative effects
may be minimized and its positive effects maximized. There are three different viewpoints on
conflict. They are—conflict is preventable, conflict is inevitable and conflict is healthy. A Manager’s
viewpoint determines how he/she reacts to conflict.
Conflict can be understood in terms of disagreement, interference and negative emotion taken
together that corresponds to three dimensions of conflict—cognitive, behavioural and affective.
Conflict can be viewed from two different perspectives, which are cognitive and interactional.
Cognitive perspective of conflict emphasizes on how and what people think or on what goes on
intellectually in a given situation. Interactional perspective focuses on the issue that how one
behaves in a given situation determines the way other individual/party will react. Depending on
the way an individual reacts, the situation is also perceived accordingly.
There are four basic types of conflict, namely, goal, affective, cognitive and procedural conflicts
which emphasize on incompatibility of goals, feelings, thoughts and procedures to be followed in
accomplishing the group goal respectively.
There are two different models of conflict. They are process model and structural model.
Process model emphasizes that conflict is not a static condition rather it is a dynamic process.
The structural model identifies parameters that shape the conflict episode. They are behavioural
disposition, incentive structure and rules and procedures.
Conflict has both positive and negative impact on the performance of the organization. It creates
difficulties in communication between individuals, breaks personal and professional relationships
and reduces effectiveness by causing tension, anxiety and stress. Among its positive impact,
many a times, creation or resolution of conflict leads to constructive problem solving, improving
the quality of decisions, stimulating involvement in the discussion and building group cohesion.

QUESTIONS
1. Critically discuss the paradigm shift in understanding and handling
conflict at workplace.
2. “Conflict is a tool in the hand of the manager.” Justify the statement.
3. Define conflict on the basis of cognitive, affective and behavioural
components.
4. What are the different types of conflict? Explain with examples.
5. Conflict episode can be explained by process and structure model.
Elaborate.
6. “Conflict is inherently harmful to the organization.” Substantiate the
statement.
 7. Analyze how conflict and performance are related.

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Western, Thomson Learning.
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[31] Devine, 1999, www.acsu.buffalo.educ~lmg1/Conflict
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[33] Simons, T.L. and R.S. Peterson, 1999, www.acsu.buffalo.edu/~lmg/conflict.
 Chapter 2
LEVELS OF CONFLICT
LEARNING OBJECTIVES
• Understand different levels of conflict.
• Know aspects of intra-personal conflict.
• Appreciate interpersonal conflict, different stages of conflict
episode, behavioural indicators and how to assess them.
• Discuss conflict and group processes, behavioural signs of
conflict; and impact of diversity, decision-making and
communication on group conflict.
• Differentiate between organizational and inter-organizational
conflict as well as the organizational conflict process.

Conflict is practically intrinsic to the life and explains the dynamics of an

individual’s relationships. It is present within the individual, in interpersonal
relations [1], in intra-group and inter-group relations [2], in strategic decision-
making [3], and other organizational episodes. As many authors have pointed
out, conflict is a phenomenon that may give rise to both functional as well as
dysfunctional effects on individuals, groups and organizations [4 & 5].
Four levels of conflict—intra-personal, inter-personal, group and organization
—are discussed in the following sections.

2.1 INTRA-PERSONAL CONFLICT

A common form of intra-personal conflict in everyday life involves choices
between mutually exclusive goals or incompatible goals. Woman entrepreneurs
may face the dilemma of being successful in business as well as taking care of
their families. While looking for the success of their own business venture and
balancing their family lives, they often face this kind of conflict.
 Intra-personal conflict may cause an individual to secure additional
information before acting, or paralyze evaluative activities altogether. This form
of conflict can be analyzed in terms of the frustration model, the nature of
competing goals and role ambiguity. An individual may experience internal
conflict due to the presence of:

A number of competing needs and roles.

A variety of different drives that compel the individual to act in a certain
way.
Barriers that may come in between the drive and the goal achievement.
Both positive and negative aspects attached to desired goals.
Not having a clear understanding of what is expected from the job role.

In this section, specific aspects of intra-personal conflict are discussed.

2.1.1 Conflict due to Frustration

Frustration model explains the behavioural pattern of employees when they face
intra-personal conflict. Frustration occurs when a motivated drive is blocked
before a person reaches a desired goal (Figure 2.1). The barrier can be overt
(physical) or covert (mental- socio psychological). For example consider an
intelligent but poor student who got selected in one of the top universities in the
US to pursue his Ph.D. degree. He can pursue his studies if he gets scholarship.
Financial help, if not received in time, can be major hindrance in achieving his
goal. If he cannot get the scholarship, then it becomes a powerful barrier towards
attaining the goal. This creates conflict within the individual leading to
frustration. His inner conflict can be expressed in different types of behaviour
such as aggression, withdrawal, rationalization, fixation, intellectualization,
regression, displacement and compromise. Figure 2.1 describes the reactions or
the behavioural pattern of the employees when faced with a barrier.
The frustration model can be useful in the analysis of specific aspects of on-
the-job behaviour. A major goal of managers should be to eliminate barriers that
are or will be frustrating to an employee.

FIGURE 2.1

2.1.2 Conflict due to Goal

Conflict occurs when an individual has to select one option from among many
alternatives. It can be selecting a job offer against continuing research. Selection
of one option eliminates other alternatives. Intra-individual goal conflict can be
identified depending on the nature of the choices. It can be approach–approach,
avoidance–avoidance, approach–avoidance or multiple approach–avoidance
conflict.
Approach–Approach Conflict
It arises when an individual has to choose between two attractive alternatives. It
is a conflict between two positive goals. For example, an employer faces an
approach–approach conflict when he/she must choose between two highly
qualified applicants for a single position. Similarly, a job seeker must cope with
an approach–approach conflict while deciding which of two outstanding but
equally appealing job offers to accept. In social context, a conflict may arise
when a person wants to go to a friends’ house as well as to watch movie, both
scheduled for the same evening. Diagrammatically, it can be represented as:
 Here G1 and G2 stand for Goal 1 and Goal 2 respectively.
Here two attractive goals are before the individual and both have positive
valence for him. The person is initially caught between the two alternatives. It is
because the strength of each motive to approach a desired goal is strong. This
causes conflict within the individual as to which one to go for (that is, G1 or G2
). Conflict of this nature poses a problem for only a brief period of time but it
does not immobilizes the person’s activity. Slight movement in the direction of
one of the choices is enough to break the deadlock and leads to the selection of a
particular option. One interesting aspect of approach–approach conflict is the
change that occurs in the individual’s attitude towards the rejected option. Often,
he or she regrets not having selected the other alternative. For examples, suppose
a person buys one of the two different cars but later feels that the decision was
poor. Often, he will try to reduce this sense of regret by rationalizing that the
chosen option is inherently better or by actively trying to avoid information that
would suggest that the choice was not superior. As compared with other conflict
situations, approach–approach conflicts are usually easy to resolve and generate
little emotional behaviour.
Avoidance—Avoidance Conflict
It involves a choice between two equally unattractive options. This is the case
where two goals have negative valence and the person has to decide on one of
them. Consider these three cases—a person has
a physical illness that is very uncomfortable, such as ulcers, but he is scared of
getting operated, a woman has to decide between the task she intensely dislikes
or she loses her job; a student who is a vegetarian has to eat either chicken or
fish during ragging period. The result in all the three cases is that the person is
caught between two unattractive options

G1 and G2 stand for Goal 1 and Goal 2 respectively.

Two kinds of behaviour are likely to be conspicuous in avoidance–avoidance
conflicts. They are the vacillation of behaviour as well as the thought. Vacillation
occurs because the strength of a goal increases as the person nears it. As one of
the negative goals is approached, the person finds it increasingly repellent and
consequently retreats or withdraws from it. After withdrawing from this goal, the
person comes closer to the other negative goal but finds out that this too is
unbearably repelling. Faced with an avoidance–avoidance conflict, most people
will vacillate between the two options without the resolution of the conflict.
However, if one of the two motives becomes stronger, the conflict can be
resolved. Thus, if the ulcer patient’s discomfort becomes unbearable, the motive
to avoid pain may override the motive to avoid surgery and the conflict will be
resolved. People who are trapped in avoidance–avoidance conflict sometimes
deal with the situation by running away from the situation or avoiding it. In
some circumstances it may not be possible, for example, to quit one’s job or
leave one’s family in real terms. In such cases, they may try a different means of
escaping by relying on their imaginations to free them from the fear and anxiety
generated by the conflict. They may spend much of their time in daydreaming or
they may recreate in their minds the carefree world of childhood. This can be a
situation of regression. If the two negative goals are fear-producing and
threatening and the person is caught between them, he may express his feelings
in terms of fear, annoyance and resentment. These are not mature ways of
dealing with the situation. Avoidance–avoidance conflict is difficult to resolve as
in this kind of conflict, the individual maintains distance between opposing
outcomes.
Approach—Avoidance Conflict
In certain situations, the individual faces conflict when he has to decide whether
to approach or avoid a particular goal that has both positive (attractive) as well
as negative (unattractive) qualities.

This is not an uncommon situation in organizational settings where many goals

have mixed outcomes for an individual. A student may face it while choosing a
course that gives job assurance after the course completion but involves
uninteresting syllabus, or when an employee is offered a promotion to an
otherwise attractive position that involves reporting to a person who is difficult
to work with. If the motive to avoid the goal is stronger than the motive to
approach it, the person will be caught where the strengths of the motives are
roughly equal. As the person moves towards or away from the goal, the
relatively stronger motive takes over and brings the person back to a point where
he/she vacillates. The resolution of an approach–avoidance conflict requires the
strengthening of one motive over the other. It then becomes possible for the
person to reach the goal. This can be accomplished if the goal is made more
attractive or if the individual does more rationalizing to overcome the conflict.
Although the person might thereby reach the goal, the strength of the avoidance
motive would still be high and the person would remain highly anxious.
Lowering the strength of the motive to avoid the goal is, therefore, also
important in finding resolution to the conflict.
Multiple Approach–Avoidance Conflict
Intra-individual conflict arises in situations where the individual has alternatives
and each alternative possesses both positive and negative valence. For example,
suppose a boy got an opportunity to go for higher studies in one of the top
universities in the US and also bagged a good job in one of the Fortune 500
companies in his hometown. Here both the options have positive as well as
negative aspects. In the case of first option, the goal has a positive valence for
him because it will help him to get a good job and he will feel secured. On the
other hand, the offer of higher studies is repellent to him because it will mean
giving up an attractive job offer in his hometown. With respect to his career, the
boy is attracted to the new job but also repelled by the problems that it will
create for his higher studies. What will he do? The answer depends on the
relative strengths of the approach and the avoidance tendencies. After a good
deal of vacillation, he might go for job that has higher positive career valence
compared to the negative career valence of the higher studies. If the overall sum
of the higher studies valences is greater than that of the career one’s, he might
hesitate for a while, vacillating back and forth, and then opt higher studies. The
relative strengths of positive and negative valences of each alternative cause
conflict within the individual.

2.1.3 Role Conflict and Ambiguity

Role is the position one occupies in a social system, and is defined by the
functions one performs in response to the expectations of the significant
members of a social system, and one’s own expectations from that position or
office [6]. For example, a role (the role of HR manager) is defined by the
expectations of the role senders (General Manager, line people, and
subordinates) and the role occupant (the HR Manager himself).
Role ambiguity occurs when employees are not clear about their rights, duties,
privileges, and obligations relating to their jobs. The expectations of the
employee from the role as well as the expectation of the role senders towards the
role will be incorrect. This mismatch of the expectations will lead to confusion
and conflict. Since workers are not clear about their roles, they may step into
others’ territories leading to conflict. An individual can experience three types of
role conflict: intra-role, inter-role, and person-role conflict.
Person and The Role Conflict
It occurs when an individual finds his values clashing with the job requirements.
It is the conflict between a person’s personality and the expectations of the role.
For example, an R&D professional who is a perfectionist is required to speed up
new product design and to overlook the zero-based defect policy. He may
experience conflict over being pressurized to follow standards other than his
own. Such role conflicts can cause considerable strain and stress on individuals.
An extrovert, who loves partying and meeting new people will develop a self-
role distance if he accepts the role of a researcher and later realizes that the
expectations from the role include studying, writing and spending most of the
time in laboratory.
Intra-role Conflict
It is created by the contradictory expectations about how a given role should be
played. It refers to a person receiving conflicting information from others
regarding a particular role. For example, a salesperson receives a bonus from her
supervisor for her quarterly sales productivity report. Two hours later, however,
she is called into the CEO’s office and told that one of the company’s largest
clients is complaining about the aggressiveness of her approach. She, however,
believes that her approach is appropriate. Who is right? Contradictory
expectations can lead to confusion and conflict. The salesman may begin to
question whether she understands and can effectively perform in her sales role.
Inter-role Conflict
This concept was originally developed by Gouldner who argued that
professionals working in a bureaucratic environment developed two roles: a
cosmopolitan role that demands commitment to professional values and skills,
and a local role that demands commitment to employing institutions [7].
Consistent with Gouldner’s description of the clash between these two roles
representing, respectively, professionalism and bureaucracy, a great deal of
empirical research has been carried out during the past few decades to study the
nature and outcomes of inter-role conflict experienced by professionals. Studies
have investigated the relationship between inter-role conflict and various work
environment variables.
Inter-role conflict is defined as the simultaneous occurrence of two or more
sets of pressures, where compliance with one would make compliance with the
other more difficult [8–10]. It arises from incompatible role requirements
between two or more work-related roles (that arise at the same time). Work-
family conflict is a type of inter-role conflict in which the role demands
stemming from one domain (work or family) are incompatible with role
demands stemming from another domain (family or work) [11]. This form of
role conflict becomes a concern for management because it generates many
negative consequences.
Work–family conflict can be time-based strain-based, or behaviour-based [12].
Time-based conflict occurs when role pressures stemming from the two different
domains compete for the individual’s time (e.g. requiring employees to work late
with little notice might make it difficult for employees to meet family
obligations, like picking up a child from school or day-care). Strain-based
conflict occurs when the strain experienced in one role domain interferes with
effective performance of role behaviours in the other domain. For example, a
father who is anxious about his child’s illness might not be able to fully
concentrate in his job as accountant and this may lead him to make mistakes in
his work. Behaviour-based conflict is described as conflict stemming from
incompatible behaviours demanded by competing roles. For example, a manager
in a financial services firm might be expected to be aggressive, unemotional and
hard driving, but these same behaviours in the family domain would most likely
lead to conflict with family members. Time-based conflict, the most common
type of work–family conflict, is based on the scarcity hypothesis. This
hypothesis suggests that the sum of human energy is fixed and that multiple roles
inevitably reduce the time and energy available to meet all role demands, thus
creating strain [13] and leading to work–family conflict. As can be seen in the
examples above, work–family conflict is bi-directional. That is, work can
interfere with family (referred to as work-to-family conflict) and family can
interfere with work (referred to as family-to-work conflict).
Inter-role conflict arises from incompatible role requirements between two or
more work-related roles. Professional associations also impose a set of
expectations on individual professionals. In general, professionals also assimilate
that an accepted body of knowledge regulate or govern them and they follow a
code of ethics and work autonomously [14]. These elements of professionalism
combine to form a shared set of expectations concerning professional behaviour.
This as a specific example of inter-role conflict in which the role pressures
associated with membership of one’s organization is in conflict with the
pressures stemming from membership of other groups [11]. This form of role
conflict becomes a concern for management because it generates many negative
consequences.
Meta-analysis was conducted to study the relationship between inter-role
conflict and other variables such as job satisfaction and professional
commitment [15]. The study examined the effect of inter-role conflict on job
satisfaction and propensity to leave. Data were collected from a sample of 251
professional accountants employed in Hong Kong firms. Results from
hierarchical regression analyses revealed that inter-role conflict was associated
with low job satisfaction and high propensity to leave. In addition, it was
observed that professional commitment moderated the relationship between
inter-role conflict and propensity to leave.

2.2 INTERPERSONAL CONFLICT

Conflict experienced between two or more individuals can be termed as
interpersonal conflict . It can be between co-workers, team members or
roommates. Sometimes in interpersonal relationships, such as those between you
and one of your colleagues, there may be conflict that you are not aware of. If
someone who is normally upbeat and friendly towards you suddenly starts
avoiding you or being rude, there is usually a reason. If the person has remained
cheerful with everyone else except you, there are chances, that you are dealing
with a conflictsituation.

The nature of interpersonal conflict in organizations can be of two types:

substantive (content based) and emotional (emotion based) conflict. Substantive
conflicts arise due to work-related matters. For example, differences in
viewpoints and opinions pertaining to a group task [16–18]. It is otherwise
known as task conflict [19]. More recently, process conflict is identified as
another type of substantive conflict. It recognizes the controversies about the
aspects of how task accomplishment will proceed [20–23]. Task conflict can
either be about an organizational task’s outcome (i.e. what is to be accomplished
by the task) or the process used to perform the task
(i.e. how the task is to be accomplished) [24]. It can also be understood as the
conflict that focuses on judgmental differences about how to achieve common
objectives [24 & 25].
Emotional conflicts tend to evolve when people do not constructively deal with
their frustration, anger, fear, distrust or resentment. It is otherwise called
relationship conflict [19] or
affective conflict [23 & 24]. It occurs due to interpersonal incompatibilities [17–
18]. Emotional conflict is person-focused and involves individually-oriented
disputes. Emotional responses increase as people engage in escalating
behaviours such as exaggerations, personal attacks, restricted communications,
competing for the sake of competing, and looking for allies to enhance ne’s
position.

Conflict can arise due to issues that are not related to an organizational task.
Such conflict is termed as non-task conflict [24]. Moreover, non-task conflicts
can either be about other specific
non-task organizational issues (i.e. issues that are not directly related to the
organizational task at hand—parking spaces, shift and vacation times, credit for
performance, promotions, etc.) or about specific
non-organizational issues (i.e. issues that are not directly related to the
organization—personal loans, recreational teams, spousal affairs, children’s
interactions, etc.).
Managers should be able to identify whether a conflict between two
individuals has been helpful or harmful. It is beneficial if the aftermath of the
conflict reveals that—
(a) Both individuals are able to work better together.
(b) They feel better about each other and their own jobs.
(c) Both express satisfaction about the way the conflict was resolved.
(d) They consider their abilities to handle future conflicts improved.
Assessing Interpersonal Conflict
Interpersonal conflict that exists between individuals can be assessed in two
different ways. Conflict can be assessed in terms of three of its components,
namely, cognitive, affective and behavioural. The cognitive, behavioural and
affective components of interpersonal conflict are reflected by disagreement,
interference and negative emotion. Individual involved in conflict need to be
inquired about the magnitude or intensity of their opinion differences ,
interfering behaviours , and negative emotions they hold against each other or
some issues. All the information is required, otherwise the assessment will be
incomplete and possibly inaccurate. Secondly, an overall assessment of conflict
can also be obtained by asking individuals general questions regarding the
magnitude or intensity of conflict they are experiencing about a certain issue
with a particular individual or group. It can be assessed either using specific
questions reflecting all three of its definitional components, or more generally,
by assessing the overall level of conflict existing in a situation. These four areas
are Cognition/Disagreement, Behaviour/Interference, Affect/Negative Emotion
and Overall Conflict. The two ways of measurement should yield similar and
valid overall assessments of interpersonal conflict.
Stages of Interpersonal Conflict
There are three stages of interpersonal conflict. Each stage of conflict can be
identified by specific employee behaviours and each stage can be addressed by
appropriate interventions. The manager’s goal is to identify and manage conflict
before it escalates to physical aggression (Figure 2.2).
 FIGURE 2.2

Developing conflict stage In initial stage of conflict there are three levels. They
are: latent conflict, conflict awareness and frustration in employees. Latent
conflict is indicated by characteristic behaviour changes such as isolation, self-
centred behaviour, avoidance, and denial. Conflict awareness stage can be
recognized by behaviour like complaints, gestures, stress and difference of
opinions. Tonality, physical signs, negativism, withdrawal and over sensitivity
are the symptoms of frustration stage. These are the initial signs of the conflict
and may not be visible to the manager. Hence it requires keen observation at this
stage. Precautions can be taken to avoid conflict by introducing counselling,
face-to-face interaction and clarification of the doubts. Certain proactive steps
can be taken by the organization. They are employee placement, employee
orientation, employee involvement in process changes, team building training,
problems solving and negotiations, etc. These strategies help the employees to
be clear about their duties, roles and privileges.
Recognizable conflict stage This is the most important stage in conflict
development. The recognizable behaviours that are generally observed are:
tension, friction and frequent disagreement. Tension can be recognized by
distrust, anxiety, silence, poor communication and unpredictable behaviour.
Friction or antagonism is one of the clear expressions of interpersonal conflict
that can be recognized by uncooperative, nervous, anger, no communication and
passive or aggressive behaviour. Frequent disagreement is expressed in
behaviours like being negative, victim posturing, and resorting to use of power,
arguments and blaming. Ideally the conflicts should be resolved at this stage
before it graduates to the next level that is considered dangerous for any
organization. Here tracking down the conflict is not a problem but the resolution
of conflict is. Few intervention strategies that can be suggested here are as
follows: constructive confrontation, discipline, coaching and negotiation.
Aggressive conflict stage A manager would not like the conflict in his team to
reach this stage. Once it reaches this stage, it is almost difficult to handle the
conflict. Highest priority has to be applied to resolve the matter, but could prove
tough indeed. This stage is expressed in three sub-stages like—verbal abuse,
sarcasm, physical assault and threat. Verbal aggression/abuse is identified in
behaviours such as name-calling, taunting, interrupting, and shouting. Physical
threats can be observable in behaviours as interfering into other’s space, physical
posturing, clenching fists, etc. Physical aggression/assault is expressed in
behaviours like physical contact, intense feelings, intention to harm, and
aggression. Intervention strategies that can be used here are verbal de-escalation,
emergency response strategies, critical incident debriefing, disciplinary actions,
etc.
Behavioural Conflict Indicators

Body language
Disagreements, regardless of issue
Withholding bad news
Surprises
Strong public statements
Airing disagreements through media
Increasing lack of respect
Open disagreement
Lack of candour on sensitive issues such as budget
Fighting for certain specific goals
No discussion of progress

2.3 GROUP/TEAM CONFLICT

Group conflict can either be intra-group or inter-group conflict. Intra-group
conflict refers to the incompatibility, incongruence or disagreement among the
members of a group or its subgroups regarding goals, functions or activities of
the group. Unless the majority of a group or its subgroups are involved in
conflict, it is not classified as intra-group conflict. Issues of group cohesion,
leadership and status, power or influence and limited resources are often the
sources of intra-group conflict. The causes of intra-group conflict may be—ego
clash, overstepping authority, individual domination over others, not treating the
fellow-men alike, failure of duties, wrong decision-making due to a person’s
preconceived notions, lack of loyalty, failing to act on sensitive issues, not open,
hidden agendas, etc. There are two kinds of intra-group conflict: task conflict
and relationship conflict [17]. Task conflict is a perception of disagreement
among group members or individuals about the content of their decisions and
involves differences in viewpoints, ideas and opinions. Examples of task conflict
are conflicts about the distribution of resources, about procedures or guidelines,
and about the interpretation of facts.
Relationship conflict is a perception of interpersonal incompatibility and
includes annoyance and animosity among members. Examples of relationship
conflict are disagreements about values, personal or family nors, or about
personal taste.

Inter-group conflict occurs whenever individuals belonging to one group

interact, collectively or individually, with another group or its members in terms
of their reference group indication. It is the conflict between groups in the same
organization. It occurs as a result of disagreements over any number of turf or
substantive issues. Basic differences in group structure, i.e., how centralized or
decentralized a group is, can often be the source of pressure between groups. For
example, if the groups are interdependent (Figure 2.3) then the probability of
conflict is more.
 FIGURE 2.3

When groups are in conflict with each other, systematic changes occur in the
group members with respect to interpersonal relationships and work orientation.
Basically changes happen in perceptions, attitudes, behaviours and group
practices. For example, when the group faces a threat from outside, the loyalty to
the group is more important than the difference of opinion. In that case,
deviation from group decision is considered punishable. It may lead to increased
concern for group achievement than personal achievement that makes the group
climate more formal than informal. The leader of the group becomes more
autocratic than democratic. The structure of the organization and work groups
becomes more rigid. The differences and difficulties among group members are
forgotten and the individual members find the group as a whole attractive. It
makes the group more cohesive. In a study of interactions within and between
groups, it was found that when two groups found themselves in conflict,
behaviours within the groups changed in the following predictable ways: group
cohesiveness, loyalty to the group, and acceptance of autocratic leadership
increased [26]. The perception about the members of the other group became
distorted. Interaction with other groups decreased. The group was more focused
on win-lose orientation rather than problem solving. This characteristic may give
rise to increased hostility. One group may use certain strategies against the other
to gain power. They are strategies to influence while taking decision,
contracting, co-opting, forming coalition, controlling information and forcing
pressure tactics. One of the often observed examples is union-management
relationship during contract negotiations.
Conflict and Group Processes
Researches have shown that there is an inherent conflict in the group life and
development regardless of the size of the group [27]. It can be explained with the
help of two approaches. They are the classical group development approach [28]
and the concomitant approach [29].
Group Development Approach
Fifty articles dealing with group development in different group settings were
studied. It was observed that there are two important dimensions that are
involved in group activities. They are social or interpersonal group activities,
(where development goes through four sequential stages: testing-dependence,
conflict, cohesion and functional roles) and the task activities (where the group
develops through a sequence of orientations: emotional, relevant opinion
exchange, and the emergence of solutions stages) [28].
Based on this analysis, a developmental model of groups combining those
social and task dimensions was suggested. This widely known model includes
five stages: forming, storming, norming, performing and adjourning (Figure 2.4).
The first stage is the forming stage where group members identify the boundaries
of social and task activities through testing. The second stage is storming where
members experience “conflict and polarization around interpersonal issues, with
concomitant emotional responding in the task sphere”. The third stage is
norming where in-group feeling and cohesiveness develop after the initial
resistance has been overcome. In addition, intimate and personal opinions are
expressed in the group. The fourth stage is performing where “interpersonal
structure becomes the tool of task activities. Roles become flexible and
functional, and group energy is channelled into task.” The final stage is
adjourning where task forces disband when the project is completed [28].

FIGURE 2.4 Five stages of group development.

Intra-group conflict is inherent in the second stage of group development. In

the social or interpersonal dimension, group members become hostile to one
another and use it as a means to express their individuality and resist the
formation of group structure. Furthermore, the struggle for control of the pattern
of interpersonal relationship makes “infighting” common among members. In
the task dimension, the discrepancy between personal orientation and task
demand arouses members’ emotions. Thus, group members react emotionally to
the task as a form of resistance to the task’s demands. In short, group members
have to adjust their emotions in the second stage of group development [27].
Another study was conducted on project life cycle. It follows four stages of
development. They are project formation, build-up stage, main program stage
and phase out stage. There are seven types of conflict in each of these stages:
conflict over project priorities, administrative procedure, technical opinions and
performance trade-off, cost, schedules and personality. The intensity of each type
of conflict in different stages varies as the perception of resource scarcity and/or
rewards escalate creating organizational roadblocks [30].
Concomitant Approach
Second approach to understand inherent group conflict can be explained from a
‘concomitant’ perspective. It suggests that conflict is a concomitant, attendant
process of collective life [29]. A paradoxical framework is used to capture these
group experiences. The paradoxes are the sources of tension in the group. There
are seven paradoxes and are described as follows:
(i) Paradox of identity The dilemma of the individual within a group who seeks
to preserve an identity that remains differentiated from the group while
the group seeks to maintain a coherent identity in the face of inevitable
turnover in membership.
(ii) Paradox of disclosure The dilemma of the individual who is willing to
disclose himself when he knows the strengths and weaknesses of the
group while the group is willing to reveal its weakness only when the
individual discloses himself.
(iii) Paradox of trust The dilemma as to who starts the trust-building process,
the individual or the group?
(iv) Paradox of individuality The dilemma arises from the group’s dependency
on the individuality of its members and the individual’s dependency on
the commonality of the group.
(v) Paradox of authority Members must subordinate their autonomy to the
group for it to become strong enough to represent members’ collective
interests, yet in authorizing the group, members may diminish themselves
and lessen the capacities of the group that derives its potency from the
strength of its members.
(vi) Paradox of regression This occurs when individuals permit part of
 themselves to let go in order to let the group integrate its parts into a
whole. At the same time, the group has to develop in a collective way,
which is established upon the individuality of each member.
(vii) Paradox of creativity The creative process, the making of the new,
involves destruction of the old, the very antithesis of what creativity
symbolizes.
Members when accept that there are multi-frames of these group experiences
and recognize that conflict is inherent in a group experience; only then can
conflict be resolved [29]. Both approaches suggest that conflicts are inherent in
group life and development. First, conflict arises within an individual in
adjusting himself/herself emotionally to the group setting. Second, conflict arises
among group members in developing patterns of relationships and technicality.
Lastly, conflict arises individually (between individual members) and also
collectively.

2.3.1 Behavioural Signs of Conflict in Groups

The typical signs of group conflicts are—colleagues not speaking to each other
or ignoring each other, contradicting and bad-mouthing one another, deliberately
undermining or not co-operating with one another, thus leading to the downfall
of the team. Inter-group conflict can also be recognized from certain
significantly different behavioural patterns. Some of them are—cliques or
factions meeting to discuss issues separately, leaving out one group when
organizing an event that should have included everybody, groups using
threatening slogans or symbols to show that their group is right and the others
are wrong. In such conflict, there is a clear distinction and comparison between
“we” and “them”. When a group that feels it is in conflict with another group, it
becomes more cohesive and pulls together to present a solid front to defeat the
other group, and the positive feelings and cohesion within the in-group do not
transfer to the members of the out-group. The members in the out-group are
viewed as the enemy rather than as neutrals. Threatened group members feel
superior; they overestimate their own strength and underestimate that of the
members of other groups. The communication between conflicting groups
decreases and when there is communication, it is characterized by negative
comments and hostility. If a group is losing in a conflict, the members’ cohesion
decreases and they experience increased tension among themselves. They look
for a scapegoat to blame for their failure. The group conflict is generally a
product of group interaction, even when individuals in the group are normal and
well adjusted.
2.3.2 Work Force Diversity and Conflict in Groups
Diversity refers to the work force which consists of different human qualities
that belong to different cultural groups. The primary dimensions of diversity
include “inborn differences, or differences that have an ongoing impact
throughout one’s life. These include learning style, types of intelligence, age,
ethnicity, gender, physical abilities, race and sexual orientation. These
dimensions are core elements that shape their self-image and worldview” [31].
The secondary dimension of diversity can be acquired or changed throughout
one’s lifetime. These dimensions tend to have less impact than those of the core,
but nevertheless, they have an impact on
the person’s self-image and worldview. These dimensions include such
categories as education, religious beliefs, military experience, geographic
location, income, work background and marital
status [31].
Cultural lenses affect group processes. Each member of the multi-cultural task
group bears differences with other members on the outlook of himself, his
relationships with others, the world and nature. Research indicates that group
members tend to adhere to other group members of their own culture rather than
to those of other cultures [32]. Building trust in a multi-cultural task group is
difficult. Cross-cultural communication is an important barrier in members of a
task group. Members categorize/interpret situation from their own country’s
perspective and apply it to other countries leading to conflict. This is known as
cross-cultural misinterpretation .
A study was conducted on multinational joint ventures. “The research
concentrated on the interaction between organizations and individuals whose
primary alliances are rooted in separate cultures and merged behaviour of
individuals from different backgrounds into a hybrid organization. He observed
cross-cultural hurdles at all stages of collaboration between international
companies. At the negotiation and planning stages, differences in language,
business practice and legal institution often prevented the parties from
empathizing with each other. The culture interfered with the needed frankness.
For example, the Chinese tradition of secrecy about business affairs coupled
with politeness and avoidance of open argument is very different from the
American blunt analysis. Achieving an agreement between individuals from
different countries and cultures encounters hurdles in communicating, in
conceiving of unfamiliar operations, in understanding the institutional structure
in which each partner lives and finally reconciling beliefs, fears and values. At
the execution stage also there are several hurdles. Firstly, how to motivate the
desired behaviour? Thus, how to handle risky incentives, accountability of
employees and how to promote worker’s identification with employer’s long-
term success is a challenge. Secondly, how to measure performance? Foreign
companies are facing unfamiliar measurements and reporting of results, as well
as focusing on performing activities vs. achieving specific results. Finally, how
can action be corrected effectively? How to recognize troubles without loss of
face and how to change expectations and facilitate new learning? These
challenges are quite impressive and require specific strategies to be
identified”[33].

2.3.3 Conflict and Group Decision-Making

Conflict is inevitable in group activity as different members have different ideas
and perspectives on the issues dealt with in a group. Factors like emotions,
perceptual biases and poor diagnostic skills affect a group’s ability to identify
problems and opportunities. Evaluation and selection of alternatives are often
challenging because organizational goals are ambiguous or in conflict with
group goal. Sometimes, human information processing is incomplete and
subjective. In certain cases, emotions shape group’s preferences for alternatives.
Many a time, time constraints, evaluation apprehension, and pressure to confirm,
group think and group polarization affect the group’s decision-making. Post-
decisional justification and escalation of commitment make it difficult to
acurately evaluate decision outcomes.

Constructive management of conflict contributes to effective decision-making.

The first step while dealing with this issue is to define conflict and its aspects
(cognitive and affective). If cognitive aspect of conflict is not handled properly it
provokes hostility, distrust, cynicism and apathy among group members [34].
Dealing with affective aspect of conflict is essential because personalized
emotions may make the group members to withdraw from the activities that are
critical to the team effectiveness. Group members cannot engage in discussions
that can synthesize different perspectives. Thus, affective conflict results in the
loss of creativity and quality of group decisions. Besides, members are not likely
to understand each other, much less commit to group decisions. These members
will be unable to implement the decisions [34]. Affective conflict also
undermines the group’s ability to function effectively in the future. Group
members who have been negatively affected by such a conflict are less likely to
participate in future meetings.
Much of the functional outcomes of conflict arise from cognitive conflict
because it occurs as team members examine, compare and reconcile differences
of opinions and perspectives. Cognitive conflict is the key to high quality
solutions and team effectiveness because it focuses the group’s attention on
group activities [34]. When dealt with effectively, cognitive conflict can help
members of a group reach a consensus on their final decision. Furthermore, by
facilitating open communication of alternatives, it encourages innovative
thinking and promotes creative solutions to insurmountable problems. Decisions
become more than the opinion of the group’s most vocal member. In addition to
improving decision quality, cognitive conflict promotes the acceptance of
decisions. Once consensus has been reached and conflicts resolved within the
group, team members tend to ‘buy into’ the decisions. As a result, group
decisions are easier to implement both within the group as well as in the
organization as a whole.
Finally, research suggests that cognitive conflict undermines one of the
negative results of using a team-oriented organizational structure. Good
decisions can be made only when group members have the right to question
underlying assumptions and speak their mind about issues at hand. Once
identified and resolved, cognitive conflict ensures that basic assumptions of
problems are not taken for granted by the group.

2.3.4 Conflict and Role of Communication in Group

Communication is the foundation for all group functioning. In fact, it is the
lifeblood of any group’s effectiveness. There should be smooth flow of
information among the group members. Any barrier in exchange of information
needs to be given immediate attention to avoid group failure. It was found that
the cause for most aircraft accidents (65%) is crew error (FAA News, 1996).
When the crew’s performance level is low due to poor teamwork and
communicatin, accidents are known to take place.

In organizations, the communication flow can be downwards —where

organizational policies, goals, objectives, etc. reach the bottom rungs of the
organizational hierarchy; upwards —where information flows from the lower to
the higher levels and to the strategic apex as in the case of reports, suggestions,
grievances; horizontal— where it is across units or members at the same
organizational level as in committee meetings of departmental heads; and
diagonal between individuals across different levels without direct superior-
subordinate relationships. Communication flow is outward when the
organization gets to relate to its customers, suppliers and the social and political
systems, not only to monitor information but also to disseminate information and
establish liaison with them.
Communication within a group is complex. It can be simplified by controlling
the flow of information, avoiding ambiguity and emphasizing on simplicity.
Conflict arises when the sender distorts information. Few of the causes are: use
of too much jargons, lack of clarity, selection of inappropriate medium (e.g. via
email rather than in a proper report, or via telephone when face-to-face is better),
or incomplete message. Feedback is of course essential to avoid any
misunderstanding. It presumes that any message being communic-ated should be
relevant, structured, jargon-free and understood. The more dispersed and diverse
a group working on a project is, the more important it is for the leader to define
the task completely, communicate clearly, select the participants carefullyand
allocate resources appropriately.
 An effective group communication requires—planned process of decision-
making; a regularly scheduled forum for members to discuss management
issues, evaluate and discuss team function and develop-ment and to address
related interpersonal issues; a mechanism for communicating with external
system within which the team operates.

2.4 ORGANIZATIONAL CONFLICT

An organization consists of different groups of stakeholders, each of which
contributes to the organization in expectation for reward. The stakeholders can
be inside (management, employees, unions) or outside (suppliers and other
stakeholders). They cooperate with one another to jointly contribute the
resources an organization needs to produce goods and services. At the same time
they compete with one another for the resources the organization generates from
these joint activities. The stakeholders’ goals, preferences and interests are not
identical, and conflict arises when one group pursues its own interests at the
expense of other groups. Organizational conflict can be understood as the clash
that occurs when the goal-directed behaviour of one group blocks or thwarts the
goals of other groups.
The organization provides an arena for conflict to occur, as well as defines
relationships and interdependencies among the disputants. However, conflict can
occur in a number of patterns—between individuals, between an individual and a
group, between two groups, or between two or more groups. Further, this
conflict can occur in the same level of the organizational hierarchy or it can
occur across different levels of the organization (for example, project leader and
subordinates). Organizational conflict is not based on personal value systems; it
is a byproduct of changing dynamics within a structure. When left unattended,
these dynamics cause conflict within the organization. If these forces clash with
personal values, then interpersonal conflict can also occur.
Conflict is often perceived as something negative but research suggests that
some conflict is good for an organization and can improve organizational
effectiveness. For example, conflict can be beneficial as it can overcome
organizational inertia and lead to organizational learning and change. When
conflict within an organization or conflict between an organization and elements
in its environment arises, the organization and its managers must re-evaluate
their view of the world. Conflict between different managers or between
different stakeholder groups can improve decision-making and organizational
learning by revealing new ways of looking at a problem and the false or
erroneous assumptions that distort decision-making. Beyond a certain point,
however, conflict stops being a force for good and becomes a cause of
organizational decline. On the whole, organizations need to be open to conflict,
to recognize its value both in helping to identify problems and in contributing to
the generation of alternative solutions that improve decision-making. Conflict
can promote organizational learning. However, in order to exploit the functional
aspects of conflict and avoid the dysfunctional effects, managers must learn to
control it.
At the organizational level , conflict can occur at structural level because of
cross-functional departmental differences over goals, time horizons, rewards,
authority, line and staff activities, status, and resources. In classic organization
arrangements, functional areas and departments are organized on the basis of
expertise—marketing and sales, research and development (R&D), production,
finance, legal and human resource. These groups have different goals, cultures,
approaches and resources. Conflicts can be expected to arise between or among
them because of these differences. Sales personnel, for example, may be
rewarded on a quota system that depends on how much they sell. Time horizons
for selling are often short. Salespeople often have high status in companies
because they command high incomes and relate directly with customers. They
generally receive enviable resources to do their demanding work as well as perks
and benefits that other groups do not. R&D personnel, on the other hand, have
goals based on product innovation, extension and modification. They need
longer time horizons to develop new products and ample resources to perform
their work. They are often seen as creators and inventors, another high status
group. Their work is specialized and their reward can be significant. Production
personnel have traditionally clashed with R&D people because the latter
sometimes gives new but untested product designs to production. If the design is
faulty, both production and salespeople later feel the “heat” from customers, and
conflict ensues. The legal, finance and human resources departments are
classified as “staff” positions. The upper level managers usually appoint staff
positions. Staff professionals’ rewards, resources, status, authority, goals and
specialization are usually not directly linked to market performance. Conflict can
occur between staff and line positions over status and authority difference.
Although structural conflict occurs between members of cross-functional team,
today this conflict has more to do with production deadlines, demand for product
innovations, meeting customer demands, and less to do with status and
frustration levels, which was the case in the past when teams were fewer.

2.4.1 Organizational Conflict Process

Conflict researchers are of the view that conflict processes in an organization
follows a series of episodes, a set pattern. A number of theories present a series
of stages of individual conflict episodes but the empirical basis of many of these
models is unclear. Although the models vary in specific features, they have
common elements. Each studies the antecedents of conflict (latent conflict) that
lead to conflict behaviour and ends in conflict aftermath.
Here Pondy’s model of conflict episode is discussed that helps a manager to
analyze the conflict situation, locate where the problem is and take action
accordingly (Figure 2.5). This model comprises
5 stages: latent conflict, perceived conflict, felt conflict, manifest conflict and
conflict aftermath [5].
Stage 1: Latent Conflict
No outright conflict exists in the first stage but there is a potential for conflict
because of several factors. It can be due to different organizational subunits with
different goals or different perceptions of how best to realize those goals. In
business enterprises, for example, managers in different functional units or
divisions can generally agree about the organization’s central goal, which is to
maximize the organization’s ability to create value in the long run. But they may
have different ideas about how to achieve this goal. Potential sources of conflict
between subunits can be subunits’ interdependence, their differing goals,
bureaucratic factors, incompatible performance criteria, and competition for
resources.
 FIGURE 2.5 Pondy’s model of organizational conflict process.

Interdependence When two groups in an organization are either mutually

dependent on each other or when one group depends on the other, the
chances of conflict are more than when groups are independent of one
another. The more diverse the objectives, priorities and personnel of the
interdependent groups (for example, research and production) are, the
more conflict there tends to be. Because the activities of different subunits
are interdependent, subunits’ desire for autonomy leads to conflict
between groups. Eventually, each subunit’s desire for autonomy comes
into conflict with the organization’s desire for coordination.
Differences in goals and priorities Differences in subunits may lead to
pursue different goals. Once goals become incompatible, the potential for
conflict arises because the goals of one subunit may thwart the ability of
another to achieve its goals.
Bureaucratic factors Over time, conflict may occur because of status
inconsistencies between different groups in the organization’s
bureaucracy. This conflict occurs when one group attempts to improve its
status and another group views this as a threat to its position in the status
hierarchy. One group may also feel that it is being inequitably treated in
comparison with another group of equal status in terms of rewards, job
assignments, working conditions, privileges or status symbols. Human
resources department often feel that they are being treated inequitably in
relation to marketing, finance and operations departments. A classic case
of bureaucratic conflict is between staff and line functions. A line function
is directly involved in the production of the organization’s outputs. In a
manufacturing company, manufacturing is the line function; in hospital,
doctors are in the line function; and in a university, professors are in the
line function. Staff functions are to advice and support the line functions
that include functions such as personnel, accounting, and purchasing. In
many organizations, people in staff functions are considered as secondary
players. Acting on this belief, the line people constantly use their
supposedly lofty status as the producer of goods and services and justify
putting their interests ahead of the other functions interests. The result is
conflict [35].

Incompatible performance criteria The potential source of conflict

between the sub-units can be due to the monitoring, evaluating and
rewarding systems of the organization. Production and sales department
can come into conflict when the sales department asks manufacturing
department to respond quickly to customer orders—an action that raises
manufacturing cost. If the organization’s reward system benefits sales
personnel (who get higher bonuses because of increased sales) but
penalizes manufacturing department (which gets no bonus because of
higher costs), conflict arises. Secondly, the way an organization designs
its structure to coordinate subunits can affect the potential for conflict.
This involves ‘turf’ problems or overlapping responsibilities. For
example, conflict might occur when one group attempts to assume more
control or take credit for desirable activities, or give up its part and any
rsponsibility for undesirable activities.
 Competition for scarce resources Most organizations today have very
limited resources. Groups within the organizations vie for budget funds,
space, suppliers, personnel and support services.

Together, these five factors have the potential to cause a significant level of
conflict in an organization. At phase/stage 1, however, the conflict is latent. The
potential for conflict exists, but conflict has not yet surfaced.
Stage 2: Perceived Conflict
In this stage, each subunit searches for the origin of the conflict and constructs a
scenario that accounts for the problems that it is experiencing with other
subunits. For example, the manufacturing function may suddenly realize that the
cause of many of its production problems is defective inputs. Likewise
investigation production managers may discover that materials purchased by the
department concerned gives emphasis to low cost and long-term relationship
with suppliers rather than the quality and reliability of inputs. Materials
management’s practice reduces input cost and improves this function’s bottom
line, but it raises manufacturing costs and worsens the function’s bottom line.
Not surprisingly, manufacturing perceives materials management as thwarting its
goal and interests. Normally at this point the conflict escalates as the different
subunits or stakeholders start to battle over the cause of the problem.
Stage 3: Felt Conflict
At the felt conflict stage, subunits in conflict quickly develop an emotional
response towards each other. Typically, each subunit develops a polarized “us”
versus “them” mentality that puts the blame for the conflict squarely on the other
subunit. This attitude hampers cooperation and coordination between subunits
leading to reduced organizational effectiveness. For example, it is difficult to
speed up new product development if research and development, materials
management and manufacturing are fighting over quality and final product
specifications. As the different subunits argue and back their points of view, the
conflict escalates. The original problem may be relatively minor, but if nothing is
done to solve it, this small problem escalates into a huge conflict that becomes
increasingly difficult to manage. If the felt conflict is not resolved immediately,
it quickly reaches the next stage.
Stage 4: Manifest Conflict
In this stage, one subunit gets back at another subunit by attempting to thwart its
goals. Open aggression between people and groups is common. For example,
boardroom fighting or infighting in the top management team is very common.
A very effective form of manifest conflict is passive aggression, that is,
frustrating the goals of the opposition by doing nothing. Once conflict reaches
this stage, organizational effectiveness suffers. The coordination and integration
btween managers and subunits breaks down.

Stage 5: Conflict Aftermath

If the sources of conflict have not been resolved, the disputes and problems that
caused the conflict arise again in another context. Every episode of conflict
leaves a conflict aftermath that affects the way both parties to the conflict
perceive and react to future conflict episodes. If a conflict is resolved before it
gets to the manifest conflict stage, then the aftermath will promote good future
working relationships. If the conflict is not resolved until late, organizational
culture will be poisoned by permanently uncooperative relationships.
Conflict is treated as a series of episodes, with each episode including the
stages: latent conflict (conditions); perceived conflict (cognition); felt conflict
(affect); manifest conflict (behaviour); and conflict aftermath (conditions) [5].
This pattern, which distinguishes latent tensions from perception of conflict and
subsequent action, is also adopted in similar models by other authors [36].
However, the stages are vague, and reflect an emphasis on the role of perception,
and a suggestion that conflict must be perceived before it is felt, and felt before it
is acted on.
Conflict can surface at Inter-organizational level between enterprises and
external stakeholders. For example, mergers and acquisitions causing inter-
organizational disaccord, situations that put unions or employees against
management also lead to significant hostility. Resolving these conflicts may
require the help of outside professional negotiators. Sometimes it can be solved
through litigation. This was the situation when Microsoft’s competitors
(e.g. Sun Microsystems, Sybase, Apple, and America Online) accused it of
practicing what they claimed were “monopolist practices”. Understanding the
sources of conflict inside organizations and among and between them is the first
step towards resolution.

SUMMARY
To summarize, conflict can be explained in terms of different levels. They are intra-personal,
interpersonal, group and organizational level. At the core level, conflict when experienced within
an individual is termed as intra-personal conflict. It can be explained with the help of frustration
model, goal incompatibility and role ambiguity. Interpersonal conflict occurs when two or more
individuals perceive that their attitudes, behaviours or preferred goals are in opposition. The
behavioural indicators of interpersonal conflict as well as how to assess it are discussed here
briefly. Group conflict can be discussed from the point of view of intra-group or inter-group conflict.
Intra-group conflict refers to disputes among some or all of a group’s members. Inter-group
conflict is between two groups. Typical signs of group conflict are ignoring each other,
contradicting and bad-mouthing one another, deliberately undermining or not co-operating with
each other, etc. It is observed that workforce diversity many a time lead to conflict. The culture
interferes with the needed frankness leading to conflict. Conflict in a group positively contributes
to the group’s decision-making. Communication barriers like lack of appropriate mechanism for
timely exchange of information, difference in background and segregation in the workplace lead to
conflict. At the organizational level, conflict can be understood from structural point of view. It can
be horizontal, vertical or line-staff conflict. Pondy’s model describes the stages involved in the
conflict process. They are latent conflict, perceived conflict, felt conflict, manifest conflict and
conflict aftermath. Inter-organizational level conflict occurs between enterprises and external
stakeholders. Mergers and acquisitions often create inter-organizational disaccord.

QUESTIONS
1. Critically analyze intra-individual conflict with specific reference to
frustration model, role ambiguity and goal incompatibility.
2. Discuss how to recognize and assess interpersonal conflict. Explain
different stages involved in it.
3. Identify the stage at which conflict is more at group level? Analyze it
with specific emphasis on group decision-making and workforce
diversity.
4. Communication has a role to play in group conflict. Support the
statement.
5. Define organizational conflict. Enumerate organizational conflict process.

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 Chapter 3
SOURCES OF CONFLICT
LEARNING OBJECTIVES
• Know basic factors that have the potential to cause
conflict.
• Understand specific reasons that lead to intra-
personal conflict.
• Know issues that can cause interpersonal conflict.
• Discuss the important variables responsible for group
conflict.
• Elaborate organizational conflict factors.

Conflict arises due to misperception, power-play, differing values, ignoring the

feelings, emotions and needs of others as well as due to behaviours like
competition, backstabbing, political manoeuvring or hostility. The sources of
conflict at different levels may be different though it is difficult to categorize
them.

3.1 SOURCES OF INTRA-PERSONAL CONFLICT

The sources of intra-personal conflict discussed here are cognitive dissonance
and neurotic tendencies within an individual.

3.1.1 Cognitive Dissonance

Cognitive dissonance is an unpleasant state that occurs when individuals
discover inconsistencies between two of their attitudes or between their attitudes
and their behaviour [1]. For example, “I am against prejudice” but “I don’t want
people of other religion living in my neighbourhood.” Sometimes, our attitudes
and behaviour are inconsistent, “I am on a diet” but “I am having an ice-cream.”
Intra-personal conflict may occur due to cognitive dissonance. Such
inconsistencies are usually stressful and uncomfortable. To resolve the
inconsistencies and discomfort, individual either has to
(1) change his thoughts and/or behaviours or (2) obtain more information about
the issue. For example, “I know smoking cigarette is unhealthy” and “I smoke
cigarette.” This creates unpleasant situation. It can be solved in two ways; (1)
“Smoking cigarette is unhealthy” and “I do not smoke cigarette anymore” (2)
“The research on smoking is not conclusive” and therefore, “I smoke cigarette.”
It is generally seen in the case of goal conflict and cognitive conflict where many
important personal decisions are to be taken by the individual. The greater the
goal conflict before the decisions, the greater the cognitive dissonance is likely
to be after the decision. Individuals experience dissonance because they know
that the alternative accepted has negative (avoidance) outcomes and that the
alternative rejected has positive (approach) outcomes. The more difficulty
individuals have in arriving at the final decision, the greater is their need to
justify the decision afterwards. Some cognitive dissonance is inevitable.

3.1.2 Neurotic Tendencies

Neurotic tendencies are irrational personality mechanisms that an individual
uses, often unconsciously, that create inner conflict. In turn, inner conflict often
results in behaviours that lead to conflict with other people [2]. Managers having
neurotic personality use excessively tight organizational controls (e.g., budgets,
rules and regulations and monitoring systems) because they distrust people.
They are often fearful of uncertainty and risk, not just distrustful of others. They
are driven by the passion to plan and standardize everything in detail of their
departments’ operations by emphasizing rules and procedures. Still others are
excessively bold and impulsive in their actions. They rely on hunches and
impressions rather than available facts and advice. Such managers usually don’t
use participation and consultation in their decision-making unless asked to do so
by some higher authority.
Individuals with strong neurotic tendencies struggle unsuccessfully with intra-
personal conflict. They are unable to resolve their own problems. Their
excessive distrust and urge to control triggers conflict with others, especially
with subordinates who feel micromanaged and distrusted. A manager’s neurotic
tendencies get expressed either through overt (open) or covert (hidden)
aggression and hostility. Subordinates, in turn, often try to even secure and
protect themselves from further abuse. These reactions of the subordinates give
the manager a stronger sense of employee worthlessness. It convinces him to
intensify his attempt to control and punish subordinaes.
 Severe unresolved intra-personal conflict within employees, customers or
others may trigger violent interpersonal conflict. Most of the workplace violence
incidents first start with the warning signs long before the violence has actually
occurred. Many a time, the signs are not understood or employees do not want to
tell their co-workers or report to the boss. It is important to understand each sign.
If ignored, the feelings get stronger and are expressed in terms of anger, threat,
violence, etc. Clearly, employees need to know how to recognize and report a
fellow worker’s growing anger so that the employer can diffuse potentially
volatile situations. Much violence in the workplace has its source in severe intra-
personal conflict 3].
3.2 SOURCES OF INTERPERSONAL CONFLICT
There are a number of factors that can determine whether conflicts will arise or
our working relationships with others will be harmonious. Issues, which need to
be considered, are relationship rules, interpersonal differences, how we treat
others and how we perceive particular situations [4].

3.2.1 Relationship Rules

Factors inherent in relationships are the patterns of communication and breaking
relationship rules [4]. Our relationships are governed by a set of informal rules;
the behaviour most people think is appropriate or inappropriate in a particular
context. The rules guide and coordinate our behaviour and help to prevent
difficulties
and conflict. Four different types of relationship rules have been identified [5].
They are:
Rules of support This includes offering practical help on a work-related task,
standing in for colleagues in their absence, giving advice, encouraging or
guiding subordinates or patients/clients, and so on.
Rules of intimacy This can be understood as respecting the other person’s
privacy and refraining from engaging in sexual activity with subordinates or
within professional relationship.
Rules relating to third parties Others not involved in our day-to-day
interactions can have a major effect on our immediate relationships. One should
not criticize others in public, nor should one discuss with others what has been
told to him or her in confidence.
Task-related rules All professional relationships, whether teacher-student or
doctor-patient, are largely governed by rules which relate to the completion of
specific tasks. For example, a teacher is expected to prepare the lessons, plan and
assign work, a doctor is expected to diagnose, advice and treat the patient, and so
on. There are also task-related rules for the recipients of professional advice,
such as the need for a student to submit assignments at specified times or the
need for patients to provide information.
In general, an understanding of the rules is shared by both the parties or is
clarified by the professional concerned. The working relationship between
employees is affected when relationship rules are broken. Sometimes
misperception, misunderstanding or disagreements about the way the work
should be conducted becomes potential source of conflict. Conflict may arise
because persons involved in conflict use different sources of information or draw
different interpretations of the same information. It can be due to inadequate
information, both have regarding a specific issue. These working relationships
are governed by informal rules and adhering to these rules minimizes potential
sources of conflict. In one of the surveys, it was found that the behaviours that
inflame conflict the most are: winning at all cost (25%)—trying to win
regardless of how it affects others, displaying anger (23%)—using harsh, angry
words or actions, demeaning others (33%)—ridiculing others or using sarcasm
and retaliating (19%)—trying to take revenge against others [6].
In another study, it was observed that the behaviours that trigger conflict the
most are untrustworthiness (50%), hostility (21%), unreliablity (15%), self-
centred approach (10%), and unappreciative behaviour (4%) [7].

3.2.2 Personality, Gender and Age Related Issues

Factors inherent in the people concerned are personality clash, gender and age
differences [4].
Personality Clash
Interpersonal conflict may occur when two or more persons come from different
backgrounds, share different and varied experiences (upbringing, family
traditions and socialization process) and hence may interpret the same facts
differently. It may also be due to difference in cultures or because of different
values and beliefs they hold. Few people are simply considered as difficult to
work with by most people and the majority of clashes are between two people
who approach the same situation in different ways. For example, someone who
is very rigid in his way of working would find it difficult to work with someone
who is very flexible; someone who is conscientious would find it difficult to
work with a person who is rather laid back in his approach. One may clash with
other person because of differing opinion or belief or because of a dislike of
personal habits. However, it is possible to work with people we dislike, by
simply adhering to the appropriate relationship rules and by treating them with
respect and courtesy. Disagreements stemming from the personality differences
often become highly emotional and take on moral overtones. A disagreement
that is factually correct easily turns into a bitter argument over who is morally
right.
Gender differences Studies have suggested that women find their jobs more
satisfying but, at the same time, more stressful than men. It is frequently found
that women have more friends at work, but also more people whom they do not
get along well with. In order to succeed, women often feel that they have to be
better at their jobs than their male counterparts and are, in fact, often better
qualified than males in equivalent positions. Women often face problem in
workplace by being excluded from social activities as well as from decision-
making ventures. This many a time causes interpersonal conflict.
Age differences Age-based stereotypes influence our perception of and reaction
towards with whom we work. The stereotypical notions about younger people
are that they are inventive and flexible, while older people are seen as
conservative and inflexible. This is in spite of the research facts that older
workers have lower absenteeism, turnover, illness and accident rates and higher
job satisfaction as well as more positive work values [8]. Equal status colleagues
of different age groups may feel that their more experience or knowledge gives
them the natural edge. The younger worker may feel aggrieved if his or her
knowledge is not taken into account when given instructions by an older
manager. Conversely, an older, more experienced person may fail to respond to a
possibly more knowledgeable, but inexperienced younger manager [4]. These
issues create interpersonal conflict.

3.2.3 Evaluating Others

Factors inherent in our evaluation and treatment of others are assumptions about
others, misuse of authority and power tactics and manipulation [4]. Essentially,
interpersonal conflict occurs when one’s perception of another person is biased.
It is very easy for us to expect others to see things the way we do—especially
about what we would consider to be the core work values such as getting a
project finished or advancing in our profession. However, each employee has his
own value system that determines his priorities. When these different priorities
meet, conflict is usually the result, and how we manage these differences
becomes critically imortant.

3.2.4 Evaluating the Situation

Evaluation of the situation is influenced by our perception of the situation and its
interpretation. For example, when two people markedly differ from each other
while perceiving or interpreting the event, conflict is inevitable. Many a time,
the situations are more ambiguous or the nature of instruction by the superior is
not clear leading to misperception and misunderstanding. Our expectations and
beliefs also influence our evaluation of the situation. Sometimes people adopt
fixed and irrational pattern of thinking which limit their ability to respond
positively to a problem. For example, people may find it difficult to accept
‘rejection’. Sometimes unpleasant events or people behave in a way we do not
like. The problems become compounded when one thinks of negative outcomes
rather than looking for positive solutions to the conflict.

3.2.5 Role Incompatibility

Conflict due to role incompatibility is derived from both intra-individual role
conflict and inter-group conflict. Specifically in today’s horizontal organizations,
managers have tasks and functions that are highly interdependent. However, the
individual roles of these managers may be incompatible. For example, the
production manager and the sales manger have interdependent functions: one
supports the other. The role of the production manager is to cut costs and one
way to do this is by keeping inventories low. The sales manager, on the other
hand, has the role of increasing revenues through increased sales. The sales
manager might make delivery promises to customers that are incompatible with
the low inventory levels maintained by poduction.

3.2.6 Changes and Stress Resulting from

Environmental Factors
Stressful environment may be one of the factors in interpersonal conflict.
Environment characterized by scare resources, competitive pressures, high
degree of uncertainty, status and power differences, conflicting goals and
objectives, etc., may lead to interpersonal conflict. It can occur due to different
values and beliefs held by the employees, differences in perception, diverse
goals or objectives, race, ethnicity, disagreement on how things should be done,
interests, information and knowledge, etc.

3.2.7 Difficult Boss

Managers, who show favouritism or are extremely critical of subordinates or
take undue advantage of their positions, create an environment in which hostility
and tension predominate [4]. Sometimes they adopt leadership styles that are not
appropriate to the situation thereby causing conflict. For example, in an
educational institution where democratic style is appropriate, if the vice-
chancellor uses autocratic style, it will lead to conflict and dissatisfaction.
Abusing the power of one’s position is the common cause of conflict in
workplace. People with excessive need or desire to exert control over others may
misuse legitimate power. It can happen because of their misguided drive for
control. Conflict is the natural outcome when leaders use coercive power
excessively. Subordinates feel uncomfortable in working with managers who put
down their employees. It can range from personal attacks which are overt and
aggressive, to everyday put-downs which are more subtle but perhaps more
insidious [4]. For instance, personal attacks can be, “I can’t imagine what made
you suggest such an idea!” It can take various forms like: ignoring the
subordinates comments, or ignoring before others either in meetings or in
official get togethers; sarcasm
(a clever and cutting comments like, “what a brilliant idea”); blaming (by
exaggerating genuine mistakes or missed deadlines; dismissive hand gestures,
facial expressions such as sneers), and patronizing (being treated
condescendingly is also a powerful put-down). Typical comment may be “Well
that wasn’t so difficult, was it?” A single put-down is not likely to endanger the
relationship. However, if they occur frequently, the negative feeling gets
accumulated and slowly and gradually the relationship between the boss and the
subordinate gets sour.
Favouritism

3.2.8 Difficulties with Colleagues

Conflict arises with colleagues when there is power-play. In close relationships
when attempt is made to exert control over each other, it can be understood as
power play [9]. To what extent one can control other’s behaviour can be done by
attempting to control, exploit and manipulate other people against their will.
Power play strategies include: use of overt threats, psychological threats and
game playing. Overt use of threat can be verbal or physical. Psychological
threats include a range of more subtle, but equally damaging, unfair fighting
tactics like attacking a person’s emotional weak spots, inaccurate reporting about
the person to others or telling tales, encouraging other people to take the
protagonist’s side, seeking to apportion blame to the other person whenever
possible; not allowing the person to have his say either in conversation or in
meetings. Game playing involves use of pretence. Tactics used include drawing
the other person into encounters on false pretences, for example, pretending to
be helpful or sympathetic and then sabotaging a task; not giving the other person
a chance to respond, for example, by making a comment and then leaving the
room; or pretending to be the one who is the victim and then attacking from the
back. However, when more subtle tactics are used, the victim will be left feeling
powerless or resentful as if they have colluded with th proagonist.

3.3 SOURCES OF GROUP CONFLICT

Some of the sources of group conflict are discussed in the following subsections.
Negative Stereotypes about the Other Group
Stereotypes are social schema that includes characteristics, which can be
positive or negative, and supposedly belong to almost all members of a group
[10]. For instance, Indians are religious. Stereotypes are based partly on our
tendency to view members of our own group (our in-group) as more variable
than members of another group (an out-group). A study of college seniority
members found that they judge members of their own sorority as being more
diverse than those of another sorority [11]. We are likely to rely on stereotypes in
making decisions about others’ behaviour when we have little information about
other groups. Stereotypes need not necessarily be derogatory or cautionary,
though most of them are. Conflict arises when negative stereotypes (relating to
norms, policies) are used to make predictions about the behaviour of the other
group.
Not Acknowledging the Conflict
The most common repressive management strategy is not acknowledging the
conflict. It is a type of non-action for doing nothing. Doing nothing is a smart
thing provided the decision to do nothing is well thought out and based on an
analysis of the situation. Most of the time, people do nothing about conflict
situations for certain reasons, such as fear of bringing conflict into view, or
discomfort with anger. Unfortunately, doing nothing generally results in conflict
escalation and sets a tone for the organization.
Avoiding Conflict
Avoiding conflict means keeping appeals for change or redress always “under
consideration”. It can be termed as administrative orbiting. While non-action of
conflict suggests obliviousness since it does not even acknowledge the problem,
orbiting acknowledges the problem, but avoids dealing with it. The manager
who uses orbiting will say things like “we are dealing with the problem”, but the
problem never gets addressed. Common excuses include collecting more data,
documenting performance and cancelling meeting.
A common means of avoiding conflict (or repressing it) is to be secretive.
Employees or managers can do it. The notion is that if nobody knows what you
are doing, there can be little conflict. By being secretive one may delay conflict
and confrontation, but when it does surface it will have far more negative
emotions attached to it than would have been the case if thins were more open.
Law and Order
Managers sometimes use law and order to repress the outward manifestation of
conflict. This doesn’t make conflict go away, it just sends it scuttling to the
underground, where it will grow and increase its estructive power.

Frustration
When one party perceives the other party as interfering with the satisfaction of
one’s needs, wants, objectives, etc., frustration is known to creep in. There are
three factors precipitating the condition for conflict in the frustration stage [12].
They are (i) communication (poor communication arises from semantic
difficulties, misunder-standings and ‘noise’ in the communication channels); (ii)
Structure (like size, degree of specialization in the task assigned to group
members, jurisdictional clarity, member-goal compatibility, leadership styles,
reward systems and the degree of dependence between group influence conflict
conditions) (iii) Personal variables (include individual value systems and the
personality characteristics that account for individuals’ idiosyncrasies and
differences).
Distorted Perception and Behavioural Predisposition
Each party defines the conflict situation and the salient alternatives available to
them in the way they understand, which influences their own behaviour and this,
in turn, affects the behaviour of the other party. Behavioural predisposition is
influenced by one’s motives, abilities and personality. Once there is difference
between the two parties with regard to motives, interest and personality, it will
lead to different behavioural expressions conveying different meanings.
Sometimes it may lead to conflict.
Size of a Group Affects the Occurrence of Conflict
The size of the group has significant impact on group functioning [13]. In large
groups, the patterns of interactions are vastly more complex. Cliques are likely
to be formed, both because of communication barriers and difference of opinion.
In particular, minority views often lead to cliques, which are then likely to
conflict with and compete with the rest of the group. Researches were conducted
on groups ranging in size from two to seven members. It was observed that a
number of trends illustrate two factors: larger groups mean less talking time per
person and each person has to maintain more relationships [14].
In a study that investigated a public relations problem was given to a variety of
groups of sizes up to 96. The groups spent 30 minutes listing suggested solutions
and 30 minutes evaluating them. In the larger groups, there was a larger
percentage of team members who reported that they had ideas they did not
express, and a larger percentage of members who never talked directly. Members
who failed to interact felt more threatened in the larger groups as they felt that
their ideas might be misinterpreted and they felt it was easier to let someone else
speak, or someone else put forward their idea before they had formulated it. The
results of these two studies are broadly comparable, even though they
investigated substantially different ranges of group size. If members of a larger
group are unable to contribute as much or are suppressing their contributions,
then the level of disagreement should decrease [15]. Other researchers
substantiated this observation. They are of the view that the observer may have
more to observe with the larger groups, and may have missed signs of tension
[14]. However, this does not explain all their results, and they have put forward
two further explanations. Firstly, in larger groups, the roles required by the task
may be allocated over a larger number of persons, increasing the chance that
someone without much difficulty will perform each role. The second reason is
that larger groups offer more anonymity for people who are more likely to
conflict when forced into greater involvement. The conclusion must be that
occurrence of conflict increases in smaller groups, and that this is at least partly
because each member is more fully engaged in the task. However, this does not
imply that the conflict is destructive. Adding members to a group does not
necessarily increase the resources of the group, due to the increased complexity
in communication patterns [16]. Also, extra members may be redundant.
However, researchers warn that for small groups, it may matter more whether the
group has odd or even number of members, as even-sized groups can spend
longer in deadlocked situations [14].
Technological Mediation Introduces Conflicts
The use of technology to support group interactions seems to affect the
behaviour of the group. The impact of computer-mediated communication
technology has been studied from a social psychological viewpoint. It has been
widely reported that the anonymity afforded by electronic communication leads
to, among other things, a reduction of normal restraints on behaviour. This effect
is believed to be a result of de-individuation [17 & 18]. For example, electronic
mail does more than just speed up the flow of information. It may change the
pattern of communication, the distribution of information and it may also change
the nature of interactions between people [19]. In particular, CMC provides the
possibility for anonymous engagement in in-group activities. By varying the
amount of communication available, it has been discovered that there is an
increased tendency for more aggressive and less cooperative behaviour when
communication channels are restricted, and in particular, when there is no voce
component [20].
3.4 SOURCES OF ORGANIZATIONAL CONFLICT
The sources of organizational conflict can be of many types. Some of the factors
that are discussed here are communication failure, structural issues, staff
heterogeneity, level of participation, differentiation, task interdependence, task
ambiguity, bureaucratic factors, incompatible performance criteria, conflicting
reward system, power play, horizontal conflict, vertical conflict, change, domino
effect, organizational-professional conflict and hybrid conflict.
Communication Failure
Communication is an overall coordinating mechanism that links the total
organization. As discussed in Chapter 2, communication flow can be
downwards, upward, horizontal, diagonal and outward. When communication
fails, it results in a series of confusion. Communication may fail for a number of
reasons listed as follows.

Inadequate information When there is no sufficient basis for further or

necessary action.
Lack of precision or clarity The receiver is uncertain about what to do and
what is expected of him.
Lack of legitimacy Communication that makes demand on individuals
beyond the formal normative standards, conventional rights, and
privileges and responsibilities are regarded as illegitimate and a stress
factor in organizational life.
Lack of authenticity This happens in situations where communication is
not sufficiently supported by logic, facts and figures, and orderliness.
Timeliness If the communication has not reached to the person concerned
in time, this also creates confusion and leads to conflict.
Contradictory messages Conflict is experienced when there are
statements of either explicit or implicit incongruence within a message or
text. Similarly, there could be a contradiction in the way a message is
conveyed, with verbal behaviour not cueing up with non-verbal behaviour
(such as gestures, movements, voice inflection, etc.). It is often said that
50 to 80 per cent of meaning within a human transaction is communicated
via body language and voice modulation. Inappropriate gestures or
gestures that do not go along with the verbal messages, can be confusing
and conflicting.
Distortion of information In organizations, more the number of levels to
pass through, greater is the distortion of facts of information. An
 employee will not like to allow an information, which is unfavourable to
him, to be passed on to his superior. Most often, individuals tend to
project a favourable image of themselves even if the situation is
otherwise. Distortion of such nature gives rise to a sense of false security
among the people at higher levels that all is well below. Moreover,
decisions made at higher levels may be at variance with the reality of the
problem. Hence, problems may remain inappropriately resolved if not
intensified.
Information overload It refers to having more information to deal with
than what one can normally handle. Executives who keep most of the
decision-making to themselves and delegate very little to their
subordinates will be victims of work overload. The likely result is delay
or postponement of decisions and preference to deal with routine rather
than complex issues. In addition, information overload can be a cost
factor for one’s own psychological and physical health. Over and above, it
will cause communication problem.

Structural Factors
The size of the organization can be a contributing factor for a conflict to occur.
An increase in the size of the organization is associated with less goal clarity,
greater formality, increased specialization, more supervisory levels and increased
opportunities for information to become distorted as it passes through more
levels. Specific factors such as size, degree of specialization in the task assigned
to group members, jurisdictional clarity, member-goal compatibility, leadership
styles, reward systems and the degree of dependence between group influence
conflict conditions. The conseuence can be seen in poor policy management,
role interference, ineffective leadership, program mismanagement, ineffective
processes, etc.
Staff Heterogeneity
Differences among staff members in terms of authority, longevity, values and
beliefs, decision-making styles and understanding of the situation may be a
source of conflict in an organization. Difference can be of various types such as
opinion differences, differences in values, levels of competency, objectivity
while looking into the issues and style of operation. It can be due to
misunderstanding, inappropriate behaviour, inaccurate facts, lack of knowledge,
etc.
Level of Participation
Research shows that when subordinate participation is greater, levels of conflict
tend to be higher. The reason being increased participation leads to greater
awareness of individual differences. On the other hand, an individual’s
participation in decision does not ensure that an individual’s point of view will
prevail. Many a time, lack of authority to have his or her preferences put into
action leads to conflict. If the results of subordinate participation and the
subsequent conflict enhance the overall performance of a work unit, then the
existence of conflict can be productive. Rules and procedures , which include the
decision-making machinery, i.e. decision rules, negotiation and arbitration
procedures need to be clear cut in order to constrain and shape the behaviour of
those conflicting parties.
Task Interdependence
As discussed in Chapter 2, each subunit’s desire for autonomy in an organization
comes into conflict with the organization’s desire for coordination.
The nature of task interdependence among departments can help us to
understand the sources of conflict. It is based on the degree to which decision-
making and cooperation between two or more employees is necessary for them
to perform their jobs. Thomson’s typology explains three basic types of
interdependent task relations. They are pooled, sequential and reciprocal. Pooled
interdependence is the ability of an employee (or team) to act independently of
others in completing a task or tasks. Sequential interdependence is the need for
an employee (or team) to complete certain tasks before other employees (or
team) can perform their tasks. In other words, the outputs from some employees
(teams) become the inputs for other employees (teams). The sequence of
dependence can be a long chain of mass production activities. Reciprocal
interdependence means that the outputs from an individual (or team) become the
inputs for others and vice versa. For example, basketball team, decision-making
team, surgical team. This team requires a high degree of cooperation,
collaboration, communication and decision-making. Potential for conflict
increases with increasing interdependence (from pooled through sequential to
reciprocal interdependence).
Task Ambiguity
Conflict arises among the groups when there is no clarity over job
responsibilities. It is known as task ambiguity. For example, in recruitment of
new employees, both the HR department and the specific functional areas (like
marketing, operations, finance) of the firm have responsibilities in recruiting—
identifying and interviewing candidates, making selection decisions, and
negotiating salaries. Sometimes there is conflict over who has the final authority
to make and execute selection decisions. Final offers are held up as HR and the
functional areas, each assert what it perceives to be its prerogatives. It may come
up when the organization is growing quickly and the environment is changing.
Differentiation
It emphasizes the differences in cognitive and emotional orientations among
managers in different functional departments. For example, due to the work
orientation of R&D and sales departments, both the departments require people
of two different types of personality (introvert and extrovert) and thinking styles
(methodical as well as analytical and intuitive). The nature of work requires
different ways of handling issues (mode of operation). Consider for example, the
design department and mechanical engineering department in an automobile
manufacturing company. The former requires more emotional labour than the
latter as people are more emotionally attached to their own designs. The two
departments need to be handled properly and differently. If this differentiation is
not done properly, it may give rise to conflict.
Bureaucratic Factors
As explained earlier, a classic type of bureaucratic conflicts occurs between
staff and line functions. In many organizations, people in staff functions are
treated as secondary players. Acting on this belief, the line production constantly
uses its supposedly lofty status as the producer of goods and services justify
putting its interests ahead of the other functions’ interests. The result is conflict
[21].
Conflict occurs between line and staff divisions because of the functions they
perform, their differing goals, and the values and backgrounds of their members.
Line staff is generally more operations oriented, while staff divisions are more
removed from central operating activities. Line personnel are often very loyal to
their firm, while staff personnel tend to be critical of company practices. In fact,
staff people frequently identify more strongly with a professional group or
discipline than with the organization in which they are employed. Lastly, the two
groups’ time horizons often differ. Staff people more typically think in terms of
long-range issues, while line people are more involved with short-term or day-
to-day concerns. Given these differences in orientation, it is not too surprising
that line and staff personnel experience a fair degree of conflict.
Incompatible Performance Criteria
Conflict arises between subunits because of the system relating to monitoring,
evaluating, and rewarding that is implemented in the organization. Production
and sales can come into conflict when the sales department asks manufacturing
to respond quickly to customer orders—an action that raises manufacturing cost.
If the organization reward system benefits sales personnel (who get higher
bonuses because of increased sales) but penalizes manufacturing (which gets no
bonus because of higher costs), conflict arises. Secondly, the way an
organization designs its structure to coordinate subunits can have the potential
for conflict. This involves overlapping responsibilities. For example, conflict
might occur when one group attempts to assume more control or take credit for
desirable activities, and try to pass the responsibility of undesirable activities to
the other group. During the performance assessment, the type of criteria adopted
has the potential to give rise to conflict. For example, if the performance
criterion is ‘person’ based rather than ‘merit’ based.
Competition for Limited Resources
Most organizations today have very limited resources. Groups within the
organizations vie for budget funds, space, suppliers, personnel and support
services physical facilities, etc. These variables can cause organizational conflict
by limiting expected performance of individuals, departments, and perhaps even
the organization as a whole.
Conflicting Reward System
If one party obtains rewards at the expense of another party, conflict can be
easily generated. This form of conflict can arise among individuals and groups
as well as among entire organizations. The objective reality which gives rise to
conflict may be stakes, relationship between parties, conflict of interests in
competitive issues and common problems. How mutually exclusive reward
system operates is not always obvious. For example, staff people are generally
rewarded for being innovative and identifying the need for change. By
suggesting and attempting to induce change, they are able to demonstrate their
usefulness to the larger organization. On the other hand, most line people
strongly prefer to avoid change. Change for them is both disruptive and
inconvenient. In fact, line people are generally rewarded for productivity that
results from uninterrupted activity.
Power
The distribution of power within an organization can also be a source of conflict.
If a group feels that it possesses far less power than it should, or if it believes
that another group holds excessive power, it is likely to challenge the existing
order. If departments are ostensibly equal when in fact they hold differing
amounts of power, serious discontent can arise. For example, in many
companies, staff people must continually justify their need to exist, be
understanding of the problems in line department, and make constant efforts to
get along with the line personnel. Similar expectations do not exist for line
people. They usually wield greater authority than the staff. Such asymmetry of
power distribution can add further tension to an already difficult situation. Use of
regulations and power to handle the situation sometimes leads to suppression of
the outward manifestations of conflict. This does not make conflict go away, it
just sends the message to the underground, where it will grow and surface later.
Horizontal Conflict
It is the conflict between people at similar organizational level (Take for
example: R&D vs. Sales). The more organizational units come into contact with
each other, the more dependent they are on each other, and smaller the amount of
available resources, greater is the probability for horizontal conflict [22].
Horizontal power pertains to relations among departments. It occurs only when
each department or team strives only for its own goals, disregarding the goals of
other departments and teams, especially if those goals are incompatible. In most
organizations, different departments wield different amounts of
power. Contrasting attitudes of employees in different departments and teams
may lead to conflict. Horizontal power differentials are typically informal (i.e.
they are not official or consciously planned) and develop spontaneously. The
power differentials among departments can be explained by the theory of
strategic contingencies (that is, activities inside and outside the organization that
are essential to attain organizational goals). The main principle of the theory is
that departments involved with strategic contingencies tend to have more power.
Vertical Conflict
It is the conflict between different levels in hierarchy (For example management
vs. workers). The primary basis for this conflict is the differences in power
across levels in the organization. It often occurs when superiors attempt to
control subordinates too tightly and the subordinates resist. Subordinates may
resist because they believe that the control infringes too much on their freedom
to do their jobs appropriately and effectively. Take for instance, senior managers
who are likely to have very different personal and organizational expectation
than assembly-line workers in the same organization. These expectations can
colour their experiences, beliefs and interests, making the groups appear to be
incompatible.
Change
Some change within an organization is normal, and to be expected. New
policies, changes in operational procedures, and a certain amount of employee
turnover are common internal changes all organizations experience. Externally,
municipal, state, or government can also require an organization to make specific
changes. Reorganizations and “right-sizing” can wreak havoc in organizations,
threatening the job security of everyone. Even growth can cause conflict.
Although growth is normally seen as good for an organization, communication
breakdown is sure to occur as responsibilities change and reporting relationships
may be shuffled. Change within an organization definitely causes conflict.
The Domino Effect
The domino effect is the product of poor planning and communication
breakdown. It occurs when the activities of one department have a direct impact
on another department continuously (and on and on). The goals and objectives of
one department may clash with those of another department. Because
organizational conflict can easily cause additional interpersonal differences, it is
the responsibility of the upper management, department heads and supervisors to
minimize the effects of these sources through responsible communication with
each other and with their employees.
Organizational–Professional Conflict
According to traditional functional theories, a profession is an occupation that
has been granted a monopoly right to provide a specified set of services through
statutory licensing. In exchange, the profession accepts a commitment to provide
high quality services and to regulate the quality of those services [23–24]. The
fundamental rationale for self-regulation is the belief that laypersons are not
qualified to judge the quality of the professional’s work; thus, professionals need
to be judged by their colleagues [25–26]. The items included in the Hall
Professionalism Scale relate to five commonly cited characteristics of
professionals: professional community affiliation, social obligation, belief in
self-regulation, professional dedication and autonomy demands.
In established professions such as medicine and law, services were
traditionally provided through sole proprietorships or small partnerships. In these
organizations, the practitioner was free to exercise professional judgment with
minimal external or organizational pressures [26]. As more and more
professional services have been offered through other organizational forms, such
as private corporations, concerns have been raised that bureaucratic or
organizational pressures would reduce autonomy and impair professionals’
integrity and objectivity [26–29]. For instance, it has often been suggested that
the bureaucratization of the medical profession has eroded the autonomy of
physicians, forcing them to prioritize organizational goals such as profit
maximization or cost containment in lieu of professional goals such as medical
service and knowledge advancement [30–31]. This potential discord between
professional and organizational values is commonly referred to as
organizational-professional conflict.
Hybrid Channel Conflict
Firms use multiple channels of distribution as a strategy to handle rapidly
expanding product market. It allows them to adapt to changing customer needs
and shopping patterns. It helps them to respond to the emergence of the Internet
and other novel distribution channels. Companies with excess manufacturing
capacity can benefit from additional outlets when existing channels are saturated
with supply.
Hybrid channel conflict occurs when one channel coalition perceives that
another is engaged in behaviour that prevents or impedes the first from achieving
its goals [32]. Multiple channels place conflicting demands on internal company
resources such as capital, personnel, products and technology. In addition,
conflicting objectives of various channels can lead to internal conflicts over
customers, raising the potential for customer confusion and dissatisfaction. Since
each channel requires its own diverse set of resources to succeed (e.g. personnel,
capital, or customers), there are myriad opportunities for conflict to erupt
between coalitions. For example, a company’s direct sales force, distributor
group and
e-commerce initiative may have conflicting interests over issues related to
budget allocation, revenue objectives, pricing, customer assignments, timing,
nature of advertising and promotional support. Hybrid channel conflict involves
a perception of the behaviour of another coalition. A coalition even does not
intend to work at cross-purposes with another; conflict will occur if it is
perceived to be doing so.
Intra-firm, inter-channel conflict could have both positive and negative effects
on channel performance. On the positive side, competition for resources may be
an efficient allocation mechanism that ensures that scarce channel assets are
applied where they are needed most. On the negative side, internal squabbles
between the channel groups may lead to an internal focus reducing the customer
orientation of channel managers. There is considerable support for the negative
effects of channel conflict on satisfaction and performance within the
conventional channel’s literature [33–36].
 SUMMARY
In this chapter we have discussed general factors that can cause conflict at all levels. Specific
issues causing intra-personal conflict are cognitive dissonance and neurotic tendencies that an
individual uses often unconsciously that create inner conflict like excessive fear of risk and failure.
Severe unresolved intra-personal conflict within employees, customers, or others may trigger
violent interpersonal conflict. The variables that have potential to give rise to interpersonal conflict
are violation of relationship rules, personality clash, gender and age differences, inaccurate
evaluation of others as well as situation, role incompatibility, and stress due to changes in
environmental factors, difficult boss and colleagues. The factors that account for group conflict are
negative stereotypes about the other group, non-acknowledgement of conflict and avoidance of
conflict. Managers sometimes use law and order to repress the outward manifestation of conflict
thus increasing the probability of that conflict to surface in violent form or in different form in the
long run. Other reasons can be size of a group and technological mediation. The sources of
organization conflict are communication failure, structure of the organization, staff heterogeneity
and level of participation, differentiation, task interdependence, bureaucratic factors, and
incompatible performance criteria, competition for limited resources, reward system, power,
change, domino effect, horizontal conflict, vertical conflict, organizational–professional conflict,
and hybrid channel conflict.

QUESTIONS
1. Discuss issues that lead to intra-personal conflict with examples.
2. Examine the sources of conflict in/or relationships at work as well as why
conflicts arise and its effect on our personal well-being.
3. Design an orientation programme for your newly formed team that will
give members better insight of the factors leading to conflict and how to
work harmoniously.
4. Can an organization be free of conflict? Critically analyze the probable
sources of conflict that complicate its handling.

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 Chapter 4
MANAGING INTERPERSONAL
CONFLICT
LEARNING OBJECTIVES
• Understand the importance of managing
conflict.
• Discuss different techniques to resolve
interpersonal conflict.

In today’s workplace, communication holds the key for efficient administration.

It encourages knowledge sharing, co-operation and a sense of common purpose.
However, such an increase in interpersonal relationships creates an unwanted
and often unmanaged sideeffect—that is conflict [1]. The conflict may be with
co-workers, superiors, subordinates, family, friends or acquaintances. There is a
potential for conflict whenever people are together. No two persons are alike and
because they have different likes, dislikes, wants etc., conflicts will arise. It is
estimated that over 65 per cent of performance problems do not result from lack
of skill or motivation but from strained relationships.
Managing conflict focuses on maintaining conflict at the right level to help the
department, work unit or organization reach its goals. It neither means complete
elimination of conflict nor does it refer only to conflict reduction. The basic
process of conflict management is the selection of desired level of conflict. The
desired level of conflict varies according to the perceived conflict requirements
by the managers of the unit [2]. For example, a manager may perceive that the
company that deals with creative and innovative products or services require a
higher level of conflict than more routine and predictable products or services.
Organizations facing fast changing external environments require higher conflict
levels for successful adaptation than organizations facing stable external
environments. On the other hand, manager’s tolerance for conflict affects his
perception of a unit’s conflict requirements. A manager who avoids conflict is
likely to have a lower tolerance for conflict than a manager who actively
engages in functional conflict behaviour. Even when a work unit requires a
specific conflict level, the manager’s tolerance for conflict affects his perception
of the desired levels [2]. If the conflict is at the desired level then manager
should try to maintain it. If it goes dysfunctionally high then manger should try
to reduce it. If the level of conflict goes dysfunctionally low, the manager should
try to increase conflict.
The symptoms of conflict that is highly dysfunctional need to be recognized
by the manager as early as possible. It can be low trust in work unit, ill feeling
towards each other, and distortion of ideas, lack of cooperation or poor
communication. At this stage, the primary duty of the managers is to reduce
conflict and bring it to the desired level. Conflict is like a snowball rolling down
a hill. As it rolls, it picks up other problems and grows. The more it grows, the
greater are the chances of collecting even more problems. Naturally, the only
way to stop the problem from getting even larger is to put a barrier in the way of
the growing conflict. Quick resolution of conflicts keeps any of the negative
aspects of unresolved conflict from occurring, so it is important to put a barrier
that will break the snowball. It will not allow conflict to grow larger and spread
its contagious effects.
Interpersonal conflict can range from minor disagreement to overt hostility.
There are ranges of factors, which can determine whether conflicts will arise or
whether our working relationships with others will be harmonious. It can surface
due to personality clash, age difference, breaking of relationship rules, wrong
assessment of the situation or person, and so on. The reason can be substantive
(content-based) or emotional (emotion-based) conflict. There are high incidents
of interpersonal conflict at work. Ignoring an interpersonal conflict can be an
appropriate action only if the conflict is truly trivial. Conflict which is not
overtly emotional or one in which issues are particularly clear cut can be
overlooked. But ignoring a conflict may actually serve to perpetuate it. A trivial
event at one point in time may not be trivial if it recurs. However, the
interpersonal conflicts are dysfunctional and need to be handled.
There are different approaches to conflict reduction. Some of the techniques
are described in the following sections. In every situation we are responsible for
our actions. Conflict situations offer each one of us an opportunity to choose a
style for responding to the conflict. The key to effective conflict prevention and
management is to choose a conflict management style appropriate for the
conflict. Most of us have a favourite approach that we adopt in all conflict
situations, but we are all capable of exploring all the approaches to deal with a
conflict and select the most appropriate one in a given conflict situation.
4.1 THE THOMAS CONFLICT RESOLUTION
APPROACH
The Thomas–Kilmann model of conflict resolution is a widely used approach to
understand different ways people deal with conflict. It identifies five resolution
styles along two dimensions for resolving conflict [3]. The two dimensions are:

Assertiveness The extent to which a party (individual, group or

organization) is willing to satisfy its own needs and concerns (In Figure
4.1, Y-axis represents Concern for Self ).
Cooperativeness It is the extent to which a party is willing to meet the
needs and concerns of another individual or group (In Figure 4.1, X-axis
represents Concern for Others )

FIGURE 4.1 Conflict-handling modes.

These two dimensions are used to define five conflict-handling modes.

Avoiding
Accommodating.
Compromising
Competing
Collaborating

These styles involve the following behaviour:

Avoidance
Avoidance can be understood as being uncooperative and unassertive. The
individual pursues neither his own goal nor other person’s goal. He prefers to
stay away from conflict, ignores disagreements and prefers to remain neutral. It
is described as low in concern for the self and for others. A turtle is a symbol for
this style because this thick-shelled creature can avoid everything by pulling its
head and legs into its shell to get away from everyone. However, a turtle also
chooses other styles at times. It does not always choose to stay in its shell
because it would miss out on everything from eating to swimming[4].

Conflict when avoided by the individual or the group does not solve the
problem though it appears to have at the surface. At the deeper level it gets
accumulated and later it may give rise to bigger conflict [2]. This strategy may
be successful when disruption outweighs the gains of resolution. It helps people
in allowing them to calm down. It is desirable under some situations as when
(a) the issue is minor or only of passing importance and thus not worth the
individual’s time and energy to confront the conflict;
(b) the individual doesn’t have enough information to deal effectively with the
conflict at that time;
(c) the individual’s power is so low relative the other person’s that there is
little chance of causing change (e.g. disagreement with a new strategy
approved by top management);
(d) others can resolve the conflict more effectively [5].
Accommodation
The accommodating style refers to cooperative and unassertive behaviours.
Individual sacrifices self-interests to satisfy the needs of others. It can be
represented by the following statements, “If it makes other people happy, I am
all for it”. People who choose an accommodating style put their interests last and
let others have what they want. Many a time these people believe that keeping a
good friendship is more important than anything else.
This style of conflict resolution emphasizes more on emotional aspects of
conflict rather than on the substantive issues. Here the discussion centres on
similar points of view, not on differences. Because the differences are not
discussed, they remain even after the conflict aftermath. It becomes a latent
conflict that may lead to later conflict episode [2]. We can take the example of a
chameleon as it changes its colour to accommodate with the surrounding to fit
into its enviroment.

The accommodating style may be effective in the short run when

(a) the individual is in a potentially explosive emotional conflict situation, and
accommodation style is used to defuse it;
(b) maintaining harmony and avoiding disruption are especially important in
the short run; and
(c) the conflicts are based primarily on the personalities of the individuals and
cannot be easily resolved [5].
Compromise
Compromise style refers to being moderately cooperative and assertive but not
going to either extremes. Theoretically, compromising strategy strikes the
midpoint between cooperativeness and assertiveness. It involves making
concessions to arrive at a resolution of conflict. People who compromise are
likely to say “let’s split the difference” or “something is better than nothing”. It
can be illustrated by the statement, “As the old saying goes, half a loaf is better
than nothing. Let’s split the difference”. This style is commonly used and is a
widely accepted means of resolving conflict. People who use this style are
evaluated favourably. It is understood as the pragmatic way of dealing with
conflicts and helps maintain good relations for the future.
 Compromising style of handling conflict can be understood as lose-lose
method of conflict reduction strategy [2]. The individual using this style engages
in ‘give and take’ and may make a series of concessions. By doing so, the parties
to the conflict would have not completely resolved the underlying issues. Here
the manifested conflict is only subsided but the latent conflict is not removed.
Competition
The competitive style refers to assertive and uncooperative behaviours. It is a
win-lose approach to interpersonal conflict. It is characterized by a drive to
maximize individual gain even at the expense of others. Choosing a competitive
style means that the person is putting his/her interest before anyone else’s
interests. This style can be illustrated by the following sentences. “I convinced
the other person about the logic and benefits of my position”. A lion can be a
symbol of thisstyle.

The techniques that are used in this style are dominance, authoritative
command, and majority rule. It uses coercive power and dominance. Dominance
happens when one party to a conflict overwhelms the other party. Organizations
use authoritative command for conflict reduction, partly because of the formal
authority relationships prevalent there. Over reliance on this style by manager
lessens employees’ work motivation because their interests have not been
considered. Relevant information and other possible alternatives are usually
ignored. Here manifest conflict stops, but the conflict episode ends with a
conflict aftermath [2].
A competing style may be necessary when
(a) emergencies require quick action, when other party is untrustworthy;
 (b) unpopular courses of action must be taken for long-term organizational
effectiveness and survival (e.g. cost-cutting and dismissal of employees
for unsatisfactory performance);
(c) one is sure of the correct solution;
(d) the person needs to take action for self-protection and to stop others from
taking advantage of him or her.
When dealing with conflict between subordinates or departments, competing
style managers may threaten or actually use demotion, dismissal, negative
performance evaluations or other punishments to gain compliance. This
approach represents an attempt to use the manager to force the decision on the
opposing individuals [5].
Collaboration
The collaborating style refers to strong cooperative and assertive behaviours. It
is marked by a drive towards constructing solutions to conflict that meet the
needs of all parties involved. The person using collaboration desires to maximize
joint results [5]. This style can be illustrated by the statement “I try to dig into an
issue to find a solution good for all of us.” The methods that are used are
problem-solving, integration and super-ordinate goal. Choosing a cooperative
problem-solving style enables people to work together so that everyone can win.
Using this style, people try to find a solution that will help everyone meet their
interests and help everyone maintain a good relationship. “A dolphin usually
chooses a cooperative problem-solving style. Dolphins whistle and click to
communicate with each other to catch food cooperatively and to summon help.
For example, when a dolphin is sick or injured, other dolphins will help it to the
surface so it can breathe. Although the dolphin usually chooses to be a
cooperative problem solver, it can also choose other styles depending on the
situation. For example, if a dolphin has a baby and a shark is in the area, the
dolphin will choose to use a competitive style to deal with the shark. Continuing
to use its favourite style of cooperation may greatly endanger the life of the baby
dolphi” [4].
 Collaboration is the win-win approach to interpersonal conflict handling. It
does not leave a conflict aftermath because it directly addresses the causes of the
conflict and tries to remove them [2]. This approach is generally the most
effective approach for stimulating new, creative ideas and getting positive
outcomes resulting in high productivity and performance.
This approach is a strategic choice for conflict handling, (it is important that
the other party’s concerns along with one’s own concerns are considered). An
individual who uses this style tends to: (a) see conflict as natural, helpful and
even leading to a more creative solution if handled properly, (b) exhibit trust in
and candour with others, and (c) recognize that when conflict is resolved to the
satisfaction of all, commitment to the solution is likely. An individual who uses
the collaborating style is often seen as dynamic and evaluated favourably by
others.
Collaboration is the most practical approach to conflict management when
there is: (a) sufficient required interdependence to justify expending the extra
time and energy needed to make working through individual differences
worthwhile, (b) sufficient parity in power among individuals so that they feel
free to interact candidly, regardless of their formal superior-subordinate status,
(c) the potential for mutual benefits, especially in the long run, for resolving the
dispute through a win-win process, and (d) sufficient organizational support for
investing the necessary time and energy in resolving disputes in this manner. The
norms, rewards and punishments of the organization—especially those set by top
management—provide the framework for encouraging or discouraging
collaboration [5].
To summarize, the avoiding and accommodating styles are non-confrontational
approaches. The competing style is a control approach and the collaborating and
compromising styles are solution oriented [6]. Compared to the collaborating
style, the compromising style does not maximize mutual satisfaction. It helps to
achieve moderate, but only partial, satisfaction for each person. The use of
collaboration seems to result in positive feelings in others, as well as favourable
self-evaluations of performance and abilities. People tend to perceive
collaboration in terms of the constructive use of conflict. In contrast to
collaboration, competing and avoiding styles often have negative effects. These
styles tend to be associated with a less constructive use of conflict, negative
feelings from others and unfavourable evaluations of performance and abilities.
The effects of accommodation and compromise approaches appear to be mixed.
People using accommodation style are sometimes evaluated positively but
basically colleagues and top management do not form favourable evaluation
about their abilities and performance.
All conflicts are not best resolved by searching for a win/win situation. Indeed,
there are a number of different ways to deal with conflict. The extent to which a
given conflict-handling mode is effective depends on the requirements of the
specific conflict situation and the skill with which it is used. In this sense in any
given situation, a particular mode of handling conflict may be more suitable than
others. Each of the following styles may be appropriate under divergent
circumstances:

Collaborative approaches are generally the most effective approaches for

stimulating new, creative ideas and getting positive outcomes associated
with high productivity and performance.
Accommodating style will be appropriate when it is required to “kill your
enemies with kindness”.
For splitting the differences, compromise style can be adopted.
Avoiding is an unassertive style and strategy that may be necessary when
disruption outweighs the gains of resolution or to allow people to calm
down.
A competing style may be necessary in emergencies or when individuals
take advantage of non-competitive behaviour.

Furthermore, every individual is capable of using all five conflict-handling

modes. Nobody can be characterized as having a single, inflexible style of
dealing with conflict, although some people will be more inclined than others to
use certain modes. The conflict resolution behaviours of individuals, therefore,
are a combination of their personal characteristics and the requirements of the
circumstances within which they find themselves.
4.2 BEHAVIOURAL STYLE AND CONFLICT
HANDLING
Many a time, conflict arises in organizations due to the individual’s specific
behavioural style in approaching the problem. An awareness and sensitivity to
the behavioural style of employees as well as that of one’s own approach
facilitate in reducing conflict. To explain different styles, researchers have taken
two dimensions of interactive behaviour [7]. They are:

Assertiveness It is the degree to which behaviours are seen by others as

forceful or directive.
Responsiveness It is the degree to which behaviours are seen as
emotionally expressive/controlled.

The interactive dimensions of assertiveness and responsiveness form the two

axes of the behavioural style model. Each quadrant of this model identifies one
type of behavioural styles. They are analyzer, director, relator or socializer [7]
(Figure 4. 2).

FIGURE 4.2 Behavioural style of conflict handling.

Analyzer
This type is less responsive and less assertive. The strengths of analyzers can be
described as:

Logical, thorough, serious, systematic, critical, precise and prudent.

 Analyzers tend to take precise, deliberate and systematic approaches to
their work, and usually gather and evaluate much data before they act.
Analyzers are objective, well-organized and generally cautious people
who prefer analysis to emotion.
They also prefer clarity and order and tend to resist compromise in
conflict situations.

Director
They are less responsive and more assertive. The strengths of director are:

Independent, candid, decisive, pragmatic, determined, efficient and

objective, result-oriented and competitive.
Such individuals tend to be task-oriented, know where they are going and
what they want, express them succinctly, and get to the point quickly.
Directors are firm and forceful people and confident by nature. Generally,
they are determined risk-takers in conflict situations. While their
impatience sometimes generates concern by others, the directors leave
little doubt about who is in charge of the conflict issue under
consideration.

Relator
Relator is more responsive and less assertive. The strengths of relator are:

Cooperative, loyal, supportive, diplomatic, patient, easygoing and

respectful.
Individuals reflecting this style tend to be sympathetic to the needs of
others and are quite sensitive to what lies beneath someone’s surface
behaviour.
Relators are most likely to use empathy and understanding in
interpersonal problem-solving and conflict situations.
Relators are genuine team players who like stability more than risk. They
are likeable, often somewhat timid and slow to change, and generally
resist direct conflict involvement.

Socializer
This kind is more responsive and more assertive. The strengths of socializer are:
 Imaginative, friendly, enthusiastic, outgoing, excitable, persuasive and
spontaneous.
Socializers tend to look at the big picture, often take fresh, novel and
creative approaches to problems and are willing to take risks in order to
seize opportunities, particularly in conflict situations.
They decide and act quickly on management issues who like to be at the
centre of things.
Socializers are creative and innovative individuals who have lots of ideas
and love to discuss them at length.

Each behavioural style has also characteristic weaknesses [8] primarily

because a given behavioural style tends to be less developed in the areas in
which other styles are more developed. Cooperativeness, for example, is one of
the relator’s greatest strengths, but one of the director’s weak points. Contagious
enthusiasm is the strength of the socializer, but is rarely an asset of an analyzer.
Likewise, the decisiveness of a director may be lacking in a relator, just as the
thoroughness of the analyzer is seldom as well developed in a socializer. The
overextension of one’s strength, such as in some conflict situations, may lead to
management ineffectiveness. Thus, a relator’s supportiveness can be a weakness
if it is not challenged. It may lead to conforming behaviour. An analyzer’s quest
for quality may become a liability when additional time is devoted to low-
priority items while more important matters are left unattended. Likewise, the
director’s push for short-term results can be inappropriate when it forfeits greater
long-range advantages, just as the socializer’s imaginative dreams can divert
attention from basic repetitive tasks that must be done daily.

4.2.1 Communication Orientation of Each Style

There are four basic communication orientations that correspond to the four
behavioural styles: people-oriented (relator), process-oriented (analyzer), action-
oriented (director) and idea-oriented (socializer) [9]. Effective handling of
conflict requires understanding of one’s own behavioural style and
communication orientation and those of other individuals. For example, an
action-oriented director has a tendency to get things done efficiently and moves
ahead with decisions. On the other hand, his subordinate, a process-oriented
analyzer, is primarily concerned with procedures, systematic decision-making
and control.
People-oriented relators are typically interested in the personal lives of others
and are sensitive to their moods and concerns. They would rather meet and
interact in social settings. They are uncomfortable with conflict management
solutions that fail to take into account human elements. Process-oriented
analyzers prefer logical, systematic conversations, not spontaneous off-the-cuff
reactions. They are patient, and are usually good listeners. Analyzers are usually
uncomfortable with innovation and change, thereby often contributing to conflict
within an organization. Action-oriented directors have short attention spans,
tend to interrupt the conversations of others, and try to avoid small talk. They are
the doers of an organization and are generally uncomfortable with those who are
not. Idea-oriented socializers are imaginative, full of ideas and sometimes
difficult to understand. They like to challenge people around them. Socializers
are the creative influence, often the renegades, within an organization; hence,
they often make other people uncomfortable and thereby contribute to conflict
[9].
Conflict Handling Styles
Each individual has a dominant as well as a back-up style of conflict handling
(Table 4.1). An individual selects back-up behavioural style when there are high
levels of stress and conflict within the dynamics of an organization. Operating in
a primary back-up mode, one takes a non-negotiable stance towards the
interaction. Regardless of other people’s needs, the demands of the situation or
other factors, the individual tends to interact in a single characteristic way. It
helps the individual to focus on his personal needs. In the process he feels
relaxed. At the same time, back-up behaviour increases the stress and conflict
levels of other individuals. Back-up behaviours are usually counter-productive
and create communication blockages. An individual’s primary back-up style can
be predicted but the shift is unconscious. The person resorts to more extreme,
rigid and non-negotiable behaviours. For example, while handling conflict it is
important to understand one’s behaviour or the behaviour of others in the
organization. One must also seek to adapt the skills of other person so that it can
enable the parties to function in a comfort zone congruent with the situation.
This flexibility in style provides a way of interacting and communicating within
another person’s comfort zone without losing one’s integrity or naturalness of
expression. It is a key to interacting more effectively in an organization,
particularly in conflict situations. For example, a director can facilitate
successful interaction and communication with another person by flexing from
his own style by appropriately increasing or decreasing assertiveness,
accordingly increasing or decreasing responsiveness, or flexing to the specific
behavioural style of the person with whom he is in conflict with.
 Table 4.1 Conflict Handling Styles
Behavioural Dominant
Back-up style
style style
Autocratic, Acquiescing,
Analyzer Avoiding
Attacking
Avoiding, Attacking,
Director Autocratic
Acquiescing
Attacking, Avoiding,
Relator Acquiescing
Autocratic
Acquiescing, Autocratic,
Socializer Attacking
Avoiding

Each style tends to have at least one major weakness, and an awareness of this
weakness may enable an individual to adjust away from his or her dominant
behavioural style [8]. For example, relators should stretch and reach towards
challenging goals and demonstrate their commitment to self-determination and a
result orientation in conflict situations; analyzers should make appropriate
decisions and act with reasonable haste; directors should concentrate on listening
carefully to others; and socializers should restrain their impulsiveness and
tendency to be talkative.
An increase or decrease in assertiveness may be an appropriate flexibility in
style. For example, when a relator or analyzer temporarily flexes his or her style
towards the comfort zone of a director or a socializer, assertiveness should be
increased. Likewise, when a director or a socializer temporarily flexes his or her
style towards the comfort zone of a relator or an analyzer, assertiveness should
be decreased accordingly. Essentially, flexibility in style involves adding or
subtracting a few key behaviours to increase or decrease assertiveness or
responsiveness.
It is important to sense another individual’s preferred ways of relating and
communicating, modifying one’s behaviour to achieve congruence with some of
those preferred ways, monitoring the interaction, and then responding to the
feedback one receives from the other individual. One’s ability to flex
behavioural style at crucial times will contribute to effective and compatible
conflict management within the leadership team of an organization, as well as
lead to increased productivity and satisfaction among team members.

4.3 THE COSIER SCHANK MODEL OF

CONFLICT RESOLUTION
This model of conflict resolution focuses on programming and transforming
conflict in a productive way. Managers can use this model to channel potential
conflict into a positive functional framework that leads to productive outcomes.
The techniques used are: encouraging open dialogue and constructive debate
among potentially conflicting parties.
The Cosier and Schank’s model provides two approaches for simulating
functional conflict. They are devil’s advocate decision program and dialectic
decision model [10]. “The Devil’s advocate decision approach begins with a
recommended decision, plan or course of action. A critique of the recommended
plan is then developed which identifies the plan’s most important assumptions
and raises questions about them. Following the consideration of the plan and
critique, a final decision is reached” [11].
The Devil’s Advocate Decision Program as described by Cosier and
Schwank’s model has 6 steps to be followed:
Step 1 A proposed course of action is generated.
Step 2 A devil’s advocate (individual or group) is assigned to criticize the
proposal.
Step 3 The critique is presented key decision makers.
Step 4 Any additional information relevant to the issues is gathered.
Step 5 The decision to adopt, modify or discontinue the proposed course of
action is taken.
Step 6 The decision is monitored.
At some juncture in the planning process, the moderator should play the role of
devil’s advocate. His role is to argue convincingly for a position contrary to what
is popularly held by the group. The moderator challenges group consensus and
forces members to defend their positions or change them.
A Dialectic Decision Method to be followed by 6 steps [10].
Step 1 A proposed course of action is generated.
Step 2 Assumptions underlying proposal are identified.
Step 3 A conflicting counterproposal is generated based on different
assumptions.
Step 4 Advocates of each position resent and debate the merits of their
proposals before key decision-makers.
Step 5 The decision to adopt either of the two positions or some other position
(e.g. a compromise) is taken.
Step 6 The decision is monitored.
Both approaches require that the participants engage in structured role-playing
and submit proposals for debate and selection. The major differences in the two
approaches lie in Steps 2–4. In the devil’s advocate approach, the proposal is
critiqued in Step 2 and the proposal critique is presented in Step 3. “Devil’s
advocates can be rotated (i.e. different people can and should assume this role).
Dialectical approach on the other hand, involves a win-lose debate over
competing proposals. However, the process is designed to ensure an open and
fair debate about assumptions as well as proposed actions in each proposal.
These approaches require more preparation to defend the proposal” [12].

4.4 COLLABORATION AND CONFLICT

RESOLUTION
One of the most difficult but effective approaches to resolving interpersonal
conflict is the collaborative approach [13]. This approach involves a dyadic
confrontation: two actors (an initiator and a responder) are faced with the
challenge of turning a complaint into a problem-solving dialogue. If the two
actors cannot succeed, a third actor (a mediator) may be required [14]. The role
of the three actors (the initiator, the responder and the mediator) in the
collaboration approach to resolve conflict is described as follows.
The Initiator He is the person who highlights a complaint or problem and puts
forth his blame on someone for having done something to the other party/person.
While doing so, the initiator should follow certain guidelines [12]:

Take ownership of the problem and avoid becoming defensive and

threatening. Focus should be on the needs that are not recognized.
Describe the problem in terms of behaviours, feeling and consequences
instead of making accusations. This approach defuses the emotions
surrounding the issue and focuses on the effects of the problem on the
initiator. It involves defining the problem in a specific way.
Do not jump to conclusions or attribute blame. In heated situations, it is
important not to start blaming individuals. This will defeat the purpose of
the exercise.
Maintain two-way communication and use ‘I’ statements to identify the
problem in terms of behaviours, feelings and consequences on the
initiator.
Repeat your concerns until they are recognized. The intention here is not
to enlarge the issues but to repeat the behaviours that become
uncomfortable to the other party.
 Address the issues incrementally. It means approaching complex issues in
an incremental fashion.
Finally, direct attention to what the initiator and responder have in
common. When the problem is defined, the next step is problem solving.
This is an opportunity to use ‘we’ statements regarding what all parties
have in common in terms of work goals, schedule deadlines, interests,
rewards, and like. For example, “We know the product has to be delivered
on March 15. Getting the system up and running as early as possible
benefits us all. What are some tactics we can use to make this happen?”.

The Responder He is assumed to be the cause of the problem, complaint or

issue. Responders can use certain steps to handle the situation. The four steps the
responder can use include [15]:

Creating a climate for joint problem solving.

Obtaining more information regarding the problem.
Agreeing with part of the complaint or issue.
Seeking acceptable options to the problem. The responder also can use
the guidelines discussed for the initiator, especially using the
behaviours/feeling/consequences approach and ‘I’ instead of ‘you’
statements when communicating.

The Mediator Mediator can be a manager, another professional inside an

organization, or someone from outside [16]. The mediator’s role is ideally to
assist both the initiator and the responder to resolve the conflict. A mediator, like
an arbitrator, might use the following procedures [12].

Diagnosis of the problem. The mediator has to listen to both the parties
until he acknowledges that there is a real conflict and not an imagined
one.
Problem statement. Problem should be presented to conflicting parties in
clear, direct and non-defensive way. The mediator needs to make sure that
both parties have understood it. This process helps the mediator to
understand the level of awareness and motivation of both the parties
regarding the nature of the problem or complaint.
Knowing both parties viewpoint/understanding on the problem. This
should be done while remaining impartial, which involves understanding
the issue, causes of the problem, commonalities and differences of
 perception, and values of both parties regarding the problem.
The mediator should remain fair by keeping the discussion fact- and
issue-oriented by not involving personalities, maintaining balance in the
discussion with and between both parties, and asking direct questions in
non-threatening ways.
Generating alternative solutions. Brainstorming session should be
conducted to find out alternative solutions. When it appears to the
mediator that there are no more ideas for alternative solutions, it is time to
move on to discuss each alternative. Everyone should be given a chance
to voice his or her viewpoints. The mediator should always control the
situation, no one should coerce others in the group into agreeing with
them. Effort should be made to reach a consensus and then implement the
solution. This might include assigning people to certain tasks.
Focus on the interests of the parties, not their positions. Open-ended
questions should be asked when a mediator senses that both parties
recognize areas of agreement. Seeking a solution is the next step. It is
important to follow up a little at later and see how everyone feels about
the solution after they have arrived it. An overall assessment of the group
members’ feelings about the whole process needs to be carried out.
Realistically, there may be situations where this process does not work,
such as when someone will not participate in the negotiations. In the case
of disagreements, mediator should explain that the course of action or the
decision taken is for the greater interest of the parties.
Identify an agreed on solution and determine a plan of action with follow-
up steps.

In case the parties are not able to reach any conclusion, other possiblities need
to be explained by the mediator. If the conflict has created a situation where the
group trust has been affected, it can be re-established by trustworthy behaviour.
Collaboration and trust are reciprocal processes, they depend upon and foster
one another. Research has shown that in business context, if there is trust,
manager uses participative management practices. Where trust is absent,
managers are less likely to include organizational participants in significant
decisions and to benefit from their insights and perspectives [17]. The level of
trust has also been found to play a role in the effectiveness of a working group.
When a group worked on a problem, there were two concerns—one was the
problem itself and the second was how the members related to each other
regarding the problem. In low trust groups, interpersonal relationships interfered
with and distorted perceptions of the problem, while high trust groups solved
problems more effectively [18].

4.5 DEALING WITH DIFFICULT SUBORDINATES

Interpersonal conflicts can easily arise when difficult individuals are involved.
Bramson has identified different types of difficult people and ways to cope with
them in organizational settings [19]. Individuals who consistently demonstrate
predictable patterns of dysfunctional communication and behaviours can be
termed as difficult people [19]. As a manager, one must understand that the
behaviour of difficult people need to be modified.
The cost of difficult people can be calculated in terms of the following.

Its negative effect on manager’s physical and mental health. The cost can
be calculated in terms of reduced efficiency of the manager.
Its ripple effect on customers, people in the human resources department,
and even other departments even when they don’t have any immediate
contact with the difficult person.
Other effects like reduced enjoyment in their own work; wastage of a lot
of their time; reduced productivity and job satisfaction, lead them to
consider quiting the organization and moving on, thus eating up their
valuable time in meetings and damaging relationships with customers.

Difficult behaviours are classified into seven dominant characteristics to

include the hostile-aggressive, the complainers, the silent and unresponsive, the
super-agreeable, the negativists, the know-it-all experts and the indecisive [19].
These profiles explain how such problematic behaviours can create interpersonal
conflict and have been described as follows.
Hostile-aggressive They surprise and attack people at emotional and
substantive levels. It is a “guerrilla” warfare tactic. They attack when one is least
expecting it. One has to be assertive while handling these types of people. It
requires avoidance of direct confrontation while at the same time one has to
stand for oneself.
Complainers These are people who complain but rarely act. They feel
powerless and persistently exaggerate problems. They should be made to focus
on solving problems and suggesting concrete actions. One does not need to
support them by being sympathetic towards them.
Calms Such people are silent and indirect and they avoid open conflict.
Encouraging and supporting open dialogue can bring the best out of these
people.
Superagreeables Such individuals are nice on the surface but do not follow
through. They say yes to everything but do nothing. Understanding what they
really mean and gaining their realistic commitment on a task or item is the
challenge. One must be ready to compromise and negotiate, but not to accept
unrealistic commitments or bluffs.
Negatives These individuals are pessimistic and their attitude is contagious. It
is wise to encourage the negatives to solve problems. They should be engaged in
action-oriented activities and in exploring concrete alternatives to the problem.
No ready-made solution should be provided to them.
Know-it-alls These people are classified as bulldozers (that is, people who do
know a subject competently but use their competency to bully others) and
balloons (people who do not know a subject well and bluff instead). While
dealing with bulldozers, information should be collected regarding what they
know about the subject and accordingly they should be made to commit to do the
work. Balloons can be confronted (only in private to help them save face) by
understanding their perception. It is necessary to offer them factual evidence in a
neutral and objective manner.
Indecisive stallers Such individuals may want to resolve a conflict or solve a
problem but cannot do so because of their inability to arrive at a decision or their
fear of hurting someone in the process. They can be handled by discussing their
hesitancy in taking decision. In case they are disruptive, they should either be
removed from the situation or the decision-making process should be controlled
immediately. Their role should be followed through.
Managers can deal with difficult employees in different ways. The situation
sometimes may demand to act quickly but it is better to take appropriate time to
evaluate the situation before taking any action. It should be kept in mind that
most employees can be “difficult” from time to time. It can be caused due to
stress on the job or in their personal lives. It is not always the least-productive
employees who are difficult. While dealing with difficult people, proper
assessment of the type of difficult person and the position of the person should
be made. As a manager, the most challenging part is to handle and modify
difficult behaviour to maintain the productivity of the organization. The position
of the difficult person (could be boss, peer or subordinate) matters a lot while
dealing with him/her in an organizational set-up. For example, the hostile-
aggressive behaviour may need to be approached diplomatically if the individual
is the supervisor or can be dealt with using disciplinary actions if the individual
is the subordinate.
Manager should understand his own style of dealing with people. Knowing
one’s own style of leadership behaviour can help the manager to understand the
range of behaviours he can handle. Every manager has his or her own leadership
style or behavioural pattern when attempting to influence the activities of others.
Some managers seem to be limited to one basic style. Managers with rigid style
of behaviour tend to be effective only in situations where their styles are
compatible. On the other hand, managers with flexibility in style have the
potential to be effective in a number of situations while dealing with employees
of different personalities. They can cultivate a high tolerance threshold and
maturity level without emotional diversion that helps in sound judgment and
problem solving.
Approaches to handling the problem: this depends on the position of the
difficult people one needs to deal with (i.e.
sub-ordinate, peer or superior) [20]. Few of the suggestions are described below:
Do Not Assume or Focus on ‘Person’ Rather Than on ‘Facts’
Sometimes the behaviour found in difficult individuals may be caused by
situational circumstances that are not obvious.
Understanding Employees through Positive Communication
Identifying the behaviour and understanding why people engage in such difficult
behaviour can be done by listening, talking, writing, meeting with the individual,
conducting face-to-face discussions and negotiations, and effective use of
communication tools, e.g. inter-office memorandum, reports and email
messages. It facilitates better understanding among individuals. Providing
opportunity for two-way communication for the problem individual is necessary
to assess the seriousness of the problem.
Assessing the Need and Significance of Working Relationship
While dealing with difficult people it is important to be focused in approach. The
specific questions can be: What exactly is required from the individuals we are
having problems with? What do we want the working relationship to be? Would
an improved relationship help to do a better job? Do we only want a particular
form of co-operation from this individual for a specific task on a short-term basis
or an improved long-term working relationship for the sake of the organization?
Assessment should be made of the risk involved if the difficult behaviour is not
rectified, or what can be gained from continuing the relationship.
Provide Information Tactically
If the boss is a difficult person, then it is important to handle the situation
tactfully. If the boss emphasizes on the quality of work, one can approach the
individual diplomatically by showing him how delegation and micro-managing
can achieve the goal better than his current practices. If one assumes that the
boss simply wants to control, one can approach the boss by asking him, “Are
you concerned about the quality of my work or worried that I will make the
department look bad?” If the boss has all the intentions to increase productivity,
this will make him realize the problem and change behaviour.
Working on Task Together
A common ground should be found out on which to conduct the task in a
satisfactory and mutually beneficial way for the good of the department and the
organization. Successful joint accomplishment can build trust and foster a better
relationship. That will help to put aside their differences, as a result of which
work performance will improve. It helps in channelizing their energies towards
more productive work.
Assess and Explain the Cost of Behaviour
Estimating the cost of behaviour and making him aware is more important than
understanding the intentions of the person. It helps to understand if the other
person actually cares about his/her projected image within the organization. If
the individual recognizes the benefits of change and decides on behaviour
modification, the problem will gradually disappear. Sometimes being direct to
the individual can break the negative feeling and clear the air. It is helpful to be
explicit on exactly how much the difficult relationship cost each party as well as
the organization. This helps lay the groundwork for further discussion and
motivates the individual to do something about the problem. Care must be taken
not to criticize the negative attributions the person has.
Reassign or Redesign the Job
Sometimes problem behaviour is precipitated by the mismatch between the
nature of the job and the individual. The employee in turn finds it unrewarding
or frustrating. In this case, a change in the assignment and responsibility can
dramatically change the person’s difficult behaviour. Several solutions may be
considered for difficult individuals who are found as mismatch for their
positions.
Job simplification It is narrowing the scope of activities of the job. Overtime
incentive may work well for individuals who are upset with the volume of work
but would not mind the extra money. Additional help or temporary workers can
be provided. It may alleviate the bad feelings. The problem person can be made
trainer or in-charge of the specific task. It may provide motivation that he is
in-charge and valued in the organization, which in turn can modify attitude.
Job rotation Supervisor can shift the worker through a set of jobs in a planned
sequence to provide task variety. It will reduce boredom. At the same time it will
help them to learn new skills as well as have interface with other people.
Job enlargement It is the allocation of a wider variety of similar tasks to a job
in order to make it more challenging. It broadens job scope to allow a number of
different tasks an employee performs. This works well for individuals who
generally lack the advance skill to handle demanding assignments but feel their
job is monotonous.
Job enrichment Job enrichment increases job depth, the degree to which
individuals can plan and control the work involved in their jobs. It is done by job
task mix. It increases the potential for growth, achievement, responsibility and
recognition. This arrangement will work best for individuals who are misfit to
their current positions and have the skills and potentials to handle more
challenging tasks. In fact, the four approaches to redesign the job position
described above have been widely used as organizational management technique
for employee motivation.
Leave the Individual Alone
It can be handled just by leaving them in the situation alone for a while and
observing any improved behaviour with time and interfering when necessary.
There is risk in letting tension, mistrust to build because any unaddressed
strained relationship may explode in the most awkward moments.
Distance the Individual from Yourself
Distancing the individual from oneself is another way of dealing with the
problem individual or situation. It reduces stress and confrontations among
parties involved. If one holds a relatively lower position within the company and
so many rules and regulations are beyond one’s control, this may be a wise way
to “survive”.
Break the Vicious Cycle
In an organizational set-up, many a time, employees play the blame game. Once
this game stars, it turns out to be a vicious negative cycle. For example, Smita
blames Meetu and expresses her feelings towards her. Meetu reacts to this by
counter blaming. In turn, Smita tries to find out other issues to blame Meetu
getting the answer in the same level from Meetu. This behaviour that has fallen
in closed loop can be explained in terms of biased interpretation of the issues
that led to negative cycle. Conscious effort and considerable skill is required to
introspect and admit that we need to take the initiative for improving someone
else’s behaviour. The strategies that can help the employees are: non-blaming,
self-revealing approach.
Behavioural Modification Techniques
When efforts to influence change fail, and performance and morale slip,
managers can use some behavioural modification techniques. Some of them are
transfer, demotion and disciplinary action to induce behaviour change and re-
establish cohesion. Transfer —Transferring an individual or reassignment can
help to provide a different environment for both the problem employee and the
group he/she is interacting with. This may help in behaviour change. Demotion
—This can be tried but may be difficult in some situation when resentment and
anger results in escalating the problem. Disciplinary action —Progressive
disciplinary actions can be used to handle these types of people. Corrective
action should be taken immediately after the incident. It should be substantiated
with facts. Issues need to be discussed very objectively and understanding their
motives is very important. Corrective actions can be stated in positive and
forward-looking terms, emphasizing contribution to objectives. There should be
proper blending of discipline and coaching, or remedial rather than punitive
discipline should be the objective. Sometimes opportunity should be given to
them to change or modify their behaviour.

4.6 DEALING WITH DIFFICULT BOSS AND

COLLEAGUES
Subordinates find it difficult to work with a boss who exercises too much control
over them, is quite critical of what they do instead of appreciating their good
works, dominates and openly demeans, withholds information, ignores,
criticizes, finds fault, etc. It can range from personal attacks which are overt and
aggressive, to everyday put-downs which are more subtle but perhaps more
insidious. This behaviour of the superior violates the superior-subordinate
relationship rules of mutual trust, respect and certain degree of warmth.
Superiors, who show favouritism, criticize unnecessarily, pull rank or take undue
advantage of their positions, create an environment in which hostility and
tension predominates. It can take various forms like ignoring, sarcasm, blaming,
dismissing or patronizing [21].
There are many reasons why conflict with boss arises. It may be due to
unnecessary interference and threat by the boss or he might misuse his legitimate
power or due to his feeling of insecurity or drive to control. It can also happen
when the boss perceives his status as greater than what it is in reality.
It is necessary to deal with this type of behaviour because even ignoring it
initially does not ensure that it will not be repeated again. Also, if this behaviour
occurs frequently then it needs to be dealt with even if it leads to sour
relationship. Few steps have been suggested to deal with such behaviour (put
downs) [21].

Preparing While dealing with such behaviour, one needs to remain calm,
prepare oneself psychologically while thinking realistically and
positively.
Challenging This refers to demanding a response from the other person.
It can be done by seeking information as to what he meant by it; asking
for clarification as to why he said that and checking one’s own
understanding so that there will not be any mistakes in responding. This
query gives enough time to think on how to proceed. It also sends the
message to the other person that he cannot afford to be casual in making
the remarks and at the same time he has to be cautious about his
behaviour.
Standing up for oneself One should stick to one’s point of view. If a put-
down or criticism is made in the form of a personal attack, try to separate
the personal nature of the remark from the actions criticized. If the
criticism has some valid points even though it is stated inappropriately, it
is wise to accept those points. The person has to assert himself/herself that
is the need of the hour.

These three steps can be used flexibly as per the need of the situation. There is
a chance that the occurrence of this behaviour will decrease. Criticism, which is
unjustified or phrased in the form of a put-down, clearly differs from
constructive criticism. Constructive criticism involves the provision of accurate
feedback stated in a calm and rational manner [21]. Care should be taken that
under any circumstances feedback is not stated tactlessly.
Relationship with colleagues becomes worse when attempt is made to exert
control over each other. When one group exploits or manipulates the other
against its will, the relationship rule is broken leading to conflict. One group
may want to dominate the other by adopting certain unfair fighting tactic. It can
be overt threat, psychological threat or game playing [21]. Overt threat refers to
intimidatory physical or verbal threats; psychological threat includes attacking a
person’s weak emotional points, inaccurate reporting about the person to others
or telling tales, encouraging other people to take the protagonist’s side, seeking
to apportion blame to the other person whenever possible, and not allowing the
person to have their say, either in conversation or meeting. Game playing
strategies involve drawing the other person into encounters on false pretences or
in deceptive manner, sabotaging somebody at the back or not giving the other
person a chance to respond, or pretending to be the one who is the victim and
then attacking from this vantage point [21].
This is an example of power play. It can be one-sided or two-sided but
involves lot of energy and time. Fighting back merely result in more unpleasant
and sour relationship. The only viable option is to choose the middle path and
attempt to retain one’s identity and the feeling of self worth by standing up for
oneself. The better solution in these conflict situations is negotiating and
bargaining. It has been discussed in Chapter 6 in detail.

4.7 ONE-TO-ONE DISPUTE RESOLUTION

Employees many a time request their line manager to intervene directly and
manage the dispute for them. A manager, who may be skilled or unskilled in
such intervention skills, is “stuck in the middle” of disputants [22] and may
respond to the situation either by fight or flight reaction. Sometimes, third party
intervention is used. The three typical responses of fight, flight and intervention
may not be the effective method of dispute management in all the situations [23].
One of the alternatives can be one-to-one dispute resolution.
One-to-one dispute resolution is an informal method that involves two
employees resolving their dispute through face-to-face communication and
without direct intervention by management. Employees often prefer this method.
In a study it was observed that employees selected direct discussion as “the most
valuable, most ideal and the most realistic dispute management strategy” [24].
A model to assist leaders in effective dispute management has been suggested
[23]. Major features of the model are as follows.
1. Disputing parties It recognizes the existence of disputing parties.
2. Channel of communication Face-to-face communication is a preferable and
more effective channel for communication during dispute resolution than non
face-to-face channels, especially e-mails.
3. Disputing issues The disputes can be caused by three inter-related issues:
work issues, value issues and treatment issues. Work issues refer to work-
related problems, such as who has to do what work and when. Value issues
correspond with the offence of the four values that influence the process,
 namely respect, fairness, work-related values and general ethics. Treatment
issues refer to problems with how an employee is treated by others, and
especially “in front of” others.
4. Skill sets used to resolve disputes Major skills that can be used by disputing
parties are skills for workplace context, personal skills or attributes, skills for
managing emotion, skills for preparing one-to-one resolution, skills for
making effective approach, people/relating skills, problem-solving skills and
skills in concluding the resolution. Disputing parties use their own unique
choice and combination of skills from the taxonomy of skill sets as opposed
to a set list and ordering of skills. The skill sets in the model represent the
central features of one-to-one dispute resolution. The skill sets described
above can be categorized into three dimensions. They are interpersonal
communication, role of emotion and interaction management skills. Since
interpersonal communication is relationship-bound [25], it gives equal weight
to managing people (in the people/relating skill set) and managing tasks (in
the problem-solving skill set) in the process of dispute resolution. Emotions,
which distinguish disputes from disagreements and problems [26 & 27], are
included in the model as one of the key influences on the dispute resolution
process. It determines whether dispute resolution is effective or ineffective.
Ineffective incidents can be understood when there is an absence of
emotional skills and presence of a high volume of negative emotions. It
requires the skill of emotional control [28].
Emotional control means constructive expression of emotion during the one-to-
one interaction. It involves communicating feelings without extreme anger or
aggression [29]. The model includes the importance of interaction
management in the communication process [30]. It includes three skill sets:
skills when preparing for the one-to-one, skills for making an effective
approach and the concluding skills. Use of such skills contrasts with the
chaotic communication that was found in ineffective incidents and disputes
in general [31].
5. Skills that inhibit the process of resolution Such skills include obstacles in the
workplace context as against skills in workplace context, inhibiting personal
factors as against personal skills or attributes, negative expression of emotion
as against skills for managing for an emotion, being unprepared for the one-
to-one resolution for the conflict as against skills for preparing for a one-to-
one resolution, components of an ineffective approach as against skills for
making effective approach, discouraging behaviour as against people/relating
skills, not solving the problem as against problem-solving skills, and not
 concluding with resolution as against concluding the resolution. For
example, it can be used to examine how communication problems occur
around the eight sets of inhibiting factors.
6. Role of colleagues Colleagues including peers, senior colleagues and bosses
can play important roles in dispute resolution. Colleagues can contribute to
dispute resolution by giving advice and support behind the scenes. When
colleagues are the audience, it has been observed that they might not play a
positive role in solving the problem rather they might inhibit the resolution
process.
7. Outcome The outcomes of effective dispute resolution can be employees
making an agreement, finding a solution to their problem, receiving an
apology, maintaining or improving their relationship, gaining personal
benefits (feeling happy, confident and satisfied, and receiving extra
remuneration), and enjoying an improved atmosphere. The opposite
outcomes can be personal such as employees losing respect for or losing trust
in the other party, losing interest in their jobs or quitting the jobs [32, 33 &
34].
The above model emphasizes on self-mediation as an effective way of dealing
with dispute resolution. It is an “art” or an artist’s palate in which each person
can blend different skills in different combinations at differing intensities and
produce different desired results [35]. Instead of directly intervening, leaders and
managers can be encouraged to “coach” employees in the self-management of
their issues when appropriate. This could save a manager’s time that is normally
spent on conflict management, which is estimated at
20–50 per cent [36]. It could also safeguard the effectiveness, efficiency and
creativity of the resolution that may be impeded by a third party [37 & 38].

4.8 A CASE STUDY ON “AVOIDANCE” AS A

METHOD OF CONFLICT RESOLUTION
“Avoidance” is characterized by behaviour where one party may recognize that a
conflict exists but chooses to withdraw from it or to suppress it. This style
therefore involves ignoring conflicts in the hope that they will go away; putting
problems on hold, invoking slow procedures to stifle conflict, using secrecy to
avoid confrontation and appealing to bureaucratic rules to resolve conflict [39 &
3]. It is the desire to evade the overt demonstration of a disagreement or
indifference that can result in withdrawal. If withdrawal is not possible or
desirable, the individual may suppress it without airing their differences.
Avoidance can be considered as a powerful tool in conflict resolution [40]. At
a superficial level it may appear that in seeking to avoid contact with the
perceived “opposition”/situation pertaining to the conflict, we are behaving in a
non-assertive/passive manner—giving control to the “opposition” and that we
have “essentially given up responsibility for ourselves and our actions” [41]. A
more indepth analysis reveals that some forms of avoidance behaviour are
distinctly active. Through avoidance one may actively achieve one’s goals—
although they may be distinct from the goals of the organization/individual one
is opposing [40].
Richardson has discussed a case to highlight that avoidance is an active mode
of conflict resolution [40]. The case is as follows:
The study was conducted in the Stapleton Educational Institute (SEI),
Singapore to understand avoidance as a mode of conflict resolution and its effect
on group dynamics. The organization, discussed here, offered degree courses on
management and economics to both full and part-time students. The teacher-
student ratio was unbalanced in the sense that the staff was less compared to the
large number of students. It resulted heavy workload for lecturers and
administrative staff. Since both full and part-time courses were offered (evenings
and weekends), hours were long and the majority of staffs worked six-day a
week. To add to this, there were several intakes for courses, which resulted in no
clear terms or holiday periods—this was very different from other educational
institutions. The holiday issue was a source of much contention between staff
and management—the former having been accustomed to the usual fixed holiday
structure of academic employment. Also there was a cultural dimension to add to
the existing difficulties. The majority of academic staff was expatriates recruited
on the principle that an expatriate lecturing team would be an excellent
marketing tool—which market research had proved correct. This, however,
brought with it specific difficulties, such as cultural adaptation to students and
management strategy, higher salaries commanded by expatriate staff. It led to
heavy teaching loads/limited vacation time. Clearly there were a number of
potential areas for conflict, such as desire to earn more, heavy teaching loads and
limited vacation time. It was observed that lack of trust from management,
administration/faculty relations, general style of management were other issues
leading to a great deal of conflict within the organization.
The staff avoided overt demonstration of disagreement but expressed in terms
of appeals regarding time-off and lecturing hours were done by making specific
reference to bureaucratic rules rather than by open discussion. “Closed”
discussions were held among staff about management strategies and employee
frustrations. Secrecy was maintained where applications for posts elsewhere
were made and academic staff using the company’s facilities provided extra
tuition, but income was not declared. Informal staff gatherings frequently
resulted in airing grievances and complaints among themselves rather than
confronting management, which in some way served as a release. Senior
academic staff adopted a different method of avoidance by being apathetic and
reluctant to be involved in new projects. If required to do so as a result of
contractual duties, they did so with minimal interest. All staffs demonstrated
general characteristics of avoidance as a means of resolving the conflict they
experienced both as a group and as individuals.
In this case, it was observed that the staffs were avoiding conflict but their
avoidance had positive outcomes for themselves as individuals and for uniting
them as a team. It gave them a common identity and a sense of unity. Collective
avoidance, because of its positive outcomes, became the impetus for increasing
and maintaining group relations. But “avoidance” as a method of conflict
resolution is not recommended for the development of a healthy organization. In
the case of SEI, staffs were avoiding and as a result cohesion and solidarity were
increasing, but the avoidance and resultant team building were detrimental to the
well-being of the organization as a whole. In a positive sense, the group dynamic
was becoming stronger—individual differences had been reconciled and
replaced by a common aim to help one another in terms of support for the
present and future—but the strength and bonds created were then being used
against the well-being of the organization.

SUMMARY
Managing conflict focuses on maintaining conflict at the right level to help the department, work
unit or organization reach its goals. It needs to be maintained at desired level to get the optimum
result. If the level of conflict goes dysfuntionally low, the manager should try to increase conflict.
Interpersonal conflict can range from minor disagreement to overt hostility. It can surface due to
personality clash, age differences, breaking of relationship rules, wrong assessment of the
situation or person, etc. Ignoring an interpersonal conflict is likely to be an appropriate action only
if the conflict is truly trivial. However, interpersonal conflict is detrimental to working relationship. It
is wise to solve these conflicts as soon as it is noticed. Few of the techniques that have been
discussed in this chapter are: Thomas Conflict Resolution Model, Behavioural Style of Conflict
Resolution, Cosier-Schank model, Collaboration and one-to-one dispute resolution. Techniques to
deal with difficult subordinates, boss, as well as colleagues are discussed. A case study of
“avoidance” as conflict resolution method is also discussed.

QUESTIONS
1. “Managing conflict focuses on maintaining conflict at the right level.”
Elaborate the statement.
2. How can a manager stimulate conflict in his department?
 3. “Collaboration is a difficult but effective approach to resolve conflict.”
Do you agree or disagree? Discuss.
4. “Selection of a particular conflict handling style to reduce interpersonal
conflict depends on the situation and not on one’s favourite style.”
Critically analyze.
5. Do you think that resolving interpersonal conflict requires flexibility in
approach? Justify it with the help of behavioural style approach of
reducing conflict.

REFERENCES
[1] “Conflict management: Keeps disagreements healthy and productive,” Development and Learning in
Organizations , 2003, 17 (3), pp. 23–26.
[2] Champoux, J.E., 2000, Organizational Behavior: Essential tenets for a New Millennium, South-Western
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 Chapter 5
MANAGING TEAM AND
ORGANIZATIONAL CONFLICT
LEARNING OBJECTIVES
• Understand the importance of managing
conflict.
• Discuss different techniques to reduce
team conflict.
• Know how to handle organizational
conflict.
Handling conflicts in a team and organization means effectively resolving an
existing disagreement at team or organization level. Managers need to know how
to handle conflicts because unresolved conflicts tend to grow into bigger
conflicts. Self-generating problems can occur from unresolved issues leading to
serious conflicts within the group. Other problems caused by unresolved conflict
are potentially the most dangerous. People who have conflict often discuss it
with others and in the process they involve others in the same conflict. It
becomes contagious and affects the performance of the organization [1]. The
nature of conflict may follow a pattern in itself. It can be described as—
unresolved conflict becomes larger and aggravated with time leading to poor
concentration, waste of time, more material wastage and blaming others
resulting into poor performance. Finally it leads to withdrawal or delay of
reward and recognition. Sometimes it may even direct to the suspension of a
reward.

5.1 TECHNIQUES TO RESOLVE TEAM

CONFLICT
Corporate world is learning that empowered work teams can offer more creative
and competitive solutions to problems and enhance product quality, morale and
productivity, and most importantly, the viability of the organization. With the
introduction and use of teams, corporations are migrating to a decentralized
method of decision-making. Team members are empowered to come up with and
implement the best possible solutions to problems. This poses some questions
about the actual effectiveness of the teams.
If we look at the stages in team development, as propounded by Tuckman, we
find that the second stage that is the stage of storming is the most crucial stage of
team development. This stage is characterized by competition and conflict. The
issue of conflicts may be leadership, structure, power and authority. There may
be wide swings in the members’ behaviour based on emerging issues of
competition, and hostilities may be observed [2]. Few potential areas have been
suggested that give rise to negative conflict [3].

Administrative procedures If the team lacks good groundwork for what it

is doing, its members will not be able to coordinate their work.
People resources If the team does not have enough resources to do the
job, it is inevitable that some will carry too heavy a load. Resentment,
often unexpressed, may lead to conflict.
Cost overruns Often inevitable, cost overruns become a problem when
proper measures are not taken. The whole team should know early on
when cost becomes a problem so additional funding can be sought by the
team.
Schedules The schedule is highly consequential to the team’s project and
should be clearly visible. All members should be willing to work together
to help each other meet their deadlines.
Responsibilities Each team member must know what areas are assigned
and who is accountable for them.
Wish lists Stick to the project at hand and avoid being sidetracked. Team
members sometimes pick up issues that they like and try to fit other things
into it. They can go for them after successfully completing the project at
hand. It makes members more focused and avoids confusion and conflict.
Principles Determining the priorities of all resolution processes on the
basis of an analysis of our fundamental values regarding efficiency,
participation, fairness, compliance, etc. [4].
Practices Power, self-interest and unique situations are all factors relating
to why people resolve disputes the way they do [4].

The nature of relationships between teams changes significantly during inter-

team conflict. The perception about one’s own group and the other group gets
distorted. Members collect the information that speaks about the goodness of
their group and highlights the information that focuses on bad about the other
group. The interaction and communication between groups decrease. There is
shift from a problem-solving orientation to a win-lose orientation. There is
increased hostility towards the rival group. The causes of conflict in a team may
be relationship conflict or task conflict. But if it is not handled in right time it
escalates to the point where people begin to feel defeated and a combative
environment of distrust and suspicion develops [5]. There are four fundamental
options for the managers when they act as facilitator while dealing with conflict.
Some of the strategies that can be used to resolve inter-group conflict are:
avoidance, diffusion, containment and confrontation. In certain circumstances,
the manager/facilitator may avoid conflict (e.g. when costs of confronting are
greater than the benefits). To do so, he may use techniques such as denial, flight
and relinquishment. A second type of strategy is diffusion. It can be done by
keeping conflict in abeyance and trying to smoothen the emotions of the parties
involved. The third type of strategy depends upon conflict containment. The
manager can allow certain strategies to come to surface while tightly controlling
the issues and matter that are to be discussed and the way in which they are to be
discussed. On the contrary, if the manager/facilitator chooses to confront
conflict,
he/she can use different techniques. Few of the suggested methods are discussed
as follows:

1. Ignoring the conflict A manager can avoid the dysfunctional aspect of the
conflict. He may transfer that member of the group who is involved in
conflict. Sometimes managers disregard the conflict. This way of
handling conflict does not solve the problem because conflict continues
and accumulates over a period of time. This strategy may be useful when
conflict is of lesser significance to the productivity or the functioning of
the team working.
2. Informal basis Conflict should first be handled on an informal basis
between the individuals involved. This, they say, will allow time for
resolution or self-correction by the individuals. If the conflict remains
unsettled, a mediator can be brought in to help resolve the situation. If
resolution is still not reached, the dispute should be openly discussed in a
team meeting. A formal discipline process needs to occur if resolution is
not achieved after being addressed at the team level [6].
3. Imposing a solution It means the higher level manager devises the
 solution and it is thrust upon the group. It does not allow the parties
opinion or grievances to be surfaced, rather, they have to follow what is
directed. The peace achieved by this method is short-lived. But this
method can be useful when quick and decisive actions are required. In
cases where unpopular decisions are to be made, this method of handling
conflict is useful.
4. Diffusion/Smoothing Conflict between the groups can be handled by
diffusion (quickly taking decision to cool down the emotions of the parties
involved). The strategies to diffuse conflict can be done by smoothening
the situation by focusing on similarities rather than differences. It may
decrease the intensity of the conflict but it is not the solution to the
conflict because the real problem remains unaddressed. If the issue
involves are not relating to work then this strategy may work well.
Conflict can be resolved through working for common strategy goals. It is
done by diverting attention of the groups from current conflict area to the
higher goals that will be beneficial to both the groups as well as the
organizational interest.
5. Appealing to super-ordinate goals Managers can handle conflict by
convincing parties in achieving the higher goal that is beneficial to both
the groups as well as the company. The present goal is made insignificant
in comparison to the super-ordinate goal. But finding the super-ordinate
goal is also a difficult task. This is a possible strategy when the survival of
the organization is in jeopardy or the mutually agreed upon goal requires
the help of both the parties.
6. Direct approach This may be the best approach of all. It concentrates on
the leader confronting the issue head-on. Though conflict is
uncomfortable to deal with, it is best to look at issues objectively and to
face them as they are. If criticism is used, it must be constructive to the
recipients. This approach counts on the techniques of problem-solving
and normally leaves everyone with a sense of resolution because issues
are brought to the surface and dealt with [3].
7. Enforcement of team rules This technique is used when it is obvious that a
member does not want to be a team player and refuses to work with the
rest. It is better to avoid using this method if possible. It can bring hard
feelings towards the leader and the team. If enforcement has to be used on
an individual, it may be best for that person to find another team [3].
8. Distributive bargaining Offering something the other party wants in
exchange for something one wants. This is an excellent technique when
 both parties have ideas on a solution yet cannot find a common ground.
Often a third party, such as a team leader, is needed to help find the
compromise. Compromise involves give and take on both the sides, and
usually ends up with both walking away equally dissatisfied [3].
9. Collaboration Joint exploration can be developed as a creative solution
that satisfies the important concerns of all the parties. It is useful when the
issues are too important to be compromised or when commitment is vital
for successful implementation of the solution. It needs to use as many
facts as possible and relate the issue to customer, team or organizational
needs. One should be open and honest and conduct the session in a private
setting. Documenting the concerns or issues, the dates, and the resolution,
if any, need to be signed by both the parties/persons [6].
10. Mediation If collaboration did not work or was inappropriate, a mediator
can handle the problem. The mediator must be trained and be trusted by
the team, and have the ability to remain neutral. This strategy
encompasses the tactics of joint problem solving (The contending parties
acknowledge that it is a problem for both and neither is satisfied with the
existing proposals or position, with no preferable alternative at hand); fact
finding (when conflict emerges owing to inadequate or incorrect data.
This may be used as a tactic by itself or as a technique within another
approach); gentle persuasion (This technique of persuasion can be used as
a gradual process in which one party influences the other based on
reasoning and understanding. Skills in communication become a major
tool in this process. “Gentle” in this case distances persuasion where one
party tries to force or impose strong will on the other; and consensual
problem-solving (it is rather a matter of capitalizing on the differences, a
clear articulation of each party’s interests, the acknowledgement that there
is seldom a fixed set of costs and benefits in any conflict. One has to
recognize that what may be a requirement (a high priority) for one party
may not necessarily be disadvantage (costs incurring) to the other [10].
One should be open and honest and conduct the mediation session in
private. It needs to be documented and signed by both the parties [6].
11. Team counselling If other methods do not work then it can be handled at a
team meeting. The problem can be put on the next agenda followed by
inviting the necessary individuals. In the meeting it is necessary to bring
up the facts, relate the issue to customer, team or organizational needs in
the meeting itself before all the members. One should be open and honest,
discuss it in a private setting, document it, and have all the parties sign it.
 Anyone on the team can raise an issue or problem on the team agenda.
However, this step should be used only after collaboration and mediation
have been ruled out [6].
12. Negotiation It is one of the best ways to deal with conflict. Disputes arise
due to different reasons and every team is unique in itself. Varney
proposes that negotiation is the most effective response to conflict when
parties stand to gain something; each has some power and there is
interdependency [7]. Negotiation offers flexibility and viability. The
process of negotiation involves listening to both sides, seeking common
areas of interest and agreement, and building on them so that individuals
can understand each other’s points of view. Varney believes there are four
essential skills team leaders need to learn and apply to effectively resolve
disagreements using the negotiation process. They are: Diagnosis
(recognizing areas of understanding and areas of differences), Initiation
(bringing the disagreements to the surface), Listening (hearing not only
what the other person is saying, but the emotional aspects as well) and
Problem-solving (a process with numerous steps including data gathering,
considering its impact, examining alternatives, identifying solutions and
developing a plan of action). Each party should be questioned while the
other listens, asking questions only for clarification. Then the parties
discuss a mutual definition and understanding of the problem. They
should be allowed to express their feelings and get hostility out of their
systems at this stage, but both parties must also be willing to admit partial
responsibility for the problem. This requires good listening, low
defensiveness, and an ability to stay in a problem-solving mode.
Agreement should be reached on what steps will be taken to resolve the
problem, and should be put in writing in order to avoid later
misunderstandings.

One should consciously choose the strategy—or blend of strategies—

appropriate to the situation rather than avoiding the situation or overusing one to
two habitual approaches [13]. Few recommendations for managers of
multicultural organizations are suggested below [12].

To recognize and acknowledge that people from various backgrounds and

ethnic groups with different values and unorthodox attitudes consitute
corporate life.
To communicate and show respect for the culture and values of others.
They should listen to the views of minority workers and make sure that
 they are included in their formal and informal networks.
To avoid stereotyping anyone from any culture.
To provide workers with a sense of psychological safety, assist them when
needed in the acculturation process.
To be empathetic, but be themselves. They should not try to be “one of
them”. In addition, they should avoid projecting or imposing their own
culture and value system onto others.
Finally, managers should trust their instincts in dealing with foreign
employees.

The climate should be such where being genuine is valued and the
maintenance of integrity is the norm where differences can be discussed in a
“low stakes productive way, an inch at a time.” [14].

5.2 STRATEGIES TO RESOLVE

ORGANIZATIONAL CONFLICT
Conflict arises at organizational level because of many reasons. It can be due to
lack of resources, interdependencies of organizational units, task structure or due
to interpersonal reasons. Formal organizational structures like liaisons,
organizational slack and ombudsmen or employee/client/customer
representatives can be used to resolve conflict at the organizational level. Many a
time, managers also solve disputes informally. Here, we will discuss conflict
resolution techniques from the viewpoint of structural, task and interpersonal
level.
Managing Resources
If organizational conflict occurs due to scarce resources and interdependencies, it
can be resolved through the use of slack resources and buffers [15]. Managing
slacks or excess resources can minimize conflict because they reduce the amount
of necessary interaction. For instance, if two departments are sequentially
interdependent, having excess inventory of A’s output (slack) insulates B from
the inconsistencies of A. Buffer can help the organization into a minimal crisis,
allowing for organizational slack through certain excess inventory, discretionary
funds and additional resources [15]. Buffers need not be only excess inventory
or product. An individual or groups of individuals may act as liaison or linking
pin that is assigned to integrate the activities of two interdependent
organizational units or groups [15]. It is wise to carefully compare these costs
with the costs of dysfunctional conflict arising out of resource scarcity [16].
Ombudsman
Organizational Ombudsman can be another alternative to deal with employee
grievances. The ombudsman provides a formal mechanism for employee
grievances to be aired [15]. In different institutions, the ombudsman may offer a
means for clients or customers to make their dissatisfactions known [17]. The
duties of an ombudsman usually cover interpreting policy, counselling, resolving
disputes, and providing feedback and identifying potential problem areas to
senior management [18].
Decentralization
It is necessary that the design of an organization’s hierarchy of authority should
be in line with its current needs. As an organization grows and differentiates, the
chain of command lengthens and the organization is likely to lose control over
its hierarchy. This loss of control can be a major source of conflict because
people are given the responsibility for making decisions but they lack the
authority to do so. A manager above them must approve of every decision they
take. As a result, conflict increases and organizational effectiveness falls. This
problem can be handled by decentralization of authority.
Clarifying Organizational Norms, Rules and Regulation
Some conflicts arise from ambiguous decision rules regarding the allocation of
scarce resources, human resource policies, etc. Those conflicts can be minimized
by establishing rules and procedures that clarify the distribution of resources as
well as by implementing true sense of the term [16].
Reorganization of Relationships Among Departments
Task interdependence and differences in goals are two major sources of conflict
in an organization. An organization can handle it by altering the level of
differentiation and integration to change task relationship. An organization might
change from a functional structure to a product division structure in order to
remove a source of conflict between manufacturing managers who are unable to
control the overhead costs associated with different kinds of products. Moving to
a product structure makes it much easier to assign overhead costs to different
product lines. If the division is battling over resources, corporate managers can
increase the number of integrating roles in the organization and assign top
managers the responsibility for solving conflicts between divisions and for
improving the structure of working relationships [19]. Cost effectiveness can
occur by dividing the shared resources so that each party has exclusive use of
part to it. Sequentially or reciprocally interdependent jobs might be combined so
that they form a pooled interdependence [16]. For example, rather than having
one employee serve customers and another operate the cash register, each
employee could handle both the customer activities alone. Buffers also help to
reduce task interdependence between people who perform sequential tasks [19].
Regulating Communication Flow
Communication is critical to effective conflict management. This can range from
casual gatherings among employees who rarely meet otherwise, to formal
processes where differences are identified and discussed [16]. By improving the
opportunity, ability and motivation to share information, employees develop less
extreme perceptions of each other than if they rely on stereotypes and emotions.
Direct communication provides a better understanding of the other department’s
work environment and resource limitations. Ongoing communication is
particularly important where the need
for functional specialization makes it difficult to reduce differentiation [20].
Dialogue meetings can often help the disputing parties discuss their differences.
Through dialogue, participants learn about each other’s mental models and
fundamental assumptions [21].
Focusing on Super-ordinate Goals
It emphasizes on establishing common objectives held by conflicting parties that
are more important than the departmental or individual goals on which the
conflict is based [16]. By increasing commitment to corporate-wide goals,
employees place less emphasis and therefore feel less conflict with co-workers
regarding competing individual or departmental level goals [22]. Super-ordinate
goals potentially reduce the problem of differentiation because they establish a
common frame of reference. Heterogeneous team members perceive different
ways to achieve corporate objectives, but establishing super-ordinate goals is a
better option [16].
Reducing Differences
By narrowing the differences that produce the conflict in the first place can help
to reduce conflict [23]. This can be done by rotating staff across the departments,
designing appropriate performance-based incentive schemes and implementing
them properly so that organizational justice can be maintained. It can be done by
taking necessary steps to modify the existing power struggles to be proactive and
beneficial to the organization.
Induction Programmes
Appropriate induction programmes at the time of selection and promotion are
very important. Minimizing gaps at the ability level and the performance level
can be done by appropriate measures of employee selection, training and
development.
Job by Redesigning
Involving an employee in his/her job by redesigning the job, taking into account
his/her expectations and potentialities can reduce the probability of conflict.
Role Clarification
A role is a set of activities associated with a particular position. When two or
more role-specific activities are incompatible, then role conflict occurs [24]. In
such cases, any attempt to comply with one set of expectation makes it
impossible or difficult to comply with the other set of expectations [15]. This can
be handled by clarifying the goals and targets that are to be achieved, providing
supportive leadership (by the superior), and making authority and responsibility
commensurate with each other. At middle management level, executives often
complain that they have more responsibility but less authority and autonomy.
Such incongruence is conflicting. It requires minimizing individual-task/role
incompatibility.
Interpersonal Level
At interpersonal level, often employees cannot relate to each other effectively.
The reasons may be: they are mindful of the departmental objectives and goals
and how they are related to their own work, personal differences, the inclination
of managing to avoid conflict until one is detected, employees attitudes towards
their superior (like autocratic, running the department or unit is his business, if
you work good with him, you can get your work done, what does the boss know
that I do not know?). In order to make the relation between employees effective,
the interpersonal differences need to be sorted out.

5.3 EFFECTIVE LISTENING AND DIALOGUE

SKILLS
Peter Senge, author of Fifth Discipline , highlights certain tools for effective
listening and dialogue skills that can be useful in preventing and managing
dysfunctional conflict. Dialoguing is talking back and forth about the issue,
seeing it from different angles and trying to zero in on what is going on.
Physicist David Bohm defines dialogue as “a process of collective thinking and
inquiry, a process for transforming the quality of conversation and, in particular,
the thinking that lies beneath it.” It enables a group to reach a higher level of
consciousness and creativity through the creation of shared meanings and
common thinking processes. “The purpose of dialogue is to reveal the
incoherence in our thought” [25]. Senge believes that dialogue creates
opportunities for sharing information and creating joint solutions. “In dialogue,
individuals gain insights that could not be achieved individually. A new kind of
mind begins to come into being which is based on development of common
meaning… People are no longer primarily in opposition, nor can they be said to
be interacting, rather they are participating in this pool of common meaning
which is capable of constant development and change. In dialogue, a group
explores complex difficult issues from different points of view. Individuals
suspend their assumptions but they communicate their assumptions freely. The
result is a free exploration that brings to the surface the full depth of people’s
experience and thought, and yet can move beyond their individual views”[26].
Dialogue can be enhanced by seminars on personal vision and mental models.
Project groups should attempt to create a dialogue. It can be done by projecting
blame and teaching basic inquiry skills such as how to detect and clarify unduly
abstract statements and how to explain thinking, interpretations and conclusions
along with metaphorical ways to contain feelings and “cool the conversation,”.
When organizations must “unlearn” previously unsuccessful patterns, dialogue
offers a path to follow. As companies move to global operations, dialogue
becomes even more important in driving the planning process [27].
Individual dialogue can be improved through the use of the left-hand, right-
hand column technique, the ladder of inference and the container technique. In
left-hand, right-hand column technique, one takes some dialogue that occurred
during a conversation and writes it in the form of a play script on the right-hand
side of a sheet of paper. In the corresponding left-hand column, one records what
he or she was really thinking during the conversation. An example is as follows:
Left-hand column Right-hand column
(What I’m thinking) (What was said.)
Everyone says the
presentation was Me: How did the presentation go?
boring.
Does he really not Manju: Well, I don’t know. It’s really
know how bad it
too early to tell.
was?
Besides, we’re breaking new ground here.
 Me: Well, what do you think we should do? I
believe that the issues you were raising are
important.
Professor Sue Faerman of University at Albany suggests that there could be
two left-hand columns: one for what each partner to the conversation might be
thinking [29].
Left-hand column Right-hand
Left-hand column #1
#2 column
(What I think she was (What I was (What was
thinking.) thinking) said.)
Argyris maintains that true learning occurs when the left-hand and right-hand
columns begin to match. Once one has been trained in this technique, one can do
it mentally during a conversation to assess what is being said [29]. The aim of
this exercise is for people to get in touch with the biases and feelings that hinder
constructive dialogue. An honest dialogue can begin only when each person says
what he or she really thinks. However, dialogue is most effective in learning
environment in which trust and sharing are valued [30].
The ladder of inference helps people understand and admit that their
conclusions, logic, claims, and behaviours are based on subjective processes. By
learning to admit and see one’s reasoning as a process, a person can feel free to
change his/her conclusions and adopt others’ ideas. Climbing down the ladder
involves certain steps. Acknowledging the ladder of inferences enables a person
to understand and admit his statements, behaviour and positions. It involves
moving through these steps:

I take ACTIONS based on my beliefs.

I adopt BELIEFS about the world.
I draw CONCLUSIONS.
I make ASSUSMPTIONS.
I add MEANINGS (cultural and personal).
I select DATA from what I observe.
I OBSERVE data and experiences (as a videotape recorder might capture
them) or real data and experience.

In this situation, dialogue begins when participants learn to perceive their

conclusions as “beliefs” or “assumptions” instead of as non-negotiable truths.
Teams trained in these methods can help each other question meaning and strive
for open problem-solving and joint solutions.
In Senge’s container technique , members of a team in a meeting imagine a
container sitting in the centre of the room in which they can put their fears,
biases, anger, prejudices and blames. This method enables members to
disassociate their own biases and emotional roadblocks from their search for
common solutions.
Taken together, these methods encourage system’s thinking by opening up
opportunities to share information, experiences and ideas from different
perspectives. These are systems of thought and action that require joint
collaborative understanding and actions.

5.4 HUMOUR AND CONFLICT RESOLUTION

Humour is a useful tool in promoting social cohesion. In laughing together,
people identify with shared cultural meanings [31].
Dr. Norman Cousins said, “Laughter is an igniter of great expectations.”[32].
Children laugh at an average 400 times a day and this number drops to only 15
times a day by the time people reach the age of 35. Laughter releases endorphins
(a chemical 10 times more powerful than the pain-relieving drug morphine) into
the body with the same exhilarating effect same as that of strenuous exercise.
Laughing increases oxygen intake, thereby replenishing and invigorating cells. It
also increases the pain threshold, boosts immunity and relieves stress. Humour
also levels the playing field to create an atmosphere that encourages honest
dialogue, open communication and increased risk taking. Creating more equality
in power or control shows people respect and builds pride in their work [32].
Workplace humour is viewed as a useful tool to defuse critical situations,
reduce stress [33], improve communication [34] and increase group cohesion
[35]. Studies have found that humour helps parties in conflict to adapt or cope
with the situation by facilitating the expression of negative emotions [36], saving
face [37], channelling hostility [38] and maintaining social order [39]. Humour
can be the source of conflict when taken too far or when it is deemed
inappropriate [40]. Researchers have suggested that humour may be useful in
defusing and reducing organizational conflict [41, 42 & 33].
Practitioners, consultants and scholars suggest that humour is used for various
reasons and in myriad ways, ranging from vindictive sarcasm, light-hearted
banter, for telling jokes and drawing observations. A few of the primary
functions of humour outlined in the literature are—coping, reframing,
celebrating, communicating ambiguity and expressing hostility [43 & 44].
Parallels between the functions of humour and conflict management strategies
can be drawn. Figure 5.1 illustrates how they may correspond [46]. Blake and
Mouton’s two-dimensional grid is used as a framework to classify the functions
of humour [47].

FIGURE 5.1 Humour and coping styles.

The coping function of humour allows people to psychologically detach

themselves from their immediate situation [46].

People cope by making the situation light, which may be linked to the
avoidance conflict resolution style.
Another function of humour is to reframe the situation. Individuals use
clever or funny metaphors to cast matters in a different light. This type of
humour should prove useful when attempting to resolve conflict by
confronting—facing the conflict directly and examining possible
solutions.
Celebration humour focuses on the positives in a situation. For instance,
statements such as “Boy, am I glad …” Since a smoothing conflict
management strategy stresses the importance of common goals while
playing down differences, celebration humour may be used.
Ambiguous humour delivers messages in ways that other forms of
communication cannot. It enables people to say things that, if said more
directly, would make others feel hurt or defensive. The ambiguity of this
humour lets people “save face” and increase the likelihood of their being
 willing to “give and get a little”—in other words, compromise.
Humour can also be a means of expressing hostility. People find it less
risky to couch hostility within humorous bounds such as jokes or sarcasm.
When forcing to resolve conflict, individuals may choose to use this
aggressive humour.

Disagreements expressed in an arrogant and demeaning manner produced

significantly more negative effects than the same sort of disagreement expressed
in a reasonable manner [47]. These feelings are often reflected during future
work interactions. Given concerns about the possible backlash of a conflict
episode, most individuals will seek alternative ways to express their feelings.
Humour may be one of the methods. It seems likely that when resolving conflict
between conflicting parties who expect continued work interaction, avoiding
escalation of emotions and saving face are dominant concerns. As such,
individuals will report combining humour with avoidance and compromising
tactics more than other strategies. On the other hand, aggressive humour would
be least desirable in these instances [47].
Humour is both positively and negatively related to different conflict
management strategies, and is most often used when avoiding and
compromising. Humour is positively related to all conflict management
strategies except forcing [46].

SUMMARY
Conflict in team can arise due to factors such as lack of groundwork on administrative procedures,
cost overruns, schedules and responsibilities. Different techniques can be used to handle conflict.
They are ignoring the conflict, informal discussion, direct approach, smoothing/diffusion, appealing
to super-ordinate goals, distributive bargaining, team counselling, collaboration, negotiation, and
so on. A diverse workforce brings a wide spectrum of backgrounds, interests, points of view, and
ways of doing things to a firm. A few strategies have been discussed to handle conflict in a
multicultural perspective. Tools to handle conflict at organizational level are also discussed. They
are managing resources, ombudsman, vertical-horizontal decentralization, clarifying
organizational norms, rules and regulation, reorganization of relationships among departments,
regulating communication flow, job redesigning, focusing on super-ordinate goals, reducing
differences, induction programme, role clarification, etc. Techniques like effective listening and
dialogue skills can be useful in preventing and managing dysfunctional conflict in learning
organization. Dialoguing is talking back and forth about the issue, seeing it from different angles,
trying to zero in on what is going on. Individual dialogue can be improved through the use of the
left-hand, right-hand column technique, the ladder of inference, and the container technique.
These methods encourage systems thinking by opening up opportunities to share information,
experiences, and ideas from different perspectives.
In today’s increasingly diverse and competitive workplace, conflict management skills and
having a sense of humour are becoming requisites for every worker, not just managers. Humour
can be used as conflict management tool. Blake and Mouton’s (1964) two-dimensional grid is
used as a framework to explain corresponding conflict management strategies. The strategies are
coping –exaggeration (avoiding), celebration (smoothing), being aggressive (forcing), and
reframing-mirroring reality (confrontation).

QUESTIONS
1. Critically analyze team conflict resolution techniques.
2. How is the nature of conflict in SDT different from team conflict?
Suggest techniques to handle it.
3. What are the problems faced by managers in handling team that has
diverse workforce?
4. Analyze tools to reduce organizational conflict. Cite examples.
5. Can humour be used as conflict resolution tool? Explain your reason
using situational example.

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 Chapter 6
NEGOTIATION
LEARNING OBJECTIVES
• Being aware of the types of negotiation.
• Understanding the processes involved in negotiation.
• Appreciating the essentials of solving conflict through
tactical bargain.
• Knowing precisely the techniques to counter conflict.
• Understanding psychological impact of unresolved
conflict.
• Knowing issues associated with negotiation.

This chapter focuses on ‘negotiation’ as a technique to resolve conflict. The term

negotiation popularly refers to a variety of transactions in which the terms of
exchange are not fixed, but evolve in the course of people getting together to do
business with one another. In situations where the price is fixed and cannot be
changed, as in a departmental store or a supermarket, the buyers and sellers do
not negotiate. The buyers simply decide whether they want to do business at the
stated price or go elsewhere seeking better deal. Quite contrasting to this is a
situation where one is selling one’s land or other property, where there is no
fixed price. Here, the seller has to come to terms with the other party to
determine the conditions under which the exchange will take place. That is, the
point where the seller can negotiate. Whether it is an agreement by deed or
contractual understanding, it will certainly produce mutual negotiation, and if it
does not, there is likelihood of conflict.
Negotiation is the process of two or more parties working together to arrive at
a mutually acceptable solution of one or more issues, such as a commercial
transaction, a contract or deal of any sort [1]. It is a give-and-take bargaining
process that, when conducted well, leaves all parties feeling good about the
result and committed to achieving. Negotiation implies the involvement of at
least two parties. All parties must share some common need, or else they would
not come together initially. They must also have needs that they do not share
with other parties. Each of them is seen as controlling some resource, which the
other desires for. They want to reach an agreement on mutual exchange of the
resources. In other words, when parties are not working together to reach an
agreement, negotiation does not take place. The process of negotiation in
conflict situation helps in building on common interests and reducing differences
in order to arrive at an agreement. The parties cooperate by getting together and
then try to reduce the conflict of different interests.
Negotiation is an option for conflict resolution when conflict of interest exists
between two or more parties and there is no fixed or established rule that exists
to resolve the conflict. At the same time, the parties prefer to search for
agreement rather than to fight, openly capitulate, break off interaction or take
their dispute to a higher authority level to resolve [2]. It has typically been
conceptualized as a form of decision-making that occurs under conditions of
mutual interdependence [3]. Within this framework of interdependence, the
respective parties attempt to reach a mutually satisfactory agreement through the
pursuit of different strategies such as concessions, promises or threats. Each
party must revise its expectations such that others meet their expectations.
Although the concessions may not be equal on both the sides, the distance
between both the parties must be reduced if an agreement is to be reached and a
deadlock avoided.
A negotiation situation is one in which—
(a) two or more individuals must make a decision about their interdependent
goals and objectives;
(b) the individuals are committed to peaceful means for resolving their
dispute, and
(c) there is no clear or established method or procedure for making the
decision [4].
It can be understood that negotiation occurs whenever two or more conflicting
parties attempt to resolve their divergent goals by redefining the terms of their
interdependence [5].

6.1 TYPES OF NEGOTIATIONS

There are four types of negotiations, namely, distributive, integrative, attitudinal
structuring, and intra-organizational [6].

6.1.1 Distributive Negotiations

It is a competitive negotiation strategy that is used to decide how to distribute a
fixed resource such as money. The parties assume that there is not enough to go
around, and they cannot “expand the pie,” so the more one side gets, the less the
other side gets. Since the opposing goals, interests or preferences are at stake, the
most effective method of attaining one’s objective is to try to secure concessions
from the other party, though implicitly, one is willing to grant some to the
opponent [7]. The bargaining process ends in win-lose outcome.

The ‘confrontational winner takes all’ approach reflects a misunderstanding of

what negotiation is all about, and is short-sighted. Once a confrontational
negotiator wins, the other party is not likely to want to deal with that person
again. So the conflict becomes latent and will make one party happy whereas the
other will be dissatisfied. It is also called ‘claiming value,’ ‘zero-sum,’ or ‘win-
lose’ bargaining.
Distributive bargaining is important because there are some disputes that
cannot be solved in any other way—they are inherently zero-sum. If the stakes
are high, such conflicts can be very resistant to resolution. For example, if a
budget in a government agency has to be cut by 30 per cent, and people’s jobs
are at stake, then a decision about the extent to be cut is to be very difficult. If
the cuts are so small that the impact on employees will be minor, the effect can
be controlled. In all, disputes arising out of such distributive decisions can be
more easily resolved. Labour-management dispute is a classic case of
distributive bargaining.
The basic process of distributive bargaining can be explained through the
bargaining zone model of negotiations (Figure 6.1). The negotiation process
moves each party along a continuum with an area of potential overlap called the
bargaining zone. This model illustrates that the parties typically establish three
main negotiating points. The initial offer point is the team’s opening offer to the
other party. This is usually its best expectation and a starting point. The target
point is the team’s realistic goal or expectation for a final agreement. The
resistance point is the point beyond which the team will make no further
concessions [8]. This is purely a win-lose situation where one side’s gain will be
the other’s loss.

FIGURE 6.1 Distributive bargaining zone model.

Parties A and B represent two negotiators. Each side has a target point that
defines what he or she would like to achieve, and a resistance point, which
marks the lowest outcome that is acceptable, i.e. the point below which they
would break off negotiations rather than accepting a less-favourable settlement.
The parties begin their negotiations by describing their initial offer point for each
item on the agenda. In most cases, the participants know that since it is the
starting point, it will change as both sides offer concessions. In win-lose
situations, neither the target nor the resistance point is revealed to the other party.
However, people try to find out the other side’s resistance point as this
knowledge helps them determine how much they can gain without breaking off
negotiations. The trick is to get an idea of the opponent’s walk-away value and
then try to negotiate an outcome that is closer to one’s own goals than other’s.
Whether or not parties achieve their goals in distributive bargaining depends on
the strategies and tactics they use.
Four most common win-lose strategies a negotiator may use are as follows [9].

1. ‘I want it all’—By making an extreme offer and then granting concessions

grudgingly, if at all, the negotiator hopes to wear down the opponent’s
resolve.
2. Time warp—Time can be used as a powerful weapon by the win-lose
negotiator. It can be in terms of arbitrary deadlines or offer valid up to a
certain period of time, etc.
3. Good cop, bad cop—Negotiator using this type of behaviour shows
irrational behaviour which is followed by reasonable, sympathetic
 behaviour.
4. Ultimatums—This strategy is designed to try to force the other party to
submit to the will of the other party.

Information is the key to gaining strategic advantage in a distributive

negotiation. One should guard one’s own information carefully and also try to
gather information about the opponent. To a large extent, one’s bargaining power
depends on how clear one is about one’s goals, alternatives and target and
resistance point, and how much does one know about the opponents’. Once these
values are clear, you will be in a much stronger position to figure out when to
concede and when to hold firm in order to best influence the response of the
other side.

6.1.2 Integrative Negotiations

This is a cooperative approach to negotiation. The negotiators understand the
importance of all stakeholders winning something and so try to find out a wide
range of interests to be addressed and served. They follow a strategy of
collaboration that leads to
“win-win” solution to their dispute. This is known as interest-based negotiation
where the parties focus on their individual interests and the interests of the other
parties to find a common ground for building a mutually acceptable agreement
[1]. They understand that negotiation is not a zero-sum game but a way to create
value for all the parties involved. This strategy focuses on developing mutually
beneficial agreements based on the interests of the disputants. It helps in
building long-term mutually beneficial relationships.
Negotiation is very much an illustration of joint problem-solving, i.e. each of
the parties getting a reasonable share of the pie. Sometimes the sum available to
both the parties can be increased by joint effort. If both the parties combine to
make a larger pie, even though their relative shares (in this case, it is 50:50)
remain the same, they both obtain more (Figure 6.2). This is known as a win-win
situation. The emphasis here is more on cooperation than on conflict.
Integrative bargaining is important because it usually produces more
satisfactory outcomes for the parties involved than does positional bargaining.
Positional bargaining is based on fixed, opposing viewpoints (positions) and
tends to result in compromise or no agreement at all. Often, compromises do not
efficiently satisfy the true interests of the disputants. Instead, compromises
simply split the difference between the two positions, giving each side half of
what they want. Creative, integrative solutions, on the other hand, can
potentially give everyone most of what they want.

FIGURE 6.2 Sharing a larger pie: A win-win situation.

Fisher and Ury outline four key principles for integrative (win-win)
negotiations. These principles provide a foundation for an integrative negotiation
strategy, which is called “principled negotiation” or “negotiation on the merits”
[10]. They are as follows.

1. Separate the people from the problem —Negotiators should see

themselves as working side by side, dealing with the substantive issues or
problems instead of attacking each other.
2. Focus on interests, not positions —Focus should be on the underlying
human needs and interests that had caused them to adopt those positions.
3. Invent options for mutual gain —Varieties of possibilities need to be
generated before decisions are made about which action to be taken.
4. Insist on using objective criteria —The parties should discuss the
conditions of the negotiation in terms of some fair standard such as
market value, expert opinion, custom or law.

As the caption of this book entails mastering the concept and skills, we have
included the complex theory of bargaining model by Fisher, et al. as it is no
doubt the only proven model, which thus explains disputants and adversaries of
distributive and integrative bargaining. Neither distributive bargaining nor
integrative bargaining can be overlooked as both stick to “Getting yes” after long
process of negotiation without giving in. Spangler has simplified the integrative–
distributive bargaining process as propagated by Fischer and Ury [11].
Distributive Bargaining includes the following features:
(1) Disputants are adversaries. (2) Set sights on goal. (3) Demand concessions.
(4) Find out the exact point. (5) Hoodwink, use tricks.
(6) Insist on your point. (7) Apply pressure. (8) Focus on success at the cost of
other.
 Meanwhile, integrative bargaining includes the following:
(1) Disputants are joint problem-solvers. (2) Goal is prudent decision. (3) Work
together to determine who gets what. (4) Focus on the well-
being/satisfaction/interests, not positions. (5) Be open about interests. (6) Select
objective criteria to take decision and go for multiple options. (7) Use reason;
and fair principle. (8) Set sight on win-win solutions.
Students should refer to the distributive–integrative bargaining model of
Fisher, Roger, William Ury, and Bruce Patton (1991) for detail understanding on
the subject matter [12].
In an integrative negotiation, the parties can combine their interests to create
joint value. To achieve integration, negotiators can deal with multiple issues at
the same time and make trades between them [12]. In a distributive bargaining in
which the participants are trying to divide a “fixed pie,” it is more difficult to
find mutually acceptable solutions as both sides want to claim as much of the pie
as possible. It is difficult to transform a conflict with distributive potential into
one with integrative potential. “In intra-organizational behaviour, integrative
bargaining is preferable to distributive bargaining, because the integrative
bargaining builds long-term relationships and facilitates working together in the
future. Distributive bargaining, on the other hand, leaves one party a loser. It
tends to build animosities and deepen divisions when people have to work
together on an ongoing basis” [13].

6.1.3 Attitudinal Structuring

It is the process by which the parties seek to establish desired attitudes and
relationships [14]. During the period of negotiation, parties express different
attitudes like hostility, competitiveness or cooperativeness. A third party
mediator can be used to manage the relationship between two parties so that
working relationship can be maintained between them.

6.1.4 Intra-organizational Negotiations

In Intra-organizational negotiations, each set of negotiators tries to build
consensus for agreement and resolve intra-group conflict before dealing with the
other group’s negotiators [14]. The two groups, before coming to the negotiating
table, have to first sort out the issues, attitudes and practices among themselves.
It is necessary for successful negotiated agreement.

6.2 NEGOTIATION PROCESS

Negotiation process consists of certain phases. Figure 6.3 depicts a model
describing the basic features of negotiation process. They are—preparation
phase (information gathering); developing and selecting strategy (setting the
ground rules); opening moves (exploring and proposing the matter); bargaining
and problem solving; and closure and implementation of the negotiation process.

FIGURE 6.3 Negotiation process.

6.2.1 Preparation
Skilled negotiators invest more time and effort planning the process they intend
to use. It serves as a guideline for them. In this phase, detailed analysis is
required on certain issues. It can be the nature of conflict, history of conflict,
parties involved in it, own assessing as well as others goals, and so on. How
entrenched are they likely to be in their position? What intangible or hidden
interests are important to them? What are they likely to ask for?
Developing One’s BATNA
Negotiators need to know their Best Alternative to a Negotiated Agreement
(BATNA) [12]. It is made of a variety of elements. These can include deadlines;
alternatives such as other suppliers or customers; your own resources; their
resources; information you gain before and during the negotiation; the level of
experience you or other parties have; your as well as other party’s interests; and
knowledge about the matters under consideration [1]. Each party has a BATNA.
It guides in responding to the situation.
Determining one’s Best Alternative to a Negotiated Agreement (BATNA) is
important because it tells us whether a particular negotiation is worth
undertaking or continuing in the light of the alternative way that might serve
your interests. Fisher and Ury outline a simple process for determining one’s
BATNA.

Develop a list of actions that one might conceivably take if no agreement

is reached;
Improve some of the more promising ideas and convert them into
practical options; and
Select tentatively the one option that seems best [15].

The goal of negotiating is to arrive at a good agreement. It is a measure of the

balance of power among the negotiating parties based on the resources they
control or can influence to respond to their interests that will be addressed in a
given negotiation. BATNAs are critical to negotiation because one cannot make
a wise decision about whether to accept a negotiated agreement unless one
knows what the alternatives are. The better you understand your BATNA and the
BATNA of other parties, the better you are able to judge whether to continue the
negotiation or to walk away before an unappealing agreement is reached.
Assessment of other parties’ BATNA helps to influence them and make them to
change it.

Choice of style—win-win or win-lose There are two fundamental choices

—a cooperative style (A win-win style ensures that both parties gain some
benefit) and a competitive style (It is designed to maximize only one
side’s advantage, at a specific cost to the other. This is an aggressive
stance and therefore a win-lose approach to negotiation). It is important to
decide whether it is more appropriate to aim for a win-lose competitive
outcome or a cooperative win-win approach. It is decided depending on
the nature of the conflict.
Team selection Who do you need to include in your team and what will
their respective roles be? Team selection should be based on certain
 criteria like personal qualities ; functional skills that are required (for
example, product or services), specialist areas (like technical issues such
as performance, quality assurance, warranties maintenance, commercial
issues like price, delivery payment terms, legal issues, etc.); team playing
skills (like compatibility with team members, balance of functional and
personal skills—need to be complementary across the team, credibility,
personal regard by the other sides); negotiating roles (like leading, note
taking, listening, reviewing, surveillance) [16].
Developing interest map The best way to test your assumptions is with an
interest map . It involves listing down the negotiating parties and other
stakeholders and recording your assumptions about the stakeholders’
interest. Then connect the interests of one stakeholder with the other. A
part of the job in developing an interest map is to figure out how interests
of each stakeholder relate to one another. Interest map offers you a
mechanism for determining what information you need, what questions to
ask, what assumptions to question and what elements will be most helpful
to you and other parties in reaching mutually satisfactory results through a
good negotiation process. By underscoring your focus on interests, your
interest map will help you avoid getting stuck on emotional hot buttons or
cultural obstacles to developing a workable negotiation process and an
agreement that works for the parties [1].

Skilled negotiators often use a planning form to facilitate negotiation planning.

This planning process offers some significant advantages shown below:

Putting down your thoughts on paper helps to sort them out and avoid
contradictions.
During team negotiations, it is useful to have a document for all members
to contribute, criticize, etc. This helps avoid members from going off-
track during the negotiation.
In the post-negotiation review and in between negotiations, it is helpful to
review the tasks already done and those that are yet to be done.

6.2.2 Developing and Choosing a Strategy

Sound planning and careful preparation of ground rules is vital for a successful
negotiation. We need to ask certain questions to set ground rules. Such question
should include the following aspects.
Why, Who, What, When and How of Negotiation
Who will we be negotiating with? What are our objectives? Why are we
interested in negotiations? How are they to be valued and in what order of
importance are they to be ranked? What time constraints, if any, will apply? To
what issues will negotiation be limited? Will there be a specific procedure to
follow if an impasse is reached? When will it suit us best to hold the
negotiations? And when would it not? How should we pitch our initial demands?
To what degree should we be prepared to modify these demands each time we
are faced with counter-offers? How should we negotiate? How much time will
we need to reserve? What assumptions should we make in our planning? How
can we check their validity? Where do we want to meet—on our ground, on
theirs, or on neutral territory? Where do we want the negotiations to take place?
Concessions
You have to decide what variables in your position are you prepared to exchange
in return for any counter-offers? What order should you set for offering your
concessions, and what else you might be prepared to include? Concessions are
important because they—
(i) enable the parties to move towards the area of potential agreement, (ii)
symbolize each party’s motivation to bargain in good faith, and (iii) tell the other
party of the relative importance of the negotiating issues [17].
Mid-point
It is the difference between two parties’ bids, and usually indicates where the
settlement will finish. The higher one pitches one’s first bid, the more favourably
positioned the midpoint will be for his side. The positioning of each subsequent
bid can move the mid-point. Each time it is your turn to bid, it will be you who
will determine the new mid-point. One can move the mid-point in one’s favour
by moving in smaller steps than the other side, or even by not moving at all [16].
Technique of how to open the negotiation should also be planned. It requires a
rehearsal of what you are going to say in your opening statements and how you
are going to say it as well as the analysis of the probable and possible opening
comments which might be expected from the other side. Another useful area that
needs to be thought about is the seating arrangement . Seating people full
square opposite each other is generally considered to enhance the risk of
confrontation. In one-to-one negotiations, it is better to opt for cooperative
arrangement, that is, to sit side by side. The most flexible seating plan is to sit
‘round the corner’ from the other party. This is friendly, relaxed and non-
invasive. It is therefore good for encouraging a cooperative atmosphere. If the
climate turns aggressive, you can then distance yourself without prejudicing
your position [16].
Establishing the Issues and Constructing the Agenda
It gives good idea of substantive elements a negotiation should cover in order to
respond to our interests and what you assume to be the interests of other
negotiating parties and outside stakeholders.
Before a negotiation begins, all the aspects need to be answered. During this
phase, the parties will also exchange their initial proposals or demands.

6.2.3 Opening Moves

It is the time of advancing demands and uncovering interests. After
establishing the agenda, the opening moves in negotiation usually consist of each
side putting forth its positions and demands. They need to explain, amplify,
clarify, bolster and justify their own orignal demands [13].

Building Confidence
Among negotiating parties, this is often an important first step or a series of
steps which need to be undertaken. Confidence-building measures can be more
elaborate. When negotiating parties do not know each other well or if they have
an unfriendly history, they can use a variety of tools to increase their comfort
level with one another. Asking good questions and listening carefully are
confidence-building elements in any negotiation. Few other strategies can be
used to negotiate in phases (trading agreements and performance on a piece-by-
piece basis). Each small agreement that is made by both the parties need to be
fulfilled. In that case the parties can work on larger, more complex or more
divisive issues. Early demonstrations that parties made, when become fulfilled,
can increase all parties’ confidence that the overall process will be worthwhile.
In each step, one should check one’s own BATNA.
Exploring
The more you can explore the other side’s position, the stronger you will be.
What do you need to explore? It is who, what, why of negotiation, their BATNA,
style, goal, etc. Use of one’s interest map can give an outline of questions rather
than as the skeleton of the perfect solution. The more information you get from
them, the more accurate will be the assessment about how your BATNA is
affected. It helps in responding to the problem creatively and effectively.
The important categories and sub-categories of oral behaviour include seeking
as well as giving information. In seeking information , the behaviour usually
takes the interrogative form and asks questions such as “What is your annual
production and sales of watches?” Giving Information takes two forms. In the
external form, the negotiator gives the information as a matter of fact as in “Last
quarter, we produced 3.2 lakh watch pieces”. The internal form involves
opinions or qualifications of presented facts. It also includes expression of
feelings such as “Your insistence on a just-in-time delivery system makes us feel
comfortable”. Extensive exchange of data may reduce chances of making
mistakes. An open behaviour acknowledges such a mistake and corrects it, “I’m
sorry. The 5 million units I’d mentioned was the figure two years ago.”
Proposing
After getting your opponent’s agenda, it is time for you to start making your
proposals. Any concession that you might offer must be traded for something
you want. These conditions should be specific and firm. The discussion can start
off with ambitious condition.
The proposing behaviour takes two forms. In content proposals , the parties
state their positions. For example, “We propose that profits need to be shared
50–50.” Another form of proposing relates to the actual process of the
negotiation. A typical quote here would be, “Let us leave the pricing issue for the
time being and discuss delivery patterns”. At times, one party agrees to a
proposal and then extends it by adding a proposal of its own. An example for
this type of developing proposal would be: “Yes, let’s meet the next Friday.
Please be prepared to discuss the market research survey as well as the cost
data.”
Skilled negotiators like to ask questions on certain issues that help them
discover hidden matters that rectify assumptions. Skilful questioning can often
get members of the other party to re-examine the logic behind their stance.
Asking questions also shows interest in the position of the other party and credits
them with a certain amount of intelligence. This behaviour also helps to build
mutual respect. In situations where things might seem to go just out of control, a
suitably posed question can often provide a breathing space in which the
negotiator can reorganize his thinking. A question can also lead the discussion
into new areas, but in a more subtle way.
This phase of negotiation is not confrontational by nature rather it is for
educating and informing each other on the issues, why they are important, and
how each arrived at their initial demands. At this stage certain documentations
are also provided to support one’s position [13].

6.2.4 Bargaining and Problem Solving

This is the phase of bargaining and discovering new options. This is where
lateral thinking skills are invaluable in finding concessions that the other side
will consider worthwhile, but will cost you little. This is known as searching for
variables and is vital not only in offering concessions, but also in evaluating
those you receive [16].
Some of the other behaviours that are observed are agreeing (some proposals
of the other party can be readily acceptable while the rest cannot) and
disagreeing . In contrast, blocking involves disagreeing without assigning any
reasons. “Absolutely, under no circumstances we will consider that action.”
Disagreeing sometimes escalates from disagreement with the content of a
proposal to direct disagreement with the personal tactics or motives of the other
party. Example of such disagreement is a statement like, “You are deliberately
trying to mislead us”. Negotiators refer to this kind of behaviour as attacking .
Attacking usually brings out defending behaviour from the other party. “We are
not trying to mislead you, but you are not being clear in what you want.” Thus a
defending behaviour often turns the attack around.
At this stage, promises, threats, bluffing and personal attacks are likely to
emerge. Effort must be made not to personalize at this stage; participants must be
objective and should focus on facts an not on assumptions.
 Actual give and take process takes place during this stage. Parties reach at
settlement and try to improve the outcome. During the bargaining, the first bid
should be as high as possible, but still realistic. There is always a possibility that
in negotiation, the price or the demand will always be reduced. If the initial bid
is not pitched high then it will be more difficult to bring it up at a later stage.
Low expectation generally produces low results. The actual process of
negotiation is the give and take process. So concession has to be made. The
initial concessions that you make should be small and tentative. If your initial
offer is too large, problems would arise. If there is a deadlock then certain tactics
should be used to overcome them. Small concession should be tied to a condition
that will give you something in exchange. Always try to couple the concession
you offer with another concession of similar magnitude in return, so that your
case is not weakened. While receiving and giving concession, it should not only
be given reluctantly, it should also be received reluctantly. Accept concessions
slowly, with apparent pain. Alternatively, you might choose to give no reaction
at all to an offer. Next is to link all the issues into one package. A net loss on the
concession trading regarding one item can then be set off against a benefit
somewhere else. If you are offered a package deal, split it up. If you are offered a
range of items, search for a global package. Summarize regularly and feel free to
suggest a recess when you need time to plot your course further [16].
In the course of negotiations, especially lengthy ones, it is easy to lose the
focus of the negotiation. A brief, concise summary of what has been discussed to
date in the negotiation and what the other party has agreed in whole or in part
need to be documented.

6.2.5 Closure and Implementation

This step focuses on working out an agreement and developing a procedure for
its implementation and monitoring.
Settling the Deal
When an agreement has been reached after a complex negotiation, it is vital to
confirm that both parties have actually agreed to the same deal.
Misunderstanding can arise at this stage. It needs the help of a lawyer to clarify
your doubts, if any. For a contract to be signed, all contractual considerations
should be taken into account. Then standard terms and conditions need to be
written clearly. Provision should be made where damages are to be applied. If
you want, provision of ‘Guarantee’ should be made and not Warranty. Please
note that a ‘warranty’ is not legally a condition of contract.
Improving the Outcome
The best result comes in a negotiation where there is combination of three
important attributes: skill, aspiration and power [16]. Power influences the other
party. It can also be abused. But it should not be used to threaten the weaker
party. High aspirations win higher rewards by making initial demands high. The
optimum position, in order to negotiate the best deal, is to have high levels of
power, aspiration and skill.
In the case of a resistance to finalize an agreement because of uncertainty as to
how it will work out in practice, apply the re-opener provision . This provision is
an agreement stating that after a given period of time, the decision arrived at by
the parties will be subject to re-examination and possible modification.
The closure of the negotiation process is nothing more foral than a handshake.

6.3 FACTORS RESPONSIBLE FOR MAKING

NEGOTIATION SUCCESSFUL
Factors responsible for making negotiation process successful are described in
Figure 6.4.
 FIGURE 6.4 Factors responsible for successful negotiation.

Effective Communication
Communication is the key to effective negotiation. It requires presenting one’s
own ideas in a way that will influence the decision of the negotiating partner.
Communication can be effective if all its elements are used properly and are
appropriate to the context. These can be body language, words used and voice
tone. One research finding showed that body language has 55%, voice tone has
38% and words have 7% impact on the communication process. Active listening
facilitates communication process by making the person hear others’ points of
view. It involves several components like paying attention, controlling yourself
so that you can learn from others, asking open-ended rather than yes-or-no
questions, listening to the answers, understanding how to use the power of
silence, making sure you are on the same page and reinforcing the obligation of
reciprocity. Sometimes one is required to reframe the troublesome and confusing
sentences. In every discussion, one should ask a question to oneself: “What is
the point of this negotiation?” so that one remains focused to one’s BATNA.
Building Relationship
In conflict resolution it is very important to maintain relationship even after the
negotiation process is over. Maintaining good business relationships in business-
to-business negotiation brings good reputation of the company and increases the
likelihood of repeat business. Issues need to be addressed carefully not to
jeopardize the relationship. It is done by unravelling the person from the
problem [1].
Knowing BATNA
It is the guideline for negotiation. It gives a clear idea about what is the goal of
negotiation, the alternatives available and the walk-away values. It provides
information to make wise decisions on substantive elements of the negotiation.
BATNA is dynamic by nature because as one interacts with the other party,
parties may change accordingly to facilitate the bargaining process.
Understanding Emotions
Bargaining process becomes easier if one knows the potential emotional issues
of the other side. It helps in underscoring important points or asking for more
concessions. On the other hand, if one has better control over emotional
expression, like if one is capable of expressing one’s surprises, it will have a
significant impact on negotiation. It is a weakness if one loses control of one’s
emotions. One should be calculative in expressing emotions. In the bargaining
process, it is important to separate the problem from emotional issues. It helps in
avoiding fight. Silence can also be used as a powerful tool. Instead of strongly
reacting to outrageous statement, it is better to sit in silence. However, it should
not to be used too frequently as it can ose its effectiveness.

Understanding Interests
In negotiation process, knowing one’s interest and focusing on it is vital. Cohen
has suggested few questions to find out one’s interests [1]. They include the
following.

If my objective is not achieved, will I suffer any damage? If so, what is

the damage?
How does ‘reaching or failing to reach’ objective reflect on my ego? My
 career aspirations? My hopes for my family? The good of my company?
What routes are available to achieve my underlying goals? If an approach
that differs from my announced objective is utilized, does that threaten
my interests?
Is my interest as easy to explain to myself or to others as the goal I have
chosen?
How many alternatives are acceptable to me and why?

Understanding the interests of the negotiation counterparts helps to know

hidden agendas that lie behind their negotiation strategies and their objectives
thereby helping in drawing realistic conclusions. Keeping one’s mind focused on
interests helps to overcome cultural and other obstacles to agreement and avoid
regrettable decisions.
Creativity Approach
The creative approach to the negotiation process is essential. It makes the
negotiation process interesting. It requires thinking about the situation from a
different perspective. When parties have a win-win orientation, the objective is
to find a creative solution that keeps everyone close to their initial offer points.
They hope to find an arrangement by which each side loses relatively little value
on some issues and gains significantly more on other issues. Creativity helps in
expanding the possibilities available to the negotiating parties. There is a greater
likelihood that parties will feel as if they have gained by negotiating with one
another.
By Being Fair
Unless the parties consider the negotiation process fair, there is a risk that
negotiators will end up feeling less committed to the agreement. It also gives
good reputation about the negotiator.
Situational Factors Influence Negotiation
The effectiveness of negotiation depends on the situational factors such as
location, physical setting, time passage and deadline, and audience
characteristics [8]. Negotiating on one’s own turf is easier because one is
familiar with the negotiating environment and are able to maintain comfortable
routines [18]. Sometimes negotiators prefer neutral territory. Skilled negotiators
always prefer face-to-face meeting [19]. The physical distance between the
parties and formality of the setting can influence their orientation toward each
other and the disputed issues [20]. Sitting arrangement should be taken into
account. Whether it should be face-to-face, side-by-side or both groups facing
one white board signifying that both party’s face the same problem or issue [8].
Time should be given for negotiation but more is the time invested, stronger is
the commitment to reaching an agreement. It has its negative effects also. Time
deadlines should be there because it motivates people to complete the
negotiation [21]. At the same time, it inhibits effective negotiation. Negotiators
under time pressure also process information less effectively [8]. Audience’s
knowledge about the negotiation process has significant effect on the negotiator
[22]. When the audience has direct surveillance over the proceeds, the
negotiators take a hard line approach and they put more interest in saving face.
Commitment to Result
Negotiation is a process involving dealings among persons, which are intended
to result in an agreement, and commitment to a course of action [23]. A
negotiation can only be called successful when it yields an agreement to which
both the parties are committed.

6.4 TRICKS USED IN NEGOTIATION PROCESS

Tricks refer to the various tactics that can be used against a person in
negotiations. Skilled negotiators can also employ some of them. Habitual
bargainers use them to their advantage. We must protect ourselves from these
tricks or we will certainly lose out on the deals. Some of the general strategies
are—to take initiative, maintain the initiative throughout, limit the freedom of
action and push or entice the other party. There are 20 basic tactics to defend
oneself. These include 4 control tactics to limit our freedom of action, 7 pressure
tactics to push into making concessions and 9 trap tactics to tempt or entice us
into making concessions.

6.4.1 The Four Control Tactics

These tactics can be used against you to enclose you in the middle of the
accompanying box (Figure 6.5). You will get boxed unless you negotiate your
way out of it.
 FIGURE 6.5 The four control tactics.

Agenda Control
This is a universal tactic “You” trapped in a box and normally takes two forms—
control of agenda items and control of procedures. Pay close attention to the
opponent’s proposed agenda and probe into the following areas:

Does it include items that you consider non-negotiable?

Does it exclude items that you want to include for negotiation?
Identify the procedures that will operate to your disadvantage.
Pay special attention to those who will participate and the proposed third
party roles.
Negotiate procedures to ensure security.
Pay special attention to proposals regarding the scheduling of meetings.

If the other party can control both the content and the process of negotiation,
then you are at a tactical disadvantage.
Limits
This is frequently used as a tactic to reduce the area open for negotiation. But
you would notice that those limits are also cited by the other party when they
want to use it to their advantage and your disadvantage. Some typical limits are:

Limits of authority: Approval of plans by the Chairman/GM/CEO.

Policy limits: Being against the company policies and rules.
Financial limits: Requirement of additional finances.
Technological limits: Installation of new technology.
Legal limits: Barriers from law in carrying out the process.

Limits, however, can change. It is not static and anything that can change in
dispute, disagreement/settlement is subject for negotiation.
Precedent
Negotiators frequently employ an appeal to precedent to place the current
negotiation within the pattern of other negotiations, when it is to their advantage.
This tactic takes either of the following two forms:

Citing the precedent of previous negotiations with the same party. “We
have always negotiated a three-year lease with you in the past. Why
should you demand a five-year lease now?”
Citing precedent of agreements reached in negotiations by other parties.
“As the rest of the industry has settled for a 20% increase, your offer of
12% is very low.”

Time
Each party may try to reduce the time available for negotiations to its advantage.
Your opponent may:

Try to reduce the time for negotiations.

Try to extend the time available.

6.4.2 The Seven Pressure Tactics

There are seven powerful tactics to pressurize you into making concessions to
your disadvantage.
Large Demands
Most of the negotiations begin with both the parties making large demands,
which neither expects to realize. As time progresses, they modify their initial
demands through concessions. Finally, they reach agreements somewhere
between the extremes of their initial differences. The initial large demands are
meant to shake the opponent’s self-confidence. If these demands are reinforced
by repetitions, their impact increases.
Threats
The other party may threaten you directly or indirectly, and tactlessly or with
finesse. The objective is to pressurize the other party into making concessions.
The popular and frequent threats include threats of action such as strikes,
stopping of shipments, cancelling of franchise, etc. and personal threats like
attacking or questioning the opponent’s integrity, veracity, etc. The goal is to
discourage the opponents.
Deadlock
If one party wants to make a timely agreement, the threat of a deadlock can put a
serious pressure on that party. Instead of conceding to avoid a deadlock, a timely
reminder of the common ground between the parties can show that this tactic is a
two-edged sword, which can hurt the other party as well.
Surprise
In spite of careful planning, minor surprises, when confronted with, shake
confidence. If allowed, such surprises can make the party concerned
disorganized. One can tackle this by adopting information-seeking behaviour.
Bypass
The other party may bypass you to contact your superiors in an attempt to
undermine your position or isolate you from support. This can put you under
extreme pressure, especially when support from the top authority is uncertain. It
can be encountered through anticipation.
Divide and Conquer
If a party is negotiating as a team, then differences of opinion is inevitable.
Though it may be small initially, these differences may widen with the passage
of time. The best solution can be to emphasize full participation of all team
members in pre-negotiation planning and careful role assignment during
negotiations.
Coalition
When parties combine and form a coalition, the pressure on the other party
multiplies. The challenge is to convince members of the coalition that there is
more common ground among the members of the coalition. It develops stronger
bond and the group becomes a powerful force.

6.4.3 The Nine Trap Tactics

This is the category with the largest number of tactics where one puts pressure
on oneself instead of the other party doing it. Many a time, our own impatience
puts us into a trap. Here are nine lures that one should recognize and avoid.
Simplicity
Simple solutions to complex problems have a direct appeal to everyone. But
behind this choice, there may be a desire to avoid effort and uncertainty due to
which one prefers simple solution. One should learn to resist simplicity unless it
is really to one’s advantage.
Contrast
Suppose our opponent starts the proceedings by asking for an 80% increase. We
reject it outright and he reacts by offering “very generously” a demand half of
the previous. However, this 40% would still be about two times our affordable
limits. It is not wise to take decision on the basis of contrast between the first
and second positions, which seems very generous and tempts one to accept the
offer. Exorbitant contrast may lure you.
Untrue
The opposition may present incorrect data either due to ignorance or deliberately
to mislead us. In either case, we need to be alert so that we can easily distinguish
between the two data and identify any misinformation.
Hidden Strings
At times, we may realize that to an agreed earlier proposal, some hidden
expectations were bounded to it. We can counter it by asking questions before
agreeing so that ploys, if any, can be unearthed.
Slicing
We might have made a series of minor concessions only to eventually realize
that we have actually made a major concession. The key behaviour to avoid this
trap lies in summarizing so that we are in a better position to estimate on how
much ground we have yielded. It also signals to the other party that we are in
control of the situation.
Off-the-Record
All negotiations are a matter of record. The other party may, however, call us
over for dinner or otherwise informally contact us. The opponent may label this
as an “off-the-record” meet. We can use this to avoid an impasse in formal
negotiations. But in a more relaxed mood, we may find ourselves offering too
many clues. Hence, this tactic must be used with a lot of prudence.
Good Guy—Bad Guy
This tactic is widely used the world over. While one party puts us under
immense pressure, the other is friendly. So we tend to give too much information
about the “bad guy” to the “good guy”. This is a variation of the contrast effect.
During negotiations, we can either ignore or confront it. This tactic has more
impact on beginners than on veterans.
Final Offer
Once an agreement is made, we may still be uncertain if it really is their final
offer. We need to test the credibility of the data presented so that we can finally
decide for or against the offer and analyze in case it is a trap.
Last Minute Demand
Once an agreement has been reached and the formalities are over, the opponent
may claim that he has forgotten some points regarding the agreement. It may be
a trap too as we may make a major concession which has been termed as
“minor” by the other party because of our impatience to settle things.

6.5 GETTING AND KEEPING THE

PSYCHOLOGICAL ADVANTAGE
It is very important to seize the opportunity and achieve competitive advantage.
It can be achieved by gaining psychological advantage over the other party.
Some of the techniques are holding the negotiating session at one’s own
preferred place. This results in the opponent feeling that his voice might be
subdued at some point of time. Control over the agenda or the topics to be
discussed are during the process of discussion may give an edge over the
situation. Before starting the discussion, effort should be made to lower the
expectations of the other side. By letting the opponent do most of the talking,
one can listen carefully and analyze their intentions. This strengthens the case
more in one’s favour. Having all facts and information at hand shows one’s
interest in the issue and the extent of preparations beforehand. It helps one not to
fumble and get an upper hand to the opponents. Care need to be taken in
negotiation process where personal pride or anger can be an obstruction to even
the best possible agreement. Avoid forcing the other party into a corner,
especially on trivial matters. Patience and respect should be given for the
adversary to present his expectations and concessions before deciding on the
final agreement. This gives enough scope for getting the concessions and
reaching a better agreement.

6.6 METHODS TO COUNTER NEGOTIATING

TECHNIQUES
All negotiation experts advocate one basic rule with respect to the counter
negotiation tactics—“Don’t attempt to use all of them. All are not of equal
impact.” Some tactics are more useful and constructive than others. The different
tactics are explained below:
Flexibility
This is one of the most important characteristics of skilled negotiators. A
negotiator’s counter-tactics depends on his or her perception of the issue, the
capabilities of the other party and the current situation of the negotiation. The
negotiators should be able to adjust their needs depending on the prevailing
situation.
Learn to Anticipate
Anticipation should be prevalent in all stages of negotiation such as the nature of
the other party, issues that they will be coming up with and concessions to be
given.
Obtaining Information
It is done by active listening, questioning, formulating better strategy and by
being attentive to others’ responses. Questions should be asked to gain clarity on
the information gathered during the negotiation process in order to avoid
misinterpretations. Having a clear picture of the situation is important.
Avoiding Issues
Issues that might lead to dilemma of agreeing or disagreeing to a claim should be
avoided. It is also possible to divert the discussion into related areas without
making the diversionary process too obvious. Issues that are not effectively
discussed need to be postponed to a later date.
Taking a Hard Approach
Hard approach needs to be taken when the tactics adopted by the other party is
observed to be unconstructive and detrimental to the negotiation process. It is a
way to convey to the opponents that their tactic has been understood and the
negotiation is not in really good shape. In some cases, threatening may also be
used on some parties to bring the focus back on the business.

6.7 ISSUES IN NEGOTIATION

6.7.1 Negotiating with Difficult People
Research reveals that the role of personality in negotiation has no significant
direct effect on either the bargaining process or the negotiation outcomes. It
suggests that one should concentrate on the issues and the situational factors in
each bargaining episode and not on one’s opponent’s personality [13]. While
dealing with difficult people, one should know how to trade with them. There are
six types of difficult people one may come across while negotiating. They are
Sherman tanks, the super-agreeable, the know-it-all expert, bulldozer, complete
complainers, and exploders [24].
Experts believe that there is a difference between chronically difficult and
occasionally difficult people. Everyone at times becomes difficult to deal with.
But chronically difficult people, given power and authority, constantly make
others’ lives miserable. They think customer is not always right [25] whereas
“boss is always right.” Power and position brings to them divine infallibility, no
matter what the situation is. They frequently treat others like children and punish
them as such. While talking with them, it is necessary to respond to them as an
adult when they try to belittle.
The Sherman tank is a hostile-aggressive individual who tries to threaten, roll
over and destroy everything that is in his or her path. Such individuals use their
power to threaten others and make demands far beyond what’s fair. People who
do not like to deal with them, end up in lose-win deal. These people can be
handled by regularly meeting with them, allowing eye to eye contact, explaining
what is healthy business relationship, and making them to focus on the issue may
lead to better deal [26].
The Super-agreeable is the person who “kills you with kindness.” Such
persons avoid confrontation and conflict. They will never say whether the issue
is true or not. They will not do anything that might upset others. They do not
disappoint others and avoid telling the ‘bad’ news. They do not say “NO” to
anything directly. They are slow decision makers. Their greatest fear is
disappointing you. They drain greater energy than the hostile-aggressive person.
These type of people can be handled by listening to them and focusing on issues
as much as possible and not showing one’s emotional reactions.
The Bulldozer is a type of know-it-all expert. Such individuals bully others
into agreeing with their opinion. They consider others as inferior and love to
keep other people off-balance. They know that an individual’s most vulnerable
position is when he is challenged in a group meeting. Ironically, the bulldozer is
usually abusive to those whom he is most threatened by. While handling such
people, it is necessary to ask insightful questions and deal with them with proper
logical analysis that is separating the individual from the problem. If despite this,
the bulldozer sticks to his idea, it will prove that he is know-it-all expert to other
negotiators. It puts a question mark on his credibility as a negotiator.
The Balloon is another category of know-it-all expert. These are pseudo
experts who seem to know everything about everything. They are very confident
people. Irrespective of whether they know the issue or not, they talk confidently.
Balloons are different from the bulldozers in the sense that they are not
malicious but honestly believe that they are experts. To cope with them it is
necessary to carefully listen to the balloons and filter fact from fiction. Often
they base their conclusions on incomplete or inaccurate data. It needs to be told
that their view is not authentic. Once the balloons realize this, they quickly try to
save their face by agreeing with other person while citing verifiable sources like
business journals to prove themselves as experts.
The Exploder is one who attacks those whom he feels are inferior and need to
be “taught a lesson”. Such individuals burst their intense anger. However, their
anger is short lived and they quickly start acting reasonable again. To cope with
them, it is necessary to wait till they have finished exploding by giving them
some time to compose themselves. Later on one can discuss issues with them on
a mature level.
The complete complainers are the people who are never happy and seem to
complain about anything and everything. They have great skill in noticing
problems backed by problem-solving skills, which remain virtually unused.
They should be allowed to give their opinion and their energy should be directed
towards arriving at solutions.

6.7.2 Gender Differences in Negotiation

Popular stereotype held by many is that women are more cooperative and
pleasant in negotiations than their male counterparts. The evidence does not
support this belief. Men have been found to negotiate better outcomes than
women in most cases, although the difference is quite small [13]. The belief that
women are “nicer” than men in negotiations is probably due to the gender bias
and the lack of power positions typically held by women in most large
organizations. The evidence suggests that women’s attitudes towards negotiation
and towards themselves as negotiators appear to be quite different from that of
men’s. Managerial women demonstrate less confidence in anticipation of
negotiating and are less satisfied with their performance after the process is
complete, even when their performance and the outcomes they achieve are
similar to those for men [13].

6.7.3 Cultural Factors in Negotiation

Negotiating styles clearly vary across national cultures [26]. The North
American approach is to persuade by relying on facts and appealing to logic.
They counter opponent’s arguments with objective facts. They make small
concessions early in the negotiation to establish a relationship and usually
reciprocate opponent’s concessions. North Americans treat deadlines as very
important [27]. The Arabs try to persuade by appealing to emotion. They counter
opponent’s arguments with subjective dealings. They make concessions
throughout the bargaining process and almost always reciprocate opponents’
concessions. Arabs approach deadlines very casually [27]. Russians make few
concessions. Any concession offered by an opponent is viewed as a weakness
and almost never reciprocated. They tend to ignore deadlines [27]. The Chinese
style reflects a pragmatic need to avoid. They draw out negotiation because they
believe that negotiation never ends. Wherever there is a possibility of taking the
responsibility of decision-making they often avoid it. To negotiate, to build
relationship and commit to work together rather than tie up every loose end is
the Chinese way of life [28]. Australian approach is robust, but open. It is a very
polished variety, tough and ‘no-nonsense’. It is overtly more aggressive and
rough [16].
The Indian approach is sometimes viewed as constant haggling, an approach
that the skilled negotiator might applaud, for everything, however unlikely, is
seen as negotiable. Claims are also often seen by others to be exorbitant, backed
by little of what Westerners see as logic. It is important to keep every record of
what has been agreed on when you meet this style, and to build first on the
desire of the other party to conclude a deal. This will be helped by building up
mutual respect and trust with considerable volume of tolerance and
understanding. Experience shows that negotiator of this type may often be
prudent enough to allow talking in the bidding phase, while maintaining a frosty
silence, at least initially. This can be a good tactic for reducing the more
unreasonable demands you might encounter [16].
The British approach to negotiating has often been characterized as
enthusiastic, friendly and honest. It is a style that is often commented upon by
other nationalities as easy to get along with, flexible, and likely to be responsive
to the other side’s proposals. However, there has been criticism that this style can
also be over-confident, under-prepared and naïve, reflecting the more typical
characteristics of beginner [16]. The German approach is well planned and
advances very systematically. The negotiators are found to be less flexible and
have greater reluctance to compromise. It leads to deadlock or with end result
sometimes being lose-lose. The French like conflict is another example of
cultural factor conflict negotiation. They are seen as possessing greater flair and
intellectual fortitude. As a result, the French tend to take a long-time in
negotiating agreements and they are not overly concerned about whether their
opponents like or dislike them [29]. The Italian approach is seen as being strong
in terms of using emotions, gestures and generally resenting a case, but not so
well at listening to the other side. The Hispanic approach may contain elements
of Italian or American method. The reputation of procrastination may be
justified. It is used as tactical advantage. This style can be very pragmatic at
exploration stage. The Nordic approach is characterized as being courteous,
polite, quiet and helpful. In general, a climate, which is open and helpful, is
preferred, where each side is encouraged to search for fresh angles on a problem
and to propose innovative solutions [16].

SUMMARY
Negotiation is one of the best ways to handle conflict. It is a lengthy and cumbersome process
that can take days or months. However, these negotiations can be of day-to-day issues, or
commercial contracts or legal process. There are four different types of negotiations. They are:
distributive, integrative, attitudinal structuring and intra organizational. Depending upon the
situation and time, the way the negotiations are to be conducted differs. Negotiation process can
be described in sequential way. They are: preparation phase (information gathering); developing
and selecting strategy (setting the ground rules); opening moves (exploring and proposing the
matter); bargaining and problem solving; and closure and implementation of the negotiation
process. It is influenced by position, power and decision ability of both the parties. For a
negotiation to be termed as successful, it has to meet with certain criteria like knowing one’s
BATNA, building relationship, communicating effectively, and committing to result. Our opponents
can sometimes use certain tactics to get better control over the negotiation outcome. There are 4
control tactics to limit our freedom of action, 7 pressure tactics to push into making concessions
and
9 trap tactics to tempt or entice us to into making concessions. Many a time, our own impatience
puts us into a trap. Discussed in this chapter are nine lures that one should recognize and avoid.
Understanding one’s opponent’s psychological temperaments while negotiating gives a
competitive advantage. It needs to be captured and controlled by holding meeting on your turf or
through competiting agenda. On the other hand, one should guard against one’s own expressions
like avoiding sudden emotional outburst, using harsh words, non-responsiveness, etc. The impact
of culture and gender on negotiation and mediation poses challenges and opportunities for
professionals as well. Negotiating with different persons from different gender and culture should
be properly evaluated before the negotiation takes place.

QUESTIONS
1. Define negotiation. What are the possible strategies for handling fall-out
negotiation?
2. Pre-negotiation process is a difficult stage, why? Carefully explain
problem-solving process through bargaining and bidding.
 3. What is the best way to handle negotiation when one party does not agree
to negotiate?
4. Distrust is a vital parameter to measure conflict handling. Explain and
give your reasons, taking into account the psychological advantage.
5. Critically examine the role of gender and culture in conflict negotiation.
Do you agree that they are crucial bottlenecks?

REFERENCES
[1] Cohen, S., 2002, Negotiating Skills for Managers , Tata McGraw-Hill,
New Delhi.
[2] Lewicki, R.J. and A. Litterer, 1985, Homewood, IL: Irwin, pp. 102–6.
[3] Lewicki, R.J., S.E. Weiss and D. Lewin, 1992, “Models of conflict, negotiation and third party
intervention,” Journal of Organizational Behavior , 13 (3), pp. 209–52.
[4] Lewicki, R., D.M. Saunders and J.W. Minton, 1999, Negotiation , 3rd ed., Boston: Irwin/McGraw-Hill,
1.
[5] Lewicki, R., D. Saunders, J. Minton and B. Barry, 2003, Negotiation: Reading, exercises, and cases,
4th ed., McGraw Hill, NewYork.
[6] Polzer, J.T., 1998, Negotiation Tactics , in C.L. Cooper and C. Argyris (Eds.), The Concise Blackwell
Encyclopedia of Management , Oxford, England: Blackwell, 429; Walton, R.E. and McKersie, R.B., A
Behavioral Theory of Labor Negotiations , McGraw Hill, New York, 1965.
[7] Appelbaum, S.H., C. Abdallah and B.T. Shapiro, 1999, “The self directed team: A conflict resolution
analysis,” Team Performance Management ,
5 (2), pp. 60–77.
[8] McShane, S.L., and M.A. Van Glown, 2005, Organizational Behavior , 3rd ed., Tata McGraw-Hill,
New Delhi.
[9] Brett, J.M., D.L. Shapiro and A.L. Lytle, 1998, “Breaking the bonds of reciprocity in negotiations,”
Academy of Management Journal , 4d1,
pp. 410–424.
[10] Anderson, T., 1992, “Step into my parlor: A survey of strategies and techniques for effective
negotiations,” Business Horizons , May–June,
pp. 71–76.
[11] Spangler, B., 2003, www. conflict magt\Best Alternative to a Negotiated Agreement (BATNA).htm
[12] Fisher, R. and W. Ury, 1981, Getting to Yes , Houghton-Mifflin, New York.
[13] Robbins, S., 2003, Organizational Behavior , 10th ed., Pearson Education, New Delhi.
[14] Hellrigel, D., J.W. Slocum, Jr. and R.W. Woodman, 2001, Organizational Behavior , 9th ed., South-
Western, Thomson Learning.
[15] Roger Fisher and William Ury. op.cit., 108.
[16] Thorn, J.G., 2004, How to Negotiate Better Deals , Jaico Publishing House, Mumbai.
[17] Lewicki & Litterer, Negotiation , pp. 89–93.
[18] Mayfield, J., M., Mayfield, D. Martin and Herbig, P., 1998, “How location impacts international
business negotiations,” Review of Business , 19 (December), pp. 21–24.
[19] Bazerman, J.R., Curhan D.A. Moore and K.L. Valley, 2000, “Negotiation,” Annual Review of
Psychology , 51 , pp. 76–79.
[20] Lewicki and Litterer, 1989, Negotiation , pp. 146–51B. Kniveton, The Psychology of Bargaining
(Aldershot), UK: Avebury, pp. 76–79.
[21] De Dreu, C.K.W., 2003, “Time pressure and closing of the mind in negotiation,” Organizational
Behavior and Human Decision Processes , 91, July, pp. 280–95.
[22] Downie, B.M., 1991, “When negotiations fail: Causes of breakdown and tactics for breaking the
stalemate,” Negotiation Journal , April, pp. 175–86.
[23] Rogers, 1993, http://www.anu.edu.au/people/Roger.Clarke/SOS/FundasNeg.html.
[24] Bramson, R.M., 1981, Coping with Difficult People , Anchor Press, Garden City, New York.
[25] Anastasi, T., 2000, How to Negotiate With Different Types of Personalities , Jaico Publishing House,
New Delhi.
[26] Adler, N.J., 2002, International Dimensions of Organizational Behavior ,
4th ed., Cincinnati, OH Southwestern, pp. 208–56.
[27] Glenn, E.S., D. Witmeyer and K.A. Stevenson, 1977, “Cultural Styles of Persuasion,” Journal of
Intercultural Relations , Fall, pp. 52–66.
[28] Lubman, S., 1993, “Round and round,” The Wall Street Journal, December 10, p. R3.
[29] Schmidt, K.D., 1987, Doing business in france, Menlo Park, CA: SRI International.
 Chapter 7
THIRD PARTY CONFLICT
RESOLUTION
LEARNING OBJECTIVES
• Know how and when to opt for
mediation.
• Understand arbitration method of
conflict resolution.
• Explain Alternative Dispute Resolution
procedure.
• Handle Managerial Dispute Resolution.
Third party resolution of conflict is an attempt by a relatively neutral person to
help the parties resolve their differences. There are various types of third party
conflict resolution. Three, namely, arbitration, inquisition and mediation, are the
core type. The rest include fact-finding and alternative dispute resolution. Each
of these types of third-party intervention solves disputes in specific ways. An
arbitrator is a neutral third party who after hearing from both the sides about
the dispute determines a final, binding outcome. In the case of inquisition ,
inquisitors control all discussion about the conflict. The inquisitor chooses which
information to examine and how to examine it, and generally decides how the
conflict resolution process will be handled. He has high control over decisions
like arbitration [1]. Mediation process involves a neutral third party that
encourages interaction between the disputants but has no authority to force a
solution upon them. In fact-finding , a neutral third party determines a
reasonable solution to the dispute based upon the evidence presented by the
parties, As in mediation, the parties are not bound to follow the
recommendations of the fact finder.

7.1 MEDIATION
Mediation is a form of negotiation. As a neutral third party, mediator
encourages interaction between the disputants. It has no decision-making power
but has high control over the intervention process. The main purpose of the
mediators is to manage the process and context of interaction between the
disputing parties. However, the parties make the final decision about how to
resolve their differences[1].

Mediator’s key objective is to get the conflicting parties to look at the

problems objectively, instead of playing any blame game. It helps parties in
accepting one another’s viewpoint as valid (without necessarily agreeing) and
tries to make one party to understand others viewpoints. The purpose is to try
and find common ground. It requires sincerity rather than superficial compliance
to solve the dispute. The goal of mediation is to find ways of communicating
with mutual trust and a genuine desire to set an example for others [2]. The role
of the mediator is to create an environment conducive to reaching an agreement
by the disputants [3]. He is not an advocate for any particular form of settlement,
only that a settlement is reached and agreed to by all partie [4].
 Mediation process focuses not only on the differences that contribute to the
disputes, but also on the common ground inherent between the disputing parties.
In fact, effective mediation process recognizes the common interest of the parties
to resolve the dispute. It fosters an understanding of the varying points of view
to the disputes by all parties. Parties trust the leadership of the mediator. The
result is a resolution to the conflict that is based on common good rather than
winners and losers [5].
Basic features of mediation process are as follow:

1. Parties agree to mediate.

2. Mediator is selected.
3. Mediation session is scheduled.
4. Mediation session is conducted.
5. If parties agree to settle, then case is closed.
6. If parties disagree and deadlock is reached then arbitration process
follows.

The mediation session can be described in the following manner [6]:

Mediator’s opening statement The mediator’s opening statement is used

to build rapport with the disputants so that the later discussion will be
open and candid [3]. The opening statement begins with the introduction
of the parties involved in the process for mediation including mediator.
Mediator then commends the disputants that they agreed to meet [7] and
states the goals for the mediation that is for the parties to find a solution
that will be fair and workable in the long run, and explains the very high
success rate in reaching an agreement when the parties work together in
good faith [8]. Mediator then explains the simple terms, the rule and
procedures of mediation [9].
Disputants’ opening statements The mediator job is to help disputants tell
their story. Besides asking clarifying questions, the mediators should echo
comments and summarize statements in order to fully understand what
was said and to allow the parties to correct misstatements [6]. These
opening statements allow parties to listen for “wants vs. needs”. As a
result common purpose is developed further [9].
Discussion stage This stage begins with direct exchange between parties.
The factual information shared may be helpful in narrowing areas of
conflict [3]. The mediator can also help the parties to “reframe” the
issues. Reframing refers to redefining an image of reality. The parties
must discover a mutually acceptable definition of the issue that will allow
them to co-operate [10]. While the mediator attempts to reduce the
number of dispute issues, at the same time an attempt is made to broaden
these issues by probing for underlying areas of conflict [9].
Caucus After some period of joint negotiations, the discussions often bog
down. Parties begin to restate their positions repeatedly and all proposed
solutions are rejected. At this point the mediator must gain a better
understanding of the impasse and provide the parties with an atmosphere
that is conducive to exploring new ideas without the threat of their
immediate rejection. The environment should be such that it is possible to
put forth solution without having to make an immediate decision about
adopting them. The mediator calls for a caucus [11].
Caucusing is a common tactic used by the mediator. Caucus is a private
meeting between the mediator and the parties. The purpose of the caucus
is to obtain information and insights that the mediator believes cannot be
acquired through joint negotiation [11]. In the private meeting the
mediator will explore areas of compromise. The mediation is looking for
position shifts and other options for solutions [3]. For caucus to work
effectively, the parties need to view the mediator as their advocate from
the other side.
Reaching agreement If the mediator has done his job properly, the final
rounds of joint negotiation will have a collaborative rather than a
competitive tone. The parties will understand the issues, which have been
reduced in scope and number during mediation process. They will work
in good faith to reach a resolution to the conflict that is acceptable and
 workable [9]. The mediator’s job at this stage is to keep the parties
focused on the real issues and to facilitate the changing negotiation [6].

Pride Model for Mediation

Tricks used in Mediation–Bagshaw developed the PRIDE model for
mediation [2] are as follows.
Pause Before launching into a verbal tirade, consider what your motives
are. Try to see the other person as a potential ally. If you just want the
other person to feel bad, this will only lead to defensiveness and deepen
the conflict.
Report Say specifically what is happening. Be as objective as possible.
Avoid generalizations such as “You always …” Avoid guessing at the
other’s motives, or accusing them of bad faith. Describe their behaviour.
Impact Describe the effects of their behaviour on you (“I feel … when
you …”).
Different Describe what you want to be different. Make sure your request
is reasonable, i.e. within the power of the other person to meet.
End benefit Spell out the positive consequences/benefits of the change
you request.

The strength of the mediation process is in its focus on the agreements between
parties rather than just their differences. It has its foundation in the willingness
of the parties to reach settlement. It promotes the search for common ground
within the issues focusing on the basic human needs inherent in the dispute. It is
build upon the trust the other parties have developed in the mediators.
Hammering out the final details of the agreement can be fairly easy or
problematic, depending on the degree of differences that still exist. Each and
every mediation does not conclude with the settlement. The hope, however, is
that disputants are in a better position to resolve their differences after the
mediation than they were before it [6].

7.2 ARBITRATION
An arbitrator is a neutral third party and is chosen by the concerned parties. His
task is to listen to the cause of the problem. The Chartered Institute of
Arbitrators describes arbitration as a procedure for the settlement of disputes,
under which the parties agree to be bound by the decision of an arbitrator whose
decision is, in general, final and legally binding on both parties . It adds that: As
a dispute resolution procedure, arbitration is the only means of dispute
resolution, which is an alternative to litigation because an arbitrator’s award is
final, binding and enforceable summarily in the Courts [12]. The Royal
Institution of Chartered Surveyors RICS [13] in its advice on dispute resolution
gives the following explanations: Arbitration is a procedure whereby two parties
in a dispute agree to be bound by the decision of a third party acting as an
arbitrator. It involves independent expert determinations. It is a process whereby
the parties to a dispute agree to be bound by the decision of a third party that has
expert knowledge of the subject matter in dispute. Therefore, the arbitrator’s
decision is final and binding upon both the partners but he has low control over
the processes of interaction between the disputing partners ulike mediation.

Executives engage in this strategy by following previously agreed upon rules

of due process, listening to arguments from the disputing employees and making
a binding decision. Unionized employees apply arbitration as the final stage of
grievances, but it is also becoming more common in non-union conflicts [1]. The
vast majority of unsettled stockbroker/customer disputes are resolved through
arbitration. The use of arbitration as a means of alternative dispute resolution is
generally viewed as an efficient manner of resolving the dispute before an
impartial panel of arbitrators. As an alternative to the courts, arbitration has been
considered preferable as a quicker and less expensive means of resolving
problems. Since arbitration has less formal rules of procedure and evidence, it is
designed to avoid getting bogged down in procedural or technical problems so as
to be able to focus on the facts and issuesin dispute [14].
 Arbitration is preferred if the parties to a dispute cannot reach an agreement
with mediation process (within 10 days or longer, if agreed), or if the mediator
determines that it is not useful to continue, mediation is terminated and the
parties move to arbitration. The disputing parties have to select an arbitrator
from among the available members of Dispute Resolution Committee. If they
fail to make a selection then an arbitrator is appointed. During arbitration, a
single arbitrator hears arguments, issues and awards, which she or he considers
just and reasonable. The award of an arbitrator is final and binding, subject only
to limited rights of appeal or review as prescribed by applicable law [15].
The basic features of arbitration process are as follows.

1. Selection/appointment of an arbitrator.
2. Both parties to submit (in written) the copies of documents, list of
documents, list of witness, anticipatory evidences, etc.
3. Analysis of the facts.
4. Fixing of date, location and time for hearing by arbitrator.
5. Hearing held and arbitrator deliberates.
6. Award written and served.

Managers, team leaders, executive, and co-workers regularly intervene in

disputes between employees and departments. Sometimes they adopt a mediator
role; other times they serve as arbitrators [1]. However, research suggests that
people in positions of authority usually adopt an inquisitional approach whereby
they dominate the intervention process as well as making a binding decision
[16]. The inquisitional approach to third party conflict resolution is usually the
least effective in organizational settings. Which third party intervention is most
appropriate in organizations depends on the situation.

7.3 ALTERNATIVE DISPUTE RESOLUTION

(ADR)
ADR is a third party dispute resolution process that includes a number of
processes like negotiation, conciliation and mediation followed by arbitration.
ADR combines third party dispute resolution in an orderly sequence. The
common denominator of all ADR methods is that they are faster, less formalistic,
cheaper and often less adversarial than a court trial.
“ADR typically begins with a meeting between the employee and employer to
clarify and negotiates their differences. If this fails, a mediator is brought in to
help the parties reach a mutually agreeable solution. If mediation fails, the
parties submit their case to an arbitrator. The arbitrator’s decision may be either
binding or voluntarily accepted by the employer” [1]. Ripeness is crucial for
ADR processes to work effectively. ADR is used in cases where conflicts seem
to become ready (some say “ripe”) for resolution. This is used when the conflict
reaches a hurting stalemate—a situation where it becomes clear that neither side
can win; yet, they are being substantially hurt by continuing the struggle [17]. It
is preferred to law suits and direct litigation because—ADR is generally faster
and less expensive. It involves direct participation by the disputants, rather than
being run by lawyers and judges. Its outcome gives more satisfaction to the
people concerned as well as their compliance [3]. ADR processes are based on
an integrative approach. It generates less escalation and ill-will between parties.
In fact, participating in an ADR process will often ultimately improve, rather
than worsen, the relationship between the disputing parties. [4]. There are also
some possible drawbacks and criticisms of pursuing alternatives to court-ased
adjudication.
7.4 MANAGERIAL DISPUTE RESOLUTION
Dispute resolution constitutes an important managerial responsibility and
activity, and has a crucial impact on the well being of the organization. Managers
often serve as third parties to a conflict resolution process. The process involves
intervening in disputes between their subordinates, and groups or departments
for which they are responsible [18]. Disputes can arise between subordinates
concerning job performance, property and personal rights, usurpation of
responsibility, company policy and discrimination [18].
Managers use different types of intervention strategies to solve the disputes.
The strategies can be described in terms of the degree of outcome control and the
degree of process control wielded by the third party (e.g. mediation being high
on process control but low on outcome control while an adversarial intervention
that is, litigation and arbitration are high on outcome control but low on process
control). The manager can intervene as judges (arbitrators), inquisitors,
mediators, avoiders, delegators or providers of impetus. It can be inquisitorial
intervention, providing impetus and adversarial intervention [16 & 19], acting as
advisor, investigator and restructurer [20], and procedural marshal [21].
Manager as judge exerts high degree of control over the outcome of the
conflict but not the process by which it is resolved. He can allow both sides to
present whatever facts, evidence or arguments they desire and then decide the
outcome of the conflict. He has the power to enforce that decision on the
disputants. Manager as inquisitor exerts high degrees of control over the
process as well as on the outcome of conflict resolution. He directs the
presentation of evidence, asks questions, acts as referees, and calls for evidence
not willingly offered. Manager as mediator exerts high degrees of control over
the process of conflict resolution, but not its outcome. A mediator may separate
the parties, interview them and bring them back together. As mediator, the
manager may separate the parties and ferry proposals back and forth between
them to help them forge their own solution. In other words, they act as avoiders,
delegators and the providers of impetus tactic. These roles have low degrees of
control over either the process or the outcome. As avoiders they prefer to find
ways to ignore the conflict or minimize its importance. As delegators they
recognize that the conflict exists, but try to return responsibility for its solution
to the disputants or get someone else to accept it. By providing impetus tactic
(also known as the kick-in-the-pants style) he delegates the conflict back to the
parties with a threat “Either you resolve this or the manager will resolve the
problem”. This is a solution that obviously nobody will like.
The intervention strategy options range from a very limited intervention to a
completely controlled intervention. It is critical for managers to select suitable
intervention strategy for solving the conflicts. If managed properly, it can
enhance organizational performance by challenging status quo, fostering
creativity and innovative problem-solving, promoting periodic evaluations of
unit goals and activities, and leading to improved organizational policies and
operations [22 & 23]. Elangovan proposed a decision-tree model for selecting an
intervention strategy that is contingent on situational factors such as importance
of dispute, time pressures, disputant maturity, etc. [24 & 25].
Proven studies showed that managers were found to use the inquisitorial style
most often followed by the judging and “providing impetus” styles. They
prefered to use strategies that controlled outcomes when (1) there were time
pressures, (2) the disputants were not likely to work together in the future, and
(3) the settlement had broad implications for the resolution of other disputes
[26]. While resolving disputes of third party, managers use certain criteria. They
include ensuring fairness towards disputants, getting at the facts, maximizing the
probability that the dispute will be resolved, reducing the probability of a similar
conflict arising in the future, and speeding up the resolution, etc. [27].
Sometimes they attach greater importance to certain criteria based on their
perception of the dispute [28 & 29] or their background, e.g. professional
training and experience [20].
While selecting the intervention strategy, the objective of intervention should
be on efficiency (quick solution of the problem); effectiveness (optimal solution
to be selected); satisfaction (of disputants regarding the outcome); and fairness
(outcome to be perceived as just by the disputants). If the focus is on quick
solution then managers should use inquisitorial style; in the case of optimal
solution, the managerial style choice is between inquisitor and judge. However,
if the solution is determined on the issues, then the inquisitorial style is more
appropriate. On the other hand, if a manager has little concern with controlling
the conflict-resolving process, then the strategic choice should probably be to act
like a judge [26].
Selection of intervention strategy depends on how the managers interpret and
understand the dispute. In this context, it is important to understand the role of
various cognitive biases and heuristics ,
e.g. framing effects, availability biases, and scripts and schemas, in managerial
third party intervention in disputes between subordinates [32].
Framing effects This refers to presentation of information concerning potential
outcomes in terms of gains or in terms of loss [31]. For example, suppose
dengue fever is spreading in northern India and it is expected to kill over 600
people. Now two plans for combating the disease exist. If plan A is adopted, 200
people will be saved. If plan B is adopted, the chances are one in three, all 600
people will be saved but two in three, no one will be saved. Which plan do you
choose? (Here, the plans are made in terms of gains). Now, consider the same
situation but where plans are made in terms of loss. If plan C is chosen, 400
people will definitely die; if plan D is chosen, the chances are, one in three, no
one will die, but two in three, all 600 will die. Which option is likely to be
chosen? It was observed that people choose plan A in the first example and plan
D in the second example [31]. Plan D is just another way of stating the outcomes
of plan B, and plan C is just another way of stating the outcomes of
plan A. Why do then people prefer plan A in the first example but plan D in the
second? Because in the first example the emphasis is on lives saved, while in the
second the emphasis is on lives lost. Two examples differ only on the basis of
the presentation of information about potential outcomes in terms of gains and
losses. Research indicates that most people are risk averse and they prefer
avoiding unnecessary risks. It makes them select options that are made on
potential gains (lives saved), that is, plan A. In contrast, those who are risk prone
prefer to take risks than accepting probable losses. As a result, most choose plan
D. Framing effect have been demonstrated in selection of intervention strategy
by managers in dispute resolution. The framing of outcomes effect refers to
decision makers’ tendency to be risk aversive in the domain of gains and risk
seeking in the domain of losses [32].
 Managers, when faced with unpleasant external threat, prefer to take full
control of the outcome [33]. If the options are framed as a choice between losses,
they prefer intervention strategies like inquisitorial or adversarial intervention
strategy [16]. When options are presented in terms of gains, they prefer that the
disputants are allowed to decide the outcome (e.g. mediation). A managerial
third party intervening in a dispute will be (a) risk-averse when the options are
presented as a choice between a certain gain and a higher but uncertain gain; (b)
risk-seeking when the options are presented as a choice between a certain loss
and a higher but uncertain loss. To overcome the framing effect it is likely that
intervening managers use high outcome control strategies such as inquisitorial or
adversarial intervention [16] rather than select strategies that allow the disputants
to decide the outcome (e.g. mediation).
Effects Due to Availability
Individuals often assess the frequency of a class or the probability of an event by
ease with which the event or occurrence can be brought to mind, i.e. the
availability of the event in their cognition [34]. This is one of the various biases
and heuristics that affect judgment under uncertainty. Reliance on availability, in
turn, leads to biases stemming from the retrievability of events, the ability to
imagine events or contingencies, and illusory correlation when making decisions
under uncertainty [34]. Retrievability of events refers to the ease with which
events or occurrences can be remembered and recalled from memory [34]. When
the events are readily available in the memory, they can be easily retrieved and
used. When the managerial third party is familiar with a certain intervention
strategy (e.g. mediation), he or she is more likely to use that strategy when
intervening in the dispute. The familiarity could be due to prior usage and
practice or repeated observation (vicarious learning). The familiarity enhances
the ease with which the third party can retrieve an intervention strategy and
therefore, positively affects the frequency of its usage. Similarly, the salience of
an intervention strategy can also lead to an increase in the use of that strategy.
For example, a manager who has just witnessed or read about the successful
mediation of a dispute in the media is more likely to use the same or a similar
strategy (mediation) when he/she has to intervene in a dispute. In other words,
salience enhances the retrievability of the intervention strategy in the cognition,
which, in turn, increases its chances of being used. The second factor that would
affect strategy selection in managerial third party intervention is illusory
correlation. Illusory correlation refers to the tendency to overestimate the
frequency of co-occurrence of two events or the strength of relationship between
them based on the ease with which the two events can be readily associated with
each other [34]. This tendency and the belief in the association exist even when
there is no scientific evidence or findings to associate the two events. If a
manager has been exposed to or had used a certain intervention strategy in the
past to intervene in a dispute, and the intervention was successful, then he/she
might assume a correlation between the intervention strategy and success of
intervention. This relationship could be illusory since the success of the
intervention might have been a function of other factors besides the intervention
strategy. But such an illusory correlation will prompt the manager
to use the same intervention strategy in the future. The probability of an
intervention strategy being selected by a managerial third
party will be directly related to the past degree of success associated with its use.
Scripts and Schemas
Individuals often hold implicit theories of events, persons and causality that
partially govern their daily decisions and actions. These implicit theories,
labelled scripts (event schemas) and person schemas, govern information
processing especially in familiar situations by setting in motion the appropriate
behaviours [35]. Once the individual has decided, based on his/her perception of
the stimuli from the situation, which script or schema to activate, the need for
conscious processing of information is reduced and replaced by automatic
processing of information. Although the use of these implicit theories facilitates
and quickens information processing and behavioural responses, they also
impede the processing of new or conflicting information since such information
is largely ignored while following the script or schema. If the intervening
manager has a certain script for handling disputes , then this script would be
activated and the intervention strategy stored in the script would be used. It is
possible that the manager has more than one dispute handling script in which
case the selection of an intervention strategy would depend on which script is
activated. The activation of any particular script thus depends on the stimuli
perceived by the intervening manager. Research findings by Sheppard and his
associates reveal that third parties tend to adopt certain frames (e.g. right-wrong
frame) to make sense of disputes which, in turn, influenced their intervention
strategy selection [36]. The managers might have schemas about the disputants,
which might prompt a certain intervention strategy to be used. For example, a
manager who perceives his subordinates as fitting the “immature prototype”
might use an autocratic intervention strategy (high on outcome and process
control). Depending on which schema is activated, the manager might choose a
certain intervention strategy to deal with the dispute. A manager’s attribution of
the underlying causes of a dispute would also influence how he/she intervenes in
the dispute. This is known as implicit theory of causality. For example, a
manager who always perceives the dispute to be caused by structural problems
(external to the disputants) might decide that the best way to resolve the dispute
would be to fix the structural problem [20] play the restructurer’s role, and
unilaterally decide on the outcome by implementing a change in the system
(high outcome-control intervention). On the other hand, if he attributes the
dispute to the interaction problems between the disputants then the manager may
try to improve the relationship between the two people by acting as a mediator
and letting the two disputants resolve the dispute on their own (high on process
control but low on outcome control). So, in effect the theories of attribution held
by the manager will significantly influence the selection of an intervention
strategy. The probability of an intervention strategy being selected by a
managerial third party will be directly related to the activation of his scripts,
schemas and attributions relevant to that strategy.
These biases and heuristics do not act in isolation; there are different
individual and situation-related variables that influence strategy selection and
settlement decisions. For example, the importance of the dispute and time
pressure [26] and supervisory experience [37] would influence selection of an
intervention strategy. It is perhaps more accurate to contend that these cognitive
biases and heuristics interact with other key variables do affect managerial third
party intervention.

SUMMARY
There are various types of third party conflict resolution. Four methods are described here. They
are mediation, arbitration, alternative dispute resolution and managerial dispute resolution.
Mediation is a third party conflict resolution process where the mediator encourages the
discussion between two conflicting parties. He creates an environment conducive to reaching an
agreement by the disputants. The mediator, however, has no control over the decision making.
Conducted by a mediator, the mediation process follows a set pattern. Arbitration is a third party
conflict resolution. It is also known as adversarial conflict resolution method and is an alternative
to litigation. The role of the arbitrator is to listen to both sides’ point of view and award the final
decision. The arbitrator’s decision is final and is binding and enforceable summarily in the courts.
Alternative Dispute Resolution (ADR) is a third party dispute resolution process that includes a
number of processes like negotiation, conciliation, mediation backed by arbitration. It is followed in
an orderly sequence. Managers often serve as third parties to a conflict resolution process. The
manager can intervene as judges (arbitrators), inquisitors, mediators, avoiders, delegators or
providers of impetus. It is critical for managers to select suitable intervention strategy for solving
the conflicts. The selection of intervention strategies are influenced by cognitive biases and
heuristics.

QUESTIONS
 1. Distinguish between mediation and negotiation. Discuss how mediation is
conducted.
2. “Arbitration is otherwise known as adversarial conflict resolution.”
Explain.
3. How does Alternative Dispute Resolution process differ from other
methods of conflict resolution? Discuss.
4. In managerial dispute resolution method, the selection of intervention
strategies are influenced by cognitive biases and heuristics. Critically
analyze this statement.

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New Haven, CT.
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 Chapter 8
CONFLICT RESOLUTION PROCESS
LEARNING OBJECTIVES
• Know about conflict history, its context and
parties involved in it.
Diagnose the causes of conflict.
• Understand the dynamics of conflict.
• Determine the consequences of conflict.
• Develop flow chart for conflict handling.
• Select the approach to conflict.
• Develop and implement the action plan.
• Understand one’s conflict handling styles.

Conflict has been in existence right since the inception of mankind. We see
conflicts occurring in every sphere of life, whether in offices, homes or streets. It
happens both knowingly as well as unknowingly. The occurrence of conflict in
an organization is inevitable. Best of efforts should be made to handle
dysfunctional conflict. The first step in resolving conflict is to analyze the
conflict itself, understand the root cause and then decide on how to handle it,
who would be most qualified to handle such conflict and at what point of time
should one handle it. Different leaders have different styles of handling conflict.
Opinion of experts varies and so does their methodology. In spite of the best
preventive efforts, conflict does arise. It is better to learn to cope positively with
conflict, and not to see it as an enemy to peace, but an opportunity for growth in
relationships. Conflict itself is a reoccurrence-propositioning situation that needs
to be fairly handled by experts. Whether it is an institution of learning or a
corporate body, the need of the hour is to give a distinctively, chalked out
guideline on how this problem could be tackled.
The nature and causes of conflict at each level needs to be assessed in order to
arrive at a probable solution for solving any kind of conflict. We suggest that
specific information gathering in each type of conflict throws lights on the
possible steps to be deplored to handle that kind of conflict. It is also necessary
to assess historical basis of the conflict as well as present occurrence and also
possible future fall-out of the conflict. In most establishments, the cost and the
level of conflicts within the organization may not be known in short time until it
has taken a toll on the organization’s financial set-up. Therefore, to tackle this
unpleasant situation, we need to develop flow chart in handling the conflicts.
Understanding conflict dynamics and analyzing the root causes of conflict is
the only possible way to deal with this problem. Of course, each conflict is
supposed to be handled in a special way with different mode. Evidence before us
shows that interpersonal and intra-personal conflicts though differently treated,
the source of such conflicts could be same. The mechanism of sorting and
resolving group and organizational level conflict can be tackled in similar ways
but resolving conflict permanently requires different applications. The main
purpose of this chapter is to provide some effective guideline to resolve conflict
in an effective way. It can be mentioned here that the procedure needs to be
modified depending on the situation, circumstances and the issues. Few steps
that are described are— developing conflict protocol, developing questionnaire
to assess the potential of conflict, finding the sources of conflict and analyzing
the causes as well as the consequences of conflict, analyzing conflict outcomes,
identifying the participants’ intentions and implementing resolution strategies.
These activities need to be presented in the format of document so that feedback
can be given.

8.1 QUESTIONNAIRE TO ASSESS POTENTIAL

CONFLICT
The important step in managing conflict is to understand the pervasiveness of
conflict. It helps in analyzing the nature and the type of conflict. It may need
interviewing the groups involved in a particular conflict situation.
Instructions for Conducting Questionnaire Technique
One way of conducting the interviews is to have one person ask the questions
and prompt the responses, while another takes down the notes. Tape recording
may substitute for note taking, or serve as a supplement, if the comfort level of
the interviewee allows this technique. In all cases, interviewers should review
the main issues to verify the accuracy of the notes, before moving on to the
analysis stage.
Questionnaire
1. What is the issue that has happened?
2. What are the behavioural symptoms relating to the issue/conflict?
(a) Disagreement
(b) Debate, arguments
(c) Competition
(d) Political manoeuvring
(e) Backstabbing, aggression, hostility and destruction
(f) Fear, jealousy, anger
(g) Anxiety and frustration
(h) Any other
3. Who are the people involved in the conflict?
(a) Is it confined to within the individual?
(b) Is it confined to two individuals?
(c) Is it confined to few employees?
(d) Does it involve a much larger number of people?
4. Where is the conflict in the system?
(a) At the leadership
(b) Individual
(c) Group/team, inter-group
(d) Organizational or organization-environment level
(e) Any other position
5. What is the type of conflict?
(a) Goal incompatibility
(b) Incompatibility of feelings
(c) Incompatibility of thought
(d) Difference of opinion relating to procedure to reach goal
6. When did the conflict arise and how long has it existed?
7. How often the symptoms (behavioural) occur?
(a) Frequently
(b) Rarely
8. Is the conflict real , accurate or exaggerated?
9. What is the issue involved in it?
(a) Goal/objective/target
(b) Way to solve the problem
(c) Personal disliking
(d) Other reason not related to work
 10. How intense are the behavioural symptoms?
(a) High—Disruptive, chaotic and uncooperative behaviour
(b) Low—Apathetic, stagnant and non-responsive
(c) Optimum—Enthusiastic, motivated, focused
(d) Normal—Finishing their duty as expected, no extra effort
11. Does it affect employee performance?
(a) Poor performance due to lack of innovation
(b) Poor performance due to highly tensed atmosphere
(c) Productive, self-critical and innovative
(d) Average performance
12. Is the conflict functional or dysfunctional conflict?
(a) Leads to constructive problem solving
(b) Improves the quality of decisions
(c) Stimulates involvement in the discussion
(d) Builds group cohesion
(e) Difficulties in communication between individuals
(f) Breaks personal and professional relationships
(g) Causes tension, anxiety and stress
(h) Any other
13. Do symptoms appear as a result of some action?
(a) Does an action or inaction trigger symptoms?
(b) Is the action or inaction inappropriate?
14. How important is it to solve the conflict?
15. What would happen if the conflict is not resolved?
16. Is it because of communication?
(a) Do symptoms result from employees receiving misinformation, or
(b) Failing to receive needed information necessary to meet performance
expectations?
17. Do symptoms appear as a result of a—
(a) Business process
(b) Administrative procedure
(c) Insufficient skills or abilities
(d) Conflicted values
The results of the interviews give insights into the nature of conflict,
viewpoints of the stakeholders, historical chain of events that have led to the
conflict, key issues relating to the conflict, basic interests and its pervasiveness.
8.2 CHECK LIST FOR SOURCES OF CONFLICT
Instructions for the Interviewer
Take time to formally gather information from those parties or people involved
in the conflict episode. Keep emotions calm and focus on the issues. It is
necessary to know what the involved parties want to see. After the interview is
over, prepare a detailed report on these findings.
Checklist of sources of conflict
(a) Communication process itself

Inadequate communication
Lack of precision
Lack of ambiguity
Lack of authenticity
Timeliness/poor timing
Contradictory messages
Distortion of information
Presumptive communication
Information overload
Selective reporting (where the reporter gives the recipient incorrect or
incomplete information)

(b) Personal/Individual factors causing communication problem

Background factors—cultural, educational differences

Abilities—listening, intellectual, judgmental, inferential
Need orientation—incompatibility, multiplicity of needs
Goal orientation—ambiguity of roles, approach-approach goal

(c) Psychological factors leading to communication problem

Personality—emotionality, self-concept, fear of punishment, rigidity and

flexibility
Perceptual—stereotypes, prejudice, halo effect, perceptual defence,
perceptual set

(d) Contextual/Organizational factor (poor policy administration leading to

communication failure)
 Lack of clarity of goals
Scarcity of resources
Task/role
Formalization of rules and procedures
Promotional opportunities

(e) Group processes that may lead to group communication failure

Cliques or factions among actors

Distrust among people
Estrangement (feelings of personal and social isolation)
Competition between individuals or groups
Negative stereotypes about the other group
Non action
Avoiding conflict
Law and order
Interference
Distorted perception and behavioural predisposition
Size of the group
Technological mediation
Anonymity and physical separation

(f) Conflict analysis at the organization level

What are the key sources of tension and underlying structural causes that could
lead to conflict?

Source of structural instability—economic inequality, bad governance

Lack of democracy
Scarcity of resources
Communication factors
Structural factors
Staff heterogeneity
Participation
Differentiation
Task interdependence
Organizational politics
Line-staff distinctions
 Reward system
Competition for limited resources
Power
Horizontal conflict
Vertical conflict
Change
Organizational—professional
Hybrid channel conflict
What is the institutional capacity to respond?

8.3 CONFLICT DYNAMICS ANALYSIS

(a) Analyzing actors & identifying critical factors (attitudes and behaviours,
desire, grievances, incompatible interests) This includes finding out the
major causes, and then searching for other contributing factors/sources to the
escalation of the conflict. Some of these factors are listed as follows.

Who are the key actors?

Which are the groups involved?
Who do they represent?
How are they organized?
What is their power base?
Are the groups capable of working together?
What are the historical relationships among the groups?
What are their interests?
What are their resources?
What is the role of men and women in this conflict situation?
What are their specific needs, interests and potential strengths?

(b ) Analyzing substance

How did the conflict arise?

How are the main and secondary issues described?
Can negative issues be reframed positively?
Are the issues negotiable?
Are there common interests?
What information is available and what other information is needed?
 What values or interests are challenged?

(c) Linking actors and their interests in order to define ongoing and/or potential
conflicts

Do actors have incompatible interests?

Find out the link between actors and interests to clearly define the
common ground on which actors have compatible interests.
Analyze the actors’ positions and assess their incompatible interests based
on greed and grievances.
Understand the actors’ expectations and assess possible expectation gaps.
Know the fear and insecurity as a driving force of different actors.

(d) Analyzing conflict dynamics (Identify accelerating or triggering factors)

Which events, actions or decisions can be identified as trigger factors (or

potential trigger factors)?
What consequences will these factors have or they have had on structural
causes and key actors?

(e) Determine the main mechanism driving conflict: structural instability,

struggle for power and influence or a security dilemma What is/are the main
mechanism(s) driving the conflict?

Structural instability
Struggle for power and influence
Security dilemma
A combination of the above

8.4 SUMMARY OF CONFLICT ANALYSIS

A summary analysis of the causes of conflict needs to be mapped out on the
basis of its source. The major sources can be personal, psychological,
communication process, organizational, group process, cultural issues, decision-
making process, etc. For each source, there can be specific areas. For instance, in
personal variable, the specific areas can be background, need orientation,
abilities, goal orientation, and so on. For organizational source, it can be goal,
resource, rules and procedures, task, role, etc. Accordingly, summary table
should be prepared. It gives a clear idea of the source as well as the specific
problem area.
Identification of Causes of Conflict (Major Conflict Zone and the
Spread Zone)
Analysis to be made—

What factors could have influenced causatively the conflict source?

What are the likely consequences of the conflict source?

This networking analysis helps in identifying the conflict zone, basically the
latent and the manifest conflict and the spread zone.

8.5 ANALYSIS OF CONSEQUENCES

The analyzer has to find out the consequence of the conflict and its effect on
other sources of conflict areas. The causal and consequential analysis may be
carried out alternatively for each of the categories across all other
factors/categories to get an overall pattern that will facilitate understanding.
There are always things that connect people. Even in situations where the
conflict itself conceals these “connectors” (such as common languages, state,
religion, culture, social services, markets, trade, common workplaces or common
infrastructure). When such connectors exist, or at least did exist before the
conflict began, it throws some light on the possible ways to handle it.
Analyze patterns in the connectors

Are most connectors linked to recent developments? Or do they have a

historical base?
What are the patterns, common features and differences that are observed
in connectors?

8.6 UNDERSTANDING CONFLICT OUTCOMES

AND PARTICIPANTS’ INTENTIONS
Conflict may produce four distinct outcomes depending on the approaches
taken by the people involved (Thomson, 1991).

Lose-lose situation It depicts a situation in which a conflict deteriorates to

the point that both parties are worse off than they were before. For
 instance, an executive who dismisses the only person who knows very
well how to operate the most crucial machine essential for production.
Lose-win It is a situation where individual B wins and A is defeated.
Win-lose Here B loses to A. The situation is reverse of the lose-win
situation.
Win-win Such outcome is when both the parties perceive that they are in
better position than they were before. This is the preferred outcome and it
helps in the long-term relationship.

Understanding participants’ intention is very important. Depending on the

nature of the situation and how the participant perceives, as well as cost, the
participants forms what could be called ‘judgmental-conflict-outcome’. For
example, one may think that he can succeed only at the expense of the other. In
that case, the selection of strategy to solve the problem will be different
compared to the situation where the person’s intention is that both of them
should win.

8.7 SELECTION AND IMPLEMENTATION OF

CONFLICT RESOLUTION STRATEGIES
Understanding the intentions of the participants makes it easier for selecting
strategies. There are several alternative possible solutions to the problems from
which one has to choose the appropriate one. Alternatives strategies can be:

Avoiding
Smoothing
Forcing
Compromising
Collaborating

Selection of the strategies can be effective depending on the situation. The

avoiding and smoothing approaches are basically useful for managing the
conflict processes. These approaches help in controlling the degree of conflict
and reduce its harmful side effects but the source of the conflict still exists. In
compromising strategy, one can escape from the conflict situation with minimal
cost, whereas in forcing strategy it may achieve a short-term goal—often
harming the relationship between the parties concerned. Collaboration strategy
can truly help the resolution process because it focuses on creative problem-
solving and the conflict outcome is win-win relationships. It is better to resolve
the conflict collaboratively rather than adversarial. Apart from these strategies,
wide variety of options have been discussed in Chapters 4, 5, 6 and 7.
While selecting a strategy, few things should be worked out. They are listed as
follows.

What are the outcomes of each solution?

Narrow the solutions and come up with the top priority resolution.
What are the ways to implement the solutions?
Determine the best solutions for all involved.
Allow parties to examine the top resolutions.
Educate parties and get agreement to participate in the process.
Bring parties together and narrow the solution to a jointly agreed upon
and owned solution.
Get parties to commit to implement the resolution and set a specific date
to meet and review the resolution.

Focusing on the problems always help both sides. To make the process smooth
and easier, the following aspects need to be focused.

Consider all the gathered facts, feelings and opinions about the conflict.
List options to the problem, considering possible positive and negative
consequences of each.
List the options in the order of priority.
Depersonalize the options to avoid focus on the personalities of those
involved.
Develop a consensus for the option that most resolves the conflict, even if
it involves compromise.

8.8 REPORT WRITING AND FEEDBACK

A written report needs to be prepared documenting all the processes. This
report can be used as feedback. This can provide guidance for crafting the future
intervention process. Follow-up meeting is also required.

FLOW CHART/WORKING SHEET FOR

HANDLING CONFLICT
 SUMMARY
The chapter deals with how to handle conflict, which refers to conflict handling process, evaluation
and control. The main points covered in this chapter are as follows:
The conflict resolution process, which is judgmental and has analytical consequences to
approach of resolution strategies, is beginning to be viewed very seriously in organizations and on
individual level. The potential area of conflict is questioned and feedbacks are subjective to
handling styles. Through proper evaluation, strategies can be put in place to assess whether the
application of known techniques are in consonance with the model or skills used in handling
conflict.

QUESTIONS
1. Write a descriptive note of the nature and importance of conflict
resolution process.
2. How will a comprehensive conflict handling resolution process operate in
a large organization?
3. Major conflict zone and spread zone are identified as the main cause of
conflict. Do you agree with this statement? Analyze critically.
4. Discuss different types of techniques used for conflict resolution
handling.
5. How is power balance and continue engagement viewed as potential
action plan? Does it play part in conflict handling and if so, to what
extent? Discuss.
6. Develop a questionnaire to assess the sources of conflict in your
organization.
7. Propose a system to be adopted for selection and implementation of
conflict strategy.

ANNEXURE
KNOWING YOUR CONFLICT HANDLING STYLE
Assessing One’s Conflict Handling Styles
The conflict handling style of a person can be determined through this
questionnaire. Distribute 5 points between each pair of statements. The statement
that most accurately reflects your handling style receives 5 points and the other
statement gets 0 points.
1. … I am most comfortable letting others take responsibility for solving a
 problem.
…… Rather than negotiate differences, I stress those points for which
agreement is obvious.
2. … I pride myself in finding compromising solutions.
…… I examine all the issues involved in my disagreement.
3. … I usually persist in pursuing my side of an argument.
…… I prefer to soothe others feelings and preserve relationships.
4. … I pride myself in finding compromising solutions.
…… I usually sacrifice my wishes for the wishes of my peer.
5. … I seek a peer’s help in finding solutions.
…… I do whatever is necessary to avoid tension.
6. … As a rule, I avoid dealing with conflicts.
…… I defend my position and push my views.
7. … I postpone with the conflict until I have had some time to think it over.
…… I am willing to give up some points if others give up some too.
8. … I use my influence to have my views accepted.
…… I attempt to get all my concerns and issues to get in the open.
9. … I feel the most differences are not worthy worrying about .
…… I make a strong effort to get my way on the issues I care about.
10. … Occasionally I use my authority to get my views accepted.
…… I prefer compromise solutions to problems.
11. … I believe that a team can reach a solution better.
…… I often defer to wishes of others.
12. … I usually avoid taking positions that would create a controversy.
…… I’m willing to give a little if my peer also gives a little.
13. … I generally propose the middle ground as the solution.
…… I consistently press to sell my viewpoints.
14. … I prefer to hear everyone’s side of the story before making judgments.
…… I demonstrate the logic and benefits of my position.
15. … I would rather give in than argue about trivialities.
…… I avoid being “put on the spot”.
16. … I refuse to hurt a peer’s feelings.
…… I will defend my rights as a team member.
17. … I an usually firm in pursuing my point of view.
…… I’ll walk away from disagreements before someone gets hurt.
18. … If it makes peers happy, I will agree with them.
 ……… I believe that give and take is the best way to resolve any
disagreements.
19. … I prefer to have everyone involved in a conflict generate alternatives
together.
……… When the team is discussing a serious problem, I usually keep quite.
20. … I would rather openly resolve conflict than conceal differences.
……… I seek the way to balances gains and losses for equitable solutions.
21. … In problem solving, I am usually considerate of peer’s viewpoints.
…… I prefer a direct and objective discussion of any disagreement.
22. … I seek solutions that meet some of everyone’s need.
…… I will argue as long as necessary to get my position heard.
23. … I like to assess the problem and identify a mutually agreeable solution.
…… When people challenge my position, I simply ignore them.
24. … If peers feel strongly about a position, I simply ignore them.
…… I am willing to settle for a compromise solution.
25. … I am very persuasive when I have to be to win in a conflict situation.
…… I believe in saying “Kill your kindness with kindness”.
26. … I will bargain with peers in an effort to manage disagreements.
…… I listen attentively before expressing my views.
27. … I avoid taking controversial positions.
…… I’m willing to give up my position for the benefit of the group.
28. … I enjoy competitive situations and play “hard” to win.
…… Whenever possible, I seek knowledgeable peers to help resolve
disagreements.
29. … I will surrender some of my demands, but I have to get something in
return.
…… I don’t like to air differences and usually keep my concerns to myself.
30. … I generally avoid hurting my peers’ feelings.
…… When a peer and I disagree, I prefer to bring the issues out into the open
so we can discuss.

Scoring
Record your responses in the space provided next to each statement and sum
the point in each column.
Column Column
Column 1 Column 2 Column 3
4 5
 3. a 2. a 1. a 1. b 2. b
6. b 4. a 5. b 3. b 5. a
8. a 7. b 6. a 4. b 8. b
9. b 10. b 7. a 11. b 11. a
10. a 12. b 9. a 15. a 14. a
13. b 13. a 12. a 16. a 19. a
14. b 18. b 15. b 18. a 20. a
16. b 20. b 17. b 21. a 21. b
17. a 22. a 19. b 24. a 23. a
22. b 24. b 23. b 25. b 26. b
25. a 26. a 27. a 27. b 28. b
28. a 29. a 29. b 30. a 30. b
Total ------- Total ------- Total ------- Total ----- Total -----
----- ----- ----- ----- -----

INTERPRETATION
A total score of 36 to 45 for a style may indicate a strong preference and use of
the style. A total score of 18 to 36 for a style may indicate a moderate preference
and use of the style. A total score of 0 to 18 for a style may indicate a little
preference and use of the style
Column 1 (forcing)
Column 2 (compromising)
Column 3 (avoiding)
Column 4 (accommodating)
Column 5 (collaborating)
 Chapter 9
Developing Effective Interpersonal
Skills
LEARNING OBJECTIVES
• Develop assertive behaviour.
• Avoid perceptual biases.
• Understand self (Johari window).
• Know and analyze transactions on
interpersonal basis.

Interpersonal communication can be understood as the ability to relate to people

verbally or non-verbally. It can be subdivided into dyadic communication, public
communication and small-group communication. The types of interpersonal
communication vary
from verbal to non-verbal and from situation to situation. It is expressed not only
through words, but also through voice, gestures, postures, facial expressions,
with the help of which we constantly communicate with those around us. There
are many variables involved in interpersonal communication. The importance of
feedback cannot be ignored because effective interpersonal communication is
highly dependent on it. Besides feedback, other variables such as, trust
expectations, values, status and compatibility greatly influence the interpersonal
aspect of communication. It is observed that people perceive only what they
expect to perceive; the unexpected may not be perceived at all. These variables
can spell the difference between effective and ineffective communication. Not
only with words but also with the help of symbols one can express ideas.
Interpretation of symbols may vary depending on the awareness of the other
person. In other words, communication does not happen in isolation. When two
people are in communication with each other, their own experience, background,
personality, needs, desires, values, beliefs and attitudes form the psychological
context. The other contexts can be situational (where the specific situation that is
boss’s chamber, or classroom where the conversation is occurring),
environmental context (that is physical context such as location, temperature,
noise level and time of the day) and cultural context (i.e. all the learned
behaviours and rules in that particular culture where the person is born and
brought up will be reflected). We can say interpersonal communication is a
complicated process because it involves a number of variables. Due to
communication barrier, many a time interpersonal conflict occurs. It can be
handled by being assertive, knowing how others perceive us as well as
understanding our way of transacting with others. This will reduce the
communication gap and help in avoiding interpersonal conflict.

9.1 ASSERTIVE BEHAVIOUR AND CONFLICT

HANDLING
Mohit is 35-years old and has many years of teaching and research experience.
He is currently working as a project manager. He was appointed to his previous
job, working in a university, approximately two years ago. He was given a two-
year contract and was responsible for setting up and running a new course. He
was directly accountable to the head of the department (Mr. Sharma). In the
beginning, everything seemed to run smoothly, as Mohit was left to his own
decision regarding the course. Gradually, the picture began to change. In the
meetings attended by the departmental members, Mohit would be contradicted
by Mr. Sharma and his authority questioned. Mr. Sharma began to make his own
arrangements with teaching staff concerning their contribution to Mohit’s course.
These arrangements often did not match with the way the course was actually
organized. This led to disagreements between Mohit and other members of the
department. Allocation of resources was often delayed and certain information
essential for the smooth running of the course was withheld from. The frequency
of this behaviour increased, with Mohit frequently being ignored, blamed or
criticized during meetings in the presence of other members of the department.
Mohit also heard that Mr. Sharma described him as ‘useless’ to other members of
the department. Finally, Mr. Sharma began collecting draft minutes of meetings
from Mohit’s secretary and altering them without discussion with Mohit.
Although his position became increasingly untenable, Mohit felt unable to
address the situation because he was afraid that his two-year contract would not
be renewed. He tried to manage in spite of difficulties, attempting to remain
polite and courteous at all times. Finally, Mohit found his current assignment
untaneable and resigned from the job with one year of his two-year contract still
remaining. In this situation, what would have been the best way to handle the
situation?
In a situation like Mohit’s, it is wise to be assertive and to acknowledge one’s
personal power than to avoid or smoothening the situation. Many people have
difficulty speaking up in conflict situations. Others may feel intimidated by
‘pushy’ people, or have low self-esteem and regularly put aside their own desires
in favour of what others want. Lack of assertiveness makes one feel powerless.
While negotiating, if the manager feels inferior or is in awe of the other person’s
power there is every possibility that he will suppress his feelings and may give in
to the pressure of the other side. This is not a productive strategy.
Assertiveness is the process of expressing feelings, asking for legitimate
changes, and giving and receiving honest feedback [1]. It is “expressing personal
rights and feelings.” [2 & 3]. Assertiveness is the ability to express oneself and
one’s rights without violating the rights of others. For example, “She has the
right to make mistakes, but it is also her responsibility to correct them.” It is
appropriately direct, open and honest communication, which is self-enhancing
and expressive. For example, “I want her to know the effect her errors have on
other people.” Acting assertively will allow you to feel self-confident and will
generally gain you the respect of your peers and friends. It can increase your
chances for honest relationships, and help you to feel better about yourself and
your self-control in everyday situations. This, in turn, will improve your
decision-making ability and possibly your chances of getting what you really
want from life. An assertive individual is not afraid to request that another
person change an offensive behaviour and is not uncomfortable refusing
unreasonable requests from someone else [4].
Assertiveness is a multi-faceted, multi-dimensional element of behaviour that
has three characteristics: conveying appropriate
self-interest, maintaining integrity and upholding rights. Maintaining integrity
refers to the ability to say yes or saying within limit. It encompasses dealing with
others’ judgments, disapproval or hostility as it may arise. Upholding rights
refers to the rights as person, taxpayer, member of the group or consumer and the
like to voice one’s opinion, observation or concern without impeding the rights
of others. Assertive behaviour seeks goals through direct communication and
makes others feel comfortable about the situation as well as feel good about the
communicator. It can be described as being honest without being rude or hurtful.
It is about what you really want. It allows others to feel safe and get what they
want too
 By contrast, aggressive people exert their own right to have ideas and opinions
at the expense of the other person’s rights. In fact they behave as if the other
person’s rights don’t matter. They may humiliate others. For example, “I don’t
know how you’ve got the nerve to give me this sort of stuff for signing. It’s full
of mistakes.” They try to achieve their goals through fear, threat and hostility.
They also make the other person feel angry and resentful. Typical examples of
aggressive behaviour are fighting, accusing, threatening and generally stepping
on people without regard for their feelings. The advantage of this kind of
behaviour is that people do not push an aggressive person around. The
disadvantage is that people do not want to be around him or her. Unassertive
people unlike assertive people take too much account of the other person’s
rights, to the extent that they forego some or all of their rights to express ideas or
influence events. They elicit either pity or scorn from others. A person is
behaving passively when he lets others push him around, when he does not stand
up for himself, and when he does what he is told, regardless of how he feels
about it. The behaviour can be understood in the expressions such as, “I know
it’s, probably my fault in .... not writing very clearly, but is there, um .... any
chance at all you could find a spare minute to um .... just change one or two
small things on this letter for me?” The advantage of being passive is that such
people rarely experience direct rejection. The disadvantage is that they are taken
advantage of, and they store up a heavy burden or resentment and anger. Both
alternatives (aggressiveness & unassertiveness) to assertiveness typically are less
effective for achieving a desired goal.
Assertiveness in workplace means airing one’s views, speaking for oneself,
defending one’s turf, persuading others, speaking up at company meetings and
making one’s ideas known [5]. Whether you disagree with your boss regarding
your salary or with your
co-workers about who is going to get coffee, you need to present your position
and negotiate a compromise you all can live with. Being assertive gives other
person a chance to manoeuvre. For instance, “This may be uncomfortable for us
both, but we can handle it.” It provides model for effective responsiveness and
makes a person efficien.

Assertiveness training involves teaching people to develop effective ways of

dealing with a variety of anxiety-producing situations. It uses behavioural
techniques to teach one how to manage interpersonal situations better.
Assertiveness requires a change in attitude as well as in behaviour. The goal of
assertiveness training is to increase the number and variety of situations in which
assertive behaviour is possible, and decrease occasions of passive collapse or
hostile blow-up. The assertiveness can be described in stages as under:

Describe the behaviour objectively. What do you perceive to be the cause

of your stress?
State how it makes you feel. Express your feelings honestly. For example,
“I feel….” hurt, embarrassed, angry etc.—this must be what you feel [a
feeling], not what you think .
State how it affects your productivity and motivation. Be as specific and
clear as possible about what you want, think and feel. The following
statements project this preciseness: “I want to...”, “I don’t want you to...”,
“I have mixed reactions. I agree with these aspects for these reasons, but I
am disturbed about these aspects for these reasons.”
Be direct. Deliver your message to the person for whom it is intended.
The key to assertiveness is clear, open and honest discussion that does not
 blame, ridicule or put other people down. A way of saying things in an
assertive way is to use the following formula, I would like/Let’s/How can
you resolve this?……(talk to me about it, if you didn’t keep treating me
that way, I want to be supported in my decisions etc). What do you
think?/What do you see? For example, if you are at a party and your
friends are smoking, you may feel you have to smoke but you really don’t
want to. You have the right to say no to a cigarette without upsetting your
friends. You could say “I feel uncomfortable when you ask me to smoke
because I’m not into smoking. I’d like your support so please don’t offer
me any smokes thanks!”
“Own” your message. Acknowledge that your message comes from your
frame of reference, your conception of good vs bad or right vs wrong, and
your perceptions. You can acknowledge ownership with personalized
(“I”) statements such as “I don’t agree with you” (as compared to “You’re
wrong”) or “I’d like you to mow the lawn” (as compared to “You really
should mow the lawn, you know”). Suggesting that someone is wrong or
bad and should change for his or her own benefit when, in fact, it would
please you will only foster resentment and resistance rather than
understanding and cooperation.
Empathize with other’s position.
Offer alternative solutions to the problem.
Indicate consequences that will follow.

Assertive behaviour is generally most effective when it integrates a number of

verbal and nonverbal components [4]. Eye contact is a means of expressing
sincerity and self-confidence (in many cultures), while a straight, confident body
posture and direct body positioning may increase the impact of a message.
Appropriate gestures may be used, congruent facial expressions are essential,
and a strong but modulated voice tone and volume will be convincing. Perhaps
most important is the spontaneous and forceful expression of an honest reaction
which appears to be more effective.
Assertiveness helps to cope with put-downs, criticism and disagreements. In
the case of put-downs, you should remember that just because someone says
something you don’t have to believe it. You have to put a stop to the put-down as
soon as possible. If required, you may prefer to leave the situation. Usually
people react to criticism by avoiding it, taking it to heart or reacting aggressively
to it. Criticism can be helpful if it is specific, acknowledges positives and does
not stereotype or label people and is focused on a person’s behaviour rather than
an attack on the whole person. To cope with disagreement, one can negotiate—
listen, understand and ask for clarification. It means you have to be calm, take
time to react, and allow others to express their feelings. While analyzing other’s
criticism, it is necessary to stick to facts and compromise—if possible, try and
find a “win-win” solution.

9.2 PERCEPTION AND CONFLICT

Perception is the process by which we select, organize, and evaluate the stimuli
in our environment to make it meaningful for ourselves . It is a complex process
wherein an individual selects and assimilates the stimuli in the environment,
organizes the information cognitively and subjectively interprets the
information. There are certain internal as well as external factors that influence
our selection of the sensory stimulus. Internal factors are motives, values,
interest, attitudes, past experiences and expectations. The external factors that
influence stimulus selection are motion, intensity, size, novelty and salience of
the stimulus. While organizing the information cognitively, our thought process
automatically structures stimuli into patterns that make sense to the perceiver.
According to social cognition theory, we organize stimuli into schemas [3].
Schemas are mental maps of different concepts, events or types of stimuli that
contain both the attributes of the concept and the relationship among the
attributes. For example, schema of young people can be “young people are
energetic, enthusiastic, have no patience, and are not very much analytical.” Like
geographical maps, schemas are representations of reality, but not reality itself.
Everyone’s map is different. It leads to individual differences in perception. The
third step in perceptual process is the evaluation of inference. We interpret
stimuli in a subjective, rather than objective fashion. Our conclusions are biased
due to our individual attitudes, needs, experiences, expectations, goals, values
and physical condition at the time. Not only do interpretations differ from person
to person, but also the same individual can have diverse perceptions of the same
stimuli at different points in time. In organizations, no matter how carefully the
announcements are worded relating to any change, employees reach vastly
different conclusions leading to harmful rumours.
Perceptual Biases
Misperception occurs due to errors and distortions in perception. It gives rise to
conflict. For instance, consider two managers with completely different
impressions of an employee’s performance. One manager wants to promote the
employee while the other recommends firing. How do we end up with such
diverse and even contradictory impressions? It is primarily the individual
differences in perceptin.

It is necessary that managers should sharpen their perceptual skills so that their
perceptions of people, events and objects are as close to reality as possible. By
honing their perceptual skills and understanding the perceptual processes,
managers can enhance their effectiveness by becoming aware of the fact that
some of their actions are likely to be misperceived by others in the system [6].
There are several types of biases that lead to misperception. They are
stereotyping, halo effect, selective perception, central tendency, contrast effect,
attribution and cultural variations in making attributions, projection and self-
fulfilling prophecy. Stereotyping is the tendency to perceive an individual as
belonging to a single class or category, and as a consequence attributing
favourable or unfavourable characteristics to the person based on the widely held
generalization about the group to which the individual belongs. Stereotype can
be related to age, gender, nationality or disability. It adversely affects decisions
regarding recruitment, promotion, etc. In an interview, the interviewer might
stereotype applicants and allow personal biases to influence evaluations. Halo
effect refers to the general impression formed about an individual based on his
single characteristic. For instance, if an employee is intelligent, he may be seen
as sincere, hardworking, able, efficient, etc. Selective perception is the tendency
to single out those aspects of a person or situation that conform to our beliefs,
needs and values. In that respect, we can vividly say that production manager
might fail to perceive the needs of the sales department for more sales personnel
and concentrate only on how his own division could benefit from more staff in
case of tight organizational budget constraints. Central tendency is a perceptual
distortion that occurs when a person avoids extreme judgments and rates
everything as average. Managers, while rating the performance of subordinates,
may rate all employees in the range of 3-4 on a five point scale, in spite of the
fact that some employees really deserve a 5 or a 1.
Contrast effect is present when our evaluations are affected by comparisons
with other people we have recently had encounter with, who are either better or
worse in terms of this characteristic. For example, in an interview, allowing the
quality of the applicants who preceded the present applicant to influence the
ratings of the present applicant may not be justified. Projection refers to
reflecting or assigning one’s own personal attributes to others. Multinational
enterprises send very few female executives abroad on the grounds that woman
cannot be effective in traditional, male-dominated culture In reality, research has
shown that women, especially in the U.S. (including expatriates), have been
successful all over the world [7]. Perceptual defences are another source of
perceptual distortion where the defences act as filter and blocks all that we do
not want to see. It helps us to see what we wish to see. These defences help to
create self-fulfilling or circular perceptual processes. Consider, for instance, the
following defences.

1. As a student, I am not good at programming and will not do well in the

exam.
2. Since it is a difficult subject, I lose interest in attending classes and I do
not approach professors to help me out in this subject.
3. I do not have the opportunity to develop aptitude in that area.
4. My performance was poor in the test.
5. I confirmed that I did poorly because I was not good at computer
programming.

Let us consider another example,

1. As a manager, I believe that subordinates basically dislike work.

2. I assume that to get the work done by them, I must be vigilant about what
they are doing in office hours.
3. I behave very strictly with them and do not want to delegate any
responsibility rather tell them what to do.
4. My subordinates do not like my approach to work and behave like
rebellious children.
5. Now my original belief is confirmed that subordinates do not like to work
and so they get annoyed when I try to make them work.
 The manager started with an assumption, leading to a behaviour that is
congruent with the assumption, followed by observation of consequences,
leading to confirmation of the original belief [6].

9.3 UNDERSTANDING SELF: JOHARI WINDOW

Knowing and perceiving accurately helps in overcoming perceptual distortions.
One way to understand and see ourselves as we truly are, is by making the effort
to know ourselves—our strengths, weaknesses, where we need to improve in our
management of the people and situations. One of the best models to understand
ourselves is the Johari Window, a communications model invented by Joseph
Luft and Harry Ingham in the 60s. It describes the process of human interaction.
This model is made up of four different quadrants that together represent a
complete person in relation to others on the basis of awareness of behaviour,
feeling and motivation. This
4-quadrant matrix suggests that each of us is like a house with glass outside
walls and solid inside/internal walls (Figure 9.1).

FIGURE 9.1 J ohari window.

Open Self
The first pane, the Open area , contains things that I know about myself as well
as others know about me. People see me the way I see myself. In order words, I
feel confident and others see me confident. This area is that part of our conscious
self—our attitudes, behaviour, motivation, values, and way of life—of which we
are aware and which is known to others. It is like we are open books.
People, who have large, open area, are known as ‘open receptive persons’.
They are open about themselves and receptive to feedback. Because of the
openness, there is less chance that other members misinterpret or attach more
personal meanings to their behaviour. The level of trust increases between
individual/s and the group because of openness. They have a clear self-image
and enough confidence in who they are and how they are visible to others. The
more open one is in dealing with others, the fewer games one plays in
relationships. It reflects a high degree of trust in others or in any relationship.
Blind Self
The second pane, the Blind Spot , contains information that other people
perceive in me but that I do not see in myself. There are things about ourselves,
which we do not know, but others know about us and can see more clearly. The
behaviours that we imagine to be true of ourselves for a variety of reasons but
others do not see in us. For instance, others see that Manju’s anxiety reduces her
effectiveness but neither she is able to recognize it nor does she admit that she is
anxious while performing. A person who gets angry quickly might perceive
himself as a well balanced person. Blind self includes some of the mannerisms
or personality characteristics. Avoiding direct eye contact while talking is a good
example of blind expressiveness. While others learn the information from our
verbal cues, the person himself/herself finds it difficult to recognize.
People having a large blind area can be called as ‘blabbermouth’. They are the
people who talk a lot but do not listen too well. They participate primarily for
giving feedback but soliciting very little. In a group situation, such individuals
appear to be insensitive to the feedback they gets or pay no heed to what group
members tell them. They are preoccupied with themselves and don’t know when
to keep quiet. It may be that either he is a poor listener or he responds to
feedback in such a way that group members are reluctant to continue to give
their inputs. For the fact that the person concerned is not able to correct his
actions when he receives group feedback, renders him out of touch, evasive or
distorted. He may continue to behave ineffectively because of his one-way
communication. Employees get annoyed with such managers and actively or
passively act against them to shut them up.
Hidden Self
The Hidden Area , contains information that one knows about him/herself but
others do not know. This is the private side and only the individual concerned
knows about it but does not wish to share it with others. It may be due to the fear
that if others get to know about his feelings, perceptions and opinions about the
issue or group or other individuals in the group, they might reject, attack or hurt
him. As a consequence, the information is withheld. On the other hand, he may
keep certain information to himself so that he can manipulate or control others.
One’s own hidden area cannot be known to others unless he/she himself/herself
discloses it.
People having large hidden area are known as interviewer. They keep
information to themselves and always ask for information and give little
feedback or information. In a group situation, they participate in asking
questions like, “What do you think about this?” “How would you have acted if
you were in my shoes?” “How do you feel about what I just said?” “What is
your opinion of the group?” They do not commit themselves to the group,
making it difficult for others to know where they stand on issues. They may
eventually evoke reactions of irritation, distrust and withholding. When a
manager becomes ‘interviewer’ by nature, then employees tend to feel defensive
and feel resentful of the individual.
Unknown Self
The fourth and the Unknown quadrant contains things that neither the individual
himself nor other people know about him. The unknown self is mysterious. It
represents intra-personal dynamics, early childhood memories, latent
potentialities and unrecognized resources. The internal boundaries of this pane
change depending on the amount of feedback sought and received. Knowing all
about oneself is extremely unlikely, and the unknown extension in the model
represents the part of me that will always remain unknown (the unconscious in
Freudian terms). We are richer and more complex than what we and others
know, but from time to time something happens, from what is felt, read, heard,
dreamed that something from our unconscious is revealed. Then we “know”
what we have never “known” before.
The fourth window suggests a person who characteristically participates by
observing (Figure 9.2). If you are in this window, you do not know much about
yourself, nor does the group know much about you. You may be the silent
member in the group who neither gives nor asks for feedback. It is difficult to
know where you stand in the group as well as in the discussion. If your lack of
participation is questioned, you respond with, “I learn more by listening.” While
you may find it painful to participate actively, you will learn considerably more
than you would if you choose to participate passively. They are also known as a
“hermit” who lacks self-knowledge and understanding. The hermit’s behaviour
tends to be unpredictable and security oriented. Employees may feel insecure
because the leader’s feeling of insecurity gets reflected on them. It may make the
employees confused about the expectations of the manager.

FIGURE 9.2 The unknown self (Johari window).

The smaller size of the first quadrant “Open area” leads to poor
communication with others. It is, however, possible for us to heighten our
awareness by reducing the blind area. Obtaining feedback from several others as
to how they perceive us can eliminate it. This can be gathered from our
superiors, colleagues, subordinates and friends at our workplace and can enhance
our effectiveness. By removing our blinders we would know how others
perceive us as compared to how we would ideally like to be seen. By enlarging
the public area or open self and by narrowing the blind area through feedback,
we will be able to understand ourselves better. This, in turn, will help us to
perceive and understand others better. It is through asking (disclosure) and
telling (feedback) that our open pane is expanded. That helps us to gain access to
the potential within, represented by the unknown pane (Figure 9.3).
 FIGURE 9.3 Johari window (Improvement analysis).

One can reduce the size of the Hidden area by telling others about one’s
perceptions, feelings and opinions about things in others and oneself. This
feedback tells others exactly where you stand and they no longer need to guess
about the meaning of your actions. As you disclose more information about
yourself, you decrease the size of your hidden area. Mutual trust is required to
increase awareness.
The process of giving and receiving feedback moves new information from the
Unknown into the Open area. One gains insight and inspiration from these
experiences. It takes practice to give non-threatening feedback. One should also
develop sensitivity to other people’s needs and be able to put oneself in another
person’s shoes. Accepting of one’s own as well as other’s feedback is an
essential ingredient and more valuable to others in judging the unknown. The
Johari windowpanes are interdependent. Changing the size of one pane changes
the size of the corresponding panes also. For example, when one reduces the size
of the Blind area or Hidden area through giving and soliciting feedback one
increases the size of the Open area.

9.4 TRANSACTIONAL ANALYSIS AND

CONFLICT HANDLING
Transactional analysis (TA) is the method for studying interactions between
individuals. The analysis of social transaction between individuals provide better
understanding of how people relate to one another so that they can develop
improved communication and healthy human relationships. It is a model for
explaining why and how—people think like they do, act like they do, and
interact/communicate with others. The analysis was made by Eric Berne,
developed in the 1950s for use in psychotherapy [8]. This model can help us in
developing our interpersonal communication. The concept of Transactional
analysis focuses largely on ego states, transactions, life positions and strokes.
Ego States
People interact with each other in terms of three psychological positions or
behavioural patterns known as ego states . They are termed as Parent, Adult and
Child ego states (Figure 9.4). It expresses a person’s way of thinking, feeling and
behaving at any given time. These ego states have nothing to do with the
chronological age of the persons; rather they are related with the behavioural
aspects of age. A healthy person is able to move from one ego state to another.
They are based on real world behaviour.
 FIGURE 9.4 Different ego states.

Parent ego state This is a set of feelings, thinking and behaviour that we
have copied from our parents and other significant people during our
upbringing. For example, “Do as I do”. “Never talk to strangers” or
“Look both ways before you cross the street.” Thoughts, feelings,
attitudes, behavioural patterns based on messages or lessons learned from
parents and other ‘parental’ or authoritarian source form this set of
feelings and thoughts. It basically focuses on “should and should not”;
“ought and ought not” and “always and never” It is sometimes based on
prejudicial views (not based on logic or facts), on things such as religion,
tradition, work products, dress and money, raising children or companies.
The characteristics of a person acting with the parent ego include being
overprotective, distant, dogmatic, indispensable and upright. Physical and
verbal clues that someone is acting with the parent ego include the
wagging finger to show displeasure, reference to laws and rules, and
reliance on a way that was successful in the past. Parent ego state can be
nurturing or critical parent. Nurturing parent is caring, being sympathetic
and concerned while critical parent is critical and controlling, fault
finding, etc.
Adult ego state This relates to egoistic-oriented, objective, autonomous
data processing and probability estimation. It is based on reasoning,
seeking and providing information and is based on rationality. For
example, “I will be frank with you.” It tries to upgrade decisions by
seeking facts, processing data, estimating probabilities, and holding
factual discussions. Verbal and physical signs that include thoughtful
concentration and factual discussion can identify this ego state. When one
is in his adult ego state he is able to see people as they are, rather than
 how others project them. They ask for information rather than stay scared
and make assumptions. The process of adult ego state formation includes
the
‘best-from-the-past’ and using it appropriately in the present. It is an
integration of the positive aspects of both our
parent and child ego states. So this can be called the integrating adult.
Integrating means that we are constantly updating ourselves through our
every day experiences and using this to inform us.
Child ego state This is a set of behaviours, thoughts and feelings, which
are replayed from our own childhood. It can be characterized as creativity,
conformity, depression, anxiety, dependence, fear and hate. Examples of
child-like behaviours are impulsive, self-centred, fearful, angry, happy,
pleasure-seeking, rebellious, curious, eager to please, etc.

For instance, if your boss calls you to his or her office, you may probably get a
churning in your stomach and wonder what have you done wrong. An extension
of this explanation might include a student not being able to complete his
homework and being called to explain the reason to the teacher. Like an actual
child, the child ego state desires approval from others and prefers immediate
rewards. It can be identified by its emotional tone. For example, when an
employee says to his supervisor, “You are always pointing at me!.” As a grown-
up we still possess our child characteristics. We may not always display them,
but they are still within us. The natural child contains our natural friendliness,
our enthusiasm, our curiosity and creativity, but includes the risk of seeming
over-emotional and immature. The adapted child observed behaviours are being
polite and fit in well with others, including the danger of submissiveness,
rebelliousness or simply being withdrawn.
According to Berne, two people interact with each other from one of the three
psychological positions, known as ego states. It can be parent, adult, or child ego
states. A person can operate from any one of the three ego states. The
conversations between people are a mixture of the three states. Each ego state
has both positive and negative features. We can detect the ego state that is in
control at a given time by carefully observing the words used and also by the
person’s tone, posture, gestures and facial expression. Ego states are more
apparent in two persons but become more difficult to identify in in-group
conversations.
Transactions
When two people communicate, each may probably exchange what is known as
transaction. It is the fundamental unit of social interactions. Many of our
problems come from transactions which are unsuccessful. Knowing about
transactions helps in conflict resolution (Figure 9.5).

FIGURE 9.5 Pattern of transactions.

Such transactions can be overt or covert, and can be classified as

complementary, crossed-up or ulterior.
Complementary Transactions
A transaction is complementary when the stimulus and the response patterns
from one ego state to another are parallel (Figure 9.6). Thus the message by a
person gets the predicted response from other person. There can be nine
complementary transactions. These are adult-adult, parent-child, child-parent,
and so on. If the supervisor speaks to a subordinate as a parent to a child and the
subordinate responds as a child to the parent, the transaction is complementary
because both are acting in the perceived and expected ego states. In this
transaction, both persons are satisfied and communication is complete.

FIGURE 9.6 Complementary transactions.

(i) Adult-adult transaction (Figure 9.7) The manager in the adult ego state tries
to reason out issues, clarifies and informs employees of the issues, and is
concerned about facts and figures, and human needs. He acts in a rational
manner. Data is processed, decision is made, and both the parties together
work for the solutions. The elimination of child ego can make the
transactions dull due to lack of stimulation. In general, this is the best type of
transaction for organizational functioning. It looks into the kind of
transaction that is most likely to be effective in work situation like adult-to-
adult. This kind of transaction encourages problem-solving, treats people as
reasonable equals and reduces the probability of emotional conflict between
people.

FIGURE 9.7 Adult to adult transaction.

(ii) Adult-parent transaction In this transaction, while the manager attempts to

use the information he has processed, the employee in the parent ego state
prefers to use rules of the past (Figure 9.8). The employee tries to control
and dominate the manager by using the parent ego. This style may be helpful
temporarily but not in the long term. An employee in the parent ego state
may create hostile feelings towards manager with adult ego particularly in
the long run.
 FIGURE 9.8 Adult to parent transaction.

(iii) Adult-child transaction Manager can allow the employee in child ego state
to be creative. But problem arises when the employee acts irrationally
because of his child ego. It may result in a frustrating situation for the
manager (Figure 9.9).

FIGURE 9.9 Adult to child transaction.

(iv) Parent-parent transaction Here, the manager in the parent ego will be a
source of rewards, rules, criticism and praise. In this transaction, employee
can act as very good support to the manager. It may lead to unnecessary
competition between the manager and the employee because the latter will
promote his own ideas rather than those of the manager (Figure 9.10).
 FIGURE 9.10 Parent to parent transaction.

(v) Parent-adult transaction The manager may be frustrated because the

employee is not performing as directed
(Figure 9.11). At the same time, the employee may also feel frustration
because of the manager’s failures to act as an adult. Due to frustration, such
a relationship may not last long.

FIGURE 9.11 Parent to adult transaction.

(vi) Parent-child transaction This may be an ideal situation if the manager is

interacting with child under transaction of ‘parent ego’ and the employee is
acting in his ‘child ego’. The employee finds this transaction advantageous
in that it eliminates much responsibility and pressure (Figure 9.12). The
child prevents much conflict and provides for ease in operation. However,
this situation may not be advantageous in the long run.
 FIGURE 9.12 Parent to child transaction.

(vii) Child-parent transaction Manager with child ego may contribute very little
to the effectiveness of the management. This is true because creativity is
only one of the characteristics of child; the role of a manager goes beyond
this creativity (Figure 9.13). Here, the employee controls the manager in the
child ego.

FIGURE 9.13 Child to parent transaction.

(viii) Child-adult transaction Here, the adult employee will control the child
manager. The employee may be discouraged particularly when the manager
makes decisions on the basis of whims and fancies and emotions, which
pose problems to the employee who wants to interact on the basis of
rationality (Figure 9.14). Organization may lose good employees,
particularly those who act on rational basis.
 FIGURE 9.14 Child to adult transaction.

(ix) Child-child transaction The manager interacting in child-child egos is not

capable of leading his employee successfully and proves to be a liability for
the organization (Figure 9.15). This sort of transaction may not be lasting
because the organization will review performances. Both manager and
employee are acting on whims and fancy, consequently jeopardizing the
organizational performance.

FIGURE 9.15 Child to child transaction.

Non Complementary Transactions

Also called crossed transactions, (Figure 9.16) such transactions occur when the
stimulus and response lines are not parallel. For instance, a supervisor wants to
deal with the employee on Adult-to-Adult basis but the employee responds on a
Child-to-Parent basis. When crossed transactions occur, communication tends to
be blocked and a satisfactory outcome is not accomplished. Conflict naturally
follows.
 FIGURE 9.16 Non complementary transactions.

Ulterior Transaction
This type of transaction has double meaning (Figure 9.17). When an ulterior
message is sent, it is often disguised in a socially acceptable way. On the surface
level, the communication has a clear adult message, but it carries a hidden
message on the psychological level. One can never be sure of the meaning. The
social level is the socially acceptable stimulus. For example, consider this
statement: “Do you know what time it is?” The ulterior level can be either:
parent to child—“You stupid boy, you are late!” or child to parent—“Please
don’t be cross, I did my best to get it finished on time.” The meaning will be
made clear to the receiver by the use of non-verbal language clues. A wagging
finger, for example, along with a stern look will usually mean a parent to child
ulterior. The meaning of the communication will always be at the ulterior level.
Ulterior transactions like blocked transactions are undesirable.
The ulterior transaction is shown as a broken line in the transactional diagram
(Figure 9.17).

FIGURE 9.17 Ulterior transaction.

 Complementary transactions occur when both the individuals are at the same
level. For example in the case of parent talking to parent, both are often thinking
in the same way and communication is easy. Problems usually occur in Crossed
transactions, where the other person is at a different level. The parent is either
nurturing or controlling and often speaks to the child, who is either adaptive or
‘natural’ in his/her response. When both persons talk as parent to the other
person’s child ego, their wires get crossed and conflict results. The ideal line of
communication is the mature and rational Adult-Adult relationship.
Life Positions
The life position is an attitude about self and the world around self. It is largely
based on specific assumptions that are made early in life. It develops out of one’s
identity, sense of worth, and perceptions of other people. This tends to remain
with the person for the lifetime unless major experiences occur to change it.
Such positions are called life positions . Although one life position tends to
dominate a person’s transactions, other positions may be exhibited from time to
time in specific transactions. That is to say that life position dominates, but it is
not the only position ever taken.
Life positions stems from two viewpoints. They are—”How do people view
themselves?” and “how do they view other people in general?” There are four
basic life positions—attitudes which people adopt and act concerning their self-
worth and the value of others (Figure 9.18). They are as follows:

I’m OK—You’re OK (cooperate and share)

I’m not OK—You’re not OK (avoid)
I’m OK—You’re not OK (compete, aggression)
I’m not OK—You’re OK (submit, concede)
 FIGURE 9.18 The four basic life positions.

Berne sees these positions as being universal across all humanity. The
desirable position and the one that involves the greatest likelihood of Adult-to-
Adult transactions is I’m OK and You’re OK. It can be understood as “I feel
good about myself and my self-esteem is high, and I also respect and regard you
(other people) highly.” It shows healthy acceptance of self and respect for others.
It leads to constructive communications, productive conflict and mutually
satisfying confrontations. Such individuals accept the significance of other
people and feel that life is worth living. This is based on adult ego. When
managers work in this terminology their position is likely to be regarded as more
consistent pattern of confidence. Even as it displays a much higher level of
mutual give and take. In this circumstance, they delegate authority and feel
comfortable with a spread of authority. The other three life positions are less
psychologically mature and less effective. Regardless of one’s present life
position, the “I’m OK—You’re OK” position can be learned. The model is
useful when handling difficult situations, particularly those where a person has
to come to terms with his own failure in some project or comes into conflict with
another person. The natural tendency of many people is to transfer their bad
feelings to themselves due to failure of other person’s behaviour. Your failure in
a project can lead you to think “I’m not OK”. This means that someone else’s
behaviour, at odds with yours, leads you to feel “He is not OK”. These feelings
are not generally helpful in managing a situation. Transactional analysis
increases awareness about the self and of others. It is a tool for influencing
others. Encouraging a child in you, one can stimulate creativity and enthusiasm.
Communicating on adult-to-adult level leads to a constructive deal with
interpersonal conflict. Awareness of communication pattern that are played in
organizations can help you achieve better work relationships. A tabular
representation of life positions has been provided in the following subsections.
Stroking
Berne has also defined stroke as a fundamental unit of social action . A stroke
is a unit or statement of recognition. The word originates from the gentle
physical caressing needed by infants. These strokes can be positive or negative,
conditional or unconditional. It applies to all types of recognition, physical,
verbal and nonverbal contact between people. We all have the need or hunger for
recognition and stimulation by strokes. The best psychological stroke is a
positive, unconditional stroke. Physical strokes could be in the form of hugs,
caresses, massage, etc. In most jobs the primary method of stroking is verbal,
such as “Madhu, you did an excellent job”. Physical stroking can also be a firm
handshake or a pat on the back.
Stroking can be positive, negative or mixed. Positive strokes make a person
feel good when they are received, and they contribute to the recipient’s sense of
being OK. Negative strokes hurt physically or emotionally and make the
recipient feel less OK about herself or himself. An example of mixed stroke is
this comment, “Mohit, that’s a good advertising layout, considering the small
amount of experience you have in this field.” In this instance the supervisor is
communicating in a judgmental parent-to-child pattern and perhaps the negative
strokes about lack of experience is included to show superiority or to retaliate for
an earlier negative stroke given by the employee. There is of course difference
between conditional and unconditional strokes. Conditional strokes are offered
to employees if they perform correctly or avoid problems. For example, “I like
your coat”, “You did a great job on your project management assignment”, or
“That was the worst report I have ever read”. Unconditional strokes are
presented without any connection to the behaviour. They may make a person feel
good (for example, “you’re a good employee”). It is not a specific statement
directed towards a person. It is ambiguous and confusing to employees because
it does not indicate how more strokes may be earned. Supervisors get better
result if they give more strokes in behaviour modification framework, where the
reward is contingent upon desired activity. Employees are hungry for strokes and
the manager should not be reluctant to use them wherever it is necessary.
Understanding how people give and receive positive and negative strokes and
changing unhealthy patterns of stroking are powerful aspects of work in
transactional analysis. A principal reason for adopting the “I’m not OK” position
is likely to be a lack of strokes (rewards) in childhood. The lack of strokes may
be due to uncaring parents; it could also be due to unfriendly or hostile peers.
TA and Conflict Resolution
There are several natural connections between TA and the approaches to
resolving conflict. Parent ego state may lead to the use of a forcing strategy,
while the child state may smooth over conflicts or try to avoid them [4]. People
having life position like “I’m OK—You’re OK” are more likely to seek a win-
win outcome, applying the adult ego state and a confrontational strategy. Other
probable connections are:

I’m not OK—You’re not OK—Avoidance—Non-assertive behaviour

I’m not OK—You’re OK—Smoothing—Non-assertive behaviour
I’m OK—You’re not OK—Forcing—Aggressive behaviour
I’m OK—You’re OK—Confronting/Collaboration—Assertive behaviour

Transactional analysis is a theory about personality, personality development

and communication. It provides models to observe and understand
communication in everyday interactions. It is a useful framework for answering
some of our questions. At an individual level, transactional analysis is a valuable
tool for understanding our own behaviour and the ways we interact with others.
The theory can be applied to improve group and organizational relationships
developed. Training on TA can give employees fresh insights into their own
personalities; it can also help them understand why sometimes others respond in
the way they do. A major benefit is improved interpersonal communication.
Employees can sense when crossed communication occurs and then can take
steps to restore complementary communication, preferably in the Adult-to-Adult
pattern. The result is a general improvement in interpersonal transactions.
Assertiveness training and transactional analysis in combination can be
powerful tools for increasing one’s interpersonal effectiveness. They both share
the goal of helping employees feel “OK” about themselves and others. Both
focus on adult-based problem solving. They help improve communication and
interpersonal cooperation. It is a very handy tool to analyze interaction and to
select the right address to tackle the situation adequately.

SUMMARY
There are various skills required by individuals, managers and officials dealing in or handling any
kind of conflict. This chapter deals with how to effectively handle conflict by improving one’s
interpersonal communication skills. The skill areas that are focused in this chapter are developing
assertiveness, improving one’s perception ability, increasing one’s awareness through the use of
Johari Window and enhancing one’s ability to know the communication process as well as
controlling it by transactional analysis.

QUESTIONS
1. Distinguish between ‘Hidden Self’ and ‘Blind Self’? In your opinion,
what causes the expansion of unknown areas in Johari Window? Suggest
ways to develop one’s interpersonal skills with the help of Johari
Window.
2. Briefly describe three psychological positions as mentioned by Berne.
How do they affect parent, adult and child ego state?
3. In which way do you think knowledge of transactional analysis helps in
improving a manager’s conflict handling skills. Discuss.
4. Assertive training involves teaching people to develop effective ways of
dealing with a variety of anxiety-producing situation, do you agree with
this statement? Explain with supportive evidences.
5. Discuss how perceptual biases lead to conflict. Provide appropriate
illustrations to support your view.

REFERENCES
[1] Fensterheim, H. and J. Baer, 1975, Don’t say yes when you want to say no: How assertiveness training
can change your life. New York: McKay, 1978, c1975.
[2] Wolpe, 1958, http://www.uvm.edu/~uvmeap/stress8.html.
[3] Lazarus, 1966, http://www.uvm.edu/~uvmeap/stress8.html.
[4] Newstorm, J.W. and K. Davis, 1997, Organizational Behaviour: Human Behaviour at Work , McGraw
Hill Companies, Inc. International Edition.
[5] Davidson, J., 1998, Complete Idiot’s Guide to Assertiveness , Alpha Books, Prentice-Hall of India, New
Delhi.
[6] Sekaran, U., 2004, Organizational Behaviour , Tata McGraw Hill, India.
[7] Kolb David, A., J.S. Osland and M.R. Irwin, 1995, Organizational Behaviour: A Experiential
Approach , 6th ed., Prentice Hall.
[8] Eric Berne, 1964, Games People Play: The Psychology of Human Relations .
 Chapter 10
The Paradox of Conflict
and Creativity
LEARNING OBJECTIVES
• Understand how increasing conflict in static situation is a part
of conflict management.
• Know the significance of functional conflict in organizational
set-up.
• Appreciate how to stimulate creativity in group by idea
generation techniques.
• Explain the factors that are required to stimulate creativity in
individual employees.
• Know issues that should be taken care of while making work
environment stimulating.
• Emphasize that resolving work place disagreement also
inspires creativity.

The impact of conflict on parties is of varied nature. They can be classified into
three different perspectives, namely, traditional, human relation and
interactionist. The traditional view of conflict believes that all conflict is harmful
and must be avoided. It has negative impact on the performance of the
organization. For example, one employee intentionally obstructs another
employee from reaching his work-related goals due to conflict between them.
The human relations view of conflict believes that conflict is natural and an
inevitable outcome in any group. It is inevitable in business relationships, just as
it is in social relationships. It is often inherent in an organization’s structure and
through the competition by members for scarce resources. The interactionist
view of conflict believes that conflict is not only a positive force but also
absolutely necessary
to perform effectively. It has positive impact on individual as well
as group performance as it stimulates interest and creativity in them [1–3]. It also
assists in resolving problems and promotes group cohesion [4]. Without conflict,
growth is limited.
The functional view of organizational conflict emphasizes conflict as a
productive force. It contributes towards the goals of an organization or a group
by stimulating members of the organization to increase their knowledge and
skills, thus contributing to organizational innovation and productivity. It helps
them to solve problems better, keeps them more focused on one subject at a time,
and helps them to learn about others feelings, get it clarified and share their
backgrounds. As a result the relationship grows deeper and stronger. It is
therefore necessary that conflict is maintained at a level that is beneficial for the
organization.
Conflicts are dysfunctional when the outcomes fall short of what is possible,
and have a damaging effect on the relationship. Problems grow larger than
smaller because parties see each other as opponents and view the other’s gain as
their loss. Managers should know how to reduce excessive conflict that has
negative impact on the performance. Conflict as such is feared and avoided by
many managers because they don’t know how to deal with it. Unresolved
conflict can be as poisonous to the productivity of the company as the virus is to
a computer. At the same time organization should adopt strategies to stimulate
conflict in static situations. The goal of increasing conflict is to get the functional
qualities of conflict, such as more information for decision making and creative
solutions to problems.

10.1 NEED FOR INCREASING CONFLICT IN

ORGANIZATIONS
When the conflict level is low, it has been observed that the behaviour of the
employees is apathetic, stagnant, and non-responsive. All these characteristics
can result in complacency and poor performance due to lack of innovation and
low motivation . At the group level, there is a tendency to conform to group
norms. However, a preoccupation of group members’ conformity stifles
creativity and encourages groupthink. When group members are overly
concerned about following rules, innovation becomes difficult to achieve. It
encourages member not to differ, as a result new ideas are unlikely to come up.
Extremely low level of conflict is dysfunctional by nature.
Conflict management is a proactive process that takes place even if a group or
organization is not currently experiencing any conflicts. Increasing conflict
should be done skilfully and cautiously so that conflict levels do not become
harmful for the employees. If the individual/group is at low motivational zone, it
is necessary to stimulate conflict in order to help the individual/group move
towards the effective zone (Figure 1.2), and at the same time reduce conflict
when it is extremely high. Both too much and too little conflict can be
detrimental to the organizational performance. Too much conflict leads to chaos
and disorder, while too little can result in complacency and lack of innovation.
The implication is that conflict can be managed. There will be times when that
management will ‘mean’ reduction and others when it will ‘mean’ stimulation.
Increasing conflict to make it functional will happen only when the conflict
supports the goals of a work group, department, organization or community. It
can have a very positive impact on work quality, decision-making, productivity
and on the overall group performance. That is because it involves people who
are genuinely interested in solving the problem, who are willing to listen to one
another, and who attempt to seek mutually advantageous solutions. Because the
conflicting parties are willing to work together to deal with the issue at hand,
functional conflict can bring out diverse ideas and styles (and eliminate
“groupthink”), lead to the consideration of more options, develop creativity in
the problem-solving process, get people interested in addressing the issue at
hand, and ultimately lead to more effective decisions.

10.2 CONFLICT AND CREATIVITY

Creative and innovative skills have never been as crucial as they are now. The
brilliant car hiding inside the mind of the designer will speak loudly to get it
built and sold only when it is asked for. In order to thrive in today’s workplace
one can generate ideas and make it happen on a regular basis. It does not mean
that company should go out and search for creative people. The present
employees are very much capable of being creative. Creativity is an important
human resource and all organizations have to try to make use of this resource by
devising settings in which creative talents are permitted to grow.
 Creativity is a function of three components—expertise (or domain relevant
skills), creative thinking (or creativity relevant skills), and motivation (or
intrinsic task motivation). The expertise refers to the knowledge—technical,
procedural and intellectual—that an individual has and can be applied in the
broad domain of his or her work. Creative thinking skills determine how flexibly
and imaginatively people approach problems. It is the capacity to put existing
ideas together in new combinations. Some of the skills are problem solving,
mapping, networking, intuition, judging and imaging. Creative problem solving
provides new ideas. The techniques for problem solving are brainstorming,
synectics, and morphological analysis and lateral thinking. It helps a person to
come out of the mental block and have a fresh look at even the most familiar
things. Motivation is an inner passion to solve the problem at hand. It is referred
to as intrinsic motivation . It is the willingness of the person to perform the task
in question. Someone who has the capacity to be creative, but is not motivated to
do what it takes to produce creative outcomes, certainly would not be creative.
Intrinsic motivation tends to be high under several conditions. For example,
when an individual has personal interest in the task at hand, he or she should be
motivated to perform it. It is also true that anyone who does not find a task
interesting is surely not going to perform it. Likewise, task motivation will be
high whenever an individual perceives that he or she has internal reasons to be
performing the task. People who come to believe that they are performing a task
for some external reason—such as for high pay or due to pressure from the boss
—are unlikely to find the work inherently interesting, in and of itself, and are
unlikely to show much creativity when performing it. Therefore, some people
will be most creative when they feel motivated primarily by the interest,
satisfaction and challenges of the work itself and not by external pressure.
Constructive conflict may be fostered by dealing with any or all of these
variables: task, work environment, interpersonal relations, changes in
organizational structure and design, formal or informal communication,
superordinate goals, attitudes and needs of the employees. How can conflict be
managed to generate an effective decision-making process? Bringing in
outsiders, restructuring the organization, appointing a devil’s advocate, changing
the organization’s culture, and by using different channels of communication
could stimulate conflict. It is critical to remember the importance of fostering
creativity, keeping communication open and actively engaging members’ skills
and abilities in the decision-making process. While doing so, it should be taken
into account that the employees should feel conflict generation as a challenge
and not as exploitation of their talents.

10.3 STIMULATING CONFLICT THROUGH IDEA

GENERATION
A creative manager knows that he/she does not have all the answers. It is
certainly desirable, when appropriate, to seek help from a group or an individual.
The primary roadblocks in group creativity are pressure to conform to group
norms, inability or unwillingness to collaborate, a defensive communication
climate, differences in group members’ communication styles, and cultural
norms. Variety of methods has been used to introduce conflict in group by
focusing on idea generation while taking into account collaboration, supportive
communication, diversity, etc. It helps the group members to have a fresh look at
even the most familiar things, breaks the mental set-up and provides new
perspectives that were initially blocked by certain psychological (person’s
attitude, inability to resist social pressures, failing to anticipate threats, his belief,
fear of failure, timidity in expressing ideas, etc.) and organizational factors
(tendency to look for one big winner, rigid hierarchical structure and emphasis
on management control).
Successful groups incorporate both innovation and routine in their interactions.
The reason being that too much creativity can lead to chaos, at the same time,
too much stability can lead to inflexibility, an inability to adapt and a tendency to
follow rules without questioning them. On the other hand, constant change leads
to lack of direction, confusion, frustration and reduced productivity.
Approaching creativity in a systematic way encourages group members to
identify the purpose of their creative endeavours and provides discussion time
dedicated to creativity. Some of the techniques used for generation of ideas are
as follows.
Idea Generation Techniques Involving Groups

Brainstorming This is a problem-solving technique developed in the

1930s by Osborn. It is an organized approach for producing ideas by
letting the mind think without interruption. The basic purpose of this
exercise is to generate a pool of ideas that will lead to a unique and
improved concept. It is based on the maxim that quantity breeds quality.
The greater the number of ideas generated, the greater are the chances of
producing a radical and effective solution. The key to brainstorming is not
to interrupt the thought process. As ideas come to the mind, they are
captured. At a later phase these ideas stimulate the development of better
ideas. Brainstorming can be done either individually or in a group.
Brainstorming process helps in developing communication in the group;
generates a list of potential new products or technologies; suggests
approaches to improve marketing/research/operational prowess; improves
the professional environment of the department; identifies policies,
procedures and operations that should be reviewed and improved; and
improves productivity. When done individually, brain-storming can be an
effective measure of change through time. An individual may revisit a
brainstorm done alone and approach it with a slightly new perspective.
This process can be repeated without limit. The result is collaboration
with your past, present and future selves.
In brainstorming, ideally the problem is defined and the scope specified.
Each participant is given a subject or a cluster of subjects or a problem
several days before the session. This gives people an opportunity to
ponder over the matter and write down any ideas in advance. During
session, the leader’s role is to keep ideas flowing and centred on the
announced topic. Members are encouraged to generate as many ideas as
they can as quickly as possible without evaluation.
The rules of brainstorming are—no criticism until later screening period;
encourage free-wheeling ideas, the wilder the session, the better; obtain a
large number of ideas to increase the possibility of good ideas, and
combine ideas or otherwise improve the suggestion made by others. Only
after ideas are generated, are members allowed to evaluate them.
Group passing technique Each person in a circular group writes down one
idea, and then passes the piece of paper to the next person in a clockwise
direction, who adds some thoughts to what is already written down. This
is repeated until everybody gets his or her original piece on the
paperback. By that time, it is likely that the group will have created some
quite powerful ideas. A popular alternative to this technique is to create an
“Idea Book” and post a distribution list or routing slip to the front of the
book. On the inside cover (or first page) is the problem definition
statement. The first person to receive the book lists out his/her ideas and
then routes the book to the next person on the distribution list. The second
person can log new ideas or add to the ideas of the previous person. This
continues until the distribution list is exhausted. A follow-up “read out”
meeting is then held to discuss the ideas logged in the book. This
technique does take longer, but allows individual thought whenever the
person has a spare minute to think deeply about the problem. The
circular approach to problem solving uses five steps: define, gather
facts, determine alternatives, decide and take action. With the circular
approach one can start at any point, stop at any place and continue around
several times. This allows things to be examined and re-examined and the
problems and alternative to be restated. Value analysis is another method
to find a way to perform a job that focuses on the necessary functions at a
minimum cost. Six questions are asked about each working component in
order to increase its value—What is it? What must it do? What does it do?
What did it cost? What else will do the job? What will that cost?
Additional ways to generate new ideas include the part-changing method,
the checkerboard method, and the find-something-similar method.
Group communication This needs to be improved. When the nature of
group communication includes evaluation, control, strategizing, certainty
and superiority, group members interact defensively. Such defensive
communication leaves little room for new ideas. It requires members to
interact, become interdependent, share norms, values and roles, and share
collective identity. To get the most from groups, fostering of interpersonal
contact is essential. Groups must also devote energy to create a positive
social atmosphere.
Group participation can be developed by free association and social
facilitation. Free association is a process of producing ideas in rapid
succession with a minimum of inhibiting or restraining action. The
supervisor presents the original stimulus word or idea to the group. All
ideas that come up are recorded. Social facilitation is a process in which
 the productivity of each individual is increased by the stimulation
provided by other group members. Increasingly, organizations are
recognizing collaborative relationships —those defined by mutual
learning and shared creation—as being at the core of innovation. Ideas are
not just exchanged; they are jointly discussed, debated and created. The
supervisor should choose the technique that best fits the situation and the
group membership. By assigning members to act as devil’s advocates
and by holding second chance meetings more information/ideas can be
gathered. (For understanding about the techniques of devil’s advocate,
refer to Chapter 4).
Nominal group This is a group of people working independently rather
than interacting with each other. Nominal Group Technique (NGT )
limits discussion among present, independently operating members who
gather and are presented with a problem. They individually write down
their ideas. Then each member presents one idea to the group. Once all
ideas are presented and recorded, a brief discussion clarifies the issues.
Then each member independently ranks the ideas and the idea with the
highest ranking is chosen as the solution.
The guidelines for conducting a Nominal Group Technique session,
developed by Andrew Van de Ven and Andre Delbecq, provide a good
resource for the managers and group leaders.

Preparation
(i) Select the NGT leader; make sure he or she knows exactly how the method
works and completely understands the issue to be addressed.
(ii) Select the team members—usually from seven to ten participants (never
less than five). Make sure they too understand how the technique works.
Also, if necessary, prepare or make available materials so that participants
can be properly educated on relevant aspects of the problem to be resolved.
(Group members may be randomly chosen or assigned because of their
specific talents).
(iii) Select a meeting spot that should be comfortable, private and free from any
possible distractions. Ideally, members should be seated around a table,
where they can easily see one another, the leader and the chalkboard. Paper
and pencil are necessary so that the participants can write down their ideas,
and 3 by 5 cards will be needed for the voting process.
The Meeting
(i) The leader (not a group participant) reviews the NGT process and then
hands out pencil and paper, at the top of which is printed the question under
consideration.
(ii) Members write down their responses. 10 to 15 minutes should be allowed
for this step.
(iii) The leader begins round-robin polling for each member’s ideas, one at a
time. As each idea is read, the leader records it on the flipchart. This
procedure is continued around the table, as many times as necessary until all
the ideas have been recorded. (This generally takes about half an hour).
(iv) The group discusses each idea as listed in sequence. No idea is deleted,
although they may be combined or expanded.
(v) The leader hands out the 3 by 5 cards and instructs the group members to
identify the five most important ideas on the master list and write them
down on their cards. Then the members are asked to rank-order the ideas (5
points for the highest-ranked, down to 1 point for lowest).
(vi) The leader collects the cards and tabulates the scores on the master list.

Electronic meeting An electronic meeting system (EMS) is a type of

computer software that facilitates group decision-making within an
organization. To work with such a system, networked computers, a
projection screen, and EMS software are required. Jay Nunamaker et al.
coined the term in 1991. The term is synonymous with Group Support
Systems (GSS) and essentially synonymous with Group Decision Support
Systems (GDSS). An electronic meeting system comprises of highly
configurable collaborative software tools that can be used to create
predictable, repeatable patterns of collaboration among people working
towards a goal. With an electronic meeting system, each user typically
has his own computer, and each user can contribute to the same-shared
object at the same time. Thus, nobody needs to wait for a turn to speak
and people don’t forget what they want to say while they are waiting for
the floor. When a group or a group leader deems it appropriate, people
can contribute anonymously to most electronic meeting systems tool, so
the group can focus on the content and meaning of ideas, rather than on
their sources. Anonymous contributions are particularly useful when a
team is generating or evaluating ideas. It is less useful when a team is
establishing the agreed meaning of ideas or building consensus.
NGT can be used in an electronic meeting , which is faster than a face-
to-face meeting. The electronic meeting spurs creativity and increases
 productivity by allowing the participants to contribute equally and
anonymously. Up to fifty people can participate by sitting in a horseshoe
formation outfitted with computer terminals. Issues are presented and
responses are typed. Individual comments and aggregate responses are
posted on a projection screen. The supervisor troubleshoots problems,
provides assistance when requested, and asks probing questions to get the
team to talk through problems.
Delphi technique The purpose of the Delphi technique is to elicit
information and judgements from participants to facilitate problem
solving, planning, and decision-making. It does so without physically
assembling the contributors. This technique is designed to take advantage
of participants’ creativity as well as the facilitating effects of group
involvement and interaction. It is structured to capitalize on the merits of
group problem solving and minimize the liabilities of group problem
solving. A problem is identified and members are asked to anonymously
provide their solutions through a carefully structured questionnaire. Each
member receives a copy of the results and is again asked for solutions.
This process continues until consensus is reached. The steps involved in
this technique are mentioned as follows.

1. Identify the issues and solicit ideas. Prepare and send the first
questionnaire, which asks each participant to engage in individual
brainstorming so as to generate as many ideas as possible for dealing with
the issue.
2. Respond to the first questionnaire. Each participant lists their ideas in a
brief, concise manner and returns the list anonymously. These ideas need
not be fully developed. In fact, it is enough to have each idea expressed in
one brief sentence or phrase. No attempt should be made to evaluate or
justify these ideas at this point.
3. Create and send the second questionnaire. The coordinator prepares and
sends a second questionnaire to participants that contains all of the ideas
sent in response to the first questionnaire and provides space for
participants to refine each idea and to comment on each idea’s strengths
and weaknesses.
4. Response to the second questionnaire. Participants anonymously record
their responses to the second questionnaire and return them to the
coordinator.
5. Create and send the third questionnaire. The coordinator creates and sends
 a third questionnaire that summarizes the input from the previous step and
asks for additional clarifications, strengths, weaknesses and new ideas.
6. Continuation of the process. The coordinator performs iterations of the
preceding process until it becomes clear that no new ideas are emerging
and that all strengths, weaknesses and opinions have been identified.
7. Resolution. Resolution may occur in one of the two ways. Highly
evaluated ideas emerge via consensus or the exercise is declared finished.
The end result is a list of ideas with their strengths and weaknesses.
Secondly, the coordinator conducts a formal assessment of the group’s
opinions of the merits of the ideas. There are a number of ways to conduct
a formal evaluation. In one method, the coordinator prepares a
questionnaire that lists all the ideas and asks participants to rate each one
on a scale. For example, a 7-point scale could be used that ranges from 0
(no potential for dealing with the issue) through 7 (very high potential for
dealing with the issue). If this approach is used, participants send the
rating forms to the coordinator, who compiles the results and rank-orders
the ideas based on the evaluations.

10.4 STIMULATING CONFLICT BY MOTIVATING

INDIVIDUAL EMPLOYEES
A technique that motivates individual employees is one of the best methods to
get better ideas from them. Few of the methods are suggested below:

1. Challenging tasks. Provide challenge by pitching assignments, and

projects just above individual’s known capabilities [5]. It requires
delegating challenging jobs. Most bosses keep for themselves the
challenging, rewarding tasks while giving simple task to the subordinates
where they cannot exercise any creativity.
2. Set high but reasonable standards, knowing that even the loftiest ideas
must eventually be subject to the realistic technical and financial
constraints of the organization. By setting high goals initially, you
increase the chances of some people coming with breakthrough ideas [5].
3. The desired goals and milestones can be established. But freedom should
be given to people to approach them in their own way and as per their
own schedule. Employees should be allowed to make intelligent mistakes
and also be accountable for the results of their work, not for their actions
or the time spent.
 4. Rewards. Upgrade and revamp both the tangible and intangible rewards
and inducements for creative contributions. The time-honoured incentives
of increased power status, and salaries encourage secretiveness, playing
of politics, jockeying for positions, conformity, and the desire to please
superiors [5]. Encourage group members who offer unique ideas and
alternative viewpoints. Be cautious of employees who promote
themselves rather than address the group’s goals.
5. Networking. Recommend and encourage more informal contact between
top management and the individual contributors of ideas [5].
6. Be receptive. “More and better suggestions occur if you offer
encouragement. Convince your subordinates of your sincere interest by
promptly recognizing deserving employees. If you are impatient, too busy
or indifferent, it creates a hindrance between you and your employees”
[6]. At the same time, recognizing subordinates for their contribution
motivates them and makes them more loyal which, in turn, encourages
them to come up with more ideas. It makes other employees to follow
them.
7. Supportive and constructive feedback. Some individuals lack the
necessary technical, mechanical or writing skills to put an idea on paper.
Offer your help in expressing the idea. A worker’s idea may not be
practical, but it can reveal another idea, which helps solve a problem. If
so, give the employee credit for an alternative solution. Your continued
support and help will spur employees to think constructively and develop
better ways to do their jobs. Build enthusiasm and team work by sharing
improved work methods [6].
8. Let employees personalize their work areas. It will generate interest in
them to continue their work. People should have their pet projects.
Organizations can adopt certain strategies to create a challenging,
exciting, satisfying and sense of self-fulfilling climate that will bring the
best in people.

10.5 INTRODUCING CONFLICT AND MAKING

WORK ENVIRONMENT CREATIVE
Work environment can be creative when managers support openness about
debates and opinions. The manager’s role is to structure situations and not
express opinions or take positions on issues. It encourages the subordinates to
express their views. This, in turn, fosters healthy work climate and fosters
creativity. Conflict can be increased in work environment by bringing in
outsiders, restructuring the organization, appointing a devil’s advocate, using
tools like dialoguing, ladder of inference for generating more opinions, focusing
on supportive communication, etc.
Creativity is the combined influences of creative people working in a creative
environment that encourages (or at least does not discourage) creativity. In a
recent research, Amabile interviewed 46 research and development managers in
over two dozen companies to learn which factors stimulate creativity and which
ones inhibit it [7]. “Freedom” was the most commonly mentioned environmental
stimulant for creativity. According to Amabile, this meant “freedom in deciding
what to do or how to do it, a sense of control over one’s ideas, a freedom from
having to meet someone else’s constraints, a generally open atmosphere.” Work
climates that can help in generating ideas are as follows:

1. Foster collaboration In times of conflict, group members find it easier to

avoid, accommodate or compromise when their goals seem to be at odds.
Fostering collaboration involves a dyadic confrontation: two actors (an
initiator and a responder) are faced with the challenge of turning a
complaint into a problem-solving dialogue. If the two actors cannot
succeed, a third actor (a mediator) may be required. Groups that are
committed to collaboration are dedicated to discovering conflict solutions
that everyone can agree on. Collaboration can be time consuming but can
produce innovative solutions to complex problems.
2. Facilitate a supportive communication climate It can be characterized as
problem orientation, spontaneity, empathy and equality. Focusing on
increasing the interpersonal contact can develop such a climate. It should
be coupled with freedom to make certain decisions alone. A creative
person needs a sympathetic ear—a sounding board for his ideas. Wright
practices “management by walking around”, a Hewlett-Packard technique
popularized in the book “In Search of Excellence”. “My style had always
been one of spending most of my day walking around the halls talking to
people and being aware of what is happening in the group,” says Wright.
“I do spend most of my work hour in the hallways.”
3. Provide continuous feedback It gives sense of achievement and motivates
employee as well as give him the opportunity to modify his idea at every
step. Talk informally with your people and demonstrate your interest.
Indicate your understanding of their goals, and let them know the
importance of their results and the positive reactions of other managers as
soon as possible.
4. Embrace diversity Diverse perspectives (cultural norms, values and
beliefs) provide unique opportunity to listen to different views and
approaches to problems. Bringing together people with diverse
backgrounds enhances the cross-fertilization process that is helpful in
generating ideas. People from outside your field, for example, don’t know
that “something can’t be done.” They sometimes offer an entirely new and
workable perspective. It is better to get the best advantage of diversity.
That’s what Foote, Cone & Belding did when it brought its analytical
people together with its artistic people in developing advertising strategies
[8].
5. Maintain an intrapreneural climate It can be understood as creating an
entrepreneurial organization within a large bureaucracy. Since large
companies are good at coming up with sound ideas, they are generally
poor in carrying them out because of a morass of analysis, approvals and
politics. Instead of risking losing creative scientists and engineers who
have caught the entrepreneurial fever, encourage them to become
“intrapreneurs”. The intrapreneurs act within the confines of an existing
organization. They are advised/supported/helped to be courageous,
moderate risk takers, flexible and creative about their pathway. Their task
is to put together a team of enthusiastic volunteers, build a network of
sponsors, and ask for advice before asking for resources [9].
Intrapreneurship seems to work best in companies (e.g. 3M) with a long
tradition of encouraging employee independence and innovation within
independent business units, which essentially operate as separate
organization.
6. Avoid defensive communication When the group communic-ation can be
characterized as evaluative, control oriented, involves hidden agendas,
reflects certainty, and an air of superiority by the leader is observed, group
members interact defensively. Such defensive communication leaves little
room for new ideas to come up. Encourage active communication. Don’t
worry if subordinates spend a lot of time talking with each other, advises
Mead’s Richard Wright. You will find out soon enough who is really
wasting time. When people talk with each other often, they soon start
sharing a lot of wild ideas, some of which will be good for the company
[8]. Practice active listening. Manager can use that time to ponder,
interpret and contemplate what others have said, before formulating their
own response. The reason being that one can process what others say
much faster than they can speak.
10.6 INSPIRING CREATIVITY BY RESOLVING
WORKPLACE DISAGREEMENTS
In an organization there are two types of conflict—affective conflict and task or
substantive or cognitive conflict. Affective conflict occurs due to breaking of
relationship rules. It has a negative impact and decreases the effectiveness of the
group by allowing personal feelings or someone’s own agenda to deter the
members from the team’s objective. Research has demonstrated that personal
attacks decrease team performance. Team members may choose not to interact at
a later time due to the personalized nature of the conflict. It is wise to identify it
and focus effort on reducing it. Cognitive or task related conflict focuses on
substantive, issue-related differences of opinion. The presence of cognitive
conflicts is inevitable during strategic decision-making because people at
different positions see different perspectives of the environment. However,
studies have demonstrated that it is precisely these diverse opinions which
improve the quality of complex and ambiguous decisions [10 & 11]. Cognitive
conflicts may play an important role in knowledge creation by satisfying both
the need for social collaboration and individual cognition. If handled properly, it
can contribute to the team’s effectiveness by enhancing decision quality. It
fosters creativity, open and honest communication and utilizes members’ skills
and abilities.
Group should be careful while encouraging conflict. It should not encourage
any wrong type of conflict or create a flow-on effect where cognitive conflict is
not managed and affective conflict results. Work teams within organizations do
themselves harm by being unprepared to deal with cognitive conflict which can
then lead to an increase in affective conflict [10]. Focused activity, encouraging
creative thinking and open communications, and valuing individual diversity are
strategies for encouraging the right conflict [12]. Therefore, a tolerance or
acceptance of the inevitability of conflict, the ability to recognize and encourage
cognitive conflict and a willingness to manage it become prerequisites for
converting dysfunctional conflict in to functional conflict.
It can be done by two types of behaviour, namely, agreement seeking and
encouraging informal communication. Agreement seeking behaviours can be
understood as establishing consensus among members. They can be utilized in
decision making to channel the wealth of team diversity in a way that capitalizes
on the advantages of cognitive conflict and avoids the drawbacks of affective
conflict [10]. Some of the techniques are—dialectical questioning and the devil’s
advocate. Other group processes, which can be used to search for consensus, are
debate and understanding of the decision by the group [13]. It helps the team in
getting more information through different visions of reality, creates multiple
options and synthesize them into common objectives and plans of action, which
include sufficient consensus [14]. Secondly, communication makes team
members to interact frequently and increases integration and cohesion within the
group. Informal communication allows disagreement and typical conflict in a
heterogeneous group to be geared towards an exploitation of its wealth of
information and outlooks. If team can channel its diversity and is cohesive, it can
achieve agreement over the necessity to initiate strategic decision for
organizational development such as innovation.
Conflict in meetings is a common phenomenon in an organizational set-up.
Sometimes it is very disruptive. At the same time it can be very helpful if it is
resolved and converted to creativity. If the person who is disagreeing with you is
raising valid questions, it may benefit the group to address the issues he has
raised. It can give valuable insight into what is and what is not working within
the organization. However, if the person continues to pester to the point of
disagreement, to the extent of disruptiveness, specific steps should be taken.
Following strategy has been suggested to get the best possible outcome from
conflict while handling meeting [12].
Viable exhaustive information relating to propose meeting are very much
necessary. A clear-cut agenda should be prepared before the meeting and should
be circulated to each member (who is supposed to participate in meeting). It
helps members to prepare well with ideas and viewpoints. It is also useful for the
manager as he can make speedy deliberations. Our experience over the years
shows that a great deal of time is wasted prior to and during the meeting due to
the fact that information or agenda of the meetings are not circulated beforehand.
Controversial issues have always staled a meeting, and so managers need to be
cautious in framing the agenda. Issues of controversial nature should be dealt
with only at the end of the meeting even though they may appear to be very
useful as far as organization is concerned. This is necessary in a way to reduce
emotionally charged atmosphere. Manager as well as his employees knows that
the utmost aim of any meeting is to achieve the best result; hence we advocate
that the best beginning ends with best result. Common views and expression as
well as respecting employees should be used as tactic while dealing with team
members.
Over the years, our experience has lead us to believe that the conspicuous and
suspicious environment has often stale proceeding and reduction in performance
leading to more conflict of relationship with organization, group and as well as
oneself. So there is a need to conduct meetings in good and friendly atmosphere.
This will increase confidence and the agendas could be frankly discussed.
In arranging such a meeting, where you have antagonist among the team, the
manager should quickly decide in what form the seating arrangement would be.
The aim of this seating arrangement is to bring the group together and strengthen
the relationships of the organization. Researches have shown that rectangular
arranged seating tables help the leader/coordinator to see himself/herself as the
head and thus hold greater control. Sometime we find that different strategies
always lead to suspicion by the members or team or group. Some may interpret
the seating arrangement as biased and others may view it as one-sided. Whatever
may be the negative thinking, it all leads to conflicts when in actual sense there
is none. Frankness and openness plays a very vital part in encouraging the team’s
corrective and cooperative attitude. We have to understand that not only are we
strengthening our position as team leaders, but we put the team to see that
personal insecurity has no room within the organizational set-up.
Ali Saffar Al Baluchi wrote in his column ‘Ponderable’ Time of Oman, soul
searching , “It is time to talk about the problems to be critical without being
destructive. It may be only words but it’s time to get it out in the open.’ This
shows openness is the best form for analyzing issues and for confronting them in
a more meaningful form. Another script excerpt from ‘Love for our fellow men’
quote: “The goal of our instruction is love from a pure heart and a good
conscience and sincere faith”. It confirms that a leader must speak from his heart
not through his feelings for or against any member of the team. Let us take the
example of mobile mania or gadgets. Suppose I am a team leader and I am told
to distribute few mobile handsets given to our organization as gift. The selection
of people to whom mobile will be given should be known to concerned
employees. The best way is to chair a meeting. Discuss the issue and make the
points very clear and open about the need to distribute as per priorities and needs
of the firm. Some agenda of this could be, “Who is best placed to receive one?
What would be the likely cost of operating or using one if put to use? Would
someone in the meeting view me as showing favour to one member if he/she
fails to get one? Does my action constitute triggering conflict?” So you can well
imagine my worry and dilemma in taking a decision as a leader. Invariably, I
must take a decision. To fulfil this role, I as a leader must be able to read the
verbal and non-verbal feelings of the team, which often is very hard while
conducting a meeting.
Of course personalized utterance should be minimized and that is where the
control of manager is very crucial. While there are efforts to work towards
openness, one must not forget that it needs absolute cooperation of all the team
members. Any negative feeling against team member should be closely
monitored including discussion inside the forum. This is because a leader who
has been found to be suppressing effective conflict often runs the risk of clash
with the members. Sincerely speaking, a leader need not only listen to team
discussion from the point of view of its impact on team members but also on
team productivity.
The one last thing that a leader will try to avoid is disintegration. As a unit, it is
necessary that a leader works towards fulfilling the common goal and desire of
both the company and its team. This is often hard to achieve but we have to see
it succeed. In a small organization, this can be accomplished without much
problem but in a very large organization, it may prove to be a daunting task. The
sense of making an organization look like a ‘family’ is perhaps not a task that
can be accomplished in a few days or a week. It takes a sense of maturity, great
potentials and managerial acumen. Team leaders as well as their team-mates are
expected to serve the interest of the organization, and forge ahead. It requires
employee empowerment so as to maintain a total quality management approach.
Experts are of the view that individual employee is the key to making the
organization succeed through proper decision-making and that will unlock the
individuals’ creativity while building commitment to improving the organization
pace. Views of the group are paramount to bring them into framework of
decision-making process and that will ensure their views are being heard.
In this modern world, diversity needs to be celebrated. Focusing on
performance-centred culture can do it. Organization needs to secure its future
with creative and innovative thinking. Constant change leads to lack of direction
and too much stability leads to inflexibility. Every team leader must strike a
balance between motivation, innovation and creativity. Any conflict arising in
three distinctive processes will reduce productivity and finally lead to frustration
to individual team members and the organization as a whole.

SUMMARY
The goal of increasing conflict is to make employees not feel complacent and apathetic but to be
alert, active and energetic. Extreme low level of conflict is dysfunctional by nature and increasing
conflict should be done skilfully and cautiously so that conflict levels do not become detrimental to
effectiveness of the employees. Introduction of conflict in work set-up makes the employees
enthusiastic about collecting more information about the work they are handling. A sense of
healthy competition develops that facilitates decision-making and creative problem solving.
Managers and leaders should do everything to increase group thinking while at the same time
encourage creative innovation. Different methods can be used to introduce conflict in group. Idea
generation is one of them. Some of the idea generation techniques involving group are
brainstorming, group passing technique, increasing group communication techniques, nominal
group technique, electronic meeting and Delphi technique. There are a lot of techniques a team
manager can adopt to motivate individual employees come up with better ideas but these
techniques are not free from conflict. In fact, it is said that the more you motivate individual
employees, the more you stimulate conflicts itself. Motivation does not come without a price. The
more an employee faces challenging task, supported with constructive feedback coupled with
reasonable standards, the more are the rewards that follow. Making work environment creative
can be done by fostering collaboration and supportive communication. Work environment can be
creative when managers support openness about debates and opinions. Conflict can be
increased in work environment by bringing in outsiders, restructuring the organization without
taking the employees into confidence. For a manager to work effectively, he must embrace
diversity, maintain intrapreneural climate and avoid defensive communication. Handling
disagreements among the employee can inspire creativity. If disagreements are not handled
timely it has a negative impact and decreases the effectiveness of the group by allowing personal
feelings or someone’s own agenda to deter the members from the team’s objective. On the other
hand, task related conflict, if managed well, lead to creative ideas and is necessary for strategic
decision-making.

QUESTIONS
1. Critically analyze the significance of increasing conflict in an
organizational set-up.
2. Discuss idea generation techniques to develop a pool of ideas.
3. Can motivating employees stimulate conflict? Give reasons for your
answer.
4. Explain how conflict can be introduced in the work environment.
5. Disagreement if handled properly can be transformed into creativity.
Discuss.

REFERENCES
[1] Cosier, R.A. and D.R. Dalton, 1990, “Positive effects of conflict: A field assessment,” International
Journal of Conflict Management , 1 , pp. 81–92.
[2] Janis, I.J., 1972, Victims of Groupthink , Houghton Mifflin, Boston, MA.
[3] Wilson, J.A. and S.L. Jerrell, 1981, “Conflict: Malignant, beneficial, or benign,” in J.A. Wilson (Eds.),
New Directions for Higher Education: Management Science Applications in Academic Administration ,
Jossey-Bass, San Francisco, pp. 105–23.
[4] Mullins, L.J., 1993, Management and Organizational Behaviour .
[5] Raudsepp, E., “How creative are you?” in book Creativity by A.D. Timple, Jaico Publishing House,
2005.
[6] Himes, G.K., “Developing your creative ideas,” in book Creativity by
A.D. Timple, Jaico Publishing House, 2005.
[7] Amabile, T.M., 1995, “Discovering the unknowable, managing the unmanageable,” in C.M. Ford, and
D.A. Gioia (Eds.), Creative Action in Organizations: Ivory Tower Visions & Real World Voices , Sage,
London,
pp. 77–81.
[8] Nelton, S., “How to spark new ideas,” in book Creativity by A.D. Timple, Jaico Publishing House,
2005.
[9] http://www.smallbusinessnotes.com/choosing/intrapreneurship/intrapreneur.html
[10] Amason, A.C., 1996, “Distinguishing the effects of functional and dysfunctional conflict on strategic
decision-making: Resolving a paradox for top management teams,” Academy of Management Journal ,
39 (1),
pp. 123–48.
[11] Jehn, K.A., 1995, “A multimethod examination of the benefits and detriments of intragroup conflict,”
Administrative Science Quarterly , 40 ,
pp. 256–82.
[12] Amason, A.C., W.A. Hochwarter, K.R. Thompson and A.W. Harrison, 1995, “Conflict: An important
dimension in management teams,” Organizational Dynamics , 24 (2), pp. 20–35.
[13] Simons, T., L.H. Pelled and K.A. Smith, 1999, “Making use of difference: Diversity, debate, and
decision comprehensiveness in top management teams,” Academy of Management Journal , 42 , pp.
662–74.
[14] Eisenhardt, K., J. Kahwajy and L. Bourgeois, 1997, “Conflict and strategic choice: How top
management team disagree,” California Management Review , 39 (2), pp. 42–62.
 Chapter 11
ASSESSING THE COST OF
WORKPLACE CONFLICT
LEARNING OBJECTIVES
• Understand the significance of cost conflict on organizational
performance.
• Know different levels of conflict cost.
• Appreciate the dimensions of direct and indirect cost of conflict.
• Identify the cost of meetings.
• Learn to prepare cost of conflict table to assess conflict cost.

Unresolved conflict often creates serious and quite varied consequences. It leads
to project delays that can result in missed market opportunities. Customers’
relations can be damaged when conflict results in confused communication or
inconsistent information. The development of effective work groups and teams
can fail as a consequence of disputes between members. Companies with chronic
conflict often find it difficult to attract and retain good people. Overall, conflict
reduces morale, lowers workplace productivity, and increases absenteeism,
turnover besides causing large-scale confrontations that can lead to serious and
violent situations.
Organizational consultants observed that managers spend at least 25 per cent
of their time resolving workplace conflict. This obviously affects the
productivity of both managers and employees and can have a far-reaching
impact on organizational performance. Heavy cost is paid by the organization. If
we want to calculate the cost of conflict, we can do it on the basis of lost work
time, damage, sabotage, theft cost, absenteeism, turnover, opportunity cost,
health cost, etc.

11.1 EFFECT OF CONFLICT ON

ORGANIZATIONAL PERFORMANCE
Unmanaged employee conflict is perhaps the largest reducible cost in
organizations today and probably the least recognized one too. It is estimated
that over 65 per cent of performance problems result from strained relationships
between employees and not from deficits in individual employee’s skill or
motivation. Interdependent workplace relationships are a fertile soil from which
conflicts can sprout. For example, it can come up when people’s ideas, decisions
or actions relating directly to the job are in opposition, or because of personality
clash. Many a time, conflict of ideas results into better work practices, better
solution and initiates positive actions. Thus in such cases, it becomes productive.
On the other hand, clash of personality is destructive and unproductive. It is
dangerous for business.
Some of the areas in which the effect of conflict is clearly reflected are
excessive employee turnover, low morale, reduced productivity, quality
problems, delayed and missed deadlines, increased supervision overhead,
increased stress, reduced collaboration, fractionated activities,
passive/aggressive behaviour, abusive behaviour, damaged management
credibility, decreased customer satisfaction, negative upward attention, split
alliance (factions and cliques), and distrust. This effect of unresolved conflict
can be explained under three categories, consisting of first-, second- and third-
order effects.
First-order Effects
At the basic level, there are consequences that are readily determined to be the
result of a particular conflict situation, and are fairly easy to quantify. These are
called first-order conflicts. These are easily quantifiable. For example, lost
revenue because of missed deadlines, late deliveries, and employee replacement
costs, including termination costs, recruitment, and increased expenditure
resulting from quality problems (restocking, replacement orders, parts re-work).
Second-order Effects
When a new employee joins a project team, how long will it be before that
person becomes a productive member? Assessing the effect of a new hire on
team effectiveness may be difficult. Likewise, trying to quantify a change in
team productivity can be very difficult. This is an example of a second-order
effect, in that the consequences might not be viewed as a result of the original
conflict, and because it is not specific to a known problem (any new hire might
have problems becoming integrated), it is harder to quantify. Loss of market
share as a result of “missed windows of opportunity”, increased supervision or
management activities, “ramp-up” time required for replacement employees to
become effective contributors, etc.
Third-order Effects
When conflict occurs frequently in an organization, the effects often become
“acculturated”. This leads to a generally unpleasant work environment in which
issues are not discussed (much less resolved) and where fear, distrust and
passive-aggressive behaviour become the norm. Such situation may affect the
organization’s reputation, resulting in lost business and making it difficult to hire
or retain good people. These consequences, which we classify as third-order
effects, are difficult or impossible to quantify and can be true “business killers”.
The examples of third-order effects are passive-aggressive behaviours exhibited
by disgruntled employees, loss of effective management resulting from loss of
credibility, miscommunication with other groups resulting from confusion and
poor image with the industry or the marketplace, etc.

11.2 COST VIABLE AND EFFECTIVE

METHODOLOGY TO ASSESS CONFLICT
Organizations do not have initiatives to address the costs associated with
conflict, especially early in its development. Business mostly chooses to focus
on traditional and more familiar avenues to cut costs in order to increase
profitability. For example, a business may attempt to recoup the cost of conflict
by negotiating better pricing structures with their suppliers, raising the price of
products and services to their customers, or simply laying off workers.
Admittedly, these approaches do achieve short-term and easily measurable
results. However, they do not address the day-to-day cumulative costs of
conflict, nor do they offer an ultimate resolution to the underlying problem.
Addressing the costs associated with conflict is a viable and effective
methodology for cutting costs and saving untold sums of money. Conceivably,
organization could realize their cost cutting through the implementation of an
integrated approach to managing conflict constructively. The aggregate costs
associated with conflict can be profitably addressed through well thought out
integrated approach to workplace dispute.

11.3 DIMENSIONS OF COSTS OF CONFLICT

If we are going to measure the cost of conflict to an organization, we must know
what to look for. What should we consider as conflict? Conflict is serious
disagreement over needs or goals that signify by a wide range of behaviour such
as gossip, avoidance, verbal abuse, passive/aggressive communication and
hostility. Conflict can be demonstrated by not returning phone calls, filling
complaints, grievances or lawsuits. At its extreme, conflict involves physical
violence.
The cost of conflict can be assessed in two ways:
(a) Direct Costs
(b) Indirect/Invisible Costs
Direct Costs
The most noticed HR related expense is the legal fee paid for conflict that
escalates into the courtroom or an attorney’s office. This fee can be measured
with the company’s financial statements as operating expenses. Today, employer
defence fee is much higher when the cost of defending a company’s reputation
as an employer of choice is factored in the balance. Theft and sabotage are both
direct costs that can easily be computed too. The challenge is in showing the
relationship of these costs to a particular conflict or employee.
Indirect/Invisible Costs
Computing direct “conflict-related” costs can provide useful data for HR
managers seeking to be a catalyst for change in workplace practices. These costs
can influence the executive team to focus on the way the organization is dealing
with conflict. It helps in convincing the executive team that conflict with the
company is a problem that is costing money and is eroding shareholder value.
Providing the executive team with quantitative and qualitative data (as opposed
to anecdotes) about the costs of conflict will build the HR manager’s credibility
as a business partner as there are significant hidden costs within employee
conflicts, costs that an organization incurs long before a lawsuit is filed. For
example, a team member’s commitment to the team and its mission can decrease
if intra-team conflict remains unresolved. If conflict in team can be predicted,
monitored and handled timely then the team member’s chances for success
within the team increases.
Research shows that if unhealthy conflict goes unresolved for too long, team
members are likely to leave the company or use valuable time to search for
alternatives. The cost of resolving team conflict can involve the salaries of as
many as four employees—the two who are in conflict, their manager and the HR
manager. Thus conflict within a company is costly, resulting in loss of time,
money and productivity. The analysis is subjective. The major objective here is
not to look for precision, rather to understand the importance of effect of conflict
on performance. The idea is to make the managers know the potential savings
that can be made by resolving conflict and transforming into positive peace
settlement between the employer and the employee. All unspecified cost could
be termed as “invisible” or “hidden”. The analysis given below is to emphasize
that every conflict incurs cost not to prove that all cost factors are relevant to
every conflict.
Lost Management Time Cost
A more current study of practicing managers [1] showed that 42 per cent of their
time is spent reaching agreements with others when conflicts occur. To estimate
the amount of time wasted by each person, financial cost can be calculated by
knowing exactly the fraction of monthly or annual salary or wage, including the
value of insurance and other fringe benefits (typically at least 50 per cent of
gross salary). For example, all the four workers wasted 40 hours each during a
six-month period because of conflict disruption in the workplace. For example,
four employees are involved in conflict. Their annual salary is Rs. 2 lakh each.
They wasted 40 hours each during a six-month period because of conflict
disruption in the workplace Roughly they spent 40 hours annually in solving the
conflict. As mentioned above, 40 hours is one week of work time. Thus, in a
year they are supposed to work (40 hrs 52 weeks) = 2080 hours out of which 40
hours is spent in conflict resolution. Roughly, the estimated wasted time could be
calculated as one week. Therefore 52 weeks = 40 hours 52 = 2080 hours. Per
hour wasted would be (in terms of money) 2 lakhs divided by 2080 hours,
multiplied by 40 hours. Total would be by 40 hours multiplied by 4 = Rs.
15,384.62.
Conflict wastes the time of anyone who is involved in it. Various surveys show
that managers spend 30 per cent to 45 per cent of their time dealing with
conflict. We can roughly quantify the time wasted in the conflict between one
Prakash and Madhu by taking their salary and benefits (let’s say Rs. 2 lakh each
annually) and multiplying by 30 per cent. Let us also say that they have been in
conflict for
10 weeks (20 per cent of the year). This is a subjective estimate by works for this
analysis. Rs. 4,00,000 30% 20% = Rs. 24,000. The waste of time in terms of
money (annually) is Rs. 24,000.
Damages/Sabotage/Theft Cost
Studies reveal a direct correlation between prevalence of employee conflict
and amount of damages, sabotage and theft of inventory and equipment. Most of
the cost is hidden as “accidental” or “inadvertent” but is certainly greater than
what most managers realize. Let us assume that inventory and equipment losses
due to conflict amount to 10 per cent of the value of the equipment. In this case,
suppose we have a new laboratory worth Rs. 50,00,000 and it has become the
centre of storm. Later, incidents have caused some losses due to theft, damages
and improper maintenance of equipment. As a result, it costs up to Rs. 50,000 to
the company. So, instead of being productive the laboratory becomes a liability
to the company.
Productivity Cost
Productivity cost includes value of lost time and the opportunity cost of those
involved who would otherwise be producing. Opportunity cost is the value you
might have produced if your productive capacity was not otherwise engaged. If
your organization tracks billable vs. non-billable hours, then quantifying
productivity increase is possible. It requires an analysis of non-billable hours
using metrics that can highlight the time spent on conflict resolution. Another
way is to track the productivity increase associated with learning how to manage
conflict. For example, the time a manager spends dealing with conflict is noted
for a five-day period. The manager’s base salary is 5 lakh per annum (excluding
benefits an hour). This manager typically spends 10 hours within a 40-hour
workweek dealing with conflicts between employees. After attending a conflict
resolution training that costs the company 2000 per employee, the manager is
more effective and only spends 7 hours per week on managing conflict within
his/her team. If he/she spends 3 hours less per week in conflict, (that is Rs. 100
3 hours 52 weeks) there is a productivity increase of rupees per year as a result
of conflict resolution training. Conflicts erode team effectiveness, thwart process
improvement initiatives, and waste time and effort.
Besides the above mentioned invisible/hidden costs, there are other costs
which can be measured or worked out in any prudent organization mentioned as
follows.
Lost Personnel
When employees leave because of unresolved conflict, replacement and
training costs can equal a full year’s salary. Conflict-related illnesses bring
absenteeism, medical claims, and increased benefit administration costs.
Absenteeism
It is the conflict related cost that can be measured. Absenteeism rate
= number of lost working days due to absence/number of employees
number of workdays 100
 A study on absenteeism has been recently analyzed by medical/science
journals and correlated with job stress associated with anger towards co-workers.
This stress, combined with disregard for how one’s absence impacts others, leads
to employees’ choosing to take time off—sometimes excused as “sick day”.
Medical science has determined that nearly every physical illness and injury,
from viral infections to cancer to workplace accidents, are partially
“psychogenic”. That is, they are caused in part by psychological or emotional
conditions. The portion of lost work time that has resulted from targeted conflict
is largely hidden from manager’s direct view, with the possible exception of one
absence.
Calculation can be worked out as follows:
Guideline: 10% of monthly salaries of employees in conflict
If monthly salary is Rs. 10,000 per employee
Therefore for 6 employees, it is Rs. 60,000 and 10% is Rs. 6,000
Suppose supervisor’s salary is Rs. 30,000. So, 10% is Rs. 3,000
Total cost of lost work time will be Rs. 6,000 + Rs. 3,000 = Rs. 9,000
Turnover
Turnover is another cost of unresolved conflict. The business costs and the
impact of employees turnover can be grouped into four major categories:

Severance costs—Voluntary or involuntary

Benefits costs—Compensation, fringe benefits
Recruitment and staffing cycle time costs
Training and development costs

Continuity Cost
Loss of ongoing relationships. It is the lost value of a productive relationship,
both emotional and direct.
Emotional Labour Cost
Managers expend physical and mental labour when they put their bodies and
cognitive capabilities into their job. At the same time they have to show
organizationally desired emotions during interpersonal transactions while
handling conflict. Sometimes they have to be courteous and not hostile in
interactions with co-workers. This creates emotional dissonance which can take
a heavy toll on them. Unmanaged or poorly handled conflict/controversy
generates significant costs in terms of frustration, lost hours of management and
employee time, hampering of productivity, destruction of relationships and high
employee turnover. This factor can be taken as a cost the employee/manager has
to pay.
Cost of Meetings
The evaluations of cost of meeting are generally not mentioned in any
accounting procedure of a company or government offices. There are
administrative wastes though relevant.
Using Table 11.1, it is possible and easier to calculate cost of conflict arising in
modern organization and business.

Table 11.1 ‘Cost Element’ and ‘Estimated Cost’

Estimated
Cost element
value
1. The amount paid to professionals
Lawyers, therapists, accountants, other experts
2. Lost Management time
3. Reduced Decision quality
4. Opportunity cost
5. Training new hire cost
6. Absenteeism cost
7. Cost of turnover
(Recruitment, selection, orientation, training and severance
cost)
8. Continuity cost
9. Emotional labour cost (put a price tag on your pain)
10. Health cost
Physical (medical and on longevity)
Mental (costs related to stress)
11. Cost of meetings
Total cost

The ability to manage conflict is a critical skill in today’s workplace. Many

organizations have identified it as a core competency for managers at all levels.
It is ironic that many executives have hesitated to invest time and money in
improving their employees’ conflict management resiliency when the net added
value to the company’s bottom line can be documented. Demonstrating the costs
of conflict and assessing in financial terms the benefits of conflict management
interventions can assist the HR manager in their role as a credible, strategic
partner to the executive. However, there are several factors/models that can help
in calculating cost of invisible conflicts. First, one must identify which
conflicting model is very familiar to the manager, either by being a participant or
a close observer. It may be a conflict that is still current or one that happened in
the past.
In addition to the already mentioned models, there are several factors that
increase the cost of conflicts. The cost factors listed above are the primary ways
in which a conflict incurs financial cost. However, it is necessary in a
presentation like this to precisely point out that invisible cost in workplace can
be determined by direct and indirect cost analysis and evaluation of such
mechanism requires further research.

SUMMARY
Assessing the cost of conflict helps us to understand the impact of conflict on organizational
productivity. The effect of unresolved conflict can be described in three categories. They are first-
order, second-order and third-order effects. The first-order effect can be easily calculated but the
second order and third order effects are difficult to quantify. Calculation of cost can be done by
focusing on two dimensions of conflict—direct cost and indirect cost. While analyzing the cost of
conflict, factors that can be taken into account are lost management time cost,
damage/sabotage/theft cost, productivity cost, lost personnel, absenteeism, turnover, continuity
cost, emotional labour and cost of meetings.

QUESTIONS
1. Analyze the elements that need to be included while calculating the cost
of meetings.
2. Discuss one conflict situation in your group and find out the factors that
should be taken into account while making conflict cost analysis.
3. Differentiate between direct cost and indirect cost of conflict. Critically
analyze indirect cost factors.

REFERENCES
[1] Watson, Carol and Richard Hoffman, 1996, Managers as Negotiators by Leadership Quarterly 7(1).
[2] Omiko Nelson and E.L. Rout, 2004, Invisible Conflict Cost: A Rise of Absenteeism or Administrative
Ignorance, Paper presented in XIV Annual Conference of NAOP , Indian Institute of Technology,
Kharagpur, Department of Humanities & Social Sciences, 2004.
 Chapter 12
DEALING WITH PERSONALITY
CONFLICTS AND PROBLEM
EMPLOYEES
LEARNING OBJECTIVES
• Know the personality differences that can cause conflict.
• Understand personality types (MBTI) and how they respond
to conflict situations.
• Appreciate different personality types and how they handle
conflict.
• Understand the impact of conflict on different personality
traits.
• Recognize problem employees, problem behaviours and the
ways to handle them.

Personality is a distinctive constellation of relatively stable behaviours, thoughts,

motives and emotions that characterize an individual. It includes all the
behaviour patterns, i.e. conative, cognitive and affective, and covers not only the
conscious activities but goes deeper to semi-conscious and unconscious levels as
well. It is the unique way an individual responds to people, situations and things
that are more or less consistent. It is not static but dynamic and ever in the
process of change and modification. Each individual has unique set of qualities.
These qualities affect how the individual deals with situations including
conflicts. “Since our goals are in part determined by our personality, and no two
people have the same personality, one person’s goals will often not match very
well with another person’s goals. It is during these times that conflicts tend to
erupt. However, understanding the other individual’s personality type may make
it easier to manage conflict in order to keep conflict ‘under control’ till a solution
is reached [1].
12.1 PERSONALITY CONFLICT IN WORKPLACE
Our behavioural response to particular circumstances is determined by our
inherent personality characteristics as well as circumstances or events in our
environment [2]. Indeed, most of the current researches emphasize that it is an
interaction between the personality characteristics we bring to any situation, the
concrete aspects of the situation itself and our interrelations with other people.
For example, flexibility as a personality trait refers to the ability to adapt to the
situation. It is one of the important traits for professionals like doctors. Here we
can assume people in this profession to be flexible. Inspite of this assumption,
people in the same work environment are very different from each other. There
are people with whom we like and work well with, even though there is little in
common between us. At the other end of the spectrum are those with whom we
find it difficult to interact and with whom we are likely to clash over seemingly
trivial matters [2]. It is not uncommon for these situations to arise in different
forms of intensity and frequency and is also not limited to the colleagues only.
Problems with the boss or subordinates are also inevitable and need to be dealt
with in a manner appropriate to the situation.
Managerial work is essentially a social activity and, as such, the duties and
responsibilities of managers can be understood within the context of specific
organizational setting. They work within the network of social relationships. It
may or may not be governed by formal rules and regulations. Thus, they need to
develop an understanding of personality differences to help them understand,
predict and even influence the behaviour of other persons while handling
conflicts.

12.2 PERSONALITY TYPES AND RESPONSE TO

SITUATIONS
Understanding personality types helps in dealing with conflict as it focuses on
valuing differences as well as similarities. It positively contributes towards
improving understanding and co-operation. In this context, Carl Jung’s theory of
personality can help us to understand people well. He emphasized that there are
four functions of mind: (1) sensing (noticing through the sights, sounds, smells
and all the sensory details of the present), (2) thinking (analyzing information in
a detached, objective fashion. It deals with factual principles, deduces and forms
conclusions systematically), (3) feeling (forming conclusions in an attached and
somewhat global manner. It takes into account likes/dislikes, impact on others,
and human and aesthetic values. It is our subjective nature), (4) intuitive
(understanding, interpreting and forming overall patterns of all the information
that is collected and recording these patterns and relationships. It speculates on
possibilities and forecasts the future. It is imaginative and conceptual).
Thinking and feeling were termed rational by Jung because they involve
judgment and reasoning. In contrast he called sensing and intuition irrational
because conscious reasoning is virtually absent from these processes. All people
use both judging (thinking and feeling) and perceiving (sensing and intuition)
processes to store information, organize thoughts, make decisions, take actions
and manage one’s life. Yet one of these processes (judging or perceiving) tends
to take the lead in our relationship with the outside world while the other
governs our inner world. A Judging (J) style approaches the outside world with
a plan and is oriented towards organizing one’s surroundings, being prepared and
making decisions. They focus on task-related action and work out every detail of
the task before moving on. It helps them to avoid stress because they work ahead
of deadlines, and naturally use targets, dates and standard routines to manage
life. A Perceiving (P) style takes the outside world as it comes and is adopting
and adapting, flexible, open-ended and receptive to new opportunities and
changing plans as and when required. People possessing perceiving
characteristics are comfortable moving into action without a plan; like taking
many tasks at a time, prefering to mix work and play, naturally tolerant of time
pressure; working best close to the deadlines, and instinctively avoiding
commitments which interfere with flexibility, freedom and variety.
In addition to these functions, there are two different attitudes : extroversion
and introversion. Extroverts direct their libido (psychic energy) towards things in
the external world, whereas introverts are more inwardly focused. While these
are two different but complementary sides of our nature, most people have an
innate preference towards energy from either the outer or the inner world. Thus
one of their faces, either the extroverted (E) or introverted (I), takes the lead in
their personality development and plays a more dominant role in their behaviour.
The combination of these two attitudes with the four functions yields different
personality types.
“For example, a person whose dominant function is feeling and whose
dominant attitude is extroversion; the “feeling” tendencies of the person would
be directed outward. The person would make friends readily, would tend to be
loud, and would be easily swayed by the emotional feelings of others. If
however, the predominant attitude were introversion, the “feeling” tendencies of
the person would be channelled into introspection and a preoccupation with
inner experiences that might be interpreted as cold indifferent and, ironically, a
lack of feeling by observers. Thus, you can see that any dominant function may
take on a very different flavour when paired with one or the other of the two
attitudes, yielding eight very different categories or types of personalities” [3].
This typology is the basis of well-known personality inventory that is known
as Myer-Briggs Type Indicator (MBTI). They have identified 16 different
personality types when the functions and attitudes of personality types are
combined as explained by the Jungian theory of personality. They are presented
as follows.
ESTJ ESTP ESFJ ESFP
ENTJENTPENFJENFP
ISTJ ISTP ISFJ ISFP
INTJ INTP INFJ INFP
where E = Extroversion, I = Introversion, S = Sensing, N = Intuitive, T =
Thinking, F = Feeling, J = Judging and P = Perceiving.
The MBTI categorizes sixteen different behaviour combinations, but there are
four hundred crore people in the world, and each is a unique individual. People
are simply too complex to be categorized into sixteen different groups and
expect them to act in the same way. But the use of MBTI gives a fair picture of
the various types of people and helps in negotiating with them. These sixteen
different personality types are described as follows.
ESTJ (Extrovert, Sensing, Thinking and Judging)
They verbalize thought (extroverted), look for practicality (sensing), do logical
analysis (thinking), and decide on time deadline (judging) [4]. They can be
described as assertive, practical, rational, and decisive. The ESTJ is an
organized, take-charge person who brings others into line by assigning tasks and
roles, giving clear-cut instructions, following up regularly to check progress and
giving formal recognition to those who do as they’ve been told. The ESTJ will
be good at enforcing existing policies, rather than at innovating. ESTJ’s find it
difficult to work with people who cannot present ideas intelligently.
ESTP (Extrovert, Sensing, Thinking and Perceiving)
They verbalize thoughts (extroverted), look for practicality (sensing), do logical
analysis (thinking), and decide on event deadline (perceiving) [4]. ESTPs can be
described as outgoing practical thinkers, who observe in detail, deal with a large
amount of information and analyze cause-effect relationships that are free from
the biasing influence of theory, tradition or emotion. They are resourceful
trouble-shooters, dynamic entrepreneurs and engaging negotiators. The
spontaneous, competitive and generous ESTPs turn work into play. They value
teamwork. They like to discuss tangible problems and solution that has
immediate effect on them. On the other hand, they find it difficult to work on
issues and ideas that heavily rely on theory and have no immediate application.
While dealing with these types of people, practical solution or prototype or
feasibility model should be provided.
ESFJ (Extrovert, Sensing, Feeling and Judging)
They verbalize thoughts (E), look for practicality (S), do human analysis (F), and
decide on time deadlines (J) [4]. ESFJs are outgoing, sociable, practical and
organized. They are warm, friendly, realistic and like harmony and lead by
example. They are good team players. They combine factual analysis with
human interactions instead of logical analysis. Duty, personal service, manners
and social order are the second nature to this type. This caring type ESFJ has
little tolerance for those whose actions or omissions hurt others’ feelings, and
they may let the offender know. They loathe conflict. They derive personal
satisfaction from helping others but need verbal and tangible strokes of
appreciation for their good work.
ESFP (Extrovert, Sensing, Feeling and Perceiving)
They verbalize thought (E), look for practicality (S), do human analysis (F), and
decide on event deadline (J) [4]. The ESFP is warm, outgoing, optimistic and
caring—a cheerful person who is always ready for a good time and avoids the
company of people who take himself/herself too seriously. They are naturally
gifted at observing human behaviour and figuring out what others want. Their
combination of realism and concern for others makes them excellent crisis
solvers, so they are often seen as the mediators in negotiations [4]. They prefer
projects that are practical and have immediate human benefit. They put little
emphasis on logical analysis. So much so that this type may not like to do the
work that expects seriousness, formality, logic, conceptual thinking, organization
and punctuality. When put in situation where they have to work alone they find it
difficult to carry on.
ENTJ (Extrovert, Intuitive, Thinking and Judging)
They verbalize thoughts, look for possibilities (N), do logical analysis (T), and
decide on time deadlines (J) [4]. They can be described as outgoing, logical and
decisive. ENTJs handle work by providing conceptual structure and setting goal
rather than by detailing and enforcing procedures, codes and regulations. They
can handle situations very well where there is disorganization, confusion and
inefficiency. Being intuitive by nature they visualize and define goals and work
on them to give a concrete shape to their vision. Since they are not good at
feeling function, their decisions may appear to be uncaring and detached. They
follow specific procedures and go for details while doing any work. They ignore
data and facts unrelated to logical conclusions. This can be a reason for conflict
to arise in a work set-up.
ENTP (Extrovert, Intuitive, Thinking and Perceiving)
They verbalize their thoughts, look for possibilities (N), do logical analysis (T)
and decide on event deadlines [4]. They can be described as enthusiastic,
outgoing, analytic idea people. They may face problems in dealing with long-
range planning, coping with structured working situations and authority figures
and maintaining good interpersonal relationships. Entrepreneurship may meet
this type’s needs when more conventional business situations are unattractive.
They are good visionary, promoter, marketer and instigator. They are good at
problem solving but not good at mundane work. They have a tendency to
underestimate time. They can be described as independent, non-conforming and
sometimes a little rebellious and confrontational. It may lead to conflict in
workplace.
ENFJ (Extrovert, Intuitive, Feeling and Judging)
They verbalize their thoughts, look for possibilities (N), do human analysis (F)
and decide on time deadlines (J) [4]. They can be described as outgoing,
imaginative, caring others feeling and decisive. They easily make friends, adapt
to a new group, easily break unwanted relations and compare their own opinion
with the opinion of others. They see possibilities, rely on inspiration, dislike
routine and jump to solutions. They are interested in everything new and
unusual. They are attracted more to the theory than the practice. They understand
people, desire harmony and stress on interpersonal relations. Their decision is
based on personal emotions and values. They enjoy decision-making and this
gives them control over the events and regulate things. They often have doubts
and do not like to leave unanswered questions, plan work ahead and love to
finish it in time. They do not like to change their decisions. This may sometimes
lead to conflict with co-workers.
ENFP (Extrovert, Intuitive, Feeling and Perceiving)
They verbalize their thoughts, look for possibilities (N), do human analysis (F),
and decide on event deadlines (P) [4]. ENFPs are open-minded, imaginative,
caring and outgoing. They are oversensitive and they do not like if people
feelings are not taken into account. Most ENFPs find jobs that demand strict
compliance with rules, regulations and procedures, and attention to logic, facts
and details as stressful. They have short attention span and diversity of interests.
It can be a big hindrance for them in accomplishing their goal. It can be an issue
for conflict.
ISTJ (Introvert, Sensing, Thinking and Judging)
They mull decisions privately, look for practicality, do logical analysis and
decide on time deadlines [4]. ISTJs can be described as quiet, serious,
responsible, sensible, patient, conservative and loyal. They are sometimes averse
to new ideas because of their traditional mind-set. ISTJs function well in jobs
requiring accurate record keeping of facts and figures. They will be good at
enforcing law, policy and procedures. The values that represent ISTJs’ values are
hard work, honesty, politeness, timeliness and faithfulness to family, friends and
work.
ISTP (Introvert, Sensing, Thinking and Perceiving)
They mull decisions privately, look for practicality, do logical analysis and
decide on event deadline [4]. ISTPs are factual, sensible, logical and reflective.
ISTPs are good at analyzing complex systems and introducing change to
improve productivity and efficiency. They tend to be objective, competitive and
coolly rational in most life pursuits. Many a time they overstep or side steps
regulations, codes and laws. That can be the root cause of conflict.
ISFJ (Introvert, Sensing, Feeling and Judging)
They mull decisions privately, look for practicality, do human analysis and
decide on time deadline [4]. ISFJs are private, faithful, sensible and sensitive.
They can be described as shy, modest and unassuming. They have great
organizational skills. ISFJs volunteer their help generously, often behind the
scenes. They prefer a stable, organized, well regulated and scheduled life, even if
someone else is to control what will happen and when. They dislike jobs that
require only systems and factual analysis.
ISFP (Introvert, Sensing, Feeling and Perceiving)
They mull decisions privately, look for practicality, do human analysis and
decide on event deadline [4]. ISFPs are quiet, practical, sensitive and
spontaneous. They choose their field of work that involves a variety of human
services. The ISFP values independence strongly and tends to retreat or escape
from situations which become too unpleasant, confining or demanding.
INTJ (Introvert, Intuitive, Thinking and Judging)
They mull decisions privately, look for possibilities, do logical analysis and
decide on time deadline [4]. They can be described as independent, innovative,
logical and driven by the inner world of ideas and possibilities. They are the
critic of status quo and believe that reality can be altered or future can be
reshaped. They are focused and obsessive about their mission. INTJs place their
trust in logical analysis and intuition to guide their thoughts and decisions.
Others may interpret them as devoid of emotion and accuse them of being
unrealistic. In reality they are practical types and take their cues mostly from
those they recognize as intelligent. Often they are attracted to theoretical,
analytical and methodological areas of inquiry. These people as leaders may
invite conflict and problems in work set-up.
INTP (Introvert, Intuitive, Thinking and Perceiving)
They mull decisions privately, look for possibilities, do logical analysis and
decide on event deadline [4]. They can be described as private, intellectual,
impersonal, analytical and reflective. The INTP appears to value ideas,
principles and abstract thinking above all things. They prefer academic or
research careers attractive, as they prefer abstract and theoretical subject. They
are the visionaries in the field they choose and prefer to make their contributions
in relative solitude. They do not like mundane details of life as they are guided
by intuitive thinking. It may lead to conflict in workplace. Often perceived to be
arrogant and aloof, they are quiet and sometimes reclusive. It is difficult for them
to understand the feelings of others. Work that demands human touch may be
difficult for them to handle.
INFJ (Introvert, Intuitive, Feeling and Judging)
They mull decisions privately, look for possibilities, do human analysis and
decide on time deadline [4]. INFJs are intuitive, caring, quiet and peace loving,
deep and complex people who may seem equally good in dealing with the
personal and analytical spheres of life. The comfortable domain for them is
interior world of vision and ideas but some degree of human connection is
essential for the INFJ’s happiness. They are articulate, empathetic and idealistic.
INFJs seem to be able to feel others’ feelings vicariously and sense the good and
evil in situations. Once this type’s goals are set and the mind is made up, no
argument based solely on reason and practicality is likely to divert the passionate
INFJ from a mission or chosen project.
INFP (Introvert, Intuitive, Feeling and Perceiving)
They mull decisions privately, look for possibilities, do human analysis and
decide on event deadline [4]. INFPs are quiet, creative, sensitive and perceptive
people who are often perceived by others as shy, reserved and cool. A strong
inner sense of values, rather than by conventional logic and reason guide their
behaviour. They prefer creative work than facts and figures of real world. They
are more of a mystical type. Sometimes it creates problem in work set up that
requires fact and figures and logical analysis.

12.3 CONFLICT HANDLING STYLES OF

DIFFERENT TYPES OF PERSONALITIES
An individual’s behaviour can be understood in the context of five underlying
factors [5]. Those factors are: (i) emotionality (how individual reacts to the
situations in public); (ii) self concept (about one’s ability, skill, knowledge and
how it influences his attitude towards others, his perception of others and in
general his social interactions); (iii) fear of punishment (it is a reflection of
socialization and acculturation process in terms of what is acceptable behaviour
and what is not, what to do and what not to do. Extreme fear of punishment
makes one excessively defensive and takes away the initiative to act, while a
lesser degree of fear of punishment makes one adventurous, risk taking,
dominant and aggressive); (iv) rigidity—flexibility (influences how one resolves
issues or problems, either in very habitual and well denied ways or in original,
different and innovative ways and how effectively can one adopt or adjust to
environmental and situational demands); and (v) clarity of goals (how clear one
is about the tasks and goals that one need to accomplish. Greater clarity assists in
better planning and selection of appropriate alternative for task completion).
On the basis of these dimensions, eight personality types are identified [5].
They are squealer, ostrich, conformist, bravado, opportunist, accommodator,
vanquisher and strategist [5]. Each personality type has different conflict-
handling styles [5]. They are described as follows:
Squealer This is a person with high emotionality, low self-concept, high fear of
punishment, high rigidity and low clarity of tasks/goals. The personality traits
that describe squealer are stubborn, argumentative, critical, flighty, wordy,
shallow, resentful, extra punitive, conservative, easily swayed, impatient,
sceptica, etc.
 By nature, the squealer is highly emotional. His conflict-tolerance level is low
and he is easily upset, becomes tense and anxious when a situation is felt to be
above his tolerance level. The squealer is low on conflict management skills. He
tries to avoid conflicts and if necessitated to face them, exonerates himself by
blaming or finding faults in others. The conflict management styles generally
adopted by them are avoidance, verbal aggression and punitive behaviour.
Ostrich They are moderately emotional, have low concept of themselves, are
aware of their inabilities and have low self-confidence. Conflict tolerance level
is found to be low in this type of personality and he/she is found to have high
fear of punishments. Therefore they like to avoid situations. They are able to
handle situations of less than moderate or moderate difficulty and are
conservative and rigid. Few personality traits that help us to recognize ostrich
personality are slow, easy going, not ambitious, conservative, cold, aloof, shy,
withdrawn, indecisive, silent, defensive and high fear of ailure.

People having ostrich personality have low conflict tolerance levels and they
get wary of situations. They like to hide behind the rules than to face conflict.
The conflict handling styles generally adopted by them are withdrawal,
avoidance, freeze-over or surrender.
Conformist The conformists are low on expressed emotionality, have low self-
concept of themselves, tend to be more relation-oriented and less outcome
oriented. They are moderate relating to clarity of goals, fear of punishment and
rigidity. They can be described as receptive, consistent, patient, stable, rigid,
slow, not-ambitious, predictable, cooperative, conservative, moralistic, scared,
bound by procedure, self-critical, overly dependent, trustful, of impersonal
obedience and introunitive.

They are passive, dependent and docile and are anxious to please others,
especially superiors. The conflict handling styles generally used by them are
appeasement and conformity.
Bravado They are high on emotionality and exhibit a high
self-confidence due to an inflated self-concept. They tend to have ‘I am OK and
you are no OK’ attitude. Certain behaviour patterns in people having bravado
personality are reckless, brash, stubborn, overbearing, risky, independent, tough,
self-centred, resentful, easily swayed, belligerent, impulsive, explosive, blunt,
unbending, rebellious, persistent and retaliating.
Bravados are moderate to above in task competence and moderate to less than
moderate in fear of punishment, are partly flexible and moderately clear about
goals. They have high need to be included and to receive affection. They have
relatively high need for ‘ends’ than ‘means’. They focus more on goal and task
than person orientation and exercise control over others’ behaviour. While
handling conflict situation, they generally give more emphasis on position,
power, confrontation and coercion.
 Opportunists They are moderately or less than moderately emotional, above
average in competence and are self-confident. They have better goal clarity
compared to others and have more than average behavioural flexibility.
Opportunists are good in interpersonal relations. They are partly concerned with
ends and means and attempt to exhibit any of these orientations, contingent to
the situation and personal advantage. They can be described as aggressive,
competitive, diplomatic, enthusiastic, flashy, slick, inclined to oversell,
superficial, self-centred, cautious, less moralistic, selfish andsecretive.

Their frequent used handling styles are manipulative and opportunistic. If the
situation is beyond their control, they prefer to compromise.
Accommodators Such individuals can be explained by the traits like receptive,
social, convincible, cordial, warm, accommodating, dependable, consistent,
patient, amiable, stable, steady, predictable, systematic, cooperative, precise,
trustful, integrative (of other’s ideas), self-sacrificing and intra-persistent. They
play the role of close associate and supporter and give more importance to their
relationship with others and are acommodating.
 Accommodators are average in task competence and moderate to more than
moderate in self-confidence and are behaviourally flexible and have clarity of
goals. They are willing to do whatever they are capable of in terms of their
moderate or more than moderate ability. For tasks beyond their ability they need
structuring of the task, direction and the necessary socio-emotional support.
They have high need to be included in the activities of others. They like to be
controlled by others in terms of direction without affecting personal freedom and
discretion. They like to have close personal relationships with others in terms of
warmth, intimacy and sharing. Accommodators tend to be affectionate and
accede to the wishes of others. Their cognitive orientation can be understood in
terms of external locus of control and more concern for instrumental rather than
terminal values. They are relatively high in person orientation than task
orientation and are adoptive, adjustive, trustful and have altruistic behaviour.
They handle conflict situations by being altruistic, nurturing, accommodative
and soft bargaining.
Vanquisher These can be described as brave, bold, forceful, dynamic, decisive,
self-reliant, demanding of others, adventurous, poised, persuasive, determined,
exacting, enthusiastic, influential, independent, individualistic, task-oriented,
possessing high sense of achievement and extr-persistent.
 Vanquishers are high in task competence hence they are outcome-oriented
rather than person-oriented. They have high self-concept and high self-
confidence, low fear of punishment, wide repertoire of behaviour and clarity of
goals. The behavioural traits of these people can be described as having internal
locus of control and relatively high concern for ends than means. Their attitude
to others is “I am OK and you are not OK”. They prefer to dominate and control
and influence others and sometimes could be sadistic. They handle conflict
situations by confronting and persuading the parties both emotionally and
rationally.
Strategist They are high on self-confidence and goal clarity. They have a
realistic assessment of their strengths and weaknesses. They can be described as
decisive, inventive, original, positive, self-reliant, receptive, persuasive,
convincing, intuitive, diplomatic, amiable, stable and steady, open-minded,
influential, logical, considerate and realistic, problem solver, possessing high
sense of achievement and inter persistent. They have flexibility in the expression
and want these needs as appropriate to the situation. Their attitude can be
described as “I am OK and you are OK” and productive, reactive and creative.
They handle conflict situations by using more of expert power, charisma than
position power, collaboration (win-win), problem solving approach and
compomising style.
12.4 IMPACT OF CONFLICT ON DIFFERENT
PERSONALITY TRAITS
Personality can be captured by five big personality traits. They are extroversion,
agreeableness, conscientiousness, neuroticism and openness. Extroverted people
tend to be energetic, enthusiastic, dominant, sociable and talkative. Introverted
people tend to be shy, retiring, submissive and quiet. Agreeable people are
described as friendly, cooperative, trusting and warm. People low in this
dimension are cold, quarrelsome and unkind. Conscientiousness people are
generally cautious, dependable, organized, goal-oriented, mindful of details and
responsible. Impulsive people tend to be careless, disorderly, and undependable.
Neurotic people by nature are nervous, tense and worrying. They experience
emotional instability. Anxiety, moodiness and irritability are the common
features found in them. Emotionally stable people are calm and contented.
People having the trait of openness to experience generally appear imaginative,
witty, original and artistic. Those who are low in this dimension are described as
shallow, plain and simple.
Conflict is inherent to working in organizations [6]. Its impact on the person
varies from trait to trait. Introverted people experience more stress than the
extroverted people. Few other impacts can be characterized as psychosomatic
complaints, burnout, and mental health [7]. Poor social relationship cause more
stress. Individuals high in agreeableness, extraversion and emotional stability
interpret conflict situations differently from individuals that can be characterized
as disagreeable, introvert and neurotic. Indeed, it is low agreeable, low
extraverted and low emotionally stable individuals that suffer most from conflict
[8]. Studies thus point out that personality has important role to play while
interpreting the conflict situation.
Individuals high in agreeableness are trusting, cooperative, altruistic,
compliant and “moved by others” [9]. Those who are low in agreeableness have
been described as antagonistic, competitive, cynical, callous, ruthless and cruel,
and they tend to experience and express hostility. Agreeable persons experience
more subjective distress when they encounter interpersonal conflict. However,
once conflict is experienced, agreeableness may colour the ways in which
individuals perceive, interpret or make sense of that conflict situation [10]. High
agreeable individuals in their pursuit of harmonious relations generate more
positive attributions to otherwise provocative behaviour than low-agreeable
persons would do [11]. This in turn allows them to minimize the negative impact
of conflict [12]. Individuals low on agreeableness react to conflict
with greater negative affect than those who are high in agreeableness [13 & 14].
Individuals low in agreeableness, extraversion and emotional stability are
vulnerable and suffer the strongest health consequences when they encounter
conflict. Although personality characteristics cannot be changed overnight,
individuals can be taught to deal with the inconvenient consequences of their
personality structure. The importance of emotional stability suggests for example
that coaching and training programs focused on enhancing a person’s stability
could very well also have positive implication for their ability to handle
conflicts. Instead of increasing the capability of handling the consequences of
their personality characteristics, another option may be to change the
environment of the employee. Individuals, most vulnerable to the negative
consequences of conflict, should then occupy less conflict prone places in the
organization and as a result, make a better “fit” with their environment [15].

12.5 RECOGNIZING AND HANDLING OF

PROBLEM BEHAVIOURS
Personality conflicts are a common feature in any workplace. It is perhaps one of
the most challenging areas of corrective action. One cannot discipline or
terminate someone simply because of ‘bad attitude’ or ‘poor personality’. It can
only be done if personality problems can be defined in terms of behavioural
problems that are affecting job performance. For example, instead of saying
“your attitude was negative in the yesterdays meeting,” it can be said, “it is
inappropriate to be sarcastic. It will be better if you can give some constructive
suggestions.” The problem needs to be defined in terms of problem behaviours
and accordingly actions or steps should be carved out to handle behavioural
problems. If the inappropriate behaviour still continues, manager can use
progressive discipline process. Managers must always remember that they are
responsible for their subordinate’s performance. Before pinning blame on the
employee they must ask themselves what he/she shouldn’t do that may
contribute to the employees’ poor performance. Managers need to understand
that all people do not see the world in the same way as them. Rather they should
attempt to look at it from their employees’ point of view. Managing discipline
among difficult employees requires good judgment and common sense.
Problem employees are irritating, frustrating and embarrassing to their
managers [16]. It is unwise to ignore the problem employees because that may
lead to a disasterous situation. Some common types of problem employees to
look for are: people who do not show up for work and waste time. They are
described as time wasters, the bathroom hiders, and the lunch lizards. People
with bad attitudes are described as the backstabbers, wedge drivers and
busybodies who undermine the boss [17]. These people can also be listed as “the
sniper, the complainer, the exploder, the know-it-all, and the passive” [18].
Regardless of which list you use, or what you call these people, their behaviour
must be addressed as soon as possible in order to minimize their negative effect
on others and the organization. The problem behaviours can be categorized in
the following manner that will be much easier for the manager to understand.
Poor attendance Absenteeism and tardiness are included in the problem of
poor attendance. Some absences are caused by legitimate medical reasons.
Problem employees may find it easier to respond to the situations. Another way
employee may irritate the manager can be through tardiness. A tardy employee is
one who comes to work but arrives later than the designated time. Tardiness is a
type of short period of absenteeism ranging from a few minutes to several hours
for each event, and it is another way in which employees physically withdraw
from active involvement in the organization. It may impede the timely
completion of work and disrupt productive relationships with co-workers [19].
This can be a serious charge that can lead to discharge. Managers while dealing
with this type of problem behaviour should first of all find out: What is the cause
behind absenteeism? Is the attendance rule reasonable? Has the employee been
warned of the consequences of poor attendance? Are there any mitigating
circumstances that should be taken into consideration?
Poor performance When an employee’s behaviour or performance falls below
the required standard it can be termed as poor performance. Poor performance is
an issue that worries managers and employees alike. It is of concern to senior
managers because it is a measure of how effectively the organization is led.
Sooner or later, every manager must deal with employees who perform poorly
and who do not respond to coaching or feedback. Sometimes the poor
performance is so serious that it requires immediate intervention.
Insubordination This refers to the unwillingness of employees to carry out
their manager’s directives that are essential to a business’s effective operations.
When an employee refuses to obey a direct order from a supervisor, it is a direct
challenge to the management’s right to run the company. Insubordination also
occurs when an employee is verbally abusive to a supervisor.
Violence Problem behaviour can be exhibited through violence, or various
forms of verbal or physical aggression at work. Although the source of violence
can include customers and strangers, effect is the same—millions of workers are
the victims of workplace violence today.
Making Effort to Motivate Problem Employees
The reason behind problem employees can be lack of motivation or expectations
from the job or requirements of the job that have not been adequately
communicated to them. A lack of motivation could be caused by a number of
problems including personal, family and financial. Help employees to recognize
and understand the negative consequences of their behaviour. One of the best
ways to motivate employees is to make them believe that their effort will lead to
good performance, and the good performance will lead to preferred outcomes.
Employees sometimes believe that by putting forth a great effort, they will
accomplish a lot. Few other employees also do not expect their efforts to have
much effect on how well they do. In the case of problem employees they have a
negative expectancy or doubt if effort will lead to performance or that
performance will lead to outcomes.
Expectancy theory can be used to derive practical tips for managers while
handling problem employees. There are nine questions a supervisor should ask
when a problem employee is detected [20]. They are:

1. Does the employee have the capability to perform the job well?
2. Does the person lack in the necessary skills?
3. Does the employee believe that he or she can perform the job well?
4. Does the employee have to work hard to perform the job well?
5. Does the employee know the difference between good and bad
performance?
6. Does an employee believe the manager will deliver on promises?
7. Do subordinates believe that all individuals receive similar preferred
outcomes for good performance and similar less preferred outcomes for
poor performance?
8. Do the outcomes associated with good performance reward the
individual?
9. What does it cost an individual, in effort and outcomes forgone, to
 perform well?
10. Does the manager communicate with the subordinate?
11. Does the manager give continuous feedback?
12. Are expectations clear?

How you resolve a problem will largely depend on its cause. These questions
can work as a diagnostic tool for the managers. They can work on all these areas
in order to solve the problems.

1. Sometimes managers assume that employees have the capacity to do the

job that has been assigned to them. Instead, they should take an active
interest to build the capability of the new hire. Otherwise, a new employee
may quickly become a problem employee. For the older employees, these
areas can be compensated by being supportive, or putting them through
training programs. Help them to align goals of the organization with goals
of employees.
2. The employee may be having the capability to do the work, but lack
confidence to do the work. This can be handled by expressing confidence
in the subordinate, which will eliminate the passive employee. A
supportive communication is required.
3. Managers should provide challenging work to the employees depending
on the capability and confidence of the person regarding the job. Jobs,
that are simple and in which the workload is less, help employees to
invest their energies in some other thing that may go against the interest
of the company. There should be a right mix among all these factors. That
makes employees productive instead of being a problem employee.
4. Employees should know the difference between good and bad
performance. When an employee is new, it is critical that positive
performance is commended and negative performance is specifically
addressed in a constructive manner.
5. Problem employees often arise when the manager gives promises
regarding promotion or recognition or bonuses but later do not come
through. Effective managers are those who deliver on their promises , no
matter how small a promise is and to whom they gave it. It enhances the
credibility of the manager.
6. Managers need to treat all employees the same way . The good performers
should be treated equally better, at the same time bad performers need to
be treated equally negatively at the same level. If manager is not partial
 and can maintain consistency while applying rules then the number of
problem employees will be less. The managers should not give mix
signals. By doing so they lose credibility. For example, one employee
who is constantly late may never be reprimanded while another might be
disciplined for being five minute late.
7. The nature of reward for a good performance can be monetary and non-
monetary . Many managers make the mistake of thinking that money is
the only compensation and forget that employees also look for non-
monetary rewards for their good performance. The most overlooked
source of compensation for an employee is a simple “Thank you” or a
small appreciation.
8. Employee motivation programs need to be supported by using
organizational systems (for example, policies and procedures) that are
reliable, transparent and comprehensive. For example, establish
compensation systems, employee performance systems, organizational
policies and procedures, to support employee motivation. At the same
time establish various systems and structures that help ensure clear
understanding and equitable treatment of employees.
9. Managers while assigning projects to employees should take into
consideration the number of hours the work demands. It is necessary to
consider the employee’s life outside the company also. If work demands
most of the time of the employee, then the employee could become a
problem employee simply because he/she cannot devote the time
necessary for other personal and office work.
10. There should be a proper communication between the superior and
subordinate. A well-designed appraisal system can communicate the
organization’s objectives and motivate employees. Line managers need to
develop clear, under-standable, measurable objectives for each position
and both parties should agree on a standard of performance as well as the
targets to be delivered. Employees need to know what constitutes an
acceptable level of performance, below which their organization will
consider their performance “wanting”. Performance appraisal in a year
can help employees to know their contribution to the company’s
productivity.
11. It is necessary that feedback be provided on a continuous basis. If it is
provided only during an employee’s performance rating period, it is no
more taken as feedback rather a punishment. The feedback should be
immediate and ongoing; specific (provide examples to illustrate what you
 mean); manageable (limit it to several key points that the employee can
absorb and act on); understood by the employee, even if he or she
disagrees with it; focused on improvement. The assessment should focus
on the behaviour of the person and not on the person’s nature. The
deficiencies and exact need should be conveyed to the employees and if
needed helped to improve it.

SUMMARY
Conflict arises in a workplace because of personality differences. Manager should have
knowledge about different personality types and how they understand and react to the outside
environment. Each personality type has a unique way of responding to the conflict situation. The
impacts of conflict on different personality traits have been studied. Researches have shown that
introverted people experience more conflict and stress compared to extroverted people.
Individuals low in agreeableness, extraversion and emotional stability are vulnerable and suffer
the most severe health consequences when they encounter conflict. Agreeable people experience
more subjective distress when they encounter interpersonal conflict. Persons, who are low on
agreeableness trait, react too negatively to conflict situation than those who are high on
agreeableness.
Conflict due to personality can be handled by interpreting it in terms of behavioural problems.
Some of the problem behaviours are: poor attendance, poor performance, insubordination, and
violence. Suggestions for the managers to handle such behaviours are discussed on the basis of
expectancy theory.

QUESTIONS
1. Describe the personality types based on Myer-Briggs Type Indicator.
Critically analyze the type of work situations and nature of work that will
have potential of conflict for each type of personality. As a manager,
suggest ways to overcome the problem.
2. Discuss conflict-handling styles of different personality types as
described by Harigopal.
3. “Poor social relationship causes more stress.” Elaborate the statement on
the basis of impact of conflict on different personality traits.
4. What are the indicators of problem behaviours? Discuss ways to handle
it.

REFERENCES
[1] Wilmot and Hocker, http://www.emporia.edu/communication/students/crpaper1.htm.
[2] Edelman, R.J., 2000, Interpersonal Conflicts at Work , The British Psychological Society Book,
University Press (India) Limited.
[3] Friedman, H.S. and M.W. Schustack, 2004, Personality: Classic Theories and Modern Research , 2nd
ed., Pearson Education.
[4] Anastasi, T., 2000, How to Negotiate with Different Types of Personalities , Jaico Publishing House,
Mumbai, India.
[5] Harigopal, K., 1995, Conflict Management: Managing Interpersonal Conflict , Oxford & IBH, New
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 .
INDEX
Accommodation, 84
Accommodators, 265, 266
Administrative orbiting, 66
Adult ego state, 211
Adult-adult transaction, 213
Adult-child transaction, 214
Adult-parent transaction, 214
Affective conflict, 10, 19, 33, 43, 238
Agenda control, 152
Aggressive conflict stage, 35
Agreement seeking behaviours, 239
Alternative dispute resolution, 171
Analyzer, 90, 92, 93
Approach–approach conflict, 26
Approach–avoidance conflict, 28
Arbitration, 169, 170, 171
Arbitrator, 165, 169
Assertiveness, 199, 201
Attacking, 146
Attitudes, 5
Attitudinal structuring, 139
Avoidance, 84, 108
Avoidance–avoidance conflict, 27

Balloon, 159
Bargaining process, 149
Bargaining zone, 135
BATNA, 140, 141
knowing, 149
Behavioural aspects, 5
Behavioural modification techniques, 103
Behaviours, 5
Blabbermouth, 207
Blind spot, 207
Boulding, 15
Brainstorming, 229
Bravado, 264
Bulldozer, 159
Calms, 99
Carl Jung’s theory of personality, 255
Caucus, 168
Central tendency, 204
Checklist, 185
Child ego state, 212
Child-adult transaction, 216
Child-child transaction, 217
Child-parent transaction, 216
Cognitive conflict, 11, 20, 238
Cognitive dissonance, 56
Cognitive perspective, 7
Communication, 44, 69, 122
Communication orientations, 92
Complainers, 99
complete, 160
Complementary transactions, 213, 218
Conceptualization, 12
Concomitant approach, 39
Conflict, 4, 5
and performance, 17, 19
behavioural signs, 41
causes, 188
cognitive aspect, 5
components, 5
cost, 247
desired level, 81
dynamics, 15
effect, 245
handling, 114
high level, 18
human relations view, 3
in organizations, 225
low level, 17
models, 11
optimal level, 18, 19
perspective, 7, 8
resolving, 221
responses to, 14
sources, 185
stimulating, 228, 234
types, 9
traditional view, 3
Conflict analysis, summary, 188
Conflict awareness stage, 35
Conflict dynamics analysis, 186
Conflict handling, 92, 93, 198, 262
modes, 83
Conflict indicators, 36
Conflict reduction, 82
Conflict resolution, 85, 94, 108, 221
Conflict–frustration model, 26
Conformists, 264
Conscientiousness, 267
Consensual problem solving, 118
Constructive conflict, 18, 228
Container technique, 126
Contrast effect, 204
Cosier Schank model, 94
Cross-cultural misinterpretation, 42
Crossed transactions, 218

D.I. Ne, 6
De-individuation, 68
Defending, 146
Delphi technique, 233
Descriptive theories, 9
Developing proposal, 145
Developmental model, 38
Devil’s advocate decision programme, 94
Devil’s advocate, 231
Dialectic decision method, 95
Dialogue skills, 124
Difficult boss, 63
dealing, 104
Difficult people, 98
Director, 90, 92, 93
Disagreement, 6, 7
Dispute resolution, 172
Distributive bargaining, 118
Distributive negotiations, 135
Domino effect, 75
Dysfunctional conflict, 14

Effective listening, 124

Effective zone, 226
Ego states, 210
Electronic meeting system, 232
Exploder, 159
Extroverts, 256, 267

Fact finding, 118, 165

Four-control tactics, 152
Free association, 230
Frustration model, 25
Frustration stage, 12
Functional conflict, 13

Game playing, 64
Gentle persuasion, 118
Goal conflict, 9, 26
sources, 65
Goal incompatibility, 9
Group communication, 230
Group decision-making, 42
Group development approach, 38
Group passing technique, 229

Hall professionalism scale, 76

Hidden area, 210
Hidden self, 207
Hostile-aggressive, 99
Humour, 128
and conflict resolution, 126
Hybrid channel conflict, 76

Idea generation techniques, 229

Illusory correlation, 176
Indecisive stallers, 99
Initiator, 95, 96
Inner conflict, 57
Inquisitors, 165
Integrative bargaining, 137
Inter-group conflict, 37
Inter-role conflict, 31
Interactionist view of conflict, 3, 224
Interest-based negotiation, 137
Interest map, 142
Interference, 6, 7
Interpersonal conflict, 32, 34, 60, 82, 98, 197
sources, 59
stages, 34
Intra-group conflict, 36, 39
Intra-individual role, 62
Intra-organizational negotiations, 139
Intra-personal conflict, 24, 56
sources, 56
Intra-role conflict, 30
Introverts, 256, 257

Johari window, 206

Joint problem solving, 118

Know-it-alls, 99

Ladder of inference, 125

Latent conflict, 35
Life position, 219

Mediation process, 165, 167

Mediator, 96, 166, 167
Multiple approach–avoidance conflict, 29
Myer-Briggs Type Indicator (MBTI ), 257

Negative conflict, 115

Negative emotion, 6, 7
Negotiating techniques, 119, 133, 157
Negotiation on the merits, 138
Negotiations,
cultural factors, 160
gender differences, 160
issues, 158
successful, 148
types, 134
Negotiation process, 139
Neurotic, 268
Neurotic tendencies, 57
Nominal group, 231
Non-complementary transactions, 217
Non-task conflict, 33

Ombudsman, 121
One-to-one dispute resolution, 106
Open self, 206
Opportunists, 265
Organizational conflict, 45, 46, 120
functional view, 225
resolving, 120
sources, 69
Organizational-professional conflict, 76

Parent ego state, 211

Parent-adult transaction, 215
Parent-child transaction, 216
Parent-parent transaction, 215
Pattern of transactions, 213
Perception, 203
Perceptual defences, 205
Performance, 20
Personality clash, 60
Personality conflict, 255, 269
Personality types, 255
Pondy’s model, 47
Pooled interdependence, 71
Positional bargaining, 137
Power play, 64
Precedent, 153
Predictive theories, 8
Pride model for mediation, 168
Principled negotiation, 138
Problem employees, 270
Procedural conflict, 11, 20
Process model, 12
Projection, 205

Questionnaire, 182, 183

Reciprocal interdependence, 71
Recognizable conflict stage, 35
Reframing, 167
Relationship conflict, 33, 36
Relationship rules, 59
Relator, 91, 92, 93
Repressive management, 65
Resistance point, 135
Responder, 96
Retrievability of events, 175
Role conflict, 29, 30
Role incompatibility, 62

Seating arrangement, 143

Selective perception, 204
Sequential interdependence, 71
Seven-pressure tactics, 153
Sherman tank, 159
Social facilitation, 230
Socializer, 91, 92, 93
Squealer, 263
Stereotyping, 65, 204
Strategist, 267
Stroking, 220
Structural model, 12
Substantive conflicts, 32
Super-agreeable, 99, 159

Target point, 135

Task ambiguity, 72
Task conflict, 33, 36
Task interdependence, 71
Task related conflict, 238
Team counselling, 118
Team development, 115
Team rules, 117
Third party resolution, 165
Thomas-Kilmann model of conflict resolution, 83
Transaction, 212
Transactional analysis, 210, 221
Trap tactics, 155

Ulterior transaction, 218

Unknown self, 208

Value analysis, 230

Vanquishers, 267

Workplace humour, 126