10 Conflict

Chapter 14
Conflict and Negotiation
14-1
Copyright ©2018 Pearson Education, Inc.
After studying this chapter
you should be able to:
1. Describe the three types of conflict and the three loci of

conflict.
2. Outline the conflict process.
3. Contrast distributive and integrative bargaining.
4. Apply the five steps of the negotiation process.
5. Show how individual differences influence negotiations.
6. Describe the social factors that influence negotiations.
7. Assess the roles and functions of third-party
negotations.
14-2
Definition of Conflict
 Conflict: Process that begins when one

party perceives that another party has
negatively affected, or is about to
negatively affect, something that the first
party cares about
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Perspectives of Conflict
 Functional conflict:
Supports the goals of the group and
improves its performance
 Dysfunctional conflict:
Hinders group performance
14-4
Types of Conflict
 Three categories of conflict:

1. Task conflict:
Work content and goals
2. Relationship conflict: Interpersonal
relationships
3. Process conflict:
How the work is done
14-5
Loci of Conflict
 Three sources of conflict:

1. Dyadic conflict:
Conflict between two people
2. Intragroup conflict:
Conflict occurring within a group or team
3. Intergroup conflict:
Conflict between groups or teams
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Stage I: Potential Opposition
Communication
 Barriers exist
 Too much or too little
Structure
Group size, age, diversity
Organizational rewards, goals, group dependency
Personal Variables
Personality types
Emotionality
14-7
Stage II: Cognition
and Personalization
 Potential for conflict is actualized

 Parties “make sense” of conflict by defining it
and its potential solutions
 Emotions play a major role in shaping
perceptions
 Perceived conflict: awareness needed for
actualization
 Felt conflict: emotional involvement - parties
experience anxiety, tension, frustration, or
hostility
14-8
Stage III: Intentions (1 of 2)
Intentions:
Decisions to act in a given way
 Inferred (often erroneous) intentions may cause
greater conflict
 Five conflict handling intentions:
1. Competing
2. Collaborating
3. Avoiding
4. Accommodating
5. Compromising
14-9
Stage IV: Behavior
14-10
Stage V: Outcomes
 Functional Outcomes:
Improves decision quality
Stimulates creativity and innovation
Encourages interest and curiosity
Problems are aired
Accepts change and self-evaluation
 Dysfunctional Outcomes:
Group is less effective
Reduces cohesiveness and communications
Leads to the destruction of the group
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Managing Conflict
 Minimize counterproductive conflict:

 Recognize when there really is a
disagreement
 Encourage open, frank discussion focused on
interests
 Have opposing groups pick important issues
and work for mutual satisfaction
 Emphasize shared interests
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Negotiation
 Negotiation: Process that occurs when

two or more parties decide how to allocate
scarce resources
14-13
Bargaining Strategies
14-14
Distributive Bargaining
14-15
Integrative Bargaining
 Integrative bargaining:
A win-win solution is possible
 But:
 Parties must be open with information and
candid about their concerns
 Both parties must be sensitive regarding the
other’s needs
 Parties must be able to trust each other
 Both parties must be willing to be flexible
14-16
The Negotiation Process
14-17
Third-Party Negotiations
 Basic third party roles:

1. Mediator: neutral third party who facilitates
a negotiated solution by using reasoning,
persuasion, and suggestions for alternatives
2. Arbitrator: third party to a negotiation who
has the authority to dictate an agreement
3. Conciliator: trusted third party who
provides an informal communication link
between the negotiator and the opponent
14-18
Implications for Managers
 Choose an authoritarian management style

in some situations.
 Seek integrative solutions in some situations.
 Build trust.
 Consider compromise.
 Consider the tradeoffs between distributive
and integrative bargaining.
14-19

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Chapter 14

Conflict and Negotiation

1. Describe the three types of conflict and the three loci of

 Conflict: Process that begins when one

 Three categories of conflict:

 Three sources of conflict:

 Potential for conflict is actualized

 Minimize counterproductive conflict:

 Negotiation: Process that occurs when

 Basic third party roles:

 Choose an authoritarian management style

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