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Chapter 14




          Conflict and Negotiation


              ORGANIZATIONAL BEHAVIOR
                            S T E P H E N P. R O B B I N S
                                E L E V E N T H   E D I T I O N
© 2005 Prentice Hall Inc.       WWW.PRENHALL.COM/ROBBINS          PowerPoint Presentation
All rights reserved.                                                     by Charlie Cook
Conflict
Conflict
 Conflict Defined
   – Is a 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.
       • Is that point in an ongoing activity when an interaction
         “crosses over” to become an interparty conflict.
   – Encompasses a wide range of conflicts that people
     experience in organizations
       • Incompatibility of goals
       • Differences over interpretations of facts
       • Disagreements based on behavioral expectations

© 2005 Prentice Hall Inc.
All rights reserved.                                            14–2
Transitions in Conflict Thought
Transitions in Conflict Thought

 Traditional View of Conflict
 The belief that all conflict is harmful and must be
 avoided.


                Causes:
                 Causes:
                •• Poor communication
                    Poor communication
                  •• Lack of openness
                      Lack of openness
                  •• Failure to respond to
                      Failure to respond to
                     employee needs
                      employee needs
© 2005 Prentice Hall Inc.
All rights reserved.                                   14–3
Transitions in Conflict Thought (cont’d)
Transitions in Conflict Thought (cont’d)

 Human Relations View of Conflict
 The belief that conflict is a natural and inevitable
 outcome in any group.

 Interactionist View of Conflict
 The belief that conflict is not only a positive force in a
 group but that it is absolutely necessary for a group
 to perform effectively.



© 2005 Prentice Hall Inc.
All rights reserved.                                    14–4
Functional versus Dysfunctional Conflict
Functional versus Dysfunctional Conflict

 Functional Conflict
 Conflict that supports the goals of
 the group and improves its
 performance.



                               Dysfunctional Conflict
                                   Conflict that hinders
                                   group performance.

© 2005 Prentice Hall Inc.
All rights reserved.                                 14–5
Types of Conflict
Types of Conflict
 Task Conflict
 Conflicts over content and goals of the work.


 Relationship Conflict
 Conflict based on interpersonal relationships.


 Process Conflict
 Conflict over how work gets done.

© 2005 Prentice Hall Inc.
All rights reserved.                              14–6
Stage I: Potential Opposition or Incompatibility
Stage I: Potential Opposition or Incompatibility
 Communication
    – Semantic difficulties, misunderstandings, and “noise”
 Structure
    –   Size and specialization of jobs
    –   Jurisdictional clarity/ambiguity
    –   Member/goal incompatibility
    –   Leadership styles (close or participative)
    –   Reward systems (win-lose)
    –   Dependence/interdependence of groups
 Personal Variables
   – Differing individual value systems
   – Personality types
© 2005 Prentice Hall Inc.
All rights reserved.                                     14–7
Stage II: Cognition and Personalization
Stage II: Cognition and Personalization

 Perceived Conflict              Felt Conflict
 Awareness by one or more        Emotional involvement in a
 parties of the existence of     conflict creating anxiety,
 conditions that create          tenseness, frustration, or
 opportunities for conflict to   hostility.
 arise.



                        Conflict Definition
                        Conflict Definition




       Negative Emotions
       Negative Emotions               Positive Feelings
                                       Positive Feelings
© 2005 Prentice Hall Inc.
All rights reserved.                                          14–8
Stage III: Intentions
Stage III: Intentions

 Intentions
 Decisions to act in a given way.



   Cooperativeness:
    Cooperativeness:
   •• Attempting to satisfy the other party’s
       Attempting to satisfy the other party’s
      concerns.
       concerns.
   Assertiveness:
    Assertiveness:
   •• Attempting to satisfy one’s own concerns.
      Attempting to satisfy one’s own concerns.

© 2005 Prentice Hall Inc.
All rights reserved.                              14–9
Stage III: Intentions (cont’d)
Stage III: Intentions (cont’d)

 Competing
 A desire to satisfy one’s interests, regardless of the
 impact on the other party to the conflict.

 Collaborating
 A situation in which the parties to a conflict each
 desire to satisfy fully the concerns of all parties.

 Avoiding
 The desire to withdraw from or suppress a conflict.
© 2005 Prentice Hall Inc.                            14–
All rights reserved.                                 10
Stage III: Intentions (cont’d)
Stage III: Intentions (cont’d)

 Accommodating
 The willingness of one party in a conflict to place the
 opponent’s interests above his or her own.

 Compromising
 A situation in which each party to a conflict is
 willing to give up something.




© 2005 Prentice Hall Inc.                              14–
All rights reserved.                                   11
Stage IV: Behavior
Stage IV: Behavior
 Conflict Management
 The use of resolution and stimulation techniques to
 achieve the desired level of conflict.




© 2005 Prentice Hall Inc.                          14–
All rights reserved.                               12
Stage V: Outcomes
Stage V: Outcomes
 Functional Outcomes from Conflict
   – Increased group performance
   – Improved quality of decisions
   – Stimulation of creativity and innovation
   – Encouragement of interest and curiosity
   – Provision of a medium for problem-solving
   – Creation of an environment for self-evaluation and
     change
 Creating Functional Conflict
   – Reward dissent and punish conflict avoiders.
© 2005 Prentice Hall Inc.                                 14–
All rights reserved.                                      13
Stage V: Outcomes
Stage V: Outcomes
 Dysfunctional Outcomes from Conflict
   – Development of discontent
   – Reduced group effectiveness
   – Retarded communication
   – Reduced group cohesiveness
   – Infighting among group members overcomes group
     goals




© 2005 Prentice Hall Inc.                         14–
All rights reserved.                              14
Negotiation
Negotiation
 Negotiation
 A process in which two or more parties exchange
 goods or services and attempt to agree on the
 exchange rate for them.


 BATNA
 The Best Alternative To a Negotiated Agreement;
 the lowest acceptable value (outcome) to an
 individual for a negotiated agreement.


© 2005 Prentice Hall Inc.                          14–
All rights reserved.                               15
Bargaining Strategies
Bargaining Strategies
 Distributive Bargaining
 Negotiation that seeks to divide up a fixed amount of
 resources; a win-lose situation.

 Integrative Bargaining
 Negotiation that seeks one or more settlements that
 can create a win-win solution.




© 2005 Prentice Hall Inc.                           14–
All rights reserved.                                16
Issues in Negotiation
 Issues in Negotiation
 The Role of Personality Traits in Negotiation
   – Traits do not appear to have a significantly direct effect
     on the outcomes of either bargaining or negotiating
     processes.
 Gender Differences in Negotiations
   – Women negotiate no differently from men, although
     men apparently negotiate slightly better outcomes.
   – Men and women with similar power bases use the
     same negotiating styles.
   – Women’s attitudes toward negotiation and their
     success as negotiators are less favorable than men’s.


© 2005 Prentice Hall Inc.                                  14–
All rights reserved.                                       17
Third-Party Negotiations
Third-Party Negotiations

 Mediator
 A neutral third party who facilitates a negotiated
 solution by using reasoning, persuasion, and
 suggestions for alternatives.

 Arbitrator
 A third party to a negotiation who has the authority
 to dictate an agreement.



© 2005 Prentice Hall Inc.                               14–
All rights reserved.                                    18
Third-Party Negotiations (cont’d)
Third-Party Negotiations (cont’d)

 Conciliator
 A trusted third party who provides an informal
 communication link between the negotiator and the
 opponent.

 Consultant
 An impartial third party, skilled in conflict
 management, who attempts to facilitate creative
 problem solving through communication and
 analysis.

© 2005 Prentice Hall Inc.                          14–
All rights reserved.                               19
Conflict-Handling Intention: Competition
Conflict-Handling Intention: Competition
 When quick, decisive action is vital (in
  emergencies); on important issues.
 Where unpopular actions need implementing (in
  cost cutting, enforcing unpopular rules,
  discipline).
 On issues vital to the organization’s welfare.
 When you know you’re right.
 Against people who take advantage of
  noncompetitive behavior.


© 2005 Prentice Hall Inc.                          14–
All rights reserved.                               20
Conflict-Handling Intention: Collaboration
Conflict-Handling Intention: Collaboration
 To find an integrative solution when both sets of
  concerns are too important to be compromised.
 When your objective is to learn.
 To merge insights from people with different
  perspectives.
 To gain commitment by incorporating concerns
  into a consensus.
 To work through feelings that have interfered
  with a relationship.


© 2005 Prentice Hall Inc.                         14–
All rights reserved.                              21
Conflict-Handling Intention: Avoidance
Conflict-Handling Intention: Avoidance
 When an issue is trivial, or more important issues
   are pressing.
 When you perceive no chance of satisfying your
   concerns.
 When potential disruption outweighs the benefits
   of resolution.
 To let people cool down and regain perspective.
 When gathering information supersedes
   immediate decision.
 When others can resolve the conflict effectively
 When issues seem tangential or symptomatic of
   other issues.
© 2005 Prentice Hall Inc.                        14–
All rights reserved.                             22
Conflict-Handling Intention: Accommodation
Conflict-Handling Intention: Accommodation
 When you find you’re wrong and to allow a better
   position to be heard.
 To learn, and to show your reasonableness.
 When issues are more important to others than to
   yourself and to satisfy others and maintain
   cooperation.
 To build social credits for later issues.
 To minimize loss when outmatched and losing.
 When harmony and stability are especially
   important.
 To allow employees to develop by learning from
   mistakes.
© 2005 Prentice Hall Inc.                      14–
All rights reserved.                           23
Conflict-Handling Intention: Compromise
Conflict-Handling Intention: Compromise
 When goals are important but not worth the effort
  of potential disruption of more assertive
  approaches.
 When opponents with equal power are committed
  to mutually exclusive goals.
 To achieve temporary settlements to complex
  issues.
 To arrive at expedient solutions under time
  pressure.
 As a backup when collaboration or competition is
  unsuccessful.

© 2005 Prentice Hall Inc.                      14–
All rights reserved.                           24

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Ob11 14st

  • 1. Chapter 14 Conflict and Negotiation ORGANIZATIONAL BEHAVIOR S T E P H E N P. R O B B I N S E L E V E N T H E D I T I O N © 2005 Prentice Hall Inc. WWW.PRENHALL.COM/ROBBINS PowerPoint Presentation All rights reserved. by Charlie Cook
  • 2. Conflict Conflict  Conflict Defined – Is a 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. • Is that point in an ongoing activity when an interaction “crosses over” to become an interparty conflict. – Encompasses a wide range of conflicts that people experience in organizations • Incompatibility of goals • Differences over interpretations of facts • Disagreements based on behavioral expectations © 2005 Prentice Hall Inc. All rights reserved. 14–2
  • 3. Transitions in Conflict Thought Transitions in Conflict Thought Traditional View of Conflict The belief that all conflict is harmful and must be avoided. Causes: Causes: •• Poor communication Poor communication •• Lack of openness Lack of openness •• Failure to respond to Failure to respond to employee needs employee needs © 2005 Prentice Hall Inc. All rights reserved. 14–3
  • 4. Transitions in Conflict Thought (cont’d) Transitions in Conflict Thought (cont’d) Human Relations View of Conflict The belief that conflict is a natural and inevitable outcome in any group. Interactionist View of Conflict The belief that conflict is not only a positive force in a group but that it is absolutely necessary for a group to perform effectively. © 2005 Prentice Hall Inc. All rights reserved. 14–4
  • 5. Functional versus Dysfunctional Conflict Functional versus Dysfunctional Conflict Functional Conflict Conflict that supports the goals of the group and improves its performance. Dysfunctional Conflict Conflict that hinders group performance. © 2005 Prentice Hall Inc. All rights reserved. 14–5
  • 6. Types of Conflict Types of Conflict Task Conflict Conflicts over content and goals of the work. Relationship Conflict Conflict based on interpersonal relationships. Process Conflict Conflict over how work gets done. © 2005 Prentice Hall Inc. All rights reserved. 14–6
  • 7. Stage I: Potential Opposition or Incompatibility Stage I: Potential Opposition or Incompatibility  Communication – Semantic difficulties, misunderstandings, and “noise”  Structure – Size and specialization of jobs – Jurisdictional clarity/ambiguity – Member/goal incompatibility – Leadership styles (close or participative) – Reward systems (win-lose) – Dependence/interdependence of groups  Personal Variables – Differing individual value systems – Personality types © 2005 Prentice Hall Inc. All rights reserved. 14–7
  • 8. Stage II: Cognition and Personalization Stage II: Cognition and Personalization Perceived Conflict Felt Conflict Awareness by one or more Emotional involvement in a parties of the existence of conflict creating anxiety, conditions that create tenseness, frustration, or opportunities for conflict to hostility. arise. Conflict Definition Conflict Definition Negative Emotions Negative Emotions Positive Feelings Positive Feelings © 2005 Prentice Hall Inc. All rights reserved. 14–8
  • 9. Stage III: Intentions Stage III: Intentions Intentions Decisions to act in a given way. Cooperativeness: Cooperativeness: •• Attempting to satisfy the other party’s Attempting to satisfy the other party’s concerns. concerns. Assertiveness: Assertiveness: •• Attempting to satisfy one’s own concerns. Attempting to satisfy one’s own concerns. © 2005 Prentice Hall Inc. All rights reserved. 14–9
  • 10. Stage III: Intentions (cont’d) Stage III: Intentions (cont’d) Competing A desire to satisfy one’s interests, regardless of the impact on the other party to the conflict. Collaborating A situation in which the parties to a conflict each desire to satisfy fully the concerns of all parties. Avoiding The desire to withdraw from or suppress a conflict. © 2005 Prentice Hall Inc. 14– All rights reserved. 10
  • 11. Stage III: Intentions (cont’d) Stage III: Intentions (cont’d) Accommodating The willingness of one party in a conflict to place the opponent’s interests above his or her own. Compromising A situation in which each party to a conflict is willing to give up something. © 2005 Prentice Hall Inc. 14– All rights reserved. 11
  • 12. Stage IV: Behavior Stage IV: Behavior Conflict Management The use of resolution and stimulation techniques to achieve the desired level of conflict. © 2005 Prentice Hall Inc. 14– All rights reserved. 12
  • 13. Stage V: Outcomes Stage V: Outcomes  Functional Outcomes from Conflict – Increased group performance – Improved quality of decisions – Stimulation of creativity and innovation – Encouragement of interest and curiosity – Provision of a medium for problem-solving – Creation of an environment for self-evaluation and change  Creating Functional Conflict – Reward dissent and punish conflict avoiders. © 2005 Prentice Hall Inc. 14– All rights reserved. 13
  • 14. Stage V: Outcomes Stage V: Outcomes  Dysfunctional Outcomes from Conflict – Development of discontent – Reduced group effectiveness – Retarded communication – Reduced group cohesiveness – Infighting among group members overcomes group goals © 2005 Prentice Hall Inc. 14– All rights reserved. 14
  • 15. Negotiation Negotiation Negotiation A process in which two or more parties exchange goods or services and attempt to agree on the exchange rate for them. BATNA The Best Alternative To a Negotiated Agreement; the lowest acceptable value (outcome) to an individual for a negotiated agreement. © 2005 Prentice Hall Inc. 14– All rights reserved. 15
  • 16. Bargaining Strategies Bargaining Strategies Distributive Bargaining Negotiation that seeks to divide up a fixed amount of resources; a win-lose situation. Integrative Bargaining Negotiation that seeks one or more settlements that can create a win-win solution. © 2005 Prentice Hall Inc. 14– All rights reserved. 16
  • 17. Issues in Negotiation Issues in Negotiation  The Role of Personality Traits in Negotiation – Traits do not appear to have a significantly direct effect on the outcomes of either bargaining or negotiating processes.  Gender Differences in Negotiations – Women negotiate no differently from men, although men apparently negotiate slightly better outcomes. – Men and women with similar power bases use the same negotiating styles. – Women’s attitudes toward negotiation and their success as negotiators are less favorable than men’s. © 2005 Prentice Hall Inc. 14– All rights reserved. 17
  • 18. Third-Party Negotiations Third-Party Negotiations Mediator A neutral third party who facilitates a negotiated solution by using reasoning, persuasion, and suggestions for alternatives. Arbitrator A third party to a negotiation who has the authority to dictate an agreement. © 2005 Prentice Hall Inc. 14– All rights reserved. 18
  • 19. Third-Party Negotiations (cont’d) Third-Party Negotiations (cont’d) Conciliator A trusted third party who provides an informal communication link between the negotiator and the opponent. Consultant An impartial third party, skilled in conflict management, who attempts to facilitate creative problem solving through communication and analysis. © 2005 Prentice Hall Inc. 14– All rights reserved. 19
  • 20. Conflict-Handling Intention: Competition Conflict-Handling Intention: Competition  When quick, decisive action is vital (in emergencies); on important issues.  Where unpopular actions need implementing (in cost cutting, enforcing unpopular rules, discipline).  On issues vital to the organization’s welfare.  When you know you’re right.  Against people who take advantage of noncompetitive behavior. © 2005 Prentice Hall Inc. 14– All rights reserved. 20
  • 21. Conflict-Handling Intention: Collaboration Conflict-Handling Intention: Collaboration  To find an integrative solution when both sets of concerns are too important to be compromised.  When your objective is to learn.  To merge insights from people with different perspectives.  To gain commitment by incorporating concerns into a consensus.  To work through feelings that have interfered with a relationship. © 2005 Prentice Hall Inc. 14– All rights reserved. 21
  • 22. Conflict-Handling Intention: Avoidance Conflict-Handling Intention: Avoidance  When an issue is trivial, or more important issues are pressing.  When you perceive no chance of satisfying your concerns.  When potential disruption outweighs the benefits of resolution.  To let people cool down and regain perspective.  When gathering information supersedes immediate decision.  When others can resolve the conflict effectively  When issues seem tangential or symptomatic of other issues. © 2005 Prentice Hall Inc. 14– All rights reserved. 22
  • 23. Conflict-Handling Intention: Accommodation Conflict-Handling Intention: Accommodation  When you find you’re wrong and to allow a better position to be heard.  To learn, and to show your reasonableness.  When issues are more important to others than to yourself and to satisfy others and maintain cooperation.  To build social credits for later issues.  To minimize loss when outmatched and losing.  When harmony and stability are especially important.  To allow employees to develop by learning from mistakes. © 2005 Prentice Hall Inc. 14– All rights reserved. 23
  • 24. Conflict-Handling Intention: Compromise Conflict-Handling Intention: Compromise  When goals are important but not worth the effort of potential disruption of more assertive approaches.  When opponents with equal power are committed to mutually exclusive goals.  To achieve temporary settlements to complex issues.  To arrive at expedient solutions under time pressure.  As a backup when collaboration or competition is unsuccessful. © 2005 Prentice Hall Inc. 14– All rights reserved. 24