Organizational Behavior: Conflict and Negotiation

1. Organizational Behavior:Conflict and Negotiation Gholipour A. 2006. Organizational Behavior. University of Tehran.

2. Conflict Conflict:“The process in which one party perceives that its interests are being opposed or negatively affected by another party.” Functional (Constructive) conflictserves the organization’s interests while dysfunctional conflictthreatens the organization’s interests. Gholipour A. 2006. Organizational Behavior. University of Tehran.

3. Brown’s Conflict Continuum Positive Appropriate Conflict Neutral Outcomes Too Much Conflict Too Little Conflict Negative Moderate Low Highe Intensity Gholipour A. 2006. Organizational Behavior. University of Tehran.

4. Traditional Transitions in Conflict Thought Human Relations Interactionist Gholipour A. 2006. Organizational Behavior. University of Tehran.

5. Perceived Conflict Manifest Conflict Conflict Outcomes Felt Conflict The Conflict Process Sources of Conflict Gholipour A. 2006. Organizational Behavior. University of Tehran.

6. Aftermath of Preceding Episode Environmental Effects Latent Conflict Organizational and Extra- Organizational Tensions Attention- Focus and Diversion Mechanisms Felt Conflict Perceived Conflict Conflict Resolution Mechanisms Manifest Conflict Strategic Considerations Conflict Aftermath A Conflict Model (Figure 10-8) Gholipour A. 2006. Organizational Behavior. University of Tehran.

7. A Conflict Model • Latent Conflict. Latent conflict is essentially conflict waiting to happen. • Felt Conflict. Felt conflict is experienced as discomfort and tension. • Perceived Conflict. Perceived conflict is the awareness that we are in a conflict situation. • Manifest Conflict. After conflict is perceived and felt, it may or may not become open, or manifest. • Conflict Aftermath. Conflict is likely to breed more conflict and, when it does, that conflict is likely to take on a life of its own. Gholipour A. 2006. Organizational Behavior. University of Tehran.

8. Desired Outcomes of Conflict Agreement:Strive for equitable and fair agreements that last. Stronger relationships:Build bridges of goodwill and trust for the future. Learning:Greater self-awareness and creative problem solving. Gholipour A. 2006. Organizational Behavior. University of Tehran.

9. Types of Conflict • Line – Staff Conflict • Intrapersonal Conflict Approach-Approach Approach - Avoidance Avoidance – Avoidance • Interpersonal Conflict • Intergroup Conflict • Cross – Cultural Conflict • Task Conflict Gholipour A. 2006. Organizational Behavior. University of Tehran.

10. Antecedents of Conflict • Incompatible personalities or value systems. • Overlapping or unclear job boundaries. • Competition for limited resources. • Interdepartment /intergroup competition. • Inadequate communication. • Interdependent tasks. • Organizational complexity. • Unreasonable or unclear policies, standards, or rules. • Unreasonable deadlines or extreme time pressure. • Collective decision making. • Decision making by consensus. • Unmet expectations. • Unresolved or suppressed conflict. Gholipour A. 2006. Organizational Behavior. University of Tehran.

11. Sources of Conflict • Goals conflict with goals of others Goal Incompatibility Different Values and Beliefs • Different beliefs due to unique background, experience, training • Caused by specialized tasks, careers • Explains misunderstanding in cross-cultural and merger relations Gholipour A. 2006. Organizational Behavior. University of Tehran.

12. Pooled Resource A B C Sequential A B C Reciprocal A B C Sources of Conflict Goal Incompatibility Three levels of interdependence Different Values and Beliefs Task Interdependence Gholipour A. 2006. Organizational Behavior. University of Tehran.

13. Sources of Conflict Goal Incompatibility Different Values and Beliefs Task Interdependence Scarce Resources • Increases competition for resources to fulfill goals Ambiguity • Lack of rules guiding relations • Encourages political tactics Gholipour A. 2006. Organizational Behavior. University of Tehran.

14. Sources of Conflict Goal Incompatibility Different Values and Beliefs Task Interdependence • Lack of opportunity • --reliance on stereotypes • Lack of ability • -- arrogant communication heightens conflict perception • Lack of motivation • -- conflict causes lower motivation to communicate, increases stereotyping Scarce Resources Ambiguity Communication Problems Gholipour A. 2006. Organizational Behavior. University of Tehran.

15. Conflict Management Styles: Orientations • Win-win orientation • You believe parties will find a mutually beneficial solution to their disagreement • Win-lose orientation • You believe that the more one party receives, the less the other receives • Tends to escalate conflict, use of power/politics Gholipour A. 2006. Organizational Behavior. University of Tehran.

16. Tips for Managers Whose Employees Are Having a Personality Conflict • Follow company policies for diversity, anti-discrimination, and sexual harassment. • Investigate and document conflict. • If appropriate, take corrective action (e.g., feedback or B Mod). • If necessary, attempt informal dispute resolution. • Refer difficult conflicts to human resource specialists or hired counselors for formal resolution attempts and other interventions. Gholipour A. 2006. Organizational Behavior. University of Tehran.

17. Minimizing Inter-group Conflict: An Updated Contact Model Level of perceived Inter-group conflict tendsto increase when: Recommended actions: • Work to eliminate specific negative interactions between groups (and members). • Conduct team building to reduceintragroup conflict and prepare employees for cross-functional teamwork. • Encourage personal friendships and good working relationships across groups and departments. • Foster positive attitudes toward members of other groups (empathy, compassion, sympathy). • Avoid or neutralize negative gossip across groups or departments. • Conflict within the group is high • There are negative interactions between groups (or between members of those groups) • Influential third-party gossip about other group is negative Gholipour A. 2006. Organizational Behavior. University of Tehran.

18. Skills and Best Practices: How to Build Cross-Cultural Relationships Behavior Rank Be a good listener 1 Be sensitive to the needs of others 2 Be cooperative, rather than overly competitive 2 Advocate inclusive (participative) leadership 3 Compromise rather than dominate 4 Build rapport through conversations 5 Be compassionate and understanding 6 Avoid conflict by emphasizing harmony 7 Nurture others (develop and mentor) 8 Tie Gholipour A. 2006. Organizational Behavior. University of Tehran.

19. Stimulating Functional Conflict Dialectic Method Devil,s Advocacy Gholipour A. 2006. Organizational Behavior. University of Tehran.

20. Conflict Management Styles Integrating Obliging High Compromising Concern for Others Dominating Avoiding Low High Low Concern for Self Gholipour A. 2006. Organizational Behavior. University of Tehran.

21. Conflict Management Styles • Competing.Involves trying to win at the other party’s expense. Generally leads to antagonism and festering resentment. • Avoiding.Attempts to avoid or smooth over conflict situations. Generally unproductive. • Accommodating.Involves acceding completely to the other party’s wishes or at least cooperating with little or no attention to one’s own interests. • Compromising.Involves an attempt to find a satisfactory middle ground (“split the difference”) • Collaborating.This problem-solving style is mutually beneficial. Requires trust, open sharing of information, and creativity. Gholipour A. 2006. Organizational Behavior. University of Tehran.

22. Fitting Conflict Style to the Situation Gholipour A. 2006. Organizational Behavior. University of Tehran.

23. View of Ethics in Conflict Management Utilitarian Golden Rule Kantian/ Rights Enlightened Self Interest Justice Approach Gholipour A. 2006. Organizational Behavior. University of Tehran.

24. Conflict Premises • Conflict and disagreement are normal in human relationships. • Conflict may be good. • The way in which conflict is framed may influence its nature and outcomes. • Relationship/task • Emotional/intellectual • Cooperate/win • A mutually acceptable solution can often be found. • Any of the parties to conflict can contribute to its resolution by taking personal responsibility and initiating communications. • Trusting behavior can evoke trusting behavior. • Consensus and synergy are likely only when people choose to cooperate in a win-win relationship rather than compete. • Some conflicts may never be resolved because of fear, rigidity, intolerance, paranoia, or other emotional impairment. Gholipour A. 2006. Organizational Behavior. University of Tehran.

25. Focus on Larger Goals Improve Communications Bring Parties Together to Foster Understanding and Cooperation Clarify Job Responsibilities Reduced Conflict Develop Employees’ Negotiating Skills Separate Conflicting Parties Use Third Parties as Mediators Approaches to Conflict Resolution Gholipour A. 2006. Organizational Behavior. University of Tehran.

26. Communication Guidelines to Build More Productive Relationships • Be honest; say what’s on your mind now. Be open. • Be specific; provide examples. • Don’t use the words never and always. • Listen in depth; reflect and paraphrase what you hear. • Ask questions to clarify the meaning of what the other person is saying. • Focus on behavior that the other person controls. • Maintain good eye contact. • Focus on only one specific issue or behavior at a time. • Don’t interrupt. • Stay there. Don’t walk away mentally, emotionally, physically, or psychologically. • Be direct and tactful. • Use I statements rather than you statements (e.g., “When this happens, I feel …” rather than “When you do this, it makes me feel …”). • Don’t attack the other person by ridiculing, taunting, or otherwise being rude and hostile. • Don’t defend yourself by blaming others, avoiding, or withdrawing. Gholipour A. 2006. Organizational Behavior. University of Tehran.

27. Negotiating Negotiation:“A give-and-take decision-making process involving interdependent parties with different preferences.” Distributive negotiation:Single issue; fixed-pie; win-lose. Integrative negotiation:More than one issue; win-win. Gholipour A. 2006. Organizational Behavior. University of Tehran.

28. The Two Types ofBargaining Strategies Bargaining Characteristics Distributive Bargaining Integrative Bargaining • Available Resources • Primary Motivations • Primary Interests • Focus of Relationships • Fixed Amount • I Win, You Lose • Opposed • Short-Term • Variable Amount • I Win, You Win • Congruent • Long-Term Gholipour A. 2006. Organizational Behavior. University of Tehran.

29. An Integrative Approach: Added-Value Negotiation • Clarify interests. • Identify options. • Design alternative deal packages. • Select a deal. • Perfect the deal. Gholipour A. 2006. Organizational Behavior. University of Tehran.

30. Situational Influences on Negotiation • Location • Physical Setting • Time Investment and Deadlines • Audience . Gholipour A. 2006. Organizational Behavior. University of Tehran.

31. Initial Target Resistance Resistance Target Initial Bargaining Zone Model Your Positions Area of Potential Agreement Opponent’s Positions Gholipour A. 2006. Organizational Behavior. University of Tehran.

32. Decision-Making Biases That Impede Negotiations • Escalation of commitment • The mythical fixed pie • Anchoring and adjustments • Framing negotiations • Availability of information • The winner’s curse • Overconfidence Gholipour A. 2006. Organizational Behavior. University of Tehran.

33. Effective Negotiator Behaviours • Plan and Set Goals • Gather Information • Communicate Effectively • Make Appropriate Concessions .. Gholipour A. 2006. Organizational Behavior. University of Tehran.

34. Improving Negotiation Skills • Research your opponent • Begin with a positive overture • Address problems, not personalities • Pay little attention to initial offers • Emphasize win-win solutions • Create an open, trusting climate Gholipour A. 2006. Organizational Behavior. University of Tehran.

35. Third – Party Negotiations • Mediator • Arbitrator • Conciliator • Consultant Gholipour A. 2006. Organizational Behavior. University of Tehran.

36. Alternative Dispute Resolution (ADR) Techniques Facilitation:Third party gets disputants to deal directly and constructively with each other. Conciliation:Neutral third party acts as communication link between disputants. Peer review:Impartial co-workers hear both sides and render decision that may or may not be binding. Ombudsman:Respected and trusted member of the organization hears grievances confidentially. Mediation:Trained third-party guides disputants toward their own solution. Arbitration:Neutral third-party hears both sides in a court-like setting and renders a binding decision. Gholipour A. 2006. Organizational Behavior. University of Tehran.

37. Unethical Negotiating Tactics • Lies • Puffery • Deception • Weakening The Opponent • Strengthening One’s Own Position • Information Exploitation • Nondisclosure • Change of Mind • Distraction • Maximization Gholipour A. 2006. Organizational Behavior. University of Tehran.