Conflict arises in organizations from several sources, including goal incompatibility between departments, interdependence of work, uncertainty and limited resources, and reward systems that promote competition. There are five stages of conflict: potential opposition, cognition and personalization, intentions, behaviors, and outcomes. While conflict can have positive effects like improved decision-making, it commonly causes issues like reduced cooperation between groups. Managing conflict effectively requires understanding the different strategies like competing, collaborating, avoiding, accommodating, and compromising.

1. Unit- 6
Conflict in Organizations

2. What is a Conflict?
• Conflict can be defined in many ways and can be
considered as an expression of hostility, negative
attitudes, antagonism, aggression, rivalry and
misunderstanding. It is also associated with situations
that involve contradictory or irreconcilable interests
between two opposing groups.
• According to David L. Austin (1972), "It can be defined
as a disagreement between two or more individuals or
groups, with each individual or group trying to gain
acceptance of its view or objectives over others".

3. • A conflict exists when two people wish to carry out acts
which are mutually inconsistent. They may both want
to do the same thing, such as eat the same apple, 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 one wants to
go to the cinema and the other to stay at home. A
conflict is resolved when some mutually compatible set
of actions is worked out. The definition of conflict can
be extended from individuals to groups (such as states
or nations) and more than two parties can be involved
in the conflict.

4. Characteristics of Conflicts
• It is a universal process found in every society.
• It is the result of deliberate and conscious efforts
of individuals or the groups.
• The nature of the conflict is personal and direct.
In conflict the incumbents or participants know
each other personally.
• It is basically an individual’s process. Its aim is not
directly connected with the achievement of the
goal or an objective but is rather directed to
dominate others or to eliminate the opponent.

5. • It is mostly violent but it may take the form of
negotiations, party politics, disputes or rivalry.
• It is cumulative; each act of aggression usually
promotes a more aggressive rebuttal. Thus,
termination of conflict is not easy.
• It tends to be more intense when individuals
and groups who have close relationships with
one another are involved.

6. • Groups previously in conflict may co-operate to achieve a
goal considered important enough for them to unite
despite their differences.
• It may emerge as a result of opposing interests. It is
layered in a history of binary perceptions: exile/homeland,
outsider/insider, us/them, patriotic/unpatriotic.
• It has both disintegrative and integrative effects. It disrupts
unity in a society and is a disturbing way of setting issues. A
certain account of internal conflict, however, may serve
indirectly to stimulate group interaction. External conflict
can have positive effects by unifying the group.

7. Conflict and Contravention:
• Contravention is the mild form of conflict in
which contending parties (groups or individuals)
strive to prevent each other from achieving the
objectIt does contain antagonism and hostility
like conflict. The establishment and fostering to
temporary political parties during national
elections with the express purpose of dispersing
votes and confusing the electorate is an
illustration of contravention.ive through indirect
attacks on the opposite party.

8. Conflict is classified into the following
four types:
• Interpersonal conflict refers to a conflict between
two individuals. This occurs typically due to how
people are different from one another. We have
varied personalities which usually results to
incompatible choices and opinions. Apparently, it
is a natural occurrence which can eventually help
in personal growth or developing your
relationships with others. In addition, coming up
with adjustments is necessary for managing this
type of conflict. However, when interpersonal
conflict gets too destructive, calling in
a mediator would help so as to have it resolved.

9. • Intrapersonal conflict occurs within an
individual. The experience takes place in the
person’s mind. Hence, it is a type of conflict
that is psychological involving the individual’s
thoughts, values, principles and emotions.
Interpersonal conflict may come in different
scales, from the simpler mundane ones

10. • Intragroup conflict is a type of conflict that happens among
individuals within a team. The incompatibilities and
misunderstandings among these individuals lead to an
intragroup conflict. It is arises from interpersonal
disagreements (e.g. team members have different
personalities which may lead to tension) or differences in
views and ideas (e.g. in a presentation, members of the
team might find the notions presented by the one presiding
to be erroneous due to their differences in opinion). Within
a team, conflict can be helpful in coming up with decisions
which will eventually allow them to reach their objectives
as a team. However, if the degree of conflict disrupts
harmony among the members, then some serious guidance
from a different party will be needed for it to be settled.

11. • Intergroup conflict takes place when a
misunderstanding arises among different teams within
an organization. For instance, the sales department of
an organization can come in conflict with the customer
support department. This is due to the varied sets of
goals and interests of these different groups. In
addition, competition also contributes for intergroup
conflict to arise. There are other factors which fuel this
type of conflict. Some of these factors may include a
rivalry in resources or the boundaries set by a group to
others which establishes their own identity as a team.

12. Stages of Conflict
• Potential Opposition or Incompatibility.
• Cognition and Personalization.
• Intentions.
• Behavior.
• Outcomes

13. Stage 1- Potential Opposition or
Incompatibility.
• The first step in the conflict process is the presence of
conditions that create opportunities for conflict to
develop. These cause or create opportunities for
organizational conflict to rise.They need not lead
directly to conflict, but one of these conditions is
necessary if the conflict is to surface.For simplicity’s
sake, these conditions have been condensed into three
general categories.
• Communication,
• Structure, and
• Personal Variables.

14. • Communications-Different words connotations, jargon insufficient
exchange of information and noise in the communication channel
are all antecedent conditions to conflict.Too much communication,
as well as too little communication, can lay the foundation for
conflict.
• Structure-In this context, the term structure is used to include
variables such as size, the degree of specialization in the tasks
assigned to group members, jurisdictional clarity, members/goal
compatibility, leadership styles, reward systems and the degree of
dependence between groups.
• The size and specialization act as forces to stimulate conflict. The
larger the group and the more specialized its activities, the greater
the likelihood of conflict. Tenure and conflict are inversely related.

15. • Personal Variables-Certain personality types-
for example, individuals who are highly
authoritarian and dogmatic- lead to potential
conflict. Another reason for the conflict is the
difference in value systems.
• Value differences are the best explanations of
diverse issues such as prejudice
disagreements over one’s contribution to the
group and rewards one deserves.

16. Stage 2: Cognition and
Personalization
• Conflict must be perceived by the parties to it
whether or not the conflict exists is a
perception issue, the second step of the
Conflict Process.
• If no one is aware of a conflict, then it is
generally agreed that no conflict exists.
Because conflict is perceived does not mean
that is personalized.

17. • For example;
• A may be aware that B and A are in serious
disagreements but it may not make A tense or
nations and it may have no effect whatsoever on
A’s affection towards B.
• It is the felt level when individuals become
emotionally involved that parties experience
anxiety, tension or hostility.
• Stage-2 is the place in the process where the
parties decide what the conflict is about and
emotions play a major role in shaping perception.

18. Stage 3: Intentions
• Intentions are decisions to act in a given way,
intentions intervene between people’s perception and
emotions and their overt behavior.
• Using two dimensions cooperativeness (the degree to
which one party attempts to satisfy the other party’s
concerns) and assertiveness (the degree to which one
party attempts to satisfy his or her concerns) five
conflict-handling intentions can be identified.
•

19. Stage 4: Behavior
• This is a stage where conflict becomes visible. The
behavior stage includes the statements, actions,
and reactions made by the conflicting parties.
• These conflict behaviors are usually overt
attempts to implement each party’s intentions.
• When most people think of conflict situations,
they tend to focus on Stage 4.Why?
• Because this is a stage Where conflict becomes
visible. The behavior stage includes the
statements, actions, and reactions made by the
conflicting parties;

20. • These conflict behaviors are usually overt
attempts to implement each party’s intentions.
But these behaviors have a stimulus quality that
is separate from intentions.
• As a result of miscalculations or unskilled
enactments, overt behaviors sometimes deviate
from original intentions.
• It helps to think of stage 4 as a dynamic process
of interaction.

21. Stage 5: Outcomes
• The action-reaction interplay between the conflicting
parties results in consequences.
• These outcomes may be functional in that the conflict
results in an improvement in the group’s performance,
or dysfunctional in that it hinders group performance.
• Conflict is constructive when it improves the quality of
decisions that stimulates creativity and innovations
encourage interest and curiosity among group
members to provide the medium through which
problems can be aired and tensions released and foster
an environment of self-evaluation and change.

22. 5 Conflict-Handling Intention
There are 5 conflict-handling intentions;
• Competing (I Win, You Lose),
• Collaborating (I Win, You Win),
• Avoiding (No Winners, No Losers),
• Accommodating (I lose, You win), and
• Compromising (You Bend, I Bend).

23. Competing (I Win, You Lose)
• When one person seeks to satisfy his or her interests regardless of
the impact on the other parties to the conflict, he is competing.
• The competition involves authoritative and assertive behaviors.
• In this style, the aggressive individual aims to instill pressure on the
other parties to achieve a goal. It includes the use of whatever
means to attain what the individual thinks is right.
• It may be appropriate in some situations but it shouldn’t come to a
point wherein the aggressor becomes too unreasonable.
• Dealing with the conflict with an open mind is vital for a resolution
to be met.

24. Collaborating (I Win, You Win)
• A situation in which the parties to conflict each desire to satisfy
fully the concerns of all the parties.
• In collaborating, the parties intend to solve the problem by
clarifying differences rather than by accommodating various points
of view.
• Collaborating aims to find a solution to the conflict by cooperating
with other parties involved.
• Hence, communication is an important part of this strategy.
• In this mechanism, the effort is exerted in digging into the issue to
identify the needs of the individuals concerned without removing
their respective interests from the picture.
• Collaborating individuals aim to come up with a successful
resolution creatively, without compromising their satisfaction.

25. Avoiding (No Winners, No Losers)
• A person may recognize that a conflict exists and want
to withdraw from it or suppress it. Avoiding included
trying to just ignore a conflict and avoiding others with
whom you disagree.
• In this approach, there is withdrawal from the conflict.
The problem is being dealt with through a
passive attitude.
• Avoiding is mostly used when the perceived negative
end outweighs the positive outcome.
• In employing this, individuals end up ignoring the
problem, thinking that the conflict will resolve itself. It
might be applicable in certain situations but not in all.

26. Accommodating (I lose, You win)
• The willingness of one partying a conflict top lace
the opponent’s interest above his or her own.
• Accommodation involves having to deal with the
problem with an element of self-sacrifice; an
individual sets aside his concerns to maintain
peace in the situation.
• Thus, the person yields to what the other wants,
displaying a form of selflessness.
• It might come as an immediate solution to the
issue; however, it also brings about a false
manner of dealing with the problem.

27. Compromising (You Bend, I Bend)
• A situation in which each party to a conflict is willing to
give up something.
• Intentions provide general guidelines for parties in a
conflict situation. They define each party’s purpose.
• Yet people’s intention is not fixed. During the conflict,
they might change because of re-conceptualization or
because of an emotional reaction to the behavior of
another party.
• Compromising is about coming up with a resolution
that would be acceptable to the parties involved.
• Thus, one party is willing to sacrifice their own sets of
goals as long as the others will do the same.

28. Sources of Conflict
• Goal incompatibility and differentiation
• Interdependence
• Uncertainty and resource scarcity
• Reward systems

29. Goal Incompatibility and
Differentiation
• Organizational sources of conflict occur when departments are
differentiated in their goals. For instance, the research and
development team at an electronics company might be instructed
to come up with the best new, pie-in-the-sky idea for individual-use
electronics—that thing consumers didn’t know they needed. The
R&D team might come up with something fantastic, featuring loads
of bells and whistles that the consumer will put to excellent use.
• Then, the manufacturing team gets together to look at this new
design. They’ve been told that management likes it, and that they
need to build it by the most economical means possible. They start
make adjustments to the design, saving money by using less
expensive materials than what were recommended by the R&D
team. Conflict arises.

30. • Goal incompatibility and differentiation is a
fairly common occurrence. The manufacturing
team disagrees with research and
development. The sales department feels like
the legal department is there to keep them
from getting deals signed. Departments
within the organization feel like they are
working at cross-purposes, even though
they’re both operating under the assumption
that their choices are best for the company.

31. Interdependence
• Interdependence describes the extent to which employees rely on
other employees to get their work done. If people all had
independent goals that didn’t affect one another, everything would
be fine. That’s not the case in many organizations.
• For instance, a communication department is charged with putting
together speaking points that help their front-line employees deal
with customer questions. Because the communications department
is equipped to provide clear instructions but are not necessarily the
subject matter experts, they must wait for engineering to provide
product details that are important to the final message. If those
details are not provided, the communication department cannot
reach their goal of getting these speaking points out on time for
their front-line staff to deal with questions.

32. • The same holds true for a first-, second-, and
third-shift assembly line. One shift picks up
where another leaves off. The same standards
of work, production numbers, and clean-up
should be upheld by all three teams. If one
team deviates from those standards, then it
creates conflict with the other two groups.

33. Uncertainty and Resource Scarcity
• Change. We talked about it as a source of stress, and we’re going to
talk about it here as an organizational source of conflict.
Uncertainty makes it difficult for managers to set clear directions,
and lack of clear direction leads to conflict.
• Resource scarcity also leads to conflict. If there aren’t enough
material and supplies for every worker, then those who do get
resources and those who don’t are likely to experience conflict. As
resources dwindle and an organization has to make do with less,
departments will compete to get those resources. For instance, if
budgets are slim, the marketing department may feel like they can
make the most of those dollars by earning new customers. The
development team may feel like they can benefit from the dollars
by making more products to sell. Conflict results over resource
scarcity.

34. Reward System
• An organization’s reward system can be a source of conflict,
particularly if the organization sets up a win-lose environment for
employee rewards. For instance, an organization might set a
standard where only a certain percent of the employees can
achieve the top ranking for raises and bonuses. This standard, not
an uncommon practice, creates heavy competition within its
employee ranks. Competition of this nature often creates conflict.

35. • Conflict can occur between two employees,
between a team of employees, or between
departments of an organization, brought
about by the employees, teams, or
organizations themselves. Now that we
understand conflict, we’re ready to take on
negotiation. It’s different from conflict, but it’s
easy to see how some of the skills one uses to
be a great negotiator are snatched from
conflict resolution.

36. Effects of Conflicts
Positive Effects of Conflict in an Organization-
• Social Change,
• Decision Making,
• Reconciliation,
• Group Unity,
• Group Cooperation,
• Inspire Creativity,
• Share and Respect Opinions,
• Improve Future Communication, and
• Identify New Members.

37. • Social Change-Conflict contributes to social change ensuring
both interpersonal and intergroup dynamics remain fresh and.
reflective of current interests and realities.
• Decision Making-Conflict serves to “discourage premature
group decision making,” forcing participants in the decision-
making process to explore the issues and interests at stake.
• Reconciliation-Conflict allows for the reconciliation of the
parties’ concerns, which can lead to an agreement benefiting
both parties’ needs, and often their relationship and
organizations.

38. • Group Unity-Conflict strengthens intragroup
unity by providing an outlet for group
members to discuss and negotiate their
interests within the group. Without intragroup
conflict, the health of the group typically
declines.
• Group Cooperation-Conflict between groups
produces intra-group unity as the conflict
provides the opportunity for increased intra-
group cooperation while working towards the

39. • Inspire Creativity-Fortunately, some organization members view
conflict as an opportunity for finding creative solutions to solve
problems. Conflict can inspire members to brainstorm ideas while
examining problems from various perspectives.
• Share and Respect Opinions-As organization members work
together to solve a conflict, they are more willing to share their
opinions with the group. Conflict can also cause members to
actively listen to each other as they work to accomplish the
organizations’ goals.
• Improve Future Communication-Conflict can bring group
members together and help them learn more about each
other.

40. • Identify New Members-Within organizations
members actively participate in each meeting,
enjoy serving on multiple committees and
have an opinion on each topic the group
discusses. There are also members who
seemingly contribute little to the group and
observe more than talk.

41. Negative Effects of Conflict in an Organization
• Mental Health Concerns,
• A decrease in Productivity,
• Members Leave Organization,
• Violence,
• Distract Primary Purposes, and
• Psychological Problem.

42. • Mental Health Concerns-Conflict within an
organization can cause members to become
frustrated if they feel as if there’s no solution in sight,
or if they feel that their opinions go unrecognized by
other group members.
• Decrease in Productivity-When an organization
spends much of its time dealing with conflict,
members take time away from focusing on the core
goals they are tasked with achieving.
• Conflict causes members to focus less on the project
at hand and more on gossiping about conflict or
venting about frustrations.

43. • Members Leave Organization-Organization members
who are increasingly frustrated with the level of
conflict within an organization may decide to end
their membership. This is especially detrimental
when members are a part of the executive board or
heads of committees.
• Violence-When conflict escalates without mediation,
intense situations may arise, between organization
members. It’s unfortunate, but organizational
conflicts may cause violence among members,
resulting in legal problems for members and possibly
the organization.

44. Conflict Resolution
Conflict resolution can be defined as the
informal or formal process that two or more
parties use to find a peaceful solution to their
dispute.
1) Negotiation. In conflict resolution, you can
and should draw on the same principles of
collaborative negotiation that you use in
dealmaking

45. 2) Mediation. In mediation, disputants enlist a trained, neutral third
party to help them come to a consensus. Rather than imposing a
solution, a professional mediator encourages disputants to explore the
interests underlying their positions. Working with parties both
together and separately, mediators seek to help them discover a
resolution that is sustainable, voluntary, and nonbinding.
3) Arbitration. In arbitration, which can resemble a court trial, a
neutral third party serves as a judge who makes decisions to end
the dispute. The arbitrator listens to the arguments and evidence
presented by each side, then renders a binding and often
confidential decision. Although disputants typically cannot
appeal an arbitrator’s decision, they can negotiate most aspects
of the arbitration process, including whether lawyers will be
present and which standards of evidence will be used.

46. 4) Litigation. In civil litigation, a defendant and a
plaintiff face off before either a judge or a judge
and jury, who weigh the evidence and make a
ruling. Information presented in hearings and
trials usually enters the public record. Lawyers
typically dominate litigation, which often ends in
a negotiated settlement during the pretrial
period.

47. Five Steps to Conflict Resolution
• Step 1: Define the source of the conflict- The more
information you have about the cause of the
problem, the more easily you can help to resolve it.
To get the information you need, use a series of
questions to identify the cause, like, “When did you
feel upset?” “Do you see a relationship between that
and this incident?” “How did this incident begin?”
• As a manager or supervisor, you need to give both
parties the chance to share their side of the story. It
will give you a better understanding of the situation,
as well as demonstrate your impartiality

48. • Step 2: Look beyond the incident-Often, it is not the
situation but the point of view of the situation that
causes anger to fester and ultimately leads to a shouting
match or other visible and disruptive result.
• The source of the conflict might be a minor issue that
occurred months before, but the level of stress has
grown to the point where the two parties have begun
attacking each other personally instead of addressing the
real problem. In the calm of your office, you can get
them to look beyond the triggering incident to see the
real cause.

49. • Step 3: Request solutions- After getting each party’s
viewpoint, the next step is to get them to identify how
the situation could be changed. Again, question the
parties to solicit their ideas: “How can you make things
better between you?”As mediator, you have to be an
active listener, aware of every verbal nuance, as well as a
good reader of body language.
• You want to get the disputants to stop fighting and start
cooperating, and that means steering the discussion
away from finger pointing and toward ways of resolving
the conflict.

50. • Step 4: Identify solutions both disputants can
support- You are listening for the most acceptable
course of action. Point out the merits of various
ideas, not only from each other’s perspective, but in
terms of the benefits to the organization. For
instance, you might suggest the need for
greater cooperation and collaboration to effectively
address team issues and departmental problems.

51. • Step 5: Agreement-The mediator needs to get
the two parties to shake hands and accept one
of the alternatives identified in Step 4. The
goal is to reach a negotiated agreement. Some
mediators go as far as to write up a contract in
which actions and time frames are specified.

52. Grievances and its types
An employee grievance is a concern, problem, or
complaint that an employee has about their work, the
workplace, or someone they work with—this includes
management. Something has made them feel dissatisfied,
and they believe it is unfair and/or unjust on them.
• These are the most common examples of employee
grievances.
• Pay and benefits.
• Bullying.
• Work conditions.
• Workload.

53. Steps in Grievance Handling
Procedure
• Acknowledge Dissatisfaction:Managerial/supervisory
attitude to grievances is important. They should focus
attention on grievances, not turn away from them. Ignorance
is not bliss, it is the bane of industrial conflict. Condescending
attitude on the part of supervisors and managers would
aggravate the problem.
• Define the Problem:Instead of trying to deal with a vague
feeling of discontent, the problem should be defined properly.
Sometime the wrong complaint is given. By effective listening,
one can make sure that a true complaint is voiced.

54. • Get the Facts:Facts should be separated from fiction.
Though grievances result in hurt feelings, the effort should
be to get the facts behind the feelings. There is need for a
proper record of each grievance.
• Analyse and Decide:Decisions on each of the grievances
will have a precedent effect. While no time should be lost
in dealing with them, it is no excuse to be slip-shod about
it. Grievance settlements provide opportunities for
managements to correct themselves, and thereby come
closer to the employees.

55. • Follow up:Decisions taken must be followed
up earnestly. They should be promptly
communicated to the employee concerned. If
a decision is favourable to the employee, his
immediate boss should have the privilege of
communicating the same.