Week 9 Chapter 11 Conflict and Negotiation in the Workplace

Question 1

The process in which one party perceives that its interests are being opposed or negatively affected by another party

Answer 1

Is conflict defined

Question 2

Some level of conflict is good because it:

Answer 2

-Energises debate -Re-examine assumptions -Improves responsiveness to external environment -Increases team cohesion

Question 3

Is Conflict Good or Bad?:Pre 1970s View

Answer 3

Historically, experts viewed conflict as dysfunctional -Undermined relations -Wasted human energy -More job dissatisfaction, turnover, stress -Less productivity, information sharing 1970s to 1990s - belief in an optimal level of conflict

Question 4

Is conflict good or bad? Conflicts can be either _____ or _____-focused:

Answer 4

task, relationship-focused:

Question 5

types of conflict in which people focus on the characteristics of other individuals, rather than on the issues, as the source of conflict, this causes ………

Answer 5

Relationship conflict

• personality clashes
• reduces trust
• attacks credibility

Question 6

Disagreements among group members about how a task should be accomplished

Answer 6

Task conflict

Question 7

Individuals can frame conflicts in one of three ways:

Answer 7

1. Interests-based frame
2. Rights-based frame
3. Power-based frame

Question 8

Name that conflict approach

An approach to conflict that emphasises disputants’ underlying needs and interests. People are more likely to engage in constructive conflict resolution when adopting this frame. By focusing on the issues, discussions have a problem-solving orientation that enables people to respect other points of view.

Answer 8

Interests-based frame

Focuses on issue (hard on the problem, soft on the person) Resolves differences through problem solving discussion

Question 9

Name that conflict approach

An approach to conflict that focuses on the contractual obligations, legal rights or precedents. Conflicts are more likely to escalate rapidly and become personal when this frame is adopted.

Answer 9

Rights-based frame

Focuses on personal rights or relative power Low consideration for other party Resolves differences through threats to protect rights Tends to generate relationship conflict and conflict escalation

Question 10

Name that conflict approach An approach to conflict that focuses on who has more power in the dispute. Individuals invoke their status and use threats in order to intimidate others and to enforce their preferred solution, but power is subjective so conflict will escalate as individuals attempt to demonstrate their power while eroding the power of others.

Answer 10

Power-based frame

Question 11

The conflict process model

Answer 11

Conflict process model 1. Sources of conflict a. Incompatible goals b. Differentiation c. Interdependence d. Scare resources e. Ambiguous rules f. Poor communication leads to 2. 2. Conflict perceptions and emotions a. conflict escalation b. conflict escalation 3. Manifest conflict a. conflict style b. decisions c. overt behaviors 4. Conflict outcomes a. positive i. better decisions ii. responsive organization iii. team cohesion b. negative i. stress/ morale ii. turnover iii. politics v. lower performance vi. distorted information

Question 12

Sources of conflict in organisations

Answer 12

Incompatible Goals
Differentiation
Interdependence
Scarce Resources
Ambiguous Rules
Communication Problems

Question 13

Name that Organisational Conflict

Occurs when the goals of one person or department seem to interfere with another person’s or department’s goals ex internecine warfare

Answer 13

Incompatible Goals

Question 14

Name that Organisational Conflict

when there are differences among people, departments and other entities regarding their training, values, beliefs and experiences. Two people or departments may agree on a common goal but have difference in how to achieve that goal. Intergenerational conflicts are also mainly caused by differentiation.

Answer 14

Differentiation:

Question 15

Name that Organisational Conflict

This occurs when team members must share common inputs to their individual tasks, need to interact in the process of executing their work, or receive outcomes (e.g. rewards) that are partly determined by the performance of others. Higher interdependence may lead to greater conflict because there is a greater chance that each side will disrupt or interfere with the other side’s goals. Complete independence and pooled interdependence offer the lowest risk of conflict. Pooled interdependence occurs when individuals operate independently except for reliance on a common resource or authority. Sequential interdependence work relationships (e.g. assembly line) carry a higher risk for conflict, while reciprocal interdependence (employees are highly dependent on each other) carries the greatest risk.

Answer 15

Interdependence:

Question 16

Name that Organisational Conflict

Where each person or unit requires the same resource. This undermines others who need that resource to fulfil their goals.

Answer 16

Scarce resources:

Question 17

Name that Organisational Conflict

Occurs when roles inter-lap, or are not clear -especially prevalent in mergers and acquisitions

Answer 17

Ambiguous Rules

Question 18

Name that communication problems

Answer 18

1. Parties lack the opportunity to communicate -rely on stereotypes
2. Members lack the necessary skills to communicate
3. Conflict is uncomfortable and people tend to avoid it
4. Perception clouds meanings

Question 19

Relationship conflict is less likely to occur, or escalate, when team members have high levels of emotional intelligence. Emotionally intelligent employees are better able to regulate their emotions during debate, which reduces risk of conflict escalation. Personal preferences also affect the way conflict is approached. In any conflict or negotiation, an approach to assist achieving goals must be selected.

Answer 19

Individual differences in conflict resolution

Question 20

(Interpersonal conflict-handling styles)

Which goals are emphasised is shaped by relative importance placed on two factors:

Answer 20

1. Maximising outcomes
2. Preserving relationship with other person

Question 21

(Interpersonal conflict-handling styles)

Which goals are emphasised is shaped by relative importance placed on two factors:

1. Maximising outcomes
2. Preserving relationship with other person

Combinations of these two factors yield five distinct conflict-handling styles:

Answer 21

Forcing

Problem solving

Yielding

Avoiding

Compromising

Question 22

(Individual conflict resolution)

When parties try to find a solution that is beneficial for both parties. Win-win orientation; resources are expandable Information vital to this strategy

Information sharing is an important feature of this style because both parties collaborate to identify common ground and potential solutions that satisfy everyone.

Answer 22

Problem solving

(Individual conflict resolution)

Question 23

The belief that the parties will find a mutually beneficial solution to their disagreement.

Answer 23

Win-win orientation

Question 24

(Interpersonal conflict-handling styles)

Information sharing is an important feature of this style because both parties collaborate to identify common ground and potential solutions that satisfy everyone.

Two actions help:

Answer 24

a. Display of firm flexibility: remaining firm in meeting most important needs while being flexible on how this is accomplished
b. Use of trade-offs

Question 25

(Interpersonal conflict-handling styles)

When a party tries to win the conflict at the other party’s expense win-lose orientation; fixed pie perspective increases conflict and damage long-term relationships Use when: Deep conviction about your position need a quick decision other party will take advantage of your company high assertiveness low cooperativeness

Answer 25

Forcing

Question 26

This Forcing style relies on ‘hard’ influence tactics, particularly assertiveness, to get own way.

Two actions help:

Answer 26

a. Ensure good alternatives are developed which increase person’s power
b. Develop a small number of strong arguments and keep repeating them

Question 27

– the belief that conflicting parties are drawing from a fixed pie, so the more one party receives, the less the other party will receiv

Answer 27

Known as the win-lose orientation

Question 28

(Interpersonal conflict-handling styles)

Yielding: involves giving in completely to the other side’s wishes, or cooperating with little or no attention to own interests. This style involves making unilateral concessions and unconditional promises, as well as offering help with no expectation of reciprocal help. Other party is treated with respect, and triggering escalatory cycles of anger and retaliation is avoideds

Answer 28

Yielding

Use when: Other party has significantly more power Issue isn’t as important to you Value and logic of your position isn’t clear Low assertiveness high cooperativeness

Question 29

(Interpersonal Conflict-handling styles)

1.involves looking for a position in which losses are offset by equally valued gains. This style involves matching other party’s concessions, making conditional promises or threats, and actively searching for a middle ground between the interests of both parties.

Answer 29

Compromising

Question 30

When a party tries to smooth over or avoid a conflict represents low concern of both parties; increases frustration doesn’t resolve conflict Use when: conflict is emotionally charged cost of resolving outweigh the benefits low assertiveness low cooperativeness

This style represents low concern for both self and the other party.

Answer 30

Avoiding

Question 31

Resolving conflict through _____

The process whereby two of more conflicting parties attempt to resolve their divergent goals by redefining the terms of their interdependence.

Answer 31

negotiation

Question 32

Three dimensions of negotiations:

Answer 32

1. Tactics: how to get desired outcome
2. Deal design: whether final deal meets underlying needs and interests of everyone
3. Scope: context within which negotiation takes place supports negotiation process

Question 33

Building good deals in negotiation

To be effective, negotiators need to balance _____ and _____ behaviours. Collaboration helps negotiators to create value by identifying ways to maximise both negotiator’s outcomes and develop mutually satisfying outcomes. Competition helps negotiators to claim value to get the best possible outcomes.

Answer 33

collaborative, competitive

Question 34

The process whereby two or more conflicting parties attempt to resolve their divergent goals by redefining the terms of their interdependence. -particularly evident when employees are interdependent -doesn’t always have to be win-lose. -a combination of competition and cooperation 

Answer 34

negotiation

Question 35

Negotiating fundamentals

Setting 3 limits

Answer 35

Target Point

Resistance point

Assessing power

Question 36

target point

Answer 36

Target point: the best possible outcome that an individual hopes to achieve in a negotiation - not revealed in a win-lose negotiation

Question 37

resistance point

Answer 37

The worst outcome that an individual is prepared to accept before walking away from a negotiation

-not revealed in a win-lose negotiation

Negotiators who focus on their target point get better deals than those who focus on their resistance point.

Question 38

Assessing power

Answer 38

Having alternatives is a key source of power in a negotiation. BATNA (best alternative to negotiated agreement) – knowing what happens if agreement is not reached in a specific negotiation.

Question 39

Creating and claiming value

The goal of _____ creation is to ensure that both _____ obtain the best possible outcomes. At the same time as creating value, claiming value must also occur. Effective value creation relies on ability to persuade other negotiator to give what is wanted – usually done by presenting strong arguments to support claim while rejecting arguments made by the other negotiator. Both value creation and value claiming use the same processes, but each takes a different slant on those processes.

Answer 39

value, negotiators,

Question 40

Managing the deal

Two critical decisions for negotiators centre on:

Answer 40

First offers anchor the negotiation.

Concessions are made after first offers.

Question 41

Best alternative to a negotiated agreement ( BATNA) Used to determine whether the opponent’s offers are favorable

Answer 41

-estimates power in negotiation -estimates cost of walking away -people overestimate their BATNAs

Question 42

Best alternative to a negotiated agreement

Answer 42

( BATNA)

Question 43

( BATNA)

Answer 43

Best alternative to a negotiated agreement

Question 44

If well-informed, negotiator will benefit from making the first offer, but in the absence of information, getting the other person to make the first offer provides a vital clue to the outcome they were expecting.

Answer 44

First offers anchor the negotiation.

Question 45

Concessions: enable parties to move towards area of potential agreement; symbolise each party’s motivation to bargain in good faith; tell the other party of relative importance of the negotiating items.

Answer 45

Concessions are made after first offers.

Question 46

Three important purposes of concessions

Answer 46

Other party needs to be aware that action is a concession, that the concession is costly, and that it is beneficial to the other party.

Concessions should be accompanied by the expectation that other party will reciprocate.

Concessions need to be given in instalments because people experience more positive emotions from two smaller concessions than from one larger concession.

Question 47

The key to value creation is the ability to identify issues that are weighted differently by negotiators.

Two strategies assist negotiator to discover potential trade-offs:

Answer 47

Making multi-issue proposals: gives the other negotiator flexibility to make concessions on low-value items

Concede on low-value items while getting concessions on high-value items

Question 48

_____ _____ is The cornerstone to effective value creation; only present case after listening to the other party. -probing questions and listening, lots of nonverbal communication

Answer 48

Gathering information

Question 49

Managing the process

When negotiator focuses on value claiming, they may try to stall or delay the negotiation. The goal of this _____ is to increase costs to other negotiator. Deadlines help improve outcomes because as negotiators get closer to their deadline, they make more concessions.

Answer 49

tactic

Question 50

Managing the process

Setting deadlines can derail the entire negotiation. This creates risk that negotiation will turn into escalating cycle of ______ and _____ which occur when negotiators start with power-based or rights-based frames.

Answer 50

Attack and counterattack

Question 51

Managing the process

Value creation depends on negotiators’ ability to break these cycles and redirect them to more investigative and interests-based approach.

Answer 51

To redirect negotiation, personal attacks should be ignored to refocus on substantive problem. Taking a break is an effective way of disrupting attacks.

Question 52

Beyond the deal

•Considering other aspects in addition to best possible deal:

Answer 52

Implementation

Social capital

Relationship building

Reputation

Ethical negotiation

Question 53

Relationship building

Strategies associated with value creation are risky so the relationship between the F negotiators increases in importance. Several straightforward techniques that help negotiators build stronger relationships:

Answer 53

• First impressions are formed very quickly so it is easier to build trust when there are obvious similarities between negotiators. When there are no obvious similarities, it is important to spend time identifying similarities.
• Signalling trustworthiness by demonstrating reliability and ability to keep promises, or by identifying shared goals and values.
• Recognising that culture may affect negotiator’s propensity to trust.
• Putting the other negotiator in a good mood through flattery and humour.

Question 54

_____ develop over time and are difficult to change, and follow negotiator from one negotiation to another. This influences the negotiating style that the opponent adopts

Answer 54

Reputations

Question 55

Negotiating ethically - Try to avoid

Answer 55

• Misrepresentation
• False promises
• Attacking an opponent’s network
• Inappropriate information gathering
• Strategic misrepresentation of positive or negative emotions

Question 56

Culture and conflict

Individual preferences will influence which _____-handling style a person uses, and these preferences are modified by _____.

Three cultural dimensions that are important in determining how people manage disagreements:

Answer 56

conflict, culture

1 Individualism/collectivism

2 Power distance

3 High/low context style

Question 57

Power distance:

Cultures that are high in _____ emphasise group goals and harmonious relationships within groups so they place greater emphasis on how _____ process affects factors such as _____ liking and trust. Cultures that are high in individualism emphasise personal goals and focus on deal making.

Answer 57

collectivism, negotiation, interpersonal

Question 58

Power distance:

Cultures that are classified as _____ have highly differentiated social structures and power comes from social status whereas egalitarian cultures have flat social structures and power comes from other sources. Negotiators from hierarchical cultures are likely to start negotiations by talking about company and its products which is an indirect way of signalling status, and this often goes unrecognised by negotiators from _____ cultures.

Answer 58

hierarchical, egalitarian

Question 59

•During conflict,women (compared to men) tend to:

Answer 59

–Focus more on relationship consequences

–Set lower targets –Use fewer alternatives to improve their outcomes

–See the process as necessarily competitive

Question 60

There is a substantial amount of evidence that women obtain poorer personal outcomes than men in negotiation. Several factors affect women’s outcomes:

Women typically set themselves lower _____ points than men and are more likely to accept offers just above their _____ points.

Men set high target points and push to get a deal as close to their target point as possible.

Women less likely to use alternatives to improve their outcomes.

Women receive less generous offers than men.

Women see the negotiation process as necessarily competitive, and women perform most poorly when they are told that their outcome is an indication of their effectiveness as a negotiator.

However, when effective negotiation is linked to problem-solving, women obtain better outcomes than men so women can improve their outcomes by ensuring negotiation is approached collaboratively.

Answer 60

target, resistance

Question 61

Resolving conflict through third-party intervention

Many disputes in organisations are resolved with the assistance of the manager responsible for the feuding parties, or some other third party conflict resolution conflict resolution:

Answer 61

Any attempt by a relatively neutral party to help conflicting parties resolve their differences.

Question 62

3 Types of third-party intervention

Answer 62

1. Arbitration
2. Inquisition:
3. Mediation:

Question 63

______ have high control over the final decision, but low control over the process.

inquisitors control all discussion about the conflict. They have high decision control because they choose the form of conflict resolution and also have high process control because they choose which information to examine and how to examine it, and they also decide how the process will be handled.

mediators have high control over the process but the parties make the final decision about how to resolve their differences so mediators have little or no control over the conflict resolution process.

Answer 63

arbitrators

Question 64

_____ control all discussion about the conflict. They have high decision control because they choose the form of conflict resolution and also have high process control because they choose which information to examine and how to examine it, and they also decide how the process will be handled.

mediators have high control over the process but the parties make the final decision about how to resolve their differences so mediators have little or no control over the conflict resolution process.

Answer 64

inquisitors

Question 65

_____ have high control over the process but the parties make the final decision about how to resolve their differences so mediators have little or no control over the conflict resolution process.

Answer 65

mediators

Question 66

Choosing the best third party strategy

Answer 66

• Managers prefer inquisitional strategy, but this is not usually the best approach
• Mediation potentially offers the highest satisfaction with process and outcomes
• Use arbitration when mediation fails

Question 67

Research suggests that people in positions of authority usually adopt an inquisitional approach whereby they dominate the intervention process and make a binding decision. However, the inquisitional approach is usually the least effective in organisational settings:

Answer 67

• Leaders who take an inquisitional approach tend to collect limited information about the problem so imposed decision may produce ineffective solution to conflict.
• Employees often view inquisitional procedures and outcomes as unfair because they have little control over the approach.

Question 68

The most appropriate third-party _____ strategy in an organisation depends on the _____, the relationship between the manager and employees, and _____ values.

Answer 68

intervention, situation

Question 69

Generally speaking, the _____ approach is best because it gives employees more responsibility for resolving their own disputes. Although it is not as efficient, mediation offers the highest level of employee ______. If mediation fails, arbitration seems to work best because predetermined rules of evidence and other processes create higher sense of procedural fairness.

Answer 69

mediation, satisfaction

Question 70

Organisational approaches to conflict management

Organisations have a role to play in managing conflicts. They can do this by implementing policies and organisational structures that remove the underlying causes of conflict.

Eight main organisational approaches:

Answer 70

• Emphasising superordinate goals
• Reducing values differences
• Improving communication/understanding
• Reducing interdependence
• Increasing resources
• Clarifying rules and procedures
• Establishing a positive climate
• Alternative dispute resolution

Question 71

Emphasising superordinate goals

Seek out and find common goals.

In organisational settings, this typically takes the form of a _____ goal – a broad goal that all parties to a dispute value and agree is important. By increasing ______ to corporate-wide goals, employees pay less attention to competing individual or department-level goals which reduces perceived conflict. They also reduce problem of _____ differences by establishing common frame of reference.

Answer 71

superordinate, commitment, value

Question 72

Reducing value differences

Reduce differences that produce _____ in the first place. One way to increase commonality is by creating common experience.

Answer 72

conflict

Question 73

Improving communication and understanding

Give conflicting parties more opportunities to communicate with and understand each others views.

The more meaningful interaction, the less reliance there is on stereotypes (contact hypothesis).

Answer 73

Communication and understanding strategies should only be implemented after differentiation has been reduced. If perceived differentiation is high, attempts to manage conflict through dialogue may escalate rather than reduce relationship conflict because when forced to interact with people perceived as different, information may be selected to reinforce that perception.

Question 74

Reducing interdependence

If cost-effective, _____ resources can be divided between parties so that each has exclusive use at different times.

Sequentially or _____ interdependent jobs could be combined so that they form a pooled interdependence.

_____ (e.g. resources such as adding more inventory between people who perform sequential tasks) can reduce interdependence.

Answer 74

shared, reciprocally, Buffers

Question 75

_____ resources

While it may be costly, the benefits of avoiding dysfunctional conflict may outweigh the cost.

Answer 75

Increasing

Question 76

Clarifying rules and procedures

Rules establish changes to the terms of _____. In most cases, the affected parties will be involved in the process of deciding these terms of interdependence.

Answer 76

interdependence

Question 77

Establishing a positive climate

Establish norms that encourage openness can help reduce conflict. Other norms might discourage employees from displaying negative emotions towards co-workers.

Organisational norms also encourage tactics that diffuse relationship conflict when it first appears. Openness will be encouraged when teams are cohesive. The longer people work together, get to know each other and develop mutual trust, the more latitude they give to each other to show emotions without being personally offended.

Strong cohesion allows each person to know about and anticipate the behaviours and emotions of their teammates, as well as producing stronger social identity with the group which motivates members to avoid escalating relationship conflict.

Question 78

_____ _____ _____ (ADR): an orderly process of third-party dispute resolution, typically including mediation followed by arbitration.

Answer 78

Alternative dispute resolution