CONFLICT AND

NEGOTIATION

AMRUTA. A
PGDM 09-11
DCSMAT
CONFLICT

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.

 Existence of conflict is a perception issue.

 Include- Incompatibility of goals, differences
over interpretations of facts, disagreements
based on behavioral expectations.
Transitions in conflict
thought.
Traditional view of conflict.
The belief that all conflict is harmful and must
be avoided.
Outcome of-
 poor communication,

 a lack of openness and trust between people,

and
 failure of managers to be responsive to the
needs and aspirations of their employees.
The human relations view of conflicts.
Argued that conflict was a natural occurrence in
all groups and organizations.

The interactionist view of conflict.

The conflict is not only a positive force in a
group but that it is also an absolute necessity
for a group to perform effectively.
 Encourages managers to keep a minimum

level of conflict- to keep group viable, self

critical and creative.
The interactionist view of
conflict.

Functional and Dysfunctional conflict

Functional- conflicts that support the goals of

the group and improve its performance.

Dysfunctional- conflicts that hinder group

performance.
Types of Conflict

Task conflict - Conflict over content and goals

of the work. (Functional)

Relationship conflict - Conflict based on

interpersonal relationships. (Dysfunctional)

Process conflict - Conflict over how work gets

done. (Functional)
The Conflict Process

stephen p. robbins
Stage I: Potential Opposition
or Incompatibilty.
Communication- Potential for conflict increases when
either too little or too much communication takes
place. Barriers semantic difficulties,
misunderstandings and noise.
Structure- includes variables like size, degree of
specialization in tasks, jurisdictional clarity, member-
goal compatibility, leadership styles, reward system
and degree of dependence between groups.
Personal variables- include personality types,
emotions and values.
Stage II- Cognition and
Personalization.
Perceived conflict- Awareness by one or more
parties of the existence of conditions that
create opportunities for conflict to arise.
Felt conflict- Emotional involvement in a conflict
that creates anxiety, tenseness, frustration or
hostility.
 The conflict tends to be defined in this stage,
what the conflict is about.
 The emotions play a major role in shaping
perceptions.
 Stage III- Intensions

Decisions to act in a given way.

Dimensions
Cooperativeness- the degree to which one party
attempts to satisfy the other party’s concern.
Assertiveness- the degree to which one party
attempts to satisfy his own concerns.
Conflict handing intentions
Competing- A desire to satisfy one’s interest, 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.
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.
 Stage IV- Behavior

This is where conflicts become visible.

It includes- statements, actions, and reactions
made by the conflicting parties.

Conflict management- The use of resolution

and stimulation techniques to achieve the
desired level of conflict.
 Stage V- Outcomes

 Functional Outcomes

 Dysfunctional Outcomes
Negotiation.

A process in which two or more parties

exchange goods or services and attempt to
agree on the exchange rate for them
Bargaining Strategies

Distributive Strategies
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.
The Negotiation Process.

stephen p. robbins
Individual Differences in
Negotiation Effectiveness
Personality- personality and intelligence do
appear to have some influence on negotiation
but its not a strong effect.
Moods/Emotions- differs according to the type
of negotiation.
Gender Differences- men have been found to
negotiate better outcomes than women.
Women have negative feeling towards
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.
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.