Managing Conflict in Negotiations Bargaining Conflict and Negotiations
Managing Conflict in Negotiations Bargaining, Conflict and Negotiations in Organizational Settings
Conflict Defined n n it’s pervasive, it’s inevitable, and it’s a process, not a product Lulofs: “conflict occurs in situations in which (1) the people are interdependent, (2) they seek different outcomes or they favor different means to the same ends; and/or (3) the people perceive the other is interfering with their pursuit of scarce rewards or resources. ”
Overview of Conflict in Organizations n The cultural “naturalness” of conflict ¨ Legal system ¨ Labor negotiations ¨ Political system The pervasiveness of conflict--20% of a managers time n Connection to management theories n
Benefits of Organizational Conflict n Defuse potentially larger conflicts n Forces us to acquire new information n Inter-group conflict promotes intragroup cohesiveness n Provides a opportunity to measure power, strength, or ability
Disadvantages of Organizational Conflict n Leads to avoidance behavior n Leads to withholding of information n Threatens individuals n Causes cynicism and reduced communication
Tannen’s View of Organizational Conflict n Ritual Fighting as a function of organizational culture n Gender differences
Kilmann Thomas Conflict Model X=cooperativenss, Y=assertiveness n Avoidance (low coop, low assertiveness) n ¨ Advantage--takes out the heat of the moment ¨ Disadvantage--conflict remains unresolved, may lead to larger outbreak
Kilmann-Thomas Model, cont. n Competition (low coop, high assertiveness) ¨ Advantages--increased creativity and enthusiasm ¨ Disadvantages--violence, driving opponent underground
Kilmann Thomas, cont. n Compromise (moderate X and Y) ¨ Advantages--often actually resolves the conflict ¨ Disadvantage--may actually be bad policy or decision by not staying true to either set of goals
Kilmann Thomas cont. n Accommodation (High coop, Low assert. ) ¨ Advantage--often quickly leads to solution ¨ Disadvantage-- may, in the long run, be detrimental, denies the legitimacy of the claims of one of the participants
Kilmann Thomas, cont. n Collaboration (High coop, High assert. ) ¨ High levels of commitment and empathy are necessary ¨ Advantage--truly worthy of humans ¨ Disadvantage--difficult and many are not trained to do it very well
A Four Phase Model of Conflict Resolution n Introduction--brief statement reviewing procedures for conflict resolution n Explanation--each party discusses the source of the difficulty n Clarifying--develop a better understanding of all relevant issues (positions versus interests) n Problem Solving--brainstorms solutions, eliminate solutions, settle on a final solution
A Glossary of Negotiation Terms n n Negotiation--Back and forth communication designed to reach an agreement when you and the other side have some interests that are shared and others that are opposed Bargaining---trading of assets among parties to solve problems Mediation-- a neutral 3 rd party is introduced to work with two parties Arbitration--like mediation, except that the third party has the authority to impose a binding decision
Bargaining at a glance n Distributive bargaining (Win-lose) n Integrative bargaining (Win-win)
Bargaining Strategies Force the opposition to open the bidding n Frequent concessions n Reciprocity for good faith n Look for win-win solutions ¨expand the pie ¨joint brainstorming ¨try “bridging” n
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