Organizational Behavior

Module 11: Conflict and Negotiation

Module Learning Outcomes

Discuss strategies for managing conflict and negotiation in the workplace

11.1: Describe why conflict resolution, "crucial conversations," and other higher stakes communication is
necessary to study in organizations
11.2: Discuss the history of negotiating techniques within organizational behavior
Conflict Management
Learning Outcomes: Conflict Management

11.1: Describe why conflict resolution, "crucial conversations," and other higher
stakes communication is necessary to study in organizations
11.1.1: Define conflict
11.1.2: Differentiate among types of conflict
11.1.3: Identify stages of the conflict process
11.1.4: Discuss the appropriate use of various conflict management styles
11.1.5: Identify organizational sources of conflict
What is conflict?

Conflict is perception: it only exists if the

person experiencing it feels that it is conflict
Positive and Negative Conflict
Benefits of Conflict
• High energy
• Task focus
• Cohesiveness within the group
• Discussion of issues

Disadvantages of Conflict
• Teams losing focus of common goals
• Winning eclipses any other goals of the group
• Distorted judgment
• Lack of cooperation
• Losing members lack motivation to continue
participation
Views of Conflict

• Traditional view
• Humanistic view
• Interactionist view
Types of Conflict

• Interpersonal
• Intrapersonal
• Intergroup
• Intragroup
Stages of Conflict
Conflict Management Styles
Class Activity: Determine the best style of conflict
management
Match the best style of conflict management to the situation

1. Settling an argument where you A. Compromise

know you’re right
B. Compete
2. Your knowledge of the issue is
limited
C. Accommodate
3. The parties need to cool off
D. Avoid
4. A quick solution is needed
5. Issue and people are both important E. Collaborate
Organizational sources of conflict

• Goal incompatibility and

differentiation
• Interdependence
• Uncertainty and resource scarcity
• Reward systems
Practice Question 1

Which view is the way we view conflict today, and how we view it in discussions of this
module?

A. The Traditionalist View

B. The Competitive View
C. The Human Relations View
D. The Interactionist View
Practice Question 2

What are the four types of conflict?

A. Interpersonal and intrapersonal, intergroup and intragroup

B. Incompatibility, intentions, behavior and outcome
C. Interactionist, Traditionalist, Competitive, and Human Relations
D. Personal, group, competitive, and organizational
Practice Question 3

Which is the stage at which conflict truly becomes evident?

A. Outcomes
B. Cognition and personalization stage
C. Behavior
D. Intentions stage
Practice Question 4

Which is the only approach to conflict management that provides a win-win situation for both
parties?

A. Compromise
B. Collaboration
C. Competing
D. Avoiding
Practice Question 5

If the finance department is told by senior management to balance the budget to the penny, and
then the sales department is told to wine and dine clients to get their business at almost any
cost, this could be an example of what kind of organizational conflict?

A. Goal incompatibility and differentiation

B. Interdependence
C. Uncertainty and resource scarcity
D. Reward systems
Negotiation
Learning Outcomes: Negotiation

11.2: Discuss the history of negotiating techniques within organizational behavior

11.2.1: Discuss how negotiating is different from managing conflict

11.2.2: Describe the stages in the process of negotiation
11.2.3: Compare various types of negotiating strategies
11.2.4: Identify issues in negotiating
11.2.5: Discuss third-party negotiations
Characteristics of negotiation

• The parties involved are somehow

interdependent
• The parties are each looking to achieve the
best possible result in the interaction for
themselves
• The parties are motivated and capable of
influencing one another
• The parties believe they can reach an
agreement
Types of negotiation

• Distributive negotiation
• Integrated negotiation
Five stages of negotiation
Negotiating Strategies: Getting to Yes (Fisher/Ury)

• Separate the people from the problem

• Focus on interests, not positions
• Invent options for mutual gain
• Insist on using objective criteria
• Understand your “BATNA”
Negotiating Strategies: Getting More (Diamond)

• Value the perceptions and emotions of others

• Think of yourself as the least important person
in the negotiation
• “Make emotional payments”
Negotiating Strategies: Never Split the Difference
(Voss/Raz)
• “Tactical empathy”
• Engage in solving the other person’s
problem
• Mirroring
• Baiting the “no”
Class Activity: How much does everyone get?
• Divide everyone into two groups: one is “employees” and one is “management”
• Each group should start a “pot” of money. Every individual should write on a slip of paper
an amount of money to pay into the pot. You only know how much you put into the pot.
• When everyone has contributed, the activity leader should combine both the pots and then
add the amounts together.
• Use a negotiation strategy to decide how much should go to management and how much
should go to employees.
Issues in negotiation

• Personality
• Gender
• Cultural differences
Unethical Negotiation

• Selective disclosure
• Misrepresentation
• Deception and lying
• False threats and false promises
• Inflicting direct or indirect harm
Mistakes in negotiation

• Winner’s curse
• Mythical fixed pie
• Overconfidence
• Irrational escalation of
commitment
Third-party negotiations

• Arbitrators
• Conciliators
• Consultants
• Mediators
Practice Question 6

A negotiation takes place, and one person walks away with everything she wants at the cost of
the other individual’s settlement.  What kind of negotiation is this?

A. Distributive negotiation
B. Integrative negotiation
C. Interdependent negotiation
D. Under these conditions, negotiation cannot exist
Practice Question 7

If a negotiator wants to take the opportunity to education the other party on her position, she
should do this during which stage of the negotiation process?

A. Planning and preparing

B. Clarification and justification
C. Bargaining and problem solving
D. Closure and implementation
Practice Question 8

In Diamond’s and Voss’ negotiation strategies, which of Ury and Fisher’s principles has a
stronger and more important focus?

A. Focus on interests, not positions

B. Invent options for mutual gains
C. Insist on using objective criteria
D. Separate the problem from the people
Practice Question 9

When a negotiator continues to negotiate for a solution long after it’s been proven to be the
wrong solution, this is called ______________.

A. Overconfidence
B. Mythical fixed pie
C. Irrational escalation of commitment
D. Winner’s curse
Practice Question 10

Which kind of third-party negotiator acts as a go-between and relates information to one side
from another, without any real involvement in the negotiation?

A. Mediation
B. Consultation
C. Conciliation
D. Arbitration
Quick Review

• Conflict Management
• There are four types of conflict
• Conflict has five stages– no matter what type of conflict you’re experiencing
• Choose your conflict management style by weighing the importance of the relationship vs. the
importance of the outcome
• Negotiation
• Negotiating and conflict management are different
• Negotiation also has five stages
• A negotiator can approach a situation with several different strategies, but s/he should definitely focus on
people
• Third party negotiators are available to assist with difficult negotiations