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Organizational
   Behavior, 9/E
Schermerhorn, Hunt, and
       Osborn
                 Prepared by
             Michael K. McCuddy
             Valparaiso University

      John Wiley & Sons, Inc.
Chapter 15 Study Questions

 What is conflict?
 How can conflict be managed
  successfully?
 What is negotiation?
 What are the different strategies involved
  in negotiation?


            Organizational Behavior: Chapter 15
                                         2
Study Question 1: What is conflict?

 Conflict occurs whenever:

  – Disagreements exist in a social situation over
    issues of substance.
  – Emotional antagonisms cause frictions
    between individuals or groups.


             Organizational Behavior: Chapter 15
                                          3
Study Question 1: What is conflict?
 Types of conflict.
  – Substantive conflict.
     • A fundamental disagreement over ends or goals to
       be pursued and the means for their
       accomplishment.
  – Emotional conflict.
     • Interpersonal difficulties that arise over feelings of
       anger, mistrust, dislike, fear, resentment, etc.


               Organizational Behavior: Chapter 15
                                            4
Study Question 1: What is conflict?
 Levels of conflict.
  – Intrapersonal conflicts.
     • Actual or perceived pressures from incompatible
       goals or expectations.
     • Approach-approach conflict.
     • Avoidance-avoidance conflict.
     • Approach-avoidance conflict.



              Organizational Behavior: Chapter 15
                                           5
Study Question 1: What is conflict?

 Levels of conflict (cont.).
  – Interpersonal conflict.
     • Occurs between two or more individuals who are
       in opposition to one another.
  – Intergroup conflict.
     • Occurs among members of different teams or
       groups.



                 Organizational Behavior: Chapter 15
                                              6
Study Question 1: What is conflict?

 Levels of conflict (cont.).
  – Interorganizational conflict.
     • Commonly refers to the competition and rivalry
       that characterize firms operating in the same
       markets.
     • Encompasses disagreements that exist between any
       two or more organizations.



              Organizational Behavior: Chapter 15
                                           7
Study Question 1: What is conflict?




          Organizational Behavior: Chapter 15
                                       8
Study Question 1: What is conflict?
 Potential benefits of functional conflict.
  – Surfaces important problems so they can be
    addressed.
  – Causes careful consideration of decisions.
  – Causes reconsideration of decisions.
  – Increases information available for decision
    making.
  – Provides opportunities for creativity.

              Organizational Behavior: Chapter 15
                                           9
Study Question 1: What is conflict?
 Potential disadvantages of dysfunctional
  conflict.
  – Diverts energies.
  – Harms group cohesion.
  – Promotes interpersonal hostilities.
  – Creates overall negative environment.
  – Can decrease work productivity and job
    satisfaction.
  – Can contribute to absenteeism and job
    turnover.
              Organizational Behavior: Chapter 15
                                           10
Study Question 1: What is conflict?
 Culture and conflict.
  – Culture and cultural differences must be
    considered for their conflict potential.
  – Individuals who are not able to recognize and
    respect the impact of culture may contribute to
    emergence of dysfunctional situations
  – Cross-cultural sensitivity helps defuse
    dysfunctional conflict and capture advantages
    that constructive conflict may offer.
             Organizational Behavior: Chapter 15
                                          11
Study Question 2: How can conflict be
managed successfully?




           Organizational Behavior: Chapter 15
                                        12
Study Question 2: How can conflict be
managed successfully?

 Causes of conflict.
  – Vertical conflict.
     • Occurs between hierarchical levels.
  – Horizontal conflict.
     • Occurs between persons or groups at the same
       hierarchical level.
  – Line-staff conflict.
     • Involves disagreements over who has authority and
       control over specific matters.

              Organizational Behavior: Chapter 15
                                           13
Study Question 2: How can conflict be
managed successfully?
 Causes of conflict (cont.).
  – Role conflicts.
     • Occur when the communication of task
       expectations proves inadequate or upsetting.
  – Workflow interdependencies.
     • Occur when people or units are required to
       cooperate to meet challenging goals.
  – Domain ambiguities.
     • Occur as misunderstandings over such things as
       customer jurisdiction or scope of authority .

              Organizational Behavior: Chapter 15
                                           14
Study Question 2: How can conflict be
managed successfully?

 Causes of conflict (cont.).
  – Resource scarcity.
     • When resources are scarce, working relationships
       are likely to suffer.
  – Power or value asymmetries.
     • Occur when interdependent people or groups differ
       substantially from one another in status and
       influence or in values.


               Organizational Behavior: Chapter 15
                                            15
Study Question 2: How can conflict be
managed successfully?
 Indirect conflict management approaches.
  – Reduced interdependence.
     • Adjusting the level of interdependency among
      units or individuals when workflow conflicts exist.
     • Decoupling, buffering, and linking pin roles.

  – Appeal to common goals.
     • Focusing the attention of potentially conflicting
      parties on one mutually desirable conclusion.

              Organizational Behavior: Chapter 15
                                           16
Study Question 2: How can conflict be
managed successfully?
 Indirect conflict management approaches
 (cont.).
  – Hierarchical referral.
     • Problems are referred up the hierarchy for more
       senior managers to reconcile.
  – Altering scripts and myths.
     • Superficial management of conflict by using
       behavioral routines that become part of the
       organization’s culture.
              Organizational Behavior: Chapter 15
                                           17
Study Question 2: How can conflict be
managed successfully?




             Organizational Behavior: Chapter 15
                                          18
Study Question 2: How can conflict be
managed successfully?
 Lose-lose conflict.
  – Avoidance.
     • Everyone simply pretends that the conflict does not
       really exist and hopes that it will go away.
  – Accommodation or smoothing.
     • Involves playing down differences among the
       conflicting parties and highlighting similarities and
       areas of agreement.
  – Compromise.
     • Each party gives up something of value, but
       neither party’s desires are fully satisfied
               Organizational Behavior: Chapter 15
                                            19
Study Question 2: How can conflict be
managed successfully?

 Win-lose conflict.
  – Competition.
     • One party achieves a victory through the use of
      force, superior skills, or domination.
  – Authoritative command.
     • Use of formal authority to dictate a solution and
      specify who gains what and who loses what.


              Organizational Behavior: Chapter 15
                                           20
Study Question 2: How can conflict be
managed successfully?
 Win-win conflict.
  – Collaboration or problem solving.
     • Recognition by all conflicting parties that
      something is wrong and needs attention, and it
      stresses gathering and evaluating information in
      solving disputes and making choices.
     • Collaboration and problem solving are preferred to
      gain true conflict resolution when time and cost
      permit.
              Organizational Behavior: Chapter 15
                                           21
Study Question 2: How can conflict be
managed successfully?

 Win-win solutions should:
  – Achieve each other’s goals.
  – Be acceptable to both parties.
  – Establish a process whereby both parties see a
    responsibility to be open and honest about
    facts and feelings.

             Organizational Behavior: Chapter 15
                                          22
Study Question 2: How can conflict be
managed successfully?

 Potential disadvantages of collaboration.
  – Collaboration requires time and energy.
  – Both parties to the conflict need to be assertive
    and cooperative.
  – Collaboration may not be feasible if the
    organization’s culture does not value
    cooperation.
             Organizational Behavior: Chapter 15
                                          23
Study Question 3: What is negotiation?

 Negotiation goals and outcomes.
  – Substance goals.
     • Outcomes that relate to content issues.

  – Relationship goals.
     • Outcomes that relate to how well people involved
      in the negotiations and any constituencies they
      represent are able to work with one another once
      the process is concluded.

              Organizational Behavior: Chapter 15
                                           24
Study Question 3: What is negotiation?

 Effective negotiation.
  – Occurs when substance issues are resolved and
    working relationships are maintained or
    improved.
  – Criteria for an effective negotiation.
     • Quality.
     • Harmony.
     • Efficiency.


              Organizational Behavior: Chapter 15
                                           25
Study Question 3: What is negotiation?
 Ethical aspects of negotiation.
   – To maintain good working relationships, negotiators
     should strive for high ethical standards.
   – Negotiators’ rationalizations for questionable ethical
     behavior are offset by long-run negative
     consequences.
   – The unethical negotiator may be targeted for revenge.

   – Unethical negotiating actions may become habitual.

                Organizational Behavior: Chapter 15
                                             26
Study Question 3: What is negotiation?

 Organizational settings for negotiation.
  – Two-party negotiation.
     • Manager negotiates directly with one other person.

  – Group negotiation.
     • Manager is part of a group whose members are
       negotiating.


              Organizational Behavior: Chapter 15
                                           27
Study Question 3: What is negotiation?

 Organizational settings for negotiation (cont.).

   – Intergroup negotiation.
      • Manager is part of a group that is negotiating with
        another group.
   – Constituency negotiation.
      • Manager is involved in negotiation with other
        persons, with each party representing a broader
        constituency.

               Organizational Behavior: Chapter 15
                                            28
Study Question 4: What are the different
strategies involved in negotiation?

 Distributive negotiation.
   – Focuses on positions staked out or declared by the
     conflicting parties.
   – Parties try to claim certain portions of the existing pie.
 Integrative negotiation.
   – Sometimes called principled negotiation.
   – Focuses on the merits of the issues.
   – Parties try to enlarge the available pie.


                Organizational Behavior: Chapter 15
                                             29
Study Question 4: What are the different
strategies involved in negotiation?

 Distributive negotiation.
  – The key question is: “Who is going to get this
    resource?”
  – “Hard” distributive negotiation.
     • Each party holds out to get its own way.
  – “Soft” distributive negotiation.
     • One party is willing to make concessions to the
       other party to get things over.


              Organizational Behavior: Chapter 15
                                           30
Study Question 4: What are the different
strategies involved in negotiation?

 Integrative negotiation.
  – The key question is: “How can the resource
    best be utilized?”
  – Is less confrontational than distributive
    negotiation, and permits a broader range of
    alternative solutions to be considered.
  – Opportunity for a true win-win solution.


             Organizational Behavior: Chapter 15
                                          31
Study Question 4: What are the different
strategies involved in negotiation?
 Attitudinal foundations of integrative
  agreements.
  – Willingness to trust the other party.
  – Willingness to share information with the
    other party.
  – Willingness to ask concrete questions of the
    other party.

             Organizational Behavior: Chapter 15
                                          32
Study Question 4: What are the different
strategies involved in negotiation?
 Behavioral foundations of integrative
  agreements.
   – Ability to separate the people from the problem.
   – Ability to focus on interests rather than positions.
   – Ability to avoid making premature judgments.
   – Ability to keep alternative creation separate from
     evaluation.
   – Ability to judge possible agreements on an objective
     set of criteria or standards.

                Organizational Behavior: Chapter 15
                                             33
Study Question 4: What are the different
strategies involved in negotiation?
 Information foundations of integrative
  agreements.
  – Each party must know what he or she will do
    if an agreement can’t be reached.
  – Each party must determine what is personally
    important in the situation.
  – Each party must achieve an understanding of
    what the other party values.

             Organizational Behavior: Chapter 15
                                          34
Study Question 4: What are the different
strategies involved in negotiation?
 Common negotiation pitfalls.
  – Myth of the fixed pie.
  – Possibility of escalating commitment.
  – Negotiators often develop overconfidence in
    their positions.
  – Communication problems can cause
    difficulties during a negotiation.
     • Telling problem.
     • Hearing problem.

              Organizational Behavior: Chapter 15
                                           35
Study Question 4: What are the different
strategies involved in negotiation?
 Third-party roles in negotiation.
  – Alternative dispute resolution.
     • A neutral third party works with persons
       involved in a negotiation to help them
       resolve impasses and settle disputes.
  – Arbitration.
     • A third party acts as a “judge” and has the
       power to issue a decision that is binding on
       all disputing parties.
             Organizational Behavior: Chapter 15
                                          36
Study Question 4: What are the different
strategies involved in negotiation?

 Third-party roles in negotiation (cont.).
  – Mediation.
     • A neutral third party tries to engage
       disputing parties in a negotiated solution
       through persuasion and rational argument.




             Organizational Behavior: Chapter 15
                                          37
COPYRIGHT

Copyright 2005 © John Wiley & Sons, Inc. All rights reserved.
Reproduction or translation of this work beyond that permitted in Section
117 of the 1976 United States Copyright Act without the express written
permission of the copyright owner is unlawful. Request for further
information should be addressed to the Permissions Department, John Wiley
& Sons, Inc. The purchaser may make back-up copies for his/her own use
only and not for distribution or resale. The Publisher assumes no
responsibility for errors, omissions, or damages, caused by the use of these
programs or from the use of the information contained herein.




                Organizational Behavior: Chapter 15
                                             38

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Ch15

  • 1. Organizational Behavior, 9/E Schermerhorn, Hunt, and Osborn Prepared by Michael K. McCuddy Valparaiso University John Wiley & Sons, Inc.
  • 2. Chapter 15 Study Questions  What is conflict?  How can conflict be managed successfully?  What is negotiation?  What are the different strategies involved in negotiation? Organizational Behavior: Chapter 15 2
  • 3. Study Question 1: What is conflict?  Conflict occurs whenever: – Disagreements exist in a social situation over issues of substance. – Emotional antagonisms cause frictions between individuals or groups. Organizational Behavior: Chapter 15 3
  • 4. Study Question 1: What is conflict?  Types of conflict. – Substantive conflict. • A fundamental disagreement over ends or goals to be pursued and the means for their accomplishment. – Emotional conflict. • Interpersonal difficulties that arise over feelings of anger, mistrust, dislike, fear, resentment, etc. Organizational Behavior: Chapter 15 4
  • 5. Study Question 1: What is conflict?  Levels of conflict. – Intrapersonal conflicts. • Actual or perceived pressures from incompatible goals or expectations. • Approach-approach conflict. • Avoidance-avoidance conflict. • Approach-avoidance conflict. Organizational Behavior: Chapter 15 5
  • 6. Study Question 1: What is conflict?  Levels of conflict (cont.). – Interpersonal conflict. • Occurs between two or more individuals who are in opposition to one another. – Intergroup conflict. • Occurs among members of different teams or groups. Organizational Behavior: Chapter 15 6
  • 7. Study Question 1: What is conflict?  Levels of conflict (cont.). – Interorganizational conflict. • Commonly refers to the competition and rivalry that characterize firms operating in the same markets. • Encompasses disagreements that exist between any two or more organizations. Organizational Behavior: Chapter 15 7
  • 8. Study Question 1: What is conflict? Organizational Behavior: Chapter 15 8
  • 9. Study Question 1: What is conflict?  Potential benefits of functional conflict. – Surfaces important problems so they can be addressed. – Causes careful consideration of decisions. – Causes reconsideration of decisions. – Increases information available for decision making. – Provides opportunities for creativity. Organizational Behavior: Chapter 15 9
  • 10. Study Question 1: What is conflict?  Potential disadvantages of dysfunctional conflict. – Diverts energies. – Harms group cohesion. – Promotes interpersonal hostilities. – Creates overall negative environment. – Can decrease work productivity and job satisfaction. – Can contribute to absenteeism and job turnover. Organizational Behavior: Chapter 15 10
  • 11. Study Question 1: What is conflict?  Culture and conflict. – Culture and cultural differences must be considered for their conflict potential. – Individuals who are not able to recognize and respect the impact of culture may contribute to emergence of dysfunctional situations – Cross-cultural sensitivity helps defuse dysfunctional conflict and capture advantages that constructive conflict may offer. Organizational Behavior: Chapter 15 11
  • 12. Study Question 2: How can conflict be managed successfully? Organizational Behavior: Chapter 15 12
  • 13. Study Question 2: How can conflict be managed successfully?  Causes of conflict. – Vertical conflict. • Occurs between hierarchical levels. – Horizontal conflict. • Occurs between persons or groups at the same hierarchical level. – Line-staff conflict. • Involves disagreements over who has authority and control over specific matters. Organizational Behavior: Chapter 15 13
  • 14. Study Question 2: How can conflict be managed successfully?  Causes of conflict (cont.). – Role conflicts. • Occur when the communication of task expectations proves inadequate or upsetting. – Workflow interdependencies. • Occur when people or units are required to cooperate to meet challenging goals. – Domain ambiguities. • Occur as misunderstandings over such things as customer jurisdiction or scope of authority . Organizational Behavior: Chapter 15 14
  • 15. Study Question 2: How can conflict be managed successfully?  Causes of conflict (cont.). – Resource scarcity. • When resources are scarce, working relationships are likely to suffer. – Power or value asymmetries. • Occur when interdependent people or groups differ substantially from one another in status and influence or in values. Organizational Behavior: Chapter 15 15
  • 16. Study Question 2: How can conflict be managed successfully?  Indirect conflict management approaches. – Reduced interdependence. • Adjusting the level of interdependency among units or individuals when workflow conflicts exist. • Decoupling, buffering, and linking pin roles. – Appeal to common goals. • Focusing the attention of potentially conflicting parties on one mutually desirable conclusion. Organizational Behavior: Chapter 15 16
  • 17. Study Question 2: How can conflict be managed successfully?  Indirect conflict management approaches (cont.). – Hierarchical referral. • Problems are referred up the hierarchy for more senior managers to reconcile. – Altering scripts and myths. • Superficial management of conflict by using behavioral routines that become part of the organization’s culture. Organizational Behavior: Chapter 15 17
  • 18. Study Question 2: How can conflict be managed successfully? Organizational Behavior: Chapter 15 18
  • 19. Study Question 2: How can conflict be managed successfully?  Lose-lose conflict. – Avoidance. • Everyone simply pretends that the conflict does not really exist and hopes that it will go away. – Accommodation or smoothing. • Involves playing down differences among the conflicting parties and highlighting similarities and areas of agreement. – Compromise. • Each party gives up something of value, but neither party’s desires are fully satisfied Organizational Behavior: Chapter 15 19
  • 20. Study Question 2: How can conflict be managed successfully?  Win-lose conflict. – Competition. • One party achieves a victory through the use of force, superior skills, or domination. – Authoritative command. • Use of formal authority to dictate a solution and specify who gains what and who loses what. Organizational Behavior: Chapter 15 20
  • 21. Study Question 2: How can conflict be managed successfully?  Win-win conflict. – Collaboration or problem solving. • Recognition by all conflicting parties that something is wrong and needs attention, and it stresses gathering and evaluating information in solving disputes and making choices. • Collaboration and problem solving are preferred to gain true conflict resolution when time and cost permit. Organizational Behavior: Chapter 15 21
  • 22. Study Question 2: How can conflict be managed successfully?  Win-win solutions should: – Achieve each other’s goals. – Be acceptable to both parties. – Establish a process whereby both parties see a responsibility to be open and honest about facts and feelings. Organizational Behavior: Chapter 15 22
  • 23. Study Question 2: How can conflict be managed successfully?  Potential disadvantages of collaboration. – Collaboration requires time and energy. – Both parties to the conflict need to be assertive and cooperative. – Collaboration may not be feasible if the organization’s culture does not value cooperation. Organizational Behavior: Chapter 15 23
  • 24. Study Question 3: What is negotiation?  Negotiation goals and outcomes. – Substance goals. • Outcomes that relate to content issues. – Relationship goals. • Outcomes that relate to how well people involved in the negotiations and any constituencies they represent are able to work with one another once the process is concluded. Organizational Behavior: Chapter 15 24
  • 25. Study Question 3: What is negotiation?  Effective negotiation. – Occurs when substance issues are resolved and working relationships are maintained or improved. – Criteria for an effective negotiation. • Quality. • Harmony. • Efficiency. Organizational Behavior: Chapter 15 25
  • 26. Study Question 3: What is negotiation?  Ethical aspects of negotiation. – To maintain good working relationships, negotiators should strive for high ethical standards. – Negotiators’ rationalizations for questionable ethical behavior are offset by long-run negative consequences. – The unethical negotiator may be targeted for revenge. – Unethical negotiating actions may become habitual. Organizational Behavior: Chapter 15 26
  • 27. Study Question 3: What is negotiation?  Organizational settings for negotiation. – Two-party negotiation. • Manager negotiates directly with one other person. – Group negotiation. • Manager is part of a group whose members are negotiating. Organizational Behavior: Chapter 15 27
  • 28. Study Question 3: What is negotiation?  Organizational settings for negotiation (cont.). – Intergroup negotiation. • Manager is part of a group that is negotiating with another group. – Constituency negotiation. • Manager is involved in negotiation with other persons, with each party representing a broader constituency. Organizational Behavior: Chapter 15 28
  • 29. Study Question 4: What are the different strategies involved in negotiation?  Distributive negotiation. – Focuses on positions staked out or declared by the conflicting parties. – Parties try to claim certain portions of the existing pie.  Integrative negotiation. – Sometimes called principled negotiation. – Focuses on the merits of the issues. – Parties try to enlarge the available pie. Organizational Behavior: Chapter 15 29
  • 30. Study Question 4: What are the different strategies involved in negotiation?  Distributive negotiation. – The key question is: “Who is going to get this resource?” – “Hard” distributive negotiation. • Each party holds out to get its own way. – “Soft” distributive negotiation. • One party is willing to make concessions to the other party to get things over. Organizational Behavior: Chapter 15 30
  • 31. Study Question 4: What are the different strategies involved in negotiation?  Integrative negotiation. – The key question is: “How can the resource best be utilized?” – Is less confrontational than distributive negotiation, and permits a broader range of alternative solutions to be considered. – Opportunity for a true win-win solution. Organizational Behavior: Chapter 15 31
  • 32. Study Question 4: What are the different strategies involved in negotiation?  Attitudinal foundations of integrative agreements. – Willingness to trust the other party. – Willingness to share information with the other party. – Willingness to ask concrete questions of the other party. Organizational Behavior: Chapter 15 32
  • 33. Study Question 4: What are the different strategies involved in negotiation?  Behavioral foundations of integrative agreements. – Ability to separate the people from the problem. – Ability to focus on interests rather than positions. – Ability to avoid making premature judgments. – Ability to keep alternative creation separate from evaluation. – Ability to judge possible agreements on an objective set of criteria or standards. Organizational Behavior: Chapter 15 33
  • 34. Study Question 4: What are the different strategies involved in negotiation?  Information foundations of integrative agreements. – Each party must know what he or she will do if an agreement can’t be reached. – Each party must determine what is personally important in the situation. – Each party must achieve an understanding of what the other party values. Organizational Behavior: Chapter 15 34
  • 35. Study Question 4: What are the different strategies involved in negotiation?  Common negotiation pitfalls. – Myth of the fixed pie. – Possibility of escalating commitment. – Negotiators often develop overconfidence in their positions. – Communication problems can cause difficulties during a negotiation. • Telling problem. • Hearing problem. Organizational Behavior: Chapter 15 35
  • 36. Study Question 4: What are the different strategies involved in negotiation?  Third-party roles in negotiation. – Alternative dispute resolution. • A neutral third party works with persons involved in a negotiation to help them resolve impasses and settle disputes. – Arbitration. • A third party acts as a “judge” and has the power to issue a decision that is binding on all disputing parties. Organizational Behavior: Chapter 15 36
  • 37. Study Question 4: What are the different strategies involved in negotiation?  Third-party roles in negotiation (cont.). – Mediation. • A neutral third party tries to engage disputing parties in a negotiated solution through persuasion and rational argument. Organizational Behavior: Chapter 15 37
  • 38. COPYRIGHT Copyright 2005 © John Wiley & Sons, Inc. All rights reserved. Reproduction or translation of this work beyond that permitted in Section 117 of the 1976 United States Copyright Act without the express written permission of the copyright owner is unlawful. Request for further information should be addressed to the Permissions Department, John Wiley & Sons, Inc. The purchaser may make back-up copies for his/her own use only and not for distribution or resale. The Publisher assumes no responsibility for errors, omissions, or damages, caused by the use of these programs or from the use of the information contained herein. Organizational Behavior: Chapter 15 38