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Conflict & Negotiation

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Alexis Kuehl

on 7 April 2014

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Transcript of Conflict & Negotiation

When one party perceives its interests
are being opposed or negatively affected
by another party, we experience conflict.
Conflict & Negotiation
Alexis Kuehl
Kelly White
Daniela D'Addazio

Karina Munoz
Jennifer Zaremba

What is conflict?
Conflict: An Important Dimension
in Successful Management Teams
Interpersonal Conflict Handling Styles
The Link Between Conflict Management and Team Performance
1) Emphasizing Superordinate Goals

3) Improving Communication and Mutual Understanding
4) Reducing Interdependence

Resolving Conflict Through Negotiation

- Negotiation is the key to resolving conflict

- Negotiation
: the process whereby two or
more conflicting parties attempt to resolve their
divergent goals by defining the terms of their

- Negotiation is an everyday thing we do

- Especially evident in the workplace
Strategies for Claiming Value

Claiming value
: to get the best possible outcome for your own team

1. Prepare and set goals
- Have your colleagues practice with you some potential curve

2. Know your BATNA
- Best alternative to a negotiated agreement (BATNA):
the best outcome you might achieve through some other
course of action if you abandon the current negotiation

3. Manage time
- “Exploding offers” are offers where a team gives their
opponents a very short time to accept an offer

4. Manage first offers and concessions
- Making the first offer is a great advantage for your team

Bargaining Zone Model of Negotiations

Bargaining zone
: when each party moves along a
continuum in opposite directions with an area of
potential overlap

- 3 main negotiating points:
1. Initial offer point: the team’s opening offer to
the other party
2. Target point: the team’s realistic goal or
expectation for a final agreement
3. Resistant point: the point beyond which the
team will make no further concessions

How people approach a conflict situation depends on the relative importance they place on maximizing outcomes for themselves and outcomes for the other party.
Problem Solving
Win-win orientation
Creative solution
Information sharing
win-lose orientation
minimize interaction
low concern
Unilateral concessions
No reciprocity
Sharing info that other party might use to its advantage
May damage long-term relations
Doesn't resolve conflict & may increase frustration
Increases other's expectations for future conflicts
Equally valued gains
Middle ground
May overlook better solutions
When to use each style...
Problem -Trust & Openness
Solving: -Issues are complex
-Interests are not opposing

Forcing: -Dispute requires quick solution
-Deep conviction about your position

Avoiding: -Cost overweighs benefits
-Conflict is too emotionally charged

Yielding: -Other party has more power
-Issue is less important to you

Compromising: -Time pressure
-Lack of trust/openness
-Equal power
Ultimately based on perception
Is Conflict Good or Bad?
One of the greatest debates in organizational behavior
Conflict is often stressful, it can be a distraction to employees, and consumes energy
May reduce job satisfaction
Creates higher turnover
Lower customer service
Undermines team cohesion
Benefits of Conflict
Organizations are most effective when they experience some level of conflict
Conflict energizes debates & allows employees to evaluate alternatives more thoroughly
Inferior decisions are prevented
Conflict helps team develop more creative solutions
Both individuals & teams strive to reach agreement, learning more about one another & underlying issues needing to be addressed
Generates more vigilance
Constructive vs. Relationship
Constructive Conflict: Task Related
Occurs when the focus of discussion is around issues but respect for others' points of view is present
Relationship Conflict: Socioemotional Conflict
Focuses on adversary rather than the issues
Competency is questioned and trust is reduced

: The critical role of conflict resolution in teams: A close look at the links between conflict type, conflict management strategies, and team outcomes.
Journal of Applied Psychology
57 individual teams of students
Activities and surveys
7 categories of conflict resolution strategies: voting, compromise, avoidance, open communication, debate, idiosyncratic solutions, and rotating responsibilities
Most successful teams shared 3 qualities:
1- Focused on interpersonal communication instead of delivery
2- Stated the reasons for their decisions
3- Assigned work to team members based on expertise

Slide 4:

Academic Journal

- Negotiators who possess more attractive BATNA’s are less dependent on others

- Negotiators who can make a greater contribution to the relationship increase their counterpart’s dependence on the relationship

- How to win a negotiation:
- Improve your BATNA
- Decrease the other teams BATNA

Slide 5:

Strategies for Creating Value

- Creating value: to achieve mutually satisfactory outcomes for both parties

1. Gather information
2. Discover priorities through offers and concessions
3. Build the relationship

Slide 6:

Situational Influences on Negotiations

1. Location
2. Physical Setting
3. Audience Characteristics

Full transcript