1. Chapter 13Conflict & Negotiation

2. Transitions in Conflict Thought • Traditional View • Human Relations View • Interactionist View

3. Transitions in Conflict Thought The Traditional View: Conflict is bad and synonymous with violence, destruction, and irrationality.

4. Transitions in Conflict Thought The Human Relations View: Conflict is natural and inevitable, and should be accepted as a part of life.

5. Transitions in Conflict Thought The Interactionist View: Constructive conflict should be encouraged; it keeps the group alive, self-critical, and creative.

6. Functional vs. Dysfunctional Conflict • Task conflict (+/-) • Process conflict (+/-) • Relationship conflict (-)

7. Conflict Process Stages • Potential opposition • Cognition and personalization • Intentions • Behavior • Outcomes

8. Conflict Process Stages

9. Stage I: Potential Conflict • Communication • Structure • Personal Variables

10. Stage II: Cognition and Personalization • Potential for opposition realized • When individuals become emotionally involved, parties experience anxiety, tension, frustration, or hostility

11. Stages III & IV: Intentions & Behaviors • Competing (distributive) • Collaborating (integrative) • Avoiding • Accommodating • Compromising

12. Conflict Handling Behaviors High Competition Collaboration Compromise Concern for Own Interests Accommodation Avoidance Low High Low Concern for Other’s Interests

13. Distributive Versus Integrative Bargaining Distributive Integrative Characteristic: Approach: Approach: Goal: Get as much of a Expand the pie; look for fixed pie as possible win/win options Motivation: Win-Lose (self serving) Win-Win (mutual gain) Focus: Positions Interests Information Low High Sharing: Duration of Short term Long term relationships: Key Assumptions: Adversarial and hostile Collaborative and open problem solving Role of Trust: It’s for suckers! It’s the only real currency!

14. Negotiation Negotiation: Process whereby two or more parties attempt to agree on the exchange rate for goods or services. BATNA The Best Alternative To a Negotiated Agreement; the lowest acceptable value (outcome) for someone for a negotiated agreement.

15. The Negotiation Process E X H I B I T 13 – 5

16. Staking Out the Bargaining Zone E X H I B I T 13 – 4

17. Issues in Negotiation Role of Mood and Personality Traits: • Positive moods positively affect negotiations • Traits appear to have little significant effect on the outcomes of either bargaining or negotiating processes (except extraversion, which is bad for negotiation effectiveness) Gender Differences: • Women negotiate no differently from men, although men apparently negotiate slightly better outcomes. • Men and women with similar power bases use similar negotiating styles. • Women’s attitudes toward negotiation and their success as negotiators are less favorable than men’s.

18. Issues in Negotiation(cont.) • Italians, Germans, and French don’t soften up executives with praise before they criticize. Americans do, and to many Europeans this seems manipulative. • Israelis are accustomed to fast-paced meetings and so have no patience for American small talk. • Indian executives are used to interrupting one another. When Americans listen without asking for clarification or posing questions, Indians may conclude the Americans aren’t paying attention. • Americans often mix their business and personal lives. They think nothing about asking a colleague questions like, “How was your weekend?” (it’s a cultural ritual for Americans). In some cultures such a question is intrusive because business and private lives are kept totally separate. • Many Americans live by the motto: “It’s not personal, it’s business,” whereas many other cultures live by the motto: “It’s not business until first it’s personal.” Source: Adapted from L. Khosla, “You Say Tomato,” Forbes, May 21, 2001, p. 36.

19. Stage IV: Outcomes Functional Outcomes from Conflict: • Increased group performance • Improved quality of decisions • Stimulation of creativity and innovation • Encouragement of interest and curiosity • Provision of a medium for problem-solving • Creation of an environment for self-evaluation and change Creating Functional Conflict: • Reward dissent and sanction avoiders of functional conflict

20. Stage IV: Outcomes(cont.) Dysfunctional Outcomes from Conflict: • Development of discontent • Reduced group effectiveness • Retarded communication • Reduced group cohesiveness • Infighting among group members overcomes group goals Minimizing Dysfunctional Conflict: • Emphasize common goals and objectives • Eliminate elements of relationship that bread distrust