Organizational Behavior

1. Organizational Behavior Module 11: Conflict and Negotiation

2. 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

3. Conflict Management

4. 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

5. What is conflict? Conflict is perception: it only exists if the person experiencing it feels that it is conflict

6. 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

7. Views of Conflict • Traditional view • Humanistic view • Interactionist view

8. Types of Conflict • Interpersonal • Intrapersonal • Intergroup • Intragroup

9. Stages of Conflict

10. Conflict Management Styles

11. Class Activity: Determine the best style of conflict management Match the best style of conflict management to the situation Settling an argument where you know you’re right Your knowledge of the issue is limited The parties need to cool off A quick solution is needed Issue and people are both important Compromise Compete Accommodate Avoid Collaborate

12. Organizational sources of conflict • Goal incompatibility and differentiation • Interdependence • Uncertainty and resource scarcity • Reward systems

13. Practice Question 1 Which view is the way we view conflict today, and how we view it in discussions of this module? • The Traditionalist View • The Competitive View • The Human Relations View • The Interactionist View

14. Practice Question 2 What are the four types of conflict? • Interpersonal and intrapersonal, intergroup and intragroup • Incompatibility, intentions, behavior and outcome • Interactionist, Traditionalist, Competitive, and Human Relations • Personal, group, competitive, and organizational

15. Practice Question 3 Which is the stage at which conflict truly becomes evident? • Outcomes • Cognition and personalization stage • Behavior • Intentions stage

16. Practice Question 4 Which is the only approach to conflict management that provides a win-win situation for both parties? • Compromise • Collaboration • Competing • Avoiding

17. 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? • Goal incompatibility and differentiation • Interdependence • Uncertainty and resource scarcity • Reward systems

18. Negotiation

19. 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

20. 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

21. Types of negotiation • Distributive negotiation • Integrated negotiation

22. Five stages of negotiation

23. 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”

24. 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”

25. Negotiating Strategies: Never Split the Difference (Voss/Raz) • “Tactical empathy” • Engage in solving the other person’s problem • Mirroring • Baiting the “no”

26. 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.

27. Issues in negotiation • Personality • Gender • Cultural differences

28. Unethical Negotiation • Selective disclosure • Misrepresentation • Deception and lying • False threats and false promises • Inflicting direct or indirect harm

29. Mistakes in negotiation • Winner’s curse • Mythical fixed pie • Overconfidence • Irrational escalation of commitment

30. Third-party negotiations • Arbitrators • Conciliators • Consultants • Mediators

31. 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? • Distributive negotiation • Integrative negotiation • Interdependent negotiation • Under these conditions, negotiation cannot exist

32. 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? • Planning and preparing • Clarification and justification • Bargaining and problem solving • Closure and implementation

33. Practice Question 8 In Diamond’s and Voss’ negotiation strategies, which of Ury and Fisher’s principles has a stronger and more important focus? • Focus on interests, not positions • Invent options for mutual gains • Insist on using objective criteria • Separate the problem from the people

34. 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 ______________. • Overconfidence • Mythical fixed pie • Irrational escalation of commitment • Winner’s curse

35. 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? • Mediation • Consultation • Conciliation • Arbitration

36. 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