Conflict And Negotiation

By :
 Rajas mudafale

&

 Kunal hirekar

To;
Neeta shrivastav.
Conflict – Definition
When two or more people have differences in
ideas/views and are not ready to understand or
accept each others ideas/views

2
UNDERSTANDING CONFLICT

CONFLICT IS THE
DISAGREEMENT
BETWEEN TWO OR
MORE INDIVIDUALS OR
GROUPS OVER AN
ISSUE OF MUTUAL
INTEREST
 CAUSES OF CONFLICT
Changes in work pattern.

Differences in perceptions.

Differences in values.

Availability of options.

Allocation of limited resources.

CAUSES OF CONFLICT
Inter-dependence.

Unequal work-load.

Biased assessment of subordinates.

Unattainable targets.

Lack of trust and confidence.

Threat to status quo.

How can conflict’s be
distinguished ?
 Conflicts can be divided in :
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.
 Types of Conflict
1. Personal Conflicts – Related to your or others Behavior/Style
Differences in Style:
 People's style for a completing job can differ.

Differences in Background/Gender:
 Conflicts can arise between people because of differences in
educational backgrounds, personal experiences, ethnic heritage,
gender and political preferences.

Differences in Personality:
 This type of conflict is often fueled by emotion and perceptions
about somebody else's motives and character.
 Types of Conflict
Situational Conflicts – Based on the
situation you are in

Interdependence Conflicts:
 A person's job depends on someone else's co-operation, output
or input.

Differences in Leadership:
 Leaders have different styles. Employees who change from one
supervisor to another can become confused
 TYPES OF CONFLICTS
INTER PERSONAL CONFLICT

INTRA PERSONAL CONFLICT

INTER GROUP CONFLICT

INTRA GROUP CONFLICT

Inter personal conflict
• Occurs between two or more individuals who are in
opposition to one another.

• Inter personal conflict arises mainly because of

difference in perception, temperaments, personalities,
values, systems, socio- cultural factors and role
ambiguities.
Intra personal conflict
Occurs among members of different teams or groups.

 FRUSTRATION: It occurs when a motivated drive is blocked

before a person reaches a desired goal.

 NEUROTIC TENDENCIES: This is an irrational personality

mechanism that an individual uses that create inner conflict.
Inter group conflict
It is also called Organizational conflict refers to the
conflict between groups, departments or sections in an
organization.

 Conflict between groups is frequent and highly visible.

Intra group conflict
It refers to disputes among some or small or all of a
group’s members which often affect the group’s
performance.

Family run business is prone to this type of conflict.

These conflicts typically become more intense when an

owner- founder approaches retirement, actually retires
or die.
EFFECTS OF CONFLICTS
POSITIVE EFFECTS:

1. Increase involvement.

2. Increase cohesion.

3. Increase innovation and creativity.

4. Personal growth and change.

 EFFECTS OF CONFLICTS
POSITIVE EFFECTS:

5. Clarification of key issues.

6. Organizational vibrancy.

7. Individual and group identities.

 EFFECTS OF CONFLICTS
NEGATIVE EFFECTS:

1. Unresolved anger.

2. Personality clashes.

3. Less self esteem.

4. Inefficiency.

5. Diversion of energy from work.

 EFFECTS OF CONFLICTS
NEGATIVE EFFECTS:

6. Psychological well being threatened.

7. Wastage of resources.

8. Negative climate.

9. Group cohesion disrupted.

NEGOTIATION
NEGOTIATION
The best way to resolve conflict is through negotiations.

Negotiation is a process in which one party agrees to

exchange a product or service with another party in return
for something.
Effective negotiation.

Occurs when substance issues are resolved and

working relationships are maintained or improved.

Criteria for an effective negotiation:

Quality.
Harmony.
Efficiency.
Ethical aspects of negotiation:

To maintain good working relationships, negotiating

parties should strive for high ethical standards.

The negotiating parties should avoid being side

tracked by self-interests, thereby being tempted to
pursue unethical actions.
Organizational settings for negotiation.

Two-party negotiation.

Group negotiation.

Inter group negotiation.

Constituency negotiation.
Negotiation process
1. Preparation & planning:

 Understands the nature & background of the conflict.

 Identifies the self goals as well as other parties goals.

 The negotiator prepares the strategy to be adopted by

collecting possible information.

 Understanding priority objectives of the other party.

Negotiation process
2) Defining Rules :

Both parties arrive at the negotiation table & establish the

basic rules & procedures that will guide the negotiation
process.

3) Clarification & justification:

Both parties exchange their demands & justify them.

Present documents in support of their position.

Negotiation process
4) Bargaining & problem solving:
The parties start bargaining with each other.
Each party gives concession to another party.
The critical issues may be settled later on.
Negotiating parties should take a break to avoid heated
arguments.
5) Closure & implementation:
The bargaining process is complete & the final agreement is
written & signed.
Monitoring & implementation of agreement.
ISSUES IN THE NEGOTIATION PROCESS
Biases in decision making:
Believes like women negotiators are soft
Decision based on only available
information.

Personality trait:
While preparing for the negotiation process
the focus should be on bargaining issues and
the situational factors rather than personality
traits.
ISSUES IN THE NEGOTIATION
PROCESS
Cultural differences:
French people tend to be indifferent to what their opponents
think of them which results in prolonged negotiations.

The Chinese & Japanese believe in building long -term

relationships & work out minute details of the agreement &
obtain commitment from the another party to work together.

Americans are impatient and tries to end negotiations as early

as possible.
ISSUES IN THE NEGOTIATION
PROCESS
Third-Party Negotiation:
When negotiations between the parties fail to result
satisfactorily, the parties turn to a third party to arrive
at an agreement.
The role of third party may be in the form of
Mediator :
Third party uses logical reasoning & persuasion
technique to convince the parties to arrive at an
agreement.
The mediator suggests the alternative solutions
Mediators are used in union-management negotiations &
civil court disputes
ISSUES IN THE NEGOTIATION
PROCESS
Arbitrator
Has the authority to enforce his decision on parties.
May be chosen voluntarily or may imposed by the laws.
It always results in the settlements.
But may leave one or both the parties dissatisfied & the
conflict may arise again.
Conciliator
Serves as a informal communication link between the
conflicting parties.
He is trusted by both the parties.
Tries to find a solution which is accepted by both the
parties .
ISSUES IN THE NEGOTIATION
PROCESS
Consultant:
Is a skilled person who uses conflict management
techniques to resolve the differences.

Encourages the parties & develops positive attitude &

builds long term relationship.

Use his communication & analytical skills to motivate the

parties.

Does not provide a solution but acts as a facilitator.

THANK YOU