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Chapter Outline
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1 Explain why conflict arises, and identify the types and sources of conflict in organizations

  1. Organizational Conflict
    Organizational conflict arises from the goals and values of workers are incompatible.
    1. Types of conflict
      1. Interpersonal conflict – occurs between workers because of differences in their goals or values.
      2. Intragroup conflict – arises within the group because the members disagree.
      3. Intergroup conflict – occurs between groups.
      4. Interorganizational conflict – occurs across different organizations.
    2. Sources of conflict
      1. Different goals and time horizons – workers differ on these important points.
      2. Overlapping authority – two or more managers both claim authority for the same activities.
      3. Task interdependencies – interdependent workers or teams have the potential for conflict.
      4. Different evaluation or reward systems – production managers are evaluated for lowering costs, while marketing managers are evaluated for increasing sales.
      5. Scarce resources – financial resources are in demand by all departments and promotions are not given to every manager.
      6. Status inconsistencies – workers have different statuses in the organization's pecking order and this can create conflict.

2 Describe conflict management strategies that managers can use to resolve conflict effectively

    1. Conflict management strategies
      1. Functional conflict resolution – conflict is settled by compromise or by collaboration.
      2. Compromise – each party engages in a "give-and-take" exchange until they resolve the conflict.
      3. Collaboration – the parties try to accomplish a "win-win" result.
      4. Accomodation – one party gives in to the demands of the other party.
      5. Avoidance – the parties ignore the problem.
      6. Competition – each party tries to maximize his or her own gain without understanding the other's position.
      7. Strategies focused on individuals
        1. Increasing awareness of the sources of conflict – so that workers can then try to resolve the conflict.
        2. Increasing diversity awareness and skills – diversity can cause conflict.
        3. Practicing job rotation or temporary assignments – job rotation can resolve conflict by increasing appreciation for the responsibilities of different jobs.
        4. Using permanent transfers or dismissals when necessary – sometimes workers need to be transferred to a different department, or to leave the company to work elsewhere.
      8. Strategies focused on the whole organization
        1. Changing an organization's structure or culture – changing the organization's structure can sometimes resolve conflict.
        2. Altering the source of conflict – for example, managers can clarify the chain of command and resolve the problem of overlapping authority.

3 Understand the nature of negotiation and why integrative bargaining is more effective than distributive negotiation

  1. Negotiation
    Negotiation involves the parties in conflict trying to allocate resources to each other to resolve the conflict. Third-party negotiation involves using a neutral party that is not involved in the conflict. A mediator does not force the parties to accept a resolution. An arbitrator can impose a solution that the parties are bound to accept.
    1. Distributive negotiation and integrative bargaining
      1. Distributive negotiation – the parties compete to divide up a "fixed- pie" of resources among themselves.
      2. Integrative bargaining – the parties try to create a win-win situation in which all the parties gain.

4 Describe ways in which managers can promote integrative bargaining in organizations

    1. Strategies to encourage integrative bargaining
      1. Emphasizing superordinate goals – goals that are common to all parties in conflict.
      2. Focus on the problem, not the people – the parties attack each other instead of trying to resolve the conflict.
      3. Focusing on interests, not demands – demands are what a person wants, while interests are why that person wants them.
      4. Creating new options for joint gain – the parties create new alternative solutions.
      5. Focusing on what is fair – trying to distribute outcomes based on the meaningful contributions made by each party.

5 Explain why managers need to be attuned to organizational politics, and describe the political strategies that managers can use to become politically skilled

  1. Organizational Politics
    Organizational politics involves managers trying to increase their power in the organization. Political strategies are the tactics that managers use to increase their power and to use it.
    1. The importance of organizational politics – these activities can be a positive force within the organization.
    2. Political strategies for gaining and maintaining power
      1. Controlling uncertainty – managers who can control or reduce uncertainty will have more power.
      2. Making oneself irreplaceable – managers gain power when they have knowledge and expertise that no one else has.
      3. Being in a central position – these manages control crucial organizational activities.
      4. Generating resources – managers that can increase needed resources will have more power.
      5. Building alliances – these managers build successful working relationships with people both within and outside of their organization.
    3. Political strategies for exercising power
      1. Relying on objective information – objective information can help to overcome opposition.
      2. Bringing in an outside expert – an outside person who is an "expert" can lend credibility to a manager's proposals.
      3. Controlling the agenda – influencing which alternatives are considered, and whether or not a decision needs to be made.
      4. Making everyone a winner – managers make sure that everyone who supports them personally will gain from offering that support.







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