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Chapter 5 Conflict Management and Negotiation

5. Conflict Management and Negotiation - Brands Delmar …€¦ · PPT file · Web view · 2005-11-09Chapter 5 Conflict Management and Negotiation Purpose and Overview Purpose To

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Page 1: 5. Conflict Management and Negotiation - Brands Delmar …€¦ · PPT file · Web view · 2005-11-09Chapter 5 Conflict Management and Negotiation Purpose and Overview Purpose To

Chapter 5Conflict Management

and Negotiation

Page 2: 5. Conflict Management and Negotiation - Brands Delmar …€¦ · PPT file · Web view · 2005-11-09Chapter 5 Conflict Management and Negotiation Purpose and Overview Purpose To

Copyright © 2006 by Thomson Delmar Learning. ALL RIGHTS RESERVED. 2

Purpose and Overview

• Purpose– To understand conflict management and

negotiation

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Copyright © 2006 by Thomson Delmar Learning. ALL RIGHTS RESERVED. 3

Purpose and Overview

• Overview– The Importance of Conflict Management – The Causes of Conflict – Levels of Conflict – Managing Conflict – Negotiation – Managing Conflict Through Third-Party

Intervention

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Copyright © 2006 by Thomson Delmar Learning. ALL RIGHTS RESERVED. 4

The Importance of Conflict Management

• Changing Environmental Trends – Global competition– Increased diversity– Corporate restructuring– Mobile workforce

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The Causes of Conflict

• Resource Scarcity– Power, money, information, advice, praise

• Beneficial versus Detrimental Effects

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The Causes of Conflict

• Jehn’s Typology of Conflict – Task content conflict– Emotional conflict– Administrative conflict

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Levels of Conflict

• Individual Level (intrapersonal)– Approach-approach– Avoidance-avoidance– Approach-avoidance

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Levels of Conflict

• Group Level– Interpersonal conflict: between two or more

individuals – Intragroup conflict– Intergroup conflict

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Managing Conflict

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Negotiation

• Basic Concepts– Best Alternative to Negotiated Agreement

(BATNA): result of walking away from negotiation

– Reservation price– Aspiration level– Bargaining zone

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Negotiation

• The Distributive Dimension– Allocation, or distribution, of some resources– Resolving often entails compromise by both

parties – “Dividing the ‘Pie’” of resources

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Negotiation

• The Integrative Dimension – One party gains without other party losing– Mutually beneficial decisions through a

cooperative problem-solving approach– “Expanding the ‘pie’” of resources

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Negotiation

• The Mixed-Motive Nature– Balancing cooperative and competitive

behavior– “Enlarge the ‘pie’” of resources

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Negotiation

• The Role of Information Sharing – Amount of information shared affects quality

of outcomes– One party gains advantage if other party

shares more information

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Negotiation

• Compatible Issues– Parties have same preferences– Parties often do not know they have same

preferences

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Negotiation

• Multiparty Negotiations – Involve three or more parties – Characterized by complexity

• Interpersonal complexity • Issue complexity

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Negotiation

• Fairness and Ethics– Fairness norms

• Equality• Equity• Need

– Unethical behavior

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Negotiation

• Preparing to Negotiate– BATNA– Reservation price– Identify discuss topics– How many negotiators other party brings – Importance of relationship – Time constraints

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Managing Conflict Through Third-Party Intervention

• Dispute Intervention Goals– Manager’s role in dispute may depend on:

• What he or she is trying to accomplish • Constraints imposed by the situation

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Managing Conflict Through Third-Party Intervention

• Dispute Intervention Goals– Manager’s intervention strategies may be

affected by:• Importance of issues• Time pressure• Relative power of disputants• Relationships between parties • Relationships between manager and

parties

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Managing Conflict Through Third-Party Intervention

• Types of Intervention Strategies– Third party control over:

• Dispute process• Dispute outcome

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Managing Conflict Through Third-Party Intervention

• Strategies– Inquisitor– Arbitrator– Mediator