Workplace Conflict in 2011:

5 Things you Need to KnowA People Resolutions webinar in partnership with HubCap Digital

Objectives

To present the results of our UK Conflict Survey

To look at the 5 key points identified in the survey and the best way to address them for 2011

Conflict Panel

Linda HoskinsonDirector, Head of Practice People

Resolutions

Lindsay SoulsbyDirector

People Resolutions

Helen RossResearch ManagerPeople Resolutions

Survey ResultsHelen Ross, Research

Manager

About the SurveyPoorly managed workplace conflict is costing UK businesses

£24 billion every year (OPP and CIPD)

We carried out a conflict survey to determine:

Conflict prevalence The impact on performance

Organisational Culture Managerial and HR conflict management capability

122 responses from HR professionals in the UK45% of this sample were either HR managers or HR directors

Key Findings Over a third (38.5%) say that managers do not have the necessary

skills to deal with conflict.

Only 11.7% of organisations offer conflict resolution skills training to managers.

31.5% of respondents report that conflict in their organisation has lessened employee engagement.

55.7% of the sample say that managers in their organisation do not see conflict as their responsibility and quickly pass it on to HR.

Just over a quarter of (24.9%) HR personnel from the public sector said that they do not have the necessary skills to deal with

conflict. 

Finding 1 - The causes of conflict are not properly understood and therefore not recognised early enough

40% of all grievances were related to relationship issues between colleagues

25% were due to performance issues

Conflict takes many forms.

What is it like in your organisation? Audits are helpful.

Individuals – personal issues, commitment to a project?Teams, departments, organisations – differences in approach?

Situations – outside pressures?Culture – how decisions are made, how are dissenting voices

handled?

Some people just leave, some disengage, some fight.

Your solution depends on the nature of the conflict, the frequency, causes and locations.

Many relationship issues lend themselves well to early resolution, rather than allowing them to escalate through to formal

grievances

Suggested solutions to Finding 1

Finding 2 – HR Professionals are spending a significant amount of time dealing with conflict

47% spend up to 10% of their week dealing with conflict

25.8% spend up to 20% of their week dealing with conflict

Which means:

Over a quarter of HR professionals are spending between 3.5 - 4 hours per week (23.5 working days

pa) on conflict = £2,322 per individual

Formal processes take up the most time i.e. Tribunals

Suggested solutions to Finding 2

Pay attention to what are other organisations are doing to reduce time spent on conflict.

Our research shows HR people are:

Recognising conflict as a serious issueDeriving a strategy for conflict

Communicating policies and proceduresTraining managers and employees

Recognising negative behaviour and acting quicklyUsing EDR wherever possible

Reviewing formal and investigation processesBacking up with external professionals

Finding 3 - There is a lack of line manager intervention, leading to escalating situations and more pressure on

HR professionals

Managers who have the necessary skills to deal with conflict are more likely to quickly confront and resolve conflict issues and less likely see it

as the responsibility of HR

If training is having a positive effect, what is the training about?

Employees - awareness and skills towards a collaborative culture

Managers and HRoBenefits and cost savings of collaborationoChanges the organisation expectsoTheir roleoEarly interventionoPolicies and proceduresoEDR and what is availableoFormal grievances

Mediation and coaching skills

Suggested solutions to Finding 3

Finding 4 -Organisations as a whole fail torecognise conflict

53% reported that they were reactive rather than proactive in relation to handling conflict

HR respondents from organisations that

recognise conflict is a serious issue are more likely to state that managers are quick to

confront and resolve conflict, and that employees are aware of the grievance and policy procedure

Reactive organisations reported reduced employee engagement and lack of ownership by

line managers to tackle conflict

Need to address:

1. Organisational culture 2. Responsibility and ownership back to the line manager with HR support (not HR ownership)

3. Conflict/Culture Assessment4. Put in place a range of interventions to overcome

the issues

Suggested solutions to Finding 4

Finding 5 -The business case for conflict isdifficult to establish

Many organisations found it difficult to put a business cost on the impact of workplace conflict

and yet:

64% felt that conflict negatively impacted upon workforce performance

28% of HR colleagues believed that conflict negatively impacts productivity

Over 10% of HR’s time is spent dealing with conflict

Write a business case to the board/senior management team outlining the costs of workplace conflict in your organisation

which includes:

Intangible aspects (i.e. workforce productivity, employee engagement, cultural attitudes and moral)

Tangible aspects (i.e. compensation pay outs, legal fees, compromise agreements)

Gain budget approval and ensure you have in place:

Planning – An effective Workplace Conflict Strategy in place which aligns to organisational culture

Prevention – effective policies and procedures, effective training and coaching support

Resolution – robust, effective and efficient interventions in place to tackle issues informally and formally

Suggested solution to Finding 5

Summary of the key findingsThe cost of conflict to organisations is huge in terms of time, resourcing, productivity, engagement and turnover

Culture change is key. Conflict is not just the responsibility of HR

Organisations are not measuring the cost of conflict or presenting this in a tangible way

Conflict can be prevented through awareness, accountability and training

The use of ADR and the principles of dealing with conflict at the early stages are effective and help reduce costs

Creating a collaborative workforce is the responsibility of everyone (including those at the top!)

Comment“Many HR people spend a significant amount of time dealing with conflict, and a lot of time on top of that seeking to ensure that conflict doesn't happen or else is minimised.”

“The ET claim figures underline that this has been particularly the case during the recession.”

“Organisations that train their own in-house mediators are going to be more successful than those that rely entirely on outside providers.”

Mike Emmott, Employee Relations Adviser, CIPD

“The business case for managing workplace conflict is compelling and demonstrates that proactive organisations reap real commercial benefits.  With the current pressures on both the public and private sector, it is clear that a small investment in the right training will definitely improve efficiency and increase productivity.”

Denise Keating, Chief Executive, Employers Forum on Age and Belief

The Survey ReportA full report of the survey findings will be available on the People Resolutions website from 6th December.

However, as an exclusive preview for viewers of this webcast, a copy has now been made available on our sister site HubCap, at the following link:

http://alpha.hubcapdigital.com/asset/show/d/odtDUuYcd6C.hubcap

Full copies of the slides used today, plus the above link will be sent to you later this week.

Further discussion on the report will also be available on HubCap. To join please click on the following link and go to the ‘Discuss’ section:

www.hubcapdigital.com

People Resolutions Events 2011

We are currently in the process of finalising our event schedule for 2011.

We’d like to know what subjects you would like to hear about next year.

Email us with your ideas at jen@peopleresolutions.com

Conflict ClinicThis complimentary session, held at your offices, will give you:

• An understanding of where your organisation stands in the conflict management cycle

• The opportunity to focus on your particular areas of conflict

• Exploration of new and effective ways to resolve conflict

• Learn how mediation and investigations are conducted

Email us now on carly@peopleresolutions.com to book your appointment now.

Thanks very much for your timeFrom the team at

People Resolutions and Hub Cap Digital