Human Resources Chapter 11 Homework Negotiating with individuals from different countries and cultures poses a number of issues. Showing knowledge about a person’s culture is one way to establish rapport and respect with another negotiator

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Summary of Key Points

❑ A contemporary perspective on conflict recognizes that conflict is neither inherently good

nor bad, but can be either, depending on how it is dealt with. Rather than eliminating conflict,

this view stresses that what is important is that conflict be effectively managed.

❑ Levels of conflict can be related to overall organizational performance. Too much conflict

can be disruptive, creating chaos and damaging interpersonal relations. Too little conflict can

also detract from performance. If conflict levels are too low, innovation and change are less

likely to take place. Each organization has an optimal level of conflict that can be extremely

functional.

❑ Groups involved in dysfunctional conflict tend to react in fairly predictable ways. Some

changes occur within the groups involved in conflict; others take place between the groups.

Within-group changes include increased cohesiveness, emphasis on group loyalty, a rise in

autocratic leadership, and a focus on task-oriented activity. Between-group changes include

an increase in perceptual distortion, negative stereotyping of the other group, and decreased

communication.

❑ Win-lose negotiating is a form of zero-sum game. That is, to the extent one party wins

something, the other party loses. Win-win negotiating is a positive-sum approach, wherein

each party gains without a corresponding loss for the other party.

❑ There is an increasing use of third parties in negotiations. In some cases, third parties may be

part of the entire process; in others, they may be called in only when an impasse is reached.

Different types of third-party negotiations include mediation, arbitration, conciliation, and

consultation.

❑ Negotiating with individuals from different countries and cultures poses a number of issues.

Showing knowledge about a person’s culture is one way to establish rapport and respect with

another negotiator.

Review and Discussion Questions

1. Think back to a time in school or at work when a group of which you were a part

experienced dysfunctional conflict. Describe the conflict and the impact it had on group

cohesion and productivity.

Ans: While answers will vary, they may touch upon the following definitional points and concepts.

Functional conflict between two groups enhances and benefits the organization’s performance. At its

best, it creates a kind of creative tension, but unless managed appropriately it can lead to

2. Can you think of situations with which you are familiar that would have benefited from

more intergroup conflict? How could additional conflict have improved the situation?

Ans: Student answers will vary. Situations that have become routine, in which the group just slips by

3. When intergroup conflict occurs, changes take place within and between conflicting groups.

What are these changes? Which changes are generally positive? Which are negative?

Ans: Changes within groups include:

(1) Increased group cohesiveness—the group puts aside differences and closes ranks. (Usually

positive)

(2) Emphasis on loyalty—group norm for conformity becomes more important; group goals become

more important than member satisfaction. (Usually positive)

4. Is there a relationship between the level of intergroup conflict and organizational

performance? How can an organization achieve optimal levels of conflict?

Ans: Yes, there does seem to be a relationship between the level of intergroup conflict and

organizational performance. When too high, disruption, interference with activities, coordination

difficulties, and even chaos may result. When too low, few changes, little stimulation of ideas,

5. What are some of the major reasons why intergroup conflict occurs? In your personal

experience, what is the most frequent reason?

Ans: This question gives students an opportunity to talk about intergroup conflict from personal

experience. Most of them will readily identify several examples from work, school, and community.

6. If you were about to begin negotiating with a person from Brazil, what would you want to

know about his cultural background? Would it make a difference in the knowledge you seek if

the Brazilian were a woman? Discuss.

Ans: Based on Exhibit 11.5, I would need to know (1) Is the negotiator’s attitude win-win or win-

lose? (2) Is the negotiator’s personal style formal or informal? (3) Is his/her communication style

7. What are the possible consequences of dysfunctional conflict? Are some of these

consequences more or less likely to occur in organizational conflict situations?

Ans: Conflict situations lead to fairly predictable consequences within groups: increased group

8. People handle conflict in different ways. Assume you are a team leader and two of your

team members (who report to you) are trying to negotiate who will take the major share of the

work on a new project. Both feel that they are overworked already and neither one wants the

additional responsibility. Assume one of the team members has a competing style of conflict

resolution, while the other individual prefers a collaborative style. What do you think the

outcome of this negotiation will be? Explain your answer.

Ans: Student answers will vary.

9. What are the four elements that are typically part of all negotiations? Are there likely to be

differences in these elements depending on whether the negotiations are of a win-win or a win-

lose nature?

Ans: The four elements are: (1) Some disagreement or conflict exists, which may be perceived, felt

or manifest. (2) There is some degree of interdependence between the parties. (3) The situation must

10. Think about the last time you had to negotiate something (e.g., a higher grade, the

purchase of a new or used car, etc.). Which of the following negotiation tactics were used by

you and/or the other party: good guy/bad guy, the nibble, joint problem-solving, power of

competition, or splitting the difference? Identify which tactic was introduced and explain how

it was introduced.

Ans: Student answers will vary, depending on their experience and their knowledge of negotiating.

EXERCISE 11.1: THIRD-PARTY CONFLICT RESOLUTION

Purpose

To understand the criteria that third parties use when they intervene and attempt to resolve others’

conflicts.

The Exercise in Class

In working through the problem presented to the Senior Vice President of Operations, students have

an opportunity to understand how challenging and essential effective conflict management really is

in organizations. The outcome in this conflict could have long-term implications for the entire

business, not only because it involves investment in plant and facilities, but because it involves the

growth and development of a future high-level manager.

1.Should the Senior V.P. get involved? Why or why not?

2.What does the Senior V.P. need to know before he can be effective in handling this matter?

How might this information be gathered?

3.How might his/her approach differ using problem-solving? Accommodation? Avoidance?

Domination? Compromise? What are the possible advantages and disadvantages in using each of

these approaches in this situation?

4.In this situation, which approach seems most likely to work? Why?

EXERCISE 11.2: WORLD BANK: AN EXERCISE IN INTERGROUP NEGOTIATION

Purpose

To provide the opportunity for students to experience and explore the dynamics of intergroup

negotiating and relations in a condition of high uncertainty.

The Exercise in Class

This activity is a superlative exercise for illustrating the highly complex and often intense

dynamics between two groups when:

intragroup and intergroup dynamics.

Some suggestions for conducting the exercise:

1. Use index cards (bold black X marked on one side) for the 20 cards provided to each team.

3. Appoint a student as referee banker who will keep track of the financial transactions for the

teams.

4. Assign the exercise as a reading assignment so that students will be thoroughly familiar with

the exercise before the activity begins.

5. Provide each team with a copy of the attached World Bank Record Sheet so members can

keep track of their moves and results.

insightful exercise.

In conducting post-exercise discussion, pose the following questions to the teams:

1. What initial strategy did your team develop? Most teams usually begin with a non-aggressive

strategy with no initial plan to attack. However, often this strategy will break down either

because the team will be attacked or because it will succumb to the temptation of potential

higher profits via surprise attack. Once an attack occurs, an arms buildup usually results (and

if it continues, both teams will pay a high price). If an attack is launched by a team that

previously promised not to attack, the mutual arms buildup is even more intense and

4. How did the two-minute limit on your team’s decision moves influence team decision

making?

5. What role does trust play in this exercise?

CASE 11.1: CONFLICT AT WALT DISNEY COMPANY: A DISTANT MEMORY?

1. HOW WOULD YOU DESCRIBE THE CONFLICT BETWEEN MICHAEL EISNER AND

THE WEINSTEIN BROTHERS, THE TWO BOARD MEMBERS (DISNEY AND GOLD), AND

STEVE JOBS? WAS IT FUNCTIONAL OR DYSFUNCTIONAL?

Ans: The conflicts between Michael Eisner and the Weinstein brothers, Disney and Gold, and Steve

2. THINK BACK TO THE STAGES OF CONFLICT DESCRIBED IN THIS CHAPTER. WHICH

STAGE BEST DESCRIBED THE CONFLICT BETWEEN EISNER AND JOBS? WAS IT

PERCEIVED, FELT, OR MANIFEST?

3. WHICH OF THE FOLLOWING BEST DESCRIBES MICHAEL EISNER’S AND BOB

IGER’S APPROACHES TO RESOLVING CONFLICT: DOMINATING, PROBLEM-SOLVING,

AVOIDING, OR ACCOMMODATING? EXPLAIN.

Ans: Eisner’s approach was dominating. He was known to have “an abrasive style and tendency for

micro-management.” He was interested in controlling the situation with a minimal focus on the

Teaching Hints and Tips

Lecture Ideas

1. A current trend in handling social and family disputes is to have dispute resolution

the students about strategies for conflict resolution.

2. Use newspaper or magazine articles, or videos of television news stories that illustrate how

intergroup conflict escalates. (Consider, for example, a story on a class action suit against an

organization; a union-management dispute; or even a dispute between political groups.) In

the conflict more effectively.

3. To enhance understanding of the different types of interdependence, ask students to do some

research in an organization with which they all have some familiarity—your college your

university. Ask them to identify examples of pooled, sequential, and reciprocal

4. Students usually have insightful experiences to relate concerning the changes in and between

two groups in conflict. Ask them to recount such a group experience and discuss the changes in

Project Ideas and Suggested Class Speakers

1. What happens when the community and the corporation are in conflict? Ask students to find an

example in business literature of an organization that had to address serious public pressure to

change (e.g., executive compensation, environmental concerns, closing plants). How has

2. One method for helping students gain an understanding of conflict resolution is to have the

class engage in a problem solving exercise. Divide the class into groups of approximately six

people. The assignment is to identify some group in conflict (e.g. two friends in conflict over

some issue, such as the choice of other friends, a conflict on a sports team, downsizing an

organization where the compensation for the top executives is exorbitant) and then utilize one

of the conflict resolution methods discussed in the chapter. The group will then report back on

what transpired:

a. Why did the conflict begin?

b. Were the participants motivated to solve the conflict? Why or why not?

3. To encourage students to further consider the effects of such functional conflict tactics as

introducing an insider into the group, there are plenty of articles in the management literature

4. The principles of interdependence and conflict operate in society at large, as well as in

organizations. Ask students to research and prepare to report on an example of public conflict

between two groups (e.g., the National Rifle Association and gun control lobbyists like the

Brady’s). Remind students that the discussion should not focus on the rightness or wrongness

3) How has leadership affected the presence of this conflict?

4) What conflict resolution methods have been used in trying to resolve disputes between

these two groups?

Term Paper Topics

1. Perception Is Reality: A Case Example of How Perceptual Differences Ignited Conflict

5. The Art of Compromise in Intergroup Conflict Resolution

6. The Dynamics of Intragroup Change in Intergroup Conflict

7. How Understanding the Other Party’s Viewpoint Can Empower You In Resolving a Dispute:

A Case Study

8. Conflict Strategies Female Style/Conflict Strategies Male Style