CH-9-10 Communication – Organizational Behavior: Managing People and Organizations : Book Guide

This Document Contains Chapters 9 to 10 Chapter Nine - Communication Chapter Overview Communication, a form of social interaction, is the glue that holds organizations together—it is not an understatement to say that if communication within an organization is consistently ineffective that organization is not likely to survive. Communication is related to higher levels of employee engagement, which are related to higher shareholder return and increased market value. To be effective leaders, managers must have good communication skills, particularly during tough economic times. Communication is also critical to employee motivation. In this chapter, we will discuss the communication process, some of the basic issues in interpersonal communication, methods of communicating, and how information technology (IT) and the Internet have influenced organizational communications. We also discuss some specific communication skills, present some barriers to effective communication, and provide ways to overcome those barriers. This chapter should give you a good understanding of the communication process and help you to become a more effective communicator. Learning Outcomes After studying this chapter, students should be able to: 1. Describe the communication process, explain the difference between one-way and two-way communication, and identify barriers to effective communication. 2. Identify and discuss the major communications skills used by managers. 3. Discuss communication media and describe the richness of each. 4. Describe different forms of organizational communication. Real World Challenge: Communicating Values at Nokia Summary: Nokia Corporation, based in Finland, is a world leader in large-scale telecommunication infrastructures, mobile phone technology development and licensing, and online mapping services. The company realizes that its values are no longer in the forefront of employees’ minds. Nokia needs to modernize and re-energize its values among employees. Real World Challenge: How can Nokia effectively establish and communicate its core values to its employees? Real World Response: To engage employees in identifying and living the company values, Nokia began holding a worldwide series of two day workshops called Value Cafes to discuss what values Nokia should have to achieve its strategic goals and how to best communicate them. Nokia also held on online jam session to put the new values and strategies on the Internet and to get employees to discuss, chat and debate them. Nokia understands that the ownership of values lies with its employees. By involving them in defining and capturing the company’s values, employees became actively involved and engaged. Chapter Outline I. THE COMMUNICATION PROCESS Communication is the process of transmitting information from one person to another to create a shared understanding and feeling. Communication does not mean agreeing, only that information is transmitted and received as it was intended. Figure 9.1 illustrates the communications process. The six parts of the model of the communication process are: 1. Encoding occurs when the message sender converts a thought, idea, or fact into a message composed of symbols, pictures, or words. 2. The message is the encoded information being sent. 3. The channel is the medium used to send the message to the receiver. 4. Decoding is the interpretation and translation of the message back into something understood by the receiver. The decoded information is hopefully the same as the information the sender intended to communicate, but this is not always the case. 5. Feedback is a check on the success of the communication. Repeating or paraphrasing the original message, asking for clarification, and asking if your conclusion is correct are forms of feedback. 6. Noise is anything that blocks, distorts, or changes in any way the message the sender intended to communicate. In other words, in the communication process the sender translates (encodes) information into words, symbols, or pictures and passes it to the receiver through some medium (channel). The sender then receives the message, retranslates (decodes) it into a message that is hopefully the same as what the sender intended. Noise can enter anywhere in the process, making the message received different from the one the sender intended. Feedback creates two-way communication that helps to check on the success of the communication and ensure that the received message was accurate. Unfortunately, though, problems can arise at any point during the communication process that make the message ultimately received different from the one sent. These barriers can come from the sender or receiver, the organization, or noise. We will discuss some of these barriers next. A. Nonverbal Communication The way we communicate is more important to a message’s meaning than the words we actually say. Nonverbal communications are not spoken or written. 1. Body Language Body language is a body movement such as a gesture or expression that conveys information to others. Research suggests that in a typical face-to-face communication exchange 7 percent of the total message is conveyed by the words, 38 percent of the total message is conveyed by vocal intonation, and 55 percent of the total message is conveyed by facial and body expressions. For communication to be effective and meaningful, then, all three parts of the message need to be congruent. If any of the three parts are incongruent, conflicting messages are being sent. Consciously controlling your body language is as important a managerial skill as knowing how to interpret others’ body language. Controlling your nonverbal signals and vocal tone ensures that you reinforce your intended message. If you want people to see you as a leader, stand up straight, make eye contact, and smile—those signals project confidence and energy. 2. Verbal Intonation Verbal intonation is the emphasis given to spoken words and phrases. For example, the simple words, “May I speak with you?” can be interpreted very differently if said in a cheery, upbeat tone versus a strong or angry tone. When body language is inconsistent with the spoken message, receivers are more likely to interpret your body language as the “true meaning.” B. One-Way and Two-Way Communication In one-way communication, information flows in only one direction. The sender communicates a message without expecting or getting any feedback from the receiver. Once a receiver provides feedback to a sender, the sender and receiver have engaged in two-way communication. C. Task Interdependence When one person or unit is dependent on another person for resources or information to get work done, communication needs increase. There are three types of interdependence, illustrated in Figure 9.2. Pooled interdependence is when employees work independently and their output is combined into group output. Sequential interdependence, like in an assembly line, requires tasks to be performed in a certain order. Reciprocal interdependence requires constant communication and mutual adjustment for task completion, such as a cross-functional research and development team, or an event-planning team, and creates the highest potential for conflict. D. Barriers to Effective Communication A number of potential barriers to effective communication exist. Table 9.2 summarizes some of the most common barriers that can interfere with the accurate communication of a message. 1. Selective Perception Selective perception occurs when we selectively interpret what we see based on our interests, expectations, experience, and attitudes rather than on how things really are. Selective perception leads us to receive only the part of a message that is consistent with our expectations, needs, motivations, interests, and other personal characteristics. 2. Misperception Misperception occurs when a message is not decoded by the receiver in the way the sender intended. A misperception can occur because the sender’s body language is inconsistent with the sender’s words, or the receiver selectively perceiving favorable parts of the sender’s message, or even poor listening skills. 3. Filtering Filtering occurs when people receive less than the full amount of information due to the withholding, ignoring, or distorting of information. Filtering can happen when a sender manipulates information so that the receiver is more likely to perceive it in a favorable way. 4. Information Overload Filtering can also occur when a receiver has too much information. When the amount of information available exceeds our ability to process it, we experience information overload. When faced with too much information, we have to use some sort of filtering strategy to reduce it to a manageable amount. Filtering is essential to managers because it helps to reduce the amount of noise in the communication process. Effective filtering amplifies relevant and accurate information and minimizes the rest. 5. Organizational Barriers Organizational barriers to communication come from the hierarchical structure and culture of the organization. Numerous hierarchical levels or department specializations can make communication across levels and departments difficult or even interfere with communication. Some organizational cultures encourage open communication while other cultures promote a limited sharing of information. 6. Cultural Barriers Words and gestures can mean different things in different cultures. In some cultures, people tend to say what they mean and to mean what they say, leaving little to subjective interpretation. These low-context cultures rely on the words themselves to convey meaning. People in high-context cultures rely on nonverbal or situational cues or things other than words to convey meaning. Communicating in high-context cultures like Asian or Arab cultures requires more trust and a greater understanding of the culture. In high-context cultures, managers tend to make suggestions rather than give direct instructions. In low-context cultures like Germany, Switzerland, or North American cultures, communication tends to be more direct and explicit. 7. Noise Noise is anything that blocks, distorts, or changes in any way the information the sender intended to communicate. It can enter anywhere in the communication process and interfere with the successful transmission and reception of a message. Interruptions, the sound of engines or machinery, dim computer screens, small font, or a receiver’s headache are all physical barriers that create noise. Loss of transmission occurs when an Internet connection goes down, phone lines are full of static, or a videoconference link is dropped. Ambiguity is another source of noise in communication. Ambiguity of meaning occurs when the receiver is not sure what the sender meant. Ambiguity of intent means the receiver is uncertain about the message’s consequences. Jargon, or technical language, can also create ambiguity when the receiver does not understand it. Semantics are another barrier that introduces noise into communications. Words mean different things to different people. Asking for feedback helps the sender ensure that his or her intended meaning is the same as the one ultimately received. Some companies rely on technology to minimize the effects of these barriers to effective communication. Global Issues: Cultural Differences in Communication Summary: Verbal and written communication vary around the world. The communication process is filtered through language, environment, technology, social organization, social history, authority beliefs, and nonverbal communication. Problems arise when those from one culture cannot understand the other person’s communication practices, traditions, and thinking. People perceive their own behavior as logical, and generalize their cultural values to everyone. For example, if your culture values promptness, you assume that everyone values it. However, in Hispanic cultures, not being on time is culturally acceptable. The concept of correct and incorrect is blurred. Managing cultural differences is important in cross-cultural teams because of the potential to reduce information sharing, create interpersonal conflict, or both. For example, Western norms for direct communication often clash with Asian norms of indirect communication. Effective managers understand how the perception of a message changes depending on the viewpoint of those communicating. Business relations are enhanced when employees are trained to be aware of possible communication difficulties and conflict across cultures. II. COMMUNICATION SKILLS Communicating effectively is an important managerial skill, and a skill critical for effective leadership. Many barriers exist to good communications that are beyond your control, but improving your communication skills can help to overcome these barriers. A. Listening Skills Listening is not the same as hearing. Hearing is passive; listening is an active search for meaning. Active listening plays an important role in communication and is especially important for effective leadership. It requires becoming actively involved in the process of listening to what others are saying and clarifying the meaning of messages if they are unclear. Both parties should engage in active listening until it is clear that each understands the final message. Being an active listener requires concentration. Quickly compare the verbal and nonverbal messages to see if the messages are contradictory and to make sure you really understand the message being sent. Then reflect the message back to the sender, repeating the message in your own words. Active listening requires the receiver to tune out noise and concentrate on the message. Ways to be an active listener include asking open-ended questions and sending the other person feedback to check that you understand the message. Making eye contact, nodding occasionally, and showing appropriate nonverbal behaviors also show the sender that you are listening. Experts generally offer the following suggestions for being a good listener: • Pay close attention and make logical connections • Give nonverbal evidence you are listening, including leaning toward the speaker, maintaining eye contact, and not fidgeting • Give verbal evidence you are listening, including giving constructive feedback, paraphrasing, and questioning for clarification and refinement • Show respect by not interrupting, use an inclusive, friendly tone • Follow up on unusual or inconsistent communication cues from the speaker to determine the real message • Use what the speaker says or infers to determine their motives, self-interest, and expectations • Offer honest, clear, timely, respectful, and relevant acknowledgement of what is said B. Writing Skills Effective business writing is not just about grammar and punctuation—the style and tone also have to be appropriate for the audience. Business writing needs to be professional and direct, and often needs to be persuasive. Always proofread your business communications, even if they are fairly short, and ensure that spelling and grammar are correct. Experts suggest these guidelines for effective business writing: • Write to express, not to impress • Back up your assertions • Write for your audience • Edit and revise • Format for readability • Use graphic aids and pictures where appropriate • Write with energy and conviction, avoid passive voice Because email falls in between a phone call and a letter, email etiquette can be difficult. Table 9.3 provides some suggestions for effectively using email at work. Training can be effective in enhancing communication efficiency. C. Presentation Skills Managers need effective presentation skills to present proposals to supervisors and to communicate with other managers and groups of subordinates at once. Here are some suggestions for making effective presentations: • Speak up and speak clearly • Quickly achieve rapport • Channel nervous energy into an enthusiastic delivery • Move freely and naturally without pacing, look at your audience • Minimize notes, use them as ‘thought triggers’ only • Highlight key ideas • Watch the audience for signs of comprehension or misunderstanding • End with a bang D. Meeting Skills Because they lead groups and teams, another way that managers often communicate is through meetings. In addition to wasting time and money, poorly led meetings are often a source of frustration. Meeting effectiveness may be improved when people come prepared to meetings, an agenda is used, meetings are punctual (start and end on time), purposes are clear, and there is widespread participation. Leading meetings requires skills in organizing, eliciting input from meeting participants, and conflict management. Here are some suggestions for running effective meetings: • Have a good reason to meet in the first place, or do not meet • Have an agenda clearly stating the purpose of the meeting and key steps to satisfy that purpose • Send the agenda in advance so participants know what is expected of them • Be fully prepared for the meeting • State a time frame at the beginning of the meeting, and stick to it • Require that participants come prepared • Keep participants focused on the agenda items • Follow up on any outside assignment made to meeting participants III. COMMUNICATION MEDIA Managers can choose from a variety of communication media. Some of the most popular are the internet, collaboration software, intranets, and oral communication. Media richness is an important factor for each form. A. The Internet The Internet has fundamentally changed how many managers communicate. Individuals using the Internet are able to select only the information they want using information pull. Information pull occurs when someone receives requested information. This contrasts with the broadcast technique of information push where people receive information without requesting it, just in case they need it. Although technology should never replace all face-to-face interaction between leaders and subordinates, it can help the communication process by giving leaders more communication choices. Some companies have misused email in communicating important or sensitive information. Voice mail is similar to email but instead of writing, a spoken message is digitized and sent to someone to be retrieved and listened to later. Instant messaging enables users to see who is logged on and to chat with them in real time rather than emailing and waiting for a response. Managers can also use various software tools to meet without being face-to-face. Telework is work conducted in a location other than a central office or production facility with communications between coworkers and supervisors occurring via electronic communication systems. There are four major types of telework: 1. Home-based telecommuting includes people who work at home for some period on a regular basis, but not necessarily every day. 2. Satellite offices are situated away from main offices to be more convenient for employees and/or customers. 3. Neighborhood work centers provide office space for employees of more than one company to save commutes to central locations. 4. Mobile work refers to work completed by traveling employees who use technology to communicate with the office as necessary. Telecommuting allows organizations to reduce the amount of office space they own or rent, and decreases employees’ need to commute to work. If telecommuting employees sometimes need to work at the company’s location, the company can set up a hoteling space for them. This provides them with a cubicle or working space and a connection to the company’s intranet. B. Collaborative Software Collaborative software, also called groupware, allows members of workgroups and teams to share information to improve their communication, efficiency, and performance. Groupware enhances collaboration by providing an electronic meeting site and integrating work done on a single project from several different computers located anywhere in the world. Collaborative writing systems allow group members to work simultaneously on written documents through a network of interconnected computers. Workflow automation systems use technology to facilitate and speed up work processes. These systems send documents, information, or tasks to the right people or places based on the established procedure. Decision support systems are interactive, computer-based systems that help decision-making teams find solutions to unstructured problems that require judgment, evaluation, and insights. C. Intranets At its simplest, an intranet is a website stored on a computer that is connected to other company computers by an internal network. Intranets are not useful if many employees do not use or have access to computers, or if no one has the expertise to set up and manage the intranet. Portals are similar to intranets but tend to be more project-focused. Portals allow managers to use their browser to get a high-level summary of project status at any time. Project managers use portals to manage schedules and any issues that arise. Managers can also use portals to quickly disseminate information to all of their team members, wherever they are located, and solicit input and feedback in a controlled manner. Portals allow team members to easily share news and ideas, enhancing collaboration and project implementation efficiency. Portals can be integrated with other applications. Until recently, portals were strictly for big businesses due to their prohibitive cost. Their complexity also required a team of computer specialists to set up and administer them. But intranets have become more common as software vendors have developed packaged portal solutions to suit almost every size business and meet almost every business need. Webcasts are live or prerecorded video segments that are broadcast over a company’s intranet and archived for employees to view later. Wikis are searchable, archivable websites that allow people to comment on and edit one another’s work in real time. Wikis are well suited for collaborative writing and are essentially a simplified system of creating webpages combined with a system that records and catalogs all revisions. Unlike a portal or intranet, wikis have no inherent structure. Access can be restricted to a limited group of people and even require passwords. Blogs are individuals’ chronicles of personal thoughts and interests. In some cases, a CEO will create a blog to communicate more directly with employees and stakeholders. D. Oral Communication Despite the speed and convenience of technology-based message channels, they can increase the chances of miscommunication because the receiver has less opportunity to ask questions or get clarification. Technology has certainly changed the ways many managers communicate, but there will always be a need for managers to communicate verbally. Communicating in person is important to building credibility and trust. To be perceived as competent communicators, managers must share and respond to information in a timely manner, actively listen to other points of view, communicate clearly and succinctly, and utilize a variety of communication channels. E. Media Richness Communication media can be classified in terms of their richness, or the media’s ability to carry nonverbal cues, provide rapid feedback, convey personality traits, and support the use of natural language. The richness of a medium depends on four things: 1. Interactivity, or the availability of feedback. Immediate feedback allows senders to adjust their messages. Richer media provide faster feedback. 2. The ability to transmit multiple cues, such as physical presence, voice inflection, nonverbal cues, and pictures. Richer media allow the communication of multiple cues. 3. Language variety for conveying a broad set of concepts and ideas. Richer media allows for greater language variety. 4. The personal focus of the medium, or the degree to which it allows the expression of emotions and other social cues. Richer media allow for more personal focus. Face-to-face is the richest medium because it has the capacity for immediate feedback, carries multiple cues, and uses natural language. When communicating, managers must choose the media that best matches the information richness required of the task or communication. The more ambiguous and uncertain a task is, the richer the media should be that supports it. Sometimes the extra expense of face-to-face communication is worth the cost because of the richness of the communication it enables as well as the respect and sincerity it conveys. CASE STUDY: Communicating Ethics as Cisco Summary: Technology provider Cisco Systems Inc. puts a high value on ethics and corporate social responsibility. Cisco had been cramming ethics information down employees’ throats. Because employees are tech-savvy engineers, the in-person, PowerPoint-based training was not working. Cisco decided to make the ethics and compliance program fun. 1. What are the advantages of Ethics Idol as an ethics training communication medium over in-person PowerPoint training? Ethics Idol has been successful because of the good fit between the training delivery method and the trainees. Cisco’s employees are tech-savvy engineers who prefer online learning to in-person PowerPoint presentations. In addition to matching the communication medium to the audience, Ethics Idol makes learning fun. 2. Would you enjoy this type of training program? Why or why not? Most students would enjoy Ethics Idol as it is engaging but also challenging. As one expert says, “You cannot teach people morality, but you can teach them how to deal with the ethical problems they encounter in the hopes they will make a good decision.” 3. Can you think of other ways ethics and corporate social responsibility information could be communicated in an engaging way? Other reality shows and radio talk shows could provide different formats for teaching ethics. One show is called, “What Would You Do?” Ethical dilemmas could be offered and participants could tell what they would do. IV. ORGANIZATIONAL COMMUNICATION Organizational communication is the exchange of information among two or more individuals or groups in an organization that creates a common basis of understanding and feeling. Organizational communication can move in a variety of directions, and be formal or informal in nature. Figure 9.3 illustrates downward, upward, horizontal, and diagonal communication paths in organizations. A. Downward Communication Downward communication occurs when higher-level employees communicate to those at lower levels the organization—for example, from a manager to a subordinate. Downward communication typically consists of messages about how to do a job, performance goals, the firm’s policies, and how the company is performing. Setting up procedures and creating a culture that enables the uninhibited flow of information is the foundation of effective communication. Management by wandering around is a face-to-face management technique in which managers get out of their offices and spend time talking informally to employees throughout the organization. Information technology and the Internet have given managers more choices in how to communicate downward, including email, instant messaging, intranets, portals, wikis, blogs, and webcasts in addition to traditional verbal and written communication. B. Upward Communication Upward communication occurs when lower-level employees communicate with those at higher levels—for example, when a subordinate tells a manager about a problem employees are having meeting a customer’s request. Encouraging upward communication can help managers check that subordinates understand their goals and instructions, keep managers informed of employee challenges and complaints, and cultivate acceptance and commitment by giving employees the opportunity to express ideas and suggestions. Despite its potential benefits, getting subordinates to give upward feedback can be challenging. Being approachable, accessible, and creating a culture of trust and openness can help subordinates feel more comfortable giving upward feedback. One of the best ways to make subordinates comfortable sharing information may be sympathetically listening to them during your daily informal contacts with them in and outside of the workplace. Technology tools such as wikis can enhance bottom-up communication in organizations. By creating an open-source workspace, all employees can be part of the brainstorming and problem-solving process. C. Horizontal Communication Horizontal communication occurs when someone in an organization communicates with others at the same organizational level. Although horizontal communication occurs between peers, as in all organizational communications, it is best to stay professional and avoid confrontational words and negative body language. Managers can facilitate horizontal or interdepartmental communication by appointing liaison personnel or creating interdepartmental committees or task forces to facilitate communication and coordination and solve common problems. D. Diagonal Communication When employees communicate across departments and levels, they are engaging in diagonal communication. Diagonal communication is common in cross-functional project teams composed of people from different levels drawn from different departments. Diagonal communication allows employees in different parts of an organization to contribute to creating a new product or solving a problem. Diagonal communication also helps to link groups and spread information around the firm. Diagonal communication can also be inappropriate depending on the situation and the people involved. Subordinates who engage in diagonal communication may alienate their direct supervisor who might feel “out of the loop” and punish the subordinate for disrespecting the chain of command. E. Formal and Informal Communication Formal communications are official, organization-sanctioned communications. They can be upward, downward, horizontal, or diagonal. Formal communication channels typically involve some sort of written communication that provides a permanent record of the exchange. Formal communication is usually interpreted accurately. Informal communication is anything that is not official. Informal communications include gossip and answering another employee’s question about how to do something. The grapevine is an example of an informal communication channel. The grapevine can promote the spread of gossip or rumors, which can be destructive and interfere with the functioning of the company, particularly if they are untrue. As a manager, being aware of current office gossip can help to keep you informed of what is on employees’ minds and prevent rumors from growing out of control. If a rumor does start to spread, neutralize it by consistently and honestly communicating with employees about the issue. Not making a comment is usually seen as confirmation of a rumor. F. Social Networking A social network is the set of relationships among people connected through friendship, family, work, or other ties. These informal networks can be helpful—they give employees access to people who can help solve problems and get work done. Our social networks consist of both formal and informal ties. Formal ties refer to relationships with coworkers, bosses, and others we know because of the roles we hold. Informal ties are relationships based on friendship and choice. The pattern of relationships in a company influences its communication patterns and information flow. Personal contacts are essential to the success of salespeople and managers alike. Social networking Internet sites take these personal relationships online. Social networking also has a potential downside. If employees and customers are satisfied, these networks can help build loyalty. If not, employees and customers will communicate and amplify every complaint through these networks. Both employees and managers need to be careful about what they post on Internet social networking sites like Facebook, LinkedIn, and Instagram. Summary and Application The communication process starts when a sender translates (encodes) information into words, symbols, or pictures and passes it to the receiver through some medium (channel). The sender then receives the message, and retranslates(decodes) it into a message that is hopefully the same as what the sender intended. Noise can enter anywhere in the process, making the message received different from the one the sender intended. Feedback creates two-way communication that helps to check on the success of the communication and ensure that the received message is accurate. Nonverbal communication and task interdependence also affect the communication process, as do potential barriers to effective communication. Successful managers usually have strong communication skills and listening skills are especially important. Managers and employees use a variety of communication media. Managers need to fit the media to the message, use appropriate body language and nonverbal cues, and ensure that subordinates understand the meaning of the messages sent. Organizational communication can move in a variety of directions, and be formal or informal in nature. Communication paths can be downward, upward, horizontal, or diagonal. Social networks help to establish communication patterns in organizations. DISCUSSION QUESTIONS 1. What are your preferred methods of receiving information? Does your answer differ depending on the type of information being sent? Answers will vary. Some people prefer email unless the subject is sensitive, and then the preference may be either a telephone call or a letter. I prefer receiving information through visual formats, such as infographics and videos, as they help me grasp complex concepts quickly. For detailed or technical information, I favor written documents, like articles or reports, which allow for thorough understanding and reference. In contrast, for real-time updates or collaborative discussions, I appreciate face-to-face interactions or video calls. My preference does differ based on the type of information; for instance, creative ideas are often better communicated through brainstorming sessions, while data-driven insights are best presented in reports or spreadsheets. Overall, I adapt my preferred method based on the context and nature of the information. 2. What are the implications of organizational diversity on the communication media the company should use? Words and gestures mean different things in different cultures. For example, in much of the world the thumb up sign means “O.K.” However, in Nigeria, it is an insult. Because of global diversity, even short straightforward messages are difficult to communicate. For example, Dole conducted a mass communication campaign that included small and large group meetings, emails, newsletters, and the intranet, but only one-tenth of the employees work at computers. As a result, Dole spent extra funds to have managers communicate to employees in person. Face-to-face communication is often the best alternative for reaching diverse employees. 3. What are some of the most common sources of noise when others try to talk to you? What can you do to reduce their effects? Answers will vary. The most common sources of noise for me are cell phones and text messaging. Many times students receive phone calls and texts in the middle of class. I ask them to turn off their cell phones at the beginning of class. Some common sources of noise that can disrupt communication include: 1. Physical Noise: Background sounds like traffic, music, or chatter can distract me. To reduce this, I can choose quieter environments for important conversations or use noise-canceling headphones. 2. Psychological Noise: Personal stress or preoccupation can hinder my focus. Practicing mindfulness or taking a moment to clear my mind before conversations can help. 3. Semantic Noise: Misunderstandings due to jargon or unclear language can create confusion. To mitigate this, I can ask for clarification and ensure both parties are using common terminology. 4. Technological Noise: Poor audio or visual quality during virtual meetings can disrupt communication. Ensuring a stable internet connection and testing equipment beforehand can improve clarity. By being mindful of these sources of noise and employing strategies to minimize their effects, I can enhance the effectiveness of my communication with others. 4. Think of a time when you have been persuaded by someone to do something. Why was the other person able to change your attitude or behavior? I was persuaded to serve on the board of directors of Clover House, a residential facility for drug and alcohol abusers who have served time in prison. Even though I did not really have the time, I accepted the position because the other person appealed to my values of helping others reintegrate into society and live meaningful lives. 5. If you had to tell your boss bad news, what communication media would you use? If possible, I would use face-to-face communication, the richest media, because this would allow me to explain the circumstances, use facial expressions and body language, and allow the boss to respond immediately and express his feelings. 6. If you were about to be fired, how would you want to hear the news? Why? How would you least want to hear the news? Why? I would want to hear the news face-to-face so that I could ask questions and respond. I would least want to hear the news in an email because it is impersonal, and I couldn’t get answers to my questions immediately 7. Which do you think is more important for organizations: downward communication or upward communication? I think downward communication is more important because it consists of messages about how to do a job, performance goals, the firm’s policies, and how the company is performing. This information keeps employees engaged, committed, and motivated to put forth the effort to reach company goals. Committed employees experience higher levels of job satisfaction. One form of downward communication is management by wandering around, a face-to-face technique in which managers get out of their offices and spend time talking informally to employees throughout the organization. This allows managers to hear the employees’ opinions and serves the same purpose as upward communication. 8. Which do you think is more important for organizations: formal or informal communication? Formal communication is more important because it is official, organization-sanctioned communication that can be upward, downward, horizontal, or diagonal. Formal communication involves written communication that provides a permanent record. Because formal communication is usually interpreted accurately, employees have a clear picture of the situation or issue at hand. This reduces fear and ambiguity. 9. What role, if any, do you feel the grapevine plays in organizations? The grapevine plays a critical role in organizations because it carries rumors that may or may not be true. For instance, if the grapevine carries the rumor that layoffs are coming, employees may spend time worrying and looking for jobs rather than working. GROUP EXERCISE – Active Listening* Learning Objective: Explain how the way we communicate can be more important to a message’s meaning than the words we actually say. Summary: Form small groups. Each group selects a workplace scenario: 1. An employee asking for a raise 2. A supervisor explaining a new vacation policy to an employee 3. A new employee asking a coworker about the company’s culture 4. Two new employees generating potential solutions to a problem. Each group has 20 minutes to prepare two 3-minute skits. The first skit, performed by team members one and two, shows the interaction without active listening techniques. The second skit, performed by team members three and four, duplicates the conversation but uses active listening techniques. Task: Questions to guide the discussion: 1. What is the difference between active listening and hearing? 2. What steps can you take to become an active listener? *(The authors thank Professor Jim Gort at Davenport University for suggesting this exercise.) VIDEO EXERCISE Intermountain Healthcare Summary: The healthcare industry today is changing rapidly. There actually seem to be two different—and conflicting—sets of pressure affecting healthcare that relate to communication. Intermountain Healthcare is a non-profit healthcare system that provides hospital and other medical services in Utah and Idaho. Intermountain uses clinical data to improve patient outcomes. The importance of communication is highlighted in the way Intermountain works, especially in a field where information can be a matter of life and death. 1. What characteristics of information are most important in Intermountain Healthcare? Intermountain takes great care in making sure that all patient information is contained within the system and easily pulled up on the computer by any other doctor or nurse within the Intermountain Healthcare system. The information must be correct and current to be of use. Intermountain has guidelines for patient care, standardizing the patient information. This makes decoding the information easier for the receiver. 2. How is the horizontal form of communication more prominent in Intermountain Healthcare? Intermountain’s integrated patient records allow doctors, nurses and other healthcare professionals to communicate remotely with each other. Management also facilitates horizontal communication by forming committees to discuss patient care issues. These doctors and nurses then network with their peers, bringing ideas back to the group as well as pushing information out to the larger employee population. 3. In what way is digital communication an important form of communication in Intermountain? All patient records are digitized into the integrated patient care system at Intermountain. The system allows doctors and nurses throughout the system to pull up a patient’s previous care information. Digital communication is becoming more prominent in Intermountain’s home healthcare system. Nurses visiting patients within their homes can update the patient’s records at remote locations as well as access important care information while in the patient’s home. Intermountain is also using remote viewing technology in their neo-natal intensive care unit. This allows parent to view their child on the monitor even while at home. Now What? Imagine having a tight deadline requiring you to focus on writing a report for the rest of the day in order to get it done on time. A worried looking subordinate enters your office and ineffectively tries to communicate a hurried message. What do you say or do? Go to this chapter’s “Now What?” video, watch the challenge video, and choose a response. Be sure to also view the outcomes of the two responses you didn’t choose. OB Concepts Applied: encoding; noise; message; channel; decoding; feedback; one-way communication; one-way and two-way communication; selective perception; body language; nonverbal communication; active listening; media richness; upward and downward communication; formal and informal communication Discussion Questions 1. What communications barriers are illustrated in these videos? Barriers to effective communication are illustrated in these videos (see Table 9-2). Mary uses a heavy accent and poor verbal communication. She is ineffective at communicating her message. This is a cultural barrier because different national cultures have different ways of expressing things. There is also the barrier of selective perception because the message Alex heard was based on his expectations. He thought that Mary knew how to fix the machine and that he didn’t need to get involved. There was also the barrier of misperception because the gravity of the broken machine (the message) was not decoded by Alex in the way that Mary intended. There was also the barrier of information overload. Alex was busy thinking about the report and didn’t completely process the information about the broken machine. There was also the barrier of filtering in which less than the full amount of Mary’s information was received due to Alex’s ignoring information about the importance of the broken machine. Amy is the one who understands the full impact of the message, “I’m sorry to hear the machine broke, but you did the right thing by fixing it right away. We can’t afford to have the production line down very long, and safety is our top priority.” 2. How do these situations illustrate the importance of verbal and nonverbal communication as well as active listening? Communication is the transmission of information from one person to another to create shared understanding. Mary did not successfully explain what was malfunctioning on the extrusion machine, and Alex did not understand the message (incorrect response #2). Alex says, “…. I don’t fully understand the problem you are describing, but I’m sure you can take care of it on your own. You know a lot about that machine.” As shown in the communication model, Figure 9-1, encoding, message, channel, decoding, and feedback took place between Mary and Alex. Alex and Mary engaged in two-way communication, which provides feedback to the sender. However, noise, Alex’s preoccupation with his report, blocked Mary’s message. Nonverbal communications are not spoken or written but that have meaning to others. Body language is a gesture or expression. Mary shows concern by having a serious expression on her face when Alex tells her that he is busy and be bothered with her problem. “Oh well, keep at it—I’m sure you’ll figure it out. I’m really busy, Mary. This report is due very soon! When the machine explodes, Mary looks stunned, upset, and disheveled (incorrect response #2) because she had tried unsuccessfully to explain the gravity of the problem to Alex. Active listening means becoming actively involved in the process of listening to what others are saying and clarifying meaning. It requires Alex to become actively involved in the process of listening to what Mary has said about the broken machine (correct response). Both Alex and Mary finally engage in active listening until each one understands the final message. Alex says: “... I’m not understanding the problem. Please tell me again what is wrong? Try to speak more slowly—I can see you’re upset.” Mary explains that the extrusion machine isn’t working properly. Alex clarifies the message, “Did you try rebooting it?” Alex had to tune out noise and concentrate on the message of the broken machine. He had to repeat Mary’s point to provide feedback. Alex made eye contact and showed appropriate nonverbal behaviors such as leaning forward to show the Mary that he was listening intently. 3. Which other aspects of communication discussed in this chapter are illustrated in these videos? Explain your answer. Mary sent Alex a message about the problem with the machine but did not get a response. This time, Mary chose to talk to Alex face-to-face. This type of communication is important in this situation due to the richness of the media and Mary’s ability to get immediate feedback on the problem. Mary was able to read Alex’s cues and non-verbal communication in the first two instances to see that she was not going to get a response. On the third alternative, Alex shut his computer and gave Mary his full attention. This allowed Alex to determine that the machine was an immediate problem that needed attention and the report could wait. Chapter Ten – Managing Conflict and Negotiating Chapter Overview Conflict is an inevitable result of interdependencies among people, workgroups, and organizations. Given that all organizations are interdependent systems, organizations without conflict do not exist. Although many people feel that conflict is inherently destructive, in fact some conflict is beneficial and desirable. In the long run, conflict can lead to positive outcomes including better decisions, more motivated employees, and happier customers. When it is well managed, conflict can improve problem solving and innovation, increase employee involvement and commitment, and clarify work processes and goals. How conflict is managed is the biggest determinant of whether a conflict has positive or negative outcomes. Constructive change is typically the result of well-managed conflict. Negotiation is an important skill in managing and resolving conflicts, as well as many other management activities, and is a part of all managers’ jobs. Chapter 10 begins with a focus on the nature of conflict, including common causes of conflict, conflict escalation and de-escalating a conflict, and the role of emotion in conflict. The next portion of the chapter looks at interpersonal conflict management strategies. Strategies include collaborating, compromising, competing, accommodating and avoiding. The text then turns to the conflict process, including conflict management skills and creating constructive conflict. The final portion of the chapter focuses on the negotiation process, discussing negotiating skills, cultural issues in negotiations, and alternative dispute resolutions. Learning Outcomes After studying this chapter, students should be able to: 1. Describe the nature of conflict, discuss the conflict escalation process, and describe how conflict can be de-escalated. 2. Identify and discuss the five interpersonal conflict management strategies. 3. Describe some of the best and worst conflict resolution behaviors and discuss how to create constructive conflict. 4. Describe the difference between distributive and integrative negotiation and identify the three types of alternative dispute resolution. Real World Challenge: Resolving Disputes at Marks & Spencer Summary: Global clothing, home products and food retailer Marks & Spencer employs 82,000 people around the world and has over 700 stores in the United Kingdom alone. Marks & Spencer wants to give its employees the opportunity to find fair, mutually agreed upon, constructive solutions in a safe environment and enable them to move forward after a conflict positively and confidently. Real World Challenge: What advice would you give the management team of Marks & Spencer that would enable their employees to find fair, mutually agreed upon, constructive solutions in a safe environment and enable them to move forward after a conflict positively and confidently? Real World Response: To accomplish these goals, Marks & Spencer decided to train a team of accredited mediators to provide dispute resolution support to employees and to embed mediation and informal dispute resolution in the company’s culture. By training a number of skilled mediators able to promote and offer mediation as an alternative to traditional formal grievance processes, a healthier conflict resolution culture developed at Marks & Spencer. Chapter Outline I. THE NATURE OF CONFLICT Conflict is a disagreement that arises when two or more parties perceive a threat to their interests, needs, or concerns. Conflict can be both constructive and destructive. One major conflict resolution expert argues that whether conflict is positive or negative is determined by the parties’ response to the conflict rather than by the conflict itself. Focusing on the conflict management process, not just the outcomes desired by the parties, is thus a key to realizing the potential benefits of a conflict. Behaviors that escalate a conflict until the conflict seems to take on a life of its own generate dysfunctional conflict. Dysfunctional conflicts focus on emotions and differences between the two parties and can degenerate to the extent that the parties forget the substantive issues and focus on getting even, retaliating, or even hurting the other party. Dysfunctional conflict negatively influences employees, workgroups, and company performance. It leads to feelings of contempt and at least one of the parties withdrawing from communicating. Dysfunctional conflict often becomes separated from the initial issue and continues even after the original conflict becomes irrelevant or is forgotten. At the same time, though, conflict can also be positive. When effectively managed, conflict can be healthy. Interpersonal conflict can lead to greater learning, flexibility, and creativity. Behaviors that are adaptive and responsive to the situation, person, and issues create constructive conflict. Constructive conflicts, also called functional conflicts, balance the interests of both parties to maximize mutual gains and the attainment of mutual goals. Constructive conflict is a natural, inevitable, and creative force, and can be beneficial to employees and their organizations. A. Common Causes of Conflict What creates conflict? The short answer is that conflict can be caused by anything that leads to a disagreement. We next discuss nine of the most common sources of conflict in organizations. These are also summarized in Table 10.1. 1. Differing Task Goals Task conflict is a disagreement about the task or goals. A moderate amount of task conflict is beneficial in the early stages of a project because it increases innovation and generates more alternatives from which to choose. However, task conflict is more likely to be detrimental over time when tasks are complex. Task conflict can be very productive if handled correctly. Compensation systems often create differing task goals within an organization. For example, if marketing employees are compensated based on the number of units the company sells but production employees are compensated based on the average cost per unit, conflict between them is understandable. Focusing employees, workgroups, and departments on a common enemy such as a competitor can unite employees in their pursuit of a common goal and reduce the negative effects of conflict. 2. Differing Process Goals Even when we agree about what we are trying to accomplish, we can still disagree about how we should accomplish it. Process conflict reflects conflict about how to accomplish a task, who is responsible for what, or how things should be delegated. Role ambiguity increases process conflict. 3. Interpersonal Differences Interpersonal differences are a common trigger of relationship conflict, which is the result of incompatibility or differences between individuals or groups. It can also be triggered by personality, particularly the personality traits of dogmatism and power motivation. Relationship problems often fuel disputes and lead to an unnecessary escalating spiral of dysfunctional conflict. This is rarely a good thing and consistently recognized as a primary source of stress. Relationship conflict is fueled primarily by emotions and by perceptions about the other party’s personality, character, or motives. Because relationship conflict is personalized, it tends to become more extreme. Because relationship conflict is not about concrete issues, neither party is really interested in solving the problem and may even try to create new problems. Effective project teams tend to have low but increasing levels of process conflict, moderate levels of task conflict in the middle of the project, and low levels of relationship conflict that increase toward the end of the project. Creating a culture of respect and supporting the safe and balanced expression of perspectives and emotions can help to suppress relationship conflict. 4. Resource Constraints Incompatible needs and competition over perceived or actual resource constraints can create conflicts of interest. Conflicts of interest occur when someone believes that to satisfy his or her own needs, the needs and interests of someone else must be sacrificed. Conflicts of interest can occur over: • Substantive issues including time, money, and physical resources • Procedural issues involving the way the conflict will be handled • Psychological issues including perceptions of fairness, trust, or interest in participating Conflicts of interest are best resolved by jointly addressing both parties’ interests. Resolving conflicts of interest often increases creativity and innovation and stimulates performance. 5. Change Change also causes conflict. Indeed, it has been said that change is not possible without conflict. One of the primary drivers of conflict is uncertainty. External changes can also trigger conflict if regulations or changing market conditions change the relative importance of different organizational groups. 6. Differing Values People differ in their values and worldviews. These differences are the source of values conflict, or conflict arising from perceived or actual incompatibilities in beliefs about what is good or bad, right or wrong, and fair or unfair. What violates someone’s values differs across national cultures. Different events can trigger conflict in various cultural contexts due to different core concerns. 7. Poor Communication Remember, uncertainty is one of the primary drivers of conflict. Poor communication increases uncertainty, and can thus increase the potential for conflict. Information conflict occurs when people lack important information, are misinformed, interpret information differently, or disagree about which information is relevant. Because email restricts the richness of communication and increases the chances for misunderstanding, conflicts are more likely to escalate when people communicate via email compared to face-to- face or over the telephone. 8. Task Interdependence When one person or unit is dependent on another for resources or information, the potential for conflict increases. 9. Organizational Structure Structural conflict is the result of structural or process features of the organization. Structural conflict can be horizontal or vertical. Horizontal conflict occurs between groups at the same organizational level, such as between line and staff employees or between departments such as production and marketing. Vertical conflict occurs across different hierarchical levels in the organization, including conflicts over wage issues or control. Union–management relationships are a classic example of vertical conflict. Because structural conflict is due to organizational design, adjusting the design often reduces or eliminates the structural conflict. Matching a department’s structural design with its needs given its environment improves its effectiveness. B. Conflict Escalation Conflict escalation happens when one party involved in a conflict (an individual, small group, department, or entire organizations) first uses an aggressive tactic or begins using more aggressive tactics than the other party. When constructive approaches to conflict resolution are unsuccessful and break down, the conflict escalates. The farther the conflict escalates, the more difficult it is to reverse and the more likely it is to become dysfunctional. Friedrich Glasl’s nine-stage model of conflict escalation is summarized in Table 10.2. In the first stage of conflict escalation, hardening, each side’s opinion hardens and the two opponents adopt a collision course. In the second stage, debate, each side’s opinion becomes polarized and emotions rise. Each side begins thinking in terms of black and white and adopts a viewpoint of self-superiority and opponent-inferiority. Constructive conflicts are generally resolved by the second stage. The third stage, action over words, sees a decrease in empathy for the opponent, and the idea that “talking no longer helps” emerges. The conflict becomes increasingly destructive in this stage. In the fourth stage, images/coalitions, negative rumors are spread and stereotypes are formed as each side prepares for a fight and conducts a search for supporters. The fifth stage, loss of face, marks the beginning of open and direct aggression intended to cause the opponent’s loss of public face. In the sixth stage, threat as a strategy, threats and counter-threats increase. As ultimatums are made, conflict escalation accelerates. In the seventh stage, limited attempts to overthrow, the opponent is no longer viewed as a person. In the eighth stage, fragmentation of the enemy, the goal becomes the destruction and dissolution of the system. This goal is pursued aggressively. The ninth and final stage, together into the abyss, sees the descent into total confrontation with no way back. Extermination of the opponent at the price of self-extermination is seen and accepted. The later stages of this conflict escalation model might sound extreme, but unfortunately workplace aggression and violence do happen. Table 10.3 summarizes some of the factors associated with an increased risk of workplace violence resulting from conflict. Generating feelings of empathy and sympathy and keeping both parties focused on common goals also helps to de-escalate conflict. Fairness and the appearance of fairness often decrease the risk of workplace violence when conflicts do occur. C. De-Escalating Conflict Even if it does not escalate quickly, unresolved conflict drains employees’ energy and reduces their performance. It is obviously easier to manage conflict escalation in the early stages of a conflict. Unfortunately, conflicts are often hard to detect in their early stages. If you are involved in a conflict, one of the best ways to prevent further escalation is to react equivalently to the other party and not overreact. Sometimes under-reacting can trigger de-escalation of the conflict. As a manager, you can reduce conflict escalation by modeling de-escalation processes, and by setting and enforcing limits on conflict escalation. Managers can serve as a conflict resolution facilitator as well. It is also important to continue to monitor conflicts to ensure that they do not reemerge. Table 10.4 summarizes what to do and some things to avoid in de–escalating conflict. After a conflict is resolved, it is important to reestablish a sense of justice and trust among the parties. It is also important to remember that you do not always have to intervene in a conflict, particularly if it is not affecting job performance. D. Role of Emotion in Conflict When we are in conflict we often feel emotionally charged. There is an important distinction between perceiving conflict and feeling conflict—conflict is often not recognized until it is felt. Even though the emotional component is most evident in relationship conflict, task and process conflict also can contain high levels of emotion. Many people let their feelings and emotions influence how they deal with conflict. Controlling your emotions and staying focused on the issues can help to prevent a conflict from escalating. Assessing and acknowledging the emotions of the other party can also help you to more effectively manage the conflict. II. INTERPERSONAL CONFLICT MANAGEMENT STRATEGIES Once you understand the source of a conflict you are engaged in, you need to identify the best strategy for addressing it. There are five conflict management strategies that differ in their concern for others and concern for your own interests. Figure 10.1 illustrates how these five styles of managing interpersonal conflict compare in their focus on others and on pursuing one’s self-interests. • Collaborating reflects a high concern for your own interests and a high concern for the interests of the other party. This conflict management style emphasizes problem solving and pursues an outcome that gives both parties what they want. Collaboration helps to build commitment to the outcome, although the communication required to reach a solution can take substantial time and energy. The objective of collaboration is to fulfill both parties’ needs with a goal of “I win / you win.” • Compromising is a conflict management style in which each side sacrifices something in order to end the conflict. This middle-ground style reflects a moderate concern for both your and the other party’s interests. The goal of compromising is “I win some and lose some / you win some and lose some.” • Competing is pursuing one’s own interest at the expense of the other party. This approach is generally used when the conflict issue is important or to set a precedent. However, this style can escalate the conflict and the loser may try to retaliate. A person who uses threats and ultimatums is using a competing conflict management style. The goal of competing is “I win / you lose.” • Accommodating is a cooperative conflict management style. This style is generally used when the issue is more important to the other party than to you or if you recognize you were wrong. The goal of accommodating is “I lose / you win.” • Avoiding is a passive conflict management style involving ignoring the conflict or denying that it exists. This style reflects a low concern for both parties. When used to manage trivial conflicts, no damage may be done, but it can result in maximum damage when important issues are involved. The goal of avoiding is “no winners / no losers.” In general, each style of handling interpersonal conflict is appropriate and ethical in some situations as long as it is used to attain the organization’s proper goals. Remember, because people differ in their preferred conflict management styles, it is important to adapt your own style accordingly. What is most important is that you proactively manage workplace conflict. Global Issues: Conflict Management Differences Across Cultures Summary: Individuals from different cultures adopt different conflict resolution strategies. Asian managers avoid discussing a conflict. U.S. managers prefer a style of dominance, competing to see who can convince the other. Chinese managers favor compromise and avoidance, whereas British executives favor collaboration and competition. Arab Middle Eastern executives use an integrating and avoiding style. An Indian employee is hesitant to give a superior direct feedback to save face. Instead, the person may tell you what you want to hear. Because Indians communicate positives, you should listen for what they do not say. A desire to maintain face is related to a dominating conflict style, and a desire to maintain the face of the other party is related to avoiding, integrating, and compromising styles. Collective cultures manage conflict differently from individualistic cultures. Collectivism emphasizes group harmony whereas individualism emphasizes individual rights. The Chinese culture is collective and the North American culture is individualistic. Collective societies avoid open conflict – conflict is resolved in inner circles before it justifies public involvement. III. THE CONFLICT PROCESS Putting it all together, the conflict process is summarized in Figure 10.2. After a potential conflict is triggered, it is perceived by both parties. The true disagreement may differ from the perceived disagreement. If neither party experiences emotion in reaction to the potential conflict, it does not escalate. If the conflict escalates, both sides will then implement one or more conflict management strategies that either will end the conflict constructively or allow the conflict to continue to escalate, perhaps to the point of becoming destructive. A. Conflict Management Skills Fortunately, most managers can learn the necessary skills for effective conflict management. Professionals in conflict resolution training suggest four areas of skill development: 1. Listening – including eye contact, rephrasing, and summarizing 2. Questioning 3. Communicating nonverbally 4. Mediating If you are mediating a conflict, ask open rather than leading questions, and use nonverbal cues to show that you are sincerely trying to help. Read nonverbal cues to learn additional information. Mediation skills include open-mindedness, staying nonjudgmental and calm, demonstrating empathy and sensitivity, remaining neutral, respecting confidentiality, and showing flexibility and resiliency. A person’s ability to successfully resolve conflict is related to his or her effectiveness as a leader. Managers with poor conflict management skills hit a promotional ceiling much earlier in their careers. There are strong relationships between certain conflict resolution behaviors and perceived suitability for promotion, which are summarized in Table 10.5. B. Creating Constructive Conflict What can managers do to increase the positive outcomes of conflict? To successfully create constructive conflict, organizations often punish conflict avoiders. Rewarding employees who engage in constructive conflict can help to reduce employees’ fears of ridicule or rejection. A simple “thank you” for voicing a dissenting opinion can signal to employees that it is okay to speak up. Assigning one or more employees to play the role of devil’s advocate can help to generate constructive conflict by providing a safer environment for the introduction of different perspectives. IV. THE NEGOTIATION PROCESS At some time or another everyone has to negotiate. We often experience conflicts with other people in which we must negotiate to reach a solution. Negotiation skills thus are not only critical for managers, but also improve the effectiveness of all employees. A. Negotiating Skills Negotiation is a process in which two or more parties make offers, counteroffers, and concessions in order to reach an agreement. Most managers do a lot of negotiating as part of their jobs. There are two types of negotiation, distributive and integrative. Distributive negotiation occurs under zero-sum conditions, where any gain to one party is offset by an equivalent loss to the other party. Distributive negotiation essentially distributes resources among the parties involved. Because distributive negotiation structures the conflict in a win-lose way, it tends to be competitive and adversarial. Integrative negotiation is a win-win negotiation in which the agreement involves no loss to either party. In general, integrative bargaining is better than distributive bargaining because when it is over neither party feels that they have lost. Integrative bargaining helps to build good long-term relationships, and minimizes grudges between the parties. The four fundamental principles of integrative negotiation are: 1. Separate the people from the problem – separate relationship issues from substantive issues, and deal with them independently 2. Focus on interests, not positions – negotiate about things that people really want and need, and not what they say they want or need 3. Invent options for mutual gain – look for new solutions that allow both sides to win 4. Insist on objective fairness criteria – outside, objective fairness criteria for the negotiated agreement are ideal if they exist It is also helpful to research and understand the individual with whom you will be negotiating. Be sure to prepare well, listen actively, and think through your alternatives. The more options you feel you have, the better a negotiating position you will be in. Here are some suggestions for being an effective negotiator: • Do not view this as an either/or proposition, negotiating is about compromise • Each side should know the other’s perception of the issue and their interests • Identify what you can and cannot part with • Try to identify and use sources of leverage • Show the other side that you understand their position • Suppress your emotions • Know your “BATNA” – Best Alternative to a Negotiated Agreement If negotiations stall, letting the other side know that you are prepared to proceed with your backup plan can also help to get the process started up again. B. Cultural Issues in Negotiations Different national cultures have different preferred negotiation styles. For example, Russians tend to ignore deadlines and view concessions as a sign of weakness. Because Americans’ desire to be liked is known in other cultures, skilled negotiators from other cultures use this to their advantage by making friendship conditional on the final outcome of the negotiation. When people believe they have been treated disrespectfully as a result of differing cultural norms, the whole project can blow up. Clearly, intercultural negotiation requires paying attention to issues beyond what is being negotiated. Preparation is particularly important when engaging in cross-cultural negotiations. C. Alternative Dispute Resolution Sometimes two parties are unable to reach an acceptable settlement through direct negotiations with each other. In such cases, the parties may involve a third party to overcome the stalemate and avoid a trial. This process is sometimes called alternative dispute resolution. There are three types of alternative dispute resolution: 1. Conciliation: A third party builds a positive relationship between the parties, improves their communication, and facilitates their discussion. Conciliation facilitates a discussion and directs the parties toward a satisfactory settlement and may issue a binding opinion if both parties agreed to that ahead of time. 2. Mediation: An impartial third party (the mediator) facilitates a discussion using persuasion and logic, suggesting alternatives, and establishing each side’s priorities. The mediator suggests a settlement that does not have to be accepted. 3. Arbitration: A third party is involved and usually has the authority to impose a settlement on the parties. Conciliation is often the first step in the alternative dispute resolution process. Its goal is to get the parties to better communicate and resolve the problem on their own, although the conciliator may suggest a resolution that the parties can accept or reject. Mediation is a voluntary and nonbinding process, whereas the results of arbitration are legally binding. If the mediator is not perceived as neutral, he or she is not likely to be effective. Arbitration may be required by a contract or by law, or may be voluntary if the parties agree to it. Although arbitration, unlike mediation, always results in a settlement, it has greater potential to leave at least one party dissatisfied, which could cause the conflict to resurface later. An ombudsman is someone who investigates complaints and mediates fair settlements between aggrieved parties. Ombudsmen help to resolve disputes while they are relatively small. CASE STUDY: Ombudsman to the Rescue Summary: A growing number of small and mid-size businesses are enlisting ombudsmen to handle internal conflicts. At Sigmet, a Massachusetts data processor design company, even small coworker disagreements could lead to a grudge match. To better deal with the internal conflicts, Sigmet hired an ombudsman for a few hours a week to ask how things are going and counsel upset employees. 1. How has the ombudsman decreased conflicts at Sigmet? Having a neutral person help resolve conflicts has made a real difference. The ombudsman asks how things are going and counsels upset employees. She listens to employees’ problems, asks questions, and helps devise solutions. 2. Would you feel comfortable using an ombudsman to resolve a conflict with a coworker? Why or why not? Most students would say yes. An ombudsman could bring a fresh, unemotional perspective to a conflict with a coworker and offer ideas to resolve a conflict. That would make a job much more satisfying and allow everyone involved to focus on the work, not on the conflict. 3. What could companies do to maximize the effectiveness of an ombudsman? Companies could communicate effectively to make sure that employees are aware of the services of an ombudsman and explain how beneficial an ombudsman could be in resolving interpersonal conflict. The ombudsman should be visible and get to know employees, offering assistance in conflict resolution. Summary and Application Conflict is a natural part of organizational life. Organizational effectiveness is enhanced through an appropriate diagnosis and management of conflict. Some of the best conflict resolution behaviors are perspective taking, creating solutions, expressing emotions, reaching out, and documenting areas of agreement and disagreement. Some of the worst conflict management behaviors are avoiding the conflict, winning at all costs, displaying anger, demeaning the other party, and retaliating. Negotiation is one of the best ways to dissipate potential conflict. DISCUSSION QUESTIONS 1. Have you ever experienced a constructive conflict? What happened? How was the disagreement resolved? Students can share their experiences. I serve on the organizing committee for a chorale. We were to perform Beethoven’s Ninth Symphony in partnership with another chorale that cancelled two weeks before the performance. I wanted to go ahead with the concert, and the conductor wanted to cancel or postpone it. We postponed the concert, added several other chorales to the project, and the performance was better than originally planned. The disagreement was resolved although it cost $10,000 to postpone the concert. In the end, the artistic vision of the project trumped financial considerations. Adding more diverse voices carried out the mission of the chorale, which is to bring communities together through music. 2. Have you ever experienced a dysfunctional conflict? What happened? Why was the conflict not resolved earlier? Yes. The conductor of our symphony and chorale was accused of many things, and the symphony finally mediated the conflict. The conductor was terminated with appropriate severance pay. As a result, she formed a new chorale that competed with the symphony chorale. Both chorales suffered from a loss of membership. The conflict was not resolved earlier because the situation became very emotional on both sides of the issues, and the conflict became personal and bitter. 3. How can managers promote constructive conflict? Managers can promote constructive conflict by assigning employees to play the devil’s advocate role when ideas are presented. Managers can also encourage opposing ideas and assure employees that trust and open communication exist in the organization and that there is nothing to fear by offering a different view. 4. Which of the conflict causes do you feel is most challenging to a manager? Why? Poor communication causes the conflict that is most challenging to a manager. When people lack necessary information, are misinformed, interpret information differently, or disagree about which data are relevant, conflict arises. 5. Think about a current conflict you are experiencing with a coworker, friend, or family member. Which of Glasl’s conflict stages are you in? What can you do to keep the conflict from escalating to the next level? I’m involved in a conflict with a nonprofit group that is divided over moving to a new location in a new building or remaining in the present location in an old building. The conflict is in the debate stage. The conflict will not escalate if emotions are kept out of the discussion. If the group simply looks at financial issues, the conflict can be resolved without escalation. 6. If two of your subordinates were experiencing relationship conflict, what would you do to manage it? Why? I would try to convert relationship conflict into task conflict. If that didn’t work, I would separate the employees by moving them to another team or department. 7. If two of your subordinates were experiencing task conflict, what would you do to manage it? Why? Task conflict occurs when employees disagree about issues such as which packaging design is best or whether quality or quantity is more important. Task conflict can be very productive if handled correctly. I would hold employees from competing departments jointly accountable and give them common goals to reduce their conflict. Focusing employees, work groups, and departments on a common enemy such as a competitor or even a challenging economy can unite employees in their pursuit of a common goal and reduce conflict. 8. What could you do to minimize the potential for negative outcomes in cross-cultural negotiations? To minimize the potential for negative outcomes in cross-cultural negotiation, I would pay attention to issues beyond what is being negotiated. The appropriateness of different negotiation tactics, the emphasis to put on developing relationships, how to respond to deadlines, and even the location of the negotiation is influenced by national culture. Preparation is particularly important when engaging in cross-cultural negotiations. 9. What would have to happen for you to fully accept and cooperate with a mediator’s recommended settlement? Mediation is a voluntary and nonbinding process. I would have to believe that the recommendations were in my best interest, given the scope of the conflict and options available. GROUP EXERCISE: Win as Much as You Can! Learning Objective: Describe some of the best and worst conflict resolution behaviors. Summary: For ten successive rounds, each team will select either an “X” or a “Y” and submit their choice to the instructor on a small piece of paper with their team name on it. The “payoff” for each round is determined by the patterns of choices made by the other teams as described below:
Choice Pattern Payout
4 Xs Lose $1each
3 Xs 1 Y Win $1each Lose $3
2 Xs 2 Ys Win $2 each Lose $2 each
1 X 3 Ys Win $3 Lose $1each
4 Ys Win $1each
Task: In each round, teammates confer and make a joint decision. Before rounds 5, 8, and 10, the teams will have a chance to confer with each other for 3 minutes before conferring with teammates for 1 minute and making a decision. Note the three bonus rounds, where the payoff is multiplied.
Round Time Allowed Confer with other Teams Your Choice $ Won $ Lost Balance Bonus?
1 2 min No No
2 1 No No
3 1 No No
4 1 No No
5 3 + 1 Yes Bonus 3X
6 1 No No
7 1 No No
8 3 + 1 Yes Bonus 5X
9 1 No No
10 3 + 1 Yes Bonus 10X
1. Why do some of the best conflict resolutions behaviors include perspective taking and creating solutions? 2. Why do some of the worst conflict management behavior include winning at all costs and retaliating? VIDEO EXERCISE Maine Media Workshops – Building a Contingent Workforce Summary: Maine Media Workshops began as a summer camp for artists wanting to hone their skills. Over the years, the workshops have allowed students to work with some of Hollywood’s heavy-hitters. Staff selection is difficult for Maine Media Workshops. With the exception of a few full-timers, the organization is staffed with temporary week-to-week instructors. Job requirements workshops instructors are unique. Instructors act as mentors and coaches who dine with students, participate in social events, teach, and discuss assignments and careers. Keeping courses staffed requires constant recruitment, and there is no time for training. As a result, the HR department seeks people who were once students. 1. What is the primary problem that education directors face when recruiting instructors to teach at Maine Media Workshops? Recruiting faculty is a major challenge at Maine Media Workshops. Many creative and fine arts professionals would like to teach at Maine Media Workshops but are prevented from doing so because they already have jobs and busy schedules. However, for media professionals who can take a week off from their careers, the one-week schedule of course assignments are often manageable. Recruiting and training temporary faculty involves constant conflict, and the organization’s education directors must find creative solutions for that conflict. 2. What sources of conflict are hampering recruitment at Maine Media Workshops? Recruiters at Maine Media Workshops encounter conflicts arising from organizational structure, processes, and resource constraints. The organization is staffed primarily with temporary week-to-week instructors, and from January through November the organization hires instructors to teach weeklong classes for its approximately 500 courses. This is an unusual schedule for many teaching professionals, and it arises out of the “workshop concept.” 3. What might Maine Media Workshops do to help resolve its ongoing staffing conflicts? Because structural conflict is due to organizational design, adjusting the design often reduces or eliminates the structural conflict. The institute could possibly attract faculty more easily if it began offering semester-long courses. In addition, media professionals may be able to teach if they are guaranteed a certain number of assignments at routine intervals within each year, instead of sporadically in one-week assignments. The organization might also try to use Internet for offering courses online; instructors and students could collaborate on assignments using computer networks and collaboration software tools. Presently, however, effective management of scheduling is the primary way to resolve staffing challenges. Since conflicting schedules are the cause of the organization’s staffing woes, finding creative ways to manage scheduling is essential. In the video, Education Director Elizabeth Greenberg says that her staff has become highly proficient at maintaining up-to-date information on temporary instructors’ annual work schedules and patterns. Now What? Imagine being part of a team of two other coworkers experiencing negative task conflict as they try to finalize the design of a new toy before an imminent deadline. One team member is focused on making the toy of maximum quality and the other is focused on the conflicting goal of making the toy at the lowest cost. One of the team members is getting frustrated and feels that the team should be making better progress. The coworker asks you if there is anything the team can do to be more effective. What do you say or do? Go to this chapter’s “Now What?” video, watch the challenge video, and choose a response. Be sure to also view the outcomes of the two responses you didn’t choose. OB Concepts Applied: negative task conflict; goal conflict; shared goals; perspective taking; creating solutions; expressing emotions; reaching out; avoidance Discussion Questions 1. What types of conflict is the team experiencing in the challenge video? The team is experiencing goal conflict, disagreement over what is to be accomplished. Is the goal to produce a durable product or a low-cost product? Billie wants to use higher cost materials to produce a higher quality, safer product. Allison insists on being fiscally responsible, remaining within the budget, and selling the toy at a low price in an effort to increase sales. 2. What aspects of the negotiation process would best resolve the conflict and why would this work? The four principles of integrative negotiation should help resolve the conflict. Separating the people from the problem is the first step, empathizing with both positions is the first thing Alex does. Alex then focuses on the interests, not the positions. The interests of the company are to produce a safe toy that will withstand play. By compromising on which parts to make out of metal and which to make out of plastic, Allison and Billie are inventing a new option for mutual gain. 3. What conflict resolution behaviors would you use as a manager to address this situation? Explain your answer. Integrative negotiation might be very effective in this situation. Integrative negotiation is a win-win negotiation in which the agreement involves no loss to either party. Integrative bargaining helps to build good long-term relationships, and minimizes grudges between the parties. This is particularly beneficial when the parties have to work together on an ongoing basis once the negotiations are finished. Integrative negotiation in this situation would allow Allison, Bill, and Alex to work together in a spirit of compromise on other projects. Solution Manual for Organizational Behavior: Managing People and Organizations Ricky W. Griffin, Jean M. Phillips, Stanley M. Gully 9781305501393, 9780357042502