University of the Punjab, Lahore

Hailey College of Commerce

Group: 2nd
Section: C (Morning)
Semester: 5th
Subject: Principle of Management
Submitted From: BSCOM-22-206, 217, 219, 225
Submitted To: Prof. Dr. Muhammad Ramzan
 Positive and Negative Effects of Conflict Management
Conflict management refers to the process of identifying and handling disputes or
disagreements in a constructive and effective way. It involves techniques and strategies that aim
to minimize the negative aspects of conflict while enhancing learning, understanding, and
collaboration between the parties involved. The goal is not necessarily to eliminate conflict but to
manage it in a way that leads to positive outcomes.
Positive Effects of Conflict management
1. Improved communication:
Conflict management promotes open and honest communication, leading to better understanding
and resolution of issues.
2. Increased productivity:
Resolving conflicts efficiently can lead to increased productivity and focus on work.
3. Enhanced teamwork:
Conflict management can foster teamwork, collaboration, and a sense of unity.
4. Better decision-making:
Conflict management can lead to more informed decision-making, considering multiple
perspectives.
5. Personal growth:
Conflict management can lead to personal growth, self-awareness, and emotional intelligence.
6. Improved relationships:
Conflict management can strengthen relationships, build trust, and promote respect.
7. Reduced stress:
Effective conflict management can reduce stress and create a more positive work environment.

Negative Effects of Conflict Management

1. Time-consuming:
Conflict management can be time-consuming, taking away from other important tasks.
2. Emotional exhaustion:
Conflict management can lead to emotional exhaustion, burnout, and decreased well-being.
 3. Escalation:
Poorly managed conflicts can escalate, leading to more severe problems.
4. Polarization:
Conflict management can create polarization, reinforcing existing differences.
5. Lack of accountability:
Ineffective conflict management can lead to a lack of accountability and unresolved issues.
6. Power imbalances:
Conflict management can perpetuate power imbalances, favoring those with more power or
influence.
7. Unresolved issues:
Poor conflict management can lead to unresolved issues, creating resentment and ongoing
problems.
 CONFLICT MANANGMENT
SOLUTION METHODS
❖ Active listening
❖ Compromise
❖ Mediation
❖ Problem solving approach
❖ Negotiation

Active listening
Active listening involves
carefully listening and understanding all
concerns that are involves in the conflict.
Create a non judgmental environment and
open ended question for both parties.
❖ Compromise
 Find a middle ground for
both parties where both parties give up
something and reach to an agreement .
❖ Mediation
Involves a third party that will
be neutral to guide and resolve the problems.
The mediator understand the situation and
provide a middle ground for them.
❖ Problem solving approach
A logical and systematic
way to solve the root of conflict.
Clearly define the problem and
brainstorm and address the parties that
are involve in conflict.
❖ Negotiation
Solve the problem through
discussion and dialogues.
examples of conflict management
in real life..
➢ Amazon vs Hachette
(coporate conflict)
In 2014, Amazon and the publishing company
Hachette clashed over e-book pricing. Amazon
wanted to lower prices to promote affordability,
while Hachette insisted on higher prices to protect
author revenues.
Resolution:
After months of public disputes and negotiations,
both companies reached a compromise, allowing
Hachette to set e-book prices while giving Amazon
some promotional pricing flexibility

➢ I PHONE AND SAMSUNG PATENT

DISPUTE.
Title: The Cause and Effect of Conflict Management

➢ Introduction:

Conflict is an inevitable aspect of human interaction, arising from differences in beliefs, values,
and goals. Effective conflict management is crucial to preventing conflicts from escalating and
resolving them when they do occur. This assignment will delve into the causes and effects of
conflict management, exploring its significance in personal and professional settings.

➢ Causes of Conflict:
• Communication Breakdown: Poor communication or misunderstandings can lead to
conflict.
• Cultural and Personal Differences: Diverse backgrounds and personalities can create
tension.
• Power Imbalance: Unequal distribution of power or authority can cause resentment.
• Goal Incompatibility: Conflicting objectives or priorities can lead to disagreement.
• Emotional Intelligence: Lack of self-awareness and empathy can exacerbate conflicts.

➢ Effects of Conflict Management:

• Improved Communication: Effective conflict management fosters open dialogue and

understanding.
• Increased Trust and Respect: Resolution of conflicts strengthens relationships and builds
trust.
• Enhanced Collaboration and Teamwork: Managed conflicts promote unity and
cooperation.
• Reduced Stress and Anxiety: Conflict resolution alleviates tension and promotes well-
being.
• Better Decision Making: Conflict management encourages diverse perspectives and
informed decisions
Hence, Conflict management is a vital skill for personal and professional growth,
enabling individuals to navigate disagreements and strengthen relationships. By
understanding the causes of conflict and effectively managing them, we can create
positive outcomes, promote healthy communication, and achieve our goals. In today’s
fast-paced and diverse world, conflict management is an essential tool for success and
well-being.
 Principal of Management
Roll no: 217, 206, 219, 225
Submitted to: Sir Ramzan

Topic: Conflict Management

Definition:
Conflict management is the process of addressing and resolving conflicts in a fair and efficient
way.

Types of conflict management:

Intra-personal conflict:
Intrapersonal conflict is a personal struggle that occurs within a person. It can manifest
as inner turmoil, self-doubt, emotional pain, or ethical dilemmas.

Inter-personal conflict:
Interpersonal conflict happens when two or more people have different views, values,
goals, or access to resources.

Inter-group conflict:
Intergroup conflict is a disagreement between two or more groups, or the people within
those groups, that can have serious consequences for communities.

Inter- organization conflict:

Inter-organizational conflict is a disagreement between two or more organizations. It can
be caused by several factors, including:
• Competition
• Mergers
• Buyouts
• Hostile takeover
Filey’s strategy:
Filley’s strategy (1975) identified basic strategies for dealing with conflict according to the
outcome:

win-lose:
In the win-lose strategy, one party exerts dominance, usually by power of authority, and
the other party submits and loses. Forcing, competing, and negotiation are techniques
likely to lead to win-lose competition.

lose-lose strategy:
lose-lose strategy, neither side wins. The settlement reached is unsatisfactory to both
sides. Avoiding, withdrawing, smoothing, and compromising may lead to lose-lose
outcomes.

Win-win strategies:
Win-win strategies focus on goals and attempt to meet the needs of both parties. Two
specific win-win strategies are consensus and integrative decision making.
Consensus involves attention to the facts and to the position of the other parties and
avoidance of trading, voting, or averaging, where everyone loses something. This
technique is most useful in a group setting because it is sensitive to the negative
characteristics of win-lose and lose-lose outcomes. True consensus occurs when the
problem is fully explored, the needs and goals of the parties involved are understood, and
a solution that meets these needs is agreed upon

Other strategies:
Confrontation:
Confrontation is considered the most effective means for resolving conflicts. This is a
problem-oriented technique in which conflict is brought out into the open and attempts
are made to resolve it through knowledge and reason. The goal of this technique is to
achieve win-win solutions.

Negotiation
Negotiation involves give-and-take on various issues among the parties. Its purpose is to
achieve agreement even though consensus will never be reached. Therefore, the best
solution is not often achieved. Negotiation often becomes a structured, formal procedure,
as in collective bargaining. However, negotiation skills are important in achieving an
agreeable solution between any two parties. Staff learn to negotiate schedules, advanced
practice nurses negotiate with third-party payers for reimbursement, insurance
companies.
Collaboration:
Collaboration implies mutual attention to the problem, in which the talents of all parties
are used. In collaboration, the focus is on solving the problem, defeating the opponent.
The goal is not to satisfy both parties' concerns. Collaboration is useful in situations in
which the goals of both parties are too important to be compromised.

Compromise:
Compromise is used to divide the rewards between both parties. Neither gets what she
or he wants. Compromise can serve as a backup to resolve conflict when collaboration is
ineffective. It is sometimes the only choice when opponents of equal power are in conflict
over two or more mutually exclusive goals. Compromising also is. expedient when a
solution is needed rapidly.

Competing:
Competing is an all-out effort to win, regardless of the cost. Competing may be needed
in situations involving unpopular or critical decisions. Competing also is used in situations
in which time does not allow for more cooperative techniques.

Accommodating:
Accommodating is an unassertive, cooperative tactic used when individuals neglect their
own concerns in favor of others' concerns. Accommodation frequently is used to preserve
harmony when one person has a vested interest in an issue that is unimportant to the
other party.

Avoiding:
Used when the relationship is not important, and the goal is low. It can also be used when
the other party is unyielding or when the conflict is insignificant.

Mediation
A neutral third party helps the conflicting parties find a mutually acceptable solution.

Arbitration
A neutral third party makes a binding decision after hearing both sides' arguments. It's
often used in legal disputes or labor conflicts.