6_Conflict management and negotiation.pptx

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1. Conflict management and negotiation in healthcare organizations 1

2. Learning Objectives At the end of the session , students will be able to Define conflict and its management Describe different types and sources of conflict Analyse the different viewpoints of organizational conflict Analyse the benefits and negative effects of conflict Describe conflict resolution approaches Identify types of negotiation Explain principled negotiations and its advantages over positional bargaining Identify the pillars of effective negotiations 2

3. Conflict management 3

4. What is conflict? Conflict is a natural part of human relationships. As such, it is inevitable and unavoidable. It is a part of our everyday professional and personal lives; therefore, it is inherent in any type of work setting Conflict is a process that begins when an individual or group perceives differences and opposition between itself and another individual or team about interests and resources, beliefs, values, or practices that matter to them ( Gelfand 2008 ) Conflict is a situation that arises when two or more parties have opposing views, positions, needs, or interests that are perceived as incompatible ( Walston and Johnson 2022 ) 4

5. What is conflict?... Situations of conflict often feature the following elements: The parties have opposing interests and hold the perception that only one interest can be met - perceived incompatibility of interests Opposing parties often do not recognize and acknowledge opposing interests Opposing parties believe the other side will seek to achieve its own interest at the expense of the other Existing relationships of opposing parties are a reflection of their past interactions Actions are taken or efforts are made to gain the parties’ interests 5

6. Philosophies of organizational conflict Three distinct views have emerged on organizational conflict The classical or traditionalist view The philosophy of conflict of the classicists, or traditionalists was based on the assumption that conflict was detrimental to an organization and, as such, must be reduced or eliminated. Behavioralists’ philosophy The classical stage was followed by the behavioralists’ philosophy, which can best be described as the recognition that conflict is inevitable in organizations Behavioralists accept the presence of conflict and even occasionally advocate the enhancement of conflict for increasing organizational effectiveness. but they have not actively created conditions that generate conflict 6

7. Philosophies of organizational conflict… Interactionists view It differs significantly from the previous two and is characterized by: Recognition of the absolute necessity of conflict; Explicit encouragement of opposition; Defining conflict management to include stimulation as well as resolution methods; and Considering the management of conflict as a major responsibility of all administrators 7

8. Philosophies of organizational conflict… Organizational conflict as it stands now is considered legitimate and inevitable and a positive indicator of effective organizational management It is now recognized that conflict within certain limits is essential to productivity Conflict can be functional - it results in the creative solution to problems or the effective attainment of organizational objectives that otherwise would not have been possible Little or no conflict in organizations may lead to stagnation, poor decisions, and ineffectiveness. On the other hand, organizational conflict left uncontrolled may have dysfunctional outcomes 8

9. Philosophies of organizational conflict… the central theme is that too little conflict may encourage stagnancy, mediocracy, and groupthink, but too much conflict may lead to organizational disintegration too little or too much conflict are both dysfunctional for an organization’s effectiveness a moderate amount of conflict, handled in a constructive manner, is essential for attaining and maintaining an optimum level of organizational effectiveness a moderate amount of substantive or task-related conflict, but not affective or emotional conflict, is appropriate for organizational effectiveness 9

10. Philosophies of organizational conflict… some writers have overemphasized the dysfunctional consequences of conflict or failed to comprehend fully the functional aspects of conflict They believe that organization conflict is destructive: conflict is a major source of increased stress and decreased productivity for all managers and employees they emphasized the dysfunctions of conflict in organizations but neglected to consider the consequences of creating conflict free organizations However, First, it is impossible to eliminate conflict from organizations. Second, an attempt on the part of managers to eliminate all conflict, in the long run, will affect individual, group, and organizational performance 10

11. Outcomes of organizational conflict… Two opposing viewpoints on the outcome of conflict - conflict can result in positive as well as negative outcomes Functional Outcomes Innovation, creativity, and positive change Improved organizational decision-making Discovery of synergistic solutions Increased individual and group performance Enhanced clarity and understanding of assumptions and intentions of parties Displays of actual values and belief systems of an organization Increased group cohesiveness 11

12. Outcomes of organizational conflict… Dysfunctional Outcomes Job stress, burnout, and employee dissatisfaction Diminished communication between and among employees and groups Heightened distrust and suspicion Damaged relationships Decreased job performance Increased resistance to change Diminished employee loyalty and organizational commitment 12

13. Outcomes of organizational conflict… 13 Conflict that is unaddressed or suppressed simply worsens Positive and negative outcomes of conflict

14. Classifying conflict Organizational conflict may be classified as intraorganizational - conflict within an organization - or interorganizational - conflict between two or more organizations Intraorganizational conflict may also be classified on the basis of levels: Intrapersonal Conflict – occurs within an individual Interpersonal Conflict - occurs between two or more individuals Intragroup Conflict - happens among members of a group Intergroup Conflict - occurs between two or more groups, such as different departments 14

15. Classifying conflict … Conflict can also be classified according to its source Goal conflict: occurs when two or more desired outcomes are incompatible It may involve inconsistencies between individual or group values and norms Procedural conflict: occurs when people differ over the process to use for resolving a particular matter Affective conflict (emotional conflict) a condition in which group members have interpersonal clashes characterized by anger, frustration, and other negative feelings emerges when the feelings and emotions between individuals are incompatible.  Substantive conflict (Task, cognitive, and issue conflict) occurs when organizational members disagree on their task or content issues disagreements of ideas and opinions about the task being performed 15

16. Contributing factors to conflicts in healthcare Opposing feelings, competitive pressures, power struggles, big egos, jealousy, compensation issues, or just having a bad day may trigger conflict. poor communication and the inability to control one’s emotions are often the triggers for conflict Communication—or rather, its absence—is a perennial problem in all organizations and directly affects conflict. Expressions of anger during conflict often result in damaged work relationships and inability to communicate. the health care setting is a particularly conflictual environment because of factors such as high stress, strong emotions, scarce resources, competition, excessive regulations, diversity and cultural issues, and multiple stakeholders’ demands. 16

17. Contributing factors to conflicts in healthcare… Organization factors contribute to challenges in healthcare organizations. Roles and responsibilities, procedures, workflow, and a lack of adequate resources can all create challenges Conflict triggers that exist because of the nature of healthcare: Ambiguity: Healthcare information and outcomes can be interpreted in different ways by different people through the lens of their own knowledge, expectations, values, and experiences. Complexity: Healthcare organizations bring together a large number of people, who are involved in and affected by the numerous decisions made. 17

18. Contributing factors to conflicts in healthcare… Competition: Different healthcare departments, professions, and organizations often compete for limited resources, power, prestige, and status. Obligatory cooperation: Information must be rapidly and accurately exchanged for the care of patients. Responsibility for patient care is transferred across shifts and from one provider to another Time pressures: Time is critical in healthcare decision-making. Adverse consequences can result if tests, communications, and care are late Change: Changes in technology, reimbursement methods and rates, professional responsibility, social expectations, knowledge, and information are constantly occurring in healthcare 18

19. Conflict management Although conflict is often said to be functional for organizations, most recommendations relating to organizational conflict still fall within the realm of conflict resolution, reduction, or minimization If we have to confirm with the suggestion that “conflict is functional for organizations” the emphasis must be in conflict management , as opposed to resolution of conflict Conflict resolution implies reduction, elimination, or termination of conflict Conflict management does not necessarily imply avoidance, reduction, or termination of conflict It involves designing effective strategies to minimize the dysfunctions of conflict and enhancing the constructive functions of conflict in order to enhance learning and effectiveness of an organization 19

20. Conflict management… Affective Conflict These conflicts are generally caused by the negative reactions of organizational members (e.g., personal attacks of group members, racial disharmony … ) relationship conflicts interfere with task-related effort because members focus on reducing threats, and increasing power rather than working on the task It can engender negative emotions, damage working relations between and among people, hurt overall morale, and make future interactions difficult Conflicts that escalate often produce polarization , whereby people – even those who may initially have been neutral – are driven to take sides and adopt extreme positions When people become polarized, little room is left for agreement. 20

21. Conflict management… Substantive Conflict relate to disagreements about tasks, policies, and other business issues moderate level of substantive conflict is beneficial - stimulates discussion & debate Groups with an absence of task conflict may miss new ways to enhance their performance, while very high levels of task conflict may interfere with task completion This conflict can improve group performance through better understanding of various viewpoints and alternative solutions - are able to make better decisions interventions for conflict management should be able to develop cultural norms to support disagreement among group members in connection with tasks and other related management issues without generating affective conflict. 21

22. Conflict management… Effective healthcare leaders learn to properly manage conflict - they recognize conflict, diagnose its cause(s), and intervene to resolve or moderate it. They develop the following conflict resolution skills Define acceptable behavior: th e way people should treat each other must be clearly articulated Address conflict proactively : Leaders should actively seek out potential conflict and proactively intervene. They must understand the tensions in the workplace and work to moderate concerns before they flare into conflict Understand the involved parties’ motivations: learn what those involved in the issues want to accomplish and take action to help all achieve their goals. Use conflict as an opportunity for learning and growth: Leaders who properly use conflict can stimulate innovation and open new perspectives 22

23. Conflict management approaches - Thomas-Kilmann Model This model is based on two dimensions of conflict management: assertiveness and Cooperativeness or empathy Assertiveness : Attempting to satisfy one’s own concerns. Cooperativeness : Attempting to satisfy the other party’s concerns. Based on these two dimensions, there are five conflict resolution strategies:  competing, avoiding, accommodating, collaborating and compromising None of these modes is wrong to use, but there are right and wrong times to use each 23

24. Thomas-Kilmann conflict model 24

25. Competing involves assertive and uncooperative behaviors and reflects a win/lose approach A competing person often ignores the needs, and concerns the other party competition-style managers use coercive powers such as demotion, dismissal, negative performance evaluations, or other punishments to gain compliance Competition-style management is appropriate in some situations: when the issues involved in a conflict are trivial when emergencies require quick action when unpopular courses of action must be implemented for long-term organizational effectiveness and survival for implementing strategies and policies that have been formulated by higher-level management  25

26. Avoiding The avoiding mode is low assertiveness and low cooperation Evading, procrastinating, or walking away are forms of avoidance. Avoidance can also be an escape mechanism Avoidance may be appropriate when: The problem is not your problem. There is nothing you can do about it. It is inconsequential and, thus, not worth the effort to face. You need additional information. One of you is emotionally upset. The disruption from addressing the conflict outweighs the benefits of resolution You can see that the situation will ameliorate if you can wait it out. 26

27. Accommodating Accommodating involves cooperative and unassertive behaviors Here the individual forgets selfish interests in order to satisfy someone else. accommodating-style managers may be perceived as weak and submissive because they try to reduce tensions and stress by reassurance and support it may be effective on a short-term basis when: individuals are in a potentially explosive emotional conflict situation keeping harmony and avoiding disruption are especially important You have no stake in the issue; it does not matter to you. Your chance of winning is miniscule. you believe that you might be wrong or the other party is right and the issue is much more important to the other Giving in on a minor item now can mean winning a more important one later. 27

28. Compromising Compromising is the middle ground, in which managers display both assertive and cooperative behaviors - achieves only partial satisfaction for each person It involves give-and-take, each party gives up something to reach a mutually acceptable agreement. Heavy reliance on the compromising style may be dysfunctional It may be appropriate when opposing goals are incompatible or when two parties that are equally powerful this style is likely to be appropriate when: agreement enables each party to be better off, or at least not worse off, than if no agreement were reached; achieving a total win/win agreement is not possible; and A temporary settlement to complex issues is called for 28

29. Collaborating Collaboration involves highly assertive and cooperative behaviors and reflects a win/win approach to conflict. A collaboration-style manager attempts to find a solution that maximizes the outcomes of all parties involved . Managers who use the collaborating style see conflict as a means to a more creative solution that would be fully acceptable to everyone involved This style involves openness, exchange of information, and examination of differences to reach an effective solution acceptable to all parties. It involves understanding different viewpoints, breaking down the issues, and working together to solve them. 29

30. Collaborating… when issues are complex, the collaboration conflict-handling mode emphasizes the use of skills and information possessed by different employees to arrive at creative alternatives and solutions. This style may be appropriate for dealing with the strategic issues relating to objectives and policies, long-range planning, and the like. However, this style requires sufficient interdependence and parity in power among individuals that they feel free to interact candidly, regardless of their formal status as superior or subordinate. this style requires expending extra time and energy ; therefore, sufficient organizational support must be available to resolve disputes 30

31. Negotiation 31

32. Negotiation…overview Negotiation is the process of two or more parties working together to arrive at a mutually acceptable resolution of one or more issues Negotiation is a give-and-take bargaining process that, when conducted well , leaves all parties feeling good about the result and committed to achieving it The reason you are negotiating is because you don’t have all the answers; other parties’ contributions can add value to how your interests are served by the agreement 32

33. Negotiation … Successful negotiations yield mutual agreement in which each party is committed to fulfilling his or her promises Fairness is a crucial element to make a negotiation process succeed. Some people negotiate as if their most significant objective is to take advantage of other parties ; this is self defeating. If any party feels unfairly treated, he or she may walk away from the negotiation with a negative feeling there is a strong risk that some negotiators will end up feeling less committed to the agreement 33

34. Negotiation … In modern times, the aim of negotiation should focus on creative collaboration , rather than traditional confrontation, or a winner-takes-all result Communication is always the link that will be used to negotiate the issue A negotiation can only be called successful when it yields an agreement to which the parties are committed When you analyze the negotiation process after negotiations are over, pay close attention to what you have learned about the likelihood that the parties will fulfill their part of the agreement 34

35. What Negotiation Is Not When your boss gives you an order and your only choice is to do what he or she says, that is not negotiation If an outsider is brought in to make a decision between parties using arbitration , the parties are legally bound to follow the arbitrator’s decision When parties are not working together to reach an agreement, negotiation does not take place It’s important to keep in mind that negotiation is not a competitive sport In negotiation, you want to do well for yourself, but not because you want to beat someone else We negotiate with people to reach an agreement that meets as many of the parties’ interests as possible 35

36. Types of Negotiation Distributive or confrontational negotiation your reason for negotiation is seen as 'beating' the opposition, People who view negotiation as a confrontation see the process as a zero-sum game and they want to be the winners. you must be prepared to use persuasive tactics your agreement is not being directed to a certain compromise both parties are looking for a different outcome Once a confrontational negotiator wins, the other party is not likely to want to deal with that person again 36

37. Negotiation types… Integrative or cooperative negotiation your negotiation is much more 'friendly' with both parties aiming to reach agreement negotiators see a wide range of interests to be addressed and served. understand that negotiation is not a zero-sum game but a way to create value for all the parties involved. this builds long-term mutually beneficial relationships The cooperative approach is known as Interest-based negotiation An approach to negotiation where the parties focus on their individual interests and the interests of the other parties to find a common ground for building a mutually acceptable agreement 37

38. Positions and interests Position is the final answer to the question “What do you want?” the “my way or the highway” approach Positions are the expressed desires or presented proposals of the parties involved In negotiations between parties who each have some power to influence the results , remember that taking a position limits your capacity to bargain starting negotiations with positions may result in greater resistance to alternatives 38

39. Positions and interests… Your interest is the answer to the question, “Why do you want a particular result?” interests are a party’s real needs, desires, fears, and goals. Interest-based negotiation focuses on the underlying reasons behind each negotiator’s objectives Begin negotiations by clarifying the interests of both parties; this allows the parties to work together to address the real problem and come up with solutions that are satisfactory to both Seeking to align interests leads to win–win outcomes and prevents parties from moving to confrontation and conflict 39

40. Communication is key in negotiation You need to present your ideas in a way that will influence the decisions of your negotiation partners. The information you exchange informs you of changes in your BATNA as well as the BATNAs of other parties You can’t reach a wise agreement unless the parties understand each other and share an understanding of the agreement’s details. Proper communication brings clarity to the process. Your communication style demonstrates whether you respect other parties and may even give them a sense of your commitment to fulfill the agreement. 40

41. Communication… The best way to gain information is to ask questions and listen carefully to the answers Paying attention to other parties not only shows respect , it can also yield information crucial to your decision making Active listening involves several elements including Paying attention, controlling yourself so that you can learn from others, asking open rather than yes-or-no questions, Listening to the answers, making sure you are on the same page, 41

42. Relationships Successfully negotiated agreements not only solve a problem but also improve the parties’ relationship Following are some ways to ensure solidified relationships Make small talk, and give people space to tell their stories. Be professional and, if needed, challenge people respectfully: Use nonjudgmental language, avoid demeaning words that might trigger strong emotions such as “you wouldn’t understand,” Approach the negotiation as a joint problem-solving effort: be creative in developing positive, innovative solutions. Ask questions and listen: Watch body language to better understand the emotions behind the words. Be aware of cultural values and biases : Your biases might cause you or the other party to view the situation as different from what it really is 42

43. BATNA – Choosing whether to walk away What do you do if the other side has a stronger bargaining position? A party’s BATNA is its b est a lternative t o a n egotiated a greement It is a measure of the balance of power among the negotiating parties based on the resources they control or can influence to respond to their interests The extent of power with which we walk into negotiations Each party should begin by establishing its BATNA and be ready to consider its next choice if the current negotiation fails Your BATNA is not your bottom line A bottom line may protect you from accepting a very bad agreement However it may keep you both from inventing and from agreeing to a solution it would be wise to accept 43

44. BATNA … BATNA gives you a sense of whether to undertake a negotiation and whether to quit once the process has begun (w hen the other side is powerful) Developing your BATNA is perhaps the most effective course of action you can take in dealing with a seemingly more powerful negotiator Be careful not to work against the interests of other parties walking-in BATNA, that group of resources in your pocket before negotiation begins dynamic BATNA that changes as you gain information during the negotiation process BATNA is dynamic - every time we gain information during the negotiation process, our BATNA changes Keeping track of our BATNA while we negotiate is crucial 44

45. Elements of BATNA BATNAs are made up of a variety of elements deadlines, alternatives such as other suppliers or customers, your own resources, their resources, information you gain before and during the negotiation, the level of experience you or other parties have your interests and other parties’ interests, and knowledge about the matters under consideration 45

46. Principled negotiation Standard strategies for negotiation often leave people dissatisfied or alienated They see two ways to negotiate: soft or hard The soft negotiator wants to avoid personal conflict and so makes concessions readily to reach agreement He or she wants an amicable resolution; yet often ends up exploited The hard negotiator sees any situation as a contest of wills, and wants to win “principled” negotiation is neither hard nor soft, but both hard and soft Principled negotiation focuses on being hard on merits and soft on people 46

47. Principled negotiation… Any method of negotiation may be fairly judged by three criteria: Produce a wise agreement that meets the legitimate interests of each side to the extent possible, resolves conflicting interests fairly, is durable, and takes community interests into account Be efficient - that is produce a good agreement in a reasonable amount of time Improve, or at least not damage, the relationship between the parties. Positional bargaining produces unwise outcomes, is inefficient, and endangers an ongoing relationship. 47

48. Principled negotiation… Principled negotiations is a method of focusing on basic interests, mutually satisfying options, and fair standards typically results in a wise agreement It is designed to produce wise, efficient, amicable agreements It comprises four basic points to plan for a negotiation. These four points ( PICO ), can be used under almost any circumstance: People : Separate the people from the problem. Interests : Focus on interests, not positions. Criteria : Insist that the result be based on some objective standard. Options : Invent multiple options looking for mutual gains 48

49. People – Separate the people from the problem separate a person’s perceptions, emotions, and words from the real issue at hand try to structure the negotiation as a joint effort shared by both parties, with differing interests, perceptions, values, viewpoints, and emotional involvement Too often, people become personally invested in a negotiation, become emotional, and make personal attacks. To focus on the issues, both parties must seek to understand how the other perceives the situation, avoid assigning blame, and employ active listening. Having a good relationship before the negotiation is one of the best ways to begin a negotiation. 49 Be soft on the people, hard on the problem.

50. People… Negotiators are always dealing with two issues: the substance of the negotiations and the relationship between the two sides - both issues are important Deal with people problems directly - perception, emotion, and communication If misunderstandings, work to improve communication - without communication there is no negotiation Failing to deal with people problems can be disastrous for a negotiation Taking people out of the problem– helps eliminate hard feelings. The goal is to create relationships 50

51. Interests – Focus on interests, not positions Distinguishing between positions and interests is fundamental to reaching consensus and agreements that benefit all parties Your position is something you have decided upon, and your interests are what led you to that decision I want the ministry of health to give me a car? I want some means of transportation for supervisory activities ? - more than one option We need to understand the other party’s interests Each side has multiple interests You will be simultaneously pursuing both your independent and shared interests. It will be very difficult to influence the other if you fail to appreciate the differing interests involved 51 Avoid having a bottom line

52. Criteria – Insist on objective standards If interests seem opposing, set objective criteria that can resolve differences. before generating options, you should first agree which criteria those options must meet Establish parameters that are legitimate and practical, and search for scientific and professional standards that both parties can accept Ask, “Does this alternative meet the criteria we established?” “Does it meet the needs of both parties?” E.g., we want transportation for supervisory activities - we could establish criteria such it must be comfortable, safe, and within the budget limits 52

53. Options - generate alternatives before deciding on action Negotiation is not about minimizing the differences or convincing others It is about finding a way that satisfies the negotiators and creates value. Successful negotiations are those who explore a number of possible options That is why the process must be creative, resolving problems and reaching agreements for mutual gain instead of imposing wills The first solution the parties come up with that is acceptable to both isn’t necessarily the best. The more options we invent, the greater the possibility that one or more will reconcile the parties’ conflicting interests efficiently. After multiple options have been generated, begin to evaluate potential solutions 53

54. The Seven pillars of negotiation wisdom Seven elements of the negotiation process need to be considered both before a negotiation (as you prepare) and during negotiations The Seven Pillars are: Relationship Interests BATNA Creativity Fairness Commitment Communication 54