Conflict resolution for business

If the company exists, there are no conflicts inside it. Really?

I recently heard a business owner confidently say, "My company works, so there are no conflicts inside of it," which is a now-largely forgotten but stereotype-inducing phrase. For me as a business negotiation and conflict resolution expert, knowing that the two parts of such a sentence are not necessarily written with an equal sign, this statement once again served as proof that it is finally time to write my thoughts on a deep-rooted stereotype at the managerial level, namely that a company is an organisation that is able to exist because it is free of internal conflicts and disagreements.

Is it possible to have a fully harmonious and conflict-free environment in a company?

The claim that there are no conflicts within the company is far from the truth. I see it from my professional experience every day. Conflicts and the potential for conflict are inherent in any organisation. Moreover, we have come to associate them with a negative process and an undesirable end result for those involved and for the company as a whole. However, I would ask you to look at conflict as a natural and integral part of the processes that take place in an organisation, which is not a sign of failure of any kind but a natural by-product of human interaction and evidence of the different objectives and interests that exist.

This diversity can come from a variety of sources: differences of opinion, power games, competition for resources, competition for recognition, inconsistent personalities, organisational growth and associated turnover, or built-in conflict.

Such skilfully managed and resolved conflicts could be seen as an opportunity for growth and change, rather than a threat to its existence.

So why is this opportunity for growth and change carefully denied by claiming that conflict does not exist in the company? Is it the fear of losing the image of the company because we often perceive the existence of conflict as destructive?

I asked you on LinkedIn for your opinion on which of the company's performance results you most relate to the topic of conflict and discord. This is the result of the survey:

The answers given show that the denial of the existence of conflict can be even more destructive than the question of image. But why so?

Because unresolved conflicts within a company sooner or later lead to a decline in company values, reduced productivity, frequent employee turnover, and a decline in creativity and innovation.

One in seven respondents points to a threat to their company's reputation. More than half of respondents explicitly point to a drop in productivity, while only a quarter see opportunities for growth and innovation as a primary concern. I would like to add that these results should not be considered scientifically proven but as an indicative example of the "glass is half empty" or "glass is half full" thinking paradigm and the consequent actions of company management in conflict situations— to deny the existence of conflicts or to acknowledge their existence, to recognise them, and to manage them wisely in order to enable new and often innovative solutions to flourish in the company.

Of course, there are no right or wrong answers here. This is a possible indication of what we see as the options and management actions for a company at the time of the conflict. It is hard to deny that a more sustainable path would be one of new solutions and opportunities for innovation, which would result in increased productivity.

I therefore encourage you to learn to recognise conflicts in your company and work with them in a targeted way to turn them to your company's advantage. Don't be afraid to engage mediation and negotiation professionals to help you not only identify conflicts that have already arisen but also identify conflicts that are likely to arise.

One of the methods I have developed and based on my professional experience is a 360-degree self-assessment questionnaire, which allows employees to assess their communication skills, conflict resolution knowledge and their own personal resilience in times of conflict. Go to the training page to explore more.

2023-12-04 00:00