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Workplace Conflict Resolution

Student’s Name

Institutional Affiliation

Course Code and Name

Professor’s Name

Due Date
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Workplace Conflict Resolution

Introduction

Conflict is and has always been a component of human enterprise (Kirstie, 2013).

Workplace conflict is caused due to the actual or perceived conflicts which involve needs,

values, and interests among coworkers ("Karthikeyan, 2017). Conflict management has a

significant influence on the performance of employees. Conflict resolution strategies moderate

the link between task conflict and performance ("Nino, 2021). Workplace conflict leads to work

disruptions, decreased productivity, project failure, absence, and workers' termination. Hence,

workplace conflict resolution is necessary. The resolution of conflict at the workplace enhances

the performance of the worker and creates an effective relationship between workers and

management. Workplace conflict resolution assists in generating new ideas, addressing ongoing

problems, allows individuals and teams to broaden their talents, and stimulates creativity. The

report aims to evaluate the reasons for conflicts, find out the approaches to resolving the

conflicts, and the association between conflict resolution with the organizational performance

between the ColdFusion HR Manager Alex and Union Official Taylor. The report's structure will

present an introduction about the report, which will cover the aim, structure, and critical points

discussed, and the body of the report, which will present the conflict analysis, resolution methods

used to resolve conflicts, and conclusion derived from the findings.

The report will discuss the conflict raised between ColdFusion and its employee's union,

the General Workers, to introduce a productivity reward scheme. The report will highlight the

three issues faced by the management of the company is introducing a reward scheme, including

the size of the reward, reward period, and distribution of reward. The report will also highlight

the concerns of the employees regarding the reward scheme. Additionally, the report will provide
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a role and plan and the application of the negotiation process considering the cost and benefits to

both parties. The report will also present an alternative approach to the resolution process to offer

a more satisfactory outcome that will benefit both parties.

Causes of conflict in the Organization

Conflicts arise in any organization. They can begin with just a simple difference and if

not properly managed often escalate into arguments that can impede performance in teams and

the organization at large. Even though conflicts are very common, there are effective resolution

measures that can be used to end them (Gatlin, et.al, 2002). It may not be possible to avoid all

conflicts completely but it is critical to understand common causes of conflicts at the workplace

in order to stifle them earlier. Resistance to change is one factor that causes conflicts at the work

place

Individuals remain stuck in their habits because they easy and familiar to them. With

change comes fear of the unknown which many people are not willing to embrace. Change can

be very stressful and usually results in conflicts between management and other team members.

It is useful to remember that some workers will naturally undergo denial, confusion, anger on

their way to embrace change (Ellis & Abbott, 2020). It is also common for individual reaction to

resist the unknown. It is also not uncommon for this kind of resistance to turn to hostility. When

these points are taken into consideration, the change process will result in a healthier and easier

transition in the organization.

Unclear Job Expectations

Usually, a job description that has an indication of various responsibilities mostly comes

with new positions. It is more complex for members of the team to be top performers when they

do not have proper coaching and training. Each position in the organization has a learning curve
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attached to it that plays a role in the future success of the organization and the workers at large.

Many employees stay at their jobs fro along period trying to second guess what the expectations

of their managers are (Ellis & Abbott, 2020). Some of them even move on or quit. If employees

are not sure of the way they need to perform, they may lose confidence and most of the time and

become defensive.

Poor Communication

Communication is a critical issue at the workplace. Each person thinks he/she is a greater

communicator and yet so many conflicts arise because of bad communication. Conflict also

happen because of personality differences. Any workplace unites individuals with diverse

background experiences, preferences, temperaments, among others. As a result of this, it is

expected that not everyone will get along with the other (Darmawan & Azizah, 2020). Even

though it is not that important for employees to be friends, there is a level of mutual respect that

should be directed towards each other for a healthy working environment.

It is the responsibility of the manager to set the correct tone so that there can be a

harmonious environment within team members. For instance, the managers must not be biased

so that every issue can be tackled in a fair manner. Poor working environments can also result in

conflict at the work place (Darmawan & Azizah, 2020). A lot of habits that employees

demonstrate at the workplace are usually harmless and even helpful for their own work

performance and growth. Nevertheless, there are certain habits at the workplace that can affect

team members, cause irritation, and ignite conflict.

Three issues faced by the company in introducing a reward scheme

The company is also faced with three issues when introducing the reward scheme to the

employees. The three issues are the size of the reward, reward period, and distribution of reward.
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Size of the Reward

There is an old adage that you cannot reward what you cannot measure. The best key

when it comes to rewarding schemes or compensation is realizing what to measure. These can

differ from one organization to the other organization. Attracting and retaining high caliber staff

cannot just be done through the size of the reward. Other aspects may include, career

development, recognition, among others. The reward structure indisputably affects the

effectiveness of the workforce (Lee & Ahn, 2007). If the rewards in the organization are not

equitable, appropriate or competitive, it will damage the value proposition of that firm.

Additionally, the size of the organization and the amount of profit they obtain matters when it

comes to the size of rewards. Wealthy companies are in a better position to offer good bonuses to

their employees when compared to small firms.

Reward period

It is a common practice in many organizations to ensure that their workforces are

properly remunerated. When workers are recognized and shown appreciation, they will

increasingly be highly satisfied with the firm which in turn enhances their retention capacity and

increase their loyalty. The perfect moment to reward or recognize workers is when they are

performing something great in the organization (Lee & Ahn, 2007). When employees see that

their managers are rewarding or recognizing them for good work, they put in extra effort to

increase the productivity of the organization. Additionally, the best practices regarding human

resources have established that to create a positive culture in the company and promote

satisfaction and positivity, it is important to continuously show gratitude to workers and make

them feel valued or an important asset to the organization. Thus, workers should be rewarded at

any time when they achieve something good in the organization.

Reward Distribution

Rewards in the organization may be distributed basing on power, need, equality, or

distributive justice. The later rests on the principle of allocating rewards in proportion to workers

contributions. Intrinsic bonuses or rewards signify those outcomes which are administered by the

worker. They include such things as sense of accomplishing task while extrinsic rewards are

administered by other such as wages. Incentive plans that are gain-sharing base some workers

pay on organization profits or level of production (Lee & Ahn, 2007). Because of this, workers

are usually more interested in making possible the performance of the firm. Incentives that are

based on skills reward workers on the basis of their skills and knowledge they possess and not

the skills they are allowed to have or employ at work. As a result, workers are encouraged to

consistently upgrade their levels of skills. A huge increase or rise in wages provides workers

with their pay increases at one time. Also, participative decisions regarding reward scheme allow

workers some input to determine their pay rise or bonus schemes.

Concerns of the workers regarding the reward scheme

In this reward scheme, employees are concerned about biased favoritism. Favoritism

exists in many organizations. The harmful effects of favoritism on efficiency and productivity

levels have been widely acknowledged just like in this case where Alex is negotiating with

Taylor. Taylor is concerned that there shall be biased favoritism regarding this reward scheme to

employees. The union is opposed to the fact that measuring the performance of the individual by

managers can result to some kind of bias on the part of some managers when they are

determining their pay (De Waal & Jansen, 2013). This can raise the issue of biases because some

managers can reward their favorite or preferred workers and leave other productive ones.

Additionally, the union also fears that if different elements of pay are based depending on
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individual performance, then, over time, all the workers’ pay will be performance-based a thing

that is not acceptable. One simple factor is that some employers or managers could have intrinsic

preference over other employees. This way, they can derive utility from biasness. Even though

the altruistic aim for favoritism may be relevant in various firms where the appraiser or the

supervisor is not the residual claimant, it does not harm when the employer or the manager is the

residual claimant of the firm that endeavors at take advantage of its own benefits.

Another concern that the union has is that the performance reports of the employees will

go through the hands of the managers a thing they do not want. They believe that the reports can

be biased thus additionally affecting the productivity of good performers and will also

demotivate the employees in the long run (De Waal & Jansen, 2013). The other concern that the

employees have is that the reward scheme should be based on the overall performance of the

company by basing on the profit margin that the company has made. This must be done at the

end of each financial year. The employees require that the reward schemes should not be

individual but they should be taken into consideration as a whole.

An alternative approach to Resolution Process

Once an efficient system has been established for evaluating and monitoring the

performance of employees, the rewards should be tied to the organizational goals. Alternatively,

it is important for the two groups to use or take surveys. Surveys are a good way for team

members to provide specific and detailed feedback on areas of rewards and other ideas. Alex and

Taylor can use surveys so that they can get detailed information regarding what everyone thinks.

The other alternative action that Alex and Taylor can do is design or implements another

reasonable system (Katz & Flynn, 2013). A good reward system or program involves proper
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understanding of facts. They should choose the kind of rewards that motivate and keep workers

while staying within their budgets.

Ideally, the system that they both choose must be long-term and must also contain

rewards for meeting milestones. They will also need to take into consideration whether they will

like to provide individuals or group rewards or both. When establishing the program, they must

ensure that they set attainable objectives and that their rewards are appealing to employees so

that they can remain motivated (Katz & Flynn, 2013). They must ensure they have an approved

budget so that they regularly reward employees when they exceed the expectations.

Another course of action that the two factions can take is to inform both team members

and ask for feedback. The new rewards system must be informed to the workers. Additionally,

they must detail the time for implementing the reward system and different milestones that the

workers must meet to earn rewards (Katz & Flynn, 2013). After this system has been designed,

they can ask for feedback regarding the rewards and also the program as it exists so that they can

make any important or needed changes.

PART B-REFLECTION

The conflict between the two factions is about the award of a reward scheme in the

company. One faction Alex who is the HR and Taylor who represents the Union Official are in a

discussion towards which is the best way to introduce a reward scheme in the organization. The

two are discussing about the best way that the reward scheme can satisfy both the company and

the workers. There are many factors that the two parties must consider before introducing a

reward scheme in the organization (Lim & Yazdanifard, 2012). A comprehensive or efficient

reward scheme is critical in any company so that it can keep both teams satisfied and stay
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motivated. A reward scheme is one of the most important tool when it comes to strengthening

organizational values and then changing them into employee activities at the workplace.

A reward scheme that is more streamlines helps the organization to acknowledge the

importance of establishing goals for team members and thereby promote productivity and boost

the bottom line. Be it financial or non-financial, extrinsic or intrinsic, there is no reward that is

perfect. Different workers value different reward systems depending on their goals and interests.

Therefore, it is important that managers carefully asses the objectives regarding their reward

systems and devise it in a manner that drives optimum motivation for both sides (Lim &

Yazdanifard, 2012). A good reward scheme must be designed in a way that fit well with other

design factors of the organization and also the business strategy. Therefore, there is no proper set

of reward practice.

Alex is rooting for a productivity reward scheme. Productivity pay assists the employee

and the organization to perform better according to numerous studies. Close to 70 percent of

workers said that their organizations provide these kinds of reward schemes to link individual

objectives to business objectives. 60 percent of the respondents observed that productivity

reward scheme is a reward that is directed towards superior performers. 50 percent of the

respondents said that incentive pay can be used to boost employee’s salaries, enhance

productivity, and help to retain well (Lim & Yazdanifard, 2012). Thus, the scheme advocated by

Alex towards the employees is of importance to both the firm and the employees. Employers

who need to enhance their overall performance or profit margins can offer gain-sharing reward

schemes, a bonus program that employees are rewarded for implementing and determining ways

of saving the company money which is consistent with the goals of the business. There is a lot of

productivity to be gained by motivating employees in a positive manner.

The other contentious issue between the two factions Alex and Taylor is whether bonuses

should be paid to the employees either on yearly or quarterly basis. One problem regarding

annual bonuses is that by the time it is paid to the employees, they would have lost sight of a lot

that was accomplished throughout the year. The result regarding this is that bonus is in general

based upon productivity or performance of the employee for the latter part of that year and not

the whole period of evaluation. Usually, there will be big achievements which are not recognized

since they were completed earlier during the year (Lim & Yazdanifard, 2012). These kinds of

inadequacies decrease the motivational effect of the bonus for the earlier part of the year.

Additionally, annual bonuses do not augur well with the rapidly changing world where everyone

works. The contemporary environment necessitates the desire for business and other linked

priorities and goals to significantly change during the course of a typical year. The intolerant

standard for bonus criteria is usually exacerbated through the fact that it very common for

workers to have different managers during the course of the year.

The annual bonus therefore does a poor job of acknowledging the importance of priorities

earlier in the year. In the long run, it will be better for employees to be awarded quarterly

bonuses as suggested by Taylor. Every worker should get an equal and fair opportunity to

perform their best. Additionally, there should not be any biases or favoritism played by the

managers who will monitor the production workers productivity (Lim & Yazdanifard, 2012).

The reports of every worker should be cross verified and available so the workers can see them

as well. This will create transparency and trust between the management and the production

workers. The company should provide the rewards based on the overall production quarterly. So,

the quarterly rewards could play the role of constant motivation for the workers. In addition, the

rewards should be according to the choice of the workers.

Conclusions

While the intention of the discussion is to focus on the conflicts, the general purpose of

compromise is to show up at an understanding. All discussions to the contention ought to leave

the gathering feeling good as opposed to pessimistic. They must begin by figuring out some

mutual interest. There will without a doubt be occurrences where the two conflicting parties can

agree on an issue or can connect with one another's perspective. Assuming the conflict is on the

means, the two gatherings could settle on the end. By empowering the clashing gatherings to

search for shared view, they will be empowering them to build relationship, rather than

obliterating it. That assists them with building trust and science, which at last further develops

how well they work with one another. Therefore, this report has explained the reasons for

conflict at the workplace, resolution methods to resolve conflict, and has also discussed the

conflict raised between ColdFusion and its employee union. Additionally, the report has

discussed among other things the concerns of the workers regarding the reward scheme and the

three issues faced by the company. Lastly, the report aimed at presenting an alternative approach

to the resolution process to provide a more satisfactory outcome that can benefit both parties.

Observation Sheet

Topic HR Alex Remarks

Could explain Fair explanation of Very good Good negotiators

concepts and theories the theories and explanation of the

that underpin the concept concepts

negotiation process

Could apply conflict Performed better Good at identifying Both have good

resolution skills to the and has good the problem and resolution skills to
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resolution of work resolution skills finding answers find workplace

place problems problems

Could critically Fairly did well at Performed better The HR manager

evaluate a dispute evaluating a dispute when evaluating a needs improvement

settlement process

Could identify Able to identify Could not properly Need to improve on

opportunities to opportunities in identify opportunities identifying

improve the process place in place opportunities

Participated as an Participated well Participated well with They both understand

effective team with team members team members the importance of

member participation

References
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Darmawan, A. H., & Azizah, S. (2020, January). Resistance to change: Causes and strategies as

an organizational challenge. In 5th ASEAN Conference on Psychology, Counselling, and

Humanities (ACPCH 2019) (pp. 49-53). Atlantis Press.

De Waal, A., & Jansen, P. (2013, April). The bonus as hygiene factor: the role of reward systems

in the high performance organization. In Evidence-Based HRM: A Global Forum for

Empirical Scholarship. Emerald Group Publishing Limited.

Ellis, P., & Abbott, J. (2020). Managing conflict in the workplace: reducing and managing

it. Journal of Kidney Care, 5(3), 140-143.

Gatlin, J., Wysocki, A., & Kepner, K. (2002). Understanding Conflict in the Workplace:

HR024/HR024, 7/2002. EDIS, 2002(2).

Katz, N. H., & Flynn, L. T. (2013). Understanding conflict management systems and strategies

in the workplace: A pilot study. Conflict Resolution Quarterly, 30(4), 393-410.

Lee, D. J., & Ahn, J. H. (2007). Reward systems for intra-organizational knowledge

sharing. European Journal of Operational Research, 180(2), 938-956.

Lim, J. H., & Yazdanifard, R. (2012). The difference of conflict management styles and conflict

resolution in workplace. Business & Entrepreneurship Journal, 1(1).

Masters, M. F., & Albright, R. R. (2002). The complete guide to conflict resolution in the

workplace. Amacom Books.

References