MODULE 3

MOTIVATION
Motivation
Motivation is an internal feeling, that is, it defines the psychological state of a person. It is a
continuous process and we should make sure that it is not disturbed. A person should be
encouraged completely.
Features of Motivation
 Needs − The requirements or deficiency which is created whenever there is physiological
imbalance.
 Drives − The various camps or events organized to motivate the employees and give them
new opportunities.
 Incentives − Employees need to be rewarded for their nice work in order to keep them
encouraged.

Importance of Motivation

We need to motivate employees because of the following reasons −

 Motivated employee are more quality oriented.

 Highly motivated employees are more productive as compared to other employees.
 It helps in achieving three behavior dimension of human resource namely
o Candidates must be attracted not only to join but also remain in the firm.
o Employees must perform task in a dependable manner.
o Employees should be creative, spontaneous and innovative at work.

Theories of Motivation
Abraham Maslow is well renowned for proposing the Hierarchy of Needs Theory in 1943. This
theory is a classical depiction of human motivation. This theory is based on the assumption that
there is a hierarchy of five needs within each individual. The urgency of these needs varies. These
five needs are as follows-
1. Physiological needs- These are the basic needs of air, water, food, clothing and shelter. In other
words, physiological needs are the needs for basic amenities of life.
2. Safety needs- Safety needs include physical, environmental and emotional safety and protection.
For instance- Job security, financial security, protection from animals, family security, health
security, etc.
3. Social needs- Social needs include the need for love, affection, care, belongingness, and
friendship.
 4. Esteem needs- Esteem needs are of two types: internal esteem needs (self- respect, confidence,
competence, achievement and freedom) and external esteem needs (recognition, power, status,
attention and admiration).
5. Self-actualization need- This include the urge to become what you are capable of becoming /
what you have the potential to become. It includes the need for growth and self-contentment. It
also includes desire for gaining more knowledge, social- service, creativity and being aesthetic.
The self- actualization needs are never fully satiable. As an individual grows psychologically,
opportunities keep cropping up to continue growing.

According to Maslow, individuals are motivated by unsatisfied needs. As each of these needs is
significantly satisfied, it drives and forces the next need to emerge. Maslow grouped the five needs into
two categories - Higher-order needs and Lower-order needs. The physiological and the safety needs
constituted the lower-order needs. These lower-order needs are mainly satisfied externally. The social,
esteem, and self-actualization needs constituted the higher-order needs. These higher-order needs are
generally satisfied internally, i.e., within an individual. Thus, we can conclude that during boom period, the
employees lower-order needs are significantly met.

Implications of Maslow’s Hierarchy of Needs Theory for Managers

As far as the physiological needs are concerned, the managers should give employees appropriate
salaries to purchase the basic necessities of life. Breaks and eating opportunities should be given
to employees.

As far as the safety needs are concerned, the managers should provide the employees job security,
safe and hygienic work environment, and retirement benefits so as to retain them.

As far as social needs are concerned, the management should encourage teamwork and organize
social events.

As far as esteem needs are concerned, the managers can appreciate and reward employees on
accomplishing and exceeding their targets. The management can give the deserved employee
higher job rank / position in the organization.

As far as self-actualization needs are concerned, the managers can give the employees
challenging jobs in which the employees’ skills and competencies are fully utilized. Moreover,
growth opportunities can be given to them so that they can reach the peak.

The managers must identify the need level at which the employee is existing and then those needs can be
utilized as push for motivation.
Limitations of Maslow’s Theory

 It is essential to note that not all employees are governed by same set of needs. Different
individuals may be driven by different needs at same point of time. It is always the most
powerful unsatisfied need that motivates an individual.
 The theory is not empirically supported.
  The theory is not applicable in case of starving artist as even if the artist’s basic needs are
not satisfied, he will still strive for recognition and achievement.

Herzberg's Two-Factor Theory

The Herzburg two-factor theory, also known as the Herzburg's Hygiene Theory, posits that job
satisfaction and dissatisfaction are not opposites. The research underpinning this theory
identifies characteristics of jobs that related to job satisfaction - while a different set of job factors
lead to dissatisfaction. Thus, eliminating dissatisfaction will not necessarily create satisfaction
and vice versa.

The conclusion was that to remove dissatisfaction, the manager must identify and remove the
factors causing it. To improve satisfaction, you must add those desired factors. Though, this can
only be effective after removing aspects of dissatisfaction.

Frederick Herzberg proposed the two-factor theory based upon what employment
characteristics satisfy employees. He was able to conclude that satisfying and dissatisfying
characteristics are different.

 Hygiene Factors - Dissatisfying factors are labeled as hygiene factors - as they are part of
the context in which the job was performed (rather than functions of the job itself).
Common hygiene factors include: work conditions, company policies, supervisions,
salary, safety, and security.
 Motivators - Satisfying factors were labeled as motivators. Motivators, in contrast to
hygiene factors, are factors are intrinsic to the job. Common hygiene factors include:
 personal recognition, achievement, engaging work, meaningful responsibilities, career
advancement, and personal growth opportunities.

Herzberg's research found that motivators were far more effective in motivating employee
productivity.

This theory provided a way to motivate through improved work conditions - which lead to a
burgeoning of job enrichment programs.

These programs contained higher numbers of motivators.

The primary criticisms of this approach concern the definition of job satisfaction.

Also, there are issues in the ability to differentiate hygienes from motivators.

In some instances, variations of a factor could be each.

Also, it fails to address the quality of the relationship between management and subordinates.

In any event, the theory is foundational in modern leadership and management education and
practice.

Theory X and Theory Y

In 1960, Douglas McGregor formulated Theory X and Theory Y suggesting two aspects of human
behaviour at work, or in other words, two different views of individuals (employees):

1. one of which is negative, called as Theory X and

2. the other is positive, so called as Theory Y

According to McGregor, the perception of managers on the nature of individuals is based on

various assumptions.

Assumptions of Theory X

 An average employee intrinsically does not like work and tries to escape it whenever
possible.
 Since the employee does not want to work, he must be persuaded, compelled, or
warned with punishment so as to achieve organizational goals. A close supervision is
required on part of managers. The managers adopt a more dictatorial style.
 Many employees rank job security on top, and they have little or no aspiration/
ambition.
 Employees generally dislike responsibilities.
 Employees resist change.
 An average employee needs formal direction.
Assumptions of Theory Y

 Employees can perceive their job as relaxing and normal. They exercise their physical
and mental efforts in an inherent manner in their jobs.
 Employees may not require only threat, external control and coercion to work, but they
can use self-direction and self-control if they are dedicated and sincere to achieve the
organizational objectives.
 If the job is rewarding and satisfying, then it will result in employees’ loyalty and
commitment to organization.
 An average employee can learn to admit and recognize the responsibility. In fact, he can
even learn to obtain responsibility.
 The employees have skills and capabilities. Their logical capabilities should be fully
utilized. In other words, the creativity, resourcefulness and innovative potentiality of the
employees can be utilized to solve organizational problems.

Thus, we can say that Theory X presents a pessimistic view of employees’ nature and behaviour
at work, while Theory Y presents an optimistic view of the employees’ nature and behaviour at
work. If correlate it with Maslow’s theory, we can say that Theory X is based on the assumption
that the employees emphasize on the physiological needs and the safety needs; while Theory X
is based on the assumption that the social needs, esteem needs and the self-actualization
needs dominate the employees.

McGregor views Theory Y to be more valid and reasonable than Theory X. Thus, he
encouraged cordial team relations, responsible and stimulating jobs, and participation of all in
decision-making process.

Implications of Theory X and Theory Y

 Quite a few organizations use Theory X today. Theory X encourages use of tight control
and supervision. It implies that employees are reluctant to organizational changes. Thus,
it does not encourage innovation.
 Many organizations are using Theory Y techniques. Theory Y implies that the managers
should create and encourage a work environment which provides opportunities to
employees to take initiative and self-direction. Employees should be given opportunities
to contribute to organizational well-being.

Theory Y encourages decentralization of authority, teamwork and participative decision

making in an organization. Theory Y searches and discovers the ways in which an
employee can make significant contributions in an organization. It harmonizes and
matches employees’ needs and aspirations with organizational needs and aspirations.
Theory Z
Theory Z is used in organizations for development of organizational communication, manage
organizational behavior and for human resource management, and the theory focuses on team
work & group decision making. This theory has been named and developed by scientists – Dr.
William Ouchi, Abraham H. Maslow and W.J. Reddin in their own ways. The most used among
these is Dr William Ouchi’s Z theory. This theory also focuses upon increasing productivity as
Douglas McGregor’s Theory X and Theory Y but in a quite different way.
Willaim Ouchi’s Theory Z is based upon Japanese management system which focuses upon team
work, group decision making, cohesive environment and American management system which
focuses upon autonomy, no micro management and risk taking. It is based upon the fact that if
employees are motivated and satisfied and they feel that the company provides job security, they
will be highly Productive.
Features of Theory Z:
Developing mutual trust: Development of mutual trust creates a feeling of belongingness
among the employees. They align their individual goals to the goals of the company. Achieving
company’s objective becomes a mutual efforts work.
Participative Management: This practice works for the empowerment of employees as well as
it brings out more creative solutions on the table by involving employees in decision making.
However, the managers have to keep their ego aside and have to be open to all kind of
solutions by eradicating the fear of being ridiculed among the employees.
Self-Directed Work Team (SDWT): These are teams of employees with diverse talent who work
towards a common goal without being supervised by a manager. The goal provides direction
and mobilize behavior of the team members. Feedback about goal attainment sustains
behavior.
Goal Commitment: To attain the company’s goals it is necessary that the employees have
commitment towards the goals.

Equity Theory of Motivation

The core of the equity theory is the principle of balance or equity. As per this motivation theory,
an individual’s motivation level is correlated to his perception of equity, fairness and justice
practiced by the management. Higher is individual’s perception of fairness, greater is the
motivation level and vice versa. While evaluating fairness, employee compares the job input (in
terms of contribution) to outcome (in terms of compensation) and also compares the same with
that of another peer of equal cadre/category. D/I ratio (output-input ratio) is used to make such
a comparison.
Ratio Perception
Comparison

O/I a < O/I b Under-rewarded (Equity

Tension)

O/I a = O/I b Equity

O/I a > O/I b Over-rewarded (Equity

Tension)

Negative Tension state: Equity is perceived when this ratio is equal. While if this ratio is unequal,
it leads to “equity tension”. J.Stacy Adams called this a negative tension state which motivates
him to do something right to relieve this tension. A comparison has been made between 2
workers A and B to understand this point.

Referents: The four comparisons an employee can make have been termed as “referents”
according to Goodman. The referent chosen is a significant variable in equity theory. These
referents are as follows:

Self-inside: An employee’s experience in a different position inside his present

organization.

Self-outside: An employee’s experience in a situation outside the present organization.

Other-inside: Another employee or group of employees inside the employee’s present

organization.

Other-outside: Another employee or employees outside the employee’s present

organization.

An employee might compare himself with his peer within the present job in the current
organization or with his friend/peer working in some other organization or with the past jobs
held by him with others. An employee’s choice of the referent will be influenced by the appeal
of the referent and the employee’s knowledge about the referent.

Moderating Variables: The gender, salary, education and the experience level are moderating
variables. Individuals with greater and higher education are more informed. Thus, they are likely
to compare themselves with the outsiders. Males and females prefer same sex comparison. It
has been observed that females are paid typically less than males in comparable jobs and have
less salary expectations than male for the same work. Thus, a women employee that uses another
women employee as a referent tends to lead to a lower comparative standard. Employees with
greater experience know their organization very well and compare themselves with their own
colleagues, while employees with less experience rely on their personal experiences and
knowledge for making comparisons.

Choices: The employees who perceive inequity and are under negative tension can make the
following choices:

Change in input (e.g. Don’t overexert)

Change their outcome (Produce quantity output and increasing earning by sacrificing
quality when piece rate incentive system exist)

Choose a different referent

Quit the job

Change self perception (For instance - I know that I’ve performed better and harder than
everyone else.)

Change perception of others (For instance - Jack’s job is not as desirable as I earlier
thought it was.)

Assumptions of the Equity Theory

 The theory demonstrates that the individuals are concerned both with their own rewards
and also with what others get in their comparison.
 Employees expect a fair and equitable return for their contribution to their jobs.
 Employees decide what their equitable return should be after comparing their inputs and
outcomes with those of their colleagues.
 Employees who perceive themselves as being in an inequitable scenario will attempt to
reduce the inequity either by distorting inputs and/or outcomes psychologically, by
directly altering inputs and/or outputs, or by quitting the organization.

McClelland’s Theory of Needs

David McClelland and his associates proposed McClelland’s theory of Needs/Achievement Motivation
Theory.

This theory states that human behaviour is affected by three needs:

 1. Need for Power,
2. Need for Achievement, and
3. Need for Affiliation

Need for achievement is the urge to excel, to accomplish in relation to a set of standards, to
struggle to achieve success.

Need for power is the desire to influence other individual’s behaviour as per your wish. In other
words, it is the desire to have control over others and to be influential.

Need for affiliation is a need for open and sociable interpersonal relationships. In other words, it
is a desire for relationship based on co-operation and mutual understanding.

ERG Theory of Motivation

To bring Maslow’s need hierarchy theory of motivation in synchronization with empirical
research, Clayton Alderfer redefined it in his own terms. His rework is called as ERG theory of
motivation. He recategorized Maslow’s hierarchy of needs into three simpler and broader
classes of needs:

 Existence needs- These include need for basic material necessities. In short, it includes
an individual’s physiological and physical safety needs.
 Relatedness needs- These include the aspiration individual’s have for maintaining
significant interpersonal relationships (be it with family, peers or superiors), getting
public fame and recognition. Maslow’s social needs and external component of esteem
needs fall under this class of need.
 Growth needs- These include need for self-development and personal growth and
advancement. Maslow’s self-actualization needs and intrinsic component of esteem

needs fall under this category of need.

Implications of the ERG Theory

Managers must understand that an employee has various needs that must be satisfied at the
same time. According to the ERG theory, if the manager concentrates solely on one need at a
time, this will not effectively motivate the employee. Also, the frustration-regression aspect of
ERG Theory has an added effect on workplace motivation.

For instance- if an employee is not provided with growth and advancement opportunities in an
organization, he might revert to the relatedness need such as socializing needs and to meet those
socializing needs, if the environment or circumstances do not permit, he might revert to the need
for money to fulfill those socializing needs. The sooner the manager realizes and discovers this,
the more immediate steps they will take to fulfill those needs which are frustrated until such time
that the employee can again pursue growth.
Expectancy Theory of Motivation
The expectancy theory was proposed by Victor Vroom of Yale School of Management in 1964.
Vroom stresses and focuses on outcomes, and not on needs unlike Maslow and Herzberg.

The theory states that the intensity of a tendency to perform in a particular manner is
dependent on the intensity of an expectation that the performance will be followed by a
definite outcome and on the appeal of the outcome to the individual.

The Expectancy theory states that employee’s motivation is an outcome of:

1. how much an individual wants a reward (Valence),

2. the assessment that the likelihood that the effort will lead to expected performance
(Expectancy) and
3. the belief that the performance will lead to reward (Instrumentality).

1. In short, Valence is the significance associated by an individual about the expected

outcome. It is an expected and not the actual satisfaction that an employee expects to
receive after achieving the goals.
2. Expectancy is the faith that better efforts will result in better performance. Expectancy
is influenced by factors such as possession of appropriate skills for performing the job,
availability of right resources, availability of crucial information and getting the required
support for completing the job.
3. Instrumentality is the faith that if you perform well, then a valid outcome will be there.
Instrumentality is affected by factors such as believe in the people who decide who
receives what outcome, the simplicity of the process deciding who gets what outcome,
and clarity of relationship between performance and outcomes.

Thus, the expectancy theory concentrates on the following three relationships:

 Effort-performance relationship: What is the likelihood that the individual’s effort be

recognized in his performance appraisal?
 Performance-reward relationship: It talks about the extent to which the employee
believes that getting a good performance appraisal leads to organizational rewards.
 Rewards-personal goals relationship: It is all about the attractiveness or appeal of the
potential reward to the individual.

Vroom was of view that employees consciously decide whether to perform or not at the job.
This decision solely depended on the employee’s motivation level which in turn depends on

three factors of expectancy, valence and instrumentality.

 Advantages of the Expectancy Theory

 It is based on self-interest individual who want to achieve maximum satisfaction and who
wants to minimize dissatisfaction.
 This theory stresses upon the expectations and perception; what is real and actual is
immaterial.
 It emphasizes on rewards or pay-offs.
 It focuses on psychological extravagance where final objective of individual is to attain
maximum pleasure and least pain.

Limitations of the Expectancy Theory

 The expectancy theory seems to be idealistic because quite a few individuals perceive
high degree correlation between performance and rewards.
 The application of this theory is limited as reward is not directly correlated with
performance in many organizations. It is related to other parameters also such as
position, effort, responsibility, education, etc.

Implications of the Expectancy Theory

 The managers can correlate the preferred outcomes to the aimed performance levels.
 The managers must ensure that the employees can achieve the aimed performance
levels.
 The deserving employees must be rewarded for their exceptional performance.
 The reward system must be fair and just in an organization.
 Organizations must design interesting, dynamic and challenging jobs.
 The employee’s motivation level should be continually assessed through various
techniques such as questionnaire, personal interviews, etc.

GROUP

A Group is basically an assemblage of people. It can be understood as a collection of individuals

(two or more), who come together and interact with each other, so as to achieve the objectives
of the organization. These are the foundation of an organization.

Characteristics of Groups

 Size: To form a group, it must be having at least two members. Practically, the number of group
members ranges from 15 to 20. The more the members in the group, the more complex it is to
manage.
 Goals: Every group has certain goals, that are the reasons for its existence.
 Norms: A group has certain rules, for interacting with the group members.
 Structure: It has a structure, based on the roles and positions held by the members.
 Roles: Every member of a group has certain roles and responsibilities, which are assigned, by
the group leader.
 Interaction: The interaction between the group members can occur in several ways, i.e. face to
face, telephonic, in writing or in any other manner.
 Collective Identity: A group is an aggregation of individuals, which are separately called as
members, and collectively called as a group.

Factors Affecting Group behavior

1. Formal leadership: Almost every work group has a formal leader. The common titles of those
leaders are superior, foreman, project leader, department manager, general manager,
chainman or managing director etc. These leaders can play an important role in group’s
success. They are also liable for the failure of group.
2. Roles: The world is a stage and all men and women are merely players. All group members are
actors; they are playing different types of roles. A role is an expected behavior in a given
position in a social unit. Different groups impose different roles on different individual. We
can have different concepts about role in a group.
1. Role identity: there are certain attitudes and behaviors consistent with a role. This is called
role identity.
2. Role perception: Group’s members need role perception. Role perception in an individual’s
view of how he or she is supposed to act in a given situation.
3. Role expectations: Role expectations are defined as how others behave the one should act
in a given situation.
4. Role conflict: Role conflict is a situation in which an individual is confronted by divergent
role expectation.
3. Norms: All groups have some establish norms. Norms refer to the acceptable standards of
behaviors that are shared by the group’s members. Formalized norms are written up in
organizational manuals, and all the people in an organization are bound to follow that rules
and regulations. But the majority of norms in organizations are informal.
4. Group status: Status may be defined as a social rank or position given in a group by others.
We live in a class structured society. Status is important for group members.
5. Group size: The size of a group affects the group’s overall performance or behavior. Small
groups are faster at completing task than are larger ones. If the group is encouraged in
problem solving, large groups are perfect to small group. So if the goal of hand, smaller group
is better in achieving productivity.
6. Composition of the group: Since group is association of different types of people with variety
of skills and knowledge. When a group is heterogeneous rather than homogeneous in terms
of age, gender, race, educational background, personalities, opinions, abilities skills and
knowledge, it can be effective to complete a work.
7. Group cohesiveness: The degree in which members are attracted to each other and are
motivated to stay in the group are called group cohesiveness. Group behavior are significantly
 affected by group are cohesiveness. The following suggestions can increase group
cohesiveness:

Reasons for group Formation

 Personal Characteristics: Individuals with similar beliefs, attitudes and values are more likely to
form groups.
 Opportunity for interaction: If the employees of an organization, are given an opportunity to
interact with one another, they find that they have many things similar, which also creates a
group.
 Interest and goals: When individuals share common interests and goals, it requires cooperation
and coordination for its achievement, which also results in the formation of groups.
 Influence and power: Last but not the least, a group has more influence and power, as
compared to an individual, which also promotes its formation.
In general, groups are created out of individual need satisfaction, which can be personal, social
or economic. Meaning that the members need to associate with the group in order to fulfil
their basic needs.

Types of Groups

The Formal Groups are formed deliberately and consciously collectively to direct the efforts of
group members, especially the employees towards the accomplishment of organizational
objectives


o Self-directed teams: The group of employees which are so authorised to make decisions, on
their own, as it is independent and self-governing in nature.
o Quality Circles: A number of employees classed together belonging to the same field, who
meet every week for an hour, to talk about their problems, identify the causes and find out
solutions, to take necessary steps in this regard.
o Committees: An association of people created by the management for different matters to
identify and discuss the issues of the company and arrive at a conclusion. It can be:
o Standing Committee
o Advisory Committee
o Audit Committee
o Grievance Committee
o Adhoc Committee
o Task force: It is a temporary committee, wherein people belonging to different fields are
grouped together for the performance of the task.
 Informal Groups: The social and psychological variables operating at the workplace, results in
the formation of informal groups. The creation of these groups is spontaneous due to the
common interest, social needs, physical proximity and mutual attraction.

Benefits of Group Formation

 Break complex tasks into parts and steps.

 Plan and manage time.
 Refine understanding through discussion and explanation.
 Give and receive feedback on performance.
 Challenge assumptions.
 Develop stronger communication skills.

Stages in Group Formation

Forming
This is a beginning stage and lasts only a few days (or weeks). Members begin by planning their
work and their new roles. Moreover, the emotions here are positive. The groups should begin by
learning about team processes in preparation for the rough times ahead.However, it is crucial for
them to learn the aspects of conflict resolution, communication, group decision-making and time
management.

Storming
There exists a considerable amount of fights and arguments in this stage. People begin to feel the
stress of frustration, resentment, and anger. Moreover, as the problem festers, the job remains
undone. Managers also experience frustration and are worried about the situation, thereby, are
tempted to intervene. Members experience a drastic emotional roller coaster from elation to
depression. Moreover, the situation seems bleak. Usually, the storming period may last 1-2 months.
Also, without effective training and support, the team may experience retarded growth.

Conflicts are usually frowned upon. However, they are the definition of normal, natural, and even
necessary events in an organization. It is critical for the group to handle it well because they are
great in helping to build skill and confidence for the next stage
Norming
In the norming stage, the group works through individual and social issues. The group establishes
its own norms of behaviour and begin to trust each other. Moreover, as the group develops
interpersonal skills, it becomes all the more skilled.

Members begin the art and knack of problem-solving. They also cross-train and learn new and
adequate job skills. This stage usually lasts for 4-12 months.

Performing
In this stage, the group is ready to begin performing its respective task and assigned jobs. In this
stage, the group has become well acquainted with one another and has clarity with regard to what
needs to and has to be done. The performing stage begins when the group is comfortable to work
and ends when the job is completed.

Adjourning
Post the performing stage, the group is adjourned. The adjourning stage ends the process of group
formation. Because the group is adjourned once the task that is assigned to the group is
completed

Conflict Management
A conflict arises when individuals have different opinions, thought processes, attitudes, interests,
needs and find it difficult to adjust with each other. When individuals perceive things in dissimilar
ways and cannot find the middle way, a conflict starts. No organization can survive if the
employees are constantly engaged in fights and conflicts. The individuals have to give their
hundred percent at workplaces to generate revenue and profits for the organization.
conflicts must be avoided at workplaces for a healthy and a competitive environment.
Employees must ensure that precautionary measures are taken in advance to prevent conflicts
at the workplace. Employees are the assets of any organization and they must feel motivated and
elated to perform well. Conflicts only lead to tensions and depressions and nothing productive
comes out of it. No individual can work alone; he has to depend on his fellow workers for the
maximum output. Every individual has to work in a team and can’t afford to fight with his team
members.
conflict Management reduces tensions and employees feel motivated to give their level best
to the organizations. No one gains form conflicts. One should avoid fighting over petty issues and
criticizing fellow employees at workplaces. Be a little more adjusting. You might be an
 extraordinary employee, but conflicts will definitely earn you a bad name and you appear in the
bad books of other employees.

Conflict Management helps in the strengthening of bond among the employees and everyone is
ready to help each other. Relations improve and people feel motivated to work together and
strive hard to give best possible results. No one likes to carry tensions back home and feel
neglected at the workplace. Attend office to work not to fight and carry tensions and anxiety.

Transparency must be maintained at all levels for the smooth flow of information among the
employees. One wrong information with any employee, all things get screwed up. Conflicts and
disagreements act as a hindrance in the correct flow of information as employees tend to tamper
important data, facts, figures and hide things from each other. The information never reaches in
the correct and desired form as a result of conflict and eventually the organization is at loss.

Conflict Management plays a very important role at workplaces as it prevents unnecessary fights
and makes offices a better place to work.

Symptoms of Conflict
 Decrease in Productivity.
 Quality Issues.
 High Turnover. The average turnover rate is 16%.
 Excessive Absenteeism. ...
 Dysfunctional Meetings. ...
 Anxiety and Stress. ...
 Complaints.
 Changes in Interactions with Others.

Sources of Conflict
Financial Matters
Roles and Responsibilities
Power
Jealousy
 Nature of Conflict
1. Conflict is a Process
Conflict occurs in ‘layers’. First layer is always misunderstanding. The other layers are differences
of values, differences of viewpoint, differences of interest, and interpersonal differences. It is
also called a process because it begins with one party perceiving the other to oppose or
negatively affect its interests and ends with competing, collaborating, compromising or avoiding.

2. Conflict is Inevitable
Conflict exists everywhere. No two persons are the same. Hence they may have individual
differences. And the differences may be because of values or otherwise, lead to conflict. Although
inevitable, conflict can be minimized, diverted and/or resolved. Conflict develops because we are
dealing with people’s lives, jobs, children, pride, self-concept, ego and sense of mission. Conflict
is inevitable and often good, for example, good teams always go through a “form, storm, norm
and perform” period.

3. Conflict is a Normal Part of Life

Individuals, groups, and organizations have unlimited needs and different values but limited
resources. Thus, this incompatibility is bound to lead to conflicts. The conflict is not a problem,
but if it is poorly managed then it becomes a problem.

4. Perception
It must be perceived by the parties to it, otherwise it does not exist. In interpersonal interaction,
perception is more important than reality. What we perceive and think affects our behaviour,
attitudes, and communication.

5. Opposition
One party to the conflict must be perceiving or doing something the other party does not like or
want.

6. Interdependence and Interaction

There must be some kind of real or perceived interdependence. Without interdependence,
there can be no interaction. Conflict occurs only when some kind of interaction takes place.

7. Everyone is inflicted with Conflict

Conflict may occur within an individual, between two or more individuals, groups or between
organisations.

8. Conflict is Multidimensional
It comes into different ways in accordance with degree of seriousness and capacity. At times, it
may improve even a difficult situation.
Types of Conflicts

Intrapersonal Conflict

The intrapersonal conflict is conflict experienced by a single individual, when his or her own
goals, values or roles diverge. A lawyer may experience a conflict of values when he represents a
defendant he knows to be guilty of the charges brought against him. A worker whose goal it is to
earn her MBA might experience an intrapersonal conflict when she’s offered a position that
requires her to transfer to a different state. Or it might be a role conflict where a worker might
have to choose between dinner with clients or dinner with family.

Interpersonal Conflict

As you might guess, interpersonal conflict is conflict due to differences in goals, value, and styles
between two or more people who are required to interact. As this type of conflict is between
individuals, the conflicts can get very personal.

Intragroup Conflict

Intragroup conflict is conflict within a group or team, where members conflict over goals or
procedures. For instance, a board of directors may want to take a risk to launch a set of products
on behalf of their organization, in spite of dissenting opinions among several members.
Intragroup conflict takes place among them as they argue the pros and cons of taking such a risk.

Intergroup Conflict

Intergroup conflict is when conflict between groups inside and outside an organization disagree
on various issues. Conflict can also arise between two groups within the same organization, and
that also would be considered intergroup conflict.

Within those types of conflict, one can experience horizontal conflict, which is conflict with others
that are at the same peer level as you, or vertical conflict, which is conflict with a manager or a
subordinate.

Positive Effects of Conflict in an Organization

 Social Change,
 Decision Making,
 Reconciliation,
 Group Unity,
 Group Cooperation,
 Inspire Creativity,
  Share and Respect Opinions,
 Improve Future Communication, and
 Identify New Members.

Negative Effects of Conflict in an Organization

 Mental Health Concerns,

 A decrease in Productivity,
 Members Leave Organization,
 Violence,
 Distract Primary Purposes, and
 Psychological Problem.

Conflict Management Styles

1. Accommodating

An accommodating style forsakes your own needs or desires in exchange for those of others.
You would be putting the concerns of others before your own. This style usually takes place
when you either simply give in or are persuaded to give in.

This style could be appropriate to use when you care less about the issue than the others, want
to keep the peace, feel as though you are in the wrong, or feel like you have no choice but to
agree to the other point-of-view.

2. Avoiding

An avoiding style completely evades the conflict. You would neither pursue your beliefs nor
those of the others involved. Simply, you would continuously postpone or completely dodge
the conflict whenever it comes up.

This style could be appropriate to use when the conflict seems trivial, you don't have the time
or need more time to think, you feel as though you have no chance of winning, or you're afraid
of being met with resentment.

3. Compromising

A compromising style attempts to find a solution that will at least partially please all parties.
You would work to find a middle ground between all the needs, which would typically leave
people unsatisfied or satisfied to a certain extent.
This style could be appropriate to use when it's more important to reach a solution than for the
solution to be great, a deadline is rapidly approaching, you're at an impasse, or you need a
temporary solution for the moment.

4. Collaborating

A collaborating style attempts to find a solution that will meet the needs of all parties. Rather
than trying to find a middle ground solution, you would aim for a solution that actually satisfies
everyone and ends up being a win-win situation.

This style could be appropriate when multiple perspectives need to be addressed, there is an
important relationship present between the parties, the final solution is too important for
anyone to be displeased, or the beliefs of multiple stakeholders must be represented.

5. Competing

A competing style takes a firm stance and refuses to see the perspectives of the other parties.
You would keep pushing your viewpoint at others or keep rejecting their ideas until you get
your way.

This style could be appropriate when you have to stand up for your rights or morals, need to
make a quick decision and force others to get on board, need to end a long-term conflict, or
have to prevent a terrible, opposing decision from being made.

Now that you're familiar with the different ways to approach conflict, let's see how these styles
can be used in day-to-day conflicts.