BUSM4590 People and Organizations: HRM Report on Conflict, Negotiation

This report, prepared for the BUSM4590 People and Organizations course, examines critical aspects of Human Resource Management (HRM) including conflict resolution, negotiation strategies, and cross-cultural collaboration. The report delves into the roles of HR managers in addressing workplace conflicts, differentiating between functional and dysfunctional conflicts, and providing recommendations for effective conflict management. It analyzes negotiation skills within the HR context, highlighting negotiation preparation strategies and their benefits. Furthermore, the report explores the significance of cross-cultural collaboration in today's global economy, offering training recommendations to foster effective teamwork. Drawing upon relevant theories and workplace examples, the report provides a comprehensive analysis and practical recommendations for HR professionals to enhance organizational success. The report covers key concepts, such as Weber's theory of communication, and incorporates examples from companies like Google and Apple to illustrate effective HRM practices.

Human Resource Management

Executive Summary
The objective of this report is to evaluate the role of human resource managers in
corporations and how they play a crucial part in their success. Firstly, the role of HR
managers in the resolution of organisations conflicts is discussed in the report along with
the evaluation of relevant theories and various workplace examples. Difference between
functional and dysfunctional conflicts are discussed in the report for understand their
impact on the organisational success. Furthermore, the role of negotiation skills of HR
managers is discussed in the report and how negotiation preparation strategy benefits a
company. Furthermore, the impact of cross-cultural collaboration in today’s global economy
is discussed along with various training recommendations are given which assist HR
managers in promoting cross cultural teamwork at the workplace to sustain the growth of
the enterprise.
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Table of Contents
Introduction...............................................................................................................................3
Conflicts in organisations...........................................................................................................4
Functional and Dysfunctional Conflicts..................................................................................4
Recommendations.................................................................................................................4
Negotiations at the workplace...................................................................................................5
Recommendations.................................................................................................................7
Cross-cultural collaboration.......................................................................................................7
Recommendations.................................................................................................................8
Conclusion................................................................................................................................10
References................................................................................................................................11
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Introduction
In today’s competitive business world, corporations focus on implementing effective policies
in order to maintain a positive working environment which promotes and supports
employee relationship and motivate them to perform better. Conflicts are common
between organisations because people from different cultures and backgrounds work
together with each other which leads to difference in views. The human resource
department focuses on reducing instances of dysfunctional conflicts which did not promote
innovation in the organisation (Bolman & Deal 2013). Negotiations are a part of the HR
activities based on which the HR department focuses on attracting and retaining talented
employees in the company. Furthermore, due to globalisation, the importance of cross-
cultural collaboration has increased between corporations since it creates positive
relationships between employees and it promotes an overall positive and supportive culture
in the organisation without any discrimination between employees (Matsumoto & Hwang
2013). In this report, relevant theories will be used to understand how HR managers can
resolve conflicts in the workplace and promote functional conflicts between employees and
management. This report will evaluate how negotiation is a key business activity and how
negotiation preparation strategy benefits an organisation in the long run. Furthermore, the
role of cross-cultural collaboration will be evaluated in the report and how training can
improve cross-cultural teamwork will be discussed in the report. Various recommendations
will be given in the report as well based on which the HR department can implement these
principles in their organisations.
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Conflicts in organisations
Employee conflict is inevitable in organisations which should not be ignored by the HR
department because it could lead to long-standing antagonisms between employees that
result in adversely affecting other employees and the enterprise. The conflicts arise
between employees and management should be resolved quickly in order to maintain a
positive working environment in the workplace. There are various factors which result in
arising conflict in the workplace such as poor communication, difference in values,
personalities and others (Rahim 2017). Poor communication is a key part which results in
causing conflict between employees. There are different theories of communication which
can apply to organisations such as Weber's classic fixed structure theory, Tompkins and
Cheney’s organisational control theory and Deetz’s managerialism theory.
Weber’s theory provides that roles and responsibilities should be clearly defined and
organisations should communicate in clear, structured and hierarchical manner. For
example, Google promotes transparency in the workplace communication and enables
employees to contribute to decision-making process which creates a positive working
environment in the company. Conflicts are divided into various categories such as
intrapersonal, interpersonal, intergroup and inter-organisational conflict. Difference in
values and personalities of employees also result in increasing conflict at the workplace
because employees are less likely to connect with others (Bolman & Deal 2013). Fierce
competition between employees also results in causing conflict between employees.
Functional and Dysfunctional Conflicts
Functional conflicts assist in improving the performance of an organisation and achieve its
goals. They serve organisation’s purpose and encourage positive involvement of employees
in the conversation. They encourage employees to improve their performance in order to
achieve their targets. On the other hand, dysfunctional conflicts hinder employee
performance and reduce their productivity. They create a negative working environment in
the workplace which results in affecting the performance of each employee, and they also
waste its resources (Cheng & Sheu 2012).
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Recommendations
Following recommendations can be used by the enterprise in order to reduce dysfunctional
conflicts and increase functional conflicts.
 Providing conflict resolution training to the HR department and other supervisors
can assist in preparing them for effectively dealing with conflicts in the workplace.
The training would enable them to eliminate dysfunctional conflict between
employees (Boddy 2014).
 Conducting proper meeting between employees and management in which the
employees can give them honest opinions about the organisation in a proper way
can increase functional conflict between employees.
 Establishing proper communication channels between employees and the
management encourage employees to give their opinion to the management and
questions their decisions. For example, organisations can implement Weber’s theory
of communication in order to create a structural communication model which allows
the employees to share their ideas with the organisation which promotes functional
conflict.
 Implementation of a code of conduct which monitors the activities of employees and
ensures that they behave properly with their colleagues is necessary to avoid
dysfunctional conflicts. Discrimination against employees from different culture or
background can create a hostile working environment which leads to dysfunctional
conflicts. Google has implemented strict discrimination policies in the workplace, for
example, the CEO of the company has recently fired a senior developer based on a
discrimination memo which shows that the company is serious towards anti-
discrimination policies (Swisher 2017).
 Encourage participation of employees in the decision-making process can result in
promoting functional conflict because employees would be able to argue with each
other regarding which strategies are suitable for the enterprise.
 Use of third-party mediation services can result in reducing dysfunctional conflict
between employees because they will feel more comfortable sharing their issue with
a third party who is an expert in this field and provide effective conflict solution.
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Negotiations at the workplace
Negotiation is a key business activity because it enables the HR department to attract and
retain talented employees in the workplace. It is referred to a formal conversation between
two or more parties who seek to find a solution or reach an agreement in order to resolve a
conflict or settle a mutual concern. It is a key business activity based on which businesses
can enter into mutual argument with other parties regarding their business transactions. HR
managers use their negotiation skills to hire and retain talented employees in tough
economic times and with limited resources (Bolman & Deal 2013). Effective negotiation
skills can be used by the HR department to persuade talented employees to stay in the
organisation which is crucial for its success. It also assists the HR department in resolving
conflict between employees by providing them mutual solutions which are beneficial for the
parties.
For an HR manager, negotiation skills play a crucial role in performing his/her job in order to
ensure that employees are satisfied with their job and they retain for a long period of time.
Traditionally, HR managers use negotiation skills to ensure that talented employees are
hired in the organisation, and they are retained for a longer period of time since it was
crucial for the success of the enterprise. However, in modern times, the role of negotiation
has increased for HR managers, and they are required to implement appropriate strategies
for negotiating with employees. In recent years, HR managers have to deal with various
issues such as the conflict between employees, discrimination issues and others which
require them to negotiate with employees to avoid future conflicts which lead to success of
the enterprise (Goldman & Shapiro 2012). There are various similarities between
negotiation and conflict resolution strategies which are categorised into two parts which
include distributive and integrative negotiation. Following are key elements of negotiation
strategy which assist HR managers in conducting effective negotiation with employees.
 Managers should focus on interest, and they should separate person from the
problem
 Their approach should be hard on the problem and soft on the person
 The objective of the negotiation is to find a win-win solution
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Based on these three principles, the HR managers can persuade employees and get a ‘yes’
from them by negotiating with them regarding appropriate terms. BATNA is a key part of
the negotiation strategy which is referred to ‘best alternative to a negotiated agreement’. It
provides an important yardstick for HR managers in order to measure the value of any
negotiated agreement (Wei & Luo 2012). If the BATNA of the HR manager is better than the
proposed negotiated settlement, then they should not accept the proposal. Knowledge
about BATNA of a person assists in increasing the negotiating power of the HR managers.
Recommendations
As an HR manager, following is the negotiation preparation strategy which can assist in
effective negotiation and achieving the optimal outcomes for the company.
 Checking whether the HR manager is in the position of negotiating the situation
 Clarifying the aims of the negotiation
 Gathering appropriate and necessary information
 Negotiating with HR managers side
 Getting a BATNA
 Preparing the setting
 Mental preparation
Compliance with these provisions leads to effective negotiation settlement based on which
HR managers can negotiation with employees effectively. For example, this strategy is used
by Apple and Samsung to settle patent infringement issues with each other. Both companies
avoid going to the court which would have been an expensive procedure. Samsung is one of
the key suppliers of Apple, and they negotiate their supply agreement for effective
negotiation (Harvard Law School 2017).
Cross-cultural collaboration
Learning how to collaborate creatively with different employees who are from other
cultures is a crucial skill for HR managers in today’s competitive business environment. Due
to globalisation, it has become common for organisations to hire employees from all across
the globe. It increases the importance of effective cross-cultural management in the
company without which it leads to conflicts between employees. Collaborative working is a
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key to success of an enterprise, and cultural issues hinder the collaborative working of
employees (Bolman & Deal 2013). Thus, the importance of cross-cultural collaboration has
increased among modern organisations which allow them to effectively deal with their
employees and creates a positive working environment which promotes collaborative
working between employees and leads to success of the company. In today’s global
economy, it has become easier for organisations to expand their operations in overseas
markets which allow them to hire talented employees from all across the globe.
Many corporations have implemented effective HR policies which enable them to promote
diversity at their workplace. For example, Disney has over 180,000 employees across the
globe and its process of implementing effective cross-cultural collaboration policies to
promote diversity in the workplace. The corporation provides growth opportunities to
women, and they also promote the growth of employees from other cultures such as
Latinos. Furthermore, the company is in ‘DiversityInc Top 50 List’ in terms of effective
diversity management (DiversityInc 2018). Another good example is Google which has
gained a competitive advantage in the software industry due to its effective cross-cultural
collaboration strategies. Employees from different race, caste, gender and religion are
welcome in the country, and the company implement strict policies to avoid discrimination
with them. A good example was firing of a senior developer by CEO of the company based
on a discrimination memo (Weinberger & Kovach 2017). Due to its positive culture and
collaborative working environment, Google has become one of the best places to work
across the globe which provides it a competitive advantage over others.
Recommendations
As an HR manager, following are different training strategies which can assist in improving
cross-cultural teamwork between employees which leads to overall success of the
enterprise.
 Acknowledging and respecting cultural difference
One of the key issues which adversely affect cross-cultural collaboration is stereotyping.
Most employed did not have knowledge of others cultures, and they stereotype them which
is wrong. Acknowledging the difference in cultures of employees and teaching others to
respect them is crucial for the success of an enterprise (Viberg & Gronlund 2013). It
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eliminates stereotyping at the workplace and creates a collaborative cultural between
employees.
 Establishing team identity and outlining their roles and responsibilities
Clearly defining an identity to a team promotes collaboration between employees which
enable them to work together to achieve their targets. Defining the roles and
responsibilities avoid any confusion between employees, and they are focused towards
achieving their targets rather than increasing conflict due to difference in cultures.
 Strict code of conduct
Establishing a strict code of conduct to avoid discrimination between employees is crucial
for the success of an enterprise and collaboration between employees. If employees know
that their insensitive behaviour will be punished than they are more likely to avoid such
actions and take appropriate measures to promote collaboration among employees.
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Conclusion
In conclusion, the role of HR managers has increased substantially in the past few decades,
and they play a crucial role in success of an enterprise. Effective HR strategies enable the
organisation to create a positive working environment which promotes effective
relationship with employees and retaining them in the corporation. Effective conflict
management can result in improving the overall performance of an enterprise which results
in improving its employee performance and sustaining the company’s growth. Negotiation
enables HR managers to ensure that employees are retained in the organisation to achieve
corporate goals. Furthermore, importance of cross-cultural collaboration has increased
which requires HR managers to take appropriate actions in order to promote teamwork
between employees and creating a collaborative environment. Various theories and
recommendations are given in the report which assists HR managers in implementing
appropriate strategy which results in sustaining overall growth of the enterprise.
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References
Boddy, CR 2014, ‘Corporate psychopaths, conflict, employee affective well-being and
counterproductive work behaviour’, Journal of Business Ethics, vol. 121, no. 1, pp. 107-121.
Bolman, LG & Deal, TE 2013, Reframing Organizations: Artistry, Choice, and Leadership,
Jossey-Bass, Hoboken.
Cheng, JH & Sheu, JB 2012, ‘Inter-organizational relationships and strategy quality in green
supply chains—Moderated by opportunistic behavior and dysfunctional conflict’, Industrial
Marketing Management, vol. 41, no. 4, pp. 563-572.
DiversityInc 2018, No. 26 | The Walt Disney Co., DiversityInc, viewed 14th August 2018,
<https://www.diversityinc.com/the-walt-disney-company>
Goldman, B & Shapiro, DL 2012, The psychology of negotiations in the 21st century
workplace: New challenges and new solutions, Routledge, Abingdon.
Harvard Law School 2017, Examples of Negotiation in Business: Apple and Samsung’s
Dispute Resolution Case Study, Harvard Law School, 7 December, viewed on 14th August
2018, < https://www.pon.harvard.edu/daily/business-negotiations/apple-v-samsung-an-
example-of-negotiation-in-business-gone-bad/>
Matsumoto, D & Hwang, HC 2013, ‘Assessing cross-cultural competence: A review of
available tests’, Journal of cross-cultural psychology, vol. 44, no. 6, pp. 849-873.
Rahim, MA 2017, Managing conflict in organizations, Routledge, Abingdon.
Swisher, K 2017, Google has fired the employee who penned a controversial memo on
women and tech, Recode, 7 August, viewed 14th August 2018, <
https://www.recode.net/2017/8/7/16110696/firing-google-ceo-employee-penned-
controversial-memo-on-women-has-violated-its-code-of-conduct>
Viberg, O & Gronlung, A 2013, ‘Cross-cultural analysis of users' attitudes toward the use of
mobile devices in second and foreign language learning in higher education: A case from
Sweden and China’, Computers & Education, vol. 69, pp. 169-180.
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Wei, Q & Luo, X 2012, ‘The impact of power differential and social motivation on negotiation
behavior and outcome’, Public Personnel Management, vol. 41, no. 5, pp. 47-58.
Weinberger, M & Kovach, S 2017, The Google employee who wrote the anti-diversity
manifesto was fired after CEO Sundar Pichai called it 'Not OK', Business Insider, 8 August,
viewed 14th August 2018, <https://www.businessinsider.in/The-Google-employee-who-
wrote-the-anti-diversity-manifesto-was-fired-after-CEO-Sundar-Pichai-called-it-Not-OK/
articleshow/59963883.cms>
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