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Bachelor of Commerce Programme Organizational Behaviour Dr Jan P Bosman, Ph.D The Da Vinci Institute for Technology Management (Pty) Ltd Registered with the Department of Education as a private higher education institution under the Higher Education Act, 1997. Registration No. 2004/ HE07/003

2014 The material within this document is the intellectual property of The Da Vinci Institute for Technology Management (Pty) Ltd and DMC Process Management (Pty) Ltd. Dissemination of this material to a third party or use of this material within your organisation, outside of the scope of this proposal, will constitute a violation of the intellectual property rights of The Da Vinci Institute for Technology Management (Pty) Ltd and DMC Process Management (Pty) Ltd.

THE DA VINCI INSTITUTE THE DA VINCI INSTITUTE BACHELOR OF COMMERCE NQF LEVEL 6 ORGANISATIONAL BEHAVIOUR MOTIVATIONAL CONCEPTS AND APPLICATION The Da Vinci Institute for Technology Management (Pty) Ltd Registered with the Department of Education as a private higher education institution under the Higher Education Act, 1997. Registration No. 2004/HE07/003

DMC PROCESS DESIGN Table of Content Section Theme Topic Page I Introduction Organisational Behaviour : Setting the Scene 2 Individual Managing a Diverse Workplace 3 Attitudes and Job Satisfaction 4 Personality and Values 5 Emotions and Moods 6 Perception and Biases and the influence on Individual Decision Making 7 Motivation Concepts and Applications 8 Group Foundations of Group Behaviour and Understanding Work Teams 9 Communication, Conflict and Negotiation 10 Leadership, Power and Politics 11 Organisation Organisational Culture and Structure 12 Organisational Change and Stress Management 4 MANAGERIAL LEADERSHIP ODYSSEY THE DA VINCI INSTITUTE

THE DA VINCI INSTITUTE Navigational icons Reading You will be provided with a series of national and international articles and literature to read that will help you broaden the subject at hand. All articles can be found in the Module Libraries. Research As you work through the module you will be required to do your own research. Self-Reflection Take Note A useful tip or essential element regarding the concept under discussion. Activity You will be given a number of activities to complete to prepare you for your postmodule assignment. These need to be submitted as they will count towards your final mark. Ratiocination Ratiocination is the logic reasoning that considers all alternatives and possible impacts that may result from a decision or a possibility. Group Work Post Module Assignment (PMA) Submission Date Learning Outcomes You will be required to do group work both in the class room and as syndicate study groups. Group Discussion My Notes Talking to others while you learn will often illuminate a topic for you. THE DA VINCI INSTITUTE MANAGERIAL LEADERSHIP ODYSSEY 5

DMC PROCESS DESIGN Conflict Management Conflict is a struggle or contest between opposing forces. Interpersonal conflicts are one example of this. All relationships contain elements of conflict. These factors lead to growth and development of the individuals and the relationships. A lack of conflict may indicate apathy or non-involvement in the relationship. Failure to handle conflict in the relationship can lead to its destruction. The ingredients of conflict Needs Needs are things that are essential to our well-being. Conflict arises when we ignore things we would like but are not essential. Perceptions People interpret reality differently. They perceive differences in the severity causes and consequences of problems. Misperceptions or differing perceptions may come from: self-perceptions, others perceptions, differing perceptions of situations and perceptions of threat. Power How people define and utilise power is an important influence on the number and types of conflicts that occur. This also influences how conflict is managed. Conflict can arise when people try to make others change their actions or to gain an unfair advantage. Values Values are beliefs or principles we consider to be important. In addition, conflict arises when one individual refuses to accept the fact that the other individual holds something as a value rather than a preference. Feelings and emotions Numerous people let their feelings and emotions become a major influence over how they deal with conflict. Conflict can also occur because people ignore their own or other people s feelings and emotions. Other conflict occurs when feelings and emotions differ over a particular issue. Conflict questionnaire For you to find out what your preferred conflict management style is, please go to Annexure at the back to complete the questionnaire. 6 MANAGERIAL LEADERSHIP ODYSSEY THE DA VINCI INSTITUTE

THE DA VINCI INSTITUTE Styles of handling conflict Collaboration (Owl) Compromise (Fox) Competition (Lion) Accommodation (Teddy) Avoidance (Tortoise) Collaboration This results from a high concern for an individual s own interests, matched with a high concern for the interests of other individuals. The outcome is win / win. This strategy is generally used when concerns for others are important. This approach helps build commitment and reduce bad feelings. The drawbacks are that it takes time and energy. Generally regarded as the best approach for managing conflict, the objective of collaboration is to reach consensus. Compromise This strategy results from a high concern for an individual s own interest along with a moderate concern for the interests of other individuals. The outcome is win some / lose some. This strategy is generally used to achieve temporary solutions, to avoid destructive power struggles or when time pressures exist. One drawback is that individuals can lose sight of important values and long-term objectives. This approach can also distract the individual from the merits of an issue and create a cynical climate. Competition This strategy results from a high concern for an individual s own interests with less concern for others. The outcome is win / lose. This strategy includes most attempts at bargaining. It is generally used when basic rights are at stake or to set a precedent. However, it can cause the conflict to escalate and losers may try to retaliate. THE DA VINCI INSTITUTE MANAGERIAL LEADERSHIP ODYSSEY 7

DMC PROCESS DESIGN Accommodation This results from a low concern for an individual s own interests combined with a high concern for the interests of other individuals. The outcome is lose /win. This strategy is generally used when the issue is more important to others than to you. It is a goodwill gesture. The drawbacks are that your own ideas and concerns don t get attention. You may lose credibility and future influence. Let s look at your conflict style in relation to your relationships Below are ten pairs of statements. Each pair describes a conflict situation. In each case, circle the letter of the one statement that you think fits your conflict situation better: Letter P R M O P R M O P R Statement I don t really care what the other person thinks of me when the conflict is over. It is important I have a good relationship with the person once the conflict is over. It won t be the end of the world if I don t resolve this conflict. I have vital interest at stake in resolving this conflict. I don t have a significant personal or business relationship with the other person. My relationship with the other person is important for business or personal reasons. The time and trouble needed to resolve this conflict might not be worth it in this case. I expect the resolution of this conflict to be worth my while if it goes reasonably well. In my relationship with the other person, there is very little sharing of feelings and information. My relationship with the other person is based on shared feelings and information. 8 MANAGERIAL LEADERSHIP ODYSSEY THE DA VINCI INSTITUTE

THE DA VINCI INSTITUTE Letter M O P R M O P R M O Statement I don t expect resolving this conflict to affect future dealings with the other person. I won t be surprised if resolving this conflict sets the pattern for many future conflicts. My communication with the other person has been quite limited. My communication with the other person has been extensive. I will not feel any worse about myself if I end up thinking I lost the conflict. I won t feel really good unless I do well in this conflict. I am not dependent on the other person. We have common interests because of the ways in which we are thrown together. The issues at stake here are clear and straightforward. I suspect there are important hidden factors at stake in this conflict. Scoring : Count your letter score R s O s Your response can now be plotted on the model below to assist you to identify the strategy that might be the useful for you in resolving the conflict. THE DA VINCI INSTITUTE MANAGERIAL LEADERSHIP ODYSSEY 9

Importance of relationship DMC PROCESS DESIGN Accommodate : I lose, you win Collaborate : I win, you win Selecting the appropriate conflict management style Avoid : I lose, you lose Compromise : We both win, we both lose Compete : I win, you lose The different approaches to resolving conflicts might be applied in the following situations: COMPETING 0 1 2 3 4 5 Importance of outcomes No of O s emergencies. When quick, decisive action is vital, e.g. On important issues when unpopular courses of action need implementing, e.g. costcutting, enforcing unpopular rules, discipline. On issues vital to company welfare when you know you are right. To protect yourself against people who take advantage of non-competitive behaviour. ACCOMMODATING When you realise that you are wrong to allow a better position to be heard, to learn from others and to show that you are reasonable. When the issue is much more important to the other person than to yourself to satisfy the needs of others, and as a goodwill gesture to help maintain a co-operative relationship. To build up social credits for later issues which are important to you. When continued competing would only damage your cause, where you are outmatched and losing AVOIDING When an issue is trivial, of only passing importance or when other more important issues are pressing. 10 MANAGERIAL LEADERSHIP ODYSSEY THE DA VINCI INSTITUTE

THE DA VINCI INSTITUTE When you perceive no chance of satisfying your concerns, e.g. when you have low power or you are frustrated by something that would be very difficult to change (national policies, someone s personality or structure). When the potential damage of confronting a conflict outweighs the benefits of its resolution. To let people cool down to reduce tensions to a productive level and to regain perspective and composure. When gathering more information outweighs the advantages of an immediate decision. When others can resolve the conflict more effectively. When the issue seems unimportant or symptomatic of another more basic issue. COLLABORATING To find an integrative solution when both sets of concerns are too important to be compromised. When your objective is to learn, e.g. testing your own assumptions, understanding the views of others. To merge insights from other people with different perspectives on a problem. To gain commitment by incorporating others concerns into a consensual decision. Teamwork through hard feelings that have been interfering with an interpersonal relationship. COMPROMISING When goals are moderately important, but not worth the effort or potential disruption of more confrontational styles. When two opponents with equal power are strongly committed to mutually exclusive THE DA VINCI INSTITUTE MANAGERIAL LEADERSHIP ODYSSEY 11

DMC PROCESS DESIGN goals, e.g. in labour management bargaining. To achieve temporary settlements to complex issues. To arrive at expedient solutions under time pressure. As a back-up style when collaborating or competing fails to be successful. What to do when conflict arise Acknowledge you are angry/upset and calm yourself (breath, count to 10, etc.). Deal with the emotional component first and dampen it so that the discussion is constructive. Research shows that people in a rage lose 30 IQ points and are therefore less rational. Toothpaste illustration: It s easy to push the toothpaste out but impossible to get it back in! Don t be impulsive! (You will regret it later) Don t respond to anger with anger but disable it with a quiet, calm response. Decide whether the problem is worthy of the conflict! (Check your own filter system!) Decide on the right time to deal with the issue (Sometimes postponement is better) and place (distraction-free). Confront the opposition (Is this the right person to confront?). Define the problem together to prevent wasting time with misunderstandings. Communicate opinions and feelings assertively. Listen accurately/actively to the opposing perspectives and don t interrupt. Communicate your hope and intentions to reach an agreement. Acknowledge feelings, use facts and clarify misunderstandings. Problem-solve together to reach an agreement. 12 MANAGERIAL LEADERSHIP ODYSSEY THE DA VINCI INSTITUTE

THE DA VINCI INSTITUTE Conflict is constructive when... The relationship is subsequently stronger and the two people are now better able to interact. The two people like and trust each other more. Both are satisfied with the results of the conflict. Both have improved their ability to solve future conflict. THE DA VINCI INSTITUTE MANAGERIAL LEADERSHIP ODYSSEY 13

Bachelor of Commerce Programme Organizational Behaviour Post Module Assignment The Da Vinci Institute for Technology Management (Pty) Ltd Registered with the Department of Education as a private higher education institution under the Higher Education Act, 1997. Registration No. 2004/ HE07/003