What is a conflict?
An organization is a network consisting of human element as the major functional source and as such is prone to weaker vulnerable aspects of human psychology. Conflict is, of course, one such weak point. The diverse functional groups in the organization get into conflicts while setting up objectives and goals; in prioritizing and weighing the objectives, the methods of their achievement and their evaluation. Though there are numerous kinds of conflicts, this is the major one affecting the functioning of the firm.
Reasons for conflicts:
1. Lack of clarity as to the scope and relevance of functions in achieving the corporate objectives.
2. Clash between line and staff authorities.
3. Ignorance or lack of knowledge needed for decision making in the part of chief executives
4. Different sets of beliefs and views, along with one’s personal interest and ego.
5. Different kinds of attitudes of members of the organization
6. Absence of clarity in organizational policy, procedures, rules and guidelines.
The most affected element in a group conflict is “Employee Morale.” Conflicts undermine professionalism and lead to under utilization of organizational capacity.
Loss of Importance: A particular group of employees feel that their importance is being undermined. When a manager is being inducted from an outside source, the prospective employees of the firm feel that they have been let down by the management.
Frustration: There are certain rules and regulations to be stuck to when issues arise. If the finance department is not consulted regarding issues related to insurance claims, there are chances that the company might lose a good deal. In such cases frustration arises which is not good for the health of the firm.
Feeling of Insecurity: This affects severely the morale of an employee. A clerical staff feels insecure if new technological system is introduced in the company where he is a novice. When one’s importance is persistently reduced, he may start feeling redundant.
Blocked Personal Growth: Persons who experience reduced importance may apprehend a situation where they don’t expect much by way of personal growth through increments and promotion.