I am seeing many Local companies are suffering from inter-organizational conflicts which are Hampering their own business growth.
For Example, A common conflict occurs, when Top managements praise Sales team more than others (unknowingly). And for this reason, Sales Team can think they are the only people in the business who are doing useful work and can feel “Superiority complex”.
Scholars have termed this issue as Structural conflict or Inter-Organisational Conflict which can cause huge loss or Break Down a whole business!!
These are the ultimate result of Senior management’s inefficiencies or Top management (maybe short-lived visions). In the end, Shareholders or Investors will be the losers.
According to Robyn Short, a trained mediator of Dallas, she mentioned that “the inability for managers to effectively manage conflict and bring about positive resolution is costing them nearly one full day of productivity per month — two and a half weeks per year. It is not surprising that almost all employees recognize the critical need for conflict management skills in the workplace. In fact, the study found that 70 per cent believe managing conflict is a critically important leadership skill. And 54 per cent of employees believes managers could handle disputes more effectively by addressing underlying tensions immediately when they surface.
And yet, conflict does not have to bring about negative results. When managed effectively, conflict can stimulate progress, deepen trust and strengthen relationships — all of which enhances productivity and optimizes bottom line results.
Around the world, conflict resolution skills are rarely taught as core curriculum in education, which means most adults enter the workplace with little to no knowledge of how to prevent and/or manage conflict.”
Therefore, It is very important for CEO/CxO to manage such internal conflicts. But, from my own experience, I have seen many Top Managements tend to take Divide-Rule approach for managing small teams, which is a Deadly sin for a Healthy Organization.