Decreased Morale, Productivity & Innovation

    “The easiest, the most tempting, and the
     least creative response to conflict within
     an organization is to pretend it does not exist.”
                                  -   Lyle E. Schaller

Time is a valuable, limited commodity. When people are focused on rehashing the past, or stewing about a present unresolved matter, they are not creating and producing value in the present. Indeed, tension and stress resulting from poorly managed conflict reduces motivation and disturbs concentration.

Indeed, “over 65% of performance problems result from strained relationships between employees, not from deficits in individual employee's skill or motivation.” (Dana, Dan, [online] The Dana Measure of Financial Cost of Organizational Conflict, 2001)

There are two aspects of this cost — direct loss and opportunity cost. The direct loss is the value of a person's time — what the person should be accomplishing but is not because he or she is distracted by a conflict. The opportunity cost is the value the person might have produced if his or her energy was focused on creation and innovation.

In addition, unresolved conflict consumes an inordinate amount of managers' time.

"As much as 42% of a manager's time is spent addressing conflict in the workplace." (Watson, C & Hoffman, R, Managers as Negotiators, Leadership Quarterly 7(1), 1996)

“I've had CEOs and senior vice presidents tell me they can spend up to 70% of their time on conflict...” (Taylor, Robin,Workplace tiffs boosting demand for mediators. National Post Mar. 17/03)

Finally, another set of problems occur when employees remain on the job but simply disengage. Such employees tend to have lower commitment, be more dissatisfied with their jobs and reduce morale in the area in which they work. Many such employees ‘retire on the job’ (ie. do not do their share of the work) which causes workload problems for others in their area.” (Duxbury & Higgins, Work-Life Conflict in Canada in the New Millenium: A status Report, 2003)

“The rate of ‘presenteesim’ is estimated to be as much as three time higher than absenteeism.” (WarrenShepel [online], Health & Wellness Research Database, 2005)

BUT it doesn't have to be this way! Conflict Management Services can help your organization identify and constructively manage disagreements so that competing ideas and interests can be harnessed to create and innovate.

What CMS Can Do For You

Conflict management services. Transforming conflict to create and innovate