Confilct Audit
Confilct Audit
Confilct Audit
Ronald Powell
1. Report the data you uncovered in your audit for each question.
2. Analyze the significance of your collected data.
3. Make any observations you consider pertinent to the exercise.
Summary Report
At my job, the lack of warehouse space, or simply the lack of a warehouse has caused conflict between
operations, management, and the AV project team. The company does not have a adequate warehouse
space for AV project operations. However, there are active AV projects and materials for the projects
are delivered to the warehouse daily. The conflict has grown into nasty confrontations about
responsibility, accountability, courtesy, and respect. After this event, I wanted know how the company
handles conflict.
On my quest to better understand how conflicts are resolved, I spoke with several people at my
company and asked the questions listed above. I spoke with the assistant operations manager, the
executive assistant, a project engineer, the business unit director, and the warehouse clerk. The
discussions included the listed questions along with an impact estimate and cost estimate. I found there
was a general consensus.
When conflicts arise managers typically respond by avoiding the conflict and hoping it goes away or end
the conflict with a win-lose outcome. A win-lose outcome does not resolve the conflict it builds
resentment and time is spent on complaining, scheming, and gossiping. I recognized this action being
unskilled in conflict management.
When people in the organization they often react with emotion. Yesterday, I witnessed the fury of the
director when describing the situation at the overfilled warehouse. He directed his anger outward with
sustained duration. Implementing a mandate to refuse all deliveries until further notice. Which creates
an impasse between operations and AV-projects. The project quality is not at risk and the
interdepartmental relations have broken down further.
Everyone except the director admitted to not having conflict management skills. Or at least thought that
conflict management was meditation skills. They all admitted the resolved conflict making a decision
(win-lose) to get people back to work. And until my conversation with them never considered that the
problem was not resolved. I pointed out it affects the culture and is directly related to efficiency. Think
about how much is spent on complaining to a peer after implementing a win-lose resolution. If two
employees that earn $21/hr. complain about the issue for 90 minutes, the company incurred a loss of
$126.00. What if that happens it different groups 10 times a week? That’s $1260/wk or $5,040/mo..
Unresolved conflict can cost the $60,000/yr.
Now that we put a dollar value to ignoring conflict resolution, I asked what cultural changes need to
occur to reduce this kind of loss. Improved information sharing between operations and AV-projects,
better team work, and cross functional collaboration were some of the ideas that were discussed. The
director admitted that he influences the culture at the company an the responsibility falls on his
shoulders.
The culture changes would improve efficiency and while reducing the time wasted on fighting and
gossiping. The would reduce or eliminate the $60K lost to conflict. The assumption is that better conflict
managing will improve employee relations that will impact quality and customer relations that will
reduce cost while improving profit margins.