Conflict Management_M7_A1 Essay Example | Topics and Well Written Essays - 1750 words

Conflict Management_M7_A1 - Essay Example It evaluates the role of team leadership and the overall effectiveness of teams in preventing and actively managing conflict. Additionally, it assesses the importance of maintaining relationships with stakeholders throughout significant organizational change. Finally, it recommends strategies that the organization can use to prevent and actively manage foreseen and unforeseen conflicts among internal and external stakeholders that may negatively affect the organizations attempt to downsize. The paper asserts that although downsizing could be inevitable and beneficial to the organization, failure to manage perceived and actual conflicts with stakeholders could affect the firm negatively. Interpersonal conflicts influenced by political factors may arise between the government, the labor unions and the organization. The government makes labor laws that define the procedure and rules on how firms should lay-off employees. For example, labor law prohibit discrimination in the downsizing process and state that employees should be given enough notice and benefits upon termination. If the firm doesn’t observe these rules, it faces conflicts with the government and labor unions that fight for the rights of unionized employees. The firm faces interpersonal conflicts of economic nature with clients, suppliers, creditors if upon downsizing, it is unable to honor its contractual obligations (Ramsbotham & Woodhouse, 2011). For example, the inability to honor debts when they fall due and offer products/services to its clients. Social conflict with the local community may arise from downsizing. Laid-off workers may strain the community’s resources if they are not com pensated. They may become stressed and develop psychological problems, making them dependent on the communities. The conflict arises because the society expects the company to take care of the laid-off workers by giving them sufficient send-off benefit