1.1 Introduction
Conflict is the difference in opinion or some kind of disagreement between two or more parties. Workplace conflict is an inescapable and common organizational phenomenon (Lalegani et al., 2019; Mikkelsen & Clegg, 2019, 2018; Shaukat et al., 2017; Rahim, 2015; Riaz & Junaid, 2011). The managing organizational conflict is the general framework of the entrance and comprehensive treatment by which means that depend on the resolution of problems and disputes (Taher et al., 2007). Conflict in an organization was always under interest of researches and its interest has not reducing till now (Paresashvili et al., 2017). Conflicts of interests arise in group scarcity of freedom, position and resources (Long, 2015). Employees, who have different personality, have different attitude towards organizational conflicts. As a result they have different behavior during conflicts.
As a prelude to other parts of this study, this chapter will discuss the background upon which this study was initiated, the statement of problems that led to this study, the Aim and Objectives of the study. Others are Significance of the study, Scope of work, Research hypothesis and questions, Limitation of the study and Definition of terms.
1.2 Background of Study
In the earlier stage, conflict was viewed as evil and also linked with violence, destruction arid irrationality to re-engage it negative connotation by this definition
Conflict is associated to the central processes of people and their association with the surroundings and is, therefore, an unavoidable part of organizational life (Jones & George, 2003). The use of the word perceived in the Second definition is a reminder that the source of a conflict can be real or imagined. Conflict can also mean that there is a difference in opinion or agreement between two parties or groups who are trying to achieve the same goal, causing one of the parties to feel that his or her efforts to achieve the goal is being hindered or .challenged by the other party. When disagreement is poorly dealt with, the outcome can be contention, creating a sense of psychological dissonance between people.
Conflicts occur due to the dynamic state of things today in organization and the society at large. In this way we could say that there is a growing recognition of the importance of conflict in organization. A recent survey that managers spends a considerable portion of their time dealing with conflict, and that conflict management has become increasingly important to their effectiveness most especially in the area of organizational productivity, therefore we can say that conflict is inevitable and important in human process.
However, conflict does not have to be a destructive element; when handled properly, conflict can be of immense benefit to both the employees and the organization as well. In an attempt to explain the nature of conflict, many scholars have postulated theories to guide in the understanding of conflict. Among theories postulated is the traditional theory which sees conflict as bad – not good for the organization and as such should be avoided. Contemporary theory; however, recognizes that conflicts between human beings are inevitable and if well managed can bring positive results to the organization. Tillett and French (2006) believe that conflict encourages communication dialogue and help with individual and organizational growth as it provide opportunities for problems to be solved and help the organization to advance; while Eunson (2007) opines that conflict can help change complacency through productive means.
Unresolved workplace conflicts can sometimes led to litigation with its attendant problems and the willingness of employees to sue their employer have exposed almost all employers to an increasing volume of litigation related to work-place conduct or the human resource decisions made on daily basis. Understanding conflict and how to manage or resolve it should be an integral part of what and how managers should learn; such understanding is essential for the personal well-being and success of individuals as well as the long-term success of organizations (Singleton, Toombs, Taneja, Larkin, & Pryor, 2011). Over the years, there have been significant changes in the ways organizations manage conflict which have led to efforts developed strategies aimed at more efficient, less costly, and more satisfying resolution of conflict; thus this paper examined the use of these less expensive and appropriate methods such as alternative dispute resolution (ADR) approaches in managing workplace conflicts.
There is a growing awareness among the industry players that this process is time consuming, costly and could lead to irreparable damage to the employer-employees’ relationships. In other words, it is in the best overall interests of the disputants to resolve the conflicts as soon as possible before they escalate to formal litigation, as this can lead to unfavorable financial and non-financial repercussion such as stoppage of work, increased operational cost, negative image, loss of goodwill and negative employee-employer relationship (Gibbons, 2007). Alternative Dispute Resolution (ADR) is a way to avoid this by resolving disputes in a non-adversarial way, without recourse to courts, and its adoption has been on the increase, especially in non-union workplaces (Colvin, Klaas & Mahony, 2006). Nations have shown that ADR have been a successful as a first step to resolve disputes (Van Gramberg, 2006). Bearing this in mind, the techniques of Alternative Dispute Resolution (ADR) have become increasingly popular as an alternative to litigation (Eden, 2011).
Therefore, in Delins Insurance Company Ikeja where the research was carried out, the activities that was conducted is to examine the Management of Workplace Conflicts in Business Environment Using Alternative Dispute Resolution.
1.3 Statement of Problems
Investigation revealed that Workplace conflict (organizational) can trigger negative consequences affecting relationships (individual and group). It can lead to a serious loss of time and energy when there is a failure to address it competently. However, it can sometimes open up new opportunities for relationship-building if it is handled honestly, impactially, and smoothly. Moreover, conflict management strengthens relationships among groups and individuals in their workplaces and indeed, other arenas of life (Eunson, 2007).
The real challenge managers are facing today is the necessity of understanding and learning how to respond positively and creatively to conflict at the various levels and in the widely diverse areas found in the organization. Conflicts in workplace may lead to organizational and institutional failure. It can have long term consequences that are dangerous for maintaining a productive work environment. This research attempts to explain causes of organizational, institutional, and workplace conflicts. It also tries to focus on conflict management strategies (Colvin, Klaas & Mahony, 2006).
Alternative Dispute Resolution (ADR) is a mechanism designed to resolve disputes in a non-adversarial manner. In a typical workplace, disagreements are inevitable due to the diversity of the workforce, not just demographically, but also in terms of their work behavior, career goals, etc. Nonetheless, as long as disagreements are kept subtle and do not jeopardize working relationship, they are manageable. The key is to understand the cause of disputes and find ways for quick resolution in a peaceful and win-win manner. When disputes are left unresolved, they tend to escalate, leading to a hostile working environment and ultimately affecting performance.
1.4 Aim and Objectives of Study
The aim of the study is to examine the Management of Workplace Conflicts in Business Environment Using Alternative Dispute Resolution using Delins Insurance Company Ikeja as a case study. In achieving this aim, the following specific objectives were laid out as follows:
- To ascertain the prevalence of workplace conflict among staffs in the study area;
- To determine the consequences of workplace conflict in the area under review;
- To find out the causes of workplace conflict in Delins insurance company Ikeja;
- To investigate the impact of workplace conflict on job satisfaction; and
- To examine the approaches of using alternative dispute resolution in the management of workplace conflicts.
1.5 Research Questions
The study came up with research questions so as to be able to ascertain the above stated objectives. The specific research questions for the study are stated below as follows:
- Are there consequences of workplace conflict in the area under review?
- Is there any relationship between workplace conflict and the organizational productivity?
- What is the prevalence of workplace conflict among staffs in the study area?
- What are the causes of workplace conflict in Delins insurance company Ikeja?
- What is the impact of workplace conflict on job satisfaction?
- What are the approaches of using alternative dispute resolution in the management of workplace conflicts?
1.6 Research Hypothesis
In order to pursue the objective of this study, the following generalized statements have been designed to guide and aids in obtaining the result for the experiment to be conducted. For this work, the null hypothesis will be represented with H0 while the alternative hypothesis will be represented with hypothesis H1.
Hypothesis One
- H0: Workplace conflict management does not have any significant effect on organizational productivity.
- H1: Workplace conflict management has significant effect on organizational productivity.
Hypothesis Two
- H0: Implementation of conflict management policies does not have significant effect on productivity.
- H1: Implementation of conflict management policies has significant effect on productivity.
Hypothesis Three
- H0: There are no consequences of workplace conflict in the area under review
- H1: There are consequences of workplace conflict in the area under review
1.7 Significance of Study
The importance of the study is to look at the impact of conflict management in the organization. It is hope that the findings and recommendations would be useful to both public and private organizations. This study will help managers in exploring the benefits realization that conflict can bring to any organization, using Delins Insurance Company Ikeja as a mirror.
This study will be of immense benefit to other researchers who intend to know more on this study and can also be used by non-researchers to build more on their research work. This study contributes to knowledge and could serve as a guide for other study.
1.8 Scope of Study
The scope of the research is focused on the Management of Workplace Conflicts in Business Environment Using Alternative Dispute Resolution using Delins Insurance Company Ikeja as a case study.
1.9 Limitations of the Study
During the course of this study, many things militated against its completion, some of which are:
- Time Constraint: The time frame given to accomplish this project was very short due to school academic calendar and it was carried out under pressure which made the researcher not to implement some necessary features.
- Research material: availability of research material is a major setback to the scope of the study.
- Frequent power failure: This made the researcher append more money on fuel to ensure sustainable power.
- Financial Constraint: Insufficient fund tends to impede the efficiency of the researcher in sourcing for the relevant materials, literature or information and in the process of data collection (internet, questionnaire and interview).
1.10 Operational Definition of Terms
Conflict: This is define as a disagreement between two or more organizational members or groups based on the fact that they need share resources or because they have different goals, values or perception.