Conflict happens when there are dissimilarities in opinions, values or goals in deciding or resolving a matter where each party would want the best outcome. This situation is common when there are a group of people deciding on a matter or problem.
As each individual is unique, more people in a group will generally generate more ideas in resolving certain issues. In this case, Lofgren introduced the framework of six-person executive group into Schneider National that has a set of skills, perspectives and experience so that the top management of the company will be more effective in bringing the company towards success. As individuals in the executive team on Schneider National have their own specific scope of expertise, having more different opinions to resolve an issue can lead to more chances for conflict to happen as each member in the team will generally have their own indication and ideas of achieving certain goals. This situation will create cognitive conflicts.
This is where a leader should play its role in managing conflicts arising in the management team to make sure that teamwork remains healthy. Some of the conflict management techniques are as follows:
•Negotiation It is the process of making joint decisions when the parties involved have different preferences.
•Alternative dispute resolution A neutral third party works with people involved in a negotiation to help them resolve impasses and settle disagreements.
•Arbitration A third party acts as a “ judge” and has the power to issue a decision that is binding on all disagreeing parties.
•Mediation A neutral third party tries to engage disputing parties in a negotiated solution through persuasion and rational argument.
In this case, Lofgren as the Chief Executive Officer of the company has remained fair and took initiatives in making sure that the executive group works together. At first, Lofgren uses negotiation to solve conflicts. He wanted the group to have an enterprise solution by compromising or otherwise, the group will have to deal with each other’s disagreements and therefore needs someone else to be the judge or referee. Lofgren states that he did not want this situation to happen.
Lofgren also uses collaboration or problem confronting conflict management by valuing their goals and relationships. The reason he took the framework of the six-person executive group is so that the company could maintain its oversight in the areas specialized by each group members. He also wanted the group to develop a sense of responsibility for the financial performance of the whole company. Therefore each individual in the group have to learn how to work together as Lofgren states that “ Conflict between people or between groups of people is not positive but conflict around business issues is the most wonderful healthy thing”.
However, if those ways did not work Lofgren choose for mediation and bring outside counsel to help the group understand one another and reach a solution. They have brought outside counsel to help them better listen and understand one another and focus their debate on critical issues. This will then clear the individual’s intentions and they will be more cooperating, accommodating, compromising and collaborate to create win-win situations.
Thus, a group should learn how to work together to make sure that clashes of ideas and opinions is managed carefully to avoid consuming too much time in reaching a decision as this could lead to other unwanted consequences hence slowing the company and goals became unachieved. Therefore, to remain successful, a group will have to work together to make sure a group works effectively.
