Master conflict management strategies to transform executive clashes into business breakthroughs.
HUMAN RESOURCE®
Reprinted from HUMAN RESOURCE EXECUTIVE
January 2004 - Copyright © 2004. All rights reserved.
Executive Goliath vs. Goliath
Howard Guttman, a conflict-management expert, shares his views in a special Q&A on the strategic importance and dynamic potential of resolving clashes between executives.
Hardly a week passes without the announcement of some new corporate scandal. While the causes of such behavior may be buried deep within the “inner self” of offenders, such acts undoubtedly reflect a larger organizational malaise.
Why the organizational silence—or worse, collusion? Is whistle-blowing becoming the only safe way to express dissent? What can be done to open up an organization so disagreement can be safely expressed and the focus put on authentic achievement and business success?
To get answers, Human Resource Executive interviewed Howard Guttman, an expert in managing conflict and author of the recently published book, When Goliaths Clash: Managing Executive Conflict to Build a More Dynamic Organization. Guttman is also the principal of Guttman Development Strategies, a Ledgewood, N.J., consulting firm specializing in building high-performance teams, strategic alignment, and conflict management.
The Culture of Conflict
The parade of corporate scandals, from Adelphia to Enron to Xerox, has created what The Wall Street Journal terms a “Scandal Scorecard”—and has triggered a variety of solutions. As an expert in conflict management, what’s your assessment?
Many companies operate like the court of Louis XIV. There are back-room deals, off-line communications, and power politics. While you can’t eliminate underground behavior, you can make it easier to express disagreement and make conflict more transparent.
I can’t disagree with Sarbanes-Oxley and some of the restructuring suggestions for boards, but changing policies and procedures is only half the solution. You also need to address how directors interact with one another:
Do board members work well in a team setting?
Do they have the ability to disagree without closing down discussion?
Are they comfortable with head-on confrontation?
Leadership and NASA’s Lesson
The recent government report on the Columbia space shuttle tragedy pointed to a similar problem at NASA—namely, a culture that was averse to confronting issues and expressing disagreement.
The issue at NASA boils down to leadership. The report found that the NASA leadership was not open-minded, and disagreement was stifled—not uncommon traits in technically oriented organizations. Technical brilliance was favored over “soft” issues like leadership, employee engagement, and encouraging open discussion. Unresolved, so-called soft issues can have dire consequences.
Empowerment vs. Reality
With all the focus on empowerment, involvement, and shared decision-making, you’d think organizations would be more tolerant of dissent and disagreement.
True, but think about all the centrifugal forces at play:
Matrixed organizational structures
Asynchronous work patterns
Globalization and savage competitive pressures
Communication overload
Obsession with speed
Many organizations have become holding pens of conflict despite all the empowerment training.
Managing Conflict
Is the goal to outlaw conflict in the workplace?
That’s unrealistic. Conflict has been part of the human condition since Adam met Eve—and both met the Devil! You want to encourage people at every level to have an impact, to think beyond routine, and to confront issues and one another head-on, without saying, “Uh-oh, there’s a red light ahead. Let’s sidestep this one.”
Would you encourage people to run the light?
No. The goal is to have everyone take advantage of every opportunity to move the organization ahead. I’d like people to say, “Hey, this is a chance to engage. It seems like we have an issue here. How do we play it out? What are the ground rules for resolution?”
NASA and Ground Rules
Go back to the NASA example. What should have been done?
If NASA had in place ground rules for escalating issues, then the engineer who initially sounded the alarm might have been heard. Once the issue was brought forward, there are several ground rules and protocols that would have ensured a fair hearing:
No triangulation: engaging a third-party rescuer to promote your view.
No accusations in absentia.
Clear ground rules for decision-making processes: unilateral, consultative, or consensus-based.
A Leader Who Excels at Conflict Management
Take John Doumani, president-international at Campbell Soup. John insists that his team members surface and resolve conflicts as soon as they occur.
In his organization, it’s not just OK to raise sticky issues in public—it’s obligatory. Water-cooler conversation and corridor whispering become meeting-agenda items. Issues are treated as business cases, not reflections of personal worth. His team is animated, comfortable with conflict, and focused on resolving issues without tiptoeing around boundaries.
Scaling the Culture
Once the top team is working as a high-performance team—aligned in goals, roles, accountabilities, protocols, and business relationships—the goal is to replicate that performance throughout the organization until every team is touched. Think of it as building muscle memory into the organization.
HR’s Role
HR’s role is shifting from transactional to transformational. At companies like Johnson & Johnson and Pfizer, HR has a seat at the table, raising and properly confronting issues. HR acts as a process guardian, ensuring protocols are in place and working.
The Cost of Conflict
According to an American Management Association study, managers spend 20 percent of their time on conflict. If an executive earns $250,000 annually, $50,000 of their salary is spent on conflict management. Imagine how much more productive that money could be!
The Bottom Line
The benefits of managing conflict—faster decision-making, diminished silos, and less infighting—create great focused energy, key to superior performance.
Howard M. Guttman is principal of Guttman Development Strategies (GDS), a Ledgewood, NJ-based management consulting firm specializing in aligning senior management teams, strategic development, executive coaching, and conflict management.
For more information, visit www.guttmandev.com.