LOGO

Managing Organizational Change

at Intergroup Level
Change Management –
Different Levels

TRANS-ORGANIZATION

ORGANISATION

INTER-GROUP
Level
GROUP

INDIVIDUAL

Diagnosed issue
Change Management – Impact
at Intergroup Level
Positive Impacts –
FUNCTIOIONAL CONFLICTS

Negative Impacts
DYSFUNCTIONAL CONFLICTS
Change Management –
Positives (Intergroup)

Functional Conflict
Change Management –
Negatives (Intergroup)

Intergroup Conflicts
Impact of Intergroup Conflicts on Organizational
Development
Management of Intergroup Conflicts
Change Management –
Negatives

Intergroup Conflicts
Impact of Intergroup Conflicts on Organizational
Development
Management of Intergroup Conflicts
Change Management –
Intergroup Conflicts

Define Dysfunctional
Intergroup Conflicts?

Any confrontation or interaction

between groups that…

 Harms the organization

 Hinders achievement of goals

Change Management –
Intergroup Conflicts

Define Dysfunctional
Intergroup Conflicts?

Any confrontation or interaction

between groups that…

 Harms the organization

 Hinders achievement of goals

Change Management –
Intergroup Conflicts

Conflict and Organizational

Performance

Conflict has a positive or negative

impact on organizational performance,
depending on…

 The nature of the conflict

 How the conflict is managed
 Change Management –
Intergroup Conflicts

Conflict and Organizational

Performance

When the conflict level is too low…

 Innovation and change are difficult
 It is hard to adapt to change

When the conflict level is too high…

 Organizational survival is at risk
Change Management –
Intergroup Conflicts
Situation II
High Functional
Performance

Low Low High

Performance Conflict Conflict

Level of Intergroup Conflict

Situation I Situation III
Dysfunctional Dysfunctional
 Change Management –
Intergroup Conflicts and
Productivity
Conflict that impacts group functioning -

Task Conflict: Members have differing viewpoints and

opinions pertaining to the group’s task
Relationship Conflict: Interpersonal incompatibilities
between group members
Process Conflict: Controversy surrounding how tasks
will be accomplished
Change Management –
Intergroup Conflicts - Causes
Work Interdependence

Pooled Interdependence: No interaction among groups

because each performs separately

Sequential Interdependence: One group completes its

task before another can complete its task

Reciprocal Interdependence: Each group’s output serves

as input to other groups
Change Management –
Intergroup Conflicts - Causes

Differences in Goals

Limited Resources: When limited resources are

allocated, mutual dependencies increase, and
differences in group goals become more apparent

Reward structures: Conflict is more likely

when the reward system is geared toward group
performance rather than to overall organizational
performance
Change Management –
Intergroup Conflicts - Causes
Differences in Perceptions

 Different goals

 Different time horizons

 Status incongruence

 Inaccurate perceptions

 Increased demand for specialists

Change Management –
Intergroup Conflicts -
Consequences
Changes Changes
Within Groups Between Groups

• Increased group • Distorted perception

cohesiveness • Negative stereotyping
• Rise in autocratic • Decreased
leadership
communication
• Focus on activity
• Emphasis on loyalty
to the group
 Change Management –
Intergroup Conflicts
Management

• Managers spend more than 20% of

their time in conflict management
Change Management –
Intergroup Conflicts –
Resolution Methods
 Problem solving
 Superordinate goals
 Expansion of resources
 Avoidance
 Smoothing
 Compromise
 Authoritative command
 Altering the human variable
 Altering structural variables
 Identifying a common enemy
Change Management –
Intergroup Conflicts –
Negotiation
A collaborative…
 Pursuit of joint gains

 Effort to create value where none existed

Done poorly, the process can be a street fight

 Negotiation is done on a continuing basis

 With subordinates, superiors, vendors, and

customers
Change Management –
Intergroup Conflicts – Group
Negotiations

Take place whenever one

group’s work depends on
the cooperation and
activities of another group,
over which the first group’s
manager has no control.
Change Management –
Intergroup Conflicts – Managing
Intergroup Conflict
 Techniques that can stimulate conflict to a
functional level
 Communication
 Bringing outside individuals into the group
 Altering the organization’s structure
 Stimulating competition among groups

 Managing intergroup conflict through

stimulation is difficult

 It can quickly become dysfunctional

conflict
Change Management –
Intergroup Conflicts –
Management Role
Critical elements

 Commitment

 Trust

 Sharing of information

 Training

 Union partnership