ANALYZING THE CONFLICT MANAGEMENT MODEL AND HOW IT AFFECTS ORGANIZATIONAL SUCCESS
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ABSTRACT
This study was conducted to determine the effect of conflict management on the performance of the National association of cooperative credit unions of Nigeria (NACCUN) as an organization. A descriptive survey methodology was adopted. The target audience consisted of National association of cooperative credit unions of Nigeria employees from all cadres, including senior management, operational employees, and other part-time workers (NACCUN). The sample frame for the study was the staff register handled by the Human Resource Department. The study employed the census method, so the overall sample size consisted of 153 employees. In response to the research questions, structured questionnaires were utilized to collect data. Using version 21 of the statistical package for the social sciences, the results were objectively and scientifically examined. Utilizing descriptive and inferential statistics, correlation and regression analyses were employed in data analysis. The nature of the impact of the independent factors on the dependent variable was determined by means of a linear regression model.
FIRST CHAPTER
INTRODUCTION
1.1 BACKGROUND OF THE STUDY
Conflict among employees in an organization is not only unavoidable; it is inherent to complex organizations (Putnam & Krone, 2006). However, if it is managed effectively, it can have a positive effect on employee satisfaction and performance (Dana, 2000). According to research, management executives spend twice as much time resolving employee conflicts as they did a decade ago (Accountemps, 2006). If conflicts are effectively managed by employing the optimum course of action, the organization can boost its performance in terms of maximizing the use of limited resources and attaining its goals (Awan & Anjum 2015). In contrast, uncontrolled conflict has a detrimental effect on employee happiness and performance. The timely management of conflict has the potential to enhance employee satisfaction and job performance (Awan & Anjum 2015). In order to boost organizational effectiveness, management should therefore resolve disagreements (Song, 2000).
Performance within the context of an organization is the capacity to carry out one’s duties competently (Armstrong, 2006). According to Lebans & Euske (2006), performance is a combination of financial and nonfinancial measures that provide information regarding the degree of achievement of objectives and results. According to Babin and Boles (2000), employee performance involves leading and encouraging people to work as effectively and efficiently as feasible in accordance with the organization’s needs. This consists of job satisfaction, dedication, and perceived psychological contract (Armstrong, 2000). The National association of cooperative credit unions of Nigeria (NACCUN) uses the balanced score card system to evaluate the performance of each employee, taking into account their financial, business operation efficiency, customers, learning, and growth. However, the National Association of Cooperative Credit Unions of Nigeria (NACCUN) and other Saccos in Nigeria have concentrated primarily on membership expansion as the key performance indicator, with other business factors being on the periphery of the key performance indicators.
Armstrong (2006) defines conflict management as the capacity of an organization to identify the sources of conflict and implement strategic strategies to reduce or eliminate conflict.
According to Petkovic (2008), conflict management requires the development of conflict resolution skills, the establishment of conflict model structures, the implementation of strategic measures and methods, and the establishment of conflict model structures. Models of conflict management are instruments used to assess the action required in a conflict situation. These models include Blake and Mouton, Thomas Kilman, and Holton (Newell, 2008) Approaches to conflict management are predicated on the premise that disputes cannot necessarily be resolved, but they can be managed by acts such as accommodating, avoiding, collaborating, compromise, and confrontation. (Brigs, 2007) Conflict management techniques are a future-oriented, comprehensive approach that focuses on the parties’ long-term success. Strategies include negotiation, collective bargaining, mediation, third-party intervention, creativity, and communication (Petkovic, 2008). This study focused on the strategies of conflict management, specifically negotiation, third-party intervention, and communication. Previous research indicates that negotiation, third-party intervention, and communication have been effective in organizations worldwide, including Canada, the United States, Nigeria in Africa, and Nigerian organizations. This study aims to fill up the gaps in the literature about National association of cooperative credit unions of nigeria (NACCUN) as an organization, for which there have been no previous studies.
Negotiation is the most prevalent method for resolving problems, and it is effective when the opposing parties’ interests are partially shared and partially dissimilar (Shalley et al., 2004). A negotiation is a procedure whereby compromise or agreement is obtained while avoiding controversy and conflict. (Verma, 2006) Since the essence of negotiation involves the ability to move beyond existing ideas and create alternatives, it can help an organization come up with a good performance plan by setting objectives that will drive organizational performance (LeBaron, 2003). For instance, a study on conflict management strategies used in secondary schools (Okoth, 2013) concluded that the conflict management strategies of negotiation used in secondary schools in Kisumu municipality are as follows: a) Identifying the root cause of the conflict; b) Identifying the root cause of the conflict;
The National association of cooperative credit unions of Nigeria (NACCUN) has not been the subject of a study demonstrating the effectiveness of negotiation, third party intervention, and communication in global and regional organizations. The National Association of Cooperative Credit Unions of Nigeria (NACCUN) provides a solid foundation for determining the impact of conflict management on organizational performance, given that employees are the primary actors in a conflict situation and also the most important resources in driving performance. This study aimed to evaluate how conflict management affects the functioning of the National association of cooperative credit unions of Nigeria (NACCUN) Society as an Organization.
1.2 STATEMENT OF THE PROBLEM
In recent years, conflict management has garnered increasing attention. First, there is heightened interest in the need for organizations to move to high performance work systems (Awan & Anjum 2015).
Conflict management in the Nigerian environment has been the subject of a limited number of research papers. Usman (2010) conducted a study on the impacts of workplace conflicts on the performance of secondary school teachers in Nigeria and determined that workplace conflicts had an effect on performance. Similarly, a report on the results of a survey of educational institutions in Nigeria revealed that the majority of educational institutions have been less successful in managing conflicts despite the implementation of government policies such as arbitration, communication, third party intervention, and negotiation (Ministry of Education report, 2008). Many of the uncontrolled conflicts were characterized by violent teacher’s strikes and willful destruction of property. The academic performance of the university was consequently affected. This study aimed to determine the impact of conflict management on organizational performance, with a particular focus on the National Association of Cooperative Credit Unions of Nigeria (NACCUN).
1.3 AIM OF THE RESEARCH
This study was conducted to investigate the impact of conflict management on organizational performance.
The purpose of this study was to investigate organizational conflict in its whole, with a focus on:
To determine the influence of bargaining as a conflict management approach on organizational performance.
Determine the extent to which third party intervention as a conflict management approach impacts organization performance.
To investigate how communication as a conflict management approach effects organization performance
ANALYZING THE CONFLICT MANAGEMENT MODEL AND HOW IT AFFECTS ORGANIZATIONAL SUCCESS
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