The Idea in Brief
Think “conflict” is a dirty word, especially for top-management teams? It’s actually valuable for team members to roll up their sleeves and spar (figuratively, that is)—if they do it right. Constructive conflict helps teams make high-stakes decisions under considerable uncertainty and move quickly in the face of intense pressure—essential capacities in today’s fast-paced markets.
The key? Mitigate interpersonal conflict. Most conflicts take a personal turn all too soon. Here’s how your team can detach the personal from the professional—and dramatically improve its collective effectiveness.
The Idea in Practice
The best teams use these six tactics to separate substantive issues from personalities:
- ignorance. Arm yourselves with a wealth of data about your business your competitors. This encourages you to debate critical , not argue out of
Example:
Star Electronics’* top team “measured everything”: bookings, backlogs, margins, engineering milestones, cash, scrap, work-in-process. They also tracked competitors’ moves, including product introductions, price changes, and ad campaigns.
- possibilities. In weighing decisions, consider four or five options at once—even some you don’t support. This diffuses conflict, preventing teams from polarizing around just two
Example:
To improve Triumph Computer’s* lackluster performance, managers gathered facts and then brainstormed a range of alternatives, including radically redirecting strategy with entry into a new market, and even selling the company. The team combined elements of several options to arrive at a creative, robust solution.
- solution. Unite a team with common goals. This rallies everyone to work on decisions as collaborations, making it in interest to achieve the best
Example:
Star Electronic’s* rallying cry was the goal of creating “the computer firm of the decade.” Premier Technologies’ was to “build the best damn machine on the market.”
- creativity. Humor—even if it seems contrived at times—relieves tension and promotes collaborative esprit within a team. Practical jokes, Halloween and April Fool’s Day celebrations, and “dessert pig-outs” relax everyone—increasing tactfulness, effective listening, and
- equity. The CEO is more powerful than other executives, but the others wield substantial power as well—especially in their own areas of responsibility. This lets the whole team participate in strategic decisions, establishing fairness and
- equity. If the team can’t reach consensus, the most relevant senior manager makes the decision, guided by input from the others. Like balancing the power structure, this tactic also builds fairness and
Example:
At Premier Technologies*, managers couldn’t agree on a response to a competitor’s new-product launch. Ultimately, the CEO and his marketing VP made the decision. Quipped the CEO: “The function heads do the talking; I pull the trigger.”
Top managers are often stymied by the difficulties of managing conflict. They know that conflict over issues is natural and even necessary. Reasonable people, making decisions under conditions of uncertainty, are likely to have honest disagreements over the best path for their company’s future. Management teams whose members challenge one another’s thinking develop a more complete understanding of the choices, create a richer range of options, and ultimately make the kinds of effective decisions necessary in today’s competitive environments.
