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ONAH UJU
PG/MBA/08/47824
PG/M. Sc/09/51723
CONFLICT MANAGEMENT IN BANKING ORGANIZATION: A
STUDY OF UNITED BANK OF AFRICA (UBA) AND FIRST BANK
OF NIGERIA PLC.
PUBLIC ADMINISTRATION
A THESIS SUBMITTED TO THE DEPARTMENT OF MANAGEMENT, FACULTY OF
BUSINESS ADMINISTRATION, UNIVERSITY OF NIGERIA ENUGU CAMPUS
Webmaster
Digitally Signed by Webmaster’s Name
DN : CN = Webmaster’s name O= University of Nigeria, Nsukka
OU = Innovation Centre
MAY, 2010
2
TITLE PAGE
CONFLICT MANAGEMENT IN BANKING ORGANIZATION: A STUDY OF UNITED
BANK OF AFRICA (UBA) AND FIRST BANK OF NIGERIA PLC.
BY
ONAH UJU
PG/MBA/08/47824
DEPARTMENT OF MANAGEMENT
FACULTY OF BUSINESS ADMINISTRATION
UNIVERSITY OF NIGERIA
ENUGU CAMPUS
MAY 2010
3
CERTIFICATION
ONAH UJU a Postgraduate student of Department of
Management with Registration Number PG/MBA/08/47824
has satisfactorily completed the research work for the MBA
Programme in Management, Faculty of Business
Administration.
This work embodied in this report is original and has not
been submitted in part or in full for any degree in this or any
other university.
___________________ _________________
MR. CHUKWU C.O. CHIEF EZEH J.A.
Head of Department Supervisor
________________ _________________
Date _______________ Date
ONAH UJU
PG/MBA/08/47824
_____________________
Date
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DEDICATION
This project work is dedicated to Almighty God for his
invaluable mercies and to my family for laying a good
foundation on which I stood to attain to this level and to my
husband for his financial support.
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ACKNOWLEDGEMENT
My profound gratitude goes to God Almighty for his
Mercies and Grace upon my life during the course of my
struggle for acquisition of knowledge.
I am indeed grateful to my husband Mr. Nnamdi Alukwu
and my child Miss Chimamanda Alukwu for what they have
made me to be today. For all their supports; financially,
socially, morally and otherwise.
My sincere gratitude also goes to my supervisor Chief
J.A. EZEH and other Lecturers who have immensely enriched
me in knowledge.
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ABSTRACT
This study titled “conflict management in corporate
organizations; A study of UBA, FBN Plc, Enugu Branch” is
aimed at investigating the types, causes and effects of
organizational conflicts in the organization as well as the
strategies adopted in managing the conflicts in the bank. The
survey research method was adopted for the study. Primary
data were collected from selected staff of the bank using
questionnaire and interview techniques. Secondary data were
collected from published works. Data were presented in tables
as frequency distribution and analyzed with percentage and
frequency. The Z-test technique was applied in testing the
hypotheses. The major findings of the study were as follows;
- Conflicts regularly occur in the bank. These include
intrapersonal, inter-personal and group-management
conflict.
- The causes range from personal trait and goals,
organizational policies to poor communication and
reward system.
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- The conflict management strategies adopted include
avoidance, accommodation, competition, compromise,
collaboration, mediation, counseling, team resolution,
etc.
- Conflicts have adverse effects on employees and the
organization.
- Effective conflict management enhances organizational
performance.
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TABLE OF CONTENT
Title Page … … … … … … … … i
Certification … … … … … … … … ii
Dedication … … … … … … … … iii
Acknowledgment … … … … … … … iv
Abstract … … … … … … … … … v
Tables of Contents … … … … … … … vi
List of Tables … … … … … … … … vii
CHAPTER ONE: INTRODUCTION
1.1 Background of the Study … … … … …
1.2 Statement of Problem … … … … …
1.3 Objectives of the Study … … … … …
1.4 Research Questions … … … … … …
1.5 Hypotheses … … … … … … …
1.6 Significance … … … … … … …
1.7 Scope and Limitations of the Study … … …
1.8 Definition of Terms … … … … … …
References … … … … … … …
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CHAPTER TWO: LITERATURES REVIEW
2.1 Meaning of Organizational Conflict … … …
2.2 Types of Conflict in Organizations … … …
2.3 Causes of Conflict in Organizations … … …
2.4 Conflict Management Aids … … … …
2.5 Techniques of Conflict Management … … …
2.6 Impact of Conflict on Organizational Performance
2.7 Impact of Effective Conflict Management
on Organizational Performance … … … …
CHAPTER THREE: RESEARCH METHODOLOGY
3.1 Research Design … … … … … … …
3.2 Sources of Data … … … … … … …
3.3 Population … … … … … … … …
3.4 Sample Size Determination and Sampling Technique 3.5
3.5 Instrument for Data Collection … … … …
3.6 Method of Data collection … … … … … …
3.7 Method of Data Analysis … … … … …
CHAPTER FOUR: DATA PRESENTATION AND ANALYSIS
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4.1 Presentation and Analysis of Data … … … …
4.2 Test of Hypotheses … … … … … … …
CHAPTER FIVE: SUMMARY, CONCLUSION AND
RECOMMODATIONS
5.1 Summary of Findings … … … … … …
5.2 Conclusion … … … … … … … ...
5.3 Recommendations … … … … … … …
Bibliography
Appendix
Questionnaire
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LIST OF TABLES
Table 4.1: Administration of questionnaires … … …
Table 4.2: Sex Distribution of Respondents … … …
Table 4.3: Age Distribution of respondents … … …
Table 4.4: Marital distribution of respondents … … …
Table 4.5: Qualification of respondents … … … …
Table 4.6: Distribution of respondents according to years
of service … … … … … … …
Table 4.7: Responses to occurrence of conflict in the bank
Table 4.8: Types of conflicts occurring in the bank … …
Table 4.9: causes of organizational conflict … … …
Table 4.10: Responses to poor superior-subordinate
relationship causing organizational conflict … … …
Table 4.11: Conflict Management strategies adopted in the
bank … … … … … … … … … …
Table 4.12: Other conflict management strategies … …
Table 4.13: Extent of effectiveness of conflict management
strategies. … … … … … … … … … …
Table 4.14: Responses to specific conflict re-occurring in the
bank … … … … … … … … … …
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Table 4.15: Responses to conflicts hampering effective
interpersonal and group relationships … … … …
Table 4.16: Responses to conflicts hampering effective
interpersonal and group relationships … … … …
Table 4.17: Impact of organizational conflict on employees
Table 4.18: Responses to organizational productivity …
Table 4.19: Impact of organizational conflict on organizational
performance … … … … … … … … …
Table 4.20: Responses to effective conflict management
enhancing organizational performance … … … …
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CHAPTER ONE
INTRODUCTION
1.1 BACKGROUND OF THE STUDY
Conflict is a regular feature of formal organizations which
results from divergences in interests of individual workers and
management. Because individuals differ in their values,
attitudes and goals, conflict among them becomes
unavoidable. Conflict occurs at both individual and collective
levels, personality and other structural factors coming into
play. Obisi (2005:47) observes that there is intra-management
conflict just as conflict situations do occur between and
among groups of workers and their organizations as well as
between individuals.
Two types of conflicts at work have been distinguished. These
are organized and unorganized conflicts. Otobo (2005:125)
expresses that organized conflict forms part of a conscious
strategy to change the situation which is identified as source
of discontent. This type of conflict is thus a group activity,
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involving deliberate decisions taken at a mass meeting or by
selected representatives of affected staff.
In unorganized conflict, the worker responds to the situation
in the only way open to him as an individual, that is, by with
drawing from the source of discontent, or in reaction engaging
in sabotage and rudeness Agwu (2006: 12) argues that such
reaction rarely derives from any real calculative strategy.
Indeed, unorganized expression of conflict are often, not
regarded as conflict by the persons in the situation. This is
why most people may not ordinarily associate acts of rudeness
with being in a state of conflict. Quite often such rude
behaviour may be attributed to “bad mood” and similar
psychological states of mind. Conflicts in organizations,
whether organized or unorganized individual or group, need to
be managed effectively because of their effects on the
organization.
Conflict situations affect the overall effectiveness of co-operate
organizations in the sense that they cause disharmony among
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organizational participants impacting negatively on
organizational performance. This is because useful time and
resources are wasted during conflicts in organizations.
Nevertheless, we have to bear in mind than on organization is
immune to conflict within itself since every organization is
made up of different individuals with diverse interests, goals,
ideas and temperaments and it is very difficult to harmonize
these divergences. As a corollary, interests and goals usually
conflict between the individuals and the management team as
well as within the management team members.
Conflict management is an important aspect of corporate
management. Ugbaja (2002:111) notes that the aim of conflict
management is not to create an ideal corporate situation since
that is not attainable given the divergences in the individuals
goals, etc. However, conflict management systematically uses
the available conflict resolution strategies to build an effective
mechanism for conflict management in corporate
organizations. Although there may be existing mechanism and
procedures already in place to deal with conflicts whenever
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they occur, some organizations with reactive managers rise to
the situation when it occurs.
Dunlop (2002:321) expresses that the virtues of organizational
harmony underscores effective conflict management which is
indisputable to effective organization‟s performance. For this
reason every corporate organization strives to ensure good
work environment in which relationships among workers on
the one hand, and workers and management on the other are
cordial and appreciated by all the organization‟s participants.
The banking industry is one such sector where conflict
management is not only essential but should be effective given
the institutions‟ vulnerability to huge financial losses
whenever there is conflict.
Against this background, therefore, this study is set to
examine conflict management in the United Bank for Africa,
Plc with a view to determining its impact on its performance.
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1.2 STATEMENT OF PROBLEM
Conflicts in organizations have destabilizing effects on the
overall performance of the organization. It leads to under
performance since valuable time and resources (human and
material) are used in controlling and managing conflicts rather
than in enhancing output and productivity. Conflicts also lead
to interpersonal disharmony in the organization which makes
attainment of organizational goals difficult. Attaining
organizational goals is possible if efforts are always made to
reduce the overall level of conflict within the organization.
Consequently, it is very imperative that efforts are made
towards finding ways of effectively managing conflict so as to
achieve organizational objectives. The problem of poor conflict
management in corporate organizations with particular
emphasis on UBA and First Bank of Nigeria, Plc is the focus of
this study.
1.3 OBJECTIVES OF THE STUDY
The objectives of this study are;
i. To identify the causes of conflicts in corporate
organizations.
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ii. To examine the different strategies of conflict
management in organizations.
iii. To determine the extent to which these strategies are
effective.
iv. To determine the impact of conflict on workers‟
productivity.
v. To determine the impact of effective conflict management
on organizational performance.
1.4 RESEARCH QUESTIONS
The following questions will be addressed in this study;
i. What are the causes of conflicts in corporate
organizations?
ii. What are the different strategies for conflict management
in organizations?
iii. To what extent are the strategies effective?
iv. What is the impact of conflicts on workers‟ productivity?
v. What is the impact of effective conflict management on
organizational performance?
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1.5 HYPOTHESES
The following hypotheses are postulated for this study;
Ho: Organizational conflict does not arise from poor
superior-subordinate relationship.
H1: Organizational conflict arises from poor superior-
subordinate relationship
Ho: Organizational conflict does not hamper workers‟
productivity.
H1: Organizational conflict hampers workers‟
productivity.
Ho: Effective conflict management does not enhance
organizational performance
H1: Effective conflict management enhances
organizational performance.
1.6 SIGNIFICANCE OF THE STUDY
This study is very important in several respects. Firstly, it will
be beneficial to management in all corporate organizations.
This is because conflict has become a regular and frequent
feature of corporate organizations. By investigating the causes
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of organizational conflicts the study will be able to find out
how the conflicts will be minimized since they cannot be
completely avoided. Besides, in examining the causes of
conflicts, the study will be able to determine why they re-
occur. Furthermore, by examining how conflicts are managed,
the study will be able to find out the limitation of the
strategies. All these will provide the basis on which
recommendations will be made for the benefit of management.
Secondly the government will also benefit from the study. As
conflicts occur at organizational level so do they occur in the
public sector level. The findings of this study will be very
useful to the government in formulating effective strategies for
managing conflicts in the public sector.
Thirdly, employees in both the private and public sector
organizations will also benefit from this study. This is because
it will show how their intra and inter-relationships bring about
conflict and how they can accommodate one another or what
approach to adoption order to avoid conflicts.
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Fourthly, union leaders will also benefit from the study. This is
because the findings will show how they can use their
positions in helping to ensure sustained harmony in corporate
organizations. Finally, the study will be useful for academic
purpose. This is because students who will carryout related
studies will use this project report as a reference material.
1.7 SCOPE AND LIMITATIONS OF THE STUDY
This study focuses on conflict management in corporate
organizations. No doubt, it will be practically difficult to cover
all organizations in this study. Hence, the scope of the study is
restricted to United Bank of Africa and first bank of Nigeria,
Plc‟s, Enugu.
The following are the limitations of the study;
1. Uncooperative attitude of some of the staff of UBA, Plc
who refused to complete the questionnaires given to them
or to be interviewed for fear of official reprisal. Their
refusal to cooperate adversely affected the amount of
data collected through primary sources.
2. Financial Constraint: The study could have been very
extensive if more organizations were included. But the
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researcher could not afford the cost involved. Thus, the
study is restricted to only one corporate organization.
3. Time Constraint: The researcher could not complete the
study within a record time because of the pressure of
other academic works on her.
1.8 DEFINITION OF TERMS
Conflict: This refers to a situation of disharmony and
grievance.
Organization: This refers to a combination or group of people
who work together to achieve a goal.
Idiosyncrasy: This refers to a set of attitudes, behaviors and
values which characterize an individual.
Goal: This refers to a set objective.
Goal congruency: This is a situation of overlapping personal
interests.
Strategy: This is an approach or measure adopted in order to
achieve a goal.
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Corporate Organization: This refers to a business entity.
Disharmony: This refers to a situation of absence of
togetherness.
Management: This refers to the art of planning, organizing,
directing and controlling.
It also refers to decision-makers in a corporate organization.
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REFERENCES
Agwu, A (2006) Corporate Management; Issues and Strategies Enugu: Precision Printers.
Dunlop, J. (2002) Strategic Management Approach. London: Botten Press.
Obisi, C. (2005) Understanding and Managing Conflicts In the Workplace. Lagos: Interpublishers.
Otobo, D. (2005) Managing Industrial Conflicts. Logos: Virgin Falls Publishing Co.
Ugbaja, C.O (2002) Conflict Management and Industrial Performance. Benin City: Ethiope Publishing Co.
25
CHAPTER TWO
LITERATURE REVIEW
In this chapter, the researcher reviews some relevant literature
on the subject-matter.
2.1 MEANING OF ORGANIZATIONAL CONFLICT
Conflict is conceived to be an outcome of behaviour which is
an integral part of human life. Dunlop (2002:310) expresses
that conflict is a disagreement between two or more
individuals or groups with each individual or group trying to
make the other accept its view or position. Ugbaja (2002:108)
defines organizational conflict as any dispute, individual or
group, that arises in the work place which causes disharmony
among a group of workers or between an individual and the
management. Sinclair (2005:192) sees conflict as a
disagreement between employees and their employers.
In analyzing conflict situation in corporate organizations,
McDaniel (2001:201) explains that organizational conflicts
arise because participants in an organization differ in their
attitudes, values, beliefs, goals and understanding. For this
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reason, conflict is unavoidable. This implies that it is the
difference in the orientation, personalities and identities of
individuals and groups within an organizational framework
that brings about organizational conflict.
In the context of industrial relations, Levine (2000:199)
describes organizational conflict as any disagreement between
workers and employers over a breach of the tent. As long as
workers and employers abide by the terms of agreement there
is bound to be organizational harmony. Disagreements arising
from breach of the terms of employment contract have been
known to result in organizational conflicts. Accommodation
and resolution of conflict is the central them and subject-
matter of industrial relations.
Agreements are reached between the workers and employers
on the terms of employment and conditions of work. Ubaku
(2003:109) explains that the terms of employment of persons
include such things as wages, hours of work compensation,
leave, promotion, fringe benefits among others. Conditions of
work include environment to the workers‟ efficiency or his
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enjoyment of the job, these include safety and working
conditions generally, health and welfare of the employee.
Nwatu (2004:81) remarks that in all organizations, employees
and employers have common interests in getting work done.
What constitutes the work, how the work should be done and
the price of labour services in the price of labour services in
the work process constitute areas where the interests of the
two parities vary. It is therefore essential to put in place
machineries for effective management of conflicts naturally
resulting from their common and opposing interests.
2.2 TYPES OF CONFLICTS IN ORGANIZATIONS
Doyles (2000:32) distinguishes between two types of conflict in
organizations. These are individual conflicts (which can arise
as a result of one employee feeling aggrieved) and collective
conflict (which may originate from an individual employee or
many result from a disagreement between the union and
management). Accordingly, individual conflict arises when an
employee considers that he has been maltreated or deprived
something that he is legitimately entitled to or that some right
28
of his has been breached. This may arise from unfair
disciplinary measure taken against the individual, lack of
promotion opportunities for him, deprival of annual increment,
among others. This conflict, unless properly investigated can
have adverse effects on the employee concerned.
On the other hand, collective conflict arises either from
misinterpretation of collective agreement or non-
implementation of the whole or parts of the agreement. It may
also result from break down of collective bargaining. Doyles
(2000:33) expresses that in some cases, a conflict that begins
as an individual conflict can develop into a collective conflict.
Generally, conflicts involving an individual are ever having his
rights i.e. what he thinks he is entitled to as a workman in his
workplace. Collective conflicts are concerned mainly with
economic matters except in cases where individual conflicts.
The conflict may arise either because of a break down in
collective agreement on misinterpretation of collective
agreement on, in yet other cases, the non-implementation of
the whole or parts of the agreement.
29
While agreeing with this expression, Dunlop (2002:315)
remarks that organizational conflicts that arise from collective
grievances may also be the result of non-observance of
conditions of an individual or disciplinary measures. A large
number of conflicts that occur in organizations may be those
concerning situations not governed by rules. Such conflicts
emanate essentially from individual workers and may be
because of an alleged ill-treatment of the workers by his boss
or the result of some claimed right.
Chandan (2005:115) distinguishes between five types of
conflicts which occur within an organization. These include
the following;
i. Intra-personal conflict
ii. Inter-personal conflict
iii. Personal-group conflict
iv. Inter-group conflict
v. Inter-organizational conflict
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Accordingly, intra-personal conflict occurs within an
individual which results from conflict between an individual‟s
goals and the values expected of him. The circumstance
creates a tension in the individual as he tries to satisfy both
his personal interest and what people expects from him.
Nwatu (2004:92) examplarifies this type of conflict with a bank
cashier who is expected to remain polite to a customer in the
face of high level of provocation by the customer just to
maintain good relations with the customer.
ii. Inter-personal conflict
Chandan (2005:115) states that this type of conflict occurs
between two or more individuals in the organization. It occurs
due to disagreements between individuals over the goals of an
organization which they are left to decide for themselves. Their
respective desires for organization may conflict resulting in
disagreements it is based on opinions rather than on facts.
Such competition also result from competition among
individual workers arising from limited vacancies and
opportunities for personnel development and promotion in the
organization.
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iii. Personal-Group conflict
Osborne (2001:211) defines a group as two or more people
acting independently but in unified manner towards achieving
a common goal and in the process they share common
concern, values or ideologies. Individual members are expected
to adhere strictly the group‟s norms, when an individual
member‟s behaviour is not in agreement with the groups
norms and values.
iv. Inter-group conflict
This type of conflict occurs when there is disagreement
between groups, departments, sections or units in an
organization over established norms and values. Chandan
(2005:116) observes that such conflicts are not personal in
nature because they arise from factors inherent in the
organizations structure e.g. when tasks are properly defined,
they cause conflict. Again, such conflicts may arise due to
inconsistencies in performance criteria for different units and
groups.
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In examplarifying this type of conflict, Nwatu (2004:97)
explains that cashiers are rewarded on the basis of the
number of customers attended to at the counter whereas
customer-care staff are rewarded based on the level of
satisfaction they offer to customers. Invariably, conflict will
arise because cashiers meet more customers than customer-
care staff.
v. Organizational Conflict
These types of conflicts exist among organizations. Such
conflict arises when the policies of one organization causes
one organization causes disaffection among management or
employees of other organization.
2.3 CAUSES OF CONFLCITS
Several factors have been identified as causes of conflicts in
organizations. These include;
2.3.1 POOR COMMUNICATION
Communication is the exchange of ideas, information or
knowledge between individuals. Through communication,
management information employees about decisions taken on
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the workers‟ welfare and the workers inform management
about their needs and problems. Thus, communication
enhances interpersonal relationships in the organization and
fosters understanding among everybody in the organization.
However, Ugbaja (2002:118) observes that when
communication is ineffective, there is information gap between
the management team and employees on the one hand and
between the employees on the other, and even among the
managers. This situation is bound to create mistrust,
misunderstanding and suspicion. The result is organizational
conflict as employees would not understand why certain
decisions are taken as they are not consulted.
2.3.2 ORGANIZATIONAL POLICIES AND OBJECTIVES
Organizational policies and objectives are always conflict
prone areas in corporate organizations. Organizational goals
are always task-oriented and not always welfare-oriented.
Darel (2003:172) states that this always creates tension and
conflicts in the organization as such goals often conflict with
34
employees goal. For instance, the policy of profit plough-back
leaves little fund for improvement of workers‟ welfare.
2.3.3 INDIVIDUAL GOALS AND OBJECTIVES
Individual employees have personal goals while working in the
organization. In fact, the essence of taking up a job in the
organization is to have a means of attaining personal goals. In
many instances, these personal goals. Darel (2003:172) also
states that such goal incongruence when employees are
unable to achieve their personal aims and objectives.
2.3.4 NATURE OF ASSIGNMENTS
The nature of tasks undertaken by workers could be a source
of conflict. Some tasks are easy and do not stress the
individuals to perform. Others are very difficult and stressful
to perform. Ankwor (2006:9) remarks that difficult and
stressful tasks are a serious factor that causes conflicts in
organizations especially where the principle of job rotation
dose not obtain, Such jobs give workers frustrations.
2.3.5 MANAGEMENT STYLE
35
This can also be referred to as leadership style or employer-
employee or superior-sub-ordinate relationship. Generally,
workers resent dictatorial or autocratic management or
leadership style. Ankwor (2006:9) observes that this leads to
oppressive or master-slave relationship in corporate
organizations. Feeling of resentment and anger associated with
such relationship often leads to conflict.
2.3.6 REWARD SYSTEM
Rewards include wages and salaries, promotion, advancement,
etc. These are given to workers for the works that do as well as
for excellent performance. Belonwu (2007:12) notes that
ineffective reward system breeds dissatisfaction and
frustration and ultimately results in organizational conflict. In
other words, if the workers perceive that the reward system
does not reflect actual performance, conflict will occur.
Adei (2007:18) remarks that the sources of conflict at work are
numerous, some of which are peculiar to respective
organizations or industry and some other located outside the
36
enterprise. That is to say that the sources of conflict are
internal and external, both often influencing one another.
Accordingly, internal sources of conflict include;
a. Style of management
b. Nature of physical environment of the place
c. Consciousness of workers
d. Conditions of service.
e. Efficiency or otherwise of the reward system, and
f. Personality traits
The external sources of conflict include;
a. Governments economic policies
b. Nature of labour legislation
c. Unpatriotic and unethical behavour of the political class
d. National economic mismanagement
e. General distribution of wealth and power in the society
(Adei, 2007:18).
2.4 PERSOANLITY AND CONFLICT AT WORK
37
Aimiuwu (2005:10) sees an employee as a thinking, wanting
and acting person or being. What one thinks about, what one
wants and how one acts are determined by one‟s personality
traits and the impact of others and culture. Behind one‟s
personality traits, however, are biological traits biological traits
have to do with those characteristics that are transmitted
through the genes of one‟s parents or ancestors. Such
inherited traits or characteristics can determine a person‟s
height, complexion, intelligence, etc.
Aimiuwu (2005:11) posits that membership of a group
encourages the adoption of the values and ways of doing
things peculiar to such a group. Of course, there are
differences in the way individuals in a particular group behave
and react to things and events. The meeting point between
biology and social-psychology is personality. Accordingly, the
combination of biological traits, physiological and
psychological make-up, values as imbibed and interpreted by
the individual, and feedback from interacting with other
38
people, give rise to a selection of certain characteristics which
then form a type of personality.
Sinclair (2005:197) groups personality traits into two clusters,
viz;
A. Arrogant, exhibitionist, Talkative, boastful,
argumentative, conceited, stubborn, pugnacious,
tactless, rigid, hostile, ruthless, acquisitive.
B. Naiive, modest, submissive grateful, tolerant, peaceable,
childlike, gentle, self-effacing, self-distrustful, self-
dissatisfied quiet, dependent.
Generally, persons showing traits in cluster A are labeled or
called braggarts, while those showing traits in cluster B are
thought to be “nice” people. Sinclair (2005:198) expresses that
each person, therefore, through chance and the determining
influence of heredity and personal experience develops a
distinctive set of enduring dispositions to respond to other
people in characteristic ways. These dispositions are called
interpersonal response traits, and they help everyone to;
a. Describe one another in the social context
39
b. Understand each other‟s behaviour, and
c. Predict, to a reasonable extent, each other‟s action.
Personality traits play a significant role in achieving our goals.
To achieve these goals, McDaniel (2001:205) notes that
persons adopt different strategies and tactics, depending on
their type of personality. This results in organizational conflict
when there are personality clashes. Conflict based on
differences in personality may manifest itself in the following
ways;
a. Disagreement of span of control
b. Disagreement over positing (placement) of certain
personnel
c. Disagreement of policy options
d. Disagreements over methods for achieving agreed
objectives
e. Disagreement over means and refusal to talk to each
other.
In other words, personality clashes may mask themselves
behind positional power-play, and vice versa. In some cases,
40
dissension within the ranks of management and board of
directors, may lead to fictionalization of management.
2.5 CONFLICT MANAGEMENT
Conflict management aids are the instruments that are used
in management organizational conflicts (okomba, 2005:15).
There are four such aids. These include;
2.5.1 GOAL STRUCTURE
Organizational goals should be properly defined and the
departmental roles must be clearly distinguished and stated.
Okomba (2005:15) explains that the purpose of goal
structuring is to avoid role conflict and clash. Thus, all
departments must be aware of the importance of their role and
the importance of their role and this must be fully recognized
and appreciated.
2.5.2 REWARD SYSTEM
41
The reward system or compensation program is an important
aid to conflict management since poor reward system is a
major source of organizational conflict. Osborne (2001:215)
acknowledges that a good reward system should be
appropriate and relates work or efforts to earnings. It should
be such that is does not create individual competition and
conflict within the organization.
2.5.3 TRUST
Trust among individual members of the organization is also an
important aid to conflict management. Mistrust is a great
source of conflict in corporate organizations. As an aid to
conflict management, therefore, trust and confidence make
members of the organization to have faith in each other
including the management team. Osborne (2001:215) argues
that the greater the trust among organizational members the
less the suspicion and disagreement.
2.5.4 COMMUNICATION
42
As an aid to conflict management, communication ensures
that information is shared and that everyone is carried along
in decision and policymaking. Inyang (2004:29) posits that
adequate and effective communication brings about
understating and promotes harmony.
2.5.5 COORDINATION
Proper coordination of activities reduces conflict. This is
because it tends to harmonize conflicting goals and makes
organizational members to work as a team. Team spirit and
team work engendered by effective coordination reduces
conflict to the bearest minimum (Inyang, 2004:29).
2.6 TECHNIQUES OF CONFLICT MANAGEMENT IN
CORPORATE ORGANIZATIONS
The following techniques have been identified in managing
conflicts in corporate organizations;
2.6.1 AVOIDANCE
43
This technique entails calming down the conflict through non-
attention. Ojo (2005:18) argues that through avoidance more
information is gathered by management on the issue(s) at
dispute before a decision is taken. Sometimes, it requires
physical separation so as to avoid violent demonstration of
grievances and differences which will aggravate the situation.
2.6.2 ACCOMMODATION
This technique requires making concession by one of the
parties in the dispute in order to resolve the conflict. This is
usually appropriate when one party is interested in satisfying
the other party‟s interest more than his/her own interest. Ojo
(2005:18) states that it is appropriate when the issue is more
important to the other party. Sacrifice and concessions are
made to please the opponent so as to maintain the
relationship. Often this earns one social credit that will be
used later for commendation.
2.6.3 COMPETITION
44
This technique requires introduce entails calming down the
conflict through non-attention. Ojo (2005:18) argues that
through avoidance more information is gathered by
management on the issue(s) at dispute before a decision is
taken. Sometimes, it requires physical separation so as to
avoid violent demonstration of grievances and differences
which will aggravate the situation.
2.6.2 ACCOMMODATION
This technique requires making concession by one of the
parties in the dispute in order to resolve the conflict. This is
usually appropriate when one party is interested in satisfying
the other party‟s interest more than his/her that it is
appropriate when the issue is more important to the other
party. Sacrifice and concessions are made to please the
opponent so as to maintain the relationship. Often this earns
one social credit that will be used later for commendation.
2.6.3 COMPETITION
45
This technique requires introduction of contest as a means of
resolving an agitation especially when limited opportunities
exist for employees to achieve their aims for instance, w hen
few vacancies exist to be filled through promotion. The basis
for the conflict is non-promotion. Adei (2007:22) expresses
that one party uses superior skill and intelligence to beat the
other.
This technique is appropriate when there is need for quick
decisive action regarding matters that are vital to
organization‟s effectiveness. A decision from higher authority
may not only reduce manifestation of conflict but also the
cause of the dispute.
2.6.4 COMPROMISE
Through this technique, each disputant makes a concession or
give up something of value in order to resolve the conflict. This
leads to “no winner, no loser.” It means shifting ground a bit to
reach a common ground, (Ananaba 2001:38).
46
2.6.5 COLLABORATIONS
This technique requires consultation, discussion and
negotiation between all the parties in dispute. Juchel
(2002:1284) expresses that when the conflicting parties openly
discuss all relevant issues in an open and honest manner,
tempers are cooled and solution found. It works well when it is
important to find a joint solution and this leads to a “wins a
win” situation.
2.6.6 MODIFYING THE ORGANIZATIONAL STRUCTURE
This technique requires the modification of organizational
structure in order to resolve a conflict. For instance conflicts
arising from bureaucratic rigidities, span of control,
centralization, command structure, etc can only be resolved
through modification of the organizational structure to ease
decision-making and communication. Juhel (2002:284) posits
that when the removal of an indicated personal does not
resolve the conflict, this technique is most appropriate.
However, there are other conflict management techniques put
forward by other authors.
47
These include;
2.6.7 TEAM MEDIATION PROCESS
McDaniel (2001:219) offers a step-by-step mediation process
fro corporate organizations dealing with conflict. The
mediation process provides the work team with skills and
structure for mediating in their own disputes. In this
situation, there is a strong emphasis on parties to disputes to
learn ad commit themselves to a process of communication
and resolving the conflicts by themselves.
The steps are;
1. Each disputant should learn appropriate communication
skills and overall mediation process.
2. Individual certification of competency for each members
use of the mediation skills.
3. Creating an enabling environment in which the team is
empowered to solve their own conflict.
2.6.8 TEAM RESOLUTION PROCESS
48
This method involves the individual accepting and making a
conscious personal commitment to use opportunity for
improvement in enhancing performance because conflict has a
cause and effect on relationships. The applicable knowledge,
skills and abilities need to be identified in order to handle
issues. These skills are provided as a resource to the group in
conflict in the form of an educated facilitator or manager.
Bryant (2000:121) puts forward the following three steps for
addressing an escalating conflict;
Step I: Collaboration
This involves the two disputants handing the dispute
informally between them in private setting. Each opens up
honestly to the other.
Step 2: Mediation
If the disputants cannot resolve the conflicts by themselves, a
mediator is called in to help them reach an agreement. This is
necessary when efforts are made to relate the problem to
organizational need.
49
Step 3: Counseling
This involves bring the team together and counseling them
during a meeting. The issues are presented along with all the
facts about the disagreement.
2.7 IMPACT OF CONFLICT ON ORGANIZATIONAL
PERFORMANCE
Chandan (2005:140) expresses that where they not brought
under control in good time, conflicts could work against the
achievement of organizational goals. Individual and group
responses in conflict situations could range from sabotage,
slowing down the pace of work, over-load to lack of
cooperation. More importantly, targets and objectives are
achieved by groups and individuals and as such the, more
critical the conflict is to the core operations of the organization
and the higher the position in hierarchy of persons in conflict
50
situation, the more devastating the impact of such conflict
situations.
Precisely, because the goals of the organization are formulated
by individuals, when the same individuals are in conflict
situation some organizational goals either do not get achieved
in good time or may be re-aligned or modified. Chandan
(2005:141) observes that under conflict situation
organizational performance is hampered. This is because as
conflict rages on individual workers become more aggrieved,
less committed to work, frustrated, unmotivated and less
productive. These lead to levity, loss of time, low productivity
and output. Ultimately, organizational performance is
adversely affected.
McDaniel (2001:210) supports this by stating that the
problems of organizational conflict is that if it not properly
managed, it hampers productivity, lowers moral, causes more
and continued conflict and breeds indiscipline and
misconduct. These hamper productivity, profitability and
performance of the organization. The bad consequences of
51
organizational conflict makes it imperative for management to
ensure that conflicts are promptly resolved as they occur.
2.8 IMPACT OF EFFECTIVE CONFLICT MANAGEMENT ON
ORGANIZATIONAL PERFOMANCE
Effective conflict management requires that the grievances of
the parties in dispute be addressed or, at least, reduced to its
barest minimum so that the aggrieved parties feel palliated.
Effective conflict management, according to Ojo (2005:22) is
imperative for corporate organizations because of its impact
(directly or indirectly) on corporate performance.
First, it has been ascertained that effective conflict
management restores trust, confidence, calm and harmony
among employees and management effect of this is that it
strengthens management employee relations on the one
hand, and employee relationships on the other. The
implication is that effective conflict management creates
conducive work environment which not only promotes tam
52
work and commitment but also enhances organizational
performance.
Second, Ojo (2005:22) posits that effective conflict
management enables workers to achieve their goals in the
organization which may include status enhancement. This is
often associated with enhancement of position, earnings and
welfare. These are important sources of motivation. Thus,
when these are achieved, workers are motivated to higher
productivity. Thus impacts positively on organizational
performance.
Third, effective conflict management ensures that there is
continuous production and operations do not cease.
Continuous work process due to effective conflict management
promotes organizational performance. Bryant (2000:125) adds
hat effective conflict management boosts moral, enhance
productivity and profitability, all of which enhance
organizational performance.
53
REFERENCES
Adei, S (2007) “Managing Organizational Conflict; Strategies and Effects “Journal of Management Research Vol. 8 No.6
Agwu, A (2006) Corporate Management; Issues and Strategies
Enugu: Precision Printers Aimiuwu, A (2005) Conflict Management; A Systematic
Approach Lagos: Intec. Ananaba, P (2001) “Managing Grievances in Workplaces;
Issues and effects “Management in Nigeria . Vol. 2 No.10. Ankwo, B (2006) “Approaches to Grievance Handling in
Corporate Organizations” Business Times. Monday, March 22.
Belonwu, M (2007) “Effective Conflict Management and
Organizational Performance” Management in Nigeria Vo. 6 No.5.
Bryant, G (2000) Personnel Management London: Cassel. Chandan, W (2005) Managing People at work New Delhi:
Vikas Publishing Co. Darel, C (2003) Issues in Industrial Relations Management.
New York: Prentice-Hall Inc. Dotles, P (2000) Personnel and Conflict Management. New
York: Harper and Row Inc. Dunlop, J (2002) Strategic Management Approach. London:
Bolten Press. Inyang, P (2004) “How to Manage Conflicts in Workplaces” The
Nation Tuesday, August 28.
54
Juhel, D (2002) Organizational Conflict Management . London: Gladiators Inc.
Levine, F (2000) Industrial Relations London: Longman. McDaniel, G (2001) Conflict Mediation and Organizational
Performance New York: D. Urwin. Nwatu, R (2004) Conflict Management in Nigerian
Organizations. Enugu: JTC Publishers. Obisi, C (2005) Understanding and Managing Conflicts in the
Workplace. Lagos: Intec Publishers. Ojo, M (2005) “Conflict Management Strategies and effects on
Corporate Performance” Management in Nigeria. Vol. 4 No.7
Okomba, M (2005) “What to do About Organizational
Conflicts” Business Times. Mon. Sept 3. Osborne, B (2001) Managing Organizations; Issues and
Strategies Chicago: South-Western Publishing Co. Otobo, D (2005) Managign Industrial Conflicts . Lagos: Virgin
Falls Publishing Co. Sinclair, V (2005) “Corporate Management; Approaches to
Conflict Resolution” hHp. Management Com. Ubaku, A (2003) Industrial Relations Management. Lagos:
Longman. Ugbaja, C.O (2002) Conflict Management and Industrial
Performance Benin City: Ethrope Publishing Co.
55
CHAPTER THREE
RESEARCH METHODOLGY
In this chapter, the researcher states and explains the
methodology of the study. This includes sources of data,
methods of data presentation and analysis.
3.1 RESEARCH DESIGN
Research design is the approach adopted in carrying out a
scientific inquiry (both, 2005:23). It is the plan of the
researcher for the study in which he explains the type of
scientific inquiry he intends to carry out. The survey research
design is adopted in this study. The survey research method
involves selection of a small proportion of the entire population
through sampling techniques for data collection and analysis.
The findings are used to make generalization.
The method is considered appropriate because the data are
collected directly from those concerned with the study. Such
data best address the research questions.
56
3.2 SOURCES OF DATA
The sources of data used in this study are both primary and
secondary sources.
3.2.1 PRIMARY SOURCES
Primary sources provide data that are original and have not
been used in any previous study or emanate from any such
study. This implies that primary data are obtained directly
from those concerned with the study or those to whom the
study relates. Thus, in this study the primary sources of data
are those who were selected into the sample for the purpose of
completing the questionnaire or interview, They are staff of the
United Bank for Africa, Plc.
3.2.2 SECONDARY SOURCES
Secondary sources provide data or information that are not
original. Such data have been used in previous studies
emanate from previous studies. In this study, secondary
sources of data include textbooks, journals, magazines,
periodicals, seminar and workshop papers, among others.
57
3.3 POPULATION
The population consists of the management and staff of United
Bank for Africa and First Bank of Nigeria, Plc‟s, Enugu. They
are altogether 205 in all its five branches including the Head
Office at No.1 Station Road, GRA, Enugu.
3.4 SAMPLE SIZE DETERMINATION AND SAMPLING
TECHNIQUE
Given the population of the study, the Yaro Yamani technique
was applied in determining the sample size as shown below;
N
n = 1 + N(e)2
Where N = Population
e = Level of significance (0.05)
I = A constant value
205
:. n = 1 + 205(0.05)2
205
= 1 + 0.5
58
205
= 1.5
= 135.7
= 137
The sample size is therefore 137. The simple random sampling
technique was applied in selecting the sample from the study
population.
3.5 INSTRUMENT FOR DATA COLLECTION
The major instrument used in the data collection is the
questionnaire. The instrument contained both structured and
unstructured questions are the multiple-choice type that offer
the respondents a range of optional answers. The
unstructured questions are the open-ended type that allow the
respondents to supply the answer required.
An interview guide was also used. It contains questions that
were orally answered by the interviewee.
59
3.6 METHODS OF DATA COLLECTION
Two approaches were adopted in collecting the data. These
include;
a. Administration of Questionnaires
The researcher personally visited three branches of United
Bank of Africa, Plc in Enugu and administered the
questionnaires to those that were selected for the study.
Because of the pressure of work, they were allowed to
complete the questionnaires within two days. After the two
days, the researcher went back and retrieved the ready copies.
b. Interview
The researcher also selected some of the staff of the bank for
interview this enabled the researcher to obtain relevant
information which ordinarily the respondents could not
disclose in the questionnaires.
3.7 METHOD OF DATA ANALYSIS
The data were presented in tables as frequency distribution. In
the data analysis, the analytical techniques applied are
60
frequency and percentage. In testing the hypotheses the
Z – test was applied. The formula is shown below;
P – PO
Z = PO(1 – PO)
N
Where P = Proportion of positive responses to the
variable of interest
PO = Probability of rejecting the null
hypothesis i.e. 0.5
N = Total Responses
I = A constant value
The computed value of Z is then compared with its critical
value at P 0.05 which is 1.96 for a 2 – tailed test.
Decision Rule
Reject HO and accept H1 if the critical value of Z is less than its
computed value, and vice versa.
61
CHAPTER FOUR
DATA PRESSENTATION AND ANALYSIS
In this chapter, the researcher presents and analyses the data
collected from the respondents.
Table 4.1: Administration of questionnaires
QUESTIONNAIRES NO %
Returned 132 96.4
Not Returned 5 36
Total 137 100
Table 4.1 shows that 96.4% of the questionnaires were
returned. 3.6% were not returned. Nine was discarded. Hence,
96.4% were analyzed.
Table 4.2: Sex Distribution of Respondents
QUESTIONNAIRES NO %
Males 70 53
Females 62 47
Total 132 100
62
The table above shows that 53% of the respondents are males
while 47% are females. This shows that there are more male
respondents than females in the sample.
Table 4.3: Age Distribution of respondents
QUESTIONNAIRES NO %
Under 30 30 22.7
30-39 33 25
40-49 37 28
50-59 32 24.3
60 and above - -
Total 132 100
The table above shows that 22.7% are below 30 years old. 25%
are within 30-39 years old. 28% are within 40-49 years old.
24.3% are within 50-59 years of age while none is 60 years old
or above.
63
Table 4.4: Marital distribution of respondents
QUESTIONNAIRES NO %
Single 51 38.6
Married 69 52.5
Others 12 9.1
Total 132 100
The table above shows that 38.6% are single. 52.3% are
married while widows, widowers and divorcees constitute
9.1%. This implies that most of the respondents are married.
Table 4.5: Qualification of respondents
QUESTIONNAIRES NO %
FSLC - -
WASC/GCE - -
OND/NCE 11 8.3
HND/BSC/Equiv. 65 49.2
MBA/MSC/Equiv 38 28.8
Others 18 13.7
Total 132 100
64
The table above shows that none holds online FSLC and
WASC/SSC/GCE. 28.3% hold OND/NCE. 49.2% hold
HND/MSC/Equiv. 13.7% hold other qualifications that are
essentially professional.
Table 4.6: Organizational distribution of respondents
ORGANIZATIONAL NO %
a) UBA, PLC 65 49.2
b) FBN, PLC 67 50.8
Total 132 100
The table shows that 49.2% of the respondents were drawn
from United Bank of Africa, PLC while 50.2% were drawn from
First Bank of Nigeria, PLC.
Table 4.7 Distribution of respondents according to years of service.
OPTIONS NO %
Less than 10 yrs 36 27.3
10-19 yrs 38 28.8
20-29 yrs 30 22.7
30 yrs or above 28 21.2
Total 132 100
65
Table 4.7 shows that 27.3% have been employed in the bank
for less than 10 years. 28.8% for 10-19 years. 22.7% for 20-29
years while 21-2% have been employed for 30 years or above.
This implies that most of the respondents were employed
before the bank consolidation exercise of 20005.
Table 4.8: RESPONSES TO OCCURRENCE OF CONFLICT IN
THE BANK.
OPTIONS NO %
Yes 128 96.9
No 4 3.1
Total 132 100
Table 4.8 above shows that 96.9% of the respondents agree
that conflict does occur in the bank while 3.1% disagree.
Conflict is disagreement that occurs among employees or
between employees and management. It is a normal and
regular occurrence in all human organizations.
66
Table 4.9: Types of conflicts occurring in the bank
OPTIONS NO %
Inter-personal conflict 25 18.9
Intra-personal conflict 23 17.4
Person-group conflict 22 16.7
Inter-group conflict 20 15.2
All of the above 42 31.8
Total 132 100
Table 4.9 shows that 18.9% indicate that the type of conflict
that occurs in the bank is interpersonal. 17.4% and 16.7%
indicate intra-personal conflict and personal-group conflict
respectively. 15.2% indicate inter-group conflict while 31.8%
indicate “All of the above.”
Intra-personal conflict occurs within an employee when
he fails to meet his goal because of personal inability or short
comings. Interpersonal conflict occurs between employees as a
result of clash of personal interests. Person-group conflict
occurs between an individual employee and co-workers as a
result of such things as favoritism, discrimination and
segregation. Inter-group conflict occurs between different
67
groups or trade unions in an organization. All these types of
conflict regularly occur in our organizations.
Table 4.10: CAUSES OF ORGANIZATIONAL CONFLICT.
OPTIONS NO %
Poor communication 17 12.9
Organizational 18 13.6
Individual policies 17 12.9
Management style 15 11.4
Ineffective reward system 20 15.2
All of the above 45 34
Total 132 100
Table 4.10 shows that 12.9% indicate that organizational
conflict is caused by poor communication. 13.6% and 12.9%
indicate that it is caused by organizational policies and
individual goals respectively. 11.4% and 15.2% indicate
management style and ineffective reward system respectively.
34% indicate “all of the above this implies that these are
causes of organizational conflict. But the list is not exhausted
here.
68
Poor communication makes subordinates not to be consulted
and carried along in taking decisions on matters affecting
them. Organizational policies such as embargo on promotion
and wage freeze clash with personal goals. Individual goals
such as enhanced pay-packets often conflict with profit
plough-back. Autoerotic management style breeds resentment
and disenchantment among subordinates. Ineffective reward
system brings demotivation and agitations.
Other causes of organizational conflict include bad or
unconducive work environment, poor conditions of service,
personality traits, bad economic policies among others.
Table 4.11: Responses to poor superior-subordinate
relationship causing organizational conflict.
OPTIONS NO %
Yes 120 90.9
No 12 9.1
Total 132 100
69
The table above shows that 90.9% agree that poor superior-
subordinate relationship causes organizational conflict while
9.1% disagree. Poor superior-subordinate relationship
manifests in insensitivity to employees‟ plights, intimidation,
with holding of promotion, communication gap and query.
This causes conflict between superiors and subordinates.
Table 4.12: Conflict Management strategies adopted in the
bank.
OPTIONS NO %
Avoidance 12 9.1
Accommodation 20 15.2
Competition 13 9.8
Compromise 25 18.9
Collaboration 22 16.7
All of the above 40 30.3
Total 132 100
On the strategies adopted; managing conflicts that occur in
the bank, table 4.12 shows that 9.1%, 15.2% and 9.8%
70
indicate avoidance, accommodation and competition
respectively. 18.9% and 16.7% indicate competition and
compromise respectively. 30.3% indicate “all of the above” This
implies that all these strategies are adopted. However, the one
adopted in any given situation depends on the cause and who
are involved.
Avoidance is adopted when time is needed to take care of the
conflict. Accommodation is adopted when one party is willing
to make concession to the other party who is more affected
by the conflict. Competition is adopted when the agitation is
about promotion or status enhancement in the face of limited
opportunities. Compromise is adopted when both management
and employees in conflict are eager or ready to make
concession to reach agreement. Collaboration is adopted when
management and employees are ready to meet, discuss,
consult and reach agreements.
71
Table 4.13: Other conflict management strategies
OPTIONS NO %
Mediation 25 18.9
Counseling 23 17.4
Modifying organizational
structure/policy
23 17.4
Team resolution 22 16.7
All of the above 39 29.6
Total 132 100
Table 4.13 shows that 18.9% and 17.4% indicate that other
strategies adopted in managing conflicts in the bank is
medication and counseling respectively. 17.4% indicate
modifying organizational structure/policy. 16.7% indicate
team resolution. 29.6% indicate “all of the above.”
Mediation involves a third party usually from outside the bank
to resolve the conflict. This will be an individual or body
jointly agreed upon by both parties. Counseling is usually
adopted in the case of intra-personal conflict and involves
72
giving advice to the individual. Organizational policy
modification is adopted if it clashes with personal goal to the
detriment of the employees. Team resolution is adopted when
it is perceived that the conflict can be resolved by a team of
employees with management representatives.
Table 4.14: Extent of effectiveness of conflict management
strategies
OPTIONS NO %
Large extent 85 64.4
Little extent 25 18.9
Not at all 22 16.7
Total 132 100
On the extent of effectiveness of conflict management
strategies, the table shows that 64.4% indicate that it is large
extent. 18.9% indicate little extent. 16.7% indicate “not at all.”
This implies that conflict management strategies in UBA Plc
are largely effective. The implication is that these strategies are
effectively used by the banks to resolve conflicts that occurs in
the organization.
73
Table 4.15: Responses to specific conflict re-occurring in the
bank
OPTIONS NO %
Yes 95 71.9
No 37 28.1
Total 132 100
The table shows that 71.9% of the respondents‟ agree that
specific conflicts re-occur in the bank while 28.1% disagree. In
all organization where employment relations exist, there is
always re-occurrence of specific conflicts. These relate to pay
structure and other compensation. Agitations always repeat
over pay increase and upliftment of status.
Table 4.16 responses to conflict re-occurrence relating to poor
conflict management.
Options No %
(a) Yes 52 39.4
(b) No 80 60.6
Total 132 100
74
The table above shows that 39.4% agree that re-occurrence of
specific conflicts is due to poor conflict management while
60.6% disagree. Conflict is a regular feature in organizations.
But, their occurrences may be due to poor handling initially.
However, certain conflicts re-occur due living conditions e.g.
wage increase agitation.
Table 4.17: Responses to conflicts hampering effective
interpersonal and group relationships.
OPTIONS NO %
Yes 118 89.4
No 14 10.6
Total 132 100
Table 4.17 shows that 89.4% agree that conflicts hamper
effective interpersonal and group relationships while 10.6%
disagree. Organizational conflict breeds mistrust, suspicion,
hatred and discomfort among employees and between
employees and management. Consequently, it results in
ineffective interpersonal and group relationship if it is not
promptly and properly managed.
75
Table 4.18: Impact of organizational conflict on employees
OPTIONS NO %
It lowers morale 23 17.4
It discourages
commitment
20 15.2
It demotivates workers 21 15.9
It breeds mistrust and
suspicion
23 17.4
All of the above 45 34.1
Total 132 100
On the impact of organizational conflict on employees, the
table above shows that 17.4% and 15.2% indicate that it
lowers morale and discourages commitment respectively.
15.9% and 17.4% indicate that it de motivates workers and
breeds mistrust and suspicion respectively. 34.1% indicate “all
of the above.” This means that organizational conflict impacts
negatively managed.
76
Table 4.19: Responses to organizational productivity
OPTIONS NO %
Yes 116 87.9
No 16 12.1
Total 132 100
Table 4.19 shows that 87.9% agree that organizational conflict
hampers workers productivity while 12.1% disagree. Since
organizational conflict lowers worker‟s morale and makes them
affects their productivity.
Table 4.20: Impact of organizational conflict on organizational
performance.
OPTIONS NO %
a. It leads to loss of time 17 12.9
b. It slows down production process 19 14.4
c. It reduces output 17 12.9
d. It reduces profit 19 14.4
77
e. It hampers organizational growth 18 13.6
f. All of the above 42 31.8
Total 132 100
The table shows that 12.9%. 14.4% and 12.9% indicate that
organizational conflict leads to loss of time, slows down
production process and reduces output level respectively.
14.4% and 13.6% indicate that it reduces profit and hampers
organizational growth respectively. 31.5% indicate “all of the
above.” This impales that organizational conflict has negative
effect on organizational performance. This follows from its
negative influence on organization members.
Table 4.21: Responses to effective conflict management
enhancing organizational performance.
OPTIONS NO %
a. Yes 118 89.4
b. No 14 10.6
Total 132 100
78
The above table shows that 89.4% agree that effective conflict
management enhances organizational performance while
10.6% disagree. Effective conflict management brings about
industrial harmony, uplifts morale, raises courage and
commitment, and ultimately increases productivity and
organizational performance
4.2 TEST OF HYPOTHESES
In this section, we shall apply the technique and follow the
procedures described in 3.7 in testing the hypotheses in 1.5.
Hypothesis I
HO: Organizational conflict does not arise from poor superior-
subordinate relationship.
H1: Organizational conflict arises from poor superiors-
subordinate relationship.
Table 4.12: Responses to poor superior-subordinate
relationship causing organizational conflict.
OPTIONS NO %
a. Yes 120 90.9
b. No 12 9.1
79
Total 132 100
Table 4.12: Shows that;
P = 120 = 90.9%
N = 132
PO = 0.5
0.91 – 0.5
:. Z = 0.5 (1 – 0.5)
132
= 0.41
0.25
132
= 0.41
0.0019
= 0.41
0.04
= 10.3
80
Based on the decision-rule, or since the computed Z (10.3) is
more than its critical value (1.96) we reject HO and accept H1
which states that organizational conflict arises from poor
superior-subordinate relationship.
HYPOTHESIS II
HO: Organizational conflict does not hamper workers‟ `
productivity.
H1: Organizational conflict hampers workers‟ productivity.
Table 4.20: Responses to organizational conflict hampering
workers‟ productivity.
OPTIONS NO %
a. Yes 116 87.9
b. No 16 12.1
Total 132 100
81
From table 4.20 we have;
P = 116 = 87.9% = 0.88
N = 132
PO = 0.5
0.88 – 0.5
:. Z = 0.5 (1 – 0.5)
132
= 0.35
0.25
132
= 0.35
0.04
= 8.8
Since the computed Z (8.8) is greater than its critical value
(1.96) we reject HO and accept H1 which states that
organizational conflict hampers workers‟ productivity.
82
HYPOTHESIS III
HO: Effective conflict management does not enhance
organizational performance.
H1: Effective conflict management enhances organizational
performance.
Table 4.22: Responses to effective conflict management
enhancing organizational performance.
OPTIONS NO %
a. Yes 118189.4 87.9
b. No 14 10.6
Total 132 100
Table 4.22: Slow that;
P = 118 = 89.4% = 0.89
N = 132
PO = 0.5
0.89 – 0.5
:. Z = 0.5 (1-0.5)
132
83
0.39
= 0.25
132
= 0.39
0.04
= 9.8
Since the computed Z (9.8) is greater than its critical value
(1.96), we reject HO and accept H1 which states that effective
conflict management enhances organizational performance.
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CHAPTER FIVE
SUMMARY, CONCLUSION AND RECOMMENDATIONS
5.1 SUMMARY OF FINDINGS
The following are the major findings of the study;
Conflicts occur in United Bank of Nigeria, Plc. These
include intra-and inter-personal conflicts, personal-
group
The causes of the conflict include poor communication,
organizational policies, individual goals, management
style, ineffective reward system and poor superior-
subordinate relationship. Others include unconducive
work environment, poor condition of service, personality
traits, bad economic policies among others.
The conflict management strategies adopted include
avoidance, accommodation, competition, compromise
and collaboration‟s. Others include mediation,
counseling, team resolution and modifying organizational
policy.
Specific conflicts re occurs in the bank. But this is not
mainly due to poor conflict management.
85
Organizational conflicts lowers workers‟ morale,
discourage commitment to work, de-motivates workers
and breeds distrust and suspicious. It also hampers
effective inter-personal and group relationships. Besides,
it hampers workers‟ productivity.
Organizational conflict leads to loss of time, slows down
production process, reduces output and profit levels and
output and profit levels and hampers organizational
growth.
Effective conflict management enhances organizational
performance by creating conducive and harmonious work
environment.
5.2 CONCLUSION
Organizational conflict is a regular feature in corporate
organizations which arises whenever there is disagreement
between individual or group of individuals and management.
Various strategies are adopted in managing the conflicts but
the strategy adopted in each instance depends on the nature
of the conflict and the person involved. The strategies adopted
86
are largely effective in resolving the conflicts. However, the re-
occurrence of specific conflict is not mainly due to ineffective
conflict management but the dynamic socio-economic
situation.
Organizational conflicts adversely affect employees and
management as well as their relationships. It impacts
negatively on workers‟ productivity and over all performance
and growth of the organization.
5.3 RECOMMENDATIONS
1. Management should ensure that there is effective
communication between the management team and
subordinates. This will ensure that all are aware of
management policies and actions as well as contributory to
decision-making in the organization. This will eliminate
alienation and communication gap.
2. Individual aims and organizational goals should not be
congruent. Individuals should ensure that their selfish
interests do not conflict with organizational goals. Otherswise,
87
personal interests should be re-align with organizational
interests.
3. There should be effective interpersonal relationships, as
well as effective management employee relationships. This
should be underscovered by democratic management style.
This will ensure that employees‟ problems are well addressed
and opportunities are always offered to them to achieve their
goals.
4. There should always be adequate reward system or
compensation plan for employees. These include adequate pay
packages, prompt promotion and advancement and effective
welfare and social security programmes.
5. There should always be regular training and development
programmes which will not only improve the skills and
intelligence of employees but should also make them well-
disposed to their work. This will in assignments competently
as tasky assignments are an important source of conflict and
stress in the work environment.
88
BIBLIOGRAPHY
Adei, S (2007) “Managing Organizational Conflict; Strategies and Effects “Journal of Management Research Vol. 8 No.6
Agwu, A (2006) Corporate Management; Issues and Strategies
Enugu: Precision Printers Aimiuwu, A (2005) Conflict Management; A Systematic
Approach Lagos: Intec. Ananaba, P (2001) “Managing Grievances in Workplaces;
Issues and effects “Management in Nigeria . Vol. 2 No.10. Ankwo, B (2006) “Approaches to Grievance Handling in
Corporate Organizations” Business Times. Monday, March 22.
Belonwu, M (2007) “Effective Conflict Management and
Organizational Performance” Management in Nigeria Vo. 6 No.5.
Bryant, G (2000) Personnel Management London: Cassel. Chandan, W (2005) Managing People at work New Delhi:
Vikas Publishing Co. Darel, C (2003) Issues in Industrial Relations Management.
New York: Prentice-Hall Inc. Dotles, P (2000) Personnel and Conflict Management. New
York: Harper and Row Inc. Dunlop, J (2002) Strategic Management Approach. London:
Bolten Press.
89
Inyang, P (2004) “How to Manage Conflicts in Workplaces” The Nation Tuesday, August 28.
Juhel, D (2002) Organizational Conflict Management . London:
Gladiators Inc. Levine, F (2000) Industrial Relations London: Longman. McDaniel, G (2001) Conflict Mediation and Organizational
Performance New York: Richard D. Urwin. Nwatu, R (2004) Conflict Management in Nigerian
Organizations. Enugu: JTC Publishers. Obisi, C (2005) Understanding and Managing Conflicts in the
Workplace. Lagos: Intec Publishers. Ojo, M (2005) “Conflict Management Strategies and effects on
Corporate Performance” Management in Nigeria. Vol. 4 No.7
Okomba, M (2005) “What to do About Organizational
Conflicts” Business Times. Mon. Sept 3. Osborne, B (2001) Managing Organizations; Issues and
Strategies Chicago: South-Western Publishing Co. Otobo, D (2005) Managign Industrial Conflicts . Lagos: Virgin
Falls Publishing Co. Sinclair, V (2005) “Corporate Management; Approaches to
Conflict Resolution” hHp. Management Com. Ubaku, A (2003) Industrial Relations Management. Lagos:
Longman. Ugbaja, C.O (2002) Conflict Management and Industrial
Performance Benin City: Ethiope Publishing Co.
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APPENDIX I
Department of Management
Faculty of Business Administration
University of Nigeria, Enugu Campus
May, 2010
Dear Respondent,
I am a student in the above-named institution carrying
out a study on conflict management in corporate organizations
focusing on UBA, Plc
I want you to fill out this questionnaire for me. The
purpose of this study is academic. Thus, the information you
provide will be used for no other purpose.
Thanks for you cooperation.
I am,
Yours faithful,
Onah, Uju.
91
QUESTIONNAIRE
Instruction; please, tick ( ) in the box that depicts your
answer. Otherwise, answer the question where necessary.
1. Name: --------------------------------------------------------------------
2. Sex: a) Males [ ] b) Females [ ]
3. Age: ---------------------------------------------------------------
4. Marital Status.
a) Single [ ] b) Married [ ] c).Others (specify) [ ]
5. Educational qualification
a). FSLC [ ] b) WASE/GCE [ ] c) OND/NCE [ ]
6. For how long have you been employed in the United Bank
for Africa, Plc?
a) Less than 10 year [ ] b) 10-19 years [ ]
c) 20-29 years [ ] d) 30 years above [ ]
7. Does conflict occur in this bank?
a. Yes [ ] (b) No [ ]
8. If „Yes‟, what types of conflict occur in the bank?
a) Inter-personal conflict [ ]
b) Intra-personal conflict [ ]
c) Personal-group conflict [ ]
92
d) Inter-group conflict [ ]
e) All of the above [ ]
9. What are the causes of these conflicts?
a) Poor communication [ ]
b) Organizational policies/objectives [ ]
c) Individual goals [ ]
d) Individual goals [ ]
e) Ineffective reward system [ ]
f) All of the above [ ]
g) Others (specify) [ ]
10. Do you think that poor superior- subordinate
relationship causes organizational conflict?
11. What strategies are adopted in managing the conflicts?
a) Avoidance [ ]
b) Accommodation [ ]
c) Competition [ ]
d) Compromise [ ]
e) Collaborations [ ]
12. What other strategies are adopted in managing the
conflicts?
a) Mediation [ ]
b) Counseling [ ]
c) Modifying organizational structure/policy [ ]
93
d) Team Resolution [ ]
e) Other (specify) [ ]
13. To what extent are the strategies effective in managing
conflict?
a) Large extent [ ]
b) Little extent [ ]
c) Not at all [ ]
14. Does specific conflict re-occurs in the bank?
a. Yes [ ] b) No [ ]
15. Do you think that the re-occurrence is due to poor
conflict management?
a) Yes [ ] b) No [ ]
16. Do you agree that conflicts hamper affective
interpersonal and group relationships?
a) Yes [ ] b) No [ ]
17. What is the impact of organizational conflict on
employees?
a) It lowers morale [ ]
b) It discourages commitment [ ]
c) It denominates workers [ ]
d) It breeds distrust and suspicion [ ]
e) All of the above [ ]
94
18. Do you agree that organizational conflict hampers
workers‟ productivity?
a) Yes [ ] b) No [ ]
19. What is the impact of organizational conflict on
organizational performance?
a) It leads to loss of time [ ]
b) It slows down production process [ ]
c) It reduces output level [ ]
d) It reduces profit level [ ]
e) It hampers organizational growth [ ]
20. Do you agree that effective conflict management
enhances organizational performance?
a) Yes [ ] b) No [ ]
95
