Conflict Resolution in Management
Conflict in the workplace is inevitable.
When you put smart, passionate people in the same space, tensions are bound to bubble up. But here’s the twist: conflict isn’t always bad. In fact, when handled well, it can be a catalyst for team growth, innovation, positive change, and trust-building.
Conflict resolution is a process, whether informal or formal, used by parties engaged in a dispute to seek a resolution. With that in mind, the approach employees and managers use to resolve conflicts has far-reaching implications for productivity, team dynamics and, ultimately, the bottom line of the organization as a whole.
The approach that employees and managers within an organization take in resolving conflicts has far-reaching implications for productivity, team dynamics, and ultimately, their bottom line.
4 Common Pitfalls of Conflict Resolution
Here are the most common mistakes that employees and managers make when trying to resolve disputes:
Mistake #1: Avoiding the issue like it’ll disappear on its own
Conflict avoidance might feel easier in the moment, but it only turns tension into resentment. When issues are swept under the rug, they don’t go away—they grow teeth.
Specifically, being a leader means doing things that might be uncomfortable. Avoidance only exacerbates the costs and consequences of workplace conflict, intensifying the issue and fostering resentment that can trickle from department to department. This can lead to poor performance, reduced productivity, and disengagement from their workplace.
As a leader, you are responsible for creating and maintaining a healthy work environment where individuals feel safe to engage in conflict resolution.
💡 Instead: Model bravery. As a leader, show that it’s okay to name the tension and work through it constructively.
Mistake #2: Playing the blame game
Pointing fingers may feel satisfying, but it immediately puts the other person on the defensive. That causes people to shutdown and prevents productive resolution efforts.
💡 Instead: Focus on facts and shared goals, not personal attacks.
Mistake #3: Refusing to bend
It’s important to remember that resolving conflicts is not about being right or winning. The situation may impact individuals beyond yourself and at times you have to compromise to find a solution that is better for all parties involved.
💡 Instead: Aim for solutions that work for everyone, even if it means letting go of being 100% satisfied.
Mistake #4: Rushing the resolution
Quick fixes often miss the point. This can be for a number of reasons from time constraints to a lack of resources, but if you don’t fully understand what’s driving the conflict, then the solution won’t stick.
💡 Instead: Slow down. Facilitate a real conversation. Get to the heart of the matter.
Well-Known Cases of Poor Conflict Resolution
The pitfalls of bad conflict resolution have been shown time and time throughout history. Here are cases of conflicts that have gone poorly:
The Hand Hygiene Dilemma
In the 1840s, Dr. Ignaz Semmelweis made a life-saving discovery: handwashing with chlorine drastically reduced maternal deaths in hospitals. Additionally, he noticed that in the ward where only male doctors and medical students worked new mothers were dying far more often from childbed fever. After performing autopies, Semmelweis discovered that this was due to the fact that these male doctors did not wash their hands before attending to the maternity ward. He strongly advocated for the implementation of handwashing with chlorine solutions to prevent these tragic deaths.
His theory proved to be successful, and the mortality rate of new mothers decreased after staff started sanitizing their hands. Despite this evidence, his theory was initially rejected by hospitals and the medical community; mainly because it blamed doctors for their patient’s deaths.
The resistance to accountability meant lives were lost unnecessarily. It took a decade (and countless preventable deaths) before handwashing became standard.
🧭 The takeaway? Ego and denial have no place in conflict resolution. When a solution challenges authority or identity, strong leadership requires humility and curiosity. In this case, had there been a successful collaboration and acceptance of Semmelweis’s ideas, it could have been adopted much earlier, potentially saving more lives.
The Family Feud: Adidas vs. Puma
Two German brothers, Rudolf and Adolf Dassler, established the Dassler Brothers Shoe Factory together in 1920. As they lived during the period of World War II, they frequently hid out in bomb shelters during bomb raids.
During one such raid, Adolf sought safety with the family in the shelters and muttered the words, "Here are the bloody bastards again," referring to the approaching bombers.
Rudolf misinterpreted this, believing his brother referred to him negatively, and nothing could persuade him otherwise. This misunderstanding led to a significant strain on the brothers' relationship, and after the war, they chose to pursue separate paths, each founding their independent businesses.
Adolf established "Adi", which later became Adidas. Rudolf founded "Ruda", which evolved into Puma.
Remote Work Environments Can Increase Friction
While remote work has eliminated the long commutes and traffic, it hasn’t eliminated workplace tension. In fact, it’s created a new type of conflict that sneaks in silently through missed messages, delayed replies, and Slack threads that go sideways.
According to the Society for Human Resource Management (SHRM), 81 percent of remote professionals have experienced workplace conflict. When you’re not sharing a physical space with your coworkers, you can easily miss out on the subtle signals of conflict on the horizon: raised eyebrows, tense posture, the “Can we talk?” in the hallway moment.
Relationships are harder to build remotely, and misunderstandings are bound to brew.
For instance, maybe you sent a request for a team member on Monday. By Wednesday, there’s still no response. Are they ignoring you? Swamped? Annoyed? In an office, you’d catch them between meetings and clear the air in seconds. But remotely? You’re left guessing—and stewing over it.
Managers can consider implementing virtual office hours that allow employees to drop in and engage in conversations, mimicking the spontaneous interactions of a physical office. One fix? Virtual office hours. Just like an open door in a real office, virtual hours lay strict boundaries on when people can be contacted, and give team members space to talk it out.
Ultimately, remote work often requires more communication to ensure any misunderstandings are smoothed out.
Other tips include:
✅ Clarify the tone of the conversation—do not assume
✅ Prepare for tough conversations
✅ Normalize check-ins
✅ Overcommunicate (even when it feels redundant)
4 Benefits of Effective Mediation
1. Increased Engagement
When employees feel confident handling conflict, they’re less likely to shut down, check out, or silently stew. That kind of confidence creates calmer, clearer communication, which leads to stronger teams.
According to a Gallup study, highly engaged teams experience 21% higher profitability. And guess what easily derails engagement: Conflict, of course! Linger, unresolved tension is stressful and causes internal disputes. Equipping employees with conflict management skills empowers them to navigate difficulties with confidence and composure, effectively reducing stress.
2. Improved Relationships
When people trust that their concerns will be heard and handled with respect they’re more likely to speak up, collaborate, and support each other. Healthy conflict resolution builds relationships between team members where feedback isn’t feared and disagreements don’t feel dangerous. Plus, research from Deloitte indicates that high-performing teams directly address conflicts with transparency to sustain strong, long-term working relationships.
Ultimately, it’s not just about getting along. It’s about getting things done together.
3. Informed Decision-Making
Addressing disputes involves bringing different perspectives to the surface, and that’s a good thing! The best decisions often emerge from respectful disagreements, not perfect harmony. Plus, they often mean you are sharing ideas that would not come up otherwise, which may lead to innovation and solutions previously unknown to the team.
Studies show teams that embrace cooperative conflict styles make smarter decisions than those that rely on avoidance or power plays.
4. Innovation and Creativity
Innovation cannot thrive in silence. When people feel safe to speak up, even when their ideas challenge the status quo of their workplace, creativity blossoms. A study involving 5,000 employees from 9 different countries, it was found that the average weekly hours spent on workplace conflict ranged from 0.9 to 3.3 hours.
Conversely, research shows that unresolved conflicts cost U.S. businesses $359 billion a year in lost productivity.
Knowing that, investing in conflict resolution skills isn’t just smart—it’s strategic.
The Role of Leadership in Conflict Management
Leadership doesn’t just drive results, they drive the emotional climate and overall culture of the team.
How they handle conflict (or choose not to) sets the tone for the entire organization. Do they model courage and fairness? Or do they dodge tough conversations and let conflict fester?
The truth is leaders who lean into conflict thoughtfully build teams that are stronger, more trusting, and more effective.
🚀 Maintain fairness
Fairness isn’t just about following the rules, but about creating a culture where people truly believe they’ll be treated with respect and equity. By ensuring conflict resolution processes are fair and consistent, team members will be more willing to accept the outcomes.
There are 3 dimensions of fairness leaders should master:
Legitimate expectations: Employees expect consistent, trustworthy treatment that is often based on past experiences. When that trust is broken, it can be very difficult to rebuild and requires meaningful effort.
Procedural fairness: Handle conflicts using clear, unbiased processes—no favoritism and no impulsive judgements.
Distributive fairness: The organization should equitably allocate opportunities and benefits, such as bonuses or promotions, to reduce conflicts stemming from perceived inequities based on merit.
🔍 Quick Tip: Inconsistent treatment isn’t just bad optics. It breeds resentment—and conflict multiplies fast when people feel the system is rigged.
⭐ Set Clear Expectations for Conflict Management
Leaders should clearly communicate their expectations when conflicts arise and provide guidelines on how to manage them effectively. You don’t want to wait until conflict explodes to set guidelines. That would be like reading the fire escape plan long after the build is on fire—yikes!
Instead, leaders should:
Define (and even demonstrate) what healthy disagreements look like
Outline steps employees should take as conflicts arise
Normalize seeking early support and intervention when needed, rather than when it’s too late
🧠 Simple Conflict Roadmap for Teams:
Identify the root issue and dig deeper than surface symptoms.
Understand and be curious about the other party’s perspective.
Choose a resolution strategy, which includes picking the right tool for the situation (for example: accommodate and collaborate with team members).
Follow up and don’t assume the problem is solved.
🎯 Foster an Inclusive Workplace Culture Across Teams
Conflict doesn’t happen in a vacuum. Bias, discrimination, and exclusion can fan the flames if they’re allowed to fester. That’s why training teams to avoid things like microaggressions and to recognize their unconscious biases is a critical part of conflict prevention in the first place.
When people are aware of their own biases, they can more easily reflect on potential conflict with a clearer, less biased view.
More specifically, this includes:
Reduced bias and discrimination
Inclusive workplace training proactively addresses systemic inequities and discrimination prior to conflicts. By addressing these issues, organizations create a more equitable environment that results in few conflicts that are rooted in bias.
And, when those conflicts arise, proactive management is better equipped to address them.
Be Inclusive When Resolving Conflict
When employees feel heard, they are more likely to participate in the process of conflict resolution. In that respect, inclusion isn’t just “nice-to-have”, it’s oxygen for high-performing teams and employees.
Increased Trust
When leaders show they’ll address concerns fairly for everyone, trust rises amongst teams and team members alike. Soon, conflict resolution becomes easier, faster, and more honest.
The Most Effective Conflict Resolution Strategies
There’s no one-size-fits-all when it comes to conflict. Each situation calls for a different approach—and knowing which one to use can mean the difference between a quick resolution and a slow-burning grudge.
Here are the five major conflict resolution strategies every leader should have in their toolkit, plus how (and when) to use them.
Strategy #1: Accommodate and Let Go (When Possible)
What is it?
While it may seem counterintuitive, giving people what they want, even if it isn’t your first choice, can be one of the easiest ways to resolve conflicts.
When it Works: When issues are low-stakes for you and high-stakes for someone else. This is an act of preserving harmony and saving your energy for bigger conflicts that you’re more invested in.
For Example: Two coworkers are disputing over wanting the same office space. One of them has a preference for more light in the morning because it helps them feel energized, but the other doesn’t and decides to gracefully give up the space for another. This way, the conflict is avoided and the person who has more stakes in the matter feels listened to.
Strategy #2: Compromise, Negotiate, and Meet in the Middle
What is it?
Each side of the conflict will give a little up to gain something. It’s the classic, “you win some you lose some” approach.
When it Works: When conflicts need to be resolved quickly and are not about emotionally charged or high-stakes issues for both parties. It’s also very helpful when the conflicting parties have legitimate needs that they require to be met but have a limited amount of wiggle room.
For Example: One employee wants the thermostat higher than the other, so they settle to a temperature in the middle that they can both work with. Nobody gets exactly what they want, but the solution finds a middle ground that both parties can mutually agree upon.
💡 Pro Tip: Before negotiating a conflict, know your BATNA (Best Alternative to a Negotiated Agreement). More specifically, this is your “if it falls through” plan (like escalating to HR or a third party to facilitate a resolution). It keeps your boundaries clear and your expectations grounded.
Strategy #3: Mediate
What is it?
A mediator helps navigate difficult conflicts and ensures both parties can explore potential solutions. They can also help employees state their needs more clearly.
When it Works: When emotions are running high and communication has become increasingly difficult or hostile, but both sides are still willing to talk to each other with assistance.
For Example: Two departments who normally share resources with ease are clashing about it. A neutral facilitator can assist them to explore their options without the risk of a passive-aggressive email or a potential fight.
Note: Mediators must not take sides; their role is to create space for both sides to be heard.
⚖️ Strategy #4: Arbitrate
What is it?
Similar to mediation, a neutral party hears both sides and makes the call. There are informal and formal approaches, with the latter being legally binding. These can be led by a manager or HR representative, where even if it is a more informal process the decision remains final.
When it Works: If prior attempts to resolve issues have failed or caused further hostilities and a clear, quick decision is needed.
For Example: Two employees are arguing over the allocation of their project tasks. In response, their manager steps in and listens to both sides and, after taking some time to consider the needs of the team as a whole, makes a final decision.
⚠️ Heads-up:
This method resolves the issue, but may not repair the relationship.
🤝 Strategy #5: Collaborate Towards a New Way
What is it?
Everyone works together to find a solution that aligns with everyone’s best interests and needs. This approach takes time, but promotes open communication and brainstorming towards potential answers, resulting in a “win-win” scenario and, ideally, increased trust between employees, leaders, and more.
When it Works: For complicated, emotionally charged, or recurring conflicts where relationships are important to future collaborative work. Likely these are larger conflicts that require sustainable solutions.
For Example: Two team leads disagree on an approach to launch a new strategy. Rather than finding a compromise or looking for a mediator, they find a solution that combines elements of both their plans. The result is a stronger partnership and a better strategy overall.
🎉 Best for: Long-term success, innovation, and when you're trying to repair or strengthen trust.
Creative Team Exercises for Conflict Resolution Workshops
As a preventative measure, managers should consider implementing organization-wide conflict resolution training featuring engaging activities to increase participation.
Role Reversal
Pair up team members and get them to swap roles (within a comfortable, safe setting). See what changes they need to consider and how this perspective changes their understanding of the challenges affecting their colleagues.
Outdoor Team-Building Activities
Outdoor team-building activities can be highly effective for conflict resolution workshops. These activities provide a change of environment, encourage teamwork, and offer opportunities for team members to develop communication and problem-solving skills. Try these out:
Scavenger hunt: Provide a list of clues or riddles for teams to solve as they search for items. This fun activity promotes problem-solving and teamwork.
Art and sculpture challenge: Offer materials like clay, sticks, and rocks for teams to create outdoor sculptures. Consider awarding a team prize, such as a paid lunch, as an incentive. This creative outlet encourages communication and collaboration.
Choose your own adventure stories: These are narratives where individuals can influence the outcome by choosing the next action at pivotal points in the story. Completing the story as a group necessitates discussion of choices and agreement on actions, strengthening compromise and negotiation skills. This can be done around a campfire, providing an ideal ending for the day.
Final Thoughts
It’s crucial to remember that conflict doesn’t have to divide teams: it can unite them.
When managed thoughtfully, conflict opens doors to better communication, deeper trust, smarter decisions, and stronger teams. By investing in conflict resolution skills and strategies, organizations don’t just solve problems. They build cultures where people and ideas can truly thrive.
