Conflict according to Flanagan is “any situation in which people have incompatible interests, goals, principles, or feelings.” Whenever and wherever there is a group of people, especially when the firm grows and when the desire for more collaborative approaches to leadership increaser it is inevitable that conflicts will arise. As a consequence of them, they can threat the relationships among the employees which result in weakness of internal structure for the firm and ultimately can cause the damage the overall objectives of the firm.
Entrepreneurs must also have to act as a leader, after all they are human beings and those working for the firm as well. All differ in their social, moral and psychological needs and sometimes even this need can become the base of conflict in the organization.
Mostly entrepreneurs cannot give proper attention to the conflict when it is in its starting juncture and when it matured; again the time had passed to covenant with that. Thus, it result in poor management for that conflict. Poorly managed conflict creates enormous costs in the form of wasted management time, higher turnover, lawsuits, and the like. It can also lower productivity. When people are engaged in destructive conflict, they begin to pull back, stop sharing information, and take fewer risks. When the employee feel that his/her effort is not rewarded, or he/she is involved in any kind of conflict, particularly with the management, it will result in declining of his/her spirits and confidence. Lowered morale and strained working relationships can cause stress and sap employees’ energy to focus on being creative and productive.
To handle them during the whole of business is also a big task for an entrepreneur to accomplish. He/she must have personal traits to understand the conflict, he must know him/herself that if he/she competent enough to deal with the nature of conflict, then doing actions to manage or reduce conflicts and finally building and developing such an environment based on experience that can put a barrier for future conflicts to arise.
It is one of the duty of an entrepreneur beside rising and growing the organization that he/she must also take this factor in account to create a conflict free and competent organization.
Entrepreneurs must also have to act as a leader, after all they are human beings and those working for the firm as well. All differ in their social, moral and psychological needs and sometimes even this need can become the base of conflict in the organization.
Mostly entrepreneurs cannot give proper attention to the conflict when it is in its starting juncture and when it matured; again the time had passed to covenant with that. Thus, it result in poor management for that conflict. Poorly managed conflict creates enormous costs in the form of wasted management time, higher turnover, lawsuits, and the like. It can also lower productivity. When people are engaged in destructive conflict, they begin to pull back, stop sharing information, and take fewer risks. When the employee feel that his/her effort is not rewarded, or he/she is involved in any kind of conflict, particularly with the management, it will result in declining of his/her spirits and confidence. Lowered morale and strained working relationships can cause stress and sap employees’ energy to focus on being creative and productive.
To handle them during the whole of business is also a big task for an entrepreneur to accomplish. He/she must have personal traits to understand the conflict, he must know him/herself that if he/she competent enough to deal with the nature of conflict, then doing actions to manage or reduce conflicts and finally building and developing such an environment based on experience that can put a barrier for future conflicts to arise.
It is one of the duty of an entrepreneur beside rising and growing the organization that he/she must also take this factor in account to create a conflict free and competent organization.
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