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“Every conflict we face in life is rich with positive and negative potential. It can be a source of inspiration, enlightenment, learning, transformation, and growth.” – Fred Luskin

Conflict is an inevitable part of life, especially in the world of business.

Whether it’s a disagreement with a colleague, a challenging negotiation, or a clash of interests, conflict can be both daunting and disruptive, and many people approach conflict and negotiation with fear, anxiety, or even aggression. However, renowned psychologist Fred Luskin reminds us that workplace conflicts are not solely negative experiences but, in fact, possess tremendous positive potential for inspiration, growth, and transformation.

As a business leader, your ability to handle workplace conflict effectively can make the difference between stagnation and progress, between frustration and growth.

In this article, we will explore strategies for conflict management and negotiation in a way that embraces their positive aspects and fosters fruitful outcomes.

The Nature of Workplace Conflict

Workplace conflict isn’t inherently negative. In fact, as Luskin suggests, it’s rich with potential and can serve as a catalyst for positive change and innovation within your organisation. It can uncover hidden issues, challenge established norms, and lead to better solutions. However, it can also be destructive if left unaddressed or mishandled.

Understanding Conflict

To handle conflict successfully, you must first understand its nature. Workplace conflict often arises from poor communication, from differences in goals, values, or perceptions. It can stem from misunderstandings, competition for resources, or varying personalities within a team. Recognising the root cause of conflict is the first step toward effective resolution.

Healthy vs. Unhealthy Conflict

Not all conflict is created equal. As leaders you want to foster healthy debate that considers diverse views and challenges the status quo, which leads to better ideas and decisions.

Unhealthy conflict, on the other hand, involves personal attacks, ego, lack of empathy, avoidance, and refusal to collaborate. It’s important to manage counterproductive conflicts promptly before they spiral.

Conflict Management: Resolution vs. Transformation

Many people approach workpalce conflict with the aim of resolving it, but there’s a more powerful concept – conflict transformation. Resolution often implies finding a compromise or ending the conflict, which may not address its underlying causes. On the other hand, conflict transformation seeks to change the way individuals and organisations deal with conflict, turning it into a catalyst for growth.

The Role of Emotional Intelligence

Emotional intelligence (EQ) plays a crucial role in handling conflict. EQ enables you to understand and manage your emotions, empathise with others, and maintain self-control in challenging situations. It’s a skill that can be developed and honed, leading to more effective conflict management.

Transforming Workplace Conflict into Growth

Workplace conflict, when handled skilfully, can lead to growth on multiple levels:

  • Individual Growth: When individuals engage in conflict constructively, they often learn more about themselves and their colleagues, which can be an opportunity for personal development and increased self-awareness.
  • Team Development: Conflict can strengthen teams when it’s managed well, encouraging team members to find common ground, learn from each other, and build stronger relationships.
  • Innovation and Creativity: Some of the most innovative ideas emerge from conflicts. Differing viewpoints can lead to groundbreaking solutions and new approaches to challenges.
  • Organisational Improvement: Conflict resolution and transformation can lead to organisational improvements by uncovering systemic issues that need addressing, ultimately making the organisation more efficient and effective.

Effective Conflict Management Strategies

  • Open Communication: Encourage open and honest communication among team members. Create an environment where individuals feel safe expressing their opinions and concerns. Ensure there is understanding of the desired norms for professional debate and problem-solving. Effective communication can prevent workplace conflicts from escalating.
  • Active Listening: Truly listening to others is key to conflict resolution. It demonstrates respect and a willingness to understand different perspectives. When people feel heard, they’re more likely to cooperate in finding solutions.
  • Focus on Interests, Not Positions: Often, conflicting parties are fixated on their positions. Don’t get personal. Effective negotiation involves shifting the focus to underlying interests and issues. Understanding the core needs and concerns of each party and seeking to find common ground at the interest level can lead to more creative solutions.
  • Mediation: In some cases, bringing in a neutral third party can be beneficial. A mediator can facilitate discussions, help parties see common ground, and guide them toward mutually acceptable solutions.
  • Embrace Diversity: Diverse perspectives from your team members can lead to richer discussions and innovative solutions. Encourage a culture where differences are seen as assets, not liabilities.

Tips for Resolving Workplace Conflict

  • Act Swiftly: Address issues early before positions harden and resentment builds. Be proactive, not reactive.
  • Discuss 1:1 First: Meet separately with each party first to understand perspectives and then bring them together for resolution.
  • Find Shared Interests: Despite differing needs, identify common ground – it raises the chance of agreement.
  • Brainstorm Solutions: Generate options together for mutual gain before evaluating trade-offs.
  • Appeal to Values: Reference your organisation’s values and purpose as guiding principles.
  • Establish Processes: Implement protocols for future issues, like an agreed authority or mediation steps.
  • Compromise: All parties must be willing to find middle ground. Mixed solutions often work best.
  • Agree to Disagree: Not all conflicts reach resolution. Agree respectful dissent may stand. Move forward constructively.

Mastering Difficult Conversations

When emotions run high, maintain dialogue. Don’t evade issues or make snap decisions. Slow down, create safety, and find solutions.

  • Set the Tone: Stay calm and model openness. “I know we disagree but value your perspective.”
  • Clarify Intentions: “My goal is to resolve this collaboratively and strengthen our working relationship.”
  • Establish Boundaries: “Let’s keep this constructive and impersonal. No attacks or accusations.”
  • Speak for Understanding: Seek first to understand fully, by reflecting back your interpretation to confirm your understanding.
  • Align on Facts: Separate subjective judgments from objective data. Stick to goals and principles.
  • Problem-Solve Together: “How can we reach an outcome we both feel good about?”

Negotiation Skills

Negotiation is a subset of conflict resolution. Whether you’re negotiating a business deal, a partnership agreement, or a salary increase, these principles apply:

  1. Preparation: Know Your BATNA (Best Alternative to a Negotiated Agreement) – what you’re willing to compromise on, and what your bottom line is. If talks fail, what’s your walk-away option? This anchors if a deal is worthwhile. Research and understand the other party’s position and interests, too.
  2. Communication: Be clear and concise about your needs and wants and don’t expect others to read your mind. Misunderstandings can lead to unnecessary conflict.
  3. Active Listening: Negotiation is a two-way street – during negotiations it’s important to listen actively to the other party. Understand their needs and concerns to find mutually beneficial solutions.
  4. Relationship Building: People are more likely to negotiate in good faith with those they trust and respect.
  5. Flexibility: Be willing to adapt and compromise without sacrificing your core interests and don’t accept false choices such as, “It’s this deal or nothing.” You always have alternatives. Remember that negotiation often involves give and take.
  6. Patience: Negotiations can be time-consuming. Patience is essential for reaching the best possible outcome.
  7. Win-Win Approach: Strive for win-win outcomes where both parties leave the negotiation table satisfied with a solution that benefits everyone. This builds positive relationships for future collaborations.


Conflict and negotiation are integral parts of business life. Embracing them as opportunities for growth and transformation rather than as obstacles can set your organisation on a path to success. By fostering a culture of open communication, active listening, and emotional intelligence, you can navigate conflicts and negotiations with finesse, turning challenges into stepping stones toward a brighter future.

Remember, as Fred Luskin wisely noted, every conflict is rich with potential. It’s up to you to harness that potential for the benefit of your business and your own personal growth. After all, as the saying goes, ‘pressure makes diamonds.’

When did you last turn a workplace conflict into an opportunity for growth? Share your experiences and insights in the comments.



If you’d like learn more on this topic, the following articles and posts might be of interest.

In this month’s focus on Assessing Your Situation:

 Related Posts:


From Harvard Business Review (HBR): How to Handle Difficult Conversations at Work

Forbes: Conflicted About Conflict? Four Steps For Reaching Resolutions At Work

Fast Company: How to deal with workplace conflict directly, even when you feel afraid



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