TA Decision Making & Conflict

Transactional Analysis Transitional analysis is the study of social transaction between people may it be in the assertive or non-assertive manner Transactional analysis as described by Newstrom is the study of social transaction between people may it be in the assertive or non-assertive manner. Transactional analysis was developed by Eric Berne for psychotherapy in the 1950s. The objective is to provide better understanding of how people relate to one another to enable them to develop better communication and human relationships. Berne, in his book, says that when two people interact with each other, they are interacting from one of three psychological positions: parent, adult and child. These are known as ego states. parent ego state is apparent when an individual is protective, controlling, nurturing, critical or instructive. They may occasionally refer to policies and standards. The adult ego state will appear as rational, calculating, factual and unemotional behaviour. The individual will seek facts, process data, estimate probabilities and hold factual discussions while the child ego state reflects the emotions developed in response to childhood experiences. The child ego may be spontaneous, dependent, creative or rebellious. In similar ways to the real child, the child ego state desires approval from others and prefers immediate rewards.

Benefits of transactional analysis: Training in transactional analysis enable employees to gain fresh insights into their own personalities and it can also help them understand why some people behave the way they do. It also improves interpersonal skill and is especially useful in sales and in areas that need influencing others.

Decision Making
A decision is the alternative selected from a number of alternatives available and decision making is the process involved in selecting that choice of alternative Rational and Non-rational Decision Making There are two approaches managers may take in making their decisions, that is, to follow either the rational model or non-rational models. Rational Model The rational model, also known as the classical model by some, is based on economic assumptions (Daft, 2006). Managers are expected to make decisions that are in the best interest of the organizations. There are four assumptions underlying this model. They are: 1. The decision maker operates to accomplish common goals. 2. Decision maker strives for conditions of certainty. All alternatives and potential results are calculated. 3. Decision maker selects alternative that will maximize the economic return of the organization. 4. The decision maker is rational and makes decision that will maximize the attainment of organizational goals

Rational & Non Rational Decision Making

Stage I Identify the problem or opportunity
Stage II Think of alternative solutions Stage III Evaluate alternatives and select solution Stage IV Implement and evaluate solution chosen
(Four stages associated with rational decision making.)

Non-rational Model The non-rational model or generally known as the administrative model or behavioural decision model describes how managers make decisions in difficult situations where there is an abundance of uncertainties and ambiguities. The assumptions are: 1. Decision goals are often vague, conflicting and lack consensus among managers. Managers are often unaware of problems or opportunities that exist in the organization. 2. Rational procedures are not always used. Even when they are, they are confined to a simplistic view of the problem that does not capture the complexity of real events. 3. Managers search for alternatives is limited due to constraints in resource, human and information. 4. Most managers settle for satisfying rather than maximizing solution.

Garbage Can Model In this view, the main components of decisionmaking process are problem solution, participants and choice situations; all mixed up together in a garbage can of the organization. Choice making and implementation may be done by quite different individuals. What was chosen may not match what is implemented. Many problems also go unsolved. one key job challenge of the manager in such circumstances is to make the appropriate linkages among problems and solutions

Criteria of Good Decision Making:

1. The decision is high quality in resolving problem or opportunity at hand. 2. The decision is timely. 3. The decision is understood by those who have to implement it. 4. The decision has the commitment of those who have to implement it. Participative Management Top management is continually involved: Implementing PM must be monitored and managed by top management. Middle and supervisory managers are supportive: These managers tend to resist PM because it reduces their authority. Thus, it is important to gain the support and commitment of managers in these ranks. Employees trust managers: PM is likely to succeed when employees don not trust management. Employees are ready: PM is more effective when employees are properly trained, prepared and interested in participating. Employees do not work in interdependent jobs: Interdependent employees generally do not have a broad understanding of the entire production process, so their PM contribution may actually be counterproductive.

Conflict
1. 2. 3. Views on Conflict Traditional Human Relations & Interaction-ist Conflict Process Sources of Conflict Functional & Dysfunctional Conflict Conflict Styles

Conflict
A process that begins when one party perceives hat another party has negatively affected, or is about to negatively affect, something of value or care for the first party. Views on Conflict 1. Traditional; The belief that all conflict is harmful and must be avoided. 2. Human Relations; The conflict is a natural and inevitable outcome in any group 3. Interaction-ist;The belief that conflict is only a positive force and is absolutely necessary for a group to perform effectively

Process-5 stages
Stage-1;incompatibility or potential opposition 1. Communication 2. Structure 3. Personal variables Stage-2; cognition and personalization-felt conflict Stage 3;intentions; Competing Collaborating Avoiding Accommodating compromising Stage-4; Behavior Stage 5; Outcomes

Conflict Process

Perceived Conflict

Positive Outcome Conflict Handling Intentions

Potential opposition incompatibility Felt \conflict

Overall conflict

Negative Outcome

Stage-1

Stage-2

Stage-3

Stage-4

Stage-5

Source Of Conflict Tasks Process resources Interpersonal relationship Expectations of Equity, fairness & justice Other internal and external dynamics in an organization etc Functional & Dysfunctional Conflict Functional Conflict Supports the goals of the groups and helps in improving performance Dysfunctional Conflict Hinders groups performance

Using Conflict Management Styles

Problem solving -- when time and cost
allow true conflict resolution Avoidance -- when issue is trivial or people

need to step back and regain perspective Authoritative command -- when quick and decisive action is needed Accommodation -- when issues more
important to other party Compromise -- when temporary settlements

useful

Negotiation
A process in which two or more parties exchange goods or services and attempt to agree upon the exchange rate for them. Distributive bargaining Integrative bargaining BATNA-best alternative based on lowest value acceptable

NEGOTIATION CRITERIA
QUALITY - Result is of high quality and satisfactory to all sides HARMONY- Process fosters good relationships among all parties EFFICIENCY - Process takes no more time than absolutely necessary