Topic > Functional Conflict Case Study - 1465

Conflict seems inevitable when trying to merge two companies. Conflict is described as the “Process that begins when one party perceives that the other has frustrated, or is about to frustrate, some concern” (Kumar, 2009). The CEO of Synergon uses a "take no prisoners" approach and would fire most of the management team within 12 months of acquiring a company using an approach called neutron bombardment. In cases where both companies are successful, as in the case of Synergon Capital and Beauchamp, even more conflicts are added. Beauchamp managers are used to operating in a positive way that has produced profits for the company and adds Nick Cunningham, a manager at Synergon who is used to restructuring management in poorly managed newly acquired companies. When managed correctly, functional conflict helps managers anticipate and resolve problems, feel confident, and strengthen relationships. Dysfunctional conflict is a confrontation or interaction between groups that harms the organization or the achievement of organizational goals (Kumar, 2009). Cunningham faces a functional conflict. The conflict created by the merger that Cunningham faces can create positive consequences for both Synergon and Beauchamp. Cunningham must resolve the problems between the two companies and make it acceptable to all parties involved. In the event of a functional conflict Cunningham can test the validity of the arguments, hypotheses and the value of the ideas between the two companies. When Cunningham meets with Julian Mansfield, he will need to present high-quality decision deliverables, while expressing their opposing views and perspectives on how they will create a constructive integration and keep the merger operational using functional solutions.