University of Sydney · FACULTY OF BUSINESS & MANAGEMENT

PMGT5872 · People and Communications

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Chapter 6 of 11 · PMGT5872

Negotiation & Conflict Management

Week 6 covers stress and pressure, the sources and levels of conflict, the five conflict-resolution styles (the Thomas-Kilmann family), Relationship Awareness Theory, the Drama Triangle, mediation, and principled negotiation with BATNA and WATNA. Conflict is treated as potentially functional as well as dysfunctional. These tools appear in the group-work cases and in reflective writing about how you handled disagreement within your team.

In this chapter

What this chapter covers

  • 01Stress vs pressure (Roger & Petrie): pressure motivates, stress is chosen rumination; the stress-performance curve
  • 02Conflict hooks and hot buttons; causes of conflict (data, value, structural, interest, relationship)
  • 03Levels of conflict: discomfort, incidents, misunderstanding, tension, crisis
  • 04Functional vs dysfunctional conflict
  • 05The five conflict-resolution styles: avoid, accommodate, compromise, force/compete, collaborate
  • 06Relationship Awareness Theory (SDI colours) and the Drama Triangle (rescuer, persecutor, victim)
  • 07The Four-R method: Receive, Repeat, Request, Review; mediation as neutral third-party process
  • 08Principled negotiation, position vs interest-based approaches, and BATNA/WATNA
Worked example · free

Applied: choosing a conflict style and preparing to negotiate a scope dispute

Q [6 marks]. Two team members are in open conflict over how to allocate limited testing time; the dispute is starting to affect the whole team, and one member has cast themselves as the wronged "victim". You must resolve it and then negotiate a workable split with a supplier. (a) Which conflict-resolution style fits an important, relationship-sensitive issue with time to work it through, and why? (b) What dysfunctional pattern is the "victim" framing, and how do you avoid feeding it? (c) What must you prepare before the supplier negotiation? (6 marks, illustrative.)
  • +2(a) Collaborate (problem-solving). Because both the issue and the relationships matter and there is time, collaborating seeks a solution that meets both parties' underlying interests rather than splitting the difference. Compromise would be the fallback if time were short; avoiding or forcing would damage the team.
  • +2(b) The "victim" framing is a corner of the Drama Triangle (victim, rescuer, persecutor). You avoid feeding it by not stepping in as rescuer or persecutor: stay neutral, use the Four-R method (Receive without interrupting, Repeat objectively, Request their proposed solution, Review options) so the parties own the resolution.
  • +2(c) Before negotiating with the supplier, prepare your BATNA (best alternative to a negotiated agreement) and consider your WATNA (worst alternative), and take an interest-based rather than position-based approach, aiming for a win-win. Knowing your walk-away alternative is what gives you leverage and stops you accepting a bad split.
The internal dispute calls for a collaborating style (both issue and relationship matter, and there is time), handled without entering the Drama Triangle as rescuer or persecutor and using the Four-R method; the supplier negotiation requires a prepared BATNA/WATNA and an interest-based, win-win approach. A strong answer names each framework and justifies the style choice by the stakes and time available.
Sia tip — Style choice depends on how much the issue and the relationship matter and how much time you have — there is no single "best" style. And never negotiate without a BATNA. Ask Sia to give you conflict scenarios and check which style you pick and why; it explains the reasoning, it does not do your assessment.
Glossary

Key terms

Five conflict-resolution styles
The Thomas-Kilmann family of responses to conflict: avoiding, accommodating, compromising, competing (forcing) and collaborating, chosen by how much the issue and the relationship matter.
Functional vs dysfunctional conflict
Functional conflict encourages creativity, better decisions and growth; dysfunctional conflict destroys trust and performance. The aim is to manage conflict toward the functional kind.
Drama Triangle
A dysfunctional conflict dynamic with three roles — Rescuer, Persecutor and Victim — that people slip into; healthy resolution means staying out of all three.
Four-R method
A constructive-engagement routine: Receive (without interrupting), Repeat (objectively), Request (their proposed solution), Review (options and decide).
BATNA / WATNA
Best and Worst Alternative To a Negotiated Agreement — your fallback options if no deal is reached; knowing your BATNA sets your walk-away point and gives leverage.
Stress vs pressure
Pressure is external demand that can motivate; stress (Roger & Petrie) is the chosen act of ruminating on demands. Performance peaks at optimum pressure and falls under overload.
FAQ

Negotiation & Conflict Management FAQ

How do I choose among the five conflict-resolution styles?

There is no universally best style; you choose by how important the issue is, how important the relationship is, and how much time you have. Collaborating suits important issues where the relationship matters and there is time to find a solution meeting both interests. Compromising is a faster middle ground. Accommodating preserves the relationship over the issue, competing forces your position when speed or principle demands it, and avoiding is for trivial or cooling-off situations.

What is the difference between position-based and interest-based negotiation?

Position-based negotiation argues over stated demands ("I want X"), which tends to become win-lose. Interest-based negotiation looks behind positions to the underlying needs and seeks options that satisfy both sides, aiming for win-win. The unit pairs this with BATNA and WATNA — knowing your best and worst alternatives to a deal — so you negotiate from a clear walk-away point rather than accepting a poor outcome.

Is all conflict bad in a project team?

No. The unit distinguishes functional from dysfunctional conflict: functional conflict — disagreement about ideas and approaches — can improve decisions, surface risks and drive creativity, while dysfunctional conflict attacks people and destroys trust. The skill is managing conflict so it stays functional: focus on the issue not the person, avoid the Drama Triangle, and use structured methods like the Four-R approach.

Can AI help me with conflict and negotiation in PMGT5872?

Yes. Sia can give you conflict scenarios and check which style you select and why, explain the Drama Triangle and Four-R method, and help you prepare a BATNA/WATNA analysis for a negotiation case. It explains the method and checks your reasoning; it does not complete graded work for you, and academic-integrity rules apply.

Study strategy

Exam move

Learn the five conflict styles as a decision, not a list: be able to justify a style from the stakes, the relationship and the time available. Keep the Drama Triangle and Four-R method ready for the group-work cases, where poor conflict handling is exactly what you are asked to diagnose and fix. For negotiation, always start from BATNA/WATNA and an interest-based frame. These tools also give you strong material for reflecting on how you handled disagreement in your own team. Confirm assessment details on Canvas.

Working through Negotiation & Conflict Management in PMGT5872? Sia is AskSia’s AI Business & Management tutor — ask any PMGT5872 Negotiation & Conflict Management question and get a clear, step-by-step explanation grounded in how PMGT5872 is taught and assessed. Read this chapter free, then take your hardest questions to Sia.

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