The Impact of Conflict

Conflict is just between the people involved right? Think again. Unresolved conflict has a ripple effect across an organization. That’s why it’s so important to resolve issues quickly and early.

Conflicts that go unresolved:

😒 Spread Negativity

🔋 Drain energy

😩 Decrease employee engagement

📉 Decrease productivity

All of this has a broader impact on:

• The Team Member (s) – the people who are involved in the conflict
• You – as a leader of the team/people who are in conflict
• The Team – other members of the team are impacted
• The Organization – decreased productivity/time lost because of unresolved conflict

Which ultimately impacts the Customer due to lower customer satisfaction.

Since the pandemic in 2020, cases of conflict have risen in the workplace.

In this article we find statistics on the impact of workplace conflict

• 89% of employees surveyed say that they let conflicts escalate
• 67%: Took extra measures to avoid a colleague with whom they had disagreed with
• 29%: Took several days to resolve the conflict
• 82% of respondents agreed that with training, “line managers help their team to build healthy relationship”

What is this costing organizations?

• U.S. employees spend 2.8 hours each week dealing with conflict which comes to $359 billion in paid hours (based on an average hourly wage of $17.95) in companies across the country
• Canada – According to a Morneau Shepell study, conflict costs the average business owner two billion dollars a year
• According to a study by the Conference Board of Canada, absenteeism costs the Canadian economy over $16 billion a year

What does all of this mean for you? It is critical to manage conflict effectively to avoid wide-spread negative impact. Conflict can not be left to fester; it must be dealt with immediately and with transparency. Consider your company strategy for managing and addressing conflict issues.  How are you educating your team to deal with this natural occurrence in the workplace?

Read here for tips and best practices on how to resolve conflict

Check here for what to do when conflict arises

To find out more about successful difficult conversations, contact us