Unless you're running a one-person operation, you probably have to interact with other people at work. But the problem with people is that they invariably clash at some point, making mediation an important skill in leadership. By the time the first office conflict arises, it's important for a manager to understand that interpersonal problems are rarely settled with simple solutions.

Learning why, when and how to mend employee hostilities before staplers are hurled or more severe legal issues are introduced can be crucial to effective management.

When to Step In
Office conflict can emerge from a variety of circumstances. Employees with different backgrounds or clashing values may antagonize each other, or incompatible work habits may cause stress to build up between team members. However, most of these conditions tend to stem from a basic divergence of personalities.

According to Psychology Today, an employee's personality encompasses the traits, idiosyncrasies and beliefs unique to that person. It is the "wild card" in any collaborative environment. "Whereas most of the stressors we encounter at the office can be scheduled, delegated, avoided or at least reimbursed, the personalities of one's coworkers remain the uncontrolled variable."

Personalities are unpredictable, so it's better to focus on resolving conflicts rather than managing the personal traits that bring them about. However, deciding when mediation is necessary can be tricky. It can be hard to distinguish between a friendly rivalry and a legitimate conflict, or between an occasion of momentary tension and a permanent, escalating one.

Much of the solution involves timing. According to Monster.com, "[s]tepping in too early can cause conflict to escalate, because the employees may have considered it a non-issue. Stepping in too late can be, well, too late." Once a breaking point has been crossed, employees may no longer be able to work together and might ultimately leave the company.

It's generally useful to pay attention to results. If productivity or morale is negatively affected by a dispute, it's time to step in. Likewise, if an employee asks for advice or intervention, the manager's role becomes that of a peacemaker, though in some cases, just listening may be enough.

Strategies for Conflict Resolution
The first step in settling a dispute is to evaluate the nature of the problem and to determine what sort of intervention the employees prefer, what sort of intervention you feel is appropriate and whether you need to intervene in the matter at all.

In some cases, the matter may not require outside help at all and it is better for a manager not to interfere. Trying to address every concern, even minor complaints, may create new problems. According to BNET, an excessive interventionist policy "can engender a cycle of tattling and preemptive complaining until nothing gets done but political positioning."

On the other hand, if the employees have tried to solve the problem on their own and failed, a manager should not ignore the situation and must determine what the employees need or expect. A worker may want to hear guidance on handling the dispute, participate in a mediation session with the parties involved, lodge an official complaint or simply vent some stored-up anxiety.

A manager should hold any conflict resolution meetings behind closed doors to ensure privacy and unrestricted communication. Monster.com offers the following tips for managers conducting a mediation session:

• Try to express the larger ramifications of the feud by discussing how the employees' behavior is affecting their department or their company;
• Explain how management is willing to address both parties' concerns and what it will do to support them in achieving a satisfying resolution; and
• Take a productive approach to bring out any underlying issues that may be at the core of the dispute.

Once the problem has been outlined, it is also important to try to identify the processes leading up to the actual dispute. "Look at the behaviors involved — try not to immerse yourself in the personalities or fall prey to your own personal biases," Pamela Holland, of Brody Communications, explains to Monster.

Employee versus Employer
While coworker disagreements can be damaging, problems between an employee and an employer can have even more serious consequences. A worker disapproving of a manager's decisions is not unusual, but if a major employment dispute develops, there can be legal ramifications for the manager and the company as a whole.

A major dilemma is the higher liability involved in a manager-employee conflict. A drawn-out dispute can distract management and lower productivity across a number of departments. If the problem moves into litigation, substantial assets may be put at risk. Under these circumstances, mediation is a highly valuable alternative. It can help to settle an issue without resorting to a more expensive legal resolution and may help repair work relations for the future.

Mediate.com recommends formal, third-party mediation because it is "a non-binding process. Neither party is required to accept any recommendation that the mediator might make for settlement. Any settlement and its terms are entirely subject to the parties' agreement and the entire process is generally confidential."

This form of mediation is different from the more casual discussions mentioned earlier, and it typically involves attorneys, insurance representatives and an agreed-upon mediator in addition to the aggrieved parties. When a legitimate complaint is lodged against an employer, it is generally useful to consult the current federal regulations on employment practices from the U.S. Equal Employment Opportunity Commission.

Resources

Work: When Personalities Clash
by Judith Sills
Psychology Today, November/December 2006.

How and When to Manage Conflict
by Matt Krumrie
Monster.com, January 2009

Mediating Employee Disputes
by Ellen Gragg
BNET.com, November/December 2004

Resolving Disputes Through Employment Mediation
by Michael Roberts
Mediate.com, 2002

U.S. Equal Employment Opportunity Commission