SCHOOLOFBUSINESSANDECONOMICS

ASSESSEMENTOFCONFLICTMANAGEMENTPRACTICE: THE CASE OF

NATIONAL TOBACCO ENTERPRISE (ETHIOPIA) S.C
RESEARCHSUBMITTED TO QUEENS’ COLLEGE, IN PARTIAL FULFILMENT
OFTHEREQUIREMENTSFORTHEBACHELOROFARTINMANAGEMENT

BY
1. TAMRATHAMUSA UID:0123/11
2. MASRESHA BIRHAN UID:0091/11
3. ASNAKECHESHIFERAW UID:0072/11
4. TIGESTBIRHANU UID:0158/11
5. AMEHAYESUSEDUGASA UID:0086/11

TO
ABRAHAMFIKRIE(MAOL)

ADDISABABA-ETHIOPIA JUN,
2022
 ApprovedbyBoardof Examiners

COLLEGEPRESIDENT SIGNATURE DATE

ADVISOR SIGNATURE DATE

INTERNALEXAMINER SIGNATURE DATE

EXTERNALEXAMINER SIGNATURE DATE

ASSESSEMENTOFCONFLICTMANAGEMENTPRACTICE:THECASEOF
NATIONAL TOBACCO ENTERPRISE (ETHIOPIA) S.C

Thispaperhasbeensubmittedforexaminationwithourapprovalascollegeadviser

Name:ABRAHAMFIKRIE(MAOL)

Signature:

Date:
 Declaration

We,theundersigned,declarethatthispaperisouroriginalworkandhas
notbeenpresentedforadegreeinanyotheruniversityandthatall sources of
materials used and the paper have been dulyacknowledged.

Name Signature Date

1.TAMRATHAMUSA --------------------
--
2.MASRESHABIRHAN ----------------------------
3.ASNAKECHESHIFERAW ----------------------------
--
4.TIGESTBIRHANU -----------------------------
5.AMEHAYESUSEDUGAS ----------------------------
A ---

Place: Addis Ababa, Ethiopia @SBTCAC

of submission jun. 2022

 Acknowledgment
AboveallwewouldliketothankthealmightyGodforhelpinginourdutieshadit
notbeenforassistance.Itwouldhavebeenimpossibletoovercomethechallenges.
Our special tank goes to Mr. Abraham Fikrie (Maol) who has provide his wise
and intellectual advise, guidance and directives to make the research effective
&we also
liketothanksthisresearch.Andourfamilywhoprovidefinanciallyandmoralsupport
while doing the researcher also thankfulNational Tobacco Enterprise
(Ethiopia) S.C to the office staff for their immediate response of
questionnaires’ and interviews.

Thankyouall!
 TABLEOFCONTENTS Page

ACKNOWLEDGEMENT.....................................................................................................iv

TABLEOFCONTENT.............................................................................................................ii
LISTOFTABLE..................................................................................................................iii
CHAPTERS ONE INTRODUCTION ……………………………………………… 1
INTRODUCTION..................................................................................................................1
1.1 BackgroundoftheStudy..................................................................................................1
1.2 StatementoftheProblem....................................................................................................3
1.3 ResearchQuestions.........................................................................................................3
1.4 ObjectiveoftheStudy.......................................................................................................4
1.4.1 GeneralObjectives.........................................................................................................4
1.4.2 SpecificObjectives........................................................................................................4
1.5 SignificanceoftheStudy...................................................................................................4
1.6 ScopeoftheStudy..............................................................................................................4
1.7 DefinitionofTerms............................................................................................................5
1.8 ResearchDesignandMethodology..................................................................................5
1.8.1 ResearchDesign...........................................................................................................5
1.8.2 PopulationandSamplingTechnique..........................................................................5
1.8.3 TypesofdataCollected.................................................................................................6
1.8.4 MethodsofDataCollection..........................................................................................6
1.8.5 MethodsofDataAnalysis.............................................................................................6
1.9.1 LimitationoftheStudy.................................................................................................6
1.10OrganizationofthePaper.................................................................................................7
CHAPTERTWO.REVIEWRELATEDLITERATURE....................................................8
2.1 Definitionofconflict&conflictmanagement................................................................8
2.1.1 Definitionofconflict.......................................................................................................8
2.1.2 ConflictManagement..................................................................................................8
2.2 NatureofConflict...............................................................................................................8
2.3 Transitioninconflictthought...........................................................................................9
2.4 Constructiveanddestructiveofconflict.........................................................................10
2.4.1 Positiveconsequenceofconflict................................................................................10
2.4.2 Negativeconsequences ofconflict.............................................................................11
2.5 Typesofconflict..................................................................................................................12
2.6 Sources of conflict in organizations
................................................................................13
2.7 Approaches to conflict management
..............................................................................14
2.8 Management Implications for effective conflict handling
..............................................16
2.9 Choosingthebest...................conflict management style
17

CHAPTER THREE. DATA PRESENTATION, ANALYSIS AND INTERPRETATION.........1

9
CHAPTERFOURSUMMARY,CONCLUSIONSANDRECOMMENDATIONS..................32
4.1 Summary............................................................................................................................32
4.2 Conclusions......................................................................................................................34
4.3 Recommendations............................................................................................................35
Bibliography
Appendices
 CHAPTER ONE INTRODUCTION
I. BackgroundoftheStudy

Conflictis normal;resolvingitinapositivewayhelps topromoteahealthy

relationship.(WindleWarren,19949:2).AndAccordingtoRashidConflictis pursuit by
two different persons must inevitably come about the expense
ofother(Rashid,1983;317).Conflictwhenitisproperlymanagedleadsto positive
source of competitiveness and collaboration in a work place, on
theotherhandwhenconflictsareunmanagedcancreatedivision,low
morale,andchaosinthesameenvironment.(MCDowelletal,2007;2)

Conflictbetweenpeopleinanorganizationcanhavebothpositiveand negative
effect.Positive effectswithineach group,such asincreased
groupcohesiveness,increasedfocusontaskandincreasedloyaltywhere
byeachseestheotherteamasenemy,becomesmorehostileand
decreaseitcommunicationwiththeothergroup(NelsonandJames2000; 431).

Although conflict is a normal part of life, learning how to resolve conflicts

effectivelycanbediscouragingtask,particularlyintheworkplace. Managing conflict
should be viewed as an important element in achieving
organizationaleffectivenessandenhancingproductivity.Many
organizations, however, suffer chronic patterns of unresolved conflict that
arecostlyandoftenasymptoticofseriesorganizationaldysfunction.In fact, some
experts believe that unresolved conflict represents the largest
reduciblecostinmanybusinesses,yetitremainslargelyunrecognized
(Dana,1999;SlaikevandHasson,1998).

CompanyBackground

TheNationalTobaccoEnterprise(Ethiopia)sharecompanywas
establishedin1942asimperialEthiopiantobaccomonopolybythe
tobaccoRegieactNo.30,2ndyearsNegaritGazettaNo.2/1935.Atthat
timethecompanywasmanagedbyaboardofdirectorunderthechairman
oftheministeroffinance.In1981,thecompanywasrecognizedasthe
‘‘NationaltobaccoandMatchesCorporation’’byproclamationNo. 1971/1981under
thesupervisionof theministryof industry.In1992, the
corporationwasagainrecognizedasnationaltobaccoenterpriseby
proclamationNo.37/1992withtheexclusiverighttoproduce,process, manufacture,
distribute, import and export tobacco and tobacco products.
Duringthisperiod,theenterprisewasmanagedbyamanagementboard
underthedirectsupervisionofthepublicenterprisesupervisingauthority.
Followingtheprivatizationpolicyofthegovernment,theenterprisewas
transformedasof1999toasharecompanyundertheprivatizationof
publicenterpriseproclamationNo.146/1998asthenationaltobacco
enterprise(Ethiopia)ShareCompany.Withthesaleofsharetoprivate
investor,theownershipstructureofthecompanywaschangedandits
memorandumofassociationandarticleofassociationwereaccordingly
amendedandadoptedinaccordancewiththerelevantprovisionofthe
commercial code of Ethiopia as of January 2001. The share capital of the share
companyis birr 250,000,000.00that was fullysubscribedandpaidup by the
government at the time of formation. Following the share company participation
of private investors, 77.85% of the totalup share capitalhas
beenmaintainedbythegovernmentwhiletheremaining22.15areowned by private
foreign share holders. (Company profile)

II. StatementoftheProblem

AccordingtoReeceandRhonda(2002;316)conflictcanserveas
opportunityforpersonalgrowthifwedevelopandusepositiveand
constructiveconflictmanagementskill.AccordingtoRobbins(1989,
369)ontheotherhandthemeaningattachedwithconflictandthe
perceptionofpeoplehavetowardsconflictisdifferent.Theattitude organizations
and people have towards conflict ranges from traditional
viewthatconsidersitasbad,disruptiveandunnatural,andrepresentsa form of
deviant behavior, which should be controlled and change to the
interactionperspectivethatassumesconflictasapositiveforceand
necessaryforeffectiveperformance.Effectiveconflictandconflict
managementpracticecontributealotforachievingorganizational objectives.
Therefore, student researcher discussed with some group of
employeesandgotfromannualreportsthatthereareconflictregarding
topromotionandovertimework.ThisshowsNationalTobacco
EnterpriseS.Chasn’tbeenconsideringconflictmanagementasone
importantroleofmanagementandconflictsarenotresolvedintheright
timetothebest interest oftheorganizationandemployees, too.This is
leadingtoincreaseinconflictfromtimetotime,slowdownmoraleof
 employeesandhighrateofturnoverforthisreasonsthestudent
researcherinterestedtoasses’conflictmanagementpracticein National Tobacco
enterprise S.C.

III.ResearchQuestions

Theresearchpaperisintendedtoanswerthefollowingquestions.

1) Whatarethemainsourcesofconflictintheorganization?

2) Howdoconflictaremanagedintheorganization?

3) Whataretheproblemsintheprocessofconflictmanagement?

4) Towhatextenttheorganizationconsiderconflictmanagementasintegral part
of management?

1.4 ObjectiveoftheStudy

1.4.1 GeneralObjectives

Thegeneralobjectiveofthepaperistoassessconflictmanagement
practicesinNationalTobaccoEnterpriseS.C.

1.4.2 SpecificObjectives

In addition to the general objective stated above, the specific objectives of the
study are the following:-

1) Toinvestigatethesourceofconflictintheorganization.

2) Toexplorehowconflictaremanagedintheorganization.
3) Toinvestigatetheproblemsintheprocessofconflictmanagementin the
organization.

4) Toinvestigatethedegreeofimportancegiventoconflict management as
integral part of management.

1.5 SignificanceoftheStudy

Thestudyisimportantinmanyways.Firstlyitcanbeusedasaninputto train
management and employees in conflict management mechanism.
Secondly,itwillproviderelevantfeedbacktotheorganizationabout
conflictmanagementandtoimprovetheirfuturepractice.Inaddition,it
enabletheresearchertoacquirebasicexperienceandknowledgeabout
conflictandconflictmanagementpracticeinNationalTobacco
EnterpriseS.C.lastly,itwillserveasasteppingstoneforfurther researcher who
would like to study related topic.

1.6 ScopeoftheStudy

AmongvarioushumanresourcemanagementactivitiesinNational
TobaccoEnterprisethestudywasdelimitedtoconflictmanagement
practicesbecausethepaperislimitedbytimeandcostbudget.Though
NationalTobaccoEnterprisewasestablishedin1942thestudy
assessesconflictmanagementpracticefromtheyear2007-2012G.c. for there
isarchivalmanagement probleminthe organization,it is impossible to get the
necessary document before the mentioned time.
TheorganizationislocatedinAddisAbabaaroundSarbetandthestudy assessed
conflict management practices in the organization.

1.7 DefinitionofTermsConflict:

Processes that begin when one party perceives that another party has
negatively affected or is about to negatively affect, something that the first
party cares about. (Cook and Philp; 2001:220) Conflict management: the
practice of being able to identify and handle conflict in a sensible,
fairandefficientmanner.(CookandPhilp;2001:220)

1.8 LimitationoftheStudy

Thereweresomefactorsthataffectedthestudynottobecarriedoutas
expected.Amongthesefactorsthemajorsareshortageoftimeand
financeandalsosomeemployeesdidnotfilledandreturnthe
questionnaireproperly.Andiftherewasampletimeandfinancethe student
researcher could have used other analysis tool using inferential analysis like
correlation and association.

1.9 OrganizationofthePaper

Thestudyorganizedintofourchapters;thefirstchapterisdealwiththe
problemanditsapproach,whichcontainsbackground,objectives,
statementofproblem,significance,scope,methodologyand
organizationofthepaper.Thesecondchapterconcernedwith
presenting the review of related literature. The third chapter deals with
presentationanalysisandinterpretationofthestudy.Summaryofmajor
finding,conclusionandrecommendationofthestudyisforwardedin chapter four.

CHAPTERTWO

REVIEWOFRELATEDLITERATURE

2.1 DefinitionofConflictandConflictManagement

2.1.1 DefinitionofConflict

Conflictisadisagreementbetweentwoormorepeopleoritcanbe
betweengroups.Departments,organizationandcountriesetcwho
perceivethattheyhaveincompatibleconcern.Conflictexistswhenever
anactionofonepartyisperceivedbyanotherpartyaspreventingor
interferingwiththeirgoaloraction(CookandPhilip;2001:384)In
addition,Dwivend(2004:242)definedconflict,asaprocessinwhichan
individualpurposefullymakesaconcertedtooffsettheeffortsof
anotherindividualbysomeformofblockagethatcausesfrustrationto
thelatterinaccomplishinghisgoalsorfurtheranceofhisinterests.
Likewise,itisimportantthattherearepeoplewhounderstandconflict
andknowhowtoresolvethembecauseconflictinabusinessisa
naturalpartoftheworkplace.

2.1.2 ConflictManagement

Conflict management involves implementing strategies to decrease the

negativeaspectofconflictandincreasingthepositiveatalevelequalto or higher
than where a conflict is taking place. Conflict management is the practice of
being able to identify and handle conflict in a sensible,
fairandefficientmanner.Itisimportantthattherearepeoplewho understand
conflict and know how to resolve them because conflict a
businessisanaturalpartoftheworkplace.(CookandPhilip;2001:220)

2.2 NatureofConflict

Differentscholarstrytodescribethenatureofconflictinmanyways.
AccordingtoSingh(2000;207)conflictarisesfromdisagreementsover
thegoaltoattainorthemethodsusedaccomplishthesegoal.Conflict
isinvisibleintheorganizationandineveryweresometimestheamount
ofconflictissubstantial.Consequently,itmaybeevenmoredifficultto
resolveconflict,butmanagersmustfindaway.Theytrytoresolve
conflict either by direct participants or mediators between two or more
oftheiremployees.Ineithercaseknowledgeandunderstandingof
conflictandthemethodforresolvingitareimportant.Therealityof
workinginorganizationisthatconflictwillappearwhetherthishappens positively
or negatively it depended on the nature on one’s perspective
onconflict.Thosewhoholdapluralistviewbelievethatconflictbetween sub-
groupswithinanorganizationandinevitableandleadtouseful discussion and
innovation and those hold a unitary perspective believe
organization’sshouldbeanintegratedharmoniouswhole,onehappy team. (Jane,
2003:100).

2.3 TransitioninConflict

Thought According to Robbins (1998:368) conflict thought has passed

throughthreestages.TheTraditionalViewAssumedconflictasbad
thatleadstodysfunctionaloutcomelikeaggression,violenceand hostility resulting
from poor communication, lack of openness and trust
betweenpeopleandthefailureofmanagertoberesponsivetothe
needsandaspirationoftheiremployees.Sothatconflictmustbe avoided.

The Human Relation View argues that conflict is a natural and inevitable
outcomeinanygroupandthatitneednotbeevilbutratherhasthe potential to be a
positive force in determining group performance.

The Interactions View is the most recent perspective and proposes not
onlythatconflictcanbepositiveinperformancebutalsoexplicitly
arguesthatsomeconflictisnecessaryforperformingeffectively.
Creation and effective management of conflict can lead to constructive
problemsolving,encouragepeopletoworkouttheredifferenceand
participateindevelopingonethicalandfairorganization.

2.4 ConstructiveandDestructiveofConflict

Conflicthasbothpositiveaswellasnegativeconnotationsand
consequences.Conflictmustbelookedintoandmanagedfor
organizationalbenefit.Managementmustsurveythesituationtodecide
whethertostimulateconflictorresolveit(Chandan,2005;386).

2.4.1 PositiveConsequenceofConflict

Bennett and Hess (2004:380) demonstrated the importance of conflict

statingthatorganizationswithnoconflictaredormant,static,un imaginative and
unable to change and in danger of becoming obsolete.
MajorstimulantforchangeConflictspotlightstheproblemsthat
demandattentionforasclarificationoftheirnatureandchannels
organizationaleffortstowardsfindingbettersolutions.Itinitiatesa
searchforwaystopolishandrefineobjectives,methods,andactivities.

Groupthinkisavoidedwithoutstrongvocaldisagreement;group thinkcould
overpowera highly cohesivegroup,preventing itfrom making rational
decisions based on fact. Conflict also counteracts the lethargy that often
overtakes organization.

Conflictfaster’screativityandinnovationItpreventsstagnation,it
stimulatesinterestandcuriosity.Inanatmosphereofopen
confrontationpeopletendtoputforwardmoreimaginativesolutionsto
problems.Aclimateofchallengecompelsindividualstothinkthrough
theirownideasbeforeairingthemout.Conflictcanhelpindividualsto
testtheircapacitiestolearnanddevelop.

CohesionandsatisfactionIntergroupconflictandcompletion
drivesgroupsclosertogetherunderconditionsofmildintergroup
conflict,groupmembershipcanbeverysatisfyingtomembers.The whole purpose
and internal unity of athletic groups for example would
disappeariftherewerenoconflict.Inthefaceofacommonenemy group member’s
choice ranks and put aside former disagreements.

Aminimumlevelofconflictisoptimal:Conflictisnecessarytothe
organizationallife.Itisnecessaryfortheinternalstabilityof organizations. The
occasional flour up to inter group conflict serves to
balancepowerrelationshipbetweendepartments.Italsohelps
individualsinreducingaccumulatedillfeelingsandtensionsbetweenthem. “A good
fight clears the air”.

2.4.2 NegativeConsequencesofConflict

When conflict disrupts, hinders job performances, and upsets personal

psychologicalfunctioning,itisthenegativeconsequenceofconflict.
Conflictexactsitstollonthephysicalandmentalhealthofthe
combatants:Intenseconflictsgeneratefeelingsofanxiety,guilt, frustration and
hostility. Winners try to injure the feelings of the defeated.
Losersfeeldefeatedanddemeaned.Thedistancebetweenpeople
increases.Aclimateofmistrustandsuspiciondevelops.

Diversionofenergy:Oneofthemostdreadfulconsequencesofconflict
isthediversionofthegroup’stimeandefforttowardwinningthe conflict rather
than toward achieving organizational goals

Instabilityandchaos:Underintenseconflictscollaborationacross
individuals,groupsdepartmentsdecreaseorvanish.Tensionswill continue to
mountup andeach new conflictwillsplitorganization subunits further a part
leading to communication break downs. In the
heatofsuchaninternecinewarfare, thedisputants squanderaway
energyandresourcesthatcouldbedevelopedtobetteruse.Thenormal
workflowisdisrupted,themoralfabricofthegrouptornapartandthe
wholesystemis skewedoutofbalance(AmrikSinghSudanandKumar 2003).

Conflictcreatesstressinpeople:Conflictexactsitstollonthe
physicalandmentalhealthofcombatants.Intenseconflictsgenerate
feelingsofanxiety,guilt,frustrationandhostility;winnerstrytoinjurethe
feelingofthedefeated.Lesserfeeldefeatedanddemanded.The distance between
people increases. A climate of mistrust and suspicion develops. Discussion
replaces cohesion.

2.5 TypesofConflict

Conflictcouldbeinterpersonal,intergroup,interorganizational,or
betweenandamongnationalandeachofthesecouldagainbe substantive or
emotional in nature. Intrapersonal conflict a rises when
tensionisexperiencedwithintheindividualwhenheorshehasto
choosefromtwoormoreunpleasantchoices(avoidance-avoidance
conflict)ortwoequallyattractiveoptions(approach-approachconflict).
Examplesofthethreeare:-

(1) Takingacutinpayorresigning,bothofwhichareunattractive
choicesthatonewouldrathernotbecalleduponmake

(2) Choosing between promotion in the same organization or taking a

challenging new job elsewhere, both of which are attractive

(3) Workingovertimetoaugmenttheincomebutinconsequencehaving
toexpandlesstimewithfamily.

i.etheattractiveextraearningsrobbingoneoftimespentwiththe
family.Interpersonalconflict,whichcouldbeeithersubstantiveor
emotional,orboth,occursbecauseofincompatiblegoalsorhurt feelings.
(UKSEKARAN1989)definesinterpersonalconflictasastatein which the
concerns of two or more parties appear to be incompatible and which
originates when one party perceives the other as frustrating some concern of
his or about to do so.

Examplesofinterpersonalconflicton:-

(1) Headsoftwodepartmentsarguingaboutpoliciesandprocedures
(substantive) and

(2) asupervisorfeelingbitteraboutthetransferofavaluedstaff
memberofhisdepartmenttoanotherfancyingtheothersupervisorhad
“Snatched”himaway(emotional).Intergroupconflictcouldoccur
betweenoramongteams,groupsordepartmentsaswhenteamsvie
withoneanotherforresources(substantive)ormorerecognition
(emotional)crossfunctionalteamsandtaskforcesactasbuggersand
resolve such conflicts. Inter organizational conflict involves competition
amongfirmsinthesameindustry,operatinginthesamemarket,
betweensuppliersandmanufacturers,orbetweenacompanyanda
governmentregulatory agency. Union managementconflictsare more
interorganizationalinnature.(Sekaran;2004:182)

2.6 SourcesofConflictinOrganizations

Hicksandgullet(1983:200)describedthereasonwhyconflictoccursas
whenorganizationalunitsareinterdependent,shareresourcesand
perceivetheirgoalasincompatibleandshownthatconflictcanbe
identifiedonthreelevels.Mullins(2005:906)sumupthefollowing points as the
major causes of conflict.

Differences in perception:weallseethings indifferent ways.Weall have our own,

unique picture or image of how we see the real world.
Differencesinperceptionresultindifferentpeopleattachingdifferent meaning to the
same stimuli. As perceptions become a person’s reality,
vaguejudgmentscanbeapotentialmajorsourceofconflict.

Role conflict:-Where the task of one person is dependent up on the

workofothersthereispotentialconflict.Ifrewardandpunishment
systemsandperceivedtobebasedonkeepingupwithperformance,
levels,thenthepotentialforconflictisevengreater.Iftheworkofa
departmentisdependentupontheoutputofanotherdepartment
conflictcouldarise,especiallyifthissituationiscoupledwithlimited resources.

LimitedResource:-Mostorganizationalresourcesarelimited,and
individualsandgroupshavetofightfortheirshare.

TheNatureofwork Activities:-Mostworkorganizationsaredivided in to departments

with specialized functions. Because of familiarity with the manner in which they
undertake their activities, managerstend
toturninwordsandtoconcentrateontheachievementoftheirown particular goals
when departments need to co-operate with each
otherthisisafrequentsourceofconflict.Differinggoalsandinternal
environmentsofdepartmentsarealsopotentialsourceofconflict.

Inequitabletreatment:Aperson’sperceptionofunjusttreatment,
suchasinoperationofpersonnelpoliciesandpracticesorinareward
orpunishmentsystemscanleadtotensionandconflict.

Violation of territory: people tend to be become attached to their own

“territory”within workorganizations;forexampletotheirown area of work, or
kind of clients to be dealt with, or to their own room, chair or
parkingspace,jealousymayariseoverotherpeople’sterritoryflora example, size of
room, company car, allocation of a secretary or other perks,through accessto
information,or through membership groups.
Individual,suchasattitudes,personalitycharacteristicsorparticular
personalneeds,illnessorstress.

Group:suchasgroupskills,theinformalorganizationandgroupnorms.

Theage-gap:howrelationshipsbetweenolderemployeesandyounger
managers,whereexperienceisononesideandpowerontheother,can lead to
conflict.
2.7 ApproachestoConflictManagement

Conflictmanagementisthepracticeofbeingabletoidentifyandhandle conflict in
sensible, fair and efficient manner. It is important that there
arepeoplewhounderstandconflictandknowhowtoresolvethem
becauseconflictinabusinessisanaturalpartoftheworkplace.Turkalj;
(2008:509)staffedthesuccessoftheorganizationdependsonthe
abilityofconflictrecognitionandconflictmanagement,conflict management
implies integration of all factors which can contribute to
conflictresolutionoritsprevention.Therearefivemosttypical approaches to
conflict management explained by Turka’s

Dominance(Competing)

It occurs when the cooperation is extremely low, and the persistence in

satisfying of personal interests high (when concern for one’s own group
ishighbutconcernfortheothergroupislow)bythisstrategyconflictis resolved in a
way to satisfy the needs of one party damaging the other party involved in the
conflict.

Integration(collaborating)

Cooperationishigh,aswellasthepersistenceinsatisfyingofone’sown
needs,sothereistobesoughtfortheappropriatesolutionforallparties
involvedintheconflict.Compromise(loss-loss)Thereisanequalwish
formediumlevelofcooperationandpersistenceinsatisfyingofone’s
personalneeds,sotheconflictisresolvedsothateachpartyinvolvedin
conflictgivesupthepartofthevalue.
Avoiding(withdrawal)

Whenthecooperationaswellaspersistenceinsatisfyingofone’s personal
needs is very low. In that case the conflict resolution will be
solvedbywithdrawalorrepressionofconflict.

Cooperativeness(Accommodating)

Theaccommodativestyleislowinassertivenessandhighon
cooperativeness.Partieswillbegenerousandself-sacrificing.The
emphasisisonthecommoninterestsoftheconflictinggroupandade-
emphasisontheirdifferences.Implicitinthisstyleisthebeliefbythe
individualorgroupthatotherswillcutofftheirrelationshipifheorshe
expensesself-orientedconcerns,sobettergoalongwithwhateverthe
otherpersonrequests,ratherthangetintodifficultiesofdirect confrontation.

Problemsolving/Confrontation/collaboration/win-winstyle.

Problemsolvingissaidtobetheoppositeofconflictbecauseit demands a complete

rethinking of the conflict situation parties openly
shareinformationattempttolistenanddevelopempathythereisan
attempttodepersonalizetheissue.Partiesdebatetheissuebringing together all
relevant information, consider full range of alternatives and
trytosolvetheproblemratherthanmerelytryingtoaccommodate
differentpointsofview.Throughsharingandcommunicating,the problem is
mutually defined. Questions of who is right or wrong; who wins or loses are
avoided. All parties are seen as playing a constructive role.
Problemsolvingischaracterizedbythefollowing

i) Conflictisviewedasnon-zerosumgame

ii) Otherpartyisseenasamutualproblemsolver

iii) Partiespursuejointoutcomes

iv) Issuesarelookedatobjectively

v) Open,honestshareisofinformation

vi) Flexibility

vii) Tries(Narayana;1987)

2.8 ManagementImplicationsforEffectiveConflictHandling

Thereareseveralindicatoryastohowmanagersshouldhandleconflict
andshoulditbecomenecessary.Below,afewsuggestionsare enumerated:

1. beawareofdestructiveconflicts andtakeappropriateactionto minimize.

2. since workflow interdependences. Role ambiguity, resource scarcity and

power and value differences are instrumental in creating conflicts,
beawareofthepotentialproblemsandincorporatethenecessary structures to
prevent them.

3. Superordinategoalsareagoodstrategytoovercomeconflictin
someinstances.Identifysuchsituationsanduseitasameansto
resolveconflict wherevernecessary.

4. Appealingtocommongoalsandvaluesystemsalsoreducesconflict.

5. Inter-groupconflictcouldbedealtwithbytakinganintegrative
problemsolvingapproach,makingorganizationdesignchangeand through
mediation.

6. Staff-lineconflictcouldbeminimizedbeclearlydefiningthefunctions
ofeachlettingstaffknowthattheirroleisaadvisoryandtheline
personnelrealizethatitisusefulandimportanttoheedgood suggestions.

7. Bewareofsurroundingyourselfwith“yesmen”

8. Playthedevil’sadvocatewhenthingsareastagnant.

9. Take a situational approach to managing conflict use completion for

quickdecisionmakingandimmediateaction,collaborationfor
integrativelongtermsolution,accommodationofestablishing
reasonableness,compromisefortemporarysettlementofissues,or
whencollaborationorcompetingdonotyieldtheexpectedresults,and
avoidancewhentheissuesaretrivial.

10. Displaysensitivityincrossculturednegotiationsandbeawareof
differencesintheorientationsofthecontendingparties.(McShaneand Llattimore:
1949)

2.9 ChoosingtheBestConflictManagementStyle

Mostpeoplehaveapreferredconflictmanagementstyle.Buttheywill
usedifferentstyleunderdifferentconditions.Theskillofconflict
managementistoapplytherightstyleforthesituating.Inotherwordwe
needtorecognizethecontingencyapproach.

Thecollaborativestyleisusuallythepreferredapproachtoconflict
management,butitisthemostappropriateapproachonlyundercertain
conditions.Specially,itisbestwhenthepartiesdonothaveperfectly
opposinginterestsandwhentheyhaveenoughtrustandopennessto
shareinformation.Collaboratingisusuallydesirablebecause
organizationalconflictsonerarelywin-losesituations.Thereisusually
someopportunityformutualgainifthepartiessearchforcreative solutions.

Avoidingisthebestapproachwhentheissueistrivialorasatemporary
tactictocooldownheateddisputes.However,conflictavoidanceshould
notbealong-termsolutionbecauseitincreasestheotherparty’s frustration.

Thecompetingstyletoconflictisusuallyinappropriatebecause
organizationalrelationshipsrarelyinvolvecompeteopposition.

However,competingmaybenecessarywhenyouknowyouarecorrectandthe
disputerequiresaquicksolution.

Itmayalsobenecessarywhentheotherpartywouldtakeadvantageofmore
cooperativestrategies.Forexample,wetendtoshiftfromthecollaboratingtothe
competingstylewhenweseethattheotherpartyusestheinformationweprovided
tobenefitthemratherthantofindamutuallyagreeablesolution.

Theaccommodatingstyleisappropriatewhentheotherpartyhassubstantially
morepowerortheissueisnotasimportanttoyouastotheotherparty.Onthe
other hand, accommodating behaviors may give the other side unrealistically
high expectations, there by motivating them to seek more from you in the
future. In the longrun, accommodatingmayproduce more conflict rather
thanresolve it.

Thecompromisingstylemaybebestwhenthereislittlehopeformutualgain
throughproblemsolving,bothpartieshaveequal,andbothareundertimepressure
tosettletheirdifference.However,compromiserarelyproducesthebestsolution
becausethepartiesoverlookoptionsformutualgain(SEKARAN;1989:210)

CHAPTERTHREE

DATAPRESENTATION,ANALYSIS,ANDINTERPRETATION

Thischapterdealswithpresentationanalysisandinterpretationofdatawhichwere
collectedfrom employeesandmanagersthroughquestionnaire andinterviews.
Questionnairesweredistributedto200employeesandtheinterviewswere
conductedto5managerswhichwerefoundtoberelevantwiththestudy.However,
among the total questionnaire which were distributed only 180 of it were
properly filled and returned.

Table1CharacteristicsofRespondents
No. Questions Respondents

Number Percentage(%)

1.1 Sex

Male 138 77

Female 42 23

Total 180 100

1.2 Educationalbackground

1-8grade 60 33

9-12Grade 70 39

Certificate 30 17

Diploma 10 5

FirstDegree 7 4

Master 3 2

PHD - -

Total 180 100

1.3 Age

18-25 52 29

26-35 74 41

36-50 36 20

Above50 18 10

Total 180 100

1.4 ServiceYear
 Below1year - -

1-5Years 89 49

6-10years 53 29

11-15years 28 16

16-20years 10 6

Above20years - -

Total 180 100

Item 1 of table 1 indicates that about 138(77%) of the population are males the
rest
42(23%)arefemales.Thisshowsthereisnumericaldominanceofamaleoverfemales
intheorganizationbutitdoesn’thaveanyimplicationonthefinding.

Concerningeducationalbackgroundoftheemployeesfromtable1ofitem2,3(2%),
7(4%),10(5%)and30(17%)oftherespondentsareMasters,Degree,Diplomaand
Certificate holders respectively. And the rest 70(39%) have completed high
school and 60(33%) are below high schooleducation.This indicates most of the
machine workers
areinlowereducationallevel.Mastersanddegreeholdersareinthehighermanagerial
position. Diploma holders in medium office administrators and certificate
holders are part of the technical staff of the company.

Asageofrespondentsareconcerned52(29%)arebetween18-25,74(41%)arebetween
26-35ofage,36(20%)and18(10%)arebetween36-50andabove50ofagerespectively.
From this, we can understand that majority of employees are between 26-35 which
are youngandactive.Alsowithregardstoserviceyearofrespondents89(49%)servedfor
thecompanybetween1-5years,53(29%)haveexperiencebetween6-10years,28(16%)
and 10(6%)oftherespondentsserved thecompany between11-15yearsand 16-20
yearsrespectively.Thisshowsthatemployeesintheorganizationaremoreexperienced
andworkformanyyearswithoutdevelopingtheireducationalqualificationandcareer.

Table2:ConflictwithCoworkerand ImmediateBoss

Item Questions Respondents

Number Percentage

1 How frequently you have been in conflict

with yourcoworker?

Always 148 79

Sometime 27 15
s
Notall 11 6

Total 180 100

2 Haveyoueverbeeninconflictwithyour
immediateboss?

Yes 129 72

No 51 28

Total 180 100

3 IfYourresponseisyestoquestionNo.2.1and
2.2 were you satisfied with the
conflictresolution?

Yes 46 26

No 134 74
 Total 180 100

Intable2ofitem1,142(79%)ofrespondentssaidfrequencyofconflictsthattheyhave
beenwiththeircoworkerisalways.27(15%)and11(6%)ofrespondentssaidsometimes
andNotatallrespectively.Andalso129(72%)ofemployeeswereinconflictwiththeir
immediateboss.51(28%)ofrespondentsdidnotenterintoconflict.Thisindicatesthat
majority of employees get in to conflict with their coworkers and immediate boss
and this affect employee’s performance. Among the respondents who entered to
conflict while 134(74%) of respondents were not satisfied with conflict
resolution 46(26%) of
respondentsweresatisfied.Thisindicatestheresolutionsystemoftheorganization
was not effective and this affects team work and employees will lose interest to
work. As a result, this factor leads to decrease in productivity and increase in
absenteeism.

Problemsinconflictmanagementprocessoftheorganization
Regardingtoconflictmanagementprocessoftheorganizationabout129(72%)of
respondentsindicatedthatmostoftheproblemsfacedduringthecurrentpractical
conflictmanagementprocessaretherigidityofthemanagersindecisionsmaking,
unwillingnesstounderstandtheproblemsoflowerlevelemployeesandunfairfrequent
illegal decisions only favoring to the managing body.
Themanagersinaninterviewstatedthattheemployeeshavelesserunderstanding
abouttheregulationusedduringconflictmanagementprocess.Thisleadsthe
employees to consider the conflict management process rigid.

TheManagersalsostatedthatwheneverconflictarisesamongemployeesithastobe
dealtwiththeirspecificimmediatebossunlessitisverydifficulttosolve.However,the
employeesconsideredthisconflictmanagementprocessasthemanager’s
unwillingnesstounderstandtheproblemsoflower-levelemployees.

From thetwoopenendedquestions relatedtoproblems inconflict management

process of the organization, most of the respondents state that flexible
management
body,participatorydecisionmakingofmanagersandmanagerswillingnessto
understandandurgentlyrespondtoproblemsraisedbyemployeearethepossible
solutions for the poor conflict management process of their company.

Generallyfromtheaboveresults,onecanconcludethattheconflictmanagement
process of the organization is poor and has problems in resolving conflicts arise
in the company.
 Table3:PotentialCauseofConflictintheOrganization

Ite Potentialcauseof Strongly Agree Neutral Strong disagr Total

m conflictinNational agree ly ee
tobacco disagr
ee

No % No % No % No % No % No %

1 LackofTransparency 111 62 54 30 15 8 180 100

duringpromotionand
salaryincrement

2 Communicationgap 74 41 46 26 6 3 32 18 22 12 180 100

betweenemployeeand
managerialstaff

3 Lack of team 86 48 59 33 18 10 12 7 5 3 180 100

sprit
amongemployee
4 Inappropriate 83 46 54 30 12 7 26 14 5 3 180 100

decision ofmanagers
5 Perceptionaldifferenc 54 30 64 36 13 7 36 20 13 7 180 100
e on task
or
organizationalvalue
6 Taskoverlapping 27 15 32 18 54 30 27 15 40 22 180 100

7 Taskinterdependency 18 10 40 22 54 30 50 28 18 10 180 100

8 Unfair 36 20 27 15 50 28 43 24 24 13 180 100

resource distribution
In table 3 of item 1, 111(62%) of the respondents strongly agreed and 53(30%)
have
beenagreedthatlackoftransparencyaspotentialsourceofconflictintheorganization.
Therest 15(8%) remainneutral.This shows that lack of transparencyis
indeedoneof
themajorcauseofconflictintheorganizationbecause91%ofrespondentswere agreed
with this.
Fromthesametableitem2,74(41%)ofrespondentsstronglyagreedand46(26%)
agreed that communication gap between employee and managerial staff is a
cause of
conflict.Whereas6(3%),32(18%),22(12%)oftherespondentswereneutral,strongly
disagreedanddisagreedrespectively.Thisindicatesthat67%ofrespondentsagree
d thatcommunicationgapisalsoacauseofconflictintheorganization.

Asindicatedintable3ofitem3,abouttheexistenceoflackofteamspritamong
employee,86(48%)and59(33%)respondentsstronglyagreedandagreedasitisa
potentialcauseofconflict.Also18(10%),12(7%)and5(3%)respondentsneutral,
stronglydisagreedanddisagreedrespectively.Fromthisonecangeneralizethatlackof
team sprit is oneofthecauseofconflict as 81%agreedwith.

Asshownintable3ofitem4,83(46%)ofrespondentsstronglyagreed,54(30%)agreed
and26(14%),5(3%)stronglydisagreedanddisagreedrespectivelythatinappropriate
decisionsofmanagersarecauseofconflict.And12(7%)haverespondasneutral.
Totally about 76% of the respondents indicate, inappropriate decision of
managers is also cause of conflicts.

Fromtable3ofitem5,54(30%),64(36%)respondentsstronglyagreedandagreedthat
perceptional difference on task or organizational value is a cause of conflict.
49(27%)
disagreedordonotacceptand13(7%)areneutral.Thisindicatesthatperceptional
difference on task or organizational value is one of the causes of conflict.
Regarding
taskoverlappingasasourceofconflictitem6oftable3,27(15%)stronglyagreed,
32(18%)agreed.And27(15%),40(22%)employeesarestronglydisagreedanddisagreed
respectivelybut54(30%)wereneutral.Accordingtotherespondentsintable3item7,
18(10%),40(22%)respondentsstronglyagreedandagreedrespectivelywiththattask
interdependencyisacauseofconflict.50(28%)stronglydisagreedand18(10%)
disagreedbut54(30%)respondentswereneutral.Thisalsoindicatesthattask
interdependencyisnotoneofcauseofconflict.Asshownintable3ofitem8,36(20%) and
27(15%) strongly agreed and agreed respectively with unfair resource
distribution
asacauseofconflict.43(24%)stronglydisagreedand24(13%)disagreedbut50(28%)
respondents were neutral.
 Thisindicatesthatunfairresourcedistributionisnotthepotentialcauseofconflict.
Fromtheabovedataoftable3,wecanunderstandthatlackoftransparencyand
communication gap between employee and the managerial staff are the major
source
ofconflictintheorganizationwhichresultsinpoorcommunicationamongthework
force.

Table4:ConflictManagementPractice

Ite Description Strong Agree Neutral Strongly disagree Total

m agree disagree

No % No % No % No % No % No %

1 Thecompanyhasgood 12 7 7 4 18 10 44 24 99 55 180 100

practiceinconflict
management

2 Themanagersgive 5 3 18 10 11 6 92 51 54 30 180 100

attentiononmatters
whichmayresultin
conflict

3 Theemployeehas 6 3 14 8 11 6 95 53 54 30 180 100

satisfiedwithconflict
managementpracticeo
f thecompany

4 Thereexistflexible 18 10 20 11 13 7 36 20 93 52 180 100

behaviorofmanagers
on decision making

5 Thereisparticipatory 3 2 13 7 11 6 91 51 62 34 180 100

conflictmanagement
practice

Asindicatedintable4ofitem1,while12(7%),7(4%)havestronglyagreedandagreed
respectively,44(24%)stronglydisagreedand99(55%)disagreedwiththatthe
organizationhasgoodpracticeinconflictmanagement.Thisclearlyshowsthat79%of
respondentshavetestified,thecompanyhasnogoodpracticeinconflictmanagement.

Fromitem2ofthesametable,92(51%)hasstronglydisagreedand54(30%)disagreed
withthemanagershavegivenanyattentionforthematterswhichmayresultinconflict,
but5(3%)havestronglyagreedand18(10%)agreedtherest11(6%)remainsneutral.
Fromthiswecanconcludethatthemanagersinthisorganizationdidn’tgiveany
attention for matters which may result in conflict.

Intable4ofitem3,6(3%)stronglyagreedand14(8%)agreedthattheyaresatisfiedwith
thecurrentconflictmanagementpracticeofthecompany.But95(53%)strongly
disagreed and 54(30%) disagreed the remaining 11(6%) point out neutral.
Regarding the satisfaction of respondents towards the current conflict
management practice of the
organization,149(83%)oftherespondentswerenotsatisfiedwithit.

Accordingtotable4ofitem4,18(10%)stronglyagreedand20(11%)agreedwiththat
theexistenceofbehavioralflexibilityofmanagersondecisionmaking.But36(20%)
stronglydisagreed,93(52%)disagreedand13(7%)remainneutraltothisquestion.
About129(72%)ofrespondentsindicatethatthemanagersdonothavebehavioral
flexibility in decision making.

In addition from table 4 of item 5, 3(2%) strongly agreed and 13(7%) agreed
that the existence of participatoryconflict management practice inthe
company.And91(51%)
stronglydisagreed,62(34%)disagreedtherest11(6%)remainneutral.Fromthiswecan
understandthatthereisnoparticipatoryconflictmanagementpracticeinthecompany.

Thegeneralmanagerinaninterviewalsostatedthatthemanagingstafftriestogive
respondsforanyquestionsarisefromtheemployeesbeforeitiscomplicated.

Fromtheaboveallresults,wecanconcludethatthecompanyhasnogoodand
participatoryconflictmanagementpractice.Inaddition,managersdonotgiveany
attentionformatterswhichmayresultinconflictandtheydonothaveflexiblebehavior
in decision making. Due to these reasons, most of the respondents are not
satisfied with the current conflict management practice of the company. So, this
highly affects the productivity of the organization.
 Table 5: Conflict Resolution Practice and Opinion about Conflict Resolution Techniques.

Item Question Respondent

s
1 Whichtypeoftechniquesusedin Number percentage
conflict resolution mostly?

Avoidconflictatall 9 5

Dominationandexertinginfluence 130 72
on the other party

Makingbothpartiesbeneficiary 11 6
fromtheconflictinonewayorthe
other

Compromisingdifferenceinview 30 17
s between the parties

Total 180 100

2 In your opinion are

those techniqueseffective?

Yes 37 21

No 143 79

Total 180 100

¬¬¬

Fromtable5item1,themajority130(72%)ofrespondentsindicatesthatthemanagers
useatechniquethatdominateandexertaninfluenceontheotherparty(i.e.the
employee). 9(5%) says the technique used is mostly by avoiding conflict at all
but 11
(6%)saysthatitisbymakingbothpartiesbeneficiaryfromtheconflictinonewayorthe
other.Inaddition,30(17%)oftherespondentssayitisbycompromisingdifferentviews
betweenparties.Theresultshowsthatmanagersmostlyexertaninfluenceforcedlyon
one party instead of arbitrate.

Inevaluatingoftheeffectivenessofthetechniquesitem2ofthesametable,143(79%) of
respondents indicate that conflict management techniques used in the
organization is not effective, but only37(21%) agreedwith the effectiveness of
those techniques.

From this we can say that conflict resolution techniques used in the organization
are noteffectiveandconflictsmayoccursagainandagaincreatinghostilebehavior
between individuals affects the moral of employees and leads to turnover.

Table6:ResponsibilityofHandlingConflict

Questio Respondents
n
Number Percenta
ge

Whoisresponsibleforconflict
management(resolution)inyour
organization?

Themanagerorboss 75 42

Conflictingpartiesthemselves 105 58

Committee - -

Total 180 100

75(42%) respondents indicates that the managers or boss are responsible for
handling
conflictintheorganizationtherest105(58%)ofrespondentssaidthatconflicting
partiesthemselvesareresponsibleforhandlingconflict.Thisimpliesthatthemajorit
y
ofemployeesrespondedthatconflictsarehandledbyconflictingparties(i.e.employees)
themselves.

However,amanagerhastoplayanimportantroleinmanagingconflictbecauseif
conflict goes out of hand it causes several negative consequences that will
hinder the attainment of organizational goal.

Table7:SkillofManagerstoSolveConflict

Question Alternative Respondents

Number Percenta
ge

Towhatextentmanagersinyour Veryhigh
organizationisskillfultoresolve
conflict? High - -

Average 38 21

Poor 45 25

VeryPoor 97 54

- -

Total 180 100

As shown in table 7, 38(21%), 45(25%) of the respondents respectively point out

that managersintheirorganizationhavehighandaverageskilltomanageconflictand
97(54%)ofrespondentsalsopointoutthatmanagersintheorganizationdoesnothave
the skill require to solve conflict.
Thisshowsthatmanagersintheorganizationhavelessskillonmanager’sconflict.
Thus, conflicts in the organization are not managed positively to result in
productivity but conflicts create bad working environment that hinders
employees to work together and achieve their goal.

Table8:ConflictResolutiontotheBestInterestofEmployeesandOrganization

Question Alternative Respondents

Number Percenta
ge

Towhatextentconflictsare Veryhigh
resolvedattherighttimetothe
bestinterestofemployeesand High - -
theorganization? Average 8 4

Poor 12 7

VeryPoor 36 20

124 69

Total 180 100

Table8showsthat124(69%)ofrespondentspointoutconflictsarenotresolvedtothe
best interest of employees andthe organization.On the other handabout 20(11%)
of respondents indicate that conflicts are resolved to the best interest of
employees and theorganization.
This implies that conflicts are not resolved to the best interest of employees and
the organizationthis willmaketheorganizationandtheemployees tobeless
creativeand innovative.
Fromthetwoopenendedquestions relatedtoconflictresolutiontothebestinterestof
employees and organization and conflict resolution practice of the organization,
most respondentssaidthereshouldbetrainingaboutconflictresolutiontocreatean
understandingofbothemployeesandmanagers.Somerespondentsalsosaidthere
shouldbesinglebodyorunitwhowillberesponsibleforhandlingconflicts.The
managersinaninterviewstatedthatthemanagingtriestogiveresponseforany
questions arise from any of the employees before it is complicated and major
conflict arises.Themanagingstafftriestohavemeetinganddiscussmajorissuesand
problems of our employees before it affects the productivity of the organization.

ChapterFour
SUMMARY,CONCLUSIONS,ANDRECOMMENATIONS
Thisstudyassessesandanalyzestheconflictmanagementpracticein
NATIONALTOBACCOENTERPRISE(Ethiopia)S.C.Thus,toachievethis
objective related literature ware reviewed, questionnaires were distributed.
Andtherawdatacollectedfromrespondentsispresentedandanalyzed.

Thischaptersummarizesandconcludesthefindingoftheresearchand forwards
possible recommendations.

4.1 Summary

Themajorfocusofthisresearchpaperistoassesstheconflict management practice in

NATIONAL TOBACCO ENTERPRISE (Ethiopia) S.C. Therefore, on the basis of the
data collected, the assessment of conflict
managementpracticeinNationalTobaccoEnterprise(Ethiopia)S.Ccomes up with
the following findings:
 Regardingtoqualificationandcharacteristicsofrespondents,72%of
therespondentsarebelowcollegeeducation.Andmostofthe
employeesaremale77%butitdoesn’thaveanyimplicationonthe finding.

 About142(79%and129(72%ofrespondentsindicatedthattheyhave
beeninconflictwiththeircoworkerandimmediatebossrespectively.

 Out of 180 respondents who confirm theyhave been in conflict with

theircoworkerandimmediateboss74%ofquestionnaire respondent’s points
outtheywerenotsatisfiedwiththeconflict resolution.

 Around129(72%)ofrespondentsindicatethattherigidityofthe managers in
decisions making and unwillingness to understand the
problemsoflowerlevelemployeesarethemajorcurrentproblemsin conflict
management process of the organization.

 Amongthedifferent causes ofconflict inNationalTobacco

Enterprise(Ethiopia)S.Csomeofthepotentialcausesofconflict indicated by
majority of respondents are lack of transparency during promotion, salary
increment and over time work lack of team spirit among employee and
inappropriate decision of managers.
 Concerning the conflict management of the company, 143 (79%) of
therespondentsindicatedthatcompanyhasnogoodpracticein conflict
management.

 Accordingto146(81%)ofrespondents,themanagersdidn’tgiveany attention
on matters which may result in conflict.

 Fromtheresultfound,83% ofrespondentswerenotsatisfied with conflict

management practice of the company.

 Asrespondedby152(85%)thereisnoparticipatoryconflict management
practice.

 Amongthemajorconflictresolutiontechniquesthemanagersusea
conflictresolutionmethodbydominatingandexertinginfluenceon
theotherparty(i.e.Employee)as129(72%)ofrespondentsindicate.

 Majority of respondents 143 (79%) indicated that conflict resolution

practice in national Tobacco enterprise (Ethiopia) S.C is ineffective.

 Though the management was responsible as indicated by 75 (42%)

ofrespondents,58%ofrespondentspointoutthatconflictingparties
themselveswereresponsibleinhandlingtheconflictinNational Tobacco
Enterprise (Ethiopia) S.C.

 97(54%)ofrespondentsindicatedthatmanagersinNational
TobaccoEnterprise(Ethiopia)S.Cdoesnothavetheskillsrequireto solve
conflict.

 160(89%)ofrespondentsalsopointoutconflictsarenotresolvedat
 therighttimeandtothebestinterestofemployeeandorganization.

4.2 Conclusions

Theresearchfindingfrom questionnaireandinterviewconductedwith employees

and managers shows the following conclusions:-

The first point raisedinthis research studywas about the major causes of
conflictinthecompany.Andfromtheresearchstudy,lackoftransparency
duringovertimework,promotionandsalaryincrementstage,lackofteam
spritamongemployeeandinappropriatedecisionofmanagersarethe major cause of
conflict. The second issue was concerning type of conflict resolution method
used. And from result found, there exist mostly unfair
arbitrationandusingweakmethodofconflictresolutions.Managers mostly exert an
influence forcedly on one party (i.e. employee) instead of arbitrate. Besides,
when evaluating the result from the conflict resolution techniqueused, as
awholemost respondents agreedthat it is weak.

Thirdly,themainproblemsintheprocessofconflictmanagementpractice
ofthecompanyarearisingfromtherigidityofthemanagersindecisions
making,unwillingnesstounderstandtheproblemsoflowerlevel
employeesandunfairfrequentillegaldecisionsonlyfavoringtothe managing
body.

Thefourthpointwasregardingtotheextentthattheorganizationconsider
conflictmanagementasintegratepartofmanagement.Andfromtheresult
found,managersgivehighconcernforthetaskwhileforgettingconflict management
as integral part of management.
Toputitinanutshelltheorganizationdidnotconsiderconflict management as
integral part of management.

4.3 Recommendations

The following recommendations are based on the conclusion drawn and

thefinding ofthestudy hoping thatthey may contributetoa betterand improved
conflict management practice in the company.

The company should hire well experienced Human resource Manager. In

thelong-ran,thecompanyshouldcoachmanagersfromtheexisting
managingstaff.Thecompanyneedstobetransparentwhilegiving overtime
work,salary incrementand promotion. Itshould establish clear
criteria.Besides,themanagersshouldexplainthemanualsandregulations
usedwhilegivingovertimework,salaryincrementandpromotionregularly,

Theyhavetocommunicatewithalllevelsofemployeesfrequentlytomake
changesthataretohappeninthecompanyclear.Thiscouldavoidsuspect
andobjectionfromthemindtotheemployees.

Thecompanyshouldalsoestablishaninclusiveandarbitrarydecision making
while resolving conflict. It has to resolve conflict after hearing both
partiesinthepresenceofthirdpartyasawitness.Thiscouldbemadereal
byestablishingafreeandfairjudicialsystem.

Thecompanyneedstoestablishcheckandbalancessystemofcontrolling
power.Thiscouldhelpavoidabuseofpower.Managersneedtobe
controlledbyothercheckingbody.Employeesshouldbegiventherightto
appealtonextauthorityafterbeinghurtbymanagers.Inthisway
managerswillalsobefreeofanykindofwrongdoings.
Time and cost Budget Time

budget

Research proposal was time consuming and to implement this research proposal
the researchers were taken long time for collecting data. Those which we were
used time budget was as shown below

ThetimeormonthsinwhichActivitieswill
perform
No Activity

APRIL MAY JUN JULAY

1. TopicSelection 1.

2. Proposalpreparation 2.

3. Collectionofusefulmaterial 3.
4. DataCollection 4.

5. DataAnalysisandwritingof 5.
finalresearch

6. Submissionofresearch 6.

7. Presentationoffinalresearc 7.
h

CostBudget

Ingathereddatawewerecommunicatesomeconcernedpersonandtostudied(dothe
paperwork)wewereusedthefollowingexpenseasshowninthetimebelow.

Total cost
(birr)
No Item Measureme Quantity Per
nt
unit (birr)
1 Paper Package 1 500 400.00
Equi
pme
 2 Pens Number 5 10 50.00

3 Pencil Number 5 5 25.00

stationary
ntand

4 Binder 1 30 50.00

Totalcost 525

5 Transportation Distance 8trips 50 800.00

6 Internet Time 2000hrs 0.50 1000.00

7 Telephone birr birrcard 300 300.00

expense(Mobile
Card)

8 Secretarial Perpage 120 10 2400.00

service

TotalCost 1300.00
Personalcost

9 Miscellaneous 1500.00
expense

Overalltotalcost 5930.00
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APPENDIX

AppendixA

QUEENS’COLLEGE

SCHOOLOFBUSINESSANDECONOMICS
 DEPARTMENTOFMANAGEMENT

QuestionnairetobefilledoutbyNationalTobaccoEnterpriseS.CEmployees

Theprimaryobjectiveofthequestionnaireistoobtainreliableinformationand
opinionabout conflict management practice inNationalTobacco Enterprise
S.C.this
studyconductedaspartialfulfillmentoftherequirementfortheawardofawardof
BachelorofArtsDegreeinthefieldofManagement.FromQUEENSCOLLEGEyouare
randomlyselectedtoparticipateinthisstudyandkindlyaskedtoprovideaccurateand
reliableinformationregardingthemanNotableofcontents’entriesfoundNational
TobaccoEnterpriseS.CEmployeesthesurveyisanonymous,yournameisnotincluded
inthesurvey,andyourpersonalidentityiskeptsecret.Hence.Thereisnoneedtowrite
yournamemoreover,thereisnoanticipatednegativeconsequencebyparticipatingin
this survey. The questionnaire consists of 4 page (including the cover page) and
will takemaximumof15minutestocompleteit.Yourgenuineresponseswillbehelpfulin
the successful completion of the paper. for anyclarification regarding your
participation, please contact me:

NB:Pleasegiveyouransweronthespaceprovidedandputtickmarkinthebox
corresponding to your response.

Tamrathamusa(g: mail:[email protected] telephone+251946375586)

1. Personalinformation(demographiccharacteristics)

1. Sex

Male Female
2. Educational

1-8grade Diploma PHD

9- 1stdegree

12gradeCertific 2ndde gre

ate e
3. Age

Below20 32 - 45

20-31 above46

4. Serviceyearintheorganization

Below1year 11-15years
1-5years 16-20years
6-10years above20

Part2issuesrelatedwithstudyarea

Thefollowingpartisconcernedaboutscalingitemsofvariableandyouareaskedtoput
tickmark"√"inthecorrespondingpartsyourchoiceonascale5-1where5=Strongly
agree4=Agree3=Neutral2=DisagreeStrongly=1Disagree

2. Thefollowingtableprovidesthepotentialcauseof
 conflict.

Identifythecauseofconflictintheorganization.

ite Potentialcauseofconflictin 5 4 3 2 1
m national tobacco Enterprise

1 Lack of transparency
duringpromotionand
salary increment

2 Communication gap
betweenemployeeand
managerial staff

3 Lackofteamspirit among
employee

4 Inappropriatedecisionof
managers

5 Perceptional difference
ontaskoforganizational value

6 Taskoverlapping

7 Taskinterdependency

8 Unfairresource distribution
3. Question regarding to conflict management practice of the organization

Ite to conflict management 5 4 3 2 1

m practiceoftheorganization

1 Thecompanyhasgood practice in
conflict management.

2 The managers give

attentiononmatterswhich way
result in conflict.

3 Thecompanyhaswell
defined conflict
managementpractice.

4 Theemployeehassatisfied with
conflict management practice of
the company.

5 There exists flexible

behaviorofmanagerson decision
making.

6 Thereisparticipatory
conflictmanagement
practice.
7. Whatthetechniquesorstylethathavebeenusedtoresolve conflict?

Forcing □ Smoothing □ avoiding

□Compromise□ Problemsolving □

8. Inyouropinionarethosetechniqueseffective?

Yes□ No □

9. Whoisresponsibleforconflictmanagement(resolution)in your
organization?

Themanagerorboss □ Committee □
Conflictingparties’themselves□

10. Dothemanagersinyourorganizationhaveskilltoresolve conflict?

 Yes □ No □

11. Doconflicts resolveat theright item tothebest interest of employees and

the organization? Yes □ No

12. IfyouranswerforquestionNo.11isnostatethereason

13. Whatdoyouthingitshouldbedonetoimprovetheconflict resolution of the

organization

4. Questionregardingtotheorganizationconflict resolution process

Ite theorganizationconflict resolution 5 4 3 2 1

m process

1 Facetofaceconflictresolution method
is frequently used.

2 Theemployeeissatisfiedwiththe
conflict resolving techniques of
management body

3 Themethodusedismoralflexible
astheextentoftheconflict

4 Theactionstakenbythe
managementtoresolveconflicts
coincidewiththefeelingsofthe
employees

Ifthereisanysuggestion:-
Thankyou!!

AppendixB

QUEENS’COLLEGE
SCHOOL OF BUSINESS AND ECONOMICS
DEPARTMENT OF MANAGEMENT
IntervieweeswithmanagementofNationalTobaccoEnterpriseS.C

1. DoyouthinkconflictexistinNationalTobaccoEnterpriseS.C

2. Towhatextenttheorganizationconsiderconflictmanagementas integral part of

management?

3. Whatdoyouthinkisthebasiccauseofconflict?

4. Whattypeofconflictdoyouoftenhandle?
5. What are the problems in the process of conflict management in your
organization?

6. Whattechniquedoyouuseinresolvingtheconflict?

DECLARATION

I,theundersigned,declarethatthisseniorthesisismyoriginalwork,
preparedundertheguidanceofABRAHAMFIKRIE(MAOL).Allsourcesof
materialusedofthemanuscripthavebeendulyacknowledged.
Name...................................................

Signature.............................................

PlaceofSubmissionSMU

Dateofsubmission

ADVISORAPPROVAL

Thispaperissubmittedforexaminationwithmyapprovalasthecollege
advisor.

Name...................................................

Signature.............................................

PlaceofSubmissionSMU