INTRODUCTION

What is Employee Relations?

Employee relations is the same term as industrial relations. It is

the dealings and the cooperation between a particular
management of an organization and its workers. As well as
unions can be involved in this process too. It also means the
communication, relationships built and the broad understanding
of each and every employee in the organization.
As we all know without employees the organization would not
run but collapse. As every employees needs should be
understood and every employee should understand the
organizations needs and adhere to the rules and regulations.
Both should be accomplished in a desirable manner because
both sides would be rewarded.

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Organization That Is Being Involved In This Assignment

DHL :- Dalsey, Hilborn and Lynn.

Surnames of the founders.

Mission:Excellency simply delivered! Meaning, simplifying the lives of

DHL customers, making them more successful, making a
positive contribution towards the world, gaining respect and
achieving good results.

Vision:To be the number one Logistics Company for the world.

DHL is an organization that express deliveries and packages

worldwide through many ways of transportation that is via
planes, trucks, ships and trains. Ware housing services that go
beyond just storage including from packaging to repairs,
international mail deliveries, customized and specialized
shipping.

In more than 220 countries and territories and workforce of

325,000 employees worldwide.

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Unitary and Pluralistic Frames of Reference

Unitary Frames of Reference

This is basically where the management holds and sees to their function
of directing, controlling the work environment to achieve the
organizations economic and tabulated growth objectives.

Pluralistic Frames of Reference

This is where the Industrial Organization, where all employees are

present and how their interests and objectives are maintained wellmannered and put out in some kind of equanimity.

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TRADE UNION

What is a Trade Union?

A trade union is an organized band of employees consistently working on workers whose
principle include the regulation of relations between workers and employers.

Employee Relations against a changing background

Employers and employees being controlled by politicians effecting trade unions.

Relationships between co-workers being affected by the corruption of political parties.
Employer vs. Employee, their ideas may not ideally coincide bringing in rough patches.

Objectives of Unions
The function is to protect the interests, against discrimination and unfair labours. They
should practice these following:1.
2.
3.
4.

Representativeness
Negotiate
Voice in decisions
Member Service

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How changes In trade unionism have

affected employee relations at DHL
Another union struggle with DHL
LONDON: The International Transport Workers Federation (ITF) says there is evidence of
"widespread mistreatment" of DHL staff in India.
A report commissioned by the ITF and authored by John Logan, a professor and director of
labour and employment studies at San Francisco State University and visiting research
fellow, Institute for Research on Labour and Employment, University of California-Berkeley,
claims the express company has victimized staff, conducted punitive transfers by moving
them hundreds of miles away from their families and homes at almost no notice; and forced
the re-grading of personnel to try and prevent them joining a trade union.
The news follows a similar event that culminated in 2014 after more than two years of
struggle when Turkey's TUMTIS union won recognition for 1,600 DHL supply chain staff
despite an allegedly confrontational company.
Commenting on the DHL India situation, Ingo Marowsky, ITF global head, supply chain and
logistics said: "The widespread accusations of persistent victimization are extremely serious
and heartrending. They are so grave that we asked Professor Logan to investigate. Sadly,
he has found them to be well founded. This substantiates the testimonies I have heard this
week in India, including that the company has taken out over 20 injunctions in an attempt to
muzzle workers and their union."
In his report Logan says workers from DHL terminals in Delhi, Kolkata, Chennai and Mumbai
have been threatened, intimidated and discriminated against by local and national DHL India
managers who are now "fighting efforts by couriers to join their union of choice".
Logan notes that the DHL India management has pursued a legal strategy that is intended to
tie the labour dispute up in the courts and is contrary to Deutsche Post DHL (DPDHL)
behaviour in Germany where it employs 205,000 people or 42% of its global workforce.
The news coincides with the release of the latest DPDHL corporate responsibility (CR) report
accompanied by a press statement that declared in its first line: "Responsible business
practice is the foundation for the long-term growth and success of Deutsche Post DHL
Group." According to Christof Ehrhart, EVP Corporate Communications and Corporate
Responsibility: "We connect people and make their lives easier."
From its CR report the company notes: "Our corporate culture is characterized by openness,
trust and mutual respect. We want our employees, each and every one, to be able to tap
their talents and potential in an environment decidedly free from prejudice, discrimination
and stereotyping."
In the section entitled Co-workers and co-creators winning and developing talent DPDHL
adds: "As an international company, our priority is to ensure that our high ethical standards
are being met in all of the regions in which we operate. With our code of conduct and group
policies, we make sure our executives and employees around the world are able to uphold
and apply our standards. This includes our commitment to workers' rights and our
constructive working relationships with employee representatives and labour unions."
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Except, apparently, in India.

(Freight week) http://www.freightweek.org/index.php/latest-news/96-integrators/1264another-union-struggle-with-dhl

The Role of the main players in Employee Relations

1. Mangement :To balance the power between all parties especially in the private sector. The management
has more power to conduct relationships with their employees.

2. Trade Unions :Regulating workmen and employers, defraud of restrictive conditions, trade unions presence
in their workmen during disputes, promoting of certain strikes and breakouts, lack of
financing for workmen during strikes or other breakouts therefore unions have to pay and
workmen have to abide by what the union says so.

3. Human Resource Department :The HR provides necessary consultation and help, HR also plays a main role in providing
deals with the unions and their representatives and the maintenance of participation and
implements for managing employee relations.

4. Employee Associations :Employee Associations are formed to represent employees in the absence of unions
present. They may or may not have representational or negotiating rights but they seldom
have anything like the real power possessed by a well-organized and supported trade union.

5. Employers Association :Employers association have completely bargained for the protection of interest of those
members in their dealings with unions.

6. Government :6 | Page

The government may take it either way and get use of the workmen and unions for their
benefits which will either end up with good or bad results.

The Nature of Industrial Conflict and its Resolution

What is Industrial Dispute?

Dispute means the differences or conflicts of quarrels over some issues between different
parties.
Industrial Dispute means any dispute or difference between employers and employees or
workmen or between workmen and workmen which connected with the employment or nonemployment or the terms of employment and conditions of employment of any person.

(Smriti Chand Industries)

Types of Disputes

Intra Individual Conflicts: - within a persons personal attributes.

Inter Personal Conflicts: - Conflicts of personal matters not related to the organization.

Inter group/organizational Conflicts: - conflict between two or more groups.

Formal and Informal Conflicts :- when neither formal or informal do not match.

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Inter Organizational Conflicts:- Between two or more organizations when their ideas do not
match.

Procedures and Organization should follow when dealing

with different Conflict Situations

Conciliation :Both parties agreeing on solving the conflict and what the problem is and it being identified.
Both parties give ideas how to resolve and ways to resolve the conflict which then would not
focus on party but both and then leading to quarrelling and the issue being resolved.
Or in other words to win over and make friendly by friendly acts and concessions.

Persuasion/Mediation:Persuasion is a strong belief being intervened among persons. These beliefs can be
disagreed upon different other sub goals. It also can be either shared or common goals,
such as Strikes.

Politics/Arbitration :In politics arbitration is the hearing or settlement of a dispute by someone chosen to hear
both sides and come to a decision. Its like three people convincing each other party to give
in. sometimes the government does intervene with the management and union such as the
Education Department of Sri Lanka.

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>> Conciliation is the best as it gives the best results and it is performed peacefully without
any serious conflicts. Also both parties will get good benefits out of it.

Key Features Of Employee Relations In A Conflict Situation

To manage conflict effectively you must be a skilled communicator. That includes creating an
open communication environment in your unit by encouraging employees to talk about work
issues. Listening to employee concerns will foster an open environment. Make sure you
really understand what employees are saying by asking questions and focusing on their
perception of the problem.

Acknowledge that a difficult situation exists. Honesty and clear communication

play an important role in the resolution process. Acquaint yourself with what's happening and
be open about the problem.

Let individuals express their feelings. Some feelings of anger and/or hurt usually
accompany conflict situations. Before any kind of problem-solving can take place, these
emotions should be expressed and acknowledged.

Define the problem. What is the stated problem? What is the negative impact on the
work or relationships? Are differing personality styles parts of the problem? Meet with
employees separately at first and question them about the situation.

Determine underlying need. The goal of conflict resolution is not to decide which
person is right or wrong; the goal is to reach a solution that everyone can live with. Looking
first for needs, rather than solutions, is a powerful tool for generating win/win options. To
discover needs, you must try to find out why people want the solutions they initially
proposed. Once you understand the advantages their solutions have for them, you have
discovered their needs.

o
o
o
o

o
o
o

Find common areas of agreement, no matter how small:

Agree on the problem
Agree on the procedure to follow
Agree on worst fears
Agree on some small change to give an experience of success
Find solutions to satisfy needs:
Problem-solve by generating multiple alternatives
Determine which actions will be taken
Make sure involved parties buy into actions. (Total silence may be a sign of
passive resistance.) Be sure you get real agreement from everyone.

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Determine follow-up you will take to monitor actions. You may want to schedule
a follow-up meeting in about two weeks to determine how the parties are doing.

Determine what you'll do if the conflict goes unresolved. If the conflict is causing
a disruption in the department and it remains unresolved, you may need to explore other
avenues. An outside facilitator may be able to offer other insights on solving the problem. In
some cases the conflict becomes a performance issue, and may become a topic for
coaching sessions, performance appraisals, or disciplinary action

The effectiveness of Procedures used in

a selected conflict situation
Today the businesses operate in a very turbulent and competitive environment.
Organizations face competition from various players where, to carryout business much more
emphasis needs to be given. The customers have lot of choices where the organizations
needs to distinguish their offerings and must add value to win customers. In the course of
the business is to attain its objectives, the key element of the business which is the human
being or the people play a key role (John, Darling & Walker, 2001). Successfully managing
the people element will ensure business success. As such, the dynamics of human
behaviour needs to be mobilized or associated towards the business vision. In the process,
preserve harmony, teamwork, job contentment will increase human yield in an organization
(Amason, 1996). Here, managing conflicts is one key area among other aspects of
organizational behaviour the business must focus on in order to maintain job satisfaction,
productivity and goal accomplishment.
As human beings network in organizations, different values, perceptions and rapidly
changing environment could create conflicts among people. Conflict can thereby be
identified as a condition in which two or more individuals functioning within one unit appear
to be behaviourally irreconcilable (Onishi & Bliss, 2006). Conflicts can arise due to a
multiplicity of factors such as individual differences in goals, expectations, values, proposed
course of action, task interdependency, status inconsistency, ambiguities, communication
problems, lack of performance standards etc and even for factors like changes in
technology, global shifting of power, political unrest and financial uncertainties. These factors
and many other factors make conflict a reality.
Conventionally, conflict within an organization has been seen as a sign of a dilemma.
Conflict meant there were differences of opinions and perceptions towards business
process. But as to the modern view, conflict is considered as a constructive concept. Where
if a conflict exists, that means somewhere down the line, something is happening differently
than an organization likely and someone is exaggerated as a result (Armstrong, 2006). In a
conflict situation employees tend to tell their exertion to their employers and the organization

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realizes that there is a problem where they have to deal with in a proper manner to reduce
the negative impact it will have on the business.
Conflicts are foreseeable in organizations. Having conflicts could breed quality in the
business process. However, there continuation of conflicts inside an organization has to be
minimized. If conflicts are too much it will have unconstructive impact on employee
performance, cause stress causing problems on the results accomplishment (Amason,
1996). In an organization where there is no substantiation of conflicts, it could point out that
the conflicting has not surfaced yet. Of not reflected through employee behaviour due to
many reasons. Even though employers observe that there is no conflict at present, these
conflicts will come out in the future, and make a unenthusiastic impact and unless they are
identified at the level of materialization and managed. Further to endure in the market and to
carryout businesses, it is necessary to identify factors that cause conflicts to manage them.
In the past management theorists used the term 'Conflict Avoidance'. But it's impossible to
eliminate conflict entirely. Today this phrase is increasingly replaced with the phrase (and
concept) of conflict management (Gerard & Callanan at el, 1999).
Conflict management recognizes that while conflict does have connected costs, it can also
bring with it great benefits. Managers may feel uncomfortable with conflicts and may see it
as something to be suppressed in all situations. But a more realistic, practical view of
argument presents a different picture. As a result, conflicts should be managed properly and
if organizations do it in an effective way, conflicts fosters an understanding and appreciation
of differences, it presents new and different possibilities where new opportunities flourish
and organizations can attain many reimbursement. However, it could be understood,
whether conflicts within an organization is viewed as advantageous or not, the significant
fact is that conflicts needs to be recognized, accredited and dealt with in order to ensure
business stability and growth.
With the above, explanation on the need to manage conflicts in organizations when we turn
to the Sri Lankan context, one could observe that Sri Lanka as an example of a conventional
society where aboriginal dispute resolution processes were replaced with a British legal
system, and where there is evidence of a revival of Original Dispute Resolution system
(ODR) in community and industrial contexts. Conflict management is not a new concept to
Sri Lanka. Even from the Buddha's teachings of the sources of conflicts which are
inconsistent perceptions, cravings, pride and arrogance, ill-will, and aggression which
develop from those inconsistent perceptions, it can be presumed that it is an old concept.
Later, Sri Lankan adapted approaches relating to native teachings, however upon the British
arrival such approaches being eliminated and introduced the court system.

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The legal system in Sri Lanka is not operating effectively and as a result the conflict
resolution systems are not performing well resulting in poor industrial relations within the
organizations in Sri Lanka. This nature should be transformed where to manage the
organizational conflicts there should be proper approaches which are functioning effectively.
The organizations should comprehend the importance of conflicts and the benefits that they
can expand by managing such conflicts. If they do so, all the parties can gain benefits via
capitalizing on the opportunities which would arise as a consequence of conflict
management (Gerard & Callanan at el, 1999). The approaches or styles of managing
conflicts can lead to conclusion of conflicting situations or it may sometimes create new
conflicting situations in an organization. This research intends to study the effectiveness of
conflict management approaches presently used by Sri Lankan indigenous businesses.

RATIONAL OF THE STUDY

As peoples' needs & wants boost with the development in the economy & society, they tend
to be more competitive in achieving their individual objectives (Armstrong, 2006). As a result,
conflicts inside the organizations would also amplify. Thus it is imperative that employers
manage these conflicts in order to progress efficiency as well as profits. When considering
Sri Lankan organizations, the strategies employed to solve conflicts has given rise to more
conflicts & ultimately it results in depletion of time & money. Therefore this study would help
to find out whether these strategies have actually achieved their objectives in solving
conflicts effectively.

In common scenario of the literature, even though there are an immense number of
researches based on conflict management, they do not specifically focus on evaluating the
effectiveness of these strategies (Gerard & Callanan at el, 1999). Even though conflict
management is an essential phenomenon when it comes to Sri Lankan organizations, there
is scarcely any research that has been carried out focusing on the effectiveness of the
conflict management approaches in Sri Lankan businesses. Despite above mentioned
reasons as I have a personnel interest on this topic; I hope to gain an in-depth knowledge of
the subject through conducting a research on this topic. Because of these factors and the
consequence of conflict management and its approaches, I chose this topic to do my study
(Gerard & Callanan at el, 1999). As to the literature, conflict management can be highlighted
as a very ancient concept. Even though it is reasonably old, still the companies find many
issues when it comes to dealing and managing conflicts. Most of the organizations have
identified the importance of identifying and managing conflicts because of the communal
benefits they can attain by doing so, but when it comes to practicing such approaches in
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managing conflicts, organizations still face many issues. When it comes to Sri Lankan
organizations, they adopt certain strategies to manage conflict within the organization which
would be granting birth to some more conflicts (Amason, 1996). As such, the conflicts are
one of the major obstacles to maintaining peace, harmony and job satisfaction leading to
high employee turnover and increasing costs due to continuous recruitments etc.
As such studying, the nature of conflicts emerging in Sri Lankan businesses, how they are
dealt with and what approached they use and their effectiveness and identifying and
recommending effective models would be beneficial to stability and growth of Sri Lankan
businesses (Amason, 1996).. When looking at past literature, it is evident that this has not
studied in the context of Sri Lankan businesses. This study aims at filling this gap in the
literature. This research is will therefore focus on analysing the effectiveness of the conflict
management approaches in Sri Lankan organizations.

RESEARCH OBJECTIVES
Research Scope
In order to address the research issue of this study, data will be gathered from Lanka Orix
Leasing Company. The study will focus on the supervisory level employees in the
organization. They would include junior executives, team leaders and allied levels. The data
will be collected from a sample of the target group consisting of 45 respondents

Research Questions
Researcher expected to raise and answer following question during the course of research
project
What is the nature of conflicts emerging in (LOLC)?
What are the conflict management approaches adopted by LOLC?
How effective is the current approaches in managing conflicts in LOLC?
What remedies available for LOLC in managing conflicts effectively?

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Research Objectives
Research expected to explore existing situation to attain following objectives
To identify the commonly used interpersonal conflict management approaches in LOLC.
To assess the effectiveness of the interpersonal conflict management approaches used in
LOLC.
To identify the areas for change if any in comparison to appropriateness of interpersonal
conflict management styles in LOLC.

LITRATURE REVIEW
Traditionally, conflict is arising from opposite interests of the individuals who are party to it
and also would occur because of scarce resources, goal difference and frustration (Mack
and Snyder, 1957; Pondy, 1967; Schmidt and Kochan, 1972). As to the leanings of
Buddhism, conflict and misery arise from inconsistent perceptions, and the cravings, pride
and arrogance, ill-will, and aggression which develop from those inconsistent perceptions
(Palihawadana, 2003). Most of the times conflicts have emerged in mixed-motive
relationships where persons have competitive as well as cooperative interests (Bacharach
and Lawler, 1981; Kochan and Verma, 1983; Walton and McKersie, 1965). Thus the
competitive elements would generate the conflict and the cooperative elements would create
the incentives to bargain to reach an agreement between parties (Deutsch and Krauss,
1962).
As for the present context, researchers have defined conflict in broad terms. The conflict is
perceived as unmatched or discrepant views among the parties who are party to it (De Dreu
et al., 1999; Jehn and Bendersky, 2003). Conflict in modern organizations comprises
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employee-employer disputes, subordinate disputes, and includes all kinds of issues, not only
employment considerations (Rowe and Bendersky, 2003). Conflict is a multipart
phenomenon which involves the thoughts, emotions, behaviours and unconcealed actions of
the people who are party to it (Thomas, 1992). Because of the chaotic environment which
the organizations are functioning, the organizations itself have to execute its business
conduct in meeting turbulent, the demands of rapidly changing environment. Because of this
nature, the sources of conflicts have also enlarged and as a result organizations face greater
challenges when dealing with these situations.
Number of researchers, using various theoretical perspectives, have researched and found
the importance of conflict when making decisions in organizations as well as in social life
(Amason, 1996; Anderson, 1983; Cosier, 1978; George, 1974; Gruenfeld, 1995; Mason and
Mitroff, 1981; Peterson and Nemeth, 1996; Schweiger et al, 1986; Tetlock et al, 1994).
Traditionally managers carried out their role doing anything and everything to maintain the
serenity in the organizations. But as to the modern view conflicts must take place in the
organization where it gives a sign to managers that there is something going on which needs
the manager's attention. (Nurmi and Darling, 1997). The signals which are given by these
conflicts are seen as a signs of an effectively operating organization (Hellriegel et al., 1995).
When conflict exists in an organization it designate that the employees are allowing
emerging their problems in front of managers rather than hiding them that could lead to
catastrophic ends in the future. Conventionally in organizations managers tried to eradicate
conflicts. But as to today's businesses it's renounce unfeasible to eliminate conflicts. As an
alternative it must be managed with benefiting both the employees and the employers. To
determine and manage conflicts it is crucial to observe the root cause of the conflicting
situation which is a elementary teaching in Buddhism, which tells to let go of exclusivist or
stringent positions; to reject violence and; to practice right speech, which indicates speaking
only the truth; and to practice patient negotiations until a constructive solution which benefits
both the parties have found. (Palihawadana, 2003). Some managers perceive conflicts as
negative, which cause disharmony within the organization and they implement activities to
avoid those at all costs. But for some managers conflicts are positive aspects which help to
identify opportunities and to capitalize such opportunities by managing those conflicts in an
effective way (Darling and Fogliaso, 1999). A conflict change the organizational activities
thereby adaptation of new strategies which would assure the long-term stability of the
business via gaining success in many forms (Walton, 1976). Effective managers take
conflicts as positive signs where they use them productively for personnel development on
improve problem solving, increase critical alertness and self-appraisal, and to address
values which are conflicting when taking decisions (Blome, 1983).

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In western counties like USA, has increasingly moved toward Alternative Dispute Resolution
(ADR) as a means to manage workplace disputes and to reduce costs associated with
conflicts. Workplace ADR refers to the use of alternatives to lawsuit for the resolution of
workplace disputes, which include third-party processes such as facilitation, mediation and
arbitration. Another accepted integrative dispute resolution process which can be highlighted
in the USA is the interest-based mediation (Fisher et al., 1991), which is widely used to
resolve work place related disputes (Kochan and Lipsky, 2003). When we consider about the
cross-cultural conflict management literature and Pinto's (2000) notion of "original dispute
resolution" (ODR), it's presumed that mediation can be a appropriate mechanism to resolve
workplace disputes despite the existence of a transplanted western legal system. Mediation
is the original form of dispute resolution. Based on five years of professional experience in
organizational development projects to promote industrial peace in Sri Lanka (Reade and
Reade McKenna, 2006), When we talk about history of Sri Lanka, According to some writers,
Consensus-based dispute resolution in Sri Lanka originates from earliest times, 425 BCE
(Herat, 1988; Rubasinghe, 1996). The win-win resolution of disputes made popular in the
modern world by Professors Uri [sic] and Fisher of the Harvard Negotiation Project was first
introduced to the world by Lord Buddha (Daily News Online, Legal Aid Page, Colombo, Sri
Lanka (Daily News Online, 2006).
From the industrial context, Sri Lanka's management of labour relations is rated as highly
challenging (WEF, 2004). These factors, along with the on-going civil conflict in the north of
the country, weaken the country's opportunities to attract and retain foreign direct investment
(WEF, 2004). As to the legal scholars, the unfavourable nature of the legal system in Sri
Lankan is the prominent factor contributing to poor industrial relations in the organizations
(Amerasinghe, 1999). The Community Mediation Boards being successfully generated
consciousness among Sri Lanka's industrial relations stakeholders in the likelihood and the
importance of using mediation to resolve industrial and workplace conflicts.
Interest-based mediation was a real success in resolving industrial and workplace conflicts in
the United States (Fonstad et al., 2004; Kochan and Lipsky, 2003), and because it wellmatched with Sri Lankan values, In 2003 legislation was adopted granting the Sri Lankan
Minister of Justice the authority to expand the scope of the Boards to mediate industrial
disputes. The Employment Mediation Services Center, which is in cooperation governed by
employer and union representatives, provides mediation services as well as training to
increase the competence of managers, union representatives, and employees to resolve
conflicts more collaboratively at the venture level.
Today organizations are undergoing rapid change, and this change naturally gives birth to
conflicts, which may require ground-breaking methods for it to be effectively managed
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(Constantino and Merchant, 1996; Rowe and Bendersky, 2003). Managers who carryout
work to eliminate conflicts, those companies would not last for long. While those managers
who take actions to manage it would achieve both organizational and personnel benefits
(Darling and fogliasso, 1999 and Nurmi and Darling, 1997).As pointed out by Palihawadana
(as cited in Read and Mckenna, 2007, p. 113), in the Sri Lankan context, to resolve and
manage conflicts it is essential to observe the root cause of the conflicting situation which is
a fundamental teaching in Buddhism, which tells to let go of exclusivist or firm positions; to
reject hostility and; to practice right speech, which indicates speaking only the truth; and to
practice enduring discussions until a favourable solution which benefits both the parties have
found.

Conceptual Framework
A good conceptual framework identifies and labels the important variables in the situation
that are relevant to the problem defined. It logically describes the inter connections among
these variables. According to this specific research, there are three types of variables which
are independent, dependant and moderating. The perceived relationships developed by the
past researchers in relation to the above mentioned variables are shown by the following
conceptual framework:

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Independent Variables
Avoiding
Competing
Accommodating
Compromising
Collaborating

Dependant Variables
Mutual Relationships
Employee Job Satisfaction
Extent to which the Parties have Reduced Conflict Issues

Moderating Variables
Gender
Hierarchical Status

What is the nature of conflicts emerging in (LOLC)?

How effective is the current approaches in managing conflicts in LOLC?
What are the conflict management approaches adopted by LOLC?
What remedies available for LOLC in managing conflicts effectively?

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RESEARCH METHODOLOGY
The research approach
To improve the quality of research findings and their clarity researcher expecting to use the
positivism approach which will focus on recuperating the understanding of the various
matters come up from the data gathered. The basics of positivism is initiation in the direction
of the realism approach to greater intelligibility and proficiency, thus, it will support
highlighting many possible reasons in relation to current scenario of LOLC. Further
quantitative approaches purposely deal with mathematical capacities which are
unsurprisingly the conventional scientific approach in psychological studies. Additionally the
ideal methodologies of research studies can be recognized as pragmatic, hypotheticdeductive and experimental psychology. In contrast quantitative approaches aim to test
hypotheses that typically spotlight on identifying numerical differences between sets.
However in contrast, qualitative approaches deal with how people comprehend their life
experiences and events. These approaches engage broader academic analysis of
quantitative approaches where such scrutiny tends to indicate certain exertion with
naturalism. Continually naturalism is the purpose of the methods of the natural sciences in to
the study of social or psychological occurrences. Such qualitative methods characteristically
aim at scrutinize meaning, and has chosen for the investigation of issues which, for
principled issues, sensible problems which generally difficult to measure. Some are
presenting these approaches as dual hostility to one another; but they can also be used to
harmonize one another. This research is to be conducted based on positivism in order to
enhance the quality of data analysis and evaluation, where such will focus on improving the
understanding of the various imprecations arising from the gathered data. The ground rule of
positivism is that the commencement towards the sensibleness in approach to superior
precision and efficiency since, it will facilitate many possible reasons in relation to current
state of affairs of LOLC.

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The research strategy

In evaluation of data it is expected to demeanour this research based on the deductive
approach as it is enhancing the edifice of this research to greater extent. Further such
approach may allow researcher to simplify the analysed data such that realism in the
industrial environment can be explored in an competent and effective manner. Deductive
approach persuade researcher to extent the focus up to the ground level where conflict
handling measures are adequately highlighted. This research look for an explanation and
relationships between variables as well as reasons behind an industrial situation, researcher
has decided to use the deductive approach. Research involves carrying out a survey;
therefore quantitative data will be gathered.
Saunders et al (2002) point out that the case for a deductive approach, where researcher
would be able to abolish biasness in data analysis. Inductive method is where researcher
observe and logically establish a general proposition based on observed facts where
deductive method is arrive at a reasoned conclusion by logical generalization of a known
fact. (Sakaran, 2003).
This study would be carried out in deductive manner, extracting literature from literature and
proving those concepts which are in line or does not go in line with selected organizational
perspective. On the other hand deductive approach encourage researcher to extent the
focus up to the basic stage where employee conflict handling approaches are sufficiently
highlighted. Given that my research seeks an explanation and relationships between
variables as well as reasons behind an industrial situation, researcher has decided to use
the deductive approach throughout the research.

Justification of the Research Strategy of the Study

The dominant strategy used in carrying out this study is the survey strategy. In order to
justify the reasons behind selecting this particular research strategy as the central strategy, it
is significant to look at the research questions raised, the degree of control the researcher
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need to have over the research setting and also whether the researcher is focusing on a
modern-day or a momentous event.

Probability Sampling Methods

Random Sampling is the purest form of probability sampling. Each member of the population
has an equivalent and recognized chance of being selected. When there is a very bulky
population, it is often difficult or impossible to identify every member of the population, so the
pool of available subjects becomes biased.
Systematic Sampling is often used in its place of random sampling. It is also called an Nth
name selection technique. After the required sample size has been calculated, every Nth
record is selected from a list of population members. As long as the list does not contain any
concealed order, this sampling method is as good as the random sampling method. Its only
improvement over the random sampling technique is straightforwardness. Systematic
sampling is regularly used to select a specified number of records from a computer file.
Stratified Sampling is commonly used probability method that is superior to random
sampling because it reduces sampling error. A division is a subset of the population that
share at least one universal characteristic. Examples of stratums might be males and
females, or managers and non-managers. The researchers first categorize the applicable
stratums and their actual demonstration in the population. Random sampling is then used to
select a satisfactory number of subjects from each stratum. "Sufficient" refers to a sample
size large enough for us to be logically confident that the stratum represents the population.
Stratified sampling is often used when one or more of the stratums in the population have a
low incidence relative to the other stratums.

Non probability Sampling Methods

Convenience Sampling is used in exploratory research where the researcher is involved in
getting an economical approximation of the truth. As the name implies, the sample is
selected because they are expedient. This non probability method is often used during
preliminary research efforts to get a gross estimate of the results, without incurring the cost
or time required to select a random sample.
Judgmental Sampling is a common non probability method. The researcher selects the
sample based on verdict. This is usually and addition of convenience sampling. For
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example, a researcher may decide to draw the entire sample from one representative city,
even though the population includes all cities. When using this method, the researcher must
be confident that the chosen sample is truly representative of the entire population.
Quota Sampling is the non-probability equivalent of stratified sampling. Like stratified
sampling, the researcher first identifies the stratums and their magnitude as they are
represented in the population. Then, expediency or judgment sampling is used to select the
required amount of subjects from each stratum. This differs from stratified sampling, where
the stratums are filled by random sampling.
Snowball Sampling is a special non probability method used when the desired sample
characteristic is rare. It may be extremely difficult or cost prohibitive to locate respondents in
these situations. Snowball sampling relies on referrals from initial subjects to generate
additional subjects. While this technique can dramatically lower search costs, it comes at the
expense of introducing bias because the technique itself reduces the likelihood that the
sample will represent a good cross section from the population.

Methods of data collection

Data-collection techniques allow us to systematically collect information about the objects of
study (people, objects, phenomena) and about the settings in which they occur. Data
collection is an imperative aspect of any type of research study. Inaccurate data collection
can impact the results of a study and ultimately lead to invalid results. In other words, if data
are collected haphazardly, it will be difficult to answer the stated research questions in an
authentic manner. As to the research carried out by Onishi and Bliss (2006) respondents
were asked to envisage a situation in which they are involved in a conflict with a co-worker.
They were asked to indicate how much they agreed or disagreed with each of statements
describing how they might act to resolve conflict. For all items, responses were coded on a
five-point Likert scale, with of 1 (strongly disagree) and 5 (strongly agree).
According to Thomas, Tjosvold and Johnson, 1989 (as cited in Munduate, Ganaza, Peiro
and Euwema, 1999, p. 8) effectiveness was assessed using ten 5-point scales for
substantive and relational outcomes based on literature review These outcomes included (1)
the eventual number of conflict issues; (2) the gravity of those issues; (3) the propinquity to a
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solution; (4) the chances of recidivism; (5) the quality of concerted task performance; (6)
concentration given to areas of common ground; (7) eventual amount of mutual distrust.; (8)
ultimate amount of mutual understanding, (9) ultimate atmosphere, and (10) personal
association. These scales were combined into one measurement ranging from 1 (very
ineffective) to 5 (very effective). Accordingly, when conducting this study, there were several
data collection methods which were used as mentioned below.

Questionnaire
A structured questionnaire will be developed by the researcher to gather data from the
sample. The questionnaire is prepared by focusing on each and every variable where certain
number of questioned were assigned to address each of the variables highlighted in the
conceptual framework to gather data on mostly used interpersonal style and to assess their
effectiveness focusing on the above mentioned literature.
Interviews
A one to one in-depth interview will be carried out by the researcher using an interview
protocol with the heads of the organisations that are responsible for the HRM functions in
each of the three organisations in order to validate the data gathered by using the
questionnaires.

Testing - pilot survey

Questionnaire design is fraught with difficulties and problems. A number of rewrites will be
necessary, together with refinement and rethinks on a regular basis. Do not assume that a
researcher will write the questionnaire accurately and perfectly at the first attempt. If poorly
designed, the questionnaire will collect inappropriate or inaccurate data and good analysis
cannot then rectify the situation.
To refine the questionnaire, the researcher needs to conduct a pilot survey. This is a smallscale trial prior to the main survey that tests the question planning. Amendments to
questions can be also be made in the process. After making some amendments, the new
version would be re-tested. If this re-test produces more changes, another pilot would be
undertaken and so on. For example, perhaps responses to open-ended questions become
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closed; questions which are all answered the same way can be omitted; difficult words
replaced, etc.
It is usual to pilot the questionnaires personally so that the respondents' reactions can be
observed and amended appropriately if necessary. By timing each question, researcher can
identify any questions that appear too difficult, and he or she can also obtain a reliable
estimate of the anticipated completion time for inclusion in the covering letter. The result can
also be used to test the coding and analytical procedures to be performed later.
Accordingly the researcher will carry out the pilot survey on a selected group of executive
level individuals who were known to the researcher and got the questionnaire pre-tested
before giving it to the actual respondents of the study. There were some questions which
could not be understood by the respondents and after evaluating their suggestions
necessary alterations were done so as to get the reliable feedback from the informants.

Data analysis
Collected data will be analysed and evaluated using statistical software and which will be
interpreted in a prompt manner
Descriptive Analysis - Past researches on similar variables by Ruyter & Bloemer (1999) have
concentrated on use of mean and standard deviation. Descriptive analysis use in an
effective manner to analyze the demographic factors and the other data collected from the
questionnaires which would ensure the achievement of each objective in an acceptable
manner.
Simple Linear Regression - It is recognising that this method as suitable in data analysis of
the research based on the past researches which have used Simple Linear Regression
Analysis technique in their research in order to measure similar variables by Nguyen &
Leblanc (1996). Simple linear regression analysis is to spot relationships between each
dependant and independent variable.
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Correlation Coefficient - Correlation coefficient measures relationship between two variables

(Hanke & Wichern, 2006). Pearson's product moment correlation coefficient was used in
correlation testing, since data gathered through questionnaires which include interval data,
where past researches on similar variables by Wong (2004) with interval data, have also
used Pearson's correlation in analysis of the correlations between variables.

ETHICS
Researcher is well aware and accepts the general rules of ethics in conducting this research.
In order to ensure, researcher is protected against plagiarism and all data and information is
correctly referenced in both terms within the text and at the end. There are many reasons
exist for the importance of adhering to ethical norms in research. Fundamentally it is to
promote the aims of research, such as awareness, reality, and evasion of error. Additionally
it is required to promote the values that are necessary to mutual work, such as trust,
accountability, mutual respect, and fairness Most researchers want to receive credit for their
contributions and attempt to avoid situations where other steel such ideas and facts without
any acknowledgement.

GENERALIZATION
Research is mainly focus on LOLC, still researcher strongly believe that finding are
applicable to applicable to all, financial services organizations in both Sri Lankan and
suburbs. There is a much more attention toward financial institution by public which is never
experience before and on the other hand there is a greater possibility for financial sector
firms to become failure. International arena as well as in Sri Lankan context there are many
organisations that are experiencing bad outcome; Lehman Brothers - US, City Bank -US,
AIG Us and Europe. Under such a bad condition in financial sector no organization required
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to loose there position in the market due to human resources issues such as conflict. In that
dramatic turnaround there are many organisation who operate in same or similar culture
would be interested and make use of facts and finding of this research since researcher
addressing to a major common problem.

RESOURCE IMPLECATION
Researcher estimated that following cost to be incurred in conducting this research.
Data collection - 300
Statistical software 100
Editing 150
Stationary and other - 200
Researcher has estimated that minimum of 750 as the estimated cost of the research

(UK Essays)
https://www.ukessays.com/essays/management/effectiveness-of-conflict-handlingprocedures-management-essay.php

Collective Bargaining and Negotiation Process

What is Collective Bargaining?

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It is the process whereby employers and employee representatives negotiate agreements by

which terms and conditions of employment or related scenarios are determined for groups of
represented employees.

Objective of Collective Bargaining

To provide a right method of regulation of conditions of employment.
It also provides flexible means of adjusting salary wages and the current conditions of
employment.
It enhances mutual understanding and also defines the rights and obligations of each party.

The Extent of Collective Bargaining

It provides a framework within which the views of the management and unions are about
disputed matters that could lead to industrial irregularity. It can be considered within the aim
of disposing the causes of the irregularity. Its a joint order process dealing with the support
of the management in its relationships with the workers and co-workers as well as the
regulation of conditions of employment.

What is Bargaining Power?

Bargaining power is the power or rather the ability to induce the other side to make a
decision or take an action that would be unwilling to make otherwise.

Two Basic forms of Collective Bargaining

1. Conjunctive Bargaining

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This always comes from if the necessity is really needed if it is really required. Both parties
should come to some agreement does not matter, as so long as parties are agreeable to
continue.

2. Cooperate Bargaining
In here each party is dependent on the other party, and so if a party depends on B, the party
A has high chances of reaching their targeted goal by the support of party B.

Collective Bargaining Process

It consists of three stages:1. Preparatory Stage:- is assembling the bargaining team while monitoring the
environment, determine offers, determine time, place rounds, approvals by the top
management that is the board of directors. Do run on checks on Union actions, and also the
government agent participation is involved.

2. Negotiation Stage:- Win lose, Lose Win, Lose Win, Win Win, in this discussion
made reaching to an agreement and thus approval of the agreement leading to legalise the
agreement.

3. Administration Stage:- Agreement should be discussed with both parties and then
adjustments if are present should be amended and then the management and union should
request as per.

Bargaining Levels

1. National/Multi Employer Level

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This is done between representatives of employers of the industry or the particular sector.
This may provide only a basic outline of the conditions and trade unions must elaborate and
improve through their level of agreement and through the particular industry only.

2. Company Level
This is done by the representatives of the management, the unions or the staff associations
recognized by the company.

3. Domestic/ Enterprise Level

This level involves representatives of business unit management and local shop stewards.
Reflecting the decentralisation of industrial relations within organizations. Enterprise
bargaining may be autonomous and co-ordinated across all plans and units by taking place
within centrally set parameters.

Collective Bargaining Outcomes

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1. Substantive Agreements: - set out as agreed terms and conditions of

employment covering all pay, working hours and others.

2. Procedural Agreements: - the ways to do, when to do, what to do, how to
do according to rules to be followed during collective bargaining and
disputes.

3. Single Union Deals

4. New style Agreements

5. Partnership Agreements

6. Employee Relations Procedures

Preparation

Gathering information, data, codes and analysis.

The Negotiating Process

2. Identifying main issues.

3. Planning out a strategy and the tactics needed.

4. Preparing and meeting up.

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Interaction

Opening.

2. Presentations

Identifying the common ground

4. Acknowledgments

Final Offer.
A.

Closure

Follow up

2. Conclusion/final decision.

The Impact of Negotiation Strategy for a given Situation

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DHL India faces fresh accusations of 'consistent' industrial relations abuses

By Gavin van Marle

17/03/2015
Deutsche Post-DHL has come under renewed fire for its labour practices in India, after a
report commissioned by the International Transport Workers Federation (ITF) was released
yesterday accuses it of using tactics to stop employees joining unions and engaging in
collective bargaining.
The 28-page report, a copy of which has been passed to The Loadstar,alleges that despite
claims to the contrary, DHL India has consistently intimidated and discriminated against prounion workers; reclassified the employment status of a whole set of couriers into low-level
management to prevent them from joining a union; and followed a legal strategy designed
to see legal disputes tied up in Indian courts for years by using the protracted appeals
process.
Report author Professor John Logan, director of labour and employment studies at San
Francisco State Universitys school of business, conducted interviews with DHL workers in
Delhi, Mumbai, Kolkata and Chennai and discovered a pervasive sense of fear that exists
within the service centres when it comes to union activity, which affects both union members
and non-members.
A central claim of the report is that DHL India has restarted a policy of transferring workers
whom they suspect of attempting union activity to other centres, particularly between Delhi
and Kolkata.
Pro-union couriers in Delhi and Kolkata say they have repeatedly been threatened with
relocation a threat especially powerful for two reasons: first, workers have experienced or
heard of previous alleged punishment relocations and believe they could be the next victims;
second, in India forced relocations such as these can have a devastating impact on the lives
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of the workers concerned who are forced to lived hundreds of miles away from their families
Delhi and Kolkata, for example, are over 1,500 km apart.
In addition, many couriers claimed to have had their employment status changed, under
duress, from workmen, known under Indian employment law as R and S grade, to Hay
grade, which is low-level management and thus means the employees are ineligible to join
the DHL Employees Union.
Couriers at Delhi and Kolkata who were already employed at DHL (and Airfreight before
that) under workmen grades say they were told they must sign the letters converting them
to Hay grade or else there would be no job for them at DHL, the report says.
Despite the change in employment status, the couriers claimed their jobs had remained
exactly the same.
They did not take on any managerial, supervisory or administrative functions, but kept
performing the same courier functions that they had always performed loading, unloading
and delivering packages and parcels, which are the basic tasks performed by every courier
at DHL, whether they are classified as workmen or Hay grade.
And in those cases where DHL India has been legally challenged over these moves, Prof
Logan wrote that the company knows that if the conflict over the status of the employees
proceeds through the Indian legal system, and it appeals unfavourable decisions at every
step, the case could languish in the courts for decades. As for existing union members and
their representatives, union officials and committee members describe their current
relationship with management as absolutely terrible, and they say that DHL has no respect
but utter contempt for core labour rights at the company.
He added that the DHL Employees Union had outlined four main grievances against the
company.
First, the company refuses to recognise the right of Hay-grade couriers to join the union,
and refuses even to discuss this issue with the union. Second, the company has refused to
discuss the unions charter of demands from April 2013 and June 2014. Third, the company
has refused to pay last years annual increment and performance bonus to Hay-grade
couriers in Delhi. Finally, management has discriminated against pro-union couriers in
scheduling, leave, assignments and several other important areas of work.
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This is not the first time that DHL Indias labour relations practices have come under the
spotlight and at the beginning of 2014, DP-DHL head office in Bonn 2014 announced it
would launch a series of industrial relations assessments at the companys service centres
across the country.
However, Professor Logan wrote: It appears that not one single employee who has alleged
anti-union discrimination has participated in the companys official investigation into that
victimisation, which is a stunning omission.
(The Loadstar)
http://theloadstar.co.uk/dhl-india-faces-fresh-accusations-of-consistent-industrial-relations-abuses/

The Concept of Employee Participation and Involvement

What is Employee Participation?

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It concerns the extent to which employees, (often via their representatives) are involved in
the decision making process of the organization.

Information and Consultation

Some of the circumstances in which recognised trade unions are legally entitled to
information and consultation:

Redundancy
Health Safety
Collective Bargaining

The Influence of the EU on Industrial Democracy in the UK

Industrial democracy is an arrangement which involves workers making decisions, sharing
responsibility and authority in the workplace. In some European countries the structures of
Industrial Democracy have been in place for decades but the ideas behind Industrial
Democracy do not fit in well with the more aggressive relationship that has existed between
managers and unions in British companies.
European legislation encourages a much more prominent role for workers in a firms
decision making process.
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The new 'partner based relationships' where unions and management works toward the
same goals, exist in British industry because of the present EU influence. Now Unions are
perceived as an institution existing to educate management and employees the benefit of
involving workers in decision making process. As a result, employee involvement in decision
making has become functional, by this means impacting positively on workers performance
and enhancing their contribution to the success of the organization. Now works council
is made up of representatives of all departments within a firm. The role of works councils
is to discuss long term objectives of the business and to suggest strategies for improving the
future prospects of the business.
There is also an option for Worker Shareholders and Worker Partners, who have a stake in
the ownership of the business. Share holdings are often encouraged by the use of share
option and saving schemes. These schemes have seen some success in the UK, with some
company putting a great deal of emphasis on the importance of as many workers as
possible having a stake in the business. Although it is feared that the European Monetary
Union will increase wage dumping it is the practice of paying workers less than the standard
rate set by the industry. Some German company is already facing trials for such incident.

Methods used to Gain Employee Participation and Involvement in

the Decision Making Process in Organisations
There are many different mechanisms for employee involvement in the decision making
process in organisations.

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Attitude survey is one of the ways of involving employees by seeking their views on matters
that concerns them. It can be used to obtain views about processes such as job evaluation,
pay determination and performance management in order to assess their effectiveness and
the degree to which employees feel they are fair. It can also be used to elicit views about
personnel policies and how they operate in such areas as equal opportunity, employee
development, and health and safety. Attitude surveys are conducted through structured
questionnaires, interview and focus group discussions.
Quality circle or Improvement group is another method that can be used to overcome
problems which result from the top-down type of management where management ignores
the knowledge that exists at the other
end levels in the organization. Quality circles are small groups of volunteers who are
engaged in related work. It provides opportunity to tap the knowledge of employees, who
may know more about work problems which might be hidden from managers.
Thirdly, Suggestion scheme is a method that provides a valuable means for employees to
participate in improving the efficiency of the company. In this process employees have the
opportunity to tell management how they perceive the organization is running.
Lastly, through Direct Participation individual employees can be involved in decision making
processes that affect their everyday work routines.

Methods/Ways of Participation of Employees in DecisionMaking

Participation of workers in decision-making process has resulted in successful value creation
in many organizations. Though the extent to which employees should participate in
organizational decision making is still a matter of debate. Some say that workers union
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should participate with management as equal partners while some believe in restricted or
bounded participation, that is, participation of employees or workers to a limited extent.
However, there are a number of ways through which employees can participate in decisionmaking process of any organization.

Participation at the Board Level: Representation of employees at the board level is

known as industrial democracy. This can play an important role in protecting the interests of
employees. The representative can put all the problems and issues of the employees in front
of management and guide the board members to invest in employee benefit schemes.

Participation through Ownership: The other way of ensuring workers participation

in organizational decision making is making them shareholders of the company. Inducing
them to buy equity shares, advancing loans, giving financial assistance to enable them to
buy equity shares are some of the ways to keep them involved in decision-making.

Participation through Collective Bargaining: This refers to the participation of

workers through collective agreements and by deciding and following certain rules and
regulations. This is considered as an ideal way to ensure employee participation in
managerial processes. It should be well controlled otherwise each party tries to take an
advantage of the other.

Participation through Suggestion Schemes: Encouraging your employees to

come up with unique ideas can work wonders especially on matters such as cost cutting,
waste management, safety measures, reward system, etc. Developing a full-fledged
procedure can add value to the organizational functions and create a healthy environment
and work culture. For instance, Satyam is known to have introduced an amazing countrywide suggestion scheme, the Idea Junction. It receives over 5,000 ideas per year from its
employees and company accepts almost one-fifth of them.

Participation through Complete Control: This is called the system of selfmanagement where workers union acts as management. Through elected boards, they
acquire full control of the management. In this style, workers directly deal with all aspects of
management or industrial issues through their representatives.

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Participation through Job Enrichment: Expanding the job content and adding
additional motivators and rewards to the existing job profile is a fine way to keep workers
involved in managerial decision-making. Job enrichment offers freedom to employees to
exploit their wisdom and use their judgment while handling day-to-day business problems.

Participation through Quality Circles: A quality circle is a group of five to ten

people who are experts in a particular work area. They meet regularly to identify, analyse
and solve the problems arising in their area of operation. Anyone, from the organization, who
is an expert of that particular field, can become its member. It is an ideal way to identify the
problem areas and work upon them to improve working conditions of the organization.
Employees can participate in organizational decision making through various processes
mentioned above. However, there are other ways such as financial participation, Total
Quality Management, participation through empowered teams and joint committees and
councils through which they can contribute their share in making the organizations a better
place to work.

Impact of Human Resource Management on Employee

Relations
Employee involvement in decision making plays an important role in organizations because
it affects workers overall performance. On the other hand, the spirit of good attitude towards
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work by employees can be reduced if employee involvement in decision making is not taken
into consideration by management.
The discussion on human resource management policies and practices focused on hard and
soft versions of human resource management.
The hard version of human resource management emphasized on resource and adopted the
rational approach to managing employees as any other economic factor.

While the soft version of human resource management involves treating employees as
valued assets, a source of competitive advantage through their commitment, adapt ability
and high quality of skills, performance and so on
In order to identify the specific impact of human resources management on employee
relation, we must realize that the human resource of an organization consists
of management and employees both.
When management allows employees to be involved in decision making on matters which
concerns them and the organization, it increases the commitment of employees.
In other words such an approach by management wins the commitment of employees
towards organizational goals.
Thus, if the commitment of employees is won by management through employee
involvement in decision making, it increases job satisfaction, motivates employees to work
hard and reproaches employees to have good attitude towards work.
Job satisfaction, good attitude towards work and employees working hard will ultimately lead
to improved employee performance.
In turn, improvement in employee performance leads to achievement of major organizational
goals at the end of the day.

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