Metro Services Conflict Issues - Essay Example

? M5A1 M5A1: Metro services case study Introduction Metro Services provides human resources to numerous companies. Although the company appears to provide temporal (temp) personnel, the company perceives itself as a provider of temporary specialists serving in a full time position for at least six months. The company has well qualified and diverse portfolio of human resources that can easily adapt to new working environment. However, a letter written by a former employee to the other colleagues has occasioned a looming conflict. The conflict issues revolve around the nature of the contracts, the opportunities for promotions and sharing of bonus income made by the company. There conflict scenario entails several positives (for resolution) and negatives (for resolution) in favor of management group and in favor of the employee group. Some positives for resolution that are in favor of management include the high experience and training that is provided to the employees to build performance review systems and information systems. Accordingly, the low turnover, the visionary leadership of the three business partners and fair and comparable salaries will also help Metro services in resolving the conflict. In addition, 92 percent of employees assert that the owners have positive attitudes towards specialists and while 78 percent assert agree that Metro services offers opportunities to work in various companies. Some negatives for resolution that face the management include the inability to allow the specialists an opportunity in negotiating fees with the contracting companies, and lack of promotion opportunities in the company. In addition, the failure to hold employee/owner meeting for the past three years is a challenge for the management group in resolving the conflict. The management will also be tasked with explaining how excess profits have been utilized in enhancing the welfare of the temporal specialists and the importance of frequent calls to contracting companies on the progress of the temporal specialist and requirement of performance information above that was pre-agree in the employment contract with contracting companies. Some positives for resolution in favor of employee group include the high level of education and training and diversity in the employee group. Accordingly, employees are allowed to demonstrated individual performance and 64 percent claim that the company offers job security. In addition, 80 percent of employees perceive the salary as fair and comparable and 74 percent assert that specialist positions allow them to utilize their knowledge and skills. Some negatives that may hinder employees in cooperating during the conflict resolution include lack of adequate opportunities for promotion, the confrontation with Mr. Baker that happened in 1999 and inability of the management to belief that there is a union movement by employees since it will be detrimental to all concerned. Some of the points of contention that relate to the positives and negatives include the possibility of implementing a bonus sharing system for the excess profits earned by the management. Some positive points of contention that may create conflictual conditions include the job security since some employees perceive six months full time position as temporal position that does not guarantee any job security. Another contention is the intention of employee to create a union since the management group does not believe whether such movements are necessary when the salaries and additional benefits like 401K securities are fair. The last contentious issue is the monitoring of contracting companies and requirement for a higher performance level than agree with contracting companies. The refusal of temporary specialists to participate in negating fees with contracting companies will also be contentious. Time phased strategy of addressing the conflict The management must analyze the employee survey and identify the source of conflict in the organization. The management must identify any barriers in communication channels and factors that have led to inability to hold employee/management meetings for three years. Accordingly, the management must identify the reasons why employees want to form a union and opportunities of promotion that available in the organization (Rahim, 2011). The next step will entail establishing urgency for resolution of the conflict and contentious issues through highlighting the negative harm that the conflict may lead to the organization (Deutsch, Coleman& Marcus, 2006). For instance, the conflict may lead to go slows, decline in profitability and poor relationships with management (Donohue & Kolt, 1994). The third step in the strategy will entail creating a favorable environment for resolving the conflict through enhancing the management trust and cooperation, building social cohesion and accepting blame for some mistakes committed in the past (Deutsch, Coleman& Marcus, 2006). The management must be willing to clarify how it has utilized profits, the procedure of contracting with companies and reasons for requirement of a higher performance than agreed with contracting companies. The fourth stage will entail brainstorming for viable resolutions such as allowing employees to form a union, implementing a profit sharing system and allowing employees to participate in negotiating for fees with contracting companies (Donohue & Kolt, 1994). The fifth stage will be evaluation of conflict resolution alternatives according to both employee interests and organizational interests. The sixth stage will involve implementing the solution while the seventh step will entail enhancing the organizational values, norms and beliefs (Deutsch, Coleman& Marcus, 2006). The last step will entail evaluating the outcomes of the resolution and any short-term wins that may facilitate attainment of overall organizational objectives (Rahim, 2011). Recommendations for change and resolution The management group must facilitate dialogue through implementing open communication channels and holding regular meetings with employees. Employees must have a channel of airing grievances and must participate in negotiating the contractual fees with the companies. The company must also offer opportunities for promotion depending on knowledge, skills and experience of the employee. The management must adhere to pre-agreed performance benchmarks and contractual terms in order to ensure fairness, mutual trust and respect in the organization. The management must not resist any attempts of forming a union since collective bargaining agreements will safeguard the interests of both the company and employees. The company must consider offering long-term contracts and additional job tenure. Conclusion Metro Services must urgently address the conflict situations facing the company. The temporal employees want to form a union that will safeguard their interests. The management group and employee group must cooperate in ending the conflict. The two groups must negotiate with utmost faith and trust. The management must hold regular meetings and ensure employees have channels of airing their grievances. Accordingly, the company must adhere with contractual terms and involve employees in negotiating the fees in order to minimize mistrust with management group. References: Deutsch, M., Coleman, P.T., & Marcus, E.C. (Eds.). (2006). The handbook of conflict resolution: theory and practice. (2nd ed.). San Francisco: Jossey-Bass. Donohue, W.A & Kolt, R. (1994). Managing interpersonal conflict. New York: Sage. Rahim, M.A. (2011). Managing conflict in organizations. New Jersey: Transaction. Read More