BRDR 2 (2) 2022 Article-4
BRDR 2 (2) 2022 Article-4
styles can help build trust and promote customer loyalty, leading risk mitigation (Berber et al., 2020). This study will investigate the
to better outcomes for the bank. According to Aqqad et al. (2019), impact of conflict management styles (integrating, accommodating,
when banks face conflict problems, it can negatively impact their avoiding, forcing) on employee motivation and banks performance
performance in several ways. Conflict can lead to a breakdown with in Bahawalpur region, Pakistan.
in communication, mistrust, decreased productivity, increased
turnover, and damage to the bank’s reputation. For example, if 2.1 Theoretical foundation of the study
customers are dissatisfied with the bank’s services or feel that Theoretical foundation of conflict management styles on
their complaints are not being adequately addressed, they may banks performance can be approached from different theoretical
take their business elsewhere, leading to a loss of revenue for the perspectives. One of the primary theories that can be used to
bank. Similarly, if there is conflict between employees, it can lead understand this relationship is the contingency theory (Fiedler, 1964).
to decreased productivity and increased turnover, as employees Contingency theory posits that there is no one best way to manage
may become demotivated or choose to leave the organization conflicts, and the effectiveness of different conflict management
altogether. Therefore, it is essential for banks to effectively manage styles depends on the context in which they are used. In the case
conflicts when they arise. This can involve establishing a structured of conflict management in banks, the context includes the size of the
conflict resolution process and by adopting conflict management bank, the nature of the conflict, the culture of the organization, and
styles (Parayitam et al., 2021). The purpose of this study is to find the external environment. Therefore, the effectiveness of different
the impact of different conflict management styles (integrating, conflict management styles will depend on these contextual factors.
accommodating, avoiding, forcing) on employee motivation and The choice of conflict management style depends on the nature of
banks performance in Bahawalpur, Pakistan. the conflict and the goals of the bank. However, regardless of the
style used, effective conflict management can lead to a positive
2. LITERATURE REVIEW impact on the bank’s performance. Thomas-Kilmann Conflict Mode
Conflict can arise in various settings, such as personal Instrument (TKI): The TKI theory proposes five conflict management
relationships, organizations, communities, and nations (Giao et styles, including competing, collaborating, compromising, avoiding,
al., 2020). Conflict management involves identifying the root causes and accommodating. The theory suggests that individuals tend
of the conflict, understanding the needs and interests of all parties to use a particular style in response to conflict based on their
involved, and finding a mutually acceptable solution. Effective personality and situational factors (Thomas & Kilmann, 2012). The
conflict management can lead to better relationships, improved study used the Rahim’s model for the conflict management. The
productivity, and positive outcomes for all parties involved. (Ye Rahim Organizational Conflict Inventory-II (ROCI-II) is a tool used
et al., 2019). Effective conflict management is essential for the to measure individual conflict management styles in organizational
success of banks. Conflict in the banking industry can lead to a settings (Rahim, 1983). The ROCI-II is widely used in research
breakdown in communication, mistrust, decreased productivity, and has been validated in various cultural settings. The inventory
increased turnover, and damage to the bank’s reputation. All these has been found to be reliable and valid in measuring conflict
factors can negatively impact the bank’s performance in several management styles in organizational settings. The study employed
ways, including loss of revenue, decreased productivity, reputation the four management styles (integrating, accommodating, avoiding,
damage, and increased risk (Hussein et al., 2022). On the other forcing) as independent variables to investigate their impact on
hand, effective conflict management can have a positive impact employee motivation and banks performance. The study also tested
on bank performance. Banks that are able to manage conflicts the influence of employee motivation on banks performance. Fig 1
effectively can benefit from improved customer satisfaction, displays the proposed research model.
increased employee engagement, reputation enhancement, and
2.2 Integrating or ignore conflicts that arise within their team or organization,
The integrating style of conflict management is a collaborative rather than addressing them directly. Managers who adopt this
approach where both parties work together to find a mutually style tend to prioritize maintaining harmony and avoiding tension
beneficial solution to their conflict (Alam, 2021). When it comes to the and discomfort, even if this means not fully addressing issues that
banking industry, the integrating style of conflict management can may arise. Avoiding conflict management style can significantly
have a significant impact on performance. By using this approach, impact the performance of banks. In a banking environment,
banks can avoid costly legal battles and negative publicity that can where conflicts can have significant financial and reputational
damage their reputation (Aqqad et al., 2019). There are some ways consequences, avoiding conflict can lead to unresolved issues,
in which the integrating style of conflict management can positively lack of accountability, and delays in decision-making (Al Khajeh,
impact banks’ performance including improving customer relations, 2018). This can ultimately impact the bank’s performance, resulting
reducing employee turnover, avoiding legal costs, and enhancing in financial losses, regulatory penalties, and reputational damage.
organizational culture (Islam & Rimi, 2017). This hypothesis Additionally, avoiding conflict can hinder innovation and growth,
suggests that using the integrating conflict management style as employees may be hesitant to suggest new ideas or take
can lead to a range of benefits that ultimately improve the bank’s risks (Caputo et al., 2018). Avoiding conflict management style
overall performance. By working collaboratively to find mutually can significantly impact employee motivation. When managers
beneficial solutions, banks can avoid negative consequences such avoid conflict, they tend to ignore or downplay issues, which can
as customer dissatisfaction, employee turnover, and legal costs. create a culture of ambiguity, uncertainty, and mistrust. This can
Instead, they can foster a positive work environment that promotes lead to a decrease in employee motivation and job satisfaction, as
teamwork, productivity, and a strong organizational culture. The employees may feel disengaged, undervalued, and unsupported
integrating conflict management style can have a positive impact (Asrar-ul-Haq & Kuchinke, 2016). Additionally, unresolved conflicts
on employee motivation in several ways. This style emphasizes can impact employee performance, productivity, and collaboration,
collaboration and mutual problem-solving, which may result in a further impacting their motivation (Ho & Yeung, 2021). Therefore,
happier workplace and more job satisfaction. Also, staff members the following hypothesis are proposed.
are more likely to be inspired to work harder if they feel their issues
are acknowledged and valued (Noermijati et al., 2019). Therefore, H3a: There is a significant impact of avoiding style on organizational
the following hypothesis are proposed. performance
H3b: There is a significant impact of avoiding style on employee
H1a: There is a significant impact of integrating style on motivation
organizational performance
H1b: There is a significant impact of integrating style on employee 2.5 Forcing
motivation The forcing style is a competitive approach where one party
tries to win or dominate the conflict, regardless of the other party’s
2.3 Accommodating needs or concerns (Winardi et al., 2022). Managers who use the
Accommodating conflict management style is a cooperative forcing style tend to prioritize their own goals and objectives over
and conciliatory approach to conflict resolution in which one party those of others and are often seen as aggressive or confrontational
willingly gives up their own interests or positions in order to satisfy (Zhao & Liu, 2021). The forcing conflict management style can
the interests or positions of the other party involved in the conflict significantly impact the performance of banks. The forcing style can
(Khan et al., 2015). The accommodating conflict management lead to negative consequences such as damaged relationships,
style both positively and negatively affects the bank’s performance, resentment, and a lack of cooperation. In a banking environment,
depending on the situation (Liu et al., 2020). On the positive side, where trust and collaboration are critical, the forcing style can
accommodating can help maintain positive working relationships undermine teamwork and hinder the development of effective
among employees and with customers. In a service industry such solutions to complex problems (Aqqad et al., 2019). Additionally,
as banking, this may result in more client retention and satisfaction, the use of the forcing style can damage the reputation of the bank
which will enhance the performance of the bank.. However, if and create legal and regulatory risks (Dhammika & Edirisinghe,
accommodating is used too frequently or in situations where it is not 2018). The forcing conflict management style can significantly
appropriate, it can have negative effects on a bank’s performance impact employee motivation. When managers use the forcing
(Gunkel et al., 2016). This study proposes that accommodating style, employees may feel disrespected, undervalued, and
style significantly impacts the banks performance. The study also unsupported. This can lead to a decrease in employee motivation
proposes that accommodating style can be a positive approach and job satisfaction, as well as lower productivity and collaboration
to employee motivation. If an employee has a minor issue that is (Popli & Rizvi, 2016; Sethibe, 2018). Additionally, the use of the
important to them but not critical to the overall success of the team forcing style can create a culture of fear, where employees are
or organization, accommodating can help build trust and maintain hesitant to express their opinions or suggest new ideas, further
positive working relationships. This can lead to increased employee impacting their motivation (Musinguzi et al., 2018; Rehman et al.,
motivation and engagement (Zhang et al., 2018). 2018). Thus, the following hypothesis are proposed.
H2a: There is a significant impact of accommodating style on H4a: There is a significant impact of forcing style on organizational
organizational performance performance
H2b: There is a significant impact of accommodating style on H4b: There is a significant impact of forcing style on employee
employee motivation motivation
5. DISCUSSION AND CONCLUSION motivation. Although a forcing style may improve organizational
performance temporarily, it may have severe consequences for
The purpose of this research is to find out how conflict
other employee outcomes in the long run. The fourth research
management styles affect the performance of the Bahawalpur
question of the of the present studies deals with the impact of
banking industry in Pakistan. The relationships between the
avoiding style on organizational performance. According to
variables were measured with structural equation modeling
the empirical results avoiding style of conflict management
(SEM) using SmartPLS. The first research question of the of
is significantly related with the organizational performance.
the present studies deals with the impact of integrating style on
Concerning with employee motivation which has significant
organizational performance. According to the statistical analysis effect on organization performance.
integrating style of conflict management has insignificant impact
on organization performance but significant impact on employee There is a growing body of research that suggests that conflict
motivation. The present findings are consistent with some prior management styles can have a significant impact on employee
studies (Olukayode, 2017; Awan & Saeed, 2015). Keeping in motivation and organizational performance. Integrating style
view the managers’ interest and subordinates interest leads involves finding a solution that meets the needs of all parties
to the effective resolution of conflict that is necessary for the involved, which may increase employee motivation and job
smooth organizational functioning. satisfaction. Accommodating style involves accommodating
the needs of others while disregarding one’s own needs,
The effect of accommodating style on organizational which may result in lower motivation and job satisfaction.
performance is the second research issue addressed in the Avoiding style involves withdrawing from the conflict and not
current investigations. Empirical evidence shows that an addressing it, which may create tension and dissatisfaction in
accommodating style of conflict management improves the the workplace. Forcing style involves using power and authority
employee motivation and organization performance as well. to win the conflict, which may lead to reduced motivation and
These results are in line with (Ajike et al. 2015; Osabiya, 2015). employee morale. Therefore, it is important for organizations
Both studies showed a substantial effect on organizational to promote and encourage the use of these styles to create a
performance. Forcing style conflict management has substantial positive work environment that fosters high levels of employee
effect on the organizational performance and employee motivation and job satisfaction, leading to better organizational
performance. Digitalization can have a significant impact on Al Khajeh, E. H. (2018). Impact of leadership styles on organizational
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About Authors
Shoaib Imtiaz
Nafeesa Hassan