ESS phase 4 DB

ESS phase 4 DB

Introduction

Conflicts can arise due to several reasons, as individuals have an inevitable approach for conflict. The difference in beliefs, opinions, attitude perspectives, culture, values, norms and abilities result in arising conflicts. Conflicts are common in organizations, as many people are working together and they might be reasons for disagreement and conflicts among them (Hocker & Wilmot, 1995). The organizational conflict is a three dimensional concept in which different parties interacts with each other. This interaction helps them in making clear their goals and structure of the overall organization, which might differ from individual to individual and department to department. These differences promote conflicts, and can affect the individuals present in the organization as well as the environment of the organization.

Conflict among Stakeholders

Some of the problems faced by Unilever in the past few years relate to the abysmal economic conditions around the world. Since the FMCG market is one that is highly sensitive to such economic conditions, a large part of the organization is affected. The rapid fluctuation in the cost of raw material in the past five years has been a source of constant upheaval for the organization, factors such as the rush in palm oil or augmentation in prices becomes tantamount to Unilever. The profitability of Unilever is highly affected by the high raw material costs, presenting a major risk.

The year 2008 was a bad year for the company as it had to recall a huge quantity of powdered milk from Hong Kong and Macau that was found to contain traces of pesticides. In 2011, inspection of Lipton tea in China revealed that it contained traces of toxins. Unilever was quick in clearing the shelves. This issue came up again in 2012 when Lipton tea found in supermarkets of Beijing failed safety ...