The Impact of Conflict on Team Morale and Productivity

Conflict within a team can have profound implications for both morale and productivity. A study published in the Journal of Applied Psychology found that prolonged exposure to workplace conflicts can lead to increased stress levels and decreased productivity among employees.

When left unchecked, it can undermine trust, increase stress levels, and create a negative atmosphere that hampers the team's ability to deliver. However, when managed effectively, conflict can serve as a catalyst for growth, foster creativity, and lead to improved problem-solving skills. BUT  conflict can also lead to increased innovation when managed effectively, according to research in the Journal of Organizational Behavior.

In this article, we'll explore the visible and tangible effects of conflict on team dynamics and offer suggestions for maintaining team morale and productivity in the face of disagreements.

The Toll on Morale

  • Erosion of Trust: Conflict can erode trust among team members, making it difficult for them to rely on one another. When trust is damaged, collaboration becomes strained, affecting overall morale. Research by the Society for Human Resource Management (SHRM) underscores the critical role of trust in team morale and productivity. Teams with higher trust levels tend to manage conflicts more effectively and maintain better morale.

  • Increased Stress and Burnout: Ongoing conflicts can create a stressful work environment, leading to burnout among team members. The constant tension and unresolved issues can take a toll on their mental and emotional well-being.

  • Negative Atmosphere: Conflict often fosters a negative atmosphere within the team. When team members dread coming to work due to ongoing disputes, morale can plummet. Who feels excited to show up (in person or in a virtual environment) when it feels like there’s a grey cloud looming over them?

  • Reduced Job Satisfaction: Team members caught in the crossfire of conflicts may experience reduced job satisfaction. It becomes challenging to find fulfillment in their work when they are constantly embroiled in disputes. According to conflict statistics published by Pollack Peacebuilding, an average of 485,800 employees resign each year as a result of conflict in the UK.

The Impact on Productivity

  • Slowed Progress: Conflict can lead to delays as team members divert their attention from their tasks to address issues. Missed deadlines and decreased project efficiency are common consequences.

  • Stimulating Creativity: Surprisingly, conflict can stimulate creativity. When team members with diverse perspectives clash, it can lead to innovative solutions and fresh ideas.

  • Learning Opportunities: Resolving conflicts presents learning opportunities. Team members are forced to understand different viewpoints and develop problem-solving skills in the process.

  • Process Improvement: Conflicts often arise due to inefficient processes or procedures. Addressing these conflicts can prompt the team to reevaluate and improve their workflows.

Suggestions for Addressing Conflict's Impact on Morale and Productivity

  1. Early Intervention: Address conflicts as soon as they arise. Timely intervention prevents conflicts from escalating and causing more significant disruptions. If you’re noticing some of the signs above, chances are you’ve waited long enough. It might be time to reach out to a neutral party to help explore and resolve the conflict(s).

  2. Effective Communication: Encourage open and honest communication within the team. Create an environment where team members feel safe sharing concerns, feedback, and suggestions. Note: we’re talking about creating psychological safety, and it’s not something you can flip on like a light switch. When done early in team formation, though, it supports open and honest communication.

  3. Conflict Resolution Training: Equip team members with conflict resolution skills through training programs. These skills help individuals navigate disagreements constructively.

  4. Leadership Involvement: Leaders should establish expectations for how conflict gets handled at their companies and on their teams. This guidance can help create a system for handling disputes and set a positive example for the team. If you are an executive leader or a human resources professional who needs help establishing how your company handles conflict, schedule a complimentary consultation to get started.

  5. Team-Connecting Activities: Organize team-focused activities and discussions to strengthen bonds among team members. A stronger sense of camaraderie can reduce the likelihood of conflicts. Even a brief conversation tool like ONE EIGHTY’s Work Style Q&A can do the trick to start!

  6. Regular Feedback: Implement a feedback system where team members can have constructive conversations. Feedback is a key to addressing issues before they become major conflicts.

By addressing conflicts early, promoting open communication, and equipping team members with conflict resolution skills, organizations can minimize the negative consequences of conflicts. 

Moreover, conflicts can serve as opportunities for growth, creativity, and improved problem-solving when managed constructively. In this light, organizations can turn conflicts into catalysts for positive change and foster a more resilient and productive team environment.

If you are looking to equip yourself and your team with the skills and knowledge to navigate conflict productively, check out how ONE EIGHTY can help you Build Conflict Skills. ONE EIGHTY’s workshops, team exercises, and one-on-one coaching are designed to solve existing problems and create systems your team can consistently employ to make conflict constructive.