Gibson et al define functional conflict as a confrontation between groups that enhances and benefits the organization's performance. For example, two departments in a hospital may be in conflict over the most efficient and adaptive method of delivering health care to low-income rural families. The two departments agree on the goal but not on the means to achieve it. Whatever the outcome, low-income rural families will probably end up with better medical care once the conflict is settled. Without this type of conflict in organizations, there would be little commitment to change and most groups would probably become stagnant. Thus, functional conflict can be thought of as a type of 'creative tension'.
Dysfunctional Conflict
Gibson et al define dysfunctional conflict as any confrontation or interaction between groups that harms the organization or hinders the achievement of organizational goals. Management must seek to eliminate dysfunctional conflicts. Beneficial conflicts can often turn into bad conflicts. In most cases, the point at which functional conflict becomes dysfunctional is impossible to identify precisely. Levels of stress and conflict that may help create a healthy and positive movement toward goals in one group may prove extremely disruptive and dysfunctional in another group (or a different time for the same group). A group's tolerance for stress and conflict can also depend on the type of organization it serves. Automobile manufacturers, professional sports teams, and crisis organizations such as police and fire departments would have different points where functional conflict becomes dysfunctional than would organizations such as universities, research and development firms, and motion picture production firms.
Dysfunctional conflict can have a negative impact on the performance of individuals, groups, and organizations.
Conflict and Organisational Performance
Conflict may have either a positive or