Incentive compensation blog

Managing team conflicts: the importance of managerial courage

Written by Hervé de Riberolles | November 25, 2024

Preventing conflicts and resolving them the right way at the right time is a crucial skill expected of any good manager. This skill requires demonstrating managerial courage, even in the most critical situations. But what exactly is managerial courage, and why is it essential for managing conflicts within teams? Let’s explore some answers and advice.

The three golden rules of managerial courage

Neither authoritarian, omnipotent, nor tyrannical, a true manager is a figure of benevolent authority who inspires respect and trust within their team. Effective management requires courage, which is at the core of managerial decision-making throughout the manager’s mission. This courage is rooted in three golden rules:

  1. Honesty: A courageous manager does not shy away from addressing difficult topics or pointing out problems. Their team knows they can be trusted because they do not ignore problematic situations or avoid tensions. Instead, they openly discuss issues that could harm team cohesion or employee performance.

  2. Firmness: A manager must make unpopular decisions when they are fair and serve the interests of both the team and the company. They do not seek to be liked but to guide their team effectively, even when it requires making tough choices. Without being tyrannical, the courageous manager explains their decisions with clarity and tact, persuading even the most skeptical team members.

  3. Consistency: A manager sets a course for their team and does not waver under pressure, fear, or an inability to face a crisis. To achieve their goals, they deploy every necessary resource while safeguarding employee well-being and productivity.

By adhering to these principles, which form the foundation of managerial courage, a manager can effectively handle crises and conflicts between team members. These moments of tension, which are often unavoidable, must be addressed with intelligence, respect, and a methodical approach to find solutions that satisfy all parties involved.

Effective conflict management: a core managerial skill

The term "manager" originates from the Old French word mesnager, meaning "to take care of." Taking care of others, ensuring no one is neglected, and addressing every issue that arises are central values of a manager. As a leader, the manager should be perceived by their team as a point of reference in times of conflict. More importantly, a manager must be vigilant in identifying risks that could undermine team cohesion.

Once a conflict is identified, the manager must intervene to resolve it and prevent escalation that could lead to harassment, undue pressure, or other unacceptable behaviors that harm employee well-being and hinder collective performance. Managerial courage requires knowing when to make firm decisions and when to guide employees toward resolving their conflicts.

Since fostering team autonomy is a key goal, some conflicts can be resolved by improving communication between team members. By encouraging better dialogue and helping resolve minor disputes, the manager shows trust in their team and can focus on addressing more serious conflicts or larger challenges.

Managerial courage also demands that no solution be considered final. Even after a conflict is resolved, the manager must continue monitoring the situation to ensure tensions do not resurface. Regular check-ins with employees are essential to assess their well-being, sense of belonging to the team and company, and their trust in their manager.

Compensation management: the importance of differentiation

Compensation is often a source of tension and conflict within teams. Incentive compensation and the awarding (or withholding) of bonuses tied to established goals are critical areas for managers, as they reflect the manager’s ability to recognize and differentiate team members' contributions.

A courageous manager rewards employees based on their actual performance rather than distributing rewards uniformly. They acknowledge individual achievements and allocate bonuses accordingly. This approach requires significant courage, as it involves explaining and justifying why one employee received a higher bonus than another. Conversely, avoiding conflict by giving everyone the same amount risks dragging the team’s overall performance down.

When high-performing employees receive the same rewards as those who underperform, the former may lose motivation, seeing their efforts go unrewarded. The motivational power of incentive compensation is thereby diminished. Differentiating team members through compensation requires accurately evaluating their skills and abilities, setting reasonable goals, and justifying these distinctions when bonuses are distributed. While this approach demands both courage and rigor, employees will appreciate knowing their manager can fairly identify top performers and maintain equity in all circumstances.

 

A manager must be unafraid to displease, unwilling to overlook problems, prepared to justify their choices, and ready to face the most challenging conflicts. These qualities do not make a manager authoritarian; rather, they create the aura of a benevolent, reliable, and steady leader, essential for the growth, productivity, and performance of their teams.