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ACCA Applied Knowledge · Business and Technology · Sources of conflict and techniques for conflict resolution

Which of the following is most likely to be a functional (beneficial) effect of conflict within a finance team?

Debating competing ideas that lead to a better solution is a functional effect of conflict, because constructive challenge improves decisions. Withholding information, falling morale and hostile, non-communicating groups are all dysfunctional outcomes that harm performance and relationships.

  1. ATeam members withhold information from each other to protect their position
  2. BStaff morale falls and absenteeism rises
  3. CCompeting ideas are debated, leading to a better solution for a reporting problemCorrect
  4. DTwo departments stop communicating and form hostile groups

Explanation

Functional conflict produces positive outcomes such as better ideas, challenge to assumptions and improved decisions. Debating competing ideas to reach a better reporting solution fits this. The other options describe withholding information, low morale and hostility, which are dysfunctional effects.

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