A thesis submitted to mba program of azerbaijan state oil and industry university by adila bahmani

3.2. The solution to problems in the management of the non-governmental organizations

After the Second World War, Japan has become one of the important issues for every country to be a leader in many industries. Although Japan has called it a "Japanese miracle" to solve so many problems inherited from the war, the reasons for this development are simple and understandable. The most important of these is the Japanese management system and generally the Japanese approach to management (Fowler, A. 1997).

Towards the end of the 20th century, Japan's management style, which has a specific weight in the development of the Japanese economy, has slowly attracted the attention of western experts. American experts like W. Edwards Deming, Joseph Juran, Armand Fiegenbaum have long studied this country's governance system in Japan. As a result of the study, Japanese managers have seen the management concept very different from the western management system. In 1974, Richard Johnson and William Ouchi began their article titled "Made in America: Under Japanese Management" in Harvard Business Review magazine:

At the American factory in Atlanta, 35 American women work on the collection line. These workers are engaged in collecting the transistor on the collection line. In another factory in Tokyo, 35 Japanese women work on the collection line and collect the transistor. But the only difference between these two factories is that; Japanese workers have a full 15% productive work compared to their American counterparts.

American and Japanese society has different social features. Ouchi witnessed the sharp differentiation of some of their features from the American companies' management system while examining the management style of these companies during their consulting at the Japanese companies operating in the US. For example, unlike American companies, life insurance in Japanese companies, employees' career advancements are slow, consensus-based decision-making, and shared responsibility.

This style of control has been formed over time as a result of values ​​derived from Japanese culture. Loyalty, patience in Japanese culture, universality in work, and collective responsibility as a society have influenced the management style of the companies managed by the Japanese system, and these features have become a common philosophy of companies over time (Walton, R. E.; 1985).

In the West, especially in the American society, the existence of completely different values ​​ (such as impatience, individualism, specialization) makes it impossible for the Japanese government to appear to be effective in the American companies as it appears to be at first glance. However, some American companies (Hewlett-Packard, Dayton-Hudson, Intel) have successfully implemented the Japanese management system, resulting in a system that combines the values ​​of both societies. Ouchi Theory Z: How Can American Management Meet Japanese Challenge? In his book The Z Theory: How the American Governing System Can Meet Japanese Competition, this new phenomenon explains Z theory. In fact, Z theory is a version adapted to the American style of the Japanese governance system.

Z-type management has long-term employment opportunities, although it does not have lifelong employment in Japanese management. That is, businesses can provide their employees with jobs until they retire. This issue depends on the company's prestige, its success, and its human resources policy. Huge American companies such as CPA, HP and GE are making a successful example in this regard.

Z type management does not support individual decisions. Instead, it is a combination of decision-making and managerial style with project groups created in the same way as in Japanese businesses (Walton, R. E.; 1985).

This form of governance, like the Japanese management style, is based on a bottom-up, clerical and decision-making form. In the United States, enterprises have "I" culture, and in both cases, in case of success and failure, only managers of the department and executives of the project team are held accountable.

Slow Approach and Rise Applies Today in Many Successful American Companies CPA and HP do not have the possibility of speeding up and upgrading. To get to a certain floor, you need to have a certain career, experience.

Indoor control systems can be used in the form of the Z style management adapted to American style. However, Americans choose to use two systems at once because they are unable to give up on their continuous control and written performance assessment systems.

In Z type control, the vertical and horizontal rotation system (flattened displacement of personnel working in a department) is applied. However, this is not the case with all Japanese departments, but technical departments, for example, production, research and development and technical oversight, including marketing, accounting, finance and personnel departments, also apply rotation applications to implement medium-scale specialization and upgrading systems they carry. Ouchi has also demonstrated examples from successful American companies on this subject (Walton, R. E.; 1985).

Personnel working on the Z approach is integrated with all aspects of the environment as well as with the Japanese management system. For example, employees are selected for months and year employees, employees are rewarded with awards at the event, as well as sports centres or stadiums are rented at the date of establishment of the company, and workers join these events with all their family members and relatives, take part in various competitions. Thus, the feeling of being employed instead of the workers' self-employed and independent feelings is further strengthened. Thus, it is possible to say that the employee has taken over the firm more and, as a result, the employee is more creative, participant and productive.

There are several effective ways to handle conflict. They can also be subdivided into two groups. These are structural and interpersonal methods. As we have noted, leaders should not consider the cause of the conflict situation as a simple difference in character. Of course, this difference can be the cause of conflict in a specific situation. However, the cause is only one of the factors that create conflict. Each leader should start with the actual reasons for the conflict and then use appropriate methods. The probability of conflict can be reduced by using the conflict resolution method.

Structural methods. There are four methods of conflict resolution. These are the clarification of job needs, use of co-ordinated and integrated methods, the use of shared organizational goals, methods of using a rewarding system.

Clarification of job needs. One of the best ways to avoid dysfunctional conflict is to determine the outcome of each employee and department. The level of results to be achieved here should be clearly defined in the names, parameters, powers and responsibilities of those who need to receive different information, as well as policies, rules and procedures. The leader also clarifies all these issues not for himself, but for those who are with them, that they know exactly what to do in each situation.

Coordinated and integrated mechanisms. Another way to resolve a conflict situation is to use co-ordinated mechanisms. One of the most widespread mechanisms is the chain of commands. As the representatives of Veberin and the administrative school say many years ago, the establishment of the authority hierarchy regulates the interaction of people, regulates decision-making and information flow in the organization. If two or more subordinates come to a disagreement on a particular issue, they can apply to their general manager to decide to escape the conflict. The principle of self-reliance facilitates the use of hierarchies in conflict situations because those who are subordinates know who will follow their decisions.

The tools of integration such as the hierarchy of management in conflict resolution, the use of interconnected functions, interactive groups, target groups, and inter-departmental meetings are very useful. Studies have shown that organizations that support integration at the required level are more effective than other organizations that do not do so. For example, if there is a conflict between each other interacting with one another, the sales and production department can solve the problem by creating intermediate services that coordinate the volume and sale of orders. This service, linking the sales department and the production department, solves the issues of supply and demand, sales and delivery schedules.

Common organizational goals. Determining common organizational goals is another structural method of conflict resolution. Efficient achievement of these goals requires the joint efforts of two or more employees, the group and the department. The ideas of this high purpose - will lead to the achievement of common goals of all participants' power. For example, three-time employees of the production department are engaged in conflict. In order to avoid this conflict, it is desirable to set general goals for the production department, not for each turn. Similarly, the specific and precise objectives for the whole organization will allow department managers to make decisions that will serve the interests of the whole organization, not just for their own departments. From the point of view of the organization, high principles and values ​​reveal the complex objectives. The organization has overall goals to minimize the likelihood of conflict in order to achieve greater coherence in the functioning of the whole staff.

Let's look at such an example. Professors Pascal and Atos, who set out McDonalds’s most complex goals, say: McDonald's, who created the empire of fast-serving restaurants, focused not only on the quality but also on quality and market share. The management of the company believed that they actually serve Americans with limited resources. This "social mission" led to more focus on operational goals. Under the McDonald's brand, the chefs and the waiters in the venture look like a good example of these goals and serve the hard and durable quality control system. If high standards serve the community, it will be easier to follow them. Structure of the reward system. We can count on rewarding as a way to resolve the conflict. People who contribute to complex organizational goals, helping other groups of the organization, who are integrated into the decision-making process, should be rewarded with gratitude, awards, appointments and promotion. However, the rewarding system should be set up so that it does not cause unintentional behaviour of other people and groups. For example, if the head of the sales department is simply rewarded for the volume of the product sold, that would be contrary to the level of revenue. The head of this department can achieve sales volumes by offering big discounts, thereby reducing the company's average revenues.

There may also be conflicts between the sales office and the credit department. By increasing the sales volume, the sales office may go beyond the limits set by the credit department. In such a case, the credit department may deepen the conflict and deprive the sales office of the commissions.

Finally, it should be noted that proper coordination of the rewarding system proves to people that achieving common goals is the solution to conflicts in the interests of the leadership.

The methods of solving interpersonal conflicts are as follows. It should be noted that the methods of resolving interpersonal conflicts are in line with the behaviour of people in the conflict. These are the Privilege or Conflict, Compromise, Cooperation and Solution.

1. A privilege or disagree - Being unwilling to engage in a conflict resolution is to refrain from defending her interests, the conflict is a challenge to the situation. This style draws attention to the fact that man is trying to escape the conflict. As Robert Blake and Jane Mutton point out, "this is not to fall into situations where conflicts arise, not to interfere with conversations that can lead to conflict. The terms of approval of the Disclaimer method are as follows;

• The source of the conflict is much less than you, and it is unimportant to you as compared to other conflicts;

• You know that you will not be able to resolve the issue for your own good or simply do not want it;

• You do not have sufficient authority to resolve the conflict in a manner that is comfortable for you;

• You intend to save time and gather information before making any decision;

• Conflict or deliberate discussion of the conflict is dangerous and can further aggravate the situation;

• Those who are in bondage can easily settle the conflict;

• The day has been hard for you and solving the problem can cause you extra-bad results.

2. Adaptation or mitigation - an attempt to mitigate the conflict situation and maintain a relationship, not to endanger the opponent's pressure. The method of adaptation is a widespread method of guidance and adherence. This method basically attempts to convince the opposite that "we are all a team and we do not have to shove the boat we are in." The relaxing party typically attempts to act in accordance with the needs of the community and not to show its contradictions. Unfortunately, at that time, people are totally forgetting the cause of the conflict. Blake and Muton say that other people can put up with the desire of the other side of the conflict to say "it does not matter much." The result is peace, harmony and calmness, but the problem can remain. There is no point in showing emotions, but they live and gather inside. A common concern is starting to get even worse, and the accumulated dissatisfaction may explode one day. The adaptation method can be applied in the following specific situations:

• The main goal is not to resolve the conflict, but to ensure peace and stability;

• The nature of the collision is not important to you, and if the events do not concern you;

• You think that maintaining a good relationship with other people is more important than standing on your own.

• You conclude that the truth is not yours;

• You feel that you do not have enough reputation and opportunity to win.

3. Confrontation is the solution of the conflict through the method of pressure, where it is intended to adopt the idea of ​​influence and power. The person who carries out this does not care about the opinion of others. The person using this method usually behaves aggressively and affects others. Blake and Muton say that "using the method of controlling the conflict and oppressing the opposite shows that it has the highest authority". This method is effective when the leader has enough power over the subordinates. The shortfall of this method is that it extinguishes the initiatives of those subordinates, which creates an idea that not all the important factors will be taken into account because only one opinion leader will be preferred. This can spoil the youth, especially the young and educated staff.

4. Conflict - A method aimed at achieving the goals without considering the opinions and interests of others. There is no possibility to compromise here. Usually, the method of confrontation is chosen during collective labour disputes, local and general social conflicts. Often, conflicts can lead to the most recent form of social-labour relations between employers and workers: strikes, fraudulent economic stroke, rallies, demonstrations, increased psychological pressure on hunger strikes and so on.

5. Compromise is a method of resolving conflicts by mutual concessions. In this method, the opposite opinion is also perceived, but this admission takes place within a certain limit. Conflict resolution in management situations is highly appreciated. This method minimizes unpleasant consequences, allowing the conflict to be solved quickly and satisfying both sides. The shortfall of the compromise method is that its early application can lead to a diagnosis of the problem and shortening the time for the alternate search. Implementation of this form of compromises simply leads to disagreement and dissatisfaction with smart proposals. Doing so with such compromise means that you are inclined to look for the logical ones from existing factors and information.

The most widely spread classic form of application of compromise is the relationship between the buyer and seller in the market (the key approach is an agreement in the price) and concludes that both parties will have mutual concessions. Nevertheless, always resorting to compromise indicates that the solution to any conflict depends on its participants, the situation and the solution to the problem. The use of compromising is also convenient because it does not contradict other methods of conflict resolution and can be used in conjunction with them. The main feature of the application of the methods is that they can be used in different stages of the conflict in accordance with the situation. The following conflict situations are important for applying compromised;

• Both sides have convincing reasons and have the same reputation;

• Doing so is not of great importance to you;

• The compromise decision is up to you, as you do not have time to develop another method, or other decisions are ineffective;

• The compromise ensures you from the fear of losing everything;

6. Collaboration means the joint action of finding a solution, which is in line with the interests of both parties. The most productive method of resolving conflicts in the organization is to ensure the interests of the conflicting parties through open collective debate and mutual agreement. The conflict can be solved through the following approach:

• Seek general decisions if each of the problems approaches the problem and does not create conditions for compromise;

• If you have a long-term, firm, and mutually dependent relationship with the other party;

• The main objective is to gain joint work experience;

• The parties are able to listen to each other and express the essence of their interests;

• It is important to concentrate on the points of view and accelerate the involvement of employees in the activities.

7. Settlement of the problem - taking into account the various points of view, the purpose of the conflict is to work out and to select the direction of action for both parties. The person using this method does not achieve their goals using others but rather seeks the best option for conflict resolution.

Disagreements in people allow one to conclude that intelligent people have the idea of ​​what is good and what is bad. Analyzing and resolving conflict is only possible if a person implementing it can have a culture of wisdom and manners. This kind of constructive approach in resolving the conflict (solving the conflict by solving the problem) leads to a friendly environment in the organization, and the success of the individual and the overall organization.

Therefore, it is necessary to manage the situation by developing conflicting ideas and using conflict resolution methods in difficult situations where there is a wide range of approaches and good decision-making. Other methods of conflict resolution can also successfully reduce or reduce the conflict situation, but will not lead to the optimal resolution of the problem, as all the glans will not be investigated equally. Research has shown that companies with high efficiency have more appealing to the problem-solving method, unlike those with less effect. Leaders in such organizations have more clearly expressed their disagreements and have not acted as if problems and dissatisfaction were not present. They searched until they found the decision. The leaders also sought a solution hierarchy that sought to prevent or minimize conflicts and sought solutions in those departments where there were factors and information affecting the decision. Although the method of solving the problem is not so large, it's proven its effectiveness in companies. Below is a schedule of problem-solving methods.

1. Seek the problem in the Goals category.

2. Once the problem has been set, find solutions that can be satisfied with both parties.

3. You focus on the problem rather than the personal qualities of the opposite.

4. Create a trusted environment to create mutual impact and information sharing.

5. Create a positive attitude towards each other by sympathizing and listening to the opposite party while communicating.

6. Minimize the feelings of intimidation and intimidation.

Thus, the above-mentioned inter-personal conflict resolution methods can be applied at various stages of the conflict in accordance with the conflict situation, the dynamics of the conflict and the nature of the conflicting parties.