Describe reasons for conflict and explain the role of both functional and dysfunctional conflict in institutional change.

Conflict arises when individuals or groups have different needs, interests, values and goals. It is important to differentiate between functional and dysfunctional conflict. Functional conflict serves a useful purpose in the organization; it encourages creativity and provides an opportunity to resolve issues by finding solutions that are agreeable to all parties involved.

On the other hand, dysfunctional conflict can lead to disharmony, decreased productivity and poor problem solving. These conflicts usually arise from scarcity of resources such as money or time, as well as a lack of communication between individuals or groups with conflicting interests. Dysfunctional conflict can be destructive, leading to organizational stagnation instead of progress towards institutional change.

Functional conflict is necessary for any kind of meaningful institutional change because it encourages open dialogue between stakeholders and can foster constructive debate about the future direction of an organization. However, without proper management this type of conflict can quickly become dysfunctional if tensions escalate due to misunderstandings or fear-based reactions among those involved in decision-making processes. Therefore, effective leadership should aim at balancing functional versus dysfunctional conflicts in order for each party’s voice to be heard while still moving forward on decisions that benefit the entire institution.