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Human Relations
DOI: 10.1177/00187267050534262005; 58; 341Human Relations
Dean Tjosvold, Margaret Poon and Zi-you Yubuilding
Team effectiveness in China: Cooperative conflict for relationship
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Team effectiveness in China: Cooperativeconflict for relationship building
Dean Tjosvold, Margaret Poon and Zi-you Yu
A B S TRA C T Groups are increasingly responsible for accomplishing critical,
complex tasks for organizations, but understanding and developing
effective teamwork have proved difficult. Findings from groups in
Chinese enterprises supported recent theorizing that confidence in
the group’s interpersonal relationships promotes team effectiveness.
Results also suggested, in contrast to traditional theorizing about
Chinese values, that conflict management was an important foun-
dation for this confidence in relationships. Specifically, the structural
equation analysis supported the reasoning that cooperative conflict
builds confidence in relationships that, in turn, results in team effec-
tiveness. Results were interpreted as providing support for the
universalistic aspirations of the theory of cooperation and
competition and that managing conflict cooperatively is a foundation
for team effectiveness in China as well as in the West.
KE YW ORD S Chinese values competitive conflict cooperative conflict
relationships teamwork
Groups are increasingly considered critical for accomplishing important
tasks and solving complex problems for organizations (Barrick et al., 1998;
Stewart & Barrick, 2000; West, 2002). However, understanding anddeveloping effective teamwork have proved challenging (Campion et al.,
1993; Edmondson, 1999; Hare & O’Neill, 2000; Salas et al., 1999).
Recently, relationships have been proposed as an underlying condition for
3 4 1
Human Relations
DOI: 10.1177/0018726705053426
Volume 58(3): 341–367
Copyright © 2005
The Tavistock Institute ®
SAGE Publications
London, Thousand Oaks CA,
New Delhi
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effective collaboration (Gersick et al., 2000; Kostova & Roth, 2003; Kramer
& Messick, 1995; Kramer & Tyler, 1996; Lewicki & Wiethoff, 2000; Reis
et al., 2000; Rousseau et al., 1998). This study argues that how teams
manage their conflicts very much affects the nature of their relationships (De
Dreu et al., 2000; Rubin et al., 1994). Specifically, it investigates the extent
that cooperative compared with competitive approaches to managing conflict
develop group members’ confidence in their relationships that results in effec-
tive teamwork.
This study develops direct evidence of the extent to which relationships
contribute to team effectiveness as measured by both group members and
their managers. It empirically links the group and conflict literatures and tests
the extent that the theory of cooperation and competition developed in theWest is useful to analyze conflict among group members in China.
Relationships and team effectiveness
Researchers and practitioners have recently emphasized that teams can be
effective as they coordinate and apply the resources of individual members
to stimulate creative solutions and implementation (Banker et al., 1997;
West, 2002). Reviews of the empirical research suggest that groups canaccomplish tasks more effectively than individuals working alone in a range
of situations (Hill, 1982; Johnson et al., 1981; Kelley & Thibaut, 1968).
However, conditions affect this generalization. For example, the value of
group work is heightened for complex tasks, whereas for simple tasks indi-
viduals can be as or even more productive (Beersman et al., 2003; Johnson
et al., 1981).
In addition to documenting their potential, organizational researchers
have identified conditions and processes that very much interfere withcoordination and group effectiveness (Ilgen, 1999; Sheppard, 1993). For
example, groups may, by developing ‘group-think’ and suppressing creativity,
arrive at compromised, mediocre solutions to problems (Aldag & Fuller,
1993; Ellis et al., 2003; Schwenk, 1984). Groups may also undermine moti-
vation, leaving employees tempted to engage in social loafing and letting
others do the work (Karau & Williams, 1993; Williams & Karau, 1991).
Studies overall then suggest that groups, although not always more produc-
tive, have the potential to be productive when the task and situation are
appropriate for collaborative work; however, whether they perform effec-tively depends very much upon their functioning (Pearce & Ensley, 2004).
What are the conditions that promote group functioning so that teams
serve their users effectively? Theorists have recently joined managers in
Human Relations 58(3)3 4 2
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arguing that the nature of the interpersonal relationships among group
members has dramatic effects on the coordination of resources needed for
team effectiveness (Kramer & Tyler, 1996; Kumar, 1996; Lewicki &
Wiethoff, 2000; Rousseau et al., 1998). Lewicki et al. (1998) proposed that
trust, defined as the expectation of support, promotes effective organiz-
ational work. Edmondson (1999) has found that ‘team safety’ where team
members accept rather than punish or reject well-intentioned action helps
team members learn from their mistakes.
Justice research also suggests the nature of the relationships can very
much affect group effectiveness (Colquitt, 2001; Colquitt et al., 2001; Green-
berg, 1990). Group members have been found to be more committed and
perform more effectively when they experience interactive justice in that theyare treated in a personally enhancing and affirming manner as justice
decisions are made (Bies, 1987; Bies & Moag, 1986; Cohen-Charash, 2001;
Lam et al., 2002; Tyler & Bies, 1990). It seems likely that justice can promote
reciprocity and reduce fears that others are free-riders or in other ways might
exploit interactions (Kerr, 1983; Latane et al., 1979; Liden et al., 2003). With
this assurance, team members can continue to believe that they will be able
to combine their efforts and realize the promise of joint gains.
The value of strong relationships appears to be particularly true in
China, where the data for this study were collected. Guanxi, which can betranslated as strong relational bonds, has been thought critical for doing
business in China, especially because of the difficulties of applying legal
remedies to grievances (Hwang, 1987, 1997–8, 2000). It has also been
argued that Chinese people, as collectivists, generally very much value inter-
personal relationships and avoid aggressive ways of working with others
(Jehn & Weldon, 1992; Kirkbride et al., 1991; Leung, 1997; Triandis, 1990;
Triandis et al., 1990; Tse et al., 1994). However, it cannot be assumed that
strong relational bonds are automatic or even highly prevalent in Asia. Chenet al. (2002), for example, have proposed that collectivists exploit people not
considered part of their in-group more than people from individualist
cultures.
This study uses the concept of confidence in relationships as a measure
of the quality of the interpersonal relationships within a team. Previous
research suggests that confidence in relationships leaves team members with
mutual positive expectations that, in turn, contribute to team functioning.
Individual members, expecting that others will reciprocate their own efforts,
feel they can contribute to the team without fears that others will be freeriders and that they will be exploited (Bouty, 2000; Gersick et al., 2000;
Pearce & Ensley, 2004). These positive expectations become self-fulfilling
and create good will as members reciprocate each other’s contributions
Tjosvold et al. Team effectiveness in China 3 4 3
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that studies overall do not suggest that the type of conflict is very useful for
understanding when conflict is constructive (De Dreu & Weingart, 2003).
This study takes the position that how group members approach and
deal with their relational, task, procedural, and other types of conflict criti-
cally affects the outcomes of conflict. Conflict, whether it is a task or a rela-
tional one, can be harmful or productive. Group members need the abilities
to manage their conflicts if they are going to make them constructive.
Indeed, there is reason to believe that managing relational as well as
task conflicts can be quite constructive (De Dreu & Van de Vliert, 1997;
Rahim & Blum, 1994; Tjosvold, 2002; Walton, 1969). Potentially, these
conflicts stimulate motivation to deal with interpersonal difficulties, provide
a medium through which problems are aired, develop useful solutions todivisive issues, and are opportunities to reaffirm commitment to the relation-
ship.
Group members must also be able to manage task conflicts for these
conflict types also have the potential to be constructive or destructive
(Deutsch, 1973). Voicing minority views and heterogeneity of perspectives
have been found to improve group problem solving (Gruenfeld, 1995; Maier,
1970; Peterson & Nemeth, 1996; Tetlock et al., 1994). Studies have shown
the utility of conflict for strategic decision-making through such means as
devil’s advocacy and challenging assumptions (Amason, 1996; Cosier, 1978;Eisenhardt & Bourgeois, 1988; Eisenhardt et al., 1997; Mason & Mitroff,
1981; Schweiger et al., 1989). The skilled discussion of task conflicts can
stimulate creative, motivated work that accomplishes common tasks as well
as strengthens interpersonal relationships and teamwork (Tjosvold, 1998).
Dealing with conflict is not only realistic but, when constructively done,
promotes relationships among group members as well as task completion.
Approaches to managing conflict
Considerable organizational research has assumed that the behavioral
strategy protagonists take very much affects whether conflicts are construc-
tive or destructive. For example, organizational members have been thought
to have five major options: smooth, avoid, compromise, force, and collabor-
ate (Elsayed-Ekhouly & Buba, 1996; Kilmann & Thomas, 1977; Munduate
et al., 1999; Rahim, 1983; Rahim & Mager, 1995; Thomas, 1976). The
choice they make regarding their strategies is theorized to determine theoutcomes of conflict.
In contrast to this emphasis on action strategies, this study develops
the position that the cooperative and competitive intentions that protagonists
Tjosvold et al. Team effectiveness in China 3 4 5
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communicate are critical for determining the course and consequences of
conflicts. People’s beliefs about how their goals are related may or may not
be accurately based in reality. However, from this perspective, what affects
conflict management are the beliefs that protagonists develop about how
their goals are related.
Defining conflict as incompatible activities in which one person’s
actions are interfering or obstructing another’s, Deutsch (1973, 1980)
proposed that how protagonists believe their goals are related to each other
very much affects their interaction and outcomes as they deal with conflict.
They may emphasize cooperative goals. In managing conflict cooperatively,
people communicate that they believe their goals are positively linked so that
as one person moves toward goal attainment, others move toward reachingtheir goals. They understand that others’ goal attainment helps them; they
can be successful together. Wanting each other to perform effectively for such
competence helps each person to be successful, they communicate that they
seek to use the conflict to promote mutual goals and to resolve it for mutual
benefit.
Protagonists may also emphasize competitive goals in conflict. In
competition, people believe their goals are negatively related so that one’s
successful goal attainment makes others less likely to reach their goals. In
managing conflict competitively, people believe that they are better off whenothers act ineffectively; when others are productive, they are less likely to
succeed themselves. They convey that they want to use the conflict to
promote their goals at the expense of the other. They want to ‘win’ and have
the other ‘lose’.
Evidence indicates that to the extent that protagonists take a coopera-
tive approach and the extent that they take a competitive approach very
much affect conflict outcomes (Alper et al., 2000; Barker et al., 1988;
Deutsch, 1973, 1980; Tjosvold, 1998). Experiments have found that acooperative approach to conflict encourages partners to express their views
directly, listen open-mindedly, and accurately take each other’s perspective
(Tjosvold, 1998). As they understand each other and the opposing positions,
they develop integrated, high-quality solutions to problems. These solutions
help protagonists act productively and bolster their confidence that they can
work together in the future. Studies have documented that the open-minded
interaction improves interpersonal attitudes and the beliefs that they can
solve future problems together (Tjosvold, 1998). Therefore, cooperative
conflict is expected to help group members develop the confidence that theyhave strong relationships that, in turn, promote their team effectiveness.
In contrast, a competitive approach results in one-sided, imposed reso-
lutions that fragment relationships. Although they may disagree directly and
Human Relations 58(3)3 4 6
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even develop an understanding of each other’s position, studies indicate that
they do not open-mindedly consider the views and fail to incorporate them
into their own thinking (Tjosvold, 1998). Protagonists typically try to impose
their solution on each other and as a consequence often fail to reach mutually
beneficial agreements. Imposed solutions and the failure to reach agreement
frustrate their common action and make protagonists doubt that they are
able to work together. Competitive conflict then is expected to interfere with
group members’ confidence in their relationships and thereby to reduce team
effectiveness.
However, the empirical basis for concluding that cooperative conflict
contributes to confidence in relationships has been largely developed in
North America. The utility of conflict, as well as the theories to analyzeconflict, cannot be assumed to apply to a collectivist society like China
(Hofstede, 1993). Chinese people are considered group-oriented where
relationships are highly valued (Chan, 1963; Triandis, 1990; Triandis et al.,
1990; Tung, 1991). The traditional view is that these collectivist values lead
to seeking harmony and smoothing over conflict to maintain relationships
and protect social face (Leung, 1997; Morris et al., 1998; Ting-Toomey,
1988). Confucian ‘Doctrine of the Mean’ emphasizes that harmony is ‘most
precious’ in relationships among people and with the external world (Chan,
1963). Individuals are to control their emotions and work with others in aharmonious manner.
Chinese people have been found to use approaches that short-circuit
and diffuse open conflicts and avoid face-to-face confrontation (Bond et al.,
1985). Evidence that Chinese compared with western managers endorse and
rely upon conflict avoidance supports the reasoning that conflict avoidance
is functional and appropriate in China (Kirkbride et al., 1991; Tse et al.,
1994).
However, recent theorizing suggests that the direct, open discussion of conflict may also be useful in collectivist cultures (Ohbuchi et al., 2001).
Leung (1996, 1997; Leung et al., 2002) has argued that, although Chinese
people may use harmony-seeking behavior as a way to avoid potential
problems, harmony also represents a genuine concern for feelings of
intimacy, trust, compatibility, and mutually beneficial behaviors. With this
motive, Chinese people discuss their conflicts openly to strengthen their
relationships. Despite that conflict may not be generally much valued in
China, Chinese people can discuss conflict productively. This study asserts
that conflict, when managed cooperatively, can promote relationships amongteam members in China.
Based on this reasoning, it is hypothesized that:
Tjosvold et al. Team effectiveness in China 3 4 7
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Hypothesis 2: Group cooperative conflict management is positively
associated with group members’ confidence in their relationships.
Hypothesis 3: Group competitive conflict management is negativelyassociated with group members’ confidence in their relationships.
This study investigates how a cooperative approach to conflict by Chinese
team members can develop confidence in their relationships and result in
effective teamwork. The study tests a model linking conflict management
with relationships and team effectiveness in China. Specifically, cooperative
conflict is expected to induce team members’ confidence in their relation-
ships; competitive conflict management is expected to induce a lack of confi-dence. Confidence in relationships is expected to result in team effectiveness.
Rather than the traditional cross-cultural research of comparing
samples from different cultures regarding the strength and impact of values
(Leung, 1997), we use the theory of cooperation and competition with
universalistic aspirations to explore Chinese conflict management and group
development. Results could suggest that cooperative and competitive conflict
is a useful framework for both western and Chinese people in such settings
as international joint ventures (Cox et al., 1991).
Method
Participants
An approximately representative sample of firms was recruited in Shanghai,
China. Fifty-nine firms were State-Owned Enterprises, 29 joint ventures, and
29 private enterprises. Thirty-nine were in industry, 10 in wholesale and
retail, 24 in banking and insurance, 8 social services, 6 in real estate, 4 intransportation, 6 in research, 5 in media, 3 in health, 1 in construction, and
1 in institutions. This pattern is similar to the industry structure in Shanghai.
Top and middle management of the organizations supported participation in
the study. To prevent and eliminate potential concern for being involved in
evaluating others, participants were assured that their responses would be
held totally in confidence and used only for research purposes.
For the team to be included in the final sample, two employees who
were team members had to complete a survey and then the direct supervis-
ing manager of the team had to complete a second survey. This manager (whodid not complete a member questionnaire), it was thought, was the superior
who was most knowledgeable about the team and in the best position to rate
team effectiveness.
Human Relations 58(3)3 4 8
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One hundred and seventy sets of questionnaires were distributed and
149 sets collected. However, 42 sets were not complete in that there were
not at least two employees and one manager survey or that items on the
surveys did not have responses. So, the final sample was 107 teams with two
employees providing data about their team and the manager rating the team’s
effectiveness. These teams were responsible for various tasks in these indus-
tries. Most of the teams (80) were involved in the major function of the
company (e.g. production for manufacturing firms), 10 had administrative,
10 accounting, and 7 supervising tasks. The average age of the team members
was 33 years and 70 percent of the team members were males. All partici-
pants were Chinese and nearly all respondents had been in their teams for
over 6 months.
Approaches to conflict
A cooperative approach to conflict communicates the intention to seek a
mutually beneficial solution; a competitive approach indicates that
protagonists are trying to win (Deutsch, 1973). Scales for cooperative and
competitive conflict management were developed from a previous question-
naire study conducted in North America (Alper et al., 2000) (the items for
all scales are given in the Appendix). For the section in the questionnairedesigned to measure conflict approaches, respondents were asked to use the
items to indicate how team members negotiate their differences. The
cooperative conflict scale measured the emphasis on resolving issues for
mutual benefit as they negotiated their differences. A sample item from the
five items cooperative conflict scale is ‘Team members treat conflict as a
mutual problem to solve’. Participants were asked to rate on a 7-point scale
(1 = strongly disagree; 7 = strongly agree) their degree of agreement to the
five statements. Coefficient alpha for the cooperative conflict scale was .85.The competitive conflict scale had four items with similar anchors to measure
the emphasis on trying to win the conflict as team members negotiated their
differences. A sample item is ‘Team members treat conflict as a win–lose
contest’. Coefficient alpha was .83.
Scales that are reliable should have items that are associated with each
other and less associated with items in other categories. Correlations among
the items for each scale were significantly higher than correlations for items
across scales; mean correlations were .54 for items in the cooperative
approach and .55 for items in the competitive approach, whereas the corre-lations among items from the two scales were generally low. The item corre-
lations are given in Table 1. Results of the confirmatory factor analysis
suggest the utility of the two-factor solution (Table 2).
Tjosvold et al. Team effectiveness in China 3 4 9
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Confidence in relationships
Confident group members believe that they can interact effectively (Kramer
& Tyler, 1996; Kumar, 1996; Lewicki & Wiethoff, 2000; Rousseau et al.,
1998). Members responded to a three-item scale to measure their group’sconfidence in their relationships. Respondents were asked to answer on a 7-
point scale (1 = strongly disagree; 7 = strongly agree) about their degree of
agreement with the three statements. A sample item from the scale is ‘How
Human Relations 58(3)3 5 0
Table 1 Correlations among conflict approaches items
Co1 Co2 Co3 Co4 Co5 Cm1 Cm2 Cm3
Co1
Co2 .72**
Co3 .57** .68**
Co4 .42** .47** .43**
Co5 .48** .60** .42** .60**
Cm1 .13 .13 .13 –.02 –.01
Cm2 –.04 –.02 –.01 –.06 –.15 .64**
Cm3 –.17 –.04 –.15 –.09 –.09 .37** .63**
Cm4 –.06 .01 –.05 –.09 –.05 .38* .58** .73**
Table 2 Two-factor solution to conflict approaches
Factor
1 2
Co1 .78 .22
Co2 .83 .31
Co3 .75 .23
Co4 .70 .13
Co5 .76 .14
Cm1 –.06 .73
Cm2 –.29 .83
Cm3 –.37 .76
Cm4 –.28 .78
Extraction method: principal component analysis.
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confident are team members that they can interact with each other success-
fully?’ Coefficient alpha of the scale was .87.
In addition, the correlations among the items also suggest the reliability
of the scale. Cr1 and Cr2 were correlated .65, Cr1 and Cr3 were correlated
.81, and Cr2 and Cr3 were correlated .63 with an average correlation of .70.
In the confirmatory one-factor analysis, Cr1 had a loading of .92, Cr2 had
a loading of .84, and Cr3 had a loading of .92, also suggesting a coherent
scale.
Team effectiveness as productivity and commitment
Team effectiveness is the extent to which the team is able to serve its userseffectively. As with other work team research (Cohen & Ledford, 1994;
Goodman et al., 1988), obtaining objective work outcome measures proved
impossible. Companies did not collect team-level productivity data. In
addition, Pritchard (1992) has argued that there is no strictly objective
measure of performance in organizations. Effectiveness is not, for example,
simply that the team completes a task but that it completes the task that
organization values within the resources considered reasonable. A team that
efficiently reduces waste scrap is not effective if the organization wants it to
develop a high-quality product. Pritchard has further proposed that the mostrelevant criteria of team effectiveness are the evaluations of those who are
to use the team outputs.
This study measures team effectiveness by the evaluations of the
team’s manager and the evaluations of the team members themselves.
Managers are not only important users of their team’s outputs, they should
also be knowledgeable about them (Hackman, 1987). We propose that
managers would be highly concerned and knowledgeable about team
productivity. They responded to a four-item scale developed from Van DerVegt et al. (1998). A sample item of the team productivity measure is ‘Team
members meet or exceed their productivity requirements’. The coefficient
alpha was .85.
Individual members are also users of the group in that the group
very much affects their attitudes and commitment. Although team
members are probably not in as good a position to rate the value of their
group’s outputs as accurately as their manager, they should be very knowl-
edgeable about the group’s impact on their commitment. Therefore, group
members rated their team’s effectiveness by completing a measure of teamcommitment. A sample item of the four-item scale is ‘The way the team
manages its work inspires the team to better job performance’. The
coefficient alpha was .84.
Tjosvold et al. Team effectiveness in China 3 5 1
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Translation procedures
Two members of the research team who are native Chinese translated the
questionnaires originally written in English into Chinese. To ensure concep-tual consistency, the questionnaires were back-translated into English to
check for possible deviation (Brislin, 1970). The questionnaires were pre-
tested to make sure that respondents clearly understood every phrase,
concept, and question.
Analysis
Data aggregation
We aggregated team members’ ratings of cooperative and competitive
conflict management and confidence in relationships to the team level in the
analyses. The fundamental reason was that the hypotheses identified the unit
of analysis as the group. The operations were carefully constructed so that
individual group members reported on the team’s three scales. Managers also
reported on their group’s team effectiveness.
However, the aggregation required that the perceptions of team
members within a team were reasonably homogeneous. We used James et al.’s(1984) procedure to estimate the inter-rater reliability of members within each
team for each of the two individual-level variables. James et al.’s index was
used as an estimate of inter-ratter reliability because each of the two variables
was measured by multiple items. Two analyses indicated that the ratings
among members in each group were quite homogeneous. First, the median 2
values for the five variables across the 107 teams were .96, .97, .91, .95, and
.95 respectively. The second analysis was based on George and Bettenhausen’s
(1990) idea that 2
values greater than or equal to .70 could be considered asindicators of good agreement within group. Of the 107 teams, the percent-
ages of teams with 2 values greater than or equal to .70 across the six vari-
ables were .93, .95, .84, .91, and .91 respectively. We therefore concluded that
the within-team ratings were homogeneous enough to be aggregated to the
team level. Individual team members’ ratings were therefore aggregated to the
team level and the data merged with managerial ratings of team effectiveness.
The final sample size of the merged data file was 107 teams.
Hypotheses testing
Correlational analyses were used as an initial test of the hypotheses. Struc-
tural equation analyses were used to test the proposed model that confidence
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in the relationship mediates the link between the conflict management
approach and team effectiveness as measured by commitment and produc-
tivity.
To more vigorously test the theory, structural equation analysis with
the EQS for Macintosh program was used to examine the underlying causal
structure between conflict management, relationships, and team effectiveness
(Bentler & Wu, 1995). This analysis involved only the structural model, not
the measurement model.
A nested model test commonly adopted in causal model analysis was
used to evaluate the argument that confidence in interpersonal relationships
mediates the link between the cooperative and competitive conflict and team
effectiveness. This Mediating Effects model was compared with the DirectEffects model that posited that conflict management impacts outcomes
directly. In addition, an Alternative Model was developed based on the
argument that confidence in relationship affects conflict management
approach that in turn affects outcomes.
Results
Zero-order correlations provide an initial examination of the hypotheseslinking cooperative approach, competitive approach, confidence in relation-
ships and team effectiveness as measured by performance as rated by
managers and by commitment as rated by team members (Table 3). In
support of Hypothesis 1, groups that reported confidence in relationships
were rated by group members (r = .72, p < .01) and by managers (r = .51,
p < .01) as effective. Consistent with Hypotheses 2 and 3, groups that
reported that they relied on cooperative conflict management were confident
in their relationships (r = .56, p < .01), whereas groups that relied oncompetitive conflict management lacked confidence in their relationships
(r = –.40, p < .01).
Cooperative conflict management was positively and significantly
related to team effectiveness as measured by commitment by group members
(r = .53, p < .01) and as productive as rated by manager (r < .38, p < .01).
Competitive conflict management was negatively and significantly related to
team commitment by group (r = –.34, p < .01). However, competitive conflict
management was negatively but not significantly related to team productivity
by manager (r = –.07, NS).Structural equation analyses were used to examine possible causal
relationships (Table 4). The Mediating Effects and Direct Effects models were
compared and the Full Effects model (with both the mediating effects and
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the direct effects of conflict approaches) was also computed. The 2 of the
Mediating Effects model was 11.96 (d.f. = 4, p < .01). The 2 of the Direct
Effects model was 100.75 (d.f. = 4, p < .01). The difference between the
Mediating Effects model and the Direct Effects model was significant
(∆2 = 88.79, p < .01), indicating that omission of the mediating effects of
confidence in relationships significantly deteriorated the Mediating Effects
model. In addition, the difference between the Mediating Effects and the FullEffects model was significant (∆2 = 11.96, p < .01), suggesting that the Full
Effects model provides a better fit than the Mediating Effects model. These
results suggest that confidence in relationships does not fully mediate conflict
management with team effectiveness.
The path coefficients of the theorized model help to explore the
findings more specifically (Table 4). Cooperative conflict management had a
significant impact on confidence in relationships ( = .54, p < .01). Competi-
tive conflict management had a significant negative effect on confidence in
relationships ( = –.31, p < .01). Confidence in relationships had a signifi-cant effect on team productivity as rated by managers ( = .51, p < .01) and
on team commitment as rated by group members ( = .72, p < .01). In the
Full Effects model, cooperative conflict had a positive effect on team
Human Relations 58(3)3 5 4
Table 3 Correlations among variables at the team levela,b
Variables Mean SD Cooperative Competitive Confidence Effectiveness Effectiveness
in relationships (by group) (by manager)
Cooperative 5.32 .82 (.85)
Competitive 4.16 .96 –.07 (.83)
Confidence 4.94 .95 .56** –.40** (.87)
in relationships
Team 4.90 .84 .53** –.34** .72** (.84)
effectiveness
(by group)
Team 5.18 .98 .38** –.07 .51** .47** (.85)
effectiveness
(by manager)
a N = 107.b Values in brackets are reliability (coefficient alpha) estimates.
**p < .01.
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Table 4 Results of the nested model analyses of the measurement modelsa
Mediating Effects Model Direct Effects Model F
Path from Path to Path coefficient Path from Path to Path coefficient Pa
Cooperative Confidence .54** Cooperative Effectiveness .51** C
(by group)
Competitive Confidence –.31** Competitive Effectiveness –.30** C
(by group)
Confidence Effectiveness .72** Cooperative Effectiveness .37** C
(by group) (by manager)
Confidence Effectiveness .51** Competitive Effectiveness –.04 C
(by manager) (by manager)
C
C
C
C
Model 2 11.96 Model 2 100.75 M
d.f. 4 d.f. 4 d
BBNFI .93 BBNFI .44 B
CFI .95 CFI .43 C
a N = 107.
**p < .01.
© 2 0 0 5 T h eT avi s t o ck I n s t i t u t e.A l l r i gh t sr e s er v e d .N o t f or c omm er ci al u s e or un a u t h or i z e d d i s t r i
b u t i on.
b y g e or gi an a c i o b an u onN ov em b er 2 2 ,2 0 0 7
h t t p: / / h um. s a g e p u b . c om
D ownl o a d e d f r om
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commitment ( = .21, p < .01). Findings on path coefficients generally
provide good support for the study’s hypotheses.
The results of the Alternative model in which confidence in relation-
ship affects conflict approaches that leads to outcomes suggested that this
model did not fit the data very well. Its 2 value was 76.49 (d.f. = 4, p < .01)
with a BBNFI of .58 and CFI of .58.
Discussion
Results support recent theorizing on the role of the nature of relationships in
understanding the conditions and dynamics when teams function effectivelyso that they are able to accomplish vital tasks for organizations (Kramer &
Tyler, 1996; Kumar, 1996; Lewicki & Wiethoff, 2000; Rousseau et al., 1998).
Specifically, confidence in relationships among members was found to
contribute to team effectiveness from the perspective of their managers as well
as from the team members. Perhaps more surprisingly, especially considering
that the data were collected in China, results suggest that managing conflict
cooperatively is a practical way to strengthen team relationships. Teams that
relied on managing conflict cooperatively and avoided competitive conflict
were found to have confidence in their relationships and this confidence inturn predicted team productivity and commitment.
Chinese people have long argued that relationships are key to leader-
ship, teamwork, and indeed to organizational work and business. Personal
relationships, quanxi, promote mutual exchange and are needed to supple-
ment rules and roles that are often limited and ineffective (Hui & Graen,
1997). Western theorists have recently agreed that the nature of relationships
critically affect work, especially in the today’s open, networked organizations
and economies (Kramer & Tyler, 1996; Miles et al., 1997). This studyprovides an empirical documentation of the contribution of confidence in
relationships for team effectiveness.
Results are also consistent with the recent emphasis on the construc-
tiveness of conflict and its utility for groups and organizations. Conflicts may
provide the motivation and means to deal with divisive issues; the skilled
management of conflict, though causing temporary interruptions, strength-
ens relationships. Despite China’s collectivist society with strong harmony
values, teams were able to manage their conflicts cooperatively and to good
effect. Cooperative conflict management appears to be a practical way tostrengthen the relationships within a group.
The nested structural equation analysis provided good support for the
proposed model in which confidence in relationship mediates between
Human Relations 58(3)3 5 6
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conflict management and team effectiveness. However, the Full Effects model
with effects from cooperative and competitive conflict management as well
as from confidence in relationship to team effectiveness was found more
explanatory. Confidence in relationships does not appear fully to mediate
conflict management with team effectiveness. In the Full Effects model,
cooperative conflict had a positive effect on team commitment as measured
by group members. These results are consistent with the idea that coopera-
tive conflict can be useful for resolving divisive issues and making high-
quality decisions that, in addition to strengthening relationships, directly
promote team effectiveness, at least as seen by the members themselves.
Results also suggest that interpersonal relationships have a subtler role
for competitive conflict than the mediating role that was anticipated. Asexpected, the correlational and structural equation analyses indicated that
competitive conflict negatively predicted to confidence in relationships and
to team commitment as measured by the group. However, competitive
conflict was not significantly negatively related to team productivity as rated
by the manager. Results tentatively suggest that, although competitive
conflict reduces confidence in relationships, it may not disrupt team produc-
tivity. It may even be that competitive conflict can solve some productivity
issues, despite undermining confidence in relationships. Research is needed
to explore this speculation.Studies have found, though not consistently, positive relationships
between task conflicts, especially when norms support discussion, but
negative correlations between relational conflict and group productivity
(Amason, 1996; De Dreu & Weingart, 2003; Jehn, 1995, 1997). These
findings have been interpreted as suggesting that groups can profitably
discuss task conflicts to solve technical problems but discussing relational
conflicts threaten to undermine group relationships further, thereby frustrat-
ing productivity. This study found though that discussing conflict need notundermine relationships and can, when done cooperatively, strengthen
relationships. Results of this study support De Dreu and Weingart’s (2003)
argument that the cooperative and competitive approach to conflict manage-
ment may be more useful for identifying the conditions under which conflict
is constructive than the type of conflict.
In addition to exploring the links among conflict management,
relationships, and effectiveness at the group level, the study developed an
appropriate method in that it allowed independent measures of conflict
approaches, relationship, and effectiveness. Managers rated the group’s effec-tiveness in terms of productivity. In addition, team members rated the extent
to which they take cooperative and competitive approaches to conflict and
their confidence in their relationship as well as their team effectiveness in
Tjosvold et al. Team effectiveness in China 3 5 7
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terms of commitment. This study used questionnaires with a sample drawn
from a number of organizations to complement previous experimental
previous research on cooperative and competitive conflict.
The theory of cooperation and competition, despite its origins in the
West, proved useful for understanding conflict in China (Deutsch, 1973).
Indeed, the means (Table 3) suggest that teams used both cooperative and
competitive approaches in dealing with issues. The research approach of
identifying conditions that impact organizational dynamics and outcomes in
China with a theory with universalistic aspirations may be a viable addition
to the traditional alternatives of comparing samples from different cultures
and exploring a cultural variable with an indigenous theory (Leung, 1997).
The research approach used in this study can both probe general theoriesand improve understanding of organizational dynamics in non-western
cultures.
Limitations
The sample and operations limit the results of this study. The data are self-
reported and subject to biases, and may not accurately describe the relation-
ships, although recent research suggests that self-reported data are not aslimited as commonly expected (Spector, 1992). These data are also correla-
tional and do not provide direct evidence of causal links between conflict
approaches, relationships, and outcomes. However, team members
completed measures of conflict approaches and confidence in relationships,
whereas their managers completed the measure of team effectiveness as
performance. Developing different sources for the independent and depen-
dent measures should reduce the possibilities of same source method as an
alternative explanation of the results (Podsakoff et al., 2003).
Spector and Brannick (1995) have argued that the most effective wayto overcome recall and other methodological weaknesses is to test ideas with
different methods. It would be desirable to provide direct experimental verifi-
cation of the role of conflict approaches on team effectiveness in East Asian
organizational settings.
Practical implications
In addition to developing theoretical understanding, support for the hypoth-eses may have important practical implications for structuring teams,
especially in China and other collectivist cultures. Developing a cooperative
approach to conflict for teams may strengthen their relationships and
Human Relations 58(3)3 5 8
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effectiveness. Training sessions could orient the team towards cooperative
conflict and its skills of self-expression, perspective taking, and creative
problem solving (Tjosvold, 1993). Employee compensation could be based
in part on group outcomes to encourage team members to believe that their
goals are cooperative and that they want to resolve their conflicts for mutual
benefit (Hanlon et al., 1994). Team members work to resolve the conflict so
that all benefit, not just themselves, and combine the best ideas to implement
a solution that promotes mutual goals.
Deutsch’s cooperative and competitive approach was able to identify
conditions that affect the extent that conflicts promote confidence in relation-
ships and team effectiveness in China. As in the West, teams that rely on
resolving issues for mutual benefit can work productively for themselves andfor the organization, whereas teams that emphasize competitive, win–lose
ways have fragmented relationships. Theories developed in one culture
cannot be assumed to apply to another (Hofstede, 1993). However, the
cooperative and competitive approach may be useful both in the West and
East. If so, it could provide the basis for teams in such settings as Sino-
western joint ventures to deal with the many relational and task conflicts that
threaten to divide them (Jassawalla & Sashittal, 1999).
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Appendix
Measures
Cooperative approach to conflict
1. Team members encourage a ‘we are in it together’ attitude as they nego-
tiate their differences.
2. Team members seek a solution that will be good for all of us.
3. Team members treat conflict as a mutual problem to solve.
4. We work so that to the extent possible we all get what we really want.
5. Team members combine the best of positions to make an effectivedecision.
Competitive approach to conflict
1. Team members demand that others agree to their position.
2. Team members want others to make concessions but do not want to
make concessions themselves.
3. Team members treat conflict as a win–lose contest.4. Team members state their position strongly to get their way.
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Members’ rating of confidence in relationships
How strong are the relationships among team members?
How confident are team members that they can interact with eachother successfully?
How much do team members trust each other?
Members’ rating of team commitment
Generally speaking, team members are very satisfied with their work.
Team members feel highly committed to the goals of their work.
The way the team manages its work inspires the team to better job
performance.Generally speaking, team members are very satisfied with their work.
Manager’s rating of team productivity
Team members work effectively.
Team members meet or exceed their productivity requirements.
Team members produce quality work.
Team members do their part to ensure that their products will be deliv-ered on time.
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Tjosvold et al. Team effectiveness in China 3 6 7
Dean Tjosvold (BA – Princeton, PhD – University of Minnesota) is
Chair Professor, Management Department, Lingnan University, Hong
Kong. Before that he taught at Pennsylvania State University and SimonFraser University and has been a visiting professor at the University of
Groningen and National University of Singapore. He has published on
cooperation and competition, conflict management, decision-making,
power, and other management issues. He’s on several editorial boards
and is the Asian editor for the Journal of World Business. He is a partner
in his family healthcare business based in Minnesota.
[E-mail: [email protected]]
Margaret Poon (MA – University of Lancaster, PhD – University of
Bradford) is Associate Professor in the Department of Acccountancy,
City University of Hong Kong. Her interests include behavioral account-
ing, financial management, and international accounting.
[E-mail: [email protected]]
Zi-you Yu (MSc, PhD – Purdue) is Associate Professor, Department of
Finance and Risk Management, Lingnan University, Hong Kong. She has
also taught at Shanghai University of Finance and Economics. She haspublished on risk management, insurance market regulation and develop-
ment, venture capital analysis, and Chinese financial market development.
[E-mail: [email protected]]