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The purpose of this article is to generate theory on how functional integration and conflict interrelate by studying the interface between production and purchasing.

An interpretive single case research methodology is adopted. The authors rely on in-depth interviewing of managers in the production and purchasing functions of a construction company, as well as by its suppliers.

Given low functional integration, antagonistic reasoning within each function and resultant conflicting behaviors are allowed to develop in a negative cycle, escalating the conflict between purchasing and production. This process leads to the creation of two opposing functional sourcing models that serve as blueprints for behavior.

The single case methodology was chosen to maximize depth and detail and form an ideal foundation for theory building. Future qualitative and quantitative studies should inquire further into the studied phenomenon to increase analytical and statistical generalizability of the proposed model.

The findings can help managers understand how poor integration between functions can develop into cross-functional conflict. Facing a conflicting functional relationship, managers must resort to conflict resolution methods, instead of attempting to integrate, as several integrative devices are not appropriate in conflicting interfaces.

The proposed model contributes by connecting the constructs of integration, group reasoning, and conflict, thereby generating knowledge on conflict development processes in cross-functional interfaces. Furthermore, the article contributes by uncovering the difficulties associated with implementing spend consolidation, a prevailing sourcing strategy.

The objective of this paper is to contribute empirical evaluation of the factors, behaviours and processes that lead to intra‐functional conflict, and in so doing to contribute to theory building on these issues, which have important contemporary relevance for theorists and practitioners.

A survey of 1,000 firms was conducted to elucidate the associations between both functional and dysfunctional intra‐functional conflict and a number of intra‐ and extra‐organisational variables.

Evidence was found indicating that participative decision making (positively), heterogeneity and centrality of marketing (both negatively) are linked to functional intra‐departmental conflict, while leadership quality of senior staff, team spirit and risk‐taking proclivity are positively associated with functional intradepartmental conflict and negatively with dysfunctional intra‐departmental conflict. No support was found for the claims that departmentalisation and organisation size were associated with either form of conflict.

The study supplies an empirical contribution through conceptualising, and subsequently empirically verifying, a model of the antecedents of intra‐functional conflict. Empirical contributions stem from findings that, while some parallels exist between the antecedents of intra‐functional and inter‐functional conflict, differences are evident, and in some cases even orthogonal. This study further reinforces suggestions that marketers have over‐emphasised the negative dimensions of conflict and have overlooked the positive (that is, the functional) aspects of conflict.

The findings of the study also have numerous implications for practitioners. At a strategic level, the study suggests that executives should acknowledge in their change processes that decisions at an organisational level could have a profound effect on both the functional and dysfunctional conflict in their organisation. Further, given the significant effect of inter‐group dynamics, managers of functions may find it beneficial to manipulate a range of intra‐functional variables to enhance functional conflict.

The value of the current study centres on the conceptual and empirical contributions regarding the drivers of intra‐functional conflict.

This paper aims to study the positive impact of functional conflict and conflict management in improving supplier–reseller relationship performance in multi-channel setting (reseller together with supplier’s sales reps). The authors develop four hypotheses, including direct and mediated effects, about conflict management, conflict and the impact on channel performance.

The authors’ sample of suppliers in the information and communication technology (ICT) industry in Brazil consists of an interesting setting of multi-channel distribution, as suppliers deal with sales reps in combination with reseller channels to offer products to customers. The sample is representative of the industry, including more than 60 per cent of the ICT suppliers. The model was tested with partial least squares in the context of ICT industry in Brazil.

The empirical test shows that although an increase in functional conflict improves channel performance (direct effect), an excessive increase may amplify the dysfunctional conflict, thereby damaging channel performance (indirect effect). The negative interplay between the two natures of conflicts is counterbalanced with conflict management. Results show that conflict management improves channel performance by decreasing the harmful effects of dysfunctional conflict. This paper contributes to the theory by deepening our understanding of conflict, a critical challenge underlying supplier–reseller relationships in marketing channels. For managers, this research clarifies the importance of considering and managing conflict of different nature in the context of multi-marketing channels.

The contribution of the authors’ study is twofold. First, they develop an integrative mediating model with key constructs of multi-channels’ conflict and channel performance. They incorporate the causal relationships between functional and dysfunctional conflict, conflict management and channel performance into a single conceptual framework. This integrative mediating model to the best of their knowledge has not been developed before. Second, they provide managers with a broad understanding of conflict management implications to supplier’s multi-channel strategy, and how functional conflict can actually be beneficial for channel performance.

The aim of this paper is to examine the effect of servicer and cross‐seller functional performance on salesperson perception of cross‐functional conflict.

Frontline employees often specialize in selling, servicing, or cross‐selling to customers. Two studies separately examine the effect of servicer and cross‐seller functional performance on salesperson perception of cross‐functional conflict.

In Study 1, salesperson conflict with frontline specialists who do not directly sell, called servicers, is examined and it is found that salespeople perceive less cross‐functional conflict when servicers perform well. Group cohesion decreases conflict directly. The effect of servicer performance on conflict is less pronounced as cross‐functional training increases. In Study 2, salesperson conflict with employees who cross‐sell additional goods and/or services to customers, called cross‐sellers, is evaluated and it is found that salespeople perceive more cross‐functional conflict when cross‐sellers perform well. Cross‐functional training decreases conflict directly. The effect of cross‐seller performance on conflict is less pronounced as group cohesion increases.

The research was carried out in a single setting, automobile dealerships, and only two controls, one formal and one informal, were examined.

The results indicate that salespeople view the performance of each type of specialist differently depending on the specialists' goals. Based on this finding, the paper provides guidelines for which formal and informal controls are likely to be effective for reducing conflict between different frontline functions.

The paper shows that salespeople view servicer performance positively and cross‐seller performance negatively. Thus, the research adds to the understanding of cross‐functional relationships among specialized frontline employees.

The key objective of this research is to test how two trust dimensions (cognition‐based trust and affect‐based trust) mediate the effects of three personal characteristics (psychological distance, the marketing manager's sales experience, and the marketing manager's relative level of formal education) on the following outcome variables: dysfunctional conflict, functional conflict, and perceived relationship effectiveness.

Drawing on the interaction approach, the paper develops a conceptual framework to better understand the nature of the working relationship between marketing managers and sales managers. In total, it develops and test 13 hypotheses. Partial least squares was used to assess the validity of the measures, and to estimate the structural model. Using a cross‐sectional design, data were collected from 101 marketing managers in Australia.

The hypothesized model has high explanatory power and it was found that both trust dimensions strongly affected all three outcome variables. However, though both forms of trust were positively related to perceived relationship effectiveness, affect‐based trust had the strongest impact on this outcome. The results also confirm that both cognition‐ and affect‐based trust have negative effects on dysfunctional conflict, and strong positive effects on functional conflict. In addition to these new findings, the paper shows that while psychological distance has a strong negative impact on cognition‐based trust, it has no impact on affect‐based trust. Moreover, it was found that when marketing managers had greater levels of sales experience, it increased their affect‐based trust but it had no impact on cognition‐based trust. Finally, the marketing manager's relative level of formal education had no impact on either forms of trust.

This is one of a handful of studies to employ a large‐scale empirical approach to examine the neglected cross‐functional relationship between marketing and sales. Also, it is one of the few studies to examine the effects of cognition‐based trust and affect‐based trust on performance outcomes.

To identify, classify, and propose a preliminary theory of the value conflicts and social choices that arise in enterprise system use.

Ethnographic case study of a medium‐sized manufacturing firm, using a participant‐observer approach.

Three areas of value conflict are identified between functional areas: conflicts over work priorities, conflicts over dependency on the commitments of others, and conflicts over evaluation fairness. When participants perceived that the value conflicts were accommodated in a balanced and legitimate way, they chose to use information resources within the enterprise system. When the conflicts were perceived as too great, participants chose to ignore the enterprise system, or develop their own competing information resources.

This paper reports on theory building from one intensive case study. It implies, however, that previous attempts to account for the difficulty of enterprise resource planning (ERP) use have not focused enough on the social relationships between the functional areas that are tightly integrated through enterprise systems.

The three value conflict questions (work priorities, dependency on commitments, and evaluation fairness) can be used to identify potential ERP problem areas, and to clarify the costs and benefits of different ERP choices for various functional areas.

For information systems researchers and practitioners, this paper offers another means for identifying value conflicts and social choices in computerization, hopefully bringing us closer to Rob Kling's dream that computerization choices be made in a more socially benign way.

Rising expectations for exceptional customer experiences demand strategic amalgamation of cross-functional, customer-focused teams (marketing/sales/service departments). However, the long history of interface conflicts between functional teams continues to attract research attention. Past research has given more attention to conflicts between marketing and sales teams than to triadic interface conflict between custom-focused teams and their sub-conflicts in a business-to-business (B2B) sales process. The purpose of this research paper is to quantify the triadic interface conflicts and associated sub-conflicts between customer-focused teams, discuss conflict resolution strategies and perform a sensitivity analysis (SA) to give a fuller account of functional team conflict.

Multi-criteria decision-making (MCDM) based in the analytic hierarchy process (AHP) is proposed for identifying and resolving conflicts in customer-focused team interfaces. A group of 30 managers of a large electronics company participated in this research. The authors collected the data from customer-focused team managers during training sessions on interface conflicts and conflict management/resolution strategies. The authors perform SA to test the robustness of conflict resolution strategy rankings.

The findings reveal that managers adjudge task as the most crucial conflict attribute driving teams apart, followed by lack of communication. For the sub-conflicts, managers considered how to do the task as the most important conflict attribute, followed by lack of regular meetings. For conflict resolution strategies, managers regarded collaboration or integration as the overall best strategy, followed by compromise. Leveraging the AHP-based MCDM to resolve customer-focused team interface conflicts provides managers with the confidence in the consistency and the robustness of these solutions. By testing the SA, it is also discovered that the final outcome stayed robust (stable) regardless when the priorities of the main criteria influencing the decision are increased and decreased by 5% in every combinations.

This study examined only a large B2B company in the electronics industry in African and Middle East settings, focusing on interface conflicts among customer-focused departments. Future research could address these limitations.

This paper advances our understanding of customer-focused team interface conflicts in a B2B sales process. It also provides valuable insights on effective management of major and sub-interface conflicts. This paper provides a framework for and practical insights into how interface conflicts that are prevalent in marketing, sales and service sectors can be resolved to improve customer experience and business performance.

This study contributes to the literature by developing an AHP-based MCDM, which not only extends our conceptual understanding of the interface conflicts between customer-focused teams by emphasizing their triadic nature but also provides valuable strategies and insights into the practical resolution of such conflicts in a B2B firm’s sales process. Methodologically, SA is valuable to ensuring the robustness of the conflict resolution strategies’ rankings that will influence relevant pragmatic decision-making.

Sustainable operations management is characterized by environmental, social and operational goals. The implementation of routines to protect and direct the effective use of human capital is proposed to potentially improve all three dimensions. However, functional managers with overlapping responsibilities at the plant-level might implement human capital routines based on their individual functional schemas. The purpose of this paper is to investigate whether functional managers have conflicting perceptions of human capital routines, due to narrow perceptions benefiting their own functional domain, and thus generate trade-offs.

A combination of matched survey and archival data from 198 manufacturing plants is used to explore the degree to which functional managers have conflicting perceptions of human capital routines and the effects of these perceptions on sustainability outcomes.

The results indicate that on average functional managers have conflicting perceptions that generate trade-offs between sustainability dimensions. However, when functional managers had a shared perception better outcomes on all sustainability dimensions are shown. Thus, human capital routines can be a powerful tool for sustainability only if senior management can promote a shared schema across functional managers.

Differently than most previous studies assuming shared sustainability goals within an organization, this study considers a multiplicity of functional actors with potentially varying perceptions about sustainability goals and links these to organizational routine implementation and outcomes. Additionally, the dynamic and subjective nature of organizational routines, such as human capital routines, is proposed to explain contradictory impacts in a multi-objective setting such as sustainable operations management.

In this paper, extending the research on the positive effects of marketing channel conflicts, this paper aims to examine how functional and dysfunctional conflicts influence channel innovation capability by triggering channel cohesion and investigate the moderating role of a distributor’s network structure.

Based on social network theory and Coser’s conflict theory, this paper develops a framework, tested using Chinese manufacturers’ data, which incorporated six key variables, namely, functional conflict, dysfunctional conflict, channel cohesion, channel innovation capability, network density and network centrality.

The empirical results revealed that functional conflict can arouse channel cohesion and that distributor network density and centrality positively moderates this relationship; dysfunctional conflict negatively affects channel cohesion, but distributor network density negatively moderates this relationship; channel cohesion had a mediating effect on the relationship between channel conflict and channel innovation capability.

This paper contributes to the research on channel conflict by incorporating the entire channel system’s innovation capability as a positive consequence of channel conflict and expands the channel conflict literature that adopts a network structure perspective.

The purpose of this paper is to test the impact of manifest conflict on performance outcomes. In particular, this paper aims to examine the moderating effect of the supplier’s customer orientation (CO) as perceived by the buyer on the conflict-performance outcomes relationships in international channel relationships.

A survey of 162 Australian importers was conducted to elucidate the associations among manifest conflict, CO and performance outcomes.

Manifest conflict was found to be negatively related to the importer’s evaluation of the exporter’s overall performance, which is consistent with previous work. However, CO was found to moderate the negative direct effect of manifest conflict on two outcome measures, “satisfaction with business outcomes” and the “evaluation of the exporter’s overall performance”. Moreover, it actually changed the effect from dysfunctional to functional for “evaluation of the exporter’s overall performance”. That is, CO changes the nature of the manifest conflict–outcome relationship by turning it from negative to positive.

This research helps answer the appeal for research on the conditions in which conflict causes dysfunctional and functional outcomes. From a practical standpoint, providing the importer views the exporter as being customer-oriented, conflict should not be avoided if it stems from disagreements that arise due to the exporter acting in the best interests of the importer. The power of CO in affecting the functionality of outcomes resulting from conflict should be highlighted.

Conflict is a fact of life in channel relationships, but little is known about its functional and dysfunctional effects (Frazier, 1999; Skarmeas, 2006). The empirical evidence largely points to conflict being dysfunctional; however, research also indicates that context can play an important role in moderating the functionality of conflict. In this paper the authors ask: what role does CO play as a determinant of the functionality of manifest conflict in channel relationships? They argue that the exporter’s CO changes the context in which the importer and the exporter interact and, thereby, changes the way in which the importer interprets the supplier’s actions.