Transcript ADR in Business

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Introductions
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Biography
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Agenda
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What is Conflict?
Role of ADR
ADR Continuum
Benefits of ADR
Case for Mediation
Case Studies
ADR Institute of Ontario
Questions
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What is Conflict?
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Ubiquitous and universal
Not necessarily negative or undesirable
Hostile feelings between two or more parties
Diverging interests
An opportunity for growth, change and
learning
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Role of ADR
• Acronym for alternative dispute resolution
• ADR is about options for resolving disputes
as an alternative to traditional litigation
• Consensus-based approaches to dispute
resolution
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Role of ADR (cont’d)
• Understanding the circumstances
surrounding conflict or dispute
• Responding with an appropriate management
or resolution process
• Different ADR options may be applicable at
different stages of a dispute
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ADR Continuum
Decreasing control, flexibility, and chance of win-win
outcome
ADR Processes
Adjudicative Processes
Facilitation
Training
Fact-Finding
Mediation
Litigation
Arbitration
Increasing coercion and hostility.
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Benefits of ADR
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Flexible
Greater control over timing and process
Cost effective
Voluntary and informal
Private and confidential
Durable outcomes
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Benefits of ADR (cont’d)
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Relationship-saving
Can be customized
Process-oriented
Competitive advantage
Creative solutions
Empowering
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Case for Mediation
• Mediation is the most widely known and
utilized ADR option
• Based on a mail and phone survey of 528 of
the largest U.S. corporations*:
– 88% have used mediation
– 81% said that mediation provides "a more
satisfactory process" than litigation
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Case for Mediation
(cont’d)
– 90% view mediation as an effective costsaving measure
– 82% said that the main reason to use
mediation is that it allows the parties to
resolve dispute themselves
• From a litigation standpoint, 95% of civil court
cases settle out-of-court **
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Case Study for Facilitation
Definition: neutral party helps a group work
together more effectively in a collaborative or
consensus-building process
Situation: parties aiming towards a common
goal but differ in approach
Process: facilitator is “assistive”
Outcome: collective agreement
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Case Study for Mediation
Definition: neutral mediator assists the
disputing parties reach a negotiated
settlement; s/he does not decide the case;
usually confidential and non-binding
Situation: parties more hostile to each other
but willing to work towards resolution with
assistance
Process: mediator is “intermediary”
Outcome: win-win
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Case Study for Arbitration
Definition: neutral arbitrator makes a final
decision for the parties, however the parties
control the content and procedure (vs.
litigation)
Situation: parties unwilling to work towards
mutually satisfactory resolution because of
hostility, time or cost constraints ,etc.
Process: arbitrator acts as “rent-a-judge”
Outcome: win-lose
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Case Study for Third Party
Neutral
Definition: neutral third party with subject
matter expertise examines and evaluates the
disputed facts central to a case
Situation: specific knowledge or expertise
required
Process: evaluative and informative
Outcome: information assists disputing parties
in achieving resolution of the matter
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Case Study for Conflict
Management System Design
Definition: “an approach to conflict management,
grounded in a marriage of organization development,
dispute systems design, and alternative dispute
resolution principles and best practices”**
Situation: organizational-based conflict management;
large group-oriented focus
Process: considers corporate hierarchy, philosophy,
style, etc.
Outcome: smoothly functioning organization
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Case Study for Skills Training
Definition: trainer teaches the skills necessary
to manage conflict
Situation: conflict management on an
individual or organizational level
Process: educational
Outcome: ability to manage conflict in one’s
own or others’ relationships in any context,
e.g. business, family, etc.
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ADR Institute of Ontario
• Not-for-profit organization with ~800
members
• An affiliate of the ADR Institute of Canada
(~1800 members)
• Offers a directory of qualified ADR
practitioners accessible through the website
• Code of Conduct and Rules of Practice
• Education, training and Accreditation
• Advocacy
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ADR Institute of Ontario (cont’d)
Alternative Dispute Resolution Institute of Ontario
www.adrontario.ca
For more information, contact:
Mena Peckan, Membership Services Manager
416-487-4447
[email protected]
Questions?
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