Texana Petroleum Corporation - 1338 Words

Conflict in Organizations Texana Petroleum Corporation Background The Texana Petroleum Corporation is a multi-million dollar company and major producer and marketer of petroleum products located in the southwest United States. Texana has five product divisions: Petroleum Products Division, Polymer and Chemicals Division, Molded Products Division, Packaging Products Division and Building Products Division. The President and Chief Executive Officer, Roger Holmes retired in 1993 and was replaced with Donald Irwin, brought in from a major chemical company. William Dutton, who had worked for Texana his entire career and reported to Roger Holmes, was appointed chairman of the board. Irwin and Dutton expanded the company’s involvement†¦show more content†¦2. That Polymer and Chemicals Division is â€Å"not interested in what they are doing, particularly if it doesn’t have a large return for them.† These divisions clearly have a conflict because of differing goals. 3. Believe they cannot trust the Polymer and Chemicals Division even if it is received in writing. The end-use divisions perceive this as a threat to their individual divisions. Managers from Polymer and Chemicals Division shot back with their concerns: 1. They feel that indeed the divisions are growing apart and therefore there is indeed a conflict between the divisions. 2. The other divisions are not looking at what products and services they have and leaving Polymer with products that will not show a profit. Polymer is pointing the finger back at the other divisions. This shows that there is no collaboration or cooperation between divisions. 3. Polymer feels that corporate is not doing enough to integrate the divisions. It appears that executive management is avoiding this conflict in hopes that it resolves itself. Sometimes this works, but in this case it appears to be getting worse as time goes on. 4. Polymer also states that their believe is that the other sister divisions are operating as â€Å"very closed organizations.† Therefore, Polymer believes the others are operating independently and the other divisions believe Polymer is too. Executive Management needs to step in to mediate these conflicts. It