Research Of The Conflict Of V Company's Material Resources Integration Division

The industry of the semiconductor belongs to Hi-Tech industry that everybody admires. Its gross profit rate reached more than 50% easily in prosperous times. But it drops seriously after 2001 because too much input of competitors causes overproduction. In 2007-2008, the price of crude oil and material go up and it makes the operating cost rise. Then global demand goes down seriously due to storm of sub-prime mortgage and financial tsunami of Wall Street. Every company faces the big challenge of survival. And accordingly V Company established the Material Resource Integration Division (MRID) in 2005 to reduct cost . Hundreds of millions of cost reduction by MRID results to V Company's leading low cost advantage every year.The purpose of this research is to study the conflict existed between MRID and other departments,the reason behind the conflict, and the solution to the problem. Therefore, the conflict can be reduced, the overall performance of V company can be improved, and the study can be a useful reference to other companies when they establish similar departments.The first step is to collect the conflict phenomena of Material Resource Integration Division. After sum up, it is revealed that the causes of conflict are job overlapping, unfair performance distribution and interpersonal communication inefficiency. Then some tactics are proposed to dissolve conflict:"build up mutual trust"and"varies the role"to relax the impact of job overlap;"make concessions"and"design new performance assess platform"to solve the issue of unfair performance distribution; a set of intact"training courses"to reduce communication inefficiency.The above tactics are applied to solve the MRID-related cross-departmental conflicts. The result shows that the solution has really functioned. The MRID department reached the company's goal of cost reduction, and most of the staff do not report the existence of conflict.