Precision cost management
Implementing organizational conflict risk assessment in financial control:
1. Strengthens financial governance
2. Reduces direct and indirect conflict-related costs
3. Mitigates risks to fiscal health and stability
Our comprehensive approach highlights the wide-ranging impacts of organizational environment quality and internal conflicts on financial performance and overall organizational health.
Organizational conflict costs include:
Individual level:
- Psychological impacts: mood changes, dependencies, sleep disturbances
- Increased absenteeism
- Stress-induced illnesses
Organizational level:
- Higher employee turnover
- Wasted time in unproductive discussions
- Deteriorating internal climate
- Reduced collaboration and productivity
- Obstructionism in task completion
- Harmful workplace behaviors
- Inefficient decision-making and production processes
- Potential penalties and legal costs
- Missed business opportunities
- Management time diverted to conflict resolution
- Increased external consulting expenses
- Elevated safety risks
Intangible asset devaluation:
- Decreased employee motivation and engagement
- Reduced employee retention
- Damaged reputation among stakeholders
Benefits for financial controlling
Cost identification
HOWAR's models consider the effects of interpersonal and organisational conflicts to comprehensively identify risks to financial control. This holistic approach ensures a thorough understanding of potential threats, allowing for the identification of the main issues that may arise.
Improved governance
The tools assess conflict risk at multiple levels, enhancing the organization's financial governance and fostering a conducive work environment that ensures alignment with financial objectives and strategies.
Better decision-making
HOWAR's methodology considers a wide range of potential conflicts that could affect financial decision-making.
Decision-makers gain a more comprehensive understanding, which enables them to make more informed and robust financial decisions.
Integrity safeguards
HOWAR's tools mitigate the risks to financial integrity that may arise from organizational conflicts. By addressing these conflicts, the organization can safeguard against financial mismanagement, fraud, or errors that may result from disagreements among employees.