8. April 2026
In every organisation, valuable energy is sometimes lost in heated discussions or internal skirmishes – instead of being invested in customer satisfaction or forward‑looking projects. Conflicts are part of everyday working life, but they can quickly become expensive drains on resources if not addressed proactively. In this article, next level expert Katharina Heger explains how to handle them effectively.
A well‑known study suggests that managers spend up to 25 per cent of their working time dealing with conflicts. Added to this are hidden costs such as absenteeism, demotivation or even resignations. When you calculate these factors together, the total easily reaches several thousand euros per employee per year.
"When tensions are not addressed early, they consume more and more energy and can lead to major blockages. In the end, they cost time, money and nerves." – Katharina Heger
Early detection and open discussion of conflicts are therefore essential to prevent financial damage and strengthen team cohesion.
When we think of “conflict”, we often think of interpersonal tensions. Yet Peter Ferdinand Drucker (1909–2005) pointed out that most organisational conflicts arise from unclear structures, processes and roles. As the renowned management thinker said: “The only thing a manager does not have to worry about is conflicts: they arise by themselves.” Unspoken responsibilities, lack of transparency or contradictory goals create uncertainty and friction. These structural obstacles must be addressed first.
Clear processes, defined responsibilities and a transparent organisational culture are not a luxury – they are essential for reducing conflict. Many organisations realise too late how quickly professional leadership structures and cultures pay off, not only in terms of work quality but also in financial results.
Conflicts become particularly costly when they escalate. Friedrich Glasl’s conflict escalation model describes nine stages of escalation – each stage involves more hardening, more effort and higher costs. Early intervention therefore saves a great deal of money and frustration. This requires an open culture of feedback and learning, where teams reflect regularly, discuss issues openly and are not afraid to address taboo topics.
Artificial intelligence can play a valuable role in conflict prevention. It does not replace personal conversations, but it can act as a critical dialogue partner that is quick and easy to access.
AI setups like those we presented at the change:maker event help identify blind spots in communication and collaboration at an early stage. AI reads between the lines, forms hypotheses about unspoken messages and allows organisations to simulate different responses in typical conflict situations. Understanding potential conflict triggers early lays the groundwork for more constructive conversations – before tensions turn into disputes.
Conflicts are inevitable, but they do not need to result in financial loss or human disruption. With the right strategy – from clear structures to the courage to address uncomfortable topics – organisations can turn apparent obstacles into valuable learning moments.
Good processes, clear structures and a progressive organisational culture in which teams grow and become more resilient are not “nice to have” – they are essential. They ensure that people can work effectively, free from unnecessary tension, and develop their full potential.
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