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Joe is the human resources officer of a firm that is going through a period of cost-cutting. Joe sees the need to create a new position and appoint a highly qualified and skilled person for it. The new position will require a person who can travel throughout the state, liaise with staff and establish close links with the firm's clients to achieve a more clients to achieve a more client-directed service. Joe realises the cost of this appointment is not acceptable to the firm, bur believes it is vital for the form's growth. Joe prepares to negotiate with his manager, Beth. She has been told by her divisional head that no more staff can be employed unless the new position will make a real difference to the firm's performance. In their last meeting, her divisional head said. 'Remember, don't be soft when your staff ask you to make a new position. Unless it is essential, we can't afford it'.
a. Define Joe's problem.
b. What are the resources of potential conflict in this situation?
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