THE BLOG
04/17/2015 09:20 pm ET Updated Jun 17, 2015

How to Prevent Disputes in Business Relationships?

A business entails many types of relationships, all of which are crucial to its success: relationships with suppliers, customers, business partners and employees can all lead the business towards success, or weigh it down and slow it down.

Business partners or co workers may start their business relationship with wonderful ideas, enthusiasm and drive, but unless proactive communication is prioritized in the business relationship, much frustration and many misunderstandings may take the place of good energy and productive work.

Proactive communication is one of the most challenging key components for any organization. The reason is, that while each party may think they are communicating clearly, in reality, the two parties may have two very different ideas of what they have discussed, assumed, or "agreed on" in mind.

For that reason, before you start a business, a new department, or begin your job in a new position, here are five major proactive steps you should take:

Step 1: Set Up Written Ground Rules:

Oral communication is oftentimes a recipe for trouble as oral conversation can be perceived quite differently by its participants. Make sure to discuss the ground rules first, and then to follow up with written communication.

Step 2: Communicate Regularly:

Communication within your business or your organization is key. A productive work environment should be at the top of your list. It affects sales, productivity, client relationship- it really affects all aspects of the business. Make it your priority to communicate on a regular basis.

Step 3: Make Mediation Your Tool:

Do not hesitate to use a professional mediator if needs be, and to expand your knowledge in business mediation. Your would be surprised at how effective mediation can be in resolving conflicts within your business, organization or department. Consider it an essential skill for every manager.

Step 4: Remain Proactive at All Times:

Challenges and conflicts can be learned from and prevented from happening again. Be as proactive as possible in your communication style whenever challenges arise. Always think: how can we make sure this does not happen again? What can we learn from this going forward? In every conflict, there is potential learning and growth.

Being proactive, knowledgeable and resourceful when it comes to preventing disputes in a business relationship, goes a long way, in terms of increasing sales, improving motivation and productivity. Learning how to handle disputes correctly is therefore a critical skill in managing a business, an organization or a department, and should be prioritized in the establishment and management of every organization.

Good luck!