Describe alternative dispute resolution, including the most common techniques. Explain its increase in use.

Question

What will be an ideal response?

Answer 1

Alternative dispute resolution (ADR) systems are company-sponsored attempts to resolve a problem by bringing in an impartial outsider but not using the court system. ADR techniques are becoming more popular because they can help resolve disputes in a timely, constructive, and cost-effective manner.

The most common techniques of ADR systems include:

1) Open-door policy: Based on the expectation that two people in conflict should first try to arrive at a settlement together, the organization has a policy of making managers available to hear complaints. Typically, the first "open door" is that of the employee's immediate supervisor, and if the employee does not get a resolution from that person, the employee may appeal to managers at higher levels.

2) Peer review: A panel, composed of representatives from the organization that are at the same level as the people in the dispute, hears the case and attempts to help the parties arrive at a settlement.

3) Mediation: A neutral party from outside the organization hears the case and, via a nonbinding process, tries to help the disputants arrive at a settlement.

4) Arbitration: A professional arbitrator from outside the organization hears the case and resolves it unilaterally by rendering a specific decision or award. Most arbitrators are experienced employment lawyers or retired judges. Generally, both the employee and employer have to accept this person's decision.