In the complex ecosystem of modern organizations, clashes between departments are not uncommon; in fact, they’re practically inevitable. Still, while these conflicts can arise from a myriad of sources – differing perspectives, goals, strategies, etc – it’s possible, and necessary to effectively manage things. 

Take HR and Finance for example. Whether you run a bookkeeping business or a law firm, you want to manage the conflict between these two departments if things are going to run smoothly. So here are 3 tips. 

Promote Open Communication

You want to promote open communication because it’s the glue that holds teams together – it builds trust and keeps everyone on the same page. When people feel heard and understood, they’re more likely to work together smoothly.


  • Schedule regular meetings or forums. Make it a habit to get together often, whether it’s weekly check-ins or monthly brainstorming sessions. 
  • Encourage feedback. Let people know it’s okay to share their thoughts and ideas, whether it’s through suggestion boxes or online surveys
  • Lead by example. Show your team that you’re serious about open communication by being approachable, listening actively, and being transparent about decisions and changes.

Focus on Shared Goals

Focusing on shared goals is reminding everyone they’re on the same team – it keeps everyone motivated and moving in the same direction. Even though HR and Finance have different roles, they’re all working toward the same big picture.


  • Identify common objectives. Sit down with department heads and hash out the big goals everyone can get behind, whether it’s boosting profits, making employees happier, or driving innovation
  • Communicate the importance of collaboration. Keep reminding your team why it’s so important to work together, sharing success stories of past collaborations, and showing how their efforts impact the organization as a whole
  • Foster cross-departmental teamwork. Encourage folks from HR and Finance to team up on projects or task forces. When they see each other’s strengths in action, it builds respect and camaraderie.

Conflict Resolution

Mediation and other kinds of conflict resolution are like the superheroes of office drama – they swoop in to save the day before things get out of hand. When tensions flare between HR and Finance, having a structured way to work through disagreements can keep everyone sane.


  • Designate a mediator. Have someone on standby who’s good at smoothing things over, whether it’s a manager or an outside consultant
  • Establish ground rules. Lay down some basic rules for resolving conflicts, like keeping things confidential and focusing on finding a solution that works for everyone
  • Encourage empathy and compromise. Remind folks to put themselves in each other’s shoes and look for common ground. Sometimes, a little give and take is all it takes to find a solution that satisfies everyone.

You want your departments to work together as otherwise consequences range from low employee retention to loss of profits. Try these tips for these two departments. 

By Eddy

Eddy is the editorial columnist in Business Fundas, and oversees partner relationships. He posts articles of partners on various topics related to strategy, marketing, supply chain, technology management, social media, e-business, finance, economics and operations management. The articles posted are copyrighted under a Creative Commons unported license 4.0. To contact him, please direct your emails to [email protected].