CAIIB · Advanced Bank Management · Module B — Human Resources Management
CAIIB ABM Unit 15 — Conflict Management and Negotiation: Free MCQs with Explanations
By Swarnakshi Jha (ex-banker) · Updated 29 October 2026 · Paper I of the December 2026 cycle (Sunday 6 December 2026)
This is the free practice page for CAIIB ABM Unit 15 — Conflict Management and Negotiation (Module B — Human Resources Management). The CAIIB Mock Centre holds 148 questions on this unit alone, every one with a why-right / why-wrong explanation; below are the facts examiners keep returning to, five practice questions with explanations, and the traps that cost marks.
ABM · Module B148 MCQs in the Mock Centre5 free belowPaper on 6 December
Key facts examiners test from this unit
Conflict: concept, characteristics and views — conflict is inevitable and normal; whether it helps or harms depends on diagnosing and resolving it well.
Types of conflict — task conflicts are easiest, relationship conflicts hardest, value conflicts need understanding; inside a person, goals, frustration and roles collide.
Reasons for conflict and its phases — differences, needs and ego start conflicts; they pass from prelude through trigger, initiation and differentiation to resolution.
Changed since the textbook
Industrial Relations Code, 2020 in force: formal channels for workplace disputes (21 November 2025). With the four Labour Codes in force from 21 November 2025, the Industrial Relations Code, 2020 governs industrial disputes. Every industrial establishment with 20 or more workers must have a Grievance Redressal Committee, with equal numbers of employer and worker members (not more than ten in all), which must settle an individual worker's grievance within 30 days. A union with 51% or more of the workers is the sole negotiating union; otherwise unions with at least 20% form a negotiating council. Source: PIB
5 free practice questions — tap an option
Five practice questions from this unit. Answers lock on the first tap, exactly as in the exam, and an explanation opens underneath. The Mock Centre has all 148 questions on this unit, from easy to tough, with caselets and key-in numericals, why every other option is wrong and the exam tip — and tracks your score and revision dates.
Question 1 of 5
Which of these is NOT one of Hocker and Wilmot's principles of conflict?
Why (c): Hocker and Wilmot say conflict cannot always be resolved; the other three are among their principles. (a) is wrong: That is a principle. (b) is wrong: Universality is a principle. (d) is wrong: That is a principle.
Question 2 of 5
An officer refuses to sell a product that, he says, goes against his beliefs. Following Susskind, how does the textbook advise handling such a value conflict?
Why (b): Value conflicts rest on beliefs and identity, so pressing for a decision heightens defensiveness, distrust and alienation (Susskind). The advice is to aim for mutual understanding and respect through dialogue rather than a resolution. (a) is wrong: A firm ruling suits task disputes; on values it heightens defensiveness. (c) is wrong: The conflict is about beliefs, not about his partner. (d) is wrong: Joint brainstorming suits task conflicts; values may not converge on one solution.
Question 3 of 5
What happens in the resolution phase of a conflict?
Why (c): In the resolution phase the parties try to reconcile and compromise, and the options for resolving the conflict are explored. (a) is wrong: That is the triggering phase. (b) is wrong: That is the initiation phase. (d) is wrong: That is the prelude.
Question 4 of 5
Finding a solution that entirely satisfies the concerns of all involved parties is the approach of:
Why (d): Collaborating finds a solution that entirely satisfies all parties. (a) is wrong: Accommodating satisfies the other side. (b) is wrong: Compromising only partly satisfies them. (c) is wrong: Competing satisfies one side.
Question 5 of 5
Two clerks at a branch dispute how cash-counting duties are shared between them. Who is primarily responsible for resolving this through negotiation?
Why (c): Resolving conflicts between employees over responsibilities or quality of work through negotiation is a primary duty of supervisors and managers: here the branch manager, who knows the work and the people. HR, the union or a mediator may support the effort but do not own it. (a) is wrong: HR may support, but the duty lies with the supervisor. (b) is wrong: The union may represent the clerks but does not own the duty. (d) is wrong: A mediator is for disputes the manager cannot settle.
0 of 5 answered.
Traps in this unit
Robbins calls the third view "interactionist".
Fixation = keep trying; compromise = new goal.
Trigger ≠ initiation.
Practise all 148 questions on Unit 15. The free CAIIB demo opens Units 1–2 of every paper with full explanations; the ABM Online Mock Centre unlocks all 4,600+ ABM questions, the full-length papers with caselets and key-ins, module mocks and Smart Revision for 18 months (₹1,499).
Independent study aid — not affiliated with, endorsed by, or sponsored by the Indian Institute of Banking & Finance (IIBF). Exam pattern, dates, fees and passing criteria are set by IIBF — always confirm the current rules at iibf.org.in. CAIIB content follows rules and developments up to IIBF's cut-off of 30 June 2026 (where a rule changed later, the update box says so); verify from official sources before relying on them in practice.