Publications
Publications
- January 1999
Seneca Systems (B): General and Confidential Instructions for C. Stevens, Vice President, Assembly Division
Abstract
Seneca is a three-party negotiation-mediation simulation. The context is a product failure crisis in a manufacturing company with highly autonomous units. The heads of two divisions are in a dispute over who has responsibility for failures in a key product. The head of a third division is attempting to mediate a resolution to the dispute. Unlike many mediation simulations, the mediator has both independent interests and some power to influence outcomes. Two versions of the mediator role are available. In Seneca Systems (A), the mediator can make a financial contribution to solving the problem and hence has bargaining power. In Seneca Systems (B), the mediator has some coercive power in the form of influence with the CEO and could impose a solution if the parties are unable to resolve the dispute themselves. The core teaching issues concern the tradeoffs inherent in having vested interests and power as a mediator.
Keywords
Citation
Watkins, Michael D. "Seneca Systems (B): General and Confidential Instructions for C. Stevens, Vice President, Assembly Division." Harvard Business School Exercise 899-174, January 1999.