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Our heads of sales and operations have a bitter personal conflict that turns every executive meeting into an argument over who dropped the ball. How do we resolve lateral peer conflict between two high performers without playing referee?

Lateral warfare between sales and operations is the most common fracture on entrepreneurial leadership teams. When peer conflict turns personal, it poisons the entire organization. Cracks at the leadership table become canyons to frontline staff, who quickly take sides and mirror the hostility.

Stop acting as a mediator who hears grievances behind closed doors. Force the issue into the open through structural accountability.

- Eliminate side triangulation immediately. If the sales leader complains to you about operations in private, shut it down. Inform them that the issue will be brought directly to the Level 10 Meeting or addressed face to face with the peer present. Private venting breeds politics.
- Isolate the dispute on the Accountability Chart. Ninety percent of peer conflict is rooted in ambiguous decision rights. Look at the five core roles under both seats. Determine exactly where the handoff between sales promises and operational delivery occurs. One person must own the handoff, and both must agree to the boundary.
- Run the issue through IDS with raw honesty. Frame the issue as an enterprise problem rather than an interpersonal grudge. Ask: what is best for the company, regardless of either department's pride?

If the structural boundaries are crystal clear and the hostility persists, you are dealing with a Core Values violation. No matter how much revenue they generate, if two executives refuse to maintain vulnerability-based trust and mutual respect, one or both must leave the business.

Category: Leadership Team

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