Based on a three-year study with Bang & Olufsen, the authors Fredrik Hacklin (Head of the ZHAW International Business Department), Giacomo Cattaneo, Andrea Carugati, and Lars Frederiksen demonstrate in their article "The Long Tail of Conflicts in Innovation Projects: Conflicts and Their Impact on Strategic Renewal" (Project Management Journal) how tensions within projects can lead to company-wide transformations.

Their key insight: Conflict can unlock opportunities for learning that ripple across the organization. Whether it’s disagreements over resources or competing priorities, conflict forces teams to think critically and break out of their comfort zones. In B&O’s case, tension between R&D and product teams over integrating new technologies didn’t just get resolved—it led to a rethink of how their entire product range was designed and integrated, reshaping company practices for years to come.

Takeaway for Leaders: Conflicts can be a goldmine for strategic renewal if you focus on managing them constructively. Whether you're dealing with jurisdictional clashes or differing task priorities, the key is to shift the conversation from the immediate problem to broader, long-term improvements. Engage the right stakeholders and encourage transparency to allow conflicts to surface, and treat these moments as learning opportunities rather than threats.

What you can do:

1. Foster open communication across project teams—especially those with differing priorities. This helps surface conflicts early and constructively.
2. Shift focus from resolution to transformation. Instead of settling disputes quickly, explore how the conflict could inform long-term strategic improvements.
3. Involve cross-functional leaders early on. As we saw in B&O’s projects, involving the right leaders—especially those in system engineering—helped break through silos and connect product teams in new, innovative ways.