Why advisers should confront conflicts head-on

For years, James Barnash brushed aside conflicts at work, hoping the situation would get better. But instead, it made things worse.
“I used to bury the conflict for a while, and then something very minor would set me off,” said Mr. Barnash, a consultant with Stride Consulting Inc., which works with about 30 advisory firms. “My doctor told me I need to deal with my emotions at the time and that I’ll feel better later.”
For advisers and other financial services professionals, not dealing with problems can lead to very serious health issues. A study released last week by the Journal of Epidemiology and Community Health found that when men walk away from — or keep silent during — a conflict at work, they have a higher risk of having a heart attack or dying from heart disease. The study looked at 2,755 men in a workplace setting for 10 years, starting in 1992.
By 2003, 47 had heart attacks or died from heart disease. The research discovered that men who walked away or kept silent — rather than confront conflicts or unfair treatment at work — were about twice as likely to have a heart attack. Women were also included in the study, but too few of them had heart-related issues, so no conclusions were given.
This research confirms what Mr. Barnash has suspected for some time. He said he now works closely with advisers and tries to teach them how to deal with conflict head-on — whether it’s with co-workers or clients.
“If you’re holding that tension in, it has to show up somewhere,” he said. “I try to give advisers the tools to be courageous to deal with conflict.”
In the end, it’s more productive to be vocal when you disagree with a boss, colleague or client, said Frank Congemi, an adviser who manages $100 million in assets with LPL Financial.
“I would rather let someone know how I feel and have it pass then have it bottle up and fester, and have it come out in a negative way,” he said. “Some people say I’m negative because I speak my mind. But that’s not true; it’s just a difference of opinion.”
Mr. Congemi said he also needs to address conflicts with clients. Sometimes he tells them things they don’t want to hear, he said, but if he feels it’s the right decision, he must be candid with them.
“It’s my ass on the line every day in this market,” Mr. Congemi said. “With all of the stress in this business, I’d much rather do what I think is right.”