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This study aims to investigate conflict management practices in dealings between key functions such as Marketing, Sales, Research & Development and Production. Managing cross-functional relationships is crucial for organizational innovation and development in today’s competitive world. Review and synthesis of the relevant literature indicate that conflict influences heavily cross-functional relationships. Organizational effectiveness requires strong collaboration between functional units in an ever changing business environment. Collaboration includes the attribute of integration, since managers try to attain common goals linking cross-functional communication with the utilization of conflict management practices styles in handling disputes. Managers are likely to understand that the interests of their function are served best when the interests of the other functions are also served well. This could mean that they try to build a positive relationship and put emphasis on collectivism and functional conflicts building on integration processes and practices.