Future Business Leaders of America (FBLA) Organizational Leadership Practice Test

Which role involves making a binding decision to resolve conflict?

1. Mediator

2. Arbitrator

3. Coach

4. Observer

The correct answer is: Arbitrator

The role of an arbitrator is specifically designated for making binding decisions to resolve conflicts. Unlike a mediator, who facilitates discussion and helps parties reach an agreement without imposing a solution, an arbitrator actively makes a decision that both parties must adhere to. This process often involves a formal hearing where evidence and arguments are presented, similar to a court proceeding. In the context of conflict resolution, the arbitrator's decision provides a clear conclusion and is legally enforceable, which is essential for situations where parties cannot reach a compromise on their own. This contrasts with other roles, such as a coach, who primarily offers guidance and support to improve performance, or an observer, who simply watches the proceedings without intervening or influencing the outcome.