According to research conducted by L. D. Brown (Managing Conflict of Organizational Interfaces, Reading, Addison-Wesley, 1986), both the absence and the excess of conflict are non-functional extremes in an organisation.
  

Low no. conflicts/negative results.
With a total lack of conflict, you lose the advantage of being able to see a concept from more than one angle, of having to reflect self-critically on your assumptions of responsibility, or being aware of the possible risks or downsides related to its proposal (lack of devil's advocate).
high opportunity costs, low level of creativity.

High no. conflicts/negative results.
With an excess of conflicts, the organization may lose too much time and energy finding a solution that can satisfy the parties involved in the conflict.
high energy time dispersion, low level working atmosphere.

trade off conflicts