A physical setting to conduct group counseling and mediation is provided; this setting consists of a series of rooms or room partitions divided and organized to facilitate communication and conflict resolution among participants representing the parties to a conflict. A method for producing a consultant's report containing recommendations for resolving a specific conflict is also provided. This method is used by a consultant, counselor or mediator working with three or more parties in conflict; for example, at a workplace, within a local community, in a school, or within a family. The method involves defining the conflict, and dividing the participants into three groups which discuss the conflict among and within the groups under the guidance of the consultant, in a sequence of steps which encourage exchange and mutual understanding. Finally, the consultant delivers a written or oral report with recommendations for resolving the conflict.