University:
California State University, Northridge
Course:
MGT 456 | Negotiation and Conflict Management
Academic year:

2024
Views:

471

Pages:

26
Author:

illettemuxb

FURTHER NEGOTIATION SKILL BUILDING Preparing for Negotiation • Define your interests (don't confuse these with positions) • Analyze the other party (gather information and make sense of it) • Define issues (usually are hidden ones) • Consult with your team and constituencies (and the other side) Preparing (cont.) • Assemble issues and define the bargaining mix. A larger bargaining mix takes: – Longer to negotiate – But opens up more opportunities for collaborative solutions • Prioritize interests and issues (your own and those of the other side) Preparing (cont.) • Develop and think through strategy options • Identify your BATNAs, try to develop better ones • Set target points, resistance points (understand and identify your own limits, recognizing tradeoffs) • Develop starting points & effective openings with supporting arguments (do your homework research and organize information) Negotiation Strategy Choices Competing Content Imp. Collaborating Compromising Avoiding Accommodating Relationship Importance Competitive Negotiation • Desirable to consider collaborative negotiation in majority of situations • But this is not always possible, appropriate, or sufficient • Can combine competitive and collaborative (appropriate for contract negotiation) Competitive Negotiation • Three crucial variables: – Power – Information – Time • Strategies should discover & influence the other's resistance points • Iterative • Progression of concessions • “Commitments” are tricky Competitive Strategies • Try for settlement close to other's resistance point • Get the other side to modify their resistance point • Modify your own resistance point • Expand and/or use multiple items in the bargaining mix creatively Preventing/Dealing with Negotiation Problems 1. Reduce tension and encourage de-escalation: – – – – Take a break Active listening Acknowledge the other's feelings Make concessions to encourage reciprocation • Note the difference between accurately hearing what the other party has said plus acknowledging that s/he feels as s/he does ...and agreeing with those statements Preventing/Dealing with Negotiation Problems 2. Improve the accuracy of communication (including the concepts we practiced) 3. Control size & number of issues involved: – Fractionate big issues – Keep the number of parties small – State issues in concrete terms rather than as principles or value statements – Be selective re precedents involved Preventing/Dealing with Negotiation Problems 4. Establish commonalities: – Look for similarities in interests of the parties – Reframe the situation – Identify superordinate goals, common enemies, mutually agreeable rules and procedures 5. Make preferred options more desirable to the opponent – Refine the proposal, sweeten the offer (rather than intensify the threat) – Use objective criteria to evaluate solutions Some Negotiation Traps • • • • • • • • • Believe that there is a “fixed pie” Anchoring Escalation of commitment Framing (inappropriate & rigid) Overconfidence Use easy information (vs. more careful analysis) Using inferences rather than inquiring Biases Reactive devaluation (of other party’s concessions) What If They Are More Powerful? • Protect yourself • Try to correct the power inbalance • Know & improve your BATNA (one of best ways to deal with a more powerful other side, ch.6) • Measure proposed agreement against your BATNA (not your bottom line) • Don't add various BATNAs • Discover & consider the other side's BATNA • Decide whether to disclose your BATNA What If They Won’t Play Fair? • Four basic approaches: – Principled negotiation – Use a third party – Negotiation jujitsu – Don’t negotiate (if you have the option) Use Principled Negotiation • Same four basic principles (PIOC) • Change the game by starting a new one (apartment example p.117ff) • Remain open to persuasion by objective facts and principles • Stick to principles without blaming or attacking • Communicate information by means of questions Use PN (cont.) • Give personal support to the opposite person • Inquire about reasons for the other’s positions • Use effective listening • Present your reasons before offering a proposal • Present proposal as one fair solution, rather than your proposal One-Text Process • Best with a third-party • Single draft text • Attempts to integrate various interests & concerns • Multiple drafts • Feedback & critique from both sides on each draft • Eventually, yes or no Negotiation Jujitsu • Prevent the cycle of action & reaction by not pushing back • Don't attack their position, look behind it, channel it into exploring interests – Don't reject or accept it – Assume every position is a genuine attempt to address the basic concerns of each side – Ask them how it does this – Seek & discuss principles underlying their positions Negotiation Jujitsu (cont.) • Invite feedback & suggestions, rather than re-defending your ideas • Reframe an attack on you as an attack on the problem • Inquire and pause ("Some of the most effective negotiating you will ever do is when you are not talking“ p.112) Some Times to Avoid Negotiating • When you don’t care • When you could lose everything • When there is nothing you could gain (the other • • • • • has nothing you want) When the demands are illegal or unethical When they act in bad faith When you don’t have time When waiting would improve your position When you’re not prepared Getting Past “No” • Go to the balcony, rather than react • Step to their side, rather than argue • Reframe, rather than reject • Build them a golden bridge, not push • Educate them about costs of not agreeing, rather than escalate G Station Game (more details posted in */ex-station.doc) • Form 4 teams • Sets of two stations, competing on price • Each has binary choice each week: – Cut prices – Keep prices constant • Profits depend on choices by both stations • Show decision to me silently with paper saying • • CUT or NO CHANGE Reset prices at end of week, then new decisions Multiple cycles Importance of Versatility • Broad repertoire • Flexibility and skill in use • Mindfulness: – Listen – Observe – Inquire – Manage assumptions, inferences, attributions Versatility (cont.) • Balance observation and action • Considerable use of questions, especially in early stages • Asking (inquiry) more than telling (advocacy) Negotiation is a process of preparing, then making sense out of what is happening, and then working with those conditions to bring about a desirable outcome Action Planning • Write down what you now regard as the 3-5 most important points about negotiation • Take notes on how you can apply these points in: – The contract negotiation in this class – Other future negotiations in your life

Further Negotiation and Skill Building

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