Panel of Experts Negotiating Long-Term Relationships

Coalitions Power and Negotiation Agenda •Paper B, Group Pre-exercise • Brief Introduction • Negotiating Corporate Change • Break • Video Debrief of Case • Wrap-up Paper B Due Next Week Journal A- excellent overall 9 Described what happened mentioned 1 or 2 negotiation concepts 9more concepts-BATNA, Reservation point, creating, and claiming value, empathy and assertiveness, fairness 9Specific hard bargaining tactics-low ball, bogey, nibble,ultimatum, bluff 9Psychological bias- Framing 9Psychological biases-illusory conflict, 9 Cited and applied concepts from other readings Journal B 9 Real Life Negotiation- completed, ongoing, anticipated 9Basics-BATNA, Reservation point, creating, and claiming value, empathy and assertiveness, fairness, psychological biases, framing 9Beyond the Basics- emotional intelligence, dispute and break through techniques, power, persuasion, multiparty tactics 9 Cited and applied concepts from other readings Team Pre-exercise International Lodging Merger Case • Team on Team Negotiation • 1 pre-exercise per team • Case and teams are in your folder today • Will negotiate over the course of two classes Federated Science Value Claimed Stockman 199 mean (104 standard deviation) Turbo 158 mean (56 standard deviation) United 52 mean (82 standard deviation) Federated Science Relationship (e.g., I liked negotiating with this person.) Stockman 4.49 mean (.81 standard deviation) Turbo 4.67 mean (.47 standard deviation) United 4.79 mean (.97 standard deviation) Federated Science Trust (e.g., I hope I never have to depend on this person. (reverse scored, 8-score) Stockman 4.66 mean (.83 standard deviation) Turbo 4.44 mean (.84 standard deviation) United 4.88 mean (.94 standard deviation) Coalitions --Unite people for a single purpose Your coalition partners will vary in their agreement With your objectives and in their trust in you. First Define your Objectives! Coalitions --Unite people for a single purpose Your coalition partners will vary in their agreement With your objectives and in their trust in you. Coalition partners may be 1. Allies or Bedfellows 2. Opponents or adversaries 3. Fence sitters Coalition Essentials 1. Define your objective • • • unambiguous recognizable Easy to communicate 2. Identify the political landscape • • • Whose support do you need? On whom will you focus your energy? How can you get key players involved? Block’s Matrix: Identifying the Political Landscape High Agreement High Low Trust Low Block’s Matrix: Power and Politics Trust High Low High Agreement Allies Bedfellows Fence Sitters Opponents Low Adversaries Strategic Actions Allies – affirm agreement, acknowledge vulnerability, ask advice Opponents – reaffirm relationship, state vision, engage in problem solving Bedfellows – reaffirm agreement, acknowledge caution, ask what they want from you Fence Sitters – state your position, ask where they stand, provide information Adversaries – state your vision, neutral understanding of their position – don’t spend too much time obsessing, enlist a party trusted by your adversary Principles of Persuasion -Cialdini • Liking • Reciprocity • Social Proof • Consistency • Authority • Scarcity Take Aways 1. Define your objective • • • unambiguous recognizable easy to communicate 2. Identify the political landscape • • • Whose support do you need? On whom will you focus your energy? How can you get key players involved? (use block’s matrix and emotional intelligence framework) 3. Understand your power 4. Think about how to persuade Negotiating Corporate Change • 60 minutes to negotiate • discuss process, decision rules • Professor Williams is Bauers • 15 minutes to fill out feedback • 10 minute break • Video Debrief Negotiating Change 1. 2. 3. 4. 5. 6. Video Clip- initial two meetings Discussion Video Clip-information gathering Discussion Video Clip-final agreement Discussion Interests/BATNA Stokes Morris Freeman Carlson Top Priorities Stokes Expand own system (costs), local variation, no open systems Morris Staged, 1 year delay for foods, divisional analysis Freeman EIS and to be technical head Carlson Consultants’ system and EIS in 8 months Internal Negotiations -Sebenius Interests- relative to external negotiations, a wider range of interests is almost always present. BATNA- organization members of equal or less power often do not walk away, but say “yes” and do little or nothing. Members of higher power can fire or punish. Internal Negotiations -Sebenius Ongoing Process- tight network of people and issues over time allow for social sanctions and long-term reciprocity Organizational, Structure, and Culture and Norms-can influence where and how negotiations take place as well as what members are likely to view as fair. Shared organizational interests may take president over brazen self-interest as explicit rationale. Take Aways 1. Identify stakeholders, their interests ,and alternatives 2. Build a sustainable winning coalition starting with a core coalition and sequencing carefully to expand it. --sequence to weaken opponents’ BATNAs 3. Remember that you need the optimal technical and political solution