DESIRED RESULT

ÇAĞLA AKGÜLGÜLŞAH KASIRKAPERVİN KAPLANNİHAL GÜNDOĞEZRA KILINÇ

Cagla AKGUL

Desired Results are the GOALS in negotiation process!!

STRATEGIES AND TACTICS

Strategies are the ways, Tactics are the steps that we take

while going in this way.

Types of Tactics

Fair, Unfair, Integrated Tactics.

Success In Negotiation Depends On… How to take what you want

(STRATEGY & TACTIC)

and Preserve relationships.

For Effective Tactics Analyze…

Context Content Conduct Complete

CONTEXT

What are Threats and Opportunities For you? For the opponent?

What are ‘HOT BOTTONS’ of both sides?

CONTENT

What is the RESULT you want?

The more clearly these are defined,the more likely yours will be obtained

- the higher expectations, the better the outcome for you

COMPLETE

-Remember the emphatic side

-Appreciate a THANK YOU!!

CONDUCT

Clearify what is important for them? Be open,invite criticisim! Reframe personal attack to attack

on the problem! Ask Questions!Be silent!

Gulsah KASIRKA

"Be unconditionally constructive. Approach a negotiation with this-- ‘I accept you as an equal negotiating partner; I respect your right to differ; I will be receptive.' Some criticize my approach as being too soft. But negotiating by these principles is a sign of strength.“

R. Fisher

The Win/Win Approach is about changing the conflict from adversarial attack and defence, to co-operation. It is a powerful shift of attitude that alters the whole course of communication.“I want what is fair for all of us”

opposing needs…

"Do it my way!“ "No, that's no good!

The win/win approach says:

I want to win I want to win and and I want you to win tooI want you to win too

A win/win approach rests on strategies involving :

going back to underlying needs recognition of individual differences openness to adapting one’s position in the light of

shared information and attitudes attacking the problem, not the people.

Pareto Efficiency

A goal of negotiations is to be as "Pareto Efficient" as possible.

No way for both parties being better off. Prevents leaving the money on the table.

Stated differently, an agreement is "Pareto Efficient" if one party cannot do better without some other party doing worse.

A Tip On Successful Business Relationships…

Steve Huhn, former Vice President and Chief Negotiator of IBM’s Global Services, and one of the key executives responsible for it’s $35 billion success utilizes the following three principles to ensure long term, successful relationships:

The deal has to be profitable for both companies. The contract has to be implementable. That is, that parties

have to be able to perform to the terms of the contract. Customer satisfaction is paramount.

Mr. Huhn is currently Vice President of Marketing and Business Development for Hewlett Packard Corporation.

Integrative Bargaining

(also called "interest-based bargaining," "win-win bargaining")

“win win" solution to dispute. focuses on developing mutually beneficial

agreements based on the interests. (underlying reasons)

"Integrative refers to the potential for the parties' interests to be combined in ways that create joint value or enlarge the pie."

two little girls over an orange…

Both girls take the position that they want the whole orange. Their mother serves as the moderator of the dispute and based on their positions, cuts the orange in half and gives each girl one half. This outcome represents a compromise. However, if the mother had asked each of the girls why she wanted the orange -- what her interests were -- there could have been a different, win-win outcome. This is because one girl wanted to eat the meat of the orange, but the other just wanted the peel to use in baking some cookies.

If their mother had known their interests, they could have both gotten all of what they wanted, rather than just half...

The most important trip you may take in life is meeting people half way.

Henry Boyle

Pervin KAPLAN

The Win/Lose or Distributive Approach

In these negotiations each of the parties seeks maximum gains and therefore usually seeks to impose maximum losses on the other side.

Win - Lose

It is a competitive negotiation approach which is used to decide how to share a “fixed” type of resource. It is assumed that parties can not enhance the ‘pie’. Therefore as one side gains more, the other side loses more.

“We cannot negotiate with those who say “what is mine is mine and what is yours is negotiable”

John Fitzgerald Kennedy

The Two Most Important Kinds of Bargaining: Distributive (win-lose) vs. Integrative (win-win) Distributive (also called competitive, zero sum, win-lose or claiming value).one side "wins" and one side "loses." there are fixed resources to be divided so that the more one gets, the less the other gets one person's interests oppose the others. the dominant concern in this type of bargaining is usually maximizing one's own interests. dominant strategies in this mode include manipulation, forcing, and withholding information.

Integrative (collaborative, win-win or creating value).there is a variable amount of resources to be divided and both sides can "win." dominant concern here is to maximize joint outcomes. dominant strategies include cooperation, sharing information, and mutual problem solving. This type is also called "creating value" since the goal here is to have both sides leave the negotiating feeling they had greater value than before.

Why Is “Win – Lose” Important?

Sometimes we face situations where it is impossible to increase the resources.

Since the increased pie should eventually be distributed, it takes place during win – win negotiation process as well. So we can say that they are in mutual effect.

Win – Lose Approach Example

A dialogue that takes place in a firm…

Nihal GUNDOG

The Pros and Cons of Distributive Bargaining Some conflict resolution theorists

believe that distributive bargaining is unnecessary

It tends to lead to destructive actions

Focus too much on their differences

However, in cases where the "negotiator wants to maximize the value obtained in a single deal and when the relationship with the other party is not important," distributive bargaining tactics may be very useful.

Process and Strategy in Distributive Negotiations The process of distributive negotiation involves

the interplay of one's walk away value The trick is to get an idea of your opponent's

walk away value and then try to negotiate an outcome that is closer to your own goals than theirs

INFORMATION is the key to gaining a strategic advantage in a distributive negotiation.

To a large extent, your bargaining power depends on how clear you are about your goals, alternatives, and walk away values and how much you know about your opponents.

How can I change what seems like a

"win-lose" situation to a "win-win" ? Conflicts, Anger, Frustration! Resentment, Mistrust, Hostility! Communication channels close down! Conflict becomes personalized! Lies, threats, distortions, and other

attempts to force the other party to comply with demands…

Techniques you might use to shift the situation to a win-win Reduce tension through humor Listen actively Make a small concession as a signal of good

faith Increase the accuracy of communication Listen hard in the middle of conflict Mirror the other's views Control issues Slice the large issue into smaller pieces Depersonalize the conflict

Continuing..

Establish commonalities Look for greater common goals (we are in this

together!) Find a common enemy Focus less on your position Make a "yesable" proposal Reformulate; repackage; sweeten the offer Find a legitimate or objective criteria to

evaluate the solution

Examples of dirty tactics

!!!They try to intimidate you.. *If they try to control tha agenda, timing, ..

laugh it off with a remark such as “You’re joking” or “no way, Joe”

*If they quote their own experts’ reports at you, pass them on to your experts making no comment of your own

*If they try to bully you, use the stuck record technique.

!!!They keep making generalizations..

*List specific areas for discussions

*When you here a generalization ask a question that requires a specific answer

*Break down geberalizations into specific issues

*Deal with each issue in its turn

!!!They come with last minute demands..

*Show surprise but never show irritation or anger

*Demand extra time to think about the new issue

*Appera to treat it very seriously even if ist is in fact paltry

*Show how it will force a change in your side of the bargain

*If it really doesn’t bother you, use it as a trade for something that does

!!!They make empty promises.. *If non of the promises appear in writing,

don’t believe them *Assess whether they are important to

you or not *If they are important, make them a part

of the deal *If they are not, verbally and in letters,

remind them on a regular basis

Ezra KILINC

BİG POT

Coming in with initial high demands willn help you get thge most out of any deal!

Big Pot

START OUT WITH AN IDEAL AND END UP WITH A DEAL !!

Karl Albrecht

Sperber’s 5 reasons..

High initial dermands take more time to settle

They indicate you expect at the very least to be trated fairly

They show your persistence to pursue your goals

They lowre TOS’s expectations They give you more room for real

In addition..

Don’t be loose-lipped about you objectives!

Don’t make concessions too easily! (especially on important matters)

Fisher and Ury debunked the popular concept of the ‘bottom line’ and replaced it with sth. they called ‘Best alternative to a negotiated aggreement’

Schatzki suggest using 2 guidelines for your settlement range;

*LAR(LEAST ACCEPTABLE RESULT)

*MSP(MAXIMIM SUPPORTABLE

POSITION)

Countermeasures..

Emphasize how your mutual interests may be jeopardized by an impasse

Take brief recesses, which may well refresh your minds and bring in new alternatives

Big Pot tactic gives room to concede and negotiate to the parties.

It prevents the parties from getting nothing at all even when the other tactics are not used.

BATNA

BATNA

BATNA is a term coined by Roger Fisher and William Ury in their 1981 bestseller, Getting to Yes: Negotiating Without Giving In.

BATNA is the acronym for Best Alternative To a Negotiated Agreement

The reason you negotiate is to produce something better than the results you can obtain without negotiating !!!

 Roger Fisher and

William Ury

BATNA is the measure of the balance of power in a negotiation. If other parties need you in order to reach their objectives,

your BATNA is strong, your negotiating circumstances are

strong

For Example;

you want to buy a new car

the same model is for sale at several car

dealers …..SO you have a strong BATNA!!!

BATNA is the only standard which can protect you both from accepting terms that are too unfavorable and from rejecting terms it would be in your interest to accept.

If the proposed agreement is better than your BATNA, then you should accept it !

If the agreement is not better than your BATNA, then you should reopen negotiations!

DETERMINING YOUR BATNAFisher and Ury outline a simple process for

determining your BATNA: develop a list of actions you might

conceivably take if no agreement is reached;

improve some of the more promising ideas and convert them into practical options; and

select, tentatively, the one option that seems best

JOB OFFER EXAMPLE

Should you take a different job?

Look in another city?

Go back to school?

JOB OFFER EXAMPLE

If you do not receive an attractive job offer by the end of the month from Company X,

what will you DO ?

JOB OFFER EXAMPLE

If the offer you are waiting for is in New York, but you had also considered Denver, then try to turn that other interest into a job offer there, too.

JOB OFFER EXAMPLE

With a job offer on the table in Denver, you will be better equipped to assess the New York offer when it is made.

Lastly, you must choose your best alternative option in case you do not reach an agreement with the New York company.

JOB OFFER EXAMPLE

Which of your realistic options would you really want to pursue if you do not get the job offer in New York?

BATNAs and the OTHER SIDE Although Fisher and Ury do not

advise secrecy in their discussions of BATNAs, according to McCarthy, "one should not reveal one's BATNA unless it is better than the other side thinks it is."

BATNAs and the Role of Third Parties

Third parties can help disputants accurately assess their BATNAs through ;

reality testing

costing