fundamentals of negotiating

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Basics in Negotiating Billy Connelly - Demands Monty Python negotiation

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Basics in Negotiating

Billy Connelly - Demands

Monty Python negotiation

Session objectives

• To understand different negotiation strategies• Learn how to avoid common pitfalls• To consider a framework and process that

contributes to a good negotiation process• Also supports conflict resolution

Negotiation

• Def: To confer with one another for the purpose of arranging some issue by mutual agreement; to discuss an issue with a view to settlement or compromise.

What kind of negotiator am I?

• 1A: Joint• 1B: Hard• 1C: Soft

 • 6A: Hard• 6B: Joint• 6C: Soft

2A: Hard 2B: Joint 2C: Soft

7A: Soft 7B: Joint 7C: Hard

 

3A: Hard 3B: Joint 3C: Soft

8A: Joint 8B: Hard 8C: Soft

4A: Hard 4B: Soft 4C: Joint

9A: Hard 9B: Soft 9C: Joint

5A: Joint 5B: Hard 5C: Soft

  10A: Hard 10B: Soft 10C: Joint

What are the problems with soft and hard negotiation?

• Hard negotiators – see pitched battle in which one side has to lose.

– They are determined that it will not be them!

• e.g. 1980's Miners Strike

• Northern Ireland Ian Paisley "Never Never Never"

– Mo Mowlam stepped in in the 90's to broker a deal

– Martin McGuinness IRA /Peter Robinson - now leading NI

• TESCO• Soft negotiators

– worry about falling out with the other party, since they want to remain friends.

– make too many concessions

– Get walked over

– allow emotions to get involved

– long term danger of catastrophic

– Peace in our times Neville Chamberlain

A better way!

Joint (also known as Principled)•Strive for ‘win-win’ outcomes.•Clear about what they want from the negotiation and can be tough in sticking to that•Understanding the other party’s position •Find ways jointly to agree a result satisfactory to both of them.

Principled Negotiation (Fisher and Ury 1992)

– Four elements to principled negotiationPeople, Interests, Options and Criteria

•Seek to find a win/win

– Four elements •A position is the things you say you want / demands / T&C's

1.Interests - Focus on interests, not positions

– Find out the key issues

– Underlying needs/ motivations

– Fears and aspirations

– 'Put yourself in other people's shoes'

Principled Negotiation - Four elements

2. Options - Generate a variety of possibly solutions for mutual gain– Idea generation

– State that they are options and not positions

3. People - Separate the people from the problem– See the problem from their point of view

• Perceptions

• Emotions

• Communication

4. Criteria - Insist on some fair objective standard both parties can agree on

– avoid deadlock

What happens when things go wrong

• Power issues• People won’t play the game

• Don't accept an unsatisfactory offer

Have a bottom line

• BATNA – Best alternative to a negotiated agreement (walk away alternative)

• Preparation - gives you confidence and power– list of actions you might take

– improving old ideas to make practical

– consider your opponents BATNA

DVD - Tying the Knot

• Assess your own negotiating style• Be able to prepare for negotiation• Understand the three key stages of a successful

negotiation and know what to do, and what to avoid, at each stage:

• - what’s this negotiation about?• - the negotiating see-saw• - how to behave when things go wrong

Principled (joint) Negotiation can be summed up by a famous nursery rhyme

Dr Andrew Hirst Room 9339 11

Jack Sprat could eat no fat. His wife could eat no lean. And so between them both, you see, They licked the platter clean.

Simple steps you can take

1. See the problem from other points of view, express concern

2. Identify key issues and concerns

3. Determine what results would constitute a fair solution

4. Identify possible options to achieve end result

Remember that its all about Win - Win

Positional BargainingSoft Hard Principled (joint)Participants are friends Participants are adversaries Participants are problem solvers

The goal is agreement The goal is victory The goal is a wise outcome reached efficiently and amicably

Make concessions to cultivate the relationship

Demand concessions as a condition of the relationship

Separate the people from the problem

Be soft on the people and the problem Be hard on the problem and the people Be soft on the people, hard on the problem

Trust others Distrust others Proceed independently of trust

Disclose your bottom line Dig in to position Focus on interests, not positions

Change your position easily Mislead as to your bottom line Explore interests

Make offers Make Threats Avoid having a bottom line

Accept one-sided losses to reach agreement

Demand one-sided gains as the price of agreement

Invent options for mutual gain

Search for the single answer: the only one they accept

Search for the single answer; the one you will accept

Develop multiple options to choose from; decide later

Insist on agreement Insist on your position Insist on using objective criteria

Try to avoid a contest of will Try to win a contest of will Try to reach a result based on standards independent of will

Yield to pressure Apply pressure Reason and be open to reasons; yield to principle not pressure.

Reading

• Roger Fisher and William Ury (1991) Getting to Yes: Negotiating an agreement without giving in

• DVD Negotiating: Tying the knot 658.4