Business Negotiation and it’s Evolution in the US<br />History and Evolution of Negotiation Pedagogy<br />
What is Negotiation?<br />A process by which two parties communicate with each other in order to reach an outcome in which...
Goals/Challenges of Teaching Negotiation<br />To Address market needs…<br />Increase analytical sophistication / expertise...
Can Negotiation be Taught?<br />Boston area:<br />>150 courses<br />Introduction<br />Specific disciplines (e.g. labor,  g...
Can Negotiation Be Taught?<br />Some people think:<br />Negotiation is more an Art that cannot be systematically analyzed ...
What has happened?<br />Dr. Roy Lewicki, initiated the 1st applied negotiation courses in the US (1973, Dartmouth)   - als...
 I Formative Decade: 1975-1985<br />No managerial or applied teaching of negotiation<br />Mainly drawn form social psychol...
I Formative Decade Continued: 1975-1985<br />Early 1980’s: Negotiation courses expanded to other schools<br />Small group ...
Early Course Curriculum (1975-1985) :<br />Recognizing Experiential Learning & Skill Development<br />Concrete experiences...
Two Branches of Negotiation Theory Emerged (1975-1985)<br />Negotiation as a decision-making process<br />-Rational game t...
Major Course Elements of Both Approaches (1975-1985)<br />Intro to Conflict & Negotiation Theory<br />Intro to Game Theory...
 II Development of the Field (1985-1995)<br />Success in Business Schools<br />Participation was welcome and enjoyable<br ...
III  Third Decade (1996-2005)<br />Emphasis turned toInterpersonal Relationships<br />Versus one-time, calculated, economi...
III Third Decade Continued (1996-2005)<br />Emphasis on Individual Interpersonal aspects:<br />Trust: How it is developed ...
Ethics: What did we Learn from the New MBA Generation?<br />1980’s: Many negotiation course’s were poorly rated<br />MBA P...
Looking Ahead (2006+): What’s Still Needed:Focus on negotiation as a system of skills…measurable, trainable, practiced in ...
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Business Negotiation and its US Evolution[Lecture Notes Sav]

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Business Negotiation and its US Evolution[Lecture Notes Sav]

  1. 1. Business Negotiation and it’s Evolution in the US<br />History and Evolution of Negotiation Pedagogy<br />
  2. 2. What is Negotiation?<br />A process by which two parties communicate with each other in order to reach an outcome in which they agree (Self-Assessment, 2001)<br />To seek mutual agreement through dialogue (Harvard Business Essentials, 2003)<br />Latin root: Negotiatus, “to carry on business” (~1579, Etymology Dictionary, 2001)<br />
  3. 3. Goals/Challenges of Teaching Negotiation<br />To Address market needs…<br />Increase analytical sophistication / expertise of managers<br />Increase effectiveness, presumably in business.<br />Critics argue that it can’t be taught…you either have it or you don’t.<br />
  4. 4. Can Negotiation be Taught?<br />Boston area:<br />>150 courses<br />Introduction<br />Specific disciplines (e.g. labor, government, business, family)<br />Doesn’t include EMBA or corporate training courses<br />Required courses in MBA programs such as Harvard – Often the most popular course.<br />Extrapolate to the US and #’s > 10,000<br />Chinese Culture Center, Intl Expo, Beijing, 2008<br />
  5. 5. Can Negotiation Be Taught?<br />Some people think:<br />Negotiation is more an Art that cannot be systematically analyzed or taught.<br />Necessitates a change in one’s behavior<br />The theoretical models lack empirical testing<br />Positional bargaining<br />Principled bargaining<br />
  6. 6. What has happened?<br />Dr. Roy Lewicki, initiated the 1st applied negotiation courses in the US (1973, Dartmouth) - also the main author to our custom text.<br />Formative (Developmental) Decade (1975-1985)<br /> - Dynamics of Bargaining<br />Development (Maturity) of the Field (1985-1995)<br /> - Active participation, skill development<br />Third Generation & Challenges (1995-2005)<br />Return to Humanist Factors (2005+)<br />
  7. 7. I Formative Decade: 1975-1985<br />No managerial or applied teaching of negotiation<br />Mainly drawn form social psychology: Boom in 1960’s <br />Theory of bargaining and conflict behavior<br />Classroom aid’s (cases) were primitive<br />Examples:<br />Game theory (Luce & Raffia, 1957)<br />International Relations (Schelling, 1960)<br />Labor relations (Douglas, 1962)<br />Real estate (Karrass, 1974)<br />
  8. 8. I Formative Decade Continued: 1975-1985<br />Early 1980’s: Negotiation courses expanded to other schools<br />Small group of scholars collaborated (Max Bazerman, Roy Lewicki)<br />Momentum of interest increasing:<br />Books(GTY, Art & Science of Negotiation) 1982 & 1983<br />Professional organizations (Power, Negotiation & Conflict Management Interest Group,1983)<br />Research funding (National Institute of Dispute Resolution 1984, Hewlett Foundation,1986)<br />Faculty developed role plays, simulations, doctoral programs, cases, workshops.<br />Result: From a few courses to 100 in 1985,<br /> 200 by 1989.<br />
  9. 9. Early Course Curriculum (1975-1985) :<br />Recognizing Experiential Learning & Skill Development<br />Concrete experiences (real situations)<br />Reflection of experience (journal)<br />Derivation of concepts & tactical principles<br />Planning for active experiments (readings) and application to new settings (changing situations)<br />Sequence:Flow was varied; no standard approach<br />typically a balance of theory and application plus “Reflection Papers” to connect theory to practice.<br />
  10. 10. Two Branches of Negotiation Theory Emerged (1975-1985)<br />Negotiation as a decision-making process<br />-Rational game theory, chess game<br />-“Logic” driven, lowest cost or highest value<br />Interpersonal dynamics between negotiators<br />-Social – psychological thrust<br />-Interpersonal dynamics, contextual factors<br />
  11. 11. Major Course Elements of Both Approaches (1975-1985)<br />Intro to Conflict & Negotiation Theory<br />Intro to Game Theory & Decision Making<br />Strategy & Tactics of Competitive, Distributive Negotiations<br />Strategy & Tactics of Cooperative, Integrative, Principled Negotiation<br />Time-Series (Stage) Model (Planning) of Negotiation Process<br />Assessment of Individual Differences (Cultural, Cognitive & Communication)<br />Negotiation Within and Between Groups (Coalitions)<br />Advanced issues: Procedures for Deadlocked Negotiations, Difficult Negotiators<br />
  12. 12. II Development of the Field (1985-1995)<br />Success in Business Schools<br />Participation was welcome and enjoyable<br />Focus changed from “Abstract Theory & Discussions” to the “Real, actual experiences with one another”<br />Included both Skill Development & Theory<br />Often cited as models of active listening, participant centered.<br />Students remembered the experience much more<br />Content, Curriculum & Method’s Remained Stable<br />Growth of textbooks, cases & role-play’s<br />Teaching pans and delivery matured<br />Innovations: Videotape & Computers<br />Video: See yourself in action, 100X feedback<br />Computer: Negotiator Pro, Step-by-Step planner<br />Integration: McGraw Hill Negotiator Pro (Virtual opponent, video)<br />
  13. 13. III Third Decade (1996-2005)<br />Emphasis turned toInterpersonal Relationships<br />Versus one-time, calculated, economic, transaction oriented negotiating<br />Reflects changes in the dynamic business environment<br />Stress collaboration within & across teams, business units, joint ventures<br />Identified Weakness: the practice of distributive bargaining is likely to kill long-term relationships<br />Research from rational and calculated game theory, Decision Making towards the Emotional context of personal relationships.<br />Identify that time in relationships is complex: trade something today for something else tomorrow.<br />
  14. 14. III Third Decade Continued (1996-2005)<br />Emphasis on Individual Interpersonal aspects:<br />Trust: How it is developed & destroyed?<br />Emotion: Often treat as a negative factor, must be better understood.<br />Feelings & Attachments effect the negotiators performance & decisions.<br />Decision Making = Cognitive Process + Emotion<br />Recognize Most Models developed from a Western, Male perspective<br />Lack of literature into culture and gender factors that are present throughout the world See further: Goleman (1995) “Emotional Intelligence”<br />
  15. 15. Ethics: What did we Learn from the New MBA Generation?<br />1980’s: Many negotiation course’s were poorly rated<br />MBA Programs taught people how to “Get what they want” E.g. Gordon Geiko, “Wall Street”<br />Faculty were criticized for being too soft (easy) on management issues (conflict, power, authority)<br />Faculty were previously trained in the applied social sciences (1960’s) valuing a humanistic, cooperative orientation.<br />Today(~2000) :Thankfully that period ended & cooperation is now the focus of management<br />Though we still see many of the victims.<br />
  16. 16. Looking Ahead (2006+): What’s Still Needed:Focus on negotiation as a system of skills…measurable, trainable, practiced in an overall negotiation program.<br />Effective Questioning & Listening<br />Understanding Big Picture<br />Packaging of Issues & Concessions<br />Brainstorming Creatively<br />Final Agreement Drafting & Communication<br />Issue Definition, Understanding & Re-definition<br />Identify Interests, Values, Preferences<br />Argument Construction<br />Organization & Persuasion<br />Global Focus<br />
  17. 17. Based on: “Teaching Negotiation and Dispute Resolution in Colleges of Business: The State of Practice and Challenges for the Future”. (2000)<br />Roy Lewicki, Teaching Negotiation, Ideas and Innovations, Michael Wheeler, editor Harvard PON, 2000.<br />

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