2. WHAT IS NEGOTIATION?
It is a technique of discussion aimed at reaching an agreement/ conclusion
-An effective way to avoid conflicts and tensions.
-You agree to sit together, discuss on an open forum to satisfy all.
-“Bargaining”.
Negotiator
• Represents an organization or a position. He listens carefully and draws conclusions which are
convincing to be acceptable.
Skills: Impartial and neutral
• He understands the situation and the parties well and decide something which will benefit all.
• Capable of using his power to impose his ideas on all, as one can’t please everyone.
• Be tactful and smart reach to a conclusion.
3. Elements of Negotiation
Negotiation
↓
Process + Behavior + Substance
• Process- The ways, techniques and
strategies used reach to a solution.
• Behavior- How two parties behave,
interact, communicate with each
other to make points clear.
• Substance- Have an agenda to
negotiate on; A topic, the place &
environment.
Models of Negotiation
↓
• Win-Win Model - Every individual involved
wins. Nobody is at loss.
• Win-Lose Model - After several rounds of
discussions, one party wins and the other
loses.
• Lose-Lose Model - The outcome is zero. No
party is benefits as they are not able to reach
a compromise.
• RADPAC Model: Widely used in-corporates.
R - Rapport
A – Analysis
D - Debate
P – Propose
A - Agreement
C - Close
4. Types of Negotiation in Corporates
• Day to Day at work place- Every day we negotiate something either with superiors or fellow
workers for the smooth flow of work.
• Employee and superior
-Don’t accept anything you are not comfortable with. Sit with your boss and discuss
things with him.
-Avoid conflicts and misunderstandings later.
-Negotiate salary to avoid tensions later.
• Between colleagues-
-Reduce the chances of disputes and conflicts.
-Increase the output of the team and eventually the productivity of the organization.
Commercial negotiations- Commercial negotiations are generally done in the form of contract. Two
parties sit face to face across the table, discuss issues between them and come to conditions
acceptable to both the parties.
Legal Negotiation- Between individual and the law where the individual has to abide by the rules and
regulations laid by the legal system and the legal system also takes into account his needs and interest.
5. How to Prepare for Win-Win Negotiation?
• Prepare well
• Know the other’s expectations from the negotiation
• Be ready with an alternate plan
• Be transparent and honest with the second party
• Be very confident
• Understand the second party well
• Be a good communicator
• Dress formally
• Learn to compromise
• Once done, sign contracts and agreements in the presence of
parties
6. Importance of Negotiation in Corporates
• Important at the work place
• Dealing with vendors: must be a good negotiator not to end up paying more
amount than required
Importance of Negotiation in Daily Life
• Helps in effective buying
• Polite and dignified
• It reduces conflicts and improves the relation
Negotiation Skills - How to Negotiate Effectively
• React sensibly
• Patience - You need to convince him and it
needs patience.
• Confident - never show your desperation,
never be nervous & don’t sweat.
• Be dignified
• Be very clear in your communication
• Be a good listener
7. Negotiation Techniques
• Find out even the smallest detail you think is important and you might
require at the time of negotiation
• Take good care of your posture as well as your body movements
• Be very focused
• Never keep things to yourself and crib later
• Be a patient listener
• Be realistic
• Know where to compromise
• Communication is also important
• Sign a contract or have something in black and white
8. Tips for Professionals for a Successful
Negotiation
• Preparation
• Stay alert
• Confidence
• Be cautious
• Avoid delays
• Understand the other person well
• Don’t cheat anyone
• Always have an alternate plan with
you
• know the purpose of negotiation
• Maintain the decorum of the place
• Be a good communicator
• Be patient
• Don’t drag the conversation too
long
• Do not act pricy or pretend things
• Be able to close the deal
• Chose a proper room for business
negotiations
9. Challenges for an Effective Negotiation
• individuals are not ready to understand the second party at all.
• Lack of time: You need time to convince others
• Don’t go unprepared and don’t underestimate the second party
• Lack of patience also leads to a bad negotiation
• Criticism, sarcasm, derogatory remarks are threats to effective negotiation
• Avoid last minute changes as it result in confusions and
misunderstandings
• Be a little flexible, not rigid
• Lack of confidence is again one of the major threats
10. Role of Communication in Negotiation
• Effective communication is effective negotiation
• Be crisp and precise in your speech
• Non verbal communication is important:
• Facial expressions
• Hand movements
• Posture
• Show a positive attitude
• Smile
• Make an eye contact
• Don’t play
• Concentrate
• Its important:
• in salary negotiations
• in business deals
11. Role of Personality in Negotiation
• Try to be yourself
• Be sincere rather than just being serious
• Be honest
• Go smartly dressed
• Be Patient
• Be flexible and learn to compromise
• Trust the second party for a better negotiation
• Be professional in your approach
• Enhance your listening skills
• Be a little tactful and diplomatic
12. Role of Emotions in Negotiation
• Be in a happy mood
• Anger is one of the most negative aspect
• Be friendly with the second party
• Friendship should be within a limit
• Be with a clear and a tension free mind.
• Be calm and composed
• Don’t stress yourself
• Avoid being clever
• Being positive
13. Salary Negotiation
• Take care of your posture as well
• Sit straight, make an eye contact with the person sitting on the other side of the table.
• Look confident and smart.
• Be honest about your current salary
• Be very clear in your mind about your salary expectations
• Quote a realistic figure
• Be very polite
• When asked for your salary expectations, quote a figure higher than what you expect
• Never show your desperation to anyone
• Don’t beg for your salary
• Its better to quit on a positive note rather than arguing and fighting
