AIMS OF THIS PRESENTATION: Common stages in the process of negotiation. Different types of negotiation. Outline key points for successful negotiation. Difference between interests and positions. Why effective communication is essential to negotiation.
Why Negotiate? From time-to-time, conflict will arise. If not solved will give birth to different problems To negotiate is to burry these conflicts
Objectives:These fall into three categories:- MUSTS INTENDS DESIRES
PRINCIPLED NEGOTIATION REQUIREMENTSFirst of all there are four conditions which are essential if a principlednegotiation is to have a successful outcome. Mutual trust. A positive relationship. Shared interests (goals or objectives). Satisfactory zone of possible agreement. A negotiator must also have a Best Alternative to a Negotiated Agreement(BATNA).
Aspects in negotiation:Depending on the scale of the disagreement, some preparation may be appropriate forconducting a successful negotiation. Goals: Trades: Alternatives: Relationships: Expected outcomes: The consequences: Power: Possible solutions:
Stages of Negotiation:-The process of negotiation includes the following stages:---1. Preparation2. Discussion3. Clarification of goals4. Negotiation towards a WIN-WIN situation5. Agreement6. Implementation of a course of action
PreparationBefore any negotiation takes place, a decision needs to be taken as towhen and where a meeting will take place. Preparation is essential. Thedegree of success is directly related to the quality of the preparation.
Clarifying GoalsFrom the discussion, the goals, interests and viewpoints of both sides of thedisagreement need to be clarified Through this clarification it is oftenpossible to identify or establish common ground.
Exchanging Views and Persuasion:-Key skills during this stage are Questioning Listening ClarifyingSometimes it is helpful to take notesduring the discussion stage to record all pointsput forward in case there is need for furtherclarification.
Getting Movement:-The process of converting a willingness to an agreement is negotiation. Itrequires the use of communication skills and sometimes specific tacticssuch as: Tiring the other side out Adjourning - if there is disagreement on your side or if you are fatigued Breakdown in negotiations - you’ll probably lose.
SEPARATE THE PEOPLE FROM THE PROBLEMAttack the opposing Position instead of attacking the opposingPerson, especially if the attack is demeaning. It will unfailinglyhave negative outcomes in both decision making and bargaining.Some of the ways Fisher and Urey suggest are: Relationships Perceptions Emotion Communication
Relationships:-Bargaining, may involve strong comments about thesubstantive issues.A good relationship can be a vaccine againstcommunication blockages. (But the relationship needs to be built early in thegame, just as a vaccine works best before exposure to the disease.)
PerceptionsIn the heat of battle, it is easy to view the opponent as a personalenemy, as opposed to someone who is just doing a job.The primary goal of principled negotiation is to achieve rationaloutcomes in the best interest of both parties. However, sometimes thisjust doesnt work, and positional bargaining is the only option.
Communication.The essence of communication is the transmission of meaning. Themandate is for active listening, getting the other person to talk more- andthus reveal more. Listening with interest to what the other negotiator hasto say pays dividends, you are getting valuable information about his/herposition and intentions, without giving away your own.
Negotiate for a WIN-WIN OutcomeThis stage focuses on what is termed a WIN-WIN outcomewhere both sides feel they have gained something positivethrough the process of negotiation and both sides feel theirpoint of view has been taken into consideration.
AgreementAgreement can be achieved once understanding of both sides’viewpoints and interests have been considered. It is essential tokeep an open mind in order to achieve a solution.
Implementing a Course of ActionFrom the agreement, a course of action has to be implemented, to carrythrough the decision.
Fail to Agree:If the process of negotiation breaks down and agreement cannotbe reached, then re-scheduling a further meeting is called for.
CONTROLING emotions during a negotiation:-Lot of factors influence theprocess of negotiation, ouremotions being one of themajor factors. Our mooddecides a lot many things.
If one is in a happy mood, everything seems perfect and good to him trust each other better participate in discussions do not unnecessarily find faults benefit him as well as the other party One looks his best when he smilesAnger is one of the most negative emotions actingas a hurdle to an effective negotiation A person loses control on his mind Anger only leads to conflicts will this anger benefit you?
One should be calm and composed comfortable with the second party don’t take rash decisions take your time to convince the other party do not drag the conversation too longDon’t stress yourself at the time of negotiation Taking stress does not help No one will kill you, if you fail tend to lose your confidence
Avoid being OVER clever Don’t try to fool the other person Be honest in your dealings They are well prepared just like youBeing positive always helps negativity trigger conflicts it simply adds on to one’stensions nullifies the effect of negotiation
TABLE MANNERS Good manners is a main component that makes you firm in negotiations Abusive behavior and backfires should be avoided The point is that it takes two to play It takes a great deal of patience, maturity and experience
NECESSARY CONTENTS:Two elements should always be taken into account: Interpersonal Skills KnowledgeInterpersonal Skills• Communication• Listening• Reflecting, Clarifying and Summarizing• Problem Solving• Decision Making• Assertiveness• Stress Management• Dealing with Aggression
Types of negotiation:Two approaches align with the two main types ofnegotiation:•Distributive•IntegrativeDISTRIBUTIVE:-single, fixed issue to be negotiated,greatest concern is getting the best possiblevalue.future relationships are not a priority
INTEGRATIVE:- Both sides cooperate to achieve the greatest benefit Your goal is to create as many options And then you need to claim the best value for yourself
SUCCESSFUL NEGOTIATION:-Key points when aiming for a WIN-WIN outcomeinclude: Focus on maintaining the relationship Focus on interests not positions. Generate a variety of options that offer gains toboth parties before deciding what to do. Aim for the result to be based on an objectivestandard
Focus on Maintaining the Relationship:- means not allowing the disagreement not blaming the others for the problem aiming to confront the problem not the people separate the people from the problem
Focus on Interests not PositionsConsider what are their needs, desires and fears?These might not always be obvious from what they sayFocusing on interests is helpful because: It takes into account individual needs, wants, worries and emotions. There are often a number of ways of satisfying interests, whereas positions tend to focus on onlyone solution. While positions are often opposed, individuals may still have common interests on which theycan build.
Generate a Variety of Options that Offer Gains to Both Sidesbefore Making Decisions:- It is worthwhile considering a number of options that could provide a resolution then to work together to decide which is most suitable for both sides Techniques such as brainstorming could be used
Aim for the Result to be based on an Objective Standard:-It is inevitable that some differences will remain.It is important that such a basis for deciding is:• Acceptable to both parties.• Independent to both parties.• Can be seen to be fair.If no resolution can be reached, it may be possible to find some other, independentparty whom both sides will trust to make a fair decision.
Avoiding Misunderstanding:-Misunderstanding is a common cause of negotiations breaking down. Because ofdifferences of viewpoint, background, and cultures, it is possible not to ‘hear’ whatothers intend to say. Because misunderstandings can easily occur, it is important to:• Clarify individual goals.• State the issues clearly.• Consider all viewpoints.• Clarifying meaning.
FINALLYNegotiation is a process by which people resolve disagreements.Structured negotiation follows a number of stages from preparationthrough to implementation. If possible, a WIN-WIN approach is moredesirable than a bargaining (WIN-LOSE) approach. This involves seekingresolutions that allow both sides to gain, while at the same time maintaininggood working relationships with the other parties involved.