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  1. 1. Interest Based Negotiations Integrative Bargaining Type – Part 2
  2. 2. Interest-Based Terms <ul><li>Issue = </li></ul><ul><ul><ul><li>Topic or subject of discussion </li></ul></ul></ul><ul><ul><ul><li>Problem to solve </li></ul></ul></ul>
  3. 3. Interest-Based Terms <ul><li>Issue </li></ul><ul><li>Interest = a concern or need behind an issue </li></ul>
  4. 4. Interest-Based Terms <ul><li>Issue </li></ul><ul><li>Interest </li></ul><ul><li>Option = Possible solution that satisfies interests </li></ul>
  5. 5. Interest-Based Terms <ul><li>Issue </li></ul><ul><li>Interest </li></ul><ul><li>Option </li></ul><ul><li>Position = one party’s viewpoint to solving the problem </li></ul>
  6. 6. Interest-Based Terms <ul><li>Issue </li></ul><ul><li>Interest </li></ul><ul><li>Option </li></ul><ul><li>Position </li></ul><ul><li>Criteria = objective standards to compare / judge options </li></ul>
  7. 7. Standards/Criteria <ul><li>Standards/Criteria are needed to judge which options to keep and which to throw out </li></ul><ul><li>Workable </li></ul><ul><li>Fair </li></ul><ul><li>Affordable </li></ul><ul><li>Practical </li></ul><ul><li>Legal </li></ul><ul><li>Acceptable </li></ul>
  8. 8. 3 Stage Factor Analysis <ul><li>Stage 1: The Feasibility Factor </li></ul><ul><li>Stage 2: The Benefit Factor </li></ul><ul><li>Stage 3: The Acceptability Factor </li></ul>
  9. 9. 3 Stage Factor Analysis <ul><li>Stage 1: </li></ul><ul><li>The Feasibility Factor </li></ul><ul><li>Is the option capable of being done or carried out? </li></ul>
  10. 10. 3 Stage Factor Analysis <ul><li>Stage 2: </li></ul><ul><li>The Benefit Factor </li></ul><ul><li>Does the option satisfy important interests? </li></ul><ul><li>or </li></ul><ul><li>Does the option harm any important interests? </li></ul>
  11. 11. 3 Stage Factor Analysis <ul><li>Stage 3: </li></ul><ul><li>The Acceptability Factor </li></ul><ul><li>Will the option be received favorably by the constituents of all parties? </li></ul><ul><li>If not, </li></ul><ul><li>Can it be modified to make it acceptable? </li></ul>
  12. 12. BATNA What If We Can’t Reach Agreement? Best Alternative To A Negotiated Agreement