This document provides an overview of mediation techniques that can be used for resolving contracting issues. It defines key terms like mediation, arbitration, and negotiation. The advantages of mediation are discussed, including having a neutral third party to facilitate discussion and help parties identify interests rather than positions. Principled negotiation techniques are explained, like active listening, questioning, and summarizing. The document outlines the mediation and negotiation processes, covering introductions, information gathering, option generation, bargaining, reaching agreement, and closure. It emphasizes preparing for negotiation by making a prioritized list of wants.

1. MEDIATION TECHNIQUES
FOR
CONTRACTING ISSUES
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2. Definitions
► Mediation – facilitated discussion to help all
parties reach the best outcome
► Arbitration – a single person makes a
decision about a dispute after hearing from
all parties (arbiter, judge)
► Negotiation – confer to arrive at a settlement
► Compromise – something between; a
concession; a decision agreed to or decided
by another
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3. Advantages of Mediation
► Neutral third party facilitates discussion
 Not invested in outcome
 Counteracts an imbalance of power
► Helps parties identify their interests, as
opposed to their positions
► Agreement, instead of a ruling
► Confidentiality of process (if built into
design)
Refer to Mediation Overview document.
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4. Principled Negotiation
►This is a term used by Fisher and Ury
in their book, Getting to Yes:
Negotiating Agreement Without Giving
In.
►How to obtain what you are entitled to,
yet behave in an ethical, decent and
fair manner.
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5. Techniques
► Listen
 Use active listening techniques, such as
eye contact, show interest, relaxed
posture, face the party speaking.
 Allow the speaker to finish.* (no
interruptions)
 Ask Questions that might shed light on
the problem or get to the interests.
* Sometimes you just have to stop a person. Try raising a hand or
some other non-disruptive cue.
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6. Techniques
►Let them know you are listening
 Summarize or restate occasionally.
 Ask Questions to bring out details and
show interest.
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7. Process
►Mediation Process
 Introductions and Ground Rules
 Information Gathering
 Option Generation
 Bargaining & Negotiation
 Agreement
 Closure
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8. Process
►Negotiation (See Mediation Process, but
without a neutral third party.)
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9. Negotiation Process
► Introductions and Ground Rules
 Introductions are necessary if any party is
unknown to another party or if anyone is
attending by telephone or other electronic
means.
 Ground Rules can be developed in advance,
but should be individually agreed to by all
parties.
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10. Negotiation Process
► Information Gathering
 Brief Initial Statements – Each party should
state the problem and what they would like to
see happen as a result of this meeting.
Summarize to let them know you heard.
 Factual Information – Each party should present
their information to the others. Summarize and
ask Questions to clarify.
 Emotional Information – Acknowledge and ask
Questions to show interest.
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11. Questions
► When asking questions, use open-ended
questions whenever possible. These tend to
draw out more information or involve an
otherwise reticent party. (Refer to handout.)
 What do you mean by _________?
 What is your opinion?
 What do you suggest?
 What would that look like?
 How did that make you feel?
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12. Negotiation Process
► Option Generation (if possible)
 After the problem is understood by everyone
and interests identified, begin generating
options. Remind everyone that they are not
agreeing to anything at this stage.
 Be creative, if possible, to ease tension and
encourage more options.
 Brainstorming can be used as a technique.
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13. Negotiation Process
► Bargaining & Negotiation*
 Evaluate options
 Reality Testing – What are the consequences of
this option?
 Steps
►Proposal
►Counter-proposal
►Concession or Dismissal of the option
* Refer to Bargaining & Negotiation handout
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14. Negotiation Process
► Agreement
 It is a good idea to document the points of
agreement, even informally. (not always possible)
►Note the details of each point of agreement. (Use the
language of the parties, if possible.)
►Clarify such things as who, what, where, when and
how, if applicable.
►Reality check – Ask the parties, “How realistic is this?”
 Ask each party to read and sign the agreement.
 Give each party a copy of the agreement.
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15. Negotiation Process
► Closure
 Thank the parties for their efforts and
cooperation.
 If only a partial agreement was reached,
summarize what issues remain and any
homework for the next meeting.
 If no agreement was reached, summarize the
issues and reasons the parties were unable to
reach agreement.
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16. Do Your Homework Before
Negotiating
► We all use negotiation skills at some time.
 Making a large purchase – house, car
 Resolving a conflict
► Make a list of everything you WANT in the
agreement.
► Prioritize list categorized as:
 Can offer without getting anything in return
 Can trade/give up if something guaranteed
 Can not give up under any circumstance 16