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Negotiation Skills
Negotiation skills involve reaching agreements between parties who want something from each other. The document discusses definitions of negotiation, decision making tools like persuasion and problem solving, negotiating behaviors like red (aggressive) and blue (cooperative), and the four phases of negotiation: plan, debate, propose, and bargain. Effective negotiators understand different behaviors, plan their objectives and options, listen to other perspectives, make reasoned proposals while leaving room for agreement, and make strategic concessions to reach a compromise.
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Negotiation Skills
- 1. Negotiation Skills Prepared by: AmreshKr.Pandey Biblab Mukherjee Karthik Rajkumar Moorthy Vijaya surya
- 2. Negotiation – Definition: ‘Theprocess by which we search for the terms to obtain what we want from somebody who wants something from us’ Gavin Kennedy Confer with others to reach a compromise or agreement. Concise Oxford Dictionary To negotiate is to trade something we have for something we want. Anon ‘Negotiation is an explicit voluntary traded exchange between people who want something from each other’ Gavin Kennedy
- 3. Some decision makingtools for negotiation: Persuasion: Usually the first method we choose when we want something. When opinions and interests are same we can use this method. Giving in: This is not the best way , and sometimes we have to drop the idea if the cost (in any terms) is too high. Coercion: Talking forcefully can lead right up to threats, which in turn can erupt in full blown battles. Problem Solving: This can be used when both parties trust each other and share the problem.
- 4. Negotiating Behaviour There arethree types of behaviour that we can display or encounter during a negotiation:- RED BLUE PURPLE
- 5. RED Behaviour • Manipulation •Aggressive • Intimidation • Exploitation • Always seeking the best for you • No concern for person you are negotiating with • Taking People behave in this manner when they fear that they are being exploited by the other party.
- 6. BLUE Behaviour • Winwin approach • Cooperation • Trusting • Pacifying • Relational • Giving Kennedy talks of a ‘behavioural dilemma’, do you cooperate (blue) or defect (red)?Trusting too much can be risky and on the other hand not trusting at all can be seen as deceitful behaviour. The answer is to merge blue and red behaviour into purple.
- 7. PURPLE Behaviour • Giveme some of what I want (red) • I’ll give you some of what you want (blue) • Deal with people as they are not how you think they are • Good intentions • Two way exchange • Tit for tat strategies • Open • People know where they stand • Determination to solve problems by both sets of criteria of the merits of the case and/or the terms of a negotiated exchange
- 8. The Four Phasesof Negotiation PLAN DEBATE PROPOSE BARGAIN
- 9. • My needs? •Their needs? • What will I trade for? • What are the available options of the trade? • What will be the implications of each option? • Set objectives in terms of acceptable limits. • Visualise possible gains, not losses. • Be aware of the other party’s hidden agenda. PLAN
- 10. DEBATE • Positive Powerfulopening – confident body language, tone and words. • Break the ice and discuss neutral topics . • Cover: Why we are here, what we are going to do, how long it will take. • Listen to what the other party say and how they say it. • Observe non-verbal signals. • Sit at a place from where you can see everyone. •Summarize their views too, to demonstrate you have understood.
- 11. PROPOSE • Decide whetheryou will speak your proposal first or respond to the proposal from the other party. • Leave room for manoeuvre in your proposal. •If you don’t agree, avoid ‘amateur dramatics’, slamming the table, storming out etc. This is typical RED behavior. •PURPLE behavior, means responding positively. Welcome the fact a proposal has been made, you don’t have to agree with the content. •If agreement is hard to find keep looking for a solution until one is found . •You then have to either agree to disagree and call a halt to negotiations.
- 12. • Be preparedto make concessions, offer the smallest concessions first – you may not need to go any further. • Compromise without losing face. If you have had to backtrack on a point you had as your final position you could say ‘Since you have changed your position on… I may be able to change mine on…’ • Make eye contact to emphasise that each concession is a serious loss for you. • Do not ignore issues in order to speed up negotiations. • Record fully all agreements finalised at the negotiations close. BARGAIN
- 13. References • The NewNegotiating Edge. The Behavioural Approach for Results and Relationships by Gavin Kennedy. • Essential Managers Negotiating Skills by Tim Hindle.