Negotiating: planning, strategies, typical mistakes

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Negotiating: planning, strategies, typical mistakes

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Negotiation is a joint partners’ activity aimed at solving their common problems. To be successful negotiations must be mutually beneficial – “win-win” situation. But “white gloves” may contain strong fists. The content is often clearer than the procedure

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Nội dung Text: Negotiating: planning, strategies, typical mistakes

  1. Lecture 17. Negotiating: planning,  strategies,  typical mistakes  Introduction to a problem  Negotiation is a joint partners’ activity aimed at solving their common problems.  To be successful negotiations must be mutually beneficial – “win-win” situation.  But “white gloves” may contain strong fists  The content is often clearer than the procedure 2 Main Functions of Negotiations  Decision making  Coordination of actions  Informational  Destructive  Communicative  Propaganda-advertising  Regulatory  Masking  Controlling  Peace-making 3 Types of Negotiations (according to their Purpose)  Aimed at prolonging the agreements clinched earlier;  Aimed at settling the conflict situation;  Aimed at reaching the redistribution agreement;  Aimed at clinching a new deal;
  2.  Aimed at getting indirect results not reflected in the contracts. 4 Types of Negotiations (according to their style)  Soft – concession on the part of the partner who wants to avoid the conflict;  Hard – driving a hard bargain in order to win by all means;  Principal – finding the mutual benefit not where it is possible but where the interests do not coincide 5 Preparation to Negotiations  Define the areas of the mutual interests;  Create the working relations with the partner;  Solve organizational problems;  Define the general approach (conception) and prepare the negotiation position with alternatives 6 Organizational Preparation  Make up the program of reception;  Determine place and time;  Agree on the agenda and consult the third persons involved;  Form the list of delegation  Gather the information about partners; 7 Preparing the Content
  3.  Problem analysis and diagnosis of the situation;  Developing the conception (general approach);  Defining the alternative solutions;  Proposals and arguments for them;  Necessary papers and materials; 8 Which negotiation model to choose?  Opposition of the parties;  Showing friendliness;  Looking for mutually acceptable solutions; (Fisher and Ury, 1982) 9 Drawbacks of positional bargaining They do not meet the following criteria:  Negotiations must lead to a reasonable agreement if any.  Negotiations must be effective;  Negotiations must improve or at least not spoil the relations between the partners. 10 So, what style to choose? Soft or Hard? None! 11
  4. Principal Negotiations  People: differentiate between the participants and the subject of the negotiation;  Interests: focus on interests, not positions;  Variants: before deciding what to do determine the circle of opportunities;  Criteria: insist on the result being based on some objective norm. 12 Unlike positional bargaining Principal negotiations Focus on  Key interests,  Mutually satisfying alternatives,  Fair criteria Lead to  Reasonable agreement (meets the parties’ legal interests, controls  conflicting interests fairly, is long­term and takes into account the society  interests.) 13 Differentiate between the participants and the subject of the negotiation;  Every participant is a human being;  Every partner wants to meet his interest and improve relationship with a partner;  A problem is not tied with relations;  Put yourself in the partner’s shoes;  Do not judge the people’s intentions by your prejudices;  Do not look for the guilty, solve your problem; 14
  5. Focus on interests, not positions;  Interests are the main in negotiating;  Interests are the motivator for actions;  How to find out the partner’s interests: – Put yourself in the partner’s place; – The strongest interests are the basic human needs; – Talk about interests; – Acknowledge their interests to be the part of the problem; – Be flexible, firm and tactful. 15 Mutually Beneficial Variants: typical mistakes  Jumping to conclusions;  Search for one answer;  Belief that the “cake” cannot be increased;  Opinion: “Their problem solution is their problem” 16 Mutually Beneficial Variants: overcoming typical mistakes  Separate developing variants from their assessment;  Vary your approaches and alternatives;  Increase the ‘cake’ and look for mutual benefit;  Coordinate different interests 17 How to make the decision easy for the partner  Put yourself in the partner’s shoes;
  6.  Offer the partner an answer, not a problem;  Work over the preliminary projects;  Make the decisions legitimate and fair;  Use a precedent;  Proposals are more effective than threats 18 Apply Objective Criteria  Every problem should be prepared for the common search of objective criteria;  Think and be open to arguments;  Do not concede under pressure; 19 Negotiation Positions  Open;  Closed;  Stressing the common views on the problem;  Stressing the differences 20 Negotiation Tactics  Involve into bargaining;  Zest  Find allies among the  Special efforts strangers;  Info drain  Accept the partner’s first  Warning proposal;  Create the authority  Package of proposals;  Deadline  Play on the interest;  Limited offer
  7.  Jumping back;  Choice without choice  Common area for solution;  Letters of reference  Splitting the problem to • The deal admitted components • Show your interest;  Gradual increase of • Avoid simple executives; complexity; • Agree on parts;  From great to minor; • Concession for concession  Blocking • Negotiation gambit  One text procedure; • Double  The only claim; • Departure;  Waiting; • Shifting the accents;  Salami; 21 Reverse Negotiation Tactics  Independence effect  Exclusive reputation;  Inaccessibility effect;  Challenge to the partner;  Show reliability 22 Dishonest Play in Negotiations  Deliberate deception (false allegations; fishy intentions);  Psychological war (create discomfort; personal hostility; trick “bad- good”; threats)  Positional pressure (refusal to negotiate; set too high demands; false accents in your position; ‘burning the bridges’; choice without choice; ‘I’d like to but my partner..’; negotiation lead-time) 23 You have been said “No”…  The partner’s objection is just a request for getting further information.  Do not reassure, give the proofs once again;
  8.  Find out the real reason for the negative reaction: – Diffidence, fear to make mistake; – Inability to persuade; – Disagreement with price; – Indefinite need; 24 Systematic Analysis after Negotiations  The extent of achieving the  New aspects; target;  Plan of negotiations;  The success factor;  Teamwork;  Preparation of negotiations;  Atmosphere of negotiations;  Tuning to the partner;  Prospects of the relations  Freedom of actions within the development; negotiations framework;  Drawbacks;  Effectiveness of  Conclusions and proposals argumentation; 25
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