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EFFECTIVE

NEGOTIATION SKILLS
FOR SMEs
Create Win-Win Agreements
Maryam Qureshi
8/19/2014
NEGOTIATE SUCCESS
Table of Contents
Preface..................................................................................................4
Participant ntro!uction.........................................................................."
Trainin# $orms an! %ui!elines for the Participants..................................&
'earnin#
(b)ecti*es++++++++++++++++++++++++++++++++++++
+++++++++++.,
C-.PT/0 11 /2poun!in# $e#otiation3......................................................8
A Common View of Negotiation A F!""er View of Negotiation T#e Two A$$roa%#es to
Negotiation &istri'!ti(e Negotiation Integrati(e Negotiation
C-.PT/0 21 mpe!iments to /4ectual $e#otiation.................................10
Unwi""ingness to Listen )osition Ta*ing La%* of Tr!st In+e,i'i"it- T#reats )oor
Se"e%tion of Negotiation Team Fai"!re to E,$"ore Nee.s an. Interests Use of /a.
Lang!age La%* of Information Fai"!re to Re%ogni0e Common Gro!n.s
C-.PT/0 51 6e7nitions1 ‘Position’ ,’Positional Bargaining’& ‘Elemental
Interest’ .............................................................................................15
)osition )ositiona" /argaining E"ementa" Interest Inten.e. Interest Uninten.e.
Interest I.entif-ing Interest INSERT A Wor*s#eet1 I.entif- a Sett"ement INSERT /
Wor*s#eet1 Can 2o! I.entif- an- &raw'a%*s of )ositiona" /argaining &raw'a%*s of
)ositiona" /argaining Wa-s to Co!nter )ositiona" /argaining
C-.PT/0 41 -o8 Con9icts /stablish 6isputes.........................................20
E"ements of Con+i%ts Lea.ing towar.s &is$!te Interest /ase. Con+i%ts Rig#ts
/ase. Con+i%ts Va"!es /ase. Con+i%ts Re"ations#i$ /ase. Con+i%ts INSERT C
Wor*s#eet1 T#e Im$ortan%e of Un.erstan.ing #ow &is$!tes &e(e"o$
C-.PT/0 "1 %roun!8or: for ;ilateral %ain $e#otiation..........................22
G!i.e"ines for /i"atera" Gain Negotiation )re-Negotiating Meeting )re$aration for
Negotiations At t#e Commen%ement of t#e Negotiation )ro%ess C"arif-ing an.
&e(e"o$ing an Un.erstan.ing of t#e Iss!es &e(e"o$ing an. Se"e%ting O$tions for
Agreement INSERT & A%ti(it- 3&i(erse 4!antit-5 of O(ertime 6o!rs
C-.PT/0 &1 -onin# $e#otiation <:ills...................................................2"
Strategi% Con%i"iation Mo.!s T#e /i#ht F!n.amenta"s of Strategi% Con%i"iation
Mo.!s
C-.PT/0 ,1 6ealin# 8ith Monopolistic <uppliers....................................5&
C-.PT/0 81 =n!erstan!in# the .cronym >;.T$.?.................................40
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NEGOTIATE SUCCESS
F!"" Form of /ATNA W#at /ATNA Is Not T#in*ing of /ATNA is &angero!s Im$ro(e
2o!r /ATNA
C-.PT/0 91 =n!erstan!in# the .cronym >@(P.?...................................41
F!"" form of 8O)A E,am$"e to Un.erstan. 8O)A an. /ATNA I.entif-ing t#e 8O)A
C"osing t#e Negotiation S!%%essf!""- wit# 8O)A
.ppen!i2 A .1 <ayin#s of the Prophet B<...CD
+++++++++++++++++++++++++++++++..45
.ppen!i2 A ;1 ;oss E <ubor!inate
/2ercise+++++++++++++++++++++++++++++++++.4"
.ppen!i2 A C1 ;oss E <ubor!inate 0ole Play on 0eFuestin# for Pay
0ise++++++++++++++++.."0
.ppen!i2 A 61
;iblio#raphy+++++++++++++++++++++++++++++++++++
+++++++."2
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NEGOTIATE SUCCESS
Preface
“Let us never negotiate out of fear. But let us never fear to
negotiate.”
-John . !enne"#
We"%ome to /2tra MileGs Wor*s#o$ on1

$egotiate %uccess
T#e main aim of t#is wor*s#o$ is to $ro(i.e $arti%i$ants wit# a $ra%ti%a"
!n.erstan.ing of t#e #ig#"- e:e%ti(e negotiation $ro%ess; I #o$e t#at $arti%i$ants
after atten.ing t#is wor*s#o$ wi"" "ea(e t#is $rogram wit# a f!"" !n.erstan.ing of
t#e <'est $ra%ti%es< of negotiating w#et#er t#e- are !se. to negotiating a ma=or
'!siness agreement or to sett"e a mis!n.erstan.ing wit# a frien. or re"ati(e; ;
Negotiation is one of t#e *e- '!siness s*i""s t#at f!e" s!%%ess; In t#e wor*s#o$
setting $arti%i$ants wi"" 'e gi(en tas*s an. wor*s#eets to negotiate $ositions in
or.er to interna"i0e t#e ta!g#t %on%e$ts;
Wit# we""-.e(e"o$e. negotiation s*i""s we %an 'e s!re to ma*e t#e most of e(er-
.is%!ssion .ea" or sa"e; Im$ro(e -o!r negotiation s*i""s an. get t#e most o!t of t#is
%o!rse on negotiation;
I $ra- to ALLA6 >swt? t#at t#is *now"e.ge enri%#es -o!r "ife; I wis# -o! a won.erf!"
"earning e,$erien%e
Best &egar"s,
'ohamma" aroo(ue )li
oun"er an" *irector
/2tra Mile HletGs #o beyon!+
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NEGOTIATE SUCCESS
Partici+ant Intro"uction
$ame1
Quali7cation1

-obbies1

/2pectations from this Cor:shop1




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NEGOTIATE SUCCESS
,raining $orms an" -ui"elines for the
Partici+ants

Timin#s1 W#i"e fo""owing time s%#e.!"es is (er- im$ortant in a"" as$e%ts of o!r
"i(es it is a"" t#e more so at training wor*s#o$s; It is #ig#"- a$$re%iate. t#at
$arti%i$ants ta*e into %onsi.eration t#e im$ortan%e to 'e $!n%t!a"; T#e 'rea*
timings wi"" 'e foreto". an. so it is e,$e%te. t#at $arti%i$ants fo""ow t#em stri%t"-
an. get 'a%* to t#eir res$e%ti(e $"a%es on time after e(er- 'rea* $erio.;
Mobile/Cell Phones1 We 'e"ie(e t#at training is t#e f!"" time assignment; Li*e a""
ot#er organi0ationa" a%ti(ities training s#o!". 'e !n.erta*en wit# f!"" %on%entration
an. serio!sness; T#e ringing of mo'i"e $#ones .ist!r's t#e w#o"e gro!$ an. sets
'a%* t#e training $ro%ess often se(ere"-; A%%or.ing"- we %annot ma*e an-
a""owan%e or %om$romise on mo'i"e $#one !sage insi.e t#e training room; W#i"e we
strong"- !rge $arti%i$ants to *ee$ t#eir $#ones t!rns o: if t#at is not $ossi'"e t#e
sets ma- 'e *e$t on si"ent or (i'ration mo.e; A"t#o!g# emergen%- %a""s ma- 'e
atten.e. '- wa"*ing o!t of t#e room;
Questions E .ns8ers1 We strong"- reB!est $arti%i$ants to as* B!estions; No
B!estion is irre"e(ant or tri(ia"; We s#a"" .ea" wit# -o!r B!estions in t#e fo""owing
C(e wa-s;
D; Answer it imme.iate"-
7; As* -o! to wait as t#e %oming se%tion>s? wi"" %o(er t#e re"e(ant to$i% w#i%# wi""
t#en answer t#e B!estion;
9; As* t#e in.i(i.!a" to meet t#e trainers "ater for a one-on-one session >w#en t#e
B!estion is (er- s$e%iC% to t#e B!estioner?;
@; )!t a"" B!estions on #o". for a s$e%iC% time;
A; A.mit o!r "a%* of *now"e.ge an. tr- to Cn. t#e answer w#i%# ma- 'e gi(en at a
s!'seB!ent time;
Cor:shop 'an#ua#e1 &e$en.ing "arge"- on t#e %#oi%e of t#e $arti%i$ants >an.
$artia""- on t#e fa%i"it- of t#e trainers? t#e training s#a"" 'e %on.!%te. in Eng"is#
Ur.! or a mi, of 'ot# t#e "ang!ages;
$ames for certi7cates1 )"ease C"" o!t t#e s#eet w#i%# wi"" 'e %ir%!"ate. for
as%ertaining t#e %orre%t an. f!"" names to 'e written on t#e %ertiC%ates;
$ames on the manual1 )arti%i$ants are reB!este. to $"ease write t#eir names on
t#e man!a"s an. *ee$ t#em se%!re"- at a"" times;
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NEGOTIATE SUCCESS
Ialuables1 A"" (a"!a'"es "i*e mo'i"e $#ones m!st 'e *e$t on t#e $erson of t#e
$arti%i$ants- an. es$e%ia""- so w#en "ea(ing t#e training room es$e%ia""- w#en
going for "!n%# an. 'rea*s; T#e organi0ers are !na'"e to ass!me an- res$onsi'i"it-
for t#e "oss of mis$"a%e. of "ost (a"!a'"es;
LE)&$I$- .BJE/,I0E%
After t#e en. of t#is wor*s#o$ -o! s#o!". 'e a'"e to1
• &eCne Negotiation
• Un.erstan. &istri'!ti(e an. Integrati(e Negotiation
• I.entif- O'sta%"es to E:e%ti(e Negotiation
• Un.erstan. )osition )ositiona" /argaining an. E"ementa" Interest
• I.entif- t#e &i:erent T-$es of Con+i%ts
• Know t#e Negotiation )ro%ess
• /e fami"iar wit# t#e Strategi% Re%on%i"iation Mo.!s an. its F!n.amenta"s
• Learn 6ow to &ea" wit# Mono$o"ies
• Re%ogni0e an. Com$re#en. t#e Con%e$ts of /ATNA an. 8O)A in Negotiations
• Reinfor%e t#eir Know"e.ge of Negotiation S*i""s t#ro!g# &emonstration of t#e
Same '-
o Listening to Case St!.ies an. /est )ra%ti%es
o Wat%#ing Vi.eos of E:e%ti(e Negotiation
• &emonstrate t#e Negotiation S*i""s t#e- "earne. t#ro!g# Ro"e )"a-s an.
Learning A%ti(ities
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NEGOTIATE SUCCESS
/1)P,E& 23 E4+oun"ing ‘$egotiation’
W#at is negotiationG
) /ommon 0ie5 of $egotiation3
Negotiation is (er- %ommon"- (iewe. as 'eing a $ro%ess of %omm!ni%ating in or.er
to get w#at -o! want; A sim$"e wa- of $!tting t#is mig#t 'e1
Getting something you want that somebody else has got.
T#is is often treate. as somet#ing re"ate. to a %om$etition w#ere'- t#e two
$arties tr- to .e%ei(e or 'ewi".er one anot#er in or.er for ea%# to get w#at t#e- are
see*ing;
) uller 0ie5 of $egotiation3
A f!""er an. more mat!re. (iew %o!". 'e as fo""ows1
A joint communicative process for attempting to reach agreement where
an exchange takes place and needs are satisfed.
Negotiation is a met#o. '- w#i%# $eo$"e sett"e .i:eren%es; It is a $ro%ess '- w#i%#
%om$romise or agreement is rea%#e. w#i"e a(oi.ing arg!ment;
In an- .isagreement in.i(i.!a"s !n.erstan.a'"- aim to a%#ie(e t#e 'est $ossi'"e
o!t%ome for t#eir $osition >or $er#a$s an organi0ation t#e- re$resent?; 6owe(er
t#e $rin%i$"es of fairness see*ing m!t!a" 'eneCt an. maintaining a re"ations#i$ are
t#e *e-s to a s!%%essf!" o!t%ome;
It is ine(ita'"e t#at from time-to-time %on+i%t an. .isagreement arise as t#e
.i:ering nee.s wants aims an. 'e"iefs of $eo$"e are 'ro!g#t toget#er; Wit#o!t
negotiation s!%# %on+i%ts ma- "ea. to arg!ment an. resentment res!"ting in one or
a"" of t#e $arties fee"ing .issatisCe.; T#e $oint of negotiation is to tr- to rea%#
agreements wit#o!t %a!sing f!t!re 'arriers to %omm!ni%ations;
Moreo(er HNegotiationI %an 'e .eCne. as a $ro%ess t#at o%%!rs w#en two or more
$arties %ome toget#er to rea%# to a %on%"!sion of an- $ie%e of arg!ment; &e$en.ing
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on #ow m!%# t#e $arties are going to intera%t wit# one anot#er maintaining t#e
so%ia" re"ations#i$ an. 'e#a(ing et#i%a""- is #ig#"- im$erati(e;
,he ,5o )++roaches to $egotiation3
T#ere are two genera" a$$roa%#es to Negotiation;
D-&istri'!ti(e Negotiation
7-Integrati(e Negotiation
*istri6utive $egotiation3
&istri'!ti(e Negotiation is .eCne. as negotiation t#at see*s a win "ose sit!ation; In
t#is a$$roa%# ea%# $art- negotiates aggressi(e"- an. treats t#e ot#er as an
o$$onent w#o m!st 'e .efeate. at an- %ost;
T#e %ore of .istri'!ti(e negotiation is t#at ea%# $art- #as a target $oint an.
resistan%e $oint; Target $oint is w#at t#e $arties wo!". "i*e to a%#ie(e most; Ea%#
$arties target $oint is most of t#e time are entire"- or e,treme"- o$$osite;
Resistan%e $oint is t#e minim!m res!"t w#i%# wo!". 'e a%%e$te. '- t#e $arties;
W#en engage. in .istri'!ti(e negotiation 'ot# t#e $arties tr- to get oneIs
o$$onent to agree to oneIs s$e%iC% target $oint or to get as %"ose to it as $ossi'"e;
Integrative $egotiation3
Negotiation t#at see*s one or more sett"ements t#an %reates win- win sit!ation is
terme. as Integrati(e Negotiation; Integrati(e Negotiation '!i".s "ong term
re"ations#i$s an. fa%i"itates wor*ing an. "i(ing toget#er in t#e f!t!re; It 'on.s
negotiators an. a""ows ea%# to "ea(e t#e negotiation ta'"e fee"ing t#at #eKs#e #as
a%#ie(e. a (i%tor-; &istri'!ti(e 'argaining on t#e ot#er #an. "ea(es one $art- a
"oser; It ten.s to '!i". #atre. an. .ee$er .i(isions w#en $eo$"e #a(e to wor*
toget#er on an ongoing $ro%ess;
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/1)P,E& 73 Im+e"iments to E8ectual
$egotiation
Negotiations an. .isagreements are .iM%!"t for man- reasons; We set t#em !$ as
antagonisti% an. so we ass!me t#at w#en we win o!r ri(a" "oses an. (i%e (ersa;
ConseB!ent"- we sometimes miss o$$ort!nities to Cn. agreements t#at 'eneCt
'ot# si.es;
Anot#er $ro'"em in negotiation is t#at o!r own $riorities ma- .i:er from t#ose of
o!r ri(a"s; W#en t#e two si.es fai" to see t#at t#eir $riorities .i:er t#en t#e- ma-
miss o$$ort!nities an. .ia"og!es en. meaning"ess"-;
T#ere are man- reasons of negotiation fai"!re; Some of t#e most $rominent reasons
#a(e 'een .is%!sse. 'e"ow t#at im$e.e t#e %!"mination of negotiation agen.as;
9n5illingness to Listening3
Most of t#e time negotiators .o not a""ow t#eir inter"o%!tors to "et o: steam; )eo$"e
are re"!%tant to "isten to t#e ot#er $art-Is $oints of (iew an. %onsi.er t#at t#e- are
not as wort#- as t#eirs; T#is !nwi""ingness "ea. to aggression an. 'ot# t#e $arties
at t#e en. s!:er from t#e 'rea*-.own of re"ations#i$;
Position ,a:ing3
Anot#er fa%tor t#at "ea.s to im$e.e negotiation is t#at $eo$"e often gi(e im$ortan%e
to t#eir $osition instea. of t#e interest; )osition is the what, w#i"e interest is the
why. W#en we ta*e t#e $osition into %onsi.eration t#ere is a"wa-s no !se to
negotiate 'e%a!se w#en Hw#-I ta*es t#e 'a%* seat t#e %on(ersation goes $oint"ess
an. $arties get not#ing in t#e en.;
Lac: of ,rust3
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NEGOTIATE SUCCESS
La%* of tr!st or a'sen%e of tr!st ma*es t#e $arties engage. in negotiationO rea"i0e
t#e fa%t t#at w#en $eo$"e .onIt #a(e tr!st among t#emse"(es an- agreement .ea"
or '!siness %an ne(er 'e esta'"is#e.; Most of t#e time $eo$"e .onIt (a"!e ot#erIs
.eman.s an. nee.s 'e%a!se t#e- "a%* tr!st on t#em; T#erefore t#e "a%* of tr!st
.oes not en%o!rage $arties to en. negotiation on a fr!itf!" note;
In;e4i6ilit#3
In+e,i'"e negotiators often %ome o: as arrogant 'e%a!se t#e- go t#eir wa-; T#eir
t#in*ing is '"a%* an. w#ite an. t#erefore t#e- #a(e t#e ten.en%- to a$$ear rigi. in
%on(ersation; It %reates great fr!stration for $eo$"e aro!n. t#em w#o %annot Cg!re
o!t w#at t#e in+e,i'i"it- is a'o!t; T#!s %reati(e .ia"og!e is sti+e. %reating %on+i%t
at t#e worst;
,hreats3
)eo$"e w#o t#reaten ot#ers are ne(er seen wit# res$e%ta'"e e-es an. no'o.- is
wi""ing to ta"* to t#em; )eo$"e #a(ing angr- a"ter%ations ne(er a""ow ot#ers to
$resent t#eir $oints of (iew in front of t#em; S!%# $eo$"e im$ose t#eir o$inions on
ot#ers; T#e so%iet- in ret!rn s#!ns t#em !$ an. .oesnIt en%o!rage t#e i.ea to
%ome into s$ea*ing terms wit# t#em;
Poor %election of $egotiation ,eam3
T#e ro"e of negotiating teams is (er- %r!%ia"; After a"" %om$anies sen. teams to t#e
negotiating ta'"e on"- w#en iss!es are %om$"e, an. reB!ire in$!t from (ario!s
te%#ni%a" e,$erts; T#erefore w#en t#e mem'ers of t#e teams are in%om$etent
t#e- often en. !$ #a(ing .i:erent $riorities an. wrest"e wit# interna" %on+i%ts; T#e-
fai" to reso"(e t#eir .i:eren%es o(er negotiation targets; T#e- ris* en.ing !$ wit# an
agreement t#atIs goo. for one $art- '!t 'a. for anot#er;
ailure to E4+lore $ee"s an" Interests3
One of t#e im$e.iments to s!%%essf!" negotiation is t#at $eo$"e .efen. on"- t#eir
own $osition wit#o!t attem$ting to !n.erstan. an. e,$"ore t#e interests or nee.s
'e#in. t#e $ositions of t#e ot#er $art-; T#e- w#en are engage. in a %on(ersation
(iew t#eir $oints of (iew rationa" an. ot#ersI !nreasona'"e; As a res!"t t#e- .efen.
t#eir $osition an. %omm!ni%ation 'rea*.own ta*es $"a%e;
9se of Ba" Language3
Lang!age is an essentia" $art of %omm!ni%ation; )eo$"e to.a- are immerse. in a
%!"t!re t#at .oesnPt (a"!e so$#isti%ate. an. reCne. "ang!age; Most of t#e time
$eo$"e !n.erestimate t#e $ower of "ang!age an. from #ere t#e $ro'"em 'egins;
Use of 'a. or %o""oB!ia" "ang!age #am$ers negotiation an. %orr!$t %ore #!manit-;
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Lac: of Information3
Most of t#e time "a%* of information an. *now"e.ge #am$ers e:e%ti(e negotiation;
T#e ot#er $art- a"wa-s see*s somet#ing (a"!a'"e in -o!r i.eas an. if t#e- seem
!nwort#- to it it wo!". g"a."- -ie". t#e +oor an. t#e negotiation $ro%ess wi"" 'e
'"o%*e.; T#e w#o"e agen.a of %on(ersation is !n.ermine. w#en $eo$"e w#o are
$inne. in ta"*ing wit# -o! rea"i0e t#at t#e amo!nt of information -o! #a(e .oes not
s!M%e t#eir nee.;
ailure to &ecogni<e /ommon -roun"s3
Fai"!re to re%ogni0e %ommon gro!n.s $re(ents t#e $arties from rea%#ing to a 'asis
for transforming re"ations#i$s; E(ent!a""- it .oes not a""ow t#e $arties to 'e a'"e to
sett"e .iM%!"t iss!es in .is$!te %onstr!%ti(e"-; T#at is w#- w#en $eo$"e .o not
re%ogni0e %ommon gro!n.sO t#eir negotiation agen.as 'e%ome meaning"ess;
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/1)P,E& =3 *e>nitions3 ‘Position’,
‘Positional Bargaining’ & ‘Elemental
Interest’
Position3
A $osition is t#e initia" sett"ement ma.e 'ase. on imme.iate .eman.s !s!a""-
strong"- state. im$"-ing a non-negotia'"e stan. an. not %onsi.erate of ot#erIs
$riorities or nee.s;
Positional Bargaining3
T#e most wi.es$rea. wa- of sett"ing .i:eren%es is t#e ositional !argaining, in
w#i%# negotiators ta*e $ositions #a(e arg!ments for t#em an. t#en ma*e
%on%essions to rea%# a %on%i"iation an. %om$romise;
Elemental Interest3
E"ementa" interests are t#e $riorities nee.s an. #o$es t#at inform strengt#en an.
s!$$ort t#e state. $osition; It is !s!a""- !ns$o*en an. sometimes not %"ear"-
!n.erstoo.O t#erefore its arti%!"ation is (er- ne%essar- to en. negotiations on a
.esire. o!t%ome;
,he most +o5erful interests are 6asic human nee"s3
". #ecurity
$. %conomic well being
&. #ense of belonging
'. (ecognition
). *ontrol over one+s life
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,. (espect
-. .ove
Inten"e" Interests3
T#e interests of a $erson w#i%# are %"ear"- in #isK#er min. at t#e start of t#e
sett"ement $ro%ess are t#e inten.e. interests;
9ninten"e" Interests3
T#e %"ear in.is$!ta'"e interests of a $erson t#at #eKs#e .oesnHt #a(e in #isK#er min.
at t#e start of t#e sett"ement $ro%ess are t#e !ninten.e. interests;
I"entif#ing Interests3
D; As* Hw#-I
7; Kee$ in min. t#at ea%# si.e ma- #a(e m!"ti$"e interests
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I$%E&, )3 ?or:sheet3
/dentify a settlement that has happened in your life which can be
termed as positional bargaining.
)"ease i.entif- t#e $arties in(o"(e. in t#e negotiation an. t#e
initia" $ositions t#at t#e- #a. ta*en; For e,am$"e two $artners in
a Crm are negotiating w#i%# s!$$"ier to %#oose from for s!$$"-ing
e"e%tri%a" eB!i$ment for t#eir '!siness; T#e Crst $artner wants to
%#oose t#e s!$$"ier t#at is o:ering a:or.a'"e '!t me.io%re
B!a"it- eB!i$ment; T#e se%on. $artner .oesnIt want to
%om$romise on B!a"it-; T#e initia" $osition t#at t#e Crst $artner
#as ta*en is #e wo!".nIt '!- e,$ensi(e $ro.!%ts w#ereas t#e
se%on. $artner #as ta*en t#e $osition t#at #e wo!".nIt
%om$romise on B!a"it-;
)n overvie5 of the negotiation3
Part# 23





Part# 73

DA
NEGOTIATE SUCCESS




Initial Position of Part# 23





Initial Position of Part# 73





,he secon" +osition of +art# 2 after the >rst
concession @if a++lica6leA3





,he secon" +osition of +art# 7 after the >rst
concession @if a++lica6leA3
DE
NEGOTIATE SUCCESS





/onsensus3





I$%E&, B3 ?or:sheet to I"entif# *ra56ac:s
of Positional Bargaining
*an you identify any drawbacks of positional bargaining0





DF
NEGOTIATE SUCCESS





,he *ra56ac:s of Positional Bargaining3
D; /- fo%!sing more on $ositions instea. of t#e !n.er"-ing reasons $ositiona"
'argaining misses o!t on t#e o$$ort!nit- of generating more m!t!a""-
'eneC%ia" %reati(e so"!tions #en%e ten.s to $ro.!%e "ess wiser res!"ts; >T#e
orange e,am$"e?
7; )ositiona" 'argaining '- t#e (irt!e of its .esign %reates a %onte,t w#i%#
en%o!rages "-ing an. .e%e$tion;
9; )ositiona" 'argaining ten.s to .amage re"ations#i$s;
?a#s to /ounter Positional Bargaining3
/efore -o! assess t#em *ee$ one t#ing in min.O .onHt gi(e !$ on t#e
$rin%i$"es no matter w#at;
6ere are t#ree wa-s t#at t#e- wi"" !se an. t#eir %o!nter ste$s;
2-I$%I%,I$- .$ ,1EI& P.%I,I.$ .&/E9LLB3
-&onHt a%%e$t or re=e%t
-As* for e,$"anation
DJ
NEGOTIATE SUCCESS
7-),,)/!I$- B.9& I*E)%3
&onHt .efen. t#e atta%* rat#er %onsi.er it as a %riti%ism an. !se it to gain
*now"e.ge;
=-) PE&%.$)L ),,)/!3
-Resist #itting 'a%*
-Let t#em ta*e t#eir steam o:
-Tr- to .e+e%t it on t#e $ro'"em
-Ignore
-Si"en%e
Two main wea$ons in t#is sit!ation1 As*ing B!estions instea. of ma*ing statements
an. si"en%e;
/f the above doesn+t work, call in a third party.
/1)P,E& C3 1o5 /on;icts in $egotiation
Esta6lish *is+utes
/on;ict3
Con+i%t is a P'att"e of interests a%tions $oints of (iew or o'=e%ti(es;P )eo$"e Cg#t
t#is 'att"e w#en t#e- see t#ings .i:erent"- %onsi.er t#eir o$inions rationa" an.
(a"!e t#eir interests o(er ot#ersI; S!%# attit!.e en%o!rages t#em to .isagree an.
t#!s gi(es 'irt# to %on+i%ts;
Elements of the /on;icts Lea"ing ,o5ar"s *is+ute3
I$,E&E%, B)%E* /.$LI/,%3
Interest 'ase. %on+i%ts are %a!se. w#en one or more of t#e $arties in negotiation
'e"ie(e t#at in or.er to satisf- its nee.s t#e nee.s an. interests of an a.(ersar-
m!st 'e "eft 'e#in.; Interest-'ase. %on+i%ts o%%!r o(er iss!es s!%# as mone- time
$ro$ert- $osition $ower et%;
In or.er to reso"(e t#is %on+i%t $arties o!g#t to e,$ress t#eir in.i(i.!a" interests so
t#at a"" of t#ese interests ma- 'e =oint"- a..resse. an. $arties %ome to a frien."-
o!t%ome;
&I-1,% B)%E* /.$LI/,%3
DL
NEGOTIATE SUCCESS
Rig#ts 'ase. %on+i%ts are %a!se. '- .isagreement a'o!t t#e inter$retation or
a$$"i%ation of e,isting rig#ts in "aws an. %on(entions; Negotiating wit# a rig#t 'ase.
a$$roa%# is B!ite %#a""enging; Often in negotiation fo"*s .o not %onsi.er ot#ersI
rig#ts im$ortant to 'e (a"!e. an. %onsi.ere.; ConseB!ent"- %on+i%ts arise an.
$eo$"e $re$are t#emse"(es rea.- for t#e 'att"e "ea(ing 'e#in. t#e why of
negotiation;
0)L9E% B)%E* /.$LI/,%3
T#ese %on+i%ts ma- 'e %a!se. '- .i:ering i.eo"ogies re"igio!s 'e"iefs %!"t!ra"
norms an. et#ni%it-; Negotiation w#en enters t#e .e'ate a'o!t an- of t#ese
'e%omes a$$re#ensi(e;
&EL),I.$%1IP B)%E* /.$LI/,%3
Re"ations#i$ 'ase. %on+i%ts are %a!se. '- 'rea*.own in inter$ersona" a%%e$tan%e
"i*ing %omm!ni%ations an. !n.erstan.ing; To #a(e goo. negotiation o!t%omes it is
(er- im$ortant to negotiate Crst; )eo$"e w#en start gi(ing $riorit- to ot#er
materia"isti% an. s!'stantia" t#ings o(er re"ations#i$s t#ese %on+i%ts are t#en often
'att"e.;
I$%E&, /3 ?or:sheet to )++reciate the
Im+ortance of 9n"erstan"ing ho5 *is+utes
*evelo+
In"ivi"uall#, an" then in +airs, recor" #our res+onses to
the follo5ing (uestion3
1/n what way does an understanding of how disputes develop
help a negotiator02

7N
NEGOTIATE SUCCESS












/1)P,E& D3 -roun"5or: for Bilateral
-ain $egotiation
-ui"elines for Bilateral -ain $egotiation3
2. P&E-$E-.,I),I.$ 'EE,I$-3
-Agree on #ow to negotiate e;g; 3T#e $arties s#a"" negotiate in goo. fait# wit# a
serio!s intention to rea%# m!t!a""- 'eneC%ia" agreements;5
-S#are wit# one anot#er t#e nee.s interests fears %on%erns an. e,$e%tations '-
*ee$ing t#eir $ositions 'e#in. an. a"so !n.erstan. e(er-'o.-Is $oints of (iew;
-See* to %"arif- t#e iss!es to 'e negotiate.;
-Loo* for t#e gro!n. r!"es an. $ro%ess for t#e negotiation;
-/e $re$are. to agree on .ates times an. $"a%es for t#e negotiation;
-See* to agree on t#e %#osen negotiation teams;
7. P&EP)&),I.$ .& $E-.,I),I.$%
-See* to generate %reati(e o$tions for meeting t#e nee.s interests %on%erns an.
e,$e%tations of t#e ot#er $art- an. for Cn.ing m!t!a" gain o!t%omes;
-O'tain as m!%# re"e(ant information as $ossi'"e to s!'stantiate not on"- -o!r
nee.s an. $ro$osa"s '!t of ot#er $art-Is as we"";
7D
NEGOTIATE SUCCESS
-E,$"ore an. see* to !n.erstan. w#at t#e $ossi'"e a"ternati(es %o!". 'e ma.e
a(ai"a'"e to rea%# to agreement;
=. ), ,1E /.''E$/E'E$, . ,1E $E-.,I),I.$ P&./E%%
-Let t#e intro.!%tion ta*e $"a%e;
-See* to agree on gro!n. r!"es for t#e negotiation w#i%# ma- in%"!.eO agreeing to
"isten %aref!""- to s$ea* in t!rn an. not to interr!$t one anot#er et%;
C. /L)&IBI$- )$* *E0EL.PI$- )$ 9$*E&%,)$*I$- . ,1E I%%9E%
-)resent an. e,$"ain t#e nee.s interests %on%erns an. e,$e%tations;
-Frame iss!es in a %o""a'orati(e an. so"(a'"e wa-
-E,$"ore an. see* to !n.erstan. t#e $ro$osa"s nee.s interests %on%erns an.
e,$e%tations of t#e ot#er $arties;
-E,%#ange re"e(ant information
-Fo%!s t#e .is%!ssions
-I.entif- areas of %ommon %on%ern an. %om$eting interest
D. *E0EL.PI$- )$* %ELE/,I$- .P,I.$% .& )-&EE'E$,
-Generate as man- $ossi'"e wa-s of meeting t#e nee.s of ea%# $art-;
-In(ent o$tions wit#o!t 'eing 'iase.;
-Use o'=e%ti(e %riteria an. stan.ar.s as a 'asis to e(a"!ating an. %#oosing o$tions
-Ana"-0e o$tions to see w#i%# ones 'ot# $arties %an a%%e$t
-See* to in+!en%e an. 'e o$en to 'e in+!en%e.
-Tr- #-$ot#eti%a" i;e; Hw#at if;;GI
-I.entif- areas of agreement
77
NEGOTIATE SUCCESS
I$%E&, *3 )ctivit# “*I0E&%E E9)$,I,B” of
.vertime 1ours
2o!r %om$an- #as =!st "an.e. a .ea" to s#i$ a ma=or %onsignment o(erseas
to a 'ig %!stomer in t#ree mont#s; T#e norma" wor*ing #o!rs are from Lam
to A$m; 6owe(er .!e to s#ortage of "a'or t#e %om$an- #as to $!t in DNN
o(ertime #o!rs $er e(er- two em$"o-ees for t#e t#ree mont#s; T#e %om$an-
#as gi(en t#e em$"o-ees an o$tion to negotiate t#e n!m'er of o(ertime
#o!rs among t#emse"(es; In t#is a%ti(it- $arti%i$ants #a(e to a%%!m!"ate as
"ess o(ertime #o!rs as $ossi'"e '- meeting in $airs an. tr-ing to rea%#
agreement on #ow to .i(i.e DNN #o!rs 'etween t#em in an- of t#e fo!r
$ro$ortions1 LNKDN JNK7N FNK9N ENK@N; Ot#er .i(isions s!%# as ANKAN are
not $ermitte.;
/EGIN '- writing -o!r own name at t#e 'ottom of t#e 6OURS LIST; T#e Crst
%o"!mn of t#e "ist is for -o! to write in t#e name of t#e $arti%i$ant -o! are
negotiating wit#; T#e se%on. %o"!mn is for t#e n!m'er of o(ertime #o!rs t#e
ot#er $"a-er agrees to gi(e to -o!; If -o! fai" to agree t#en write 0ero in t#is
%o"!mn; If -o! rea%# agreement t#en write in one n!m'er on"- for e,am$"e
if -o! agree to s$en. 9N o(ertime #o!rs t#en write .own 9N an. not 9NKFN or
FNK9N; T#e t#ir. %o"!mn is for t#e ot#er $"a-erIs signat!re to %onCrm t#e
Cg!re written in t#e se%on. %o"!mn;
T6E LEISURE AREA is for sing"e $"a-ers to form $airs in $re$aration for
negotiation; No negotiations of an- sort are $ermitte. in t#e Leis!re Area;
79
NEGOTIATE SUCCESS
T6E NEGOTIATIONS AREA is reser(e. for negotiations; On"- $airs %an enter
t#e Negotiations Area; If a $"a-er wants to #i.e information a'o!t t#e
$re(io!s .ea"s t#en t#e 6OURS LIST %an 'e fo".e. to re(ea" on"- free "ines
$"!s t#e $"a-erIs name at t#e 'ottom; A negotiation >w#ate(er t#e res!"t? is
%om$"ete w#en 'ot# $"a-ers #a(e a..e. t#eir signat!res to t#e LISTS an.
not 'efore; T#e $air m!st ret!rn imme.iate"- to t#e LEISURE AREA;
T6E GAME EN&S at t#e .ea."ine an. an- in%om$"ete $a$erwor* .oes not
%o!nt; T#e $"a-er wit# t#e "owest tota" n!m'ers of O(ertime 6o!rs
negotiate. wins;
T#e 6OURS LIST s#eet wi"" 'e gi(en to -o! '- t#e organi0ers;
/1)P,E& F3 1oning $egotiation %:ills
%trategic /onciliation 'o"us3
A we"" organi0e. s-nerg- 'etween in.i(i.!a"s or gro!$s wit# t#e intention to reso"(e
a .i:eren%e to %ome to an agreement #as 'een terme. as H#trategic *onciliation
3odus.4 In t#is mo.!s t#ere are eig#t %ar.ina" f!n.amenta"s;
,he Eight un"amentals of %trategic /onciliation 'o"us3
I&%, 9$*)'E$,)L3
Negotiate w#i"e *ee$ing in min. t#ree ma,ims
a? $ever to lie3 'e%a!se fa"se#oo. ma*es -o! a frien. of Satan; No one
'e"ie(es a "iar e(en w#en t#e- s$ea* t#e tr!t#; E(ent!a""- -o! en. !$
.amaging t#e tr!st of ot#ers; T#erefore in -o!r negotiations a"wa-s s$ea*
tr!t# 'e%a!se t#e tr!t# %an set -o! free from .issatisfa%tion an. !neasiness;
'? )l5a#s 6e honest3 Tr!st in t#e fa%t t#at #onest- a"wa-s Cn.s a wa- to
rise to t#e s!rfa%e; So =!st own it !$; On%e -o! are %a!g#t as .is#onest t#en
t#e wor.s 3IIm sorr-5 wi"" not 'e a'"e to set t#ings 'a%* to #ow t#e- were
'efore; Moreo(er $eo$"e wi"" ne(er 'e a'"e to f!""- tr!st -o! again e(en if
-o! s$en. t#e rest of -o!r "ife 'eing a mo.e" of #onest- an. integrit-;
7@
NEGOTIATE SUCCESS
%? $ever to ta:e 5rongful 6ene>t from someone’s fragilit#3
'e%a!se 'eing #!mans we s#o!". "en. o!r #e"$ing #an.s to wea* $eo$"e
aro!n. !s; To 'e strong is (er- goo. '!t to ta*e a.(antage of an-one is
against 'eing a #!mane;
%E/.$* 9$*)'E$,)L3
Fo%!s on interests not $ositions
5his fundamental can be best understood by narrating a time6honored story of two
friends fghting over the only orange available at the time when both are on the
task of preparing a delicious desert. 5he +osition of each friend is that she must
have the entire orange for herself, any less is impossible. A wise person who is in6
charge asks each of the girls 7in private8 why she wants the orange i.e. the
interest. 9ne explains she wants the juice to pour it on the top of the desert: the
other wants to use the skin to cook a pudding. ;hat each friend wants is her
+osition, why she wants it is her interest. /n this case, the simple solution is to
give the skin to the girl who is making pudding after the juice has been s<uee=ed
for the other friend who needs it to pour it on her dish 6 thus meeting the interests
of both.
A wise %o!rse of a%tion is t#at in a negotiation a"ong wit# stating <W#at .o -o!
wantG< It is a"so im$ortant to state <W#- .o -o! want itG< S!%%essf!" negotiators
fo%!s on !n.erstan.ing t#eir interests as t#e- enter .is%!ssions; It is eB!a""-
im$ortant to note t#at not on"- .o t#e- fo%!s on t#eir interests '!t t#e- (a"!e t#e
interests of t#e ot#er $art- as we"";
,1I&* 9$*)'E$,)L3
Res$e%t t#e t#ree most im$erati(e #!man fa%ets
aA Perce+tions3
D- Com$re#en. an. a%%e$t t#at t#ere %an more t#an one $er%e$tions of t#e one
rea"it-;
7- )eo$"e %onsi.er t#eir $er%e$tions as t#e most a%%e$ta'"e an. reasona'"e
9- W#i"e negotiating ta*e a moment to assimi"ate -o!rs an. t#e ot#er $art-Is
$er%e$tions in or.er to en. t#e negotiation on a fr!itf!" note;
E? . ,1E .P,I/)L ILL9%I.$%3
7A
NEGOTIATE SUCCESS
7E
NEGOTIATE SUCCESS
7F
NEGOTIATE SUCCESS
7J
W#i%# of t#e %ir%"es
in t#e mi.."e is
'iggerG
NEGOTIATE SUCCESS
9n"erstan" the Part#’s Perce+tions3
D; Know t#e $er%e$tions of ot#ers '- $!tting -o!rse"f in t#eir sit!ation;
7; Kee$ an e-e o!t for a"" t#e $ossi'"e wa-s of seeing t#e sit!ation an.
i.entif- in %ase t#e ot#er si.e is "oo*ing at t#e sit!ation from one of
t#e wa-s t#at -o! #a(e t#o!g#t of;
9; Listen (er- %aref!""-;
@; )ara$#rase
A; &is%!ss ea%# ot#erHs $er%e$tions;
E; In a %on.ition of *nowing negati(e $er%e$tion a'o!t -o! a%t
in%onsistent"- wit# t#eir $er%e$tions wit#o!t getting on -o!r ner(es;
6A Emotions3
D- Emotions %an #ar."- 'e se$arate. w#i"e engage. in negotiation
7- 6a(ing f!"" %ontro" o(er -o!r sentiments ma- $re(ent -o! from 'ig $ro'"ems
wit# -o!r $artners in %on(ersation
9- /eing sensiti(e to ot#ers emotions is of gra(e im$ortan%e -et at t#e same
time -o! s#o!". not "et -o!rse"f 'e mani$!"ate. '- ot#ersI o(er sentiments
%te+s to tac:le emotions in settling "i8erences
D; /e %a"m an. serene
7; Re%ogni0e emotions t#eirs an. -o!rs
9; Ma*e emotions e,$"i%it
@; Let t#e ot#er si.e "et o: steam
A; Kee$ an e-e on t#e emotiona" 'an* A%%o!nt
cA /ommunication
D- Transferring information is %omm!ni%ation;
7- On a .ee$er "e(e" %omm!ni%ation s#o!". 'e seen as a $ro%ess w#i%# in(o"(es
$arti%i$ants negotiating t#eir interests an. $ositions
9- E:e%ti(e %omm!ni%ation in(o"(es minimi0ing mis!n.erstan.ing an.
o(er%oming an- 'arriers to %omm!ni%ation in t#e %omm!ni%ation $ro%ess;
$on-0er6al /ommunication3
7L
NEGOTIATE SUCCESS
Comm!ni%ation not on"- in(o"(es t#e e,$"i%it meaning of wor.s '!t a"so
refers to im$"i%it meaning w#et#er intentiona" or not w#i%# are e,$resse.
t#ro!g# non-(er'a" 'e#a(iors;
Non-(er'a" %omm!ni%ations in%"!.es1
". #peech pace, pauses
$. >acial %xpressions
&. itch and 5one
'. !ody motion and gestures
). !ody posture
,. Ga=e
-. 5ouch and body contact
?. #tyle of written text
%te+s to tac:le +ossi6le communication challenges3
D; Kee$ an e-e on t#e non-(er'a" %omm!ni%ation
7; Listen a%ti(e"- an. a%*now"e.ge w#at is 'eing sai.;
9; S$ea* to 'e !n.erstoo.
?hich +art of a s+eech carries the greatest im+actG
A resear%# was %on.!%te. in DLEF '- a $s-%#o"ogist A"'ert Me#ra'ian in
w#i%# #e ana"-0e. t#e wa- a s$ea*erHs attit!.es an. fee"ings im$a%t on
an a!.ien%e; 6e resear%#e. w#at $ro$ortion of t#e $er%ei(e.
attit!.esKfee"ings is in t#e (er'a" %ontent >t#e meaning of t#e wor.s?G
6ow m!%# is in t#e (o%a" %ontent >tones?G 6ow m!%# is in t#e (is!a"
%ontent >'o.- "ang!age?G T#e res!"ts were start"ing as s#own in t#e
fo""owing Cg!re1
9N
NEGOTIATE SUCCESS
If we %om'ine t#e "ast two %o"!mns we get w#at we see in t#e
fo""owing Cg!re1
.&,1 9$*)'E$,)L3
/ring a'o!t range of $ossi'i"ities 'efore =!m$ing onto t#e Cna" .e%ision
,he four maHor o6stacles to5ar"s a creative mutuall# 6ene>cial solution3
D; )remat!re =!.gment;
7; Sear%#ing for t#e sing"e answer
9; Ass!m$tion of t#e C,e. $ie
@; So"(ing t#eir $ro'"em is t#eir $ro'"em
9D
NEGOTIATE SUCCESS
I,1 9$*)'E$,)L3
A$$ea" for an o'=e%ti(e 'en%#mar*
1#ettle the standard before addressing the di@erences2
T#e Cft# f!n.amenta" is to a$$ea" for an o'=e%ti(e 'en%#mar* in or.er to rea%#
.e%isions in negotiations; T#is $rin%i$"e %an great"- sim$"if- t#e negotiation $ro%ess;
If management is str!gg"ing o(er a %ontra%t it %an "oo* to see w#at ot#er simi"ar
%om$anies #a(e agree. an. %on%"!.e. a'o!t t#e simi"ar %ontra%t so t#at it %an !se
t#at .e%ision as a 'en%#mar*; If $eo$"e are negotiating o(er t#e $ri%e of a "an. or
f!rnit!re t#e- %an "oo* at t#e $ri%es of t#e simi"ar $ie%es of "an. or f!rnit!re #as
'een so". so far; T#is gi(es 'ot# $arties more g!i.an%e as to w#at is fair an.
=!stiCe.;
*i8erent ,#+es of %tan"ar"s
". 3arket Aalue
$. recedent
&. #cientifc Budgment
'. rofessional standards
). ;hat a court may decide
97
NEGOTIATE SUCCESS
,. 3oral standards
-. #hariah
?. 5radition
,5o %te+s to )++l# %tan"ar"s
D; List o!t a"" t#e a$$"i%a'"e stan.ar.s;
7; Sett"e on w#i%# is 'est;
%II,1 9$*)'E$,)L3
Gi(e am$"e time to "isten to t#e ot#er $art- an. a%*now"e.ge %o!nters an.
o'=e%ti(es
15o listen well is as powerful a means of inCuence as to talk well, and is as essential
to all true conversation2 -C#inese )ro(er'
Listening- $egotiator’s Best ,ool3
/asi%a""- in an- .is%!ssion or negotiation "istening is in fa%t (er- im$ortant; It is
a'o!t !n.erstan.ing w#at t#e ot#er $art- is sa-ing;
Goo. Listening reB!ires t#e fo""owing1
Q Keen Interest
Q Caref!" attention
Q Re$etition of t#e wor.s 'a%* w#at t#e ot#er $erson #as sai. to in.i%ate
-o!r !n.erstan.ing
Q As*ing of o$en-en.e. B!estions
Q Use of e:e%ti(e 'a%* %#anne"s t#at is to gi(e t#e ot#er $art- more %#an%e
to ta"* more
99
NEGOTIATE SUCCESS
)c:no5le"ging /ounters an" .6Hectives3
)atien%e is again a (er- im$ortant too" to .ea" wit# t#e %o!nters; Most of t#e time
$eo$"e en. !$ sa-ing s!%# t#ing t#at .ire%t"- #its one #eart or min.; In t#at %ase
instea. of "osing -o!r fa%e fa%e it wit# $o"ite gest!re an. e,#i'it t#at -o! #a(e
reser(ations wit# t#eir $oints of (iew; O'=e%ti(e a$$roa%# is a"wa-s safe 'e
o'=e%ti(e an. a"so a%*now"e.ge o'=e%ti(it- %oming from t#e ot#er $art-;
%E0E$,1 9$*)'E$,)L3
Loo* for t#e %ommona"ities
D- One *e- as$e%t to negotiating is to 'e on t#e "oo*o!t for t#ings -o! an. t#e
ot#er $art- s#are in %ommon;
7- S#aring an interest s$irit!a" $ers$e%ti(e or 'a%*gro!n. of t#e '!siness .ea"
%an 'e t#e .e%isi(e fa%tor w#en it %omes to negotiations;
9- Fin. o!t w#at t#e mem'ers of t#e $art- -o! are ta"*ing to "i*e; E(en if -o!
.onIt s#are a"" t#e same interests t#ere $ro'a'"- wi"" 'e some %ommona"ities
in e,$erien%es -o! mig#t %ome a%ross so -o!I"" #a(e somet#ing to ta"* a'o!t
ot#er t#an '!siness;
@- It is f!n.amenta" to gain insig#t into t#e ot#er $art-; T#is #e"$s e,$ose t#e
ot#er si.eIs interests an. ma- gi(e -o! information -o! %an $!"" o!t "ater to
%"ose a .ea";
EI-,1 9$*)'E$,)L3
/e +e,i'"e an. $ersona'"e
D- W#en .ea"ing wit# an- of -o!r a%B!aintan%e ta*e a +e,i'"e a$$roa%# as it
%an 'e t#e 'asis of a(oi.ing %on+i%ts;
7- A"so in.i%ate t#at -o! a$$re%iate #ow t#e ot#er $erson was a'"e to 'e
+e,i'"e an. #e"$ so"(e t#e sit!ation;
9- Tr- to gi(e t#e ot#er $erson a reason to 'e $"ease. wit# more t#an =!st t#e
terms of t#e agreement;
@- /e a $ersona'"e so%ia" an. #a(e a sense of #!mor so t#at $eo$"e .onIt fee"
#esitan%- w#i"e $!tting in front t#eir interests an. .ea"s;
9@
NEGOTIATE SUCCESS
/1)P,E& J3 *ealing 5ith 'ono+olistic
%u++liers
A so"e so!r%e s!$$"ier is t#e on"- so!r%e for t#e $ro.!%t materia" or ser(i%e t#at
'!-ing organi0ation nee.s to $!r%#ase; Mono$o"ies or so"e-so!r%e s!$$"iers often
!se t#eir a.(antage of se""ing a $ro.!%t t#at #as no a"ternati(es
T#e genera" $oint of (iew w#en .ea"ing wit# t#ese s!$$"iers is t#at t#ereIs not#ing
-o! %an .o a'o!t it; After a"" t#e- are a mono$o"-; /UT t#e- are man- wa-s to .ea"
wit# mono$o"ies; Some of t#e most 'eneC%ia" are as fo""ows;
• Pre*ent a Monopolistic <ituation1 Often w#en .esigning $ro.!%ts
engineers an. .esigners ma*e e,a%t s$e%iC%ations w#i%# %an 'e %atere. to
'- on"- so"e so!r%e s!$$"iers; It is not a"wa-s ne%essar- t#at t#e Cnis#e.
$ro.!%t reB!ires s!%# an e,a%t s$e%iC%ation raw materia"; If t#e $ro%!rement
team is a""owe. to %o-or.inate wit# t#e .esign an. $ro.!%t .e(e"o$ment
team from t#e start of t#e $ro%ess t#en it %an resear%# o$tions an. "et
management *now t#e .anger of #ig#"- s$e%iC% $ro.!%ts; Re"a,ing
s$e%iC%ations to e"iminate !niB!e reB!irements is a re%ommen.e. as often
s!'stit!tes are a(ai"a'"e for not-so-s$e%iC% $ro.!%ts;
6owe(er if s!%# %o""a'oration isnPt we"%ome. in an organi0ation wit# a
$o"iti%a""- strong engineering .e$artment get t#e 'est $ossi'"e B!ote for t#e
$ro.!%t or ser(i%e as s$e%iCe. t#en r!n <a $ara""e" $ro%ess '- w#i%# -o! get
B!otes for t#e e,a%t or simi"ar $erforming s!'stit!te t#at -o! t#en %an go
'a%* an. $resent to t#e gro!$;< T#o!g# t#is a$$roa%# %an #e"$ on a one-o:
'asis t#e "onger-term goa" of )ro%!rement s#o!". 'e to se%!re a $ermanent
ro"e on t#e .esign team ens!ring ear"- in(o"(ement in f!t!re .esigns;
If -o! %an #a(e )ro%!rement 'e a $art of t#at $ro%ess t#e- %an in+!en%e t#e
.e%ision !$-front an. #a(e t#ings .one t#e 'est wa- from t#e 'eginning as
o$$ose. to going 'a%* an. tr-ing to %#ange t#ings; ItPs a"wa-s easier to .o it
at t#e 'eginning t#an it is to go 'a%* an. tr- to %#ange somet#ing on%e
.e%isions #a(e 'een ma.e '- $eo$"e;
6ow %an )ro%!rement gain a%%e$tan%e onto .esign teamsG At t#e en. of t#e
.a- itPs rea""- a'o!t 'eing a'"e to .emonstrate t#e (a"!e t#at )ro%!rement
#as .e"i(ere.; If )ro%!rement %an .emonstrate t#at t#e- #a(e wor*e. in
ot#er areas an. fo!n. #ig#-$erforming $ro.!%ts t#at no one *new a'o!t t#at
t#e- were t#en a'"e to s$e% into a 'i"" of materia"s t#at goes a "ong wa- wit#
engineers;
In a"" an ear"- >i;e; from t#e o!tset to %om$"etion? %o""a'oration an.
%oor.ination 'etween a"" re"e(ant interna" f!n%tions an. e,terna"
9A
NEGOTIATE SUCCESS
sta*e#o".ers is %riti%a" if organi0ations are to %ost-e:e%ti(e"- an. eM%ient"-
.ea" wit# So"e s!$$"- so!r%e %#a""enges; W#en engineers te"" s!%%ess stories
a'o!t )ro%!rement it in+!en%es t#eir $eers to 'e "ess resistant; /!t on%e
-o! are at t#e ta'"e if -o! .onPt 'ring t#e (a"!e -o!Pre ne(er going to 'e
as*e. 'a%* again;
• 6o your -ome8or:. T#e nee. to 'e informe. is ne(er tr!er t#an w#en
.ea"ing wit# a mono$o"- s!$$"ier; As we"" as -o!r %ontra%t -o! s#o!". #a(e
*now"e.ge of mar*et tren.s an- 'a. $ress an. re$orts on t#e s!$$"ierIs
Cnan%ia" $erforman%e; /!i". *now"e.ge a'o!t t#e s!$$"ier; It in(o"(es a "ot of
#ome wor* an. .igging; T#is in%"!.es *nowing w#at e,a%t raw materia" go
into $ro.!%ing an. t#e ma%#ine time it too* to $ro.!%e t#e raw materia";
G!esstimating is 'etter t#an not *nowing; It %an 'e a game %#anger w#en
-o! *now t#ese *e- $oints; T#e 'asi% r!"e of 'eing f!""- informe. is ne(er
tr!er t#an w#en .ea"ing wit# a mono$o"- s!$$"ier; T#is is not on"- a'o!t -o!r
%ontra%t >for e,am$"e re%or.s of $erforman%e $ro'"ems? '!t a"so wi.er
*now"e.ge s!%# as tren.s in t#e mar*et >$ossi'"- in%"!.ing g"o'a"
.e(e"o$ments? e,isten%e of an- 'a. $ress an. re$orts on t#e s!$$"ierIs
Cnan%ia" $erforman%e;
• 6e*elop 'on# term 0elationship 8ith the <upplier. 2o! %o!". ta*e a
%o""a'orati(e stan%e tr-ing to a%#ie(e "onger-term o$$ort!nitiesKre$eat '!-s
a.(an%e or.ers g!aranteeing f!t!re %as# +ow re"ations#i$s an. in%rementa"
'eneCts for t#e (en.or; Use "e(erage of a "ong term %ontra%t; It a"so .e$en.s
on t#e re"ations#i$ 'etween -o!r two %om$anies; As* t#ese B!estions; Is t#e
re"ations#i$ on t#e w#o"e $ositi(eG 6ow #a$$- are -o! wit# t#e $erforman%e
of t#e s!$$"ierG &oes a senior management re"ations#i$ e,ist 'etween -o!r
organi0ations w#i%# %o!". 'e !se. .!ring negotiationsG 2o! m!st 'e a'"e
'a"an%e a re"ations#i$ t#at %an sometimes 'e%ome #eate.; Knowing t#e
$erson or $ersons -o! are .ea"ing wit# $"a-s a 'ig ro"e a"so;
• Ma:e your Company a Corthy Customer. Estimate 'ot# $artiesI nee.s in
t#e negotiation an. tra.e on interests t#at 'ot# $arties (a"!e .i:erent"-;
I.entif- #ow %ost"- is for t#e s!$$"ier to "ose -o! as a %!stomer; T#e
$!r%#aser m!st ma,imi0e t#e $er%ei(e. o$$ort!nit- re$resente. '- t#eir
'!siness to t#e s!$$"ier w#i"e minimi0ing t#eir a$$arent .e$en.en%e;
Estimate s!$$"ier %onseB!en%e of No Agreement; &etermine t#e s#ort- an.
"ong-term im$a%t an. %osts to t#e s!$$"ier for not rea%#ing an agreement;
T#is wi"" a"so #e"$ in stressing t#e im$ortan%e of -o!r %om$an-;
• .s: for (ptions in Pricin#. &oes t#e s!$$"ier o:er a"ternati(e $ri%ing
str!%t!resG Wo!". t#e- %onsi.er a.o$ting a (o"!me re'ate me%#anism to
rewar. "o-a"t-G A mono$o"- s!$$"ier ma- a"so #a(e #ig#er margins an. 'e
9E
NEGOTIATE SUCCESS
more o$en to .is%o!nting or o:er to mat%# $ri%es a(ai"a'"e on t#e gre-
mar*et;

• 'o8 <eason Transactions. Tr- to $"a%e or.ers at s"a%* times for t#e
s!$$"ier
• ;un!le up a %roup of Customers. 2o! %an %reate goo. re"ations wit#
ot#er %!stomers an. t#en eit#er $igg--'a%* on anot#er %!stomerIs (o"!me or
%o-o$erate wit# ot#er %!stomers to .e(e"o$ signiC%ant or.ers; /!"*
$!r%#ases a"so ma,imi0e $ro.!%tion eM%ien%iesO t#is %an a"so 'e .one
in.e$en.ent"-;
• 6ecrease <upplierGs cost. Loo* for o$$ort!nities wit#in t#e s!$$"ierPs %ost
str!%t!re to remo(e or re.!%e e"ements of t#eir $ro.!%tion an. s!$$"-
$ro%esses; As* t#e s!$$"ier w#at -o! %o!". .o to re.!%e t#eir %osts for
e,am$"e a.=!sting reB!irements %#anging transa%tiona" $ro%esses or
a%%e$ting "ower ser(i%e "e(e"s;

• %et a Cost ;rea:!o8n. C#a""enge t#e s!$$"ier to =!stif- #is $ri%e; An. to
gi(e -o! a %ost 'rea*.own; 2o! wo!". o'(io!s"- #a(e .one a (a"!e ana"-sis
of t#e materia" %ost an. wo!". #a(e a reasona'"e i.ea of t#e %ost;
• %i*e Concessions. E,am$"es of %on%essions t#at (en.ors (a"!e
in%"!.e1 faster $a-mentsO "onger g!arantees of getting '!sinessO
$arti%i$ation as a referen%eO $arti%i$ation in a %ase st!.- or testimonia"O
an. sim$"er more stan.ar.i0e. $ro%esses; So if t#e "a%* of %om$etition
res!"ts in a (en.or ref!sing to grant -o! t#e "ower $ri%e -o!P(e
reB!este. as* t#e (en.or B!estions "i*e <W#at if we;;;<
o )ai. -o! in DA .a-s instea. of 9NG
o E,ten.e. t#e term of t#e %ontra%t for one more -earG
o Agree. to ser(e as a referen%e for -o!G
o )arti%i$ate. in a %ase st!.- or testimonia" for -o!G
o Sto$$e. reB!iring -o! to Rinsert reB!irement #ereSG Sometimes we
reB!ire o!r (en.ors to .o t#ings for !s t#at none of t#eir ot#er
%!stomers reB!ire an. we fai" to %onsi.er t#e a..itiona" %ost to t#e
(en.or w#i%# !"timate"- gets $asse. 'a%* on to !s; 2o! ma- not
rea"i0e t#at getting t#at e,tra $#-si%a" in(oi%e or %!stomi0e.
"a'e"ing on -o!r $a%*ages or ot#er s$e%ia" reB!est is a%t!a""-
%osting -o!r organi0ation far in e,%ess of t#e (a"!e -o! get from
t#em; If -o! .onPt rea""- nee. it w#- $a- for itG
9F
NEGOTIATE SUCCESS
Of %o!rse 'efore s!ggesting an- of t#ese %on%essions to a (en.or 'e
s!re t#at -o!r organi0ation %o!". a%t!a""- s!$$ort t#e i.ea; For e,am$"e
if -o!r CFO wo!". ref!se to $a- a (en.or in DA .a-s !n.er an-
%ir%!mstan%es t#en it %o!". 'e $ro'"emati% for -o! to ma*e t#e o:er
on"- to 'e for%e. to wit#.raw it "ater;
In some %ases it mig#t 'e 'est to as* t#e (en.or t#ese B!estions one at
a time an. "et t#em resear%# t#eir a'i"it- to tra.e a $ri%e re.!%tion for
one of t#ese %on%essions 'efore as*ing -o!r ne,t <W#at ifG< B!estion;
2o! .onPt want to !se a"" of -o!r amm!nition at on%e 'e%a!se if t#e
(en.orPs Crst $ri%e re.!%tion is a sma"" one -o!P"" #a(e no in%enti(e "eft
to o:er t#e (en.or for gi(ing -o! a 'igger one;
• ;ecome n*ol*e! 8ith the <upplier. Are -o! a <nois-< %!stomerG T#at is
.o -o! $a- on time an. .o -o! gi(e t#is s!$$"ier a fore%ast of -o!r
reB!irementsG
• .pply Pressure on the <upplier. /!t 'efore .oing t#at as* t#ese
B!estions; W#at wo!". 'e t#e negati(e %onseB!en%es of a fai"e. attem$t to
a$$"- $ress!re on t#e s!$$"ierG Is t#ere a ris* of worsening %!rrent stan.ar.s
or a ref!sa" to renew f!t!re %ontra%tsG W#at im$a%t wo!". s!%# a res$onse
'- t#e s!$$"ier #a(e on -o!r o$erationsG Is t#ere an- wa- to re.!%e
.e$en.en%e on t#e s!$$"ierG Use mora" an. "egis"ati(e $ress!re;
• 'e*era#e companyH8i!e spen!; Most mono$o"- s!$$"iers se"" >or #a(e t#e
$otentia" to se""? ot#er $ro.!%ts to -o!r organi0ation for w#i%# a"ternate
s!$$"iers e,ist;
• Pro*i!e 0easonable Clauses for <upport <er*ices in the nitial
.#reement. It is sai. t#at in %ase "arge eB!i$ment t#e re(en!es earne.
initia""- are m!%# "ess as %om$are. to t#at earne. from s!$$ort s$ares an.
maintenan%e; It is t#eir t-$i%a" '!siness mo.e"; Im$ortant t#ing is to in%"!.e
an. $ro(i.e for a"" t#e f!t!re reB!irements in t#e initia" $!r%#ase agreement
an. get t#e s!$$"ierPs agreement on t#at of %o!rse at a reasona'"e %ost; At
t#e time initia" $!r%#ase -o! are "i*e"- to #a(e "!,!r- of e(a"!ating more
t#an one s!$$"ier;
9J
NEGOTIATE SUCCESS
/1)P,E& K3 9n"erstan"ing the )cron#m
“B),$)”
ull form of B),$)3
!A5NA is a term %oine. '- Roger Fis#er an. Wi""iam Ur- in t#eir DLJD 'estse""er
Getting to 2es1 Negotiating wit#o!t Gi(ing; It stan.s for JBest )lternative to a
$egotiate" )greement.? It is t#e 'est -o! %an .o if t#e ot#er $art- ref!ses to
negotiate wit# -o!;
?hat B),$) is3
In negotiation t#eor- t#e !est Alternative to a Negotiated Agreement or !A5NA is
t#e %o!rse of a%tion t#at wi"" 'e ta*en '- a $art- if t#e %!rrent negotiations fai" an.
an agreement %annot 'e rea%#e.;
$ot thin:ing of B),$) is "angerous3
/asi%a""- /ATNA $ro$oses t#at in an- negotiation negotiators 'e $re$are. to ta*e
%are of t#eir nee.s (ia some a"ternati(e met#o.; T#e- s#o!". 'e wi""ing to wa"*
awa- from an- 'a. agreement; It is .angero!s for a $art- to a%%e$t a worse
reso"!tion t#an its /ATNA; Care s#o!". 'e ta*en #owe(er to ens!re t#at .ea"s are
a%%!rate"- (a"!e. ta*ing into a%%o!nt a"" %onsi.erations s!%# as re"ations#i$ time
9L
NEGOTIATE SUCCESS
(a"!e of mone- et%; )re$aring -o!r /ATNA 'efore negotiating is t#erefore (er-
essentia" ot#erwise -o! wo!". #a(e to %om$romise o(er -o!r reason an. %"ose t#e
.ea" '- gi(ing !$ -o!r interest an. a%%e$ting t#e ot#er $art-Is;
Im+rove #our B),$)3
Im$ro(ing -o!r /ATNA wi"" im$ro(e t#e o!t%ome of -o!r negotiations; If -o! on"-
a%%e$t .ea"s t#at ma- a$$arent"- seem 'etter t#an -o!r /ATNA it wi"" not gi(e -o!
"asting satisfa%tion; T#!s im$ro(ing -o!r /ATNA g!arantees -o! a 'etter res!"t; No
matter w#at #a$$ens -o! are in a 'etter $osition an. -o!r strong /ATNA wi"" ma*e
wi"" 'oost -o!r %onC.en%e .!ring t#e negotiations; A%t!a""- t#e w#o"e i.ea 'e#in.
t#e im$ro(ement of -o!r /ATNA is to s!ggest t#at -o!r o$$onent $art-Ps is wea*er
t#an -o!rs; So if -o!r /ATNA is strong eno!g# an. rea"isti% -o! %an resist e(er-
atta%* from t#e ot#er $art-;
It is eas- to im$ro(e -o!r /ATNA 'e%a!se it is not C,e. '!t +e,i'"e in nat!re; It is a
$"an -o! .e(e"o$ in -o!r min. 'efore negotiation an. .!ring t#e negotiation; /efore
t#e negotiation 'egins -o! .eCne -o!r /ATNA '- as*ing -o!rse"fD 1;hat would be
my best course of action if / can4t reach an agreement02 An. to im$ro(e it .!ring
t#e %on(ersation -o! as*1 1/s there anything / can do to create an alternative that /
would prefer to my previous plan02 T#is is a B!estion -o! m!st *ee$ on re$eating
!nti" -o! re%ei(e t#e answer in negati(e;
/1)P,E& L3 9n"erstan"ing the )cron#m
“M.P)”
ull form of M.P)3
A EFone of ossible AgreementE is t#e f!"" form of 8O)A; It is a"so %a""e. t#e
'argaining range t#at e,ists if t#ere is a $otentia" agreement t#at wo!". 'eneCt
'ot# $arties more t#an t#eir /ATNAs .o;
E4am+le to un"erstan" M.P) an" B),$)3
For e,am$"e A"i is negotiating to '!- a !se. %ar; 6e #as t#o!g#t a'o!t w#at #eP"" .o
if #e %anPt rea%# a .ea" an. t#erePs anot#er %ar #e %o!". '!- for Rs ANNNNN '!t t#e
%ar #e is negotiating for now is wort# Rs ENNNNN; 6is /ATNA is Ebuy the other car
for (s )GG,GGGE
Now t#ere is a se""er A#ma. w#o is mo(ing o(erseas an. #as to se"" #is %ar; 6e #as
an o:er for Rs 9NNNNN w#i%# #e #as not .is%"ose. to A"i as -et; If #e %anPt get a
#ig#er $ri%e from A"i #eI"" ta*e it;
@N
NEGOTIATE SUCCESS
If A"i o:ere. a %ar 'e-on. Rs ANNNNN #e wi"" sim$"- wa"* awa-; If t#e se""er A#ma.
is o:ere. a .ea" "ess t#an Rs 9NNNNN #e wi"" sim$"- wa"* awa-;
T#e 8O)A for t#is negotiation is t#e .i:eren%e 'etween Rs 9NNNNN to Rs ENNNNN
i;e; Rs 9NNNNN; An- .ea" wit#in t#at range is $ossi'"e 'e%a!se it is t#e 0one in
w#i%# t#e .ea" %an wor* o!t; /!t if A#ma. wi"" not go 'e"ow Rs AANNNN an. A"i wi""
not go a'o(e Rs ANNNNN t#e- .o not #a(e a 0one of $ossi'"e agreement;
T#e 8O)A is %riti%a" to t#e s!%%essf!" o!t%ome of negotiation; /!t it ma- ta*e some
time to .etermine w#et#er a 8O)A e,istsO it ma- on"- 'e%ome *nown on%e t#e
$arties e,$"ore t#eir (ario!s interests an. o$tions; If t#e negotiators %an i.entif- t#e
8O)A t#ere is a goo. %#an%e t#at t#e- wi"" 'e a'"e to %ome to an agreement;
On t#e ot#er #an. /ATNAs .etermine ea%# $art-Ps 'ottom "ines; If A"i #as an
a"ternati(e %ar a(ai"a'"e for Rs ANNNNN Rs ANNNNN is #is 'ottom "ine; If A#ma. %an
se"" #is %ar for Rs EANNNN t#at is #is 'ottom "ine; If 'ot# A"i an. A#ma. .onPt .o
'etter t#an t#at in t#e negotiation t#e- wi"" wa"* awa- res$e%ting t#eir res$e%ti(e
/ATNAs;
I"entif#ing the M.P)3
If 'ot# $arties *now t#eir /ATNAs t#e $arties s#o!". 'e a'"e to %omm!ni%ate
assess $ro$ose. agreements an. e(ent!a""- i.entif- t#e 8O)A; T#erefore to
i.entif- 8O)A it is Crst (er- im$ortant to 'e f!""- aware of oneIs /ATNA; Often t#e
$arties on"- $reten. t#at t#e- #a(e ma.e t#eir /ATNAs a(ai"a'"e on t#eir .es*to$;
T#e res!"t of s!%# .e%e$tion #owe(er mig#t 'e t#e a$$arent a'sen%e of a 8O)A--
an. #en%e a fai"e. negotiation w#en a 8O)A a%t!a""- .i. e,ist; T#is %on%"!.es t#at
$arties %an i.entif- t#eir 8O)A on"- if t#e- are we"" a%B!ainte. wit# t#eir /ATNAs
/losing the negotiation successfull# 5ith M.P)3
At t#e en. we !n.erstan. t#at negotiations a"wa-s en. #a$$i"- in 8O)A; In
negotiation tr- to !n.erstan. -o!r reB!irement 'rainstorm a'o!t w#at t#e ot#er
$art- wants an. Cna""- %ome !$ wit# t#e 8O)A t#at 'ot# negotiators agree to an.
%"ose t#e negotiation on a #a$$- s!%%essf!" an. meaningf!" note for not on"- -o!
'!t a"so for t#e o$$osite $art-;
@D
NEGOTIATE SUCCESS
)++en"i4 N )3 %a#ings of the Pro+het
@%.).?A
Narrate. PA'! 6!raira Ra.i!""a# TaIa"a Un#o1
T#e )ro$#et Sa""a""a#! A"ai#i Wasa""am sai. <W#oe(er #as t#e fo""owing t#ree
%#ara%teristi%s wi"" 'e a $!re #-$o%rite;
D; W#ene(er #e is entr!ste. wit# t#e tas* of *ee$ing someoneIs $ro$ert- safe #e
'etra-s;
7; W#ene(er #e s$ea*s #e te""s a "ie;
9; W#ene(er #e Cg#ts or arg!es #e 'e#a(es in a (er- in%a!tio!s an. ins!"ting
manner;
#ahih !ukhari
Narrate. HA'! Imama Ra.i!""a# TaIa"a Un#o1
@7
NEGOTIATE SUCCESS
T#e )ro$#et Sa""a""a#! A"ai#i Wasa""am sai. 3In a momin t#ere %an 'e an- $ra%ti%e
'!t t#e $ra%ti%e of fa"se#oo. an. .efa"%ation;5
Ahmad,
!eh<i
Narrate. HS!f(aan /in Sa"eem Ra.i!""a# TaIa"a Un#o1
T#e )ro$#et Sa""a""a#! A"ai#i Wasa""am was on%e as*e. w#et#er a momin %o!". 'e
%owar.; 6e re$"ie. in aMrmati(e; T#e #e was as*e. w#et#er a momin %o!". 'e
miser; 6e sai. 32es;5 T#en #e was as*e. w#et#er a momin %o!". 'e a "ier; 6e
re$"ie. 3No;5
3alik, !eh<i f #huaib al
/maan
A'.!""a# /in Amir re$orte. t#at one .a- m- mot#er %a""e. me; At t#at time t#e
)ro$#et Sa""a""a#! A"ai#i Wasa""am was $resent in m- #o!se; M- mot#er %a""e. me
to get %"oser to #er an. sai. t#at s#e wo!". gi(e me somet#ing; T#e )ro$#et
Sa""a""a#! A"ai#i Wasa""am as*e. m- mot#er w#at s#e #a. .e%i.e. to gi(e me; S#e
to". t#e $ro$#et t#at s#e #a. .e%i.e. to gi(e .ates; T#e )ro$#et Sa""a""a#! A"ai#i
Wasa""am t#en a..resse. #er an. sai. t#at if s#e #a. not gi(en me .ates in #er
naama e amaa" a "ie wo!". #a(e 'een written;5
Abu dawood and
!eh<i
T#e )ro$#et Sa""a""a#! A"ai#i Wasa""am sai. 3Lie is a""owe. in t#ree %on.itions1
D- In war
7- To sett"e .is$!te 'etween two gro!$s
9- To restore wi""ingness an. sett"ement 'etween s$o!se
@9
NEGOTIATE SUCCESS
)++en"i4 N B3 Boss & %u6or"inate
E4ercise
-eneral acts3
T#e e,er%ise is o(er mo(ing s!'or.inate to a new $osition;
Asif is 6ea. of Mar*eting in a )#arma%e!ti%a" In.!str-; 6e is -o!ng an. #as mo(e.
!$ t#e ran*s B!ite fast; 6e #as /a%#e"ors in )#arma%- an. too* an M/A "ater on; 6e
#as %#ange. =o's a few times; Sin%e #e #as mo(e. !$ B!ite fast some of #is o".
frien.s are sti"" )ro.!%t Managers or &i(ision Managers of $ro.!%t "ines; Sin%e Asif
starte. #is %areer as a =!nior sa"es oM%er #e is (er- sensiti(e to #ow =!niors fee";
@@
NEGOTIATE SUCCESS
Ma#moo. is a )ro.!%t Manager in one of t#e 'est se""ing $ro.!%t "ines Fa"%on wit#
9AT of t#e re(en!e s#are; T#e &i(ision 6ea. of Fa"%on #as a%%e$te. a =o' in
anot#er %om$an- an. is a'o!t to "ea(e;
Asif an. Ma#moo. #a(e wor*e. toget#er for @ -ears as sa"es oM%ers in a $re(io!s
%om$an- an. #en%e are goo. frien.s a"so; Man- $eo$"e in t#e %om$an- are not
aware of t#is %"ose asso%iation -ears ago an. 'ot# of t#em #a(e 'een .is%reet
a'o!t it a"so; F!rt#ermore t#e- #a(e not a""owe. t#e %!rrent .i:eren%e in stat!s at
t#e %om$an- to im$a%t t#eir re"ations#i$; T#e- a"so reg!"ar"- meet o!tsi.e t#e
%om$an-;
)""itional facts for the Boss
2o! Cn. -o!rse"f a "itt"e %#a""enge. wit# t#e &i(ision 6ea. "ea(ing; Some#ow
Ma#moo. #as not 'een !$ to t#e mar* "ate"-; Some of #is $ro.!%t "a!n%#es #a(e
'een s"ow w#i%# #a(e %a!g#t t#e attention of t#e CEO an. ot#er .ire%tors; 2o!
#a(e 'een a'"e to e,$"ain it to ot#ers '- %iting t#e fantasti% $erforman%e of
Ma#moo. in t#e $ast; 2o! are won.ering w#- Ma#moo. #as fa!"te.; Some of #is
%o""eag!es t#in* t#at Ma#moo. is .e-moti(ate. an. t#ere are r!mors t#at Ma#moo.
mig#t 'e t#in*ing of mo(ing to anot#er %om$an-;
T#e CEO #a. a ta"* wit# -o! regar.ing t#is matter; 6e #as strong"- a.(ise. -o! to
mo(e t#e &i(ision 6ea. of a sma""er $ro.!%t "ine >6aw* wit# on"- J T of t#e
re(en!e s#are? to Fa"%on; 2o!r strateg- is to mo(e Ma#moo. as a &i(ision 6ea. to
6aw*; T#e i.ea is t#at to "et Ma#moo. get a %#an%e to im$ro(e #is $erforman%e
"ea.ing a sma""er %#a""enge an. if #e .oes get #is $ast re%or. 'a%* t#en t#ere
wo!". 'e man- goo. %#an%es in t#e f!t!re w#ere -o! inten. to "oo* after Ma#moo.;
In %ase #is $erforman%e .oesnHt im$ro(e or .eteriorates t#an -o! inten. to
$ersona""- inter(ene an. ta*e %are of t#e matters an. $rote%t Ma#moo.Hs %areer as
m!%# as $ossi'"e an. rea""- "oo* into t#e matter as to w#at is going wrong wit#
Ma#moo.; 2o! *now t#at -o! wo!". not 'e a'"e to .o t#at if Ma#moo. ta*es %#arge
of Fa"%on an. t#en messes !$ sin%e Fa"%on is in t#e "ime"ig#t an. #is $erforman%e
wo!". 'e t#ere for e(er-one to see; F!rt#ermore if Ma#moo. is at Fa"%on -o!
wo!". not 'e a'"e to inter(ene wit#o!t %a!sing a noise as $eo$"e wo!". start as*ing
as to w#- -o! are inter(ening so m!%#;
2o! #a(e .e%i.e. to meet wit# Ma#moo. an. .is%!ss wit# #im #is i.ea of mo(ing
#im to 6aw*;
)""itional facts for the %u6or"inate
2o! 'eing t#e most e,$erien%e. )ro.!%t Manager in Fa"%on are e,$e%ting to get
$romote. to t#is $osition; 2o! are as goo. an. #ar. wor*ing as Asif '!t .!e to
fami"- %onstraints %o!". not a:or. to go to s%#oo" w#i"e wor*ing an. %o!".nHt get an
M/A an. #en%e %o!".nHt mo(e !$ t#e "a..er as fast as Asif;
@A
NEGOTIATE SUCCESS
2o! rea""- wo!". "i*e to get t#is $osition; 2o! #a(e 'een wor*ing #ar. for -ears an.
t#is wo!". 'e t#e 'est 'rea* for -o! in -o!r %areer an. -o! are "oo*ing rea""-
forwar. to it;
2o! are worrie. a'o!t -o!r $erforman%e "ate"-; 2o! #a(e not 'een a'"e to meet t#e
organi0ationa" e,$e%tations; 2o! #a(e %ome !$ against two %#a""enges at on%e1
First"- -o! #a. .e(e"o$e. a 'a. ra$$ort wit# -o!r o!tgoing &i(ision 6ea.; T#e
&i(ision 6ea. of -o!r !nit #a. .e(e"o$e. a negati(e 'ias against one of #is
Assistant )ro.!%t Managers As#raf w#o is (er- re"igio!s an. insists on reg!"ar
$ra-ers wit# Uamaat in t#e mas=i.; T#e &i(ision 6ea. fe"t irritate. wit# t#is
insisten%e an. *e$t te""ing #im to .e"a- #is $ra-ers w#i%# As#raf reg!"ar"- ref!se.;
So t#e &i(ision 6ea. #a. 'een ma*ing "ife .iM%!"t for As#raf an. wante. -o! to
gi(e #im to!g# time a"so; 2o! 'eing (er- !$rig#t *new t#at &i(ision 6ea.Hs $osition
was in%orre%t as As#raf is a star $erformer an. t#ere is 'asi%a""- no gro!n. for a
$oor $erforman%e a$$raisa";
T#is #a. t!rne. t#e &i(ision 6ea. against -o! an. #e #a. starte. to a%%!se -o! of
fa(oritism regar.ing As#raf; An. in t#e $ast few mont#s #e #a. starte. to wor* in
wa-s w#i%# #am$ere. -o!r wor* an. w#i%# !"timate"- a:e%te. -o!r $erforman%e;
2o! .i.nHt want to 'ring t#is to t#e noti%e of Asif as t#is %o!". #a(e '"own into
f!rt#er %om$"i%ations as t#e &i(ision 6ea. #a. .one e,treme"- we"" an. #a. ta*en
t#e sa"es of Fa"%on to re%or. #eig#ts an. #a. earne. $raises from a"" in t#e
%om$an-;
2o! %o!". #a(e easi"- s!r(i(e. t#is as -o! #a. -o!r s#are of 'a. 'osses in t#e $ast;
/!t t#e se%on. %#a""enge rea""- got -o! .own; 2o!r e".er 'rot#er #as #a. a ner(o!s
'rea*.own w#i%# "e. to #is "osing #is =o' an. #is re"ations#i$ wit# #is fami"- 'eing
straine. to t#e $oint t#at #is 'rot#erHs wife was reB!esting for a .i(or%e; In t#e $ast
mont#s -o! #a(e not on"- 'een Cnan%ia""- ta*ing %are of -o!r 'rot#erHs fami"- '!t a
"ot of time #as 'een eaten !$ into e,tensi(e inter(ention to a(oi. t#e 'rea*!$ of
t#e fami"- as -o!r 'rot#er #as t#ree -o!ng *i.s; T#is #as 'een e,treme"- .raining
to -o! emotiona""-; T#is #as rea""- ta*en its to"" as -o! #a(e to .ea" wit# wee*s of
(er- "itt"e s"ee$ on"- to Cn. a 'a. 'oss at wor* w#i%# -o! %o!".nHt %#a""enge o$en"-;
2o!r $arents #a(e *e$t t#e s!..en a$$earan%e of $s-%#o"ogi%a" i""ness of t#eir son
as a se%ret .!e to t#e so%ieta" ta'oo of s!%# i""nesses; 2o! #a(e 'een as*e. to .o
t#e same an. -o! are re"!%tant to s#are it wit# ot#ers in%"!.ing Asif; 2o! #a.
t#o!g#t of s#aring it wit# Asif '!t #a. refraine. 'e%a!se -o! fear t#at Asif mig#t
%onsi.er t#is as an e,%!se for -o!r $oor $erforman%e "ate"-;
Re%ent"- -o!r 'rot#erHs #ea"t# #as im$ro(e. wit# me.i%ation an. #e #as Cna""-
starte. a =o'; Now wit# t#e &i(isiona" 6ea. "ea(ing 'ot# %#a""enges seem to 'e
(anis#ing an. -o! are %onC.ent t#at -o! %o!". again s#ow -o!r star $erforman%e
on"- if -o! get t#e %#an%e; 2o! fear t#at if -o! miss t#is o$$ort!nit- -o!r %areer wi""
not a.(an%e as -o! wis#e.;
@E
NEGOTIATE SUCCESS
Position of Boss @)sifA
Mo(e Ma#moo. as &i(ision 6ea. of 6aw*
Inten"e" Interests 6ehin" this +osition
D; T#e CEO strong re%ommen.ation t#at Ma#moo. s#o!". 'e mo(e. to 6aw*
7; To a""ow Ma#moo. as safer o$tion of im$ro(ing #is $erforman%e as #e %an
inter(ene to assist #im if t#ings .onHt wor* o!t as Fa"%on is in t#e "ime"ig#t an. #e
wo!". not 'e a'"e to assist so m!%# wit#o!t #a(ing $eo$"e noti%e;
9; To *ee$ #is re"ations#i$ wit# Ma#moo. .is%reet;
9ninten"e" Interests
D; Fa"%on &i(ision is t#e 'est $erforming .i(ision an. an- mis#a$ t#ere wo!". 'e
a 'ig iss!e for Asif an. for t#e %om$an-;
Position of %u6or"inate @'ahmoo"A
Get t#e $romotion of &i(ision 6ea. of Fa"%on
Inten"e" interests 6ehin" this +osition
D; T#is wo!". 'e t#e 'est 'rea* of Mr; Ma#moo.Hs %areer
7; A %#an%e to on%e again s#ow t#e star $erforman%e
9; Wit#o!t #a(ing t#is o$$ort!nit- t#e %areer a.(an%ement wo!". not 'e as
Ma#moo. wis#e.
9ninten"e" Interests
D; /etter Cnan%ia" $ros$e%ts
7; T#e a'i"it- to regain t#e Cnan%ia" e,$enses in%!rre. .!e to t#e 'rot#erHs i""ness
9; T#e a'i"it- to $ro(i.e As#raf a safe wor*ing en(ironment an. #e"$ #im a"so
im$ro(e #is re$!tation w#i%# was tarnis#e. '- t#e o!tgoing &i(ision 6ea.
@; C#an%e of 'etter $erforman%e as #e wo!". 'e "ea.ing t#e team of $eo$"e w#o #e
#as 'een wor*ing wit# for B!ite some time
Possi6le Perce+tions of the 6oss @)sifA
@F
NEGOTIATE SUCCESS
Positi*e Perceptions $e#ati*e Perceptions
D T#ere %o!". 'e a (er- goo. reason
'e#in. t#e $oor $erforman%e of
Ma#moo.
D Ma#moo. is .e-moti(ate. 'e%a!se
#e #as not 'een as s!%%essf!" as
Asif
7 Sin%e Ma#moo. is a goo. frien.
an. tr!sts me #e wi"" agree to m-
$ro$osa" to mo(e to 6aw*
7 Ma#moo. is .e-moti(ate. 'e%a!se
#e is t#in*ing of "ea(ing t#e
%om$an-
9 Ma#moo. #as a"rea.- gotten a =o'
in anot#er %om$an-
@ Ma#moo. is 'eing %are"ess as #e
fee"s t#at no matter w#at Asif wi""
%o(er #im 'e%a!se of t#e m!t!a"
frien.s#i$
If Ma#moo. is mo(e. !$ to &i(ision
6ea. #e wi"" .eCnite"- mess !$ t#e
$erforman%e of Fa"%on
A Ma#moo. #as a""owe. #is $ast star
$erforman%e to get to #is #ea. an.
#is arrogan%e is %a!sing #im iss!es
now; T#ere is t#e go".en wor.s of
wis.om $ri.e %omes 'efore t#e fa""
E Sin%e Ma#moo. #as .e(e"o$e. t#is
%#ara%ter +aw t#ere is not#ing I
%an .o to #e"$ #im
F Sin%e Ma#moo. #as .e(e"o$e. t#is
%#ara%ter +aw t#ere is not#ing I
%an .o to #e"$ #im
Possi6le Perce+tions of the %u6or"inate
@'ahmoo"A
Positi*e Perceptions $e#ati*e Perceptions
D /ase. on t#e $ast goo.
$erforman%e 'efore t#e %!rrent 'a.
$at%# Asif wi"" $romote me as t#e
&i(ision 6ea. of Fa"%on
D I %anHt .is%"ose 'ot# t#e reasons of
m- $oor $erforman%e as Asif wi""
ta*e t#at as a "ame e,%!se
@J
NEGOTIATE SUCCESS
7 W#ate(er t#e .is%!ssion Asif wi""
a"wa-s *ee$ m- we""-'eing in min.
7 E(en t#o!g# #e is a frien. #e mig#t
not want me to grow an. t#reaten
#is $osition in t#e f!t!re
9 To *ee$ o!r frien.s#i$ .is%reet #e
wi"" not 'e so wi""ing to $romote me
.!e to t#e 'a. $at%# t#at I #a(e
fa%e.
@ Asif ma- #a(e #a. *now"e.ge t#at
t#e &i(ision 6ea. was ma*ing m-
"ife .iM%!"t '!t *e$t B!iet so not to
ro%* #is own $osition
A Asif is *ee$ing #is frien.s#i$ wit#
me as a forma"it- as #e now
%onsi.ers #imse"f in anot#er "eag!e
)++en"i4 N /3 Boss an" %u6or"inate &ole
Pla# on &e(uesting for Pa# &ise
-eneral acts
Faisa" is t#e managing .ire%tor of a Gra$#%om a %omm!ni%ations an. gra$#i% Crm;
6e is a"so t#e owner of t#e same; 6e set !$ t#e %om$an- t#ree -ears ago; T#e
%om$an- is %!rrent"- is fa%ing %#a""enges .!e to a.(erse Cnan%ia" %on.itions
g"o'a""-; T#e %om$an- is 'rea*ing e(en '!t Faisa" is afrai. t#at %on.itions %an
@L
NEGOTIATE SUCCESS
worsen; Sin%e man- of #is %"ients are 'ase. in Nort# Ameri%a #e is for%e. to wor*
"ate in t#e e(enings or sometimes (er- ear"- in t#e mornings;
The frm is composed of a small team of three creative thinkers and designers plus one administrative and
one PR staf. One of -o!r em$"o-ees 6am0a was Faisa"Is =!nior at t#e !ni(ersit- #e
atten.e.; 6am0a is great at %reating (irt!a" rea"it- so"!tions an. Faisa" #a. Cg!re.
t#at o!t .!ring #is time at t#e !ni(ersit-; 6e o:ere. 6am0a a =o' as soon as #e
gra.!ate.;
To.a- is A!g!st NF 7ND@ an. 6am0a .!e to some $ersona" reasons wants to #a(e a
9NT $a- rise a"t#o!g# #e =!st #a. 'een gi(en a $romotion 9 mont#s 'efore;
)""itional facts for aisal3
You are Faisal, 36-year-old, single. You are working 12-hour-a-day in a row and are engaged 24-7. You do
not have time for social life, let alone a relationship! Your frm is your life – and it’s a lot of fun!
Your frm deals with highly aggressive competitors and just being in the market is a daily fght. You ask
your staf to be committed to their work, but do not require them to be in the ofce 8 to 5 as you know that
creative staf needs the right time and environment to generate ideas. But when it’s needed they shouldn’t
watch the clock and be ready to work on weekends.
You are now having a conversation with Hamza, your guy on “virtual reality”. He is managing a major
project for an emerging light beverages company, big deal. You noticed he wasn’t much focused on his
work in the last couple of weeks and had some delays too. You are keeping an eye on him as you cannot
aford one of your staf being like that!
Interestingly, he is now asking for 30% pay rise, starting from the next month. He probably wants to have
more fun with his family. You do not know if to laugh or get real angry – this guy does not seem to
understand that the company is only breaking even.
It is time to straighten up this guy!
)""itional facts for 1am<a
You are Hamza, 33-year-old, married with two kids. You work for a graphics and communication emerging
frm, where you are in charge of “virtual reality” projects. Your boss, Faisal, is very demanding with you
and the rest of the staf. He is on his own, working 24-7 and seeming to pretend you do the same. To do it
justice, you have learned a lot with him and you feel lucky that you can work in such a creative team as
the one he has created. You are now managing a major project, with a deadline for the end of the month.
Your younger child has been sick for the last couple of weeks; she got a viral disease that doesn’t seem to
get away. To complicate things, your older boy is having a hard time: you have just moved to a diferent
neighborhood, he misses his old friends and he is having trouble in making new ones.
AN
NEGOTIATE SUCCESS
Your wife is working too, so you manage kids between the two of you, the nanny and the kindergarten.
She has decided to quit her job from the next month – she thinks the kids need more of their parents’
care; she’s asked you to make up for the loss in income.
You are now facing Faisal, who doesn’t seem very friendly. You need to ask him for a 30% pay rise from
the next month. You are confdent that this project will bring in many others as you already are being
asked independently by others to create virtual reality solutions for them. You hadn’t yet told Faisal about
this.
)++en"i4 N *3 Bi6liogra+h#
1. 1#ix ;ays to /mprove Hour Non6Aerbal *ommunications2
>Vi%*i Ritts St; Lo!is Comm!nit- Co""ege Uames R; Stein
So!t#ern I""inois Uni(ersit-?
2. 1Getting to HesD Negotiating without Giving2 '- Roger Fis#er
an. Wi""iam Ur- $!'"is#e. in DLJD
5. T#orn.i*e R;L; >DLEJ? <Re(iew of )-gma"ion in t#e
%"assroom< American %ducational (esearch Bournal, Vo"; A
$$;FNJ-DD;
AD
NEGOTIATE SUCCESS
4. Rist R;C; >DLJF? <&o tea%#ers %o!nt in t#e "i(es of %#i".renG
A re$"- to Wine'!rg< 5he %ducational (esearcher Vo"; DE
No;L $$;@D-7
". Rosent#a" R; >DLJF? <)-gma"ion e:e%ts1 e,isten%e
magnit!.e an. so%ia" im$ortan%e1 a re$"- to Wine'!rg< 5he
%ducational (esearcher Vo"; DE No;L $$;9F-@N;
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