NEGOTIATION SKILLS | Negotiation | Power (Social And Political)

NEGOTIATION

Red Yellow Green Blue Red Blue Yellow Green Blue Red

Red Yellow Green Blue Red Blue Yellow Green Blue Red

Think big, ask for what you want
MDO Goal B/L LAA

B A T N A

Defining Your Negotiating Opportunity
MDO – Most Desired Outcome LAA – Least Acceptable Agreement B/L – Bottom Line BATNA - Best Alternative to a Negotiated Agreement

Think big, ask for what you want
And Determine What They Need

MDO
Yours

LAA

Mutual Motivation
Theirs

LAA Are the goals aligned?

MDO

Never say No…or Yes
NO!  Ends discussions  Is face losing YES!  Invalidates last offer  Violates trust  Cuts off creativity  Removes give-and-take

NO! NO! NO!
The Negotiated Yes…"Yes, if"  Allows you to say yes  Validates your opening offer  More engaging  More likely to generate creativity

Make smaller concessions
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Give value, but don’t rush Progressively smaller concessions Allow counterpart a sense of satisfaction

 And don’t forget to summarize early and often

Always be patient
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The Power (and risk) of time

A quick solution may be a bad solution Patience softens expectations and encourages flexibility Patience allows them time to accept tough choices Beware, their patience may compel you to make unnecessary concessions  Deadlines force concessions – Establish deadlines for them – Probe any deadline they set

The most powerful thing you can do is make offers and proposals.
    You cannot negotiate an argument You can negotiate proposals Proposals keep the other side engaged An offer or proposal compels a response:  Accept  Counteroffer  Probe

Never say No…or Yes
When THEY say “No”: Handling Objections You find out by probing:
1. “If we can find a solution on this one item, can we get a final
agreement today?” 2. “What if we…” (the hypothetical) 3. “In a perfect world, what would this look like to you?” 4. Maybe you need only to acknowledge the objection

The most powerful thing you can do is make offers and proposals.
    You cannot negotiate an argument You can negotiate proposals Proposals keep the other side engaged An offer or proposal compels a response:  Accept  Counteroffer  Probe

Never say No…or Yes
When THEY say “No”: Handling Objections You find out by probing:
1. “If we can find a solution on this one item, can we get a final
agreement today?” 2. “What if we…” (the hypothetical) 3. “In a perfect world, what would this look like to you?” 4. Maybe you need only to acknowledge the objection

Never say No…or Yes
When THEY say “No”: Handling Objections How well did you prepare?
1. 2.

3. 4. 5. 6.

Need more information on the other side? Need more information on Your solution, position, product, organization, market, etc.? Need more information on stakeholders? Are you talking to the right person/people? Maybe this is not a good agreement? Should you execute your BATNA?

NEGOTIATION
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PROCESS BETWEEN 2 PARTIES IN EXCHANGE F GOODS OR SERVICES ATTEMOPT TO AGREE UPON THE EXCHANGE RATE FOR THEM

BARGAINING STRATEGIES

DISTRIBUTIVE BARGAINING- SEEKS TO
DIVIDE UP A FIXED AMAOUNT OF RESOURCES: A WIN – LOSE SITUATION

INTEGRATIVE BARGAINING-SEEKS ONE
OR MORE SETTLEMENTS THAT CREATE WIN- WIN SITUATION

DISTRIBUTIVE VS INTEGRATIVE BARGAINING
Bargaining Characteristic Available resources Distributive Characteristic Integrative Characteristic

Fixed amount of resources Variable amount of resources to be divided to be divided Primary motivations I win , you lose I win, you win Opposed to each other Convergent or congruent to each other Long term

Primary interests

Focus of relationships Short term

NEGOTIATION PROCESS

Preparation & Planning Definition of ground rules Clarification & Justification Bargaining & Problem Solving Closure & Implementation

INFLUENCING POWER, POLITICS & NEGOTIATION

INFLUENCING

PROCESS OF AFFECTING OTHERS’ ATTITUDES & BEHAVIOR IN ORER TO ACHIEVE AN OBJECTIVE 3 TYPES
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INSTRUMENTAL COMPLIANCE INTERNALISATION IDENTIFICATION

INFLUENCING PROCESS & OUTCOMES
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INSTRUMENTAL INTERNALISATION IDENTIFICATION UNSUCCESSFUL INFLUENCING PROCESS

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COMPLIANCE COMMITMENT COMMITMENT RESISTANCE
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EXCUSES PURSUADE TO WITHDRAW CREATE DISSENTING GROUP DELAY PRETENSE REFUSE

INFLUENCING TACTICS
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RATIONAL PURSUASION INSPIRATIONAL APPEALS CONSULTATION INGRATIATION PERSONAL APPEALS EXCHANGE COALITIONS

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LEGITIMISATION PRESSURE

CONTINGENCY APPROACHES TO INFLUENCING TACTICS

DIRECTION-upward, lateral, downward SEQUENTIAL DIFFERENCES-initial requests, follow ups EFFECTIVENESS- individual tacticscombined tactics

Influential tactics
TACTIC
1.

DIRECTION SEQUENCE Superiors Initial Subordinates Either Subordinates Either Subordinates Initial Lateral Either Subordinates Follow up, Immediate Lateral Subordinates Follow up, Delay Subordinates Follow up, Immediate Follow up, Delay

TYPE Soft-either Soft-combine Soft-combine Soft-combine Soft-either Soft-either Hard-use alone Hard-use alone Hard-use alone

2.

3. 4. 5. 6. 7. 8. 9.

Rational persuasion Inspirational appeals Consultation Ingratiation Personal Appeals Exchange Coalitions Legitimization Pressure

POWER

LEADERS’S POTENTIAL INFLUENCE OVER FOLLOWERS

AS DIFFERENT FROM INFLUENCE WHICH IS A PROCESS OF AFFECTING OTHERS’ ATTITUDES & BEHAVIOR IN ORDER TO ACHIEVE AN OBJECTIVE

SOURCES AND TYPES OF POWER LEGITIMATE-User’s position given by org LEGITIMATEREWARD-user’s ability to influence others with something of value to them COERCIVE-negative reward influence for non compliance i CONNECTION-user’s relationship with influential people CONNECTIONINFORMATION-user’s data desired by others INFORMATIONEXPERT-user’s skill & knowledge EXPERTREFERRENT-user’s personal relationship with others REFERRENT-

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SOURCES AND TYPES OF POWER WITH EQUIVALENT INFLUENCING TACTICS

Position Power
Legitimate Reward Coercive Connection Information

Personal Power
Expert Referent

Legitimization Exchange

Pressure

Coalitions

No equivalent No Equivalent Personal Appeal

ACQUIRING & LOSING POWER
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POWER CAN CHANGE OVER TIME 2 MAJOR THEORIES OF HOW POWER IS ACQUIRED, ATTAINED OR LOST IN ORGANISATIONS  SOCIAL EXCHANGE THEORY-INDIVIDUAL POWER LEVEL OF ANALYSIS  STRATEGIC CONTINGENCIES THEORY;i)expertise in coping with important problems, ii) centralization of unit within work force, iii extent to which unit is unique or substitutable

POLITICS

PROCESS OF GAINING & USING POWER POLITICS IS A MEDIUM OF EXCHANGE-MEANS OF GETTING WHAT WE WANT

POLITICAL BEHAVIOR

POLITICS & SUPPORT ARE RELATED TO JOB SATISFACTION, COMMITMENT & TURNOVER INTENTIONS. HOW WELL YOU PLAY POLITICS DIRECTLY AFFECTS YOU. NETWORKING, RECIPROCITY & COALITIONS ARE COMMON ORGANISATIONAL POLITICAL BEHAVIOR

POLITICAL BEHAVIOR

NETWORKING- developing relationships for the purpose of socializing & politicking RECIPROCITY-creating obligations & developing alliances, & using them to accomplish ongoing objectives COALITION- developed to achieve specific objective

GUIDELINES FOR DEVELOPING POLITICAL SKILLS
RECIPROCITY
Guidelines

COALITIONS

Learn org culture & power players Develop good working relationships, esp with mangers Be a loyal & honest team player Gain recognition

NETWORKING

NEGOTIATION

PLAN- research the other party, Set Objectives, Develop options& tradeoffs, anticipate Questions, objections & prepare answers DEVELOP RAPPORT & FOCUS ON OBSTACLES NOT THE PERSON LET THE OTHER PARTY MAKE THE FIRST OFFER LISTEN & ASK QUESTIONS TO FOCUS ON MEETING THE OTHER PARTY’S NEEDS DON’T BE TOO QUICK TO GIVE IN & ASK SOMETHING IN RETURN

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