NEGOTIATION

TEAM 4

Santhosh
George
Joby
Luku
Hanish
Joseph
Shahjahan
 WHAT IS NEGOTIATION
The word “NEGOTIATION” is from the latin
expression “NEGOTIATUS” which means ”TO
CARRY ON BUSINESS”.

Negotiation is the most common approach

used to make decisions and manage disputes.

It is the primary method of alternative dispute

resolution.
Negotiating

“Negotiating is the art

of reaching an
agreement by resolving
differences through
creativity”
Negotiation occurs in business,
government branches, legal proceedings
and in personal situations such as
marriage, divorce etc.
The study of the subject is called as
negotiation theory.
TYPES- Managerial Negotiation
This type of negotiation is done within the
organization and is related to the internal
problems of the organization.

Parties involved-Trade unions, legal advisers,

in between colleagues etc.

Examples-negotiation for pay, increasing

productivity .
 Commercial Negotiation
This type of negotiation are conducted with
external parties.

Parties involved-Legal advisors, customers,

suppliers, public etc.

Examples-Striking a contract with a customer,

negotiations for the price and quality of goods.
 Legal Negotiation
These negotiations are usually formal and
legal binding in nature.

Parties involved-Management,
Government etc.

Examples- Following the laws of local and

the national government.
Principles

There are no rules

– Establish an agenda
Ask for a better deal
Be creative
Learn to say “NO”
yourself
Everything is
negotiable
 NEGOTIATION STRATEGIES-
INTEREST BASED NEGOTIATION

Parties collaborate to find a “win-win”

solution to their dispute.

Focuses on developing mutually beneficial

agreements based on the interests of the
disputants.
POSITONAL NEGOTIATION
Involves holding on to a fixed idea of what
you want regardless of any underlying
interests.

Classic example being the haggling that

takes place between proprietor and
customer over the price of an item.
NEGOTIATOR TYPES-”SHARKS”
The “SHARK-LIKE” negotiator-Their
perception is that in all negotiations, there
must be winners and losers.

They move in for the kill, striving to get as

much as they can in every case regardless of
the cost.

Their basic nature is to take over or trade off.

 “CARPS”
The “CARP-LIKE” negotiator-Believe in
scarcity. They focus their efforts on not losing
what they currently have.

Their normal response in a negotiation is to

give in or give out.

They have less level of aspiration and

confidence.
 “DOLPHINS”
The “DOLPHIN-LIKE” negotiator-They are highly
intelligent and have the capacity to learn from their
past experiences.

They quickly and precisely alter their behaviors in

different ways in pursuit of what they are after.

While quick to retaliate, they are also quick to

forgive. They avoid unnecessary conflicts by
cooperating as long as the other party does
likewise.
NEGOTIATION TIPS/SKILLS
SOLICIT THE OTHER’S PERSPECTIVE-
Use questions to find out what the other
person’s concerns and needs might be.

For example-what do you need from me

on this? Or what are your concerns about
what I am suggesting?
 STATE YOUR NEEDS
The other person needs to know what you
need.

Example-I would like an hour on Tuesday

to go to the doctor.I want to make sure I
am healthy so that i can contribute better
to the organization.
DO NOT ARGUE -Negotiating is about finding
solutions. Arguing is about trying to prove the
other person wrong.

CONSIDER TIMING-There are good times to

negotiate and bad times as well.

Bad times include-a high level of stress, a high

degree of anger on both the sides.
 Are you a Motivated Negotiator?

Enthusiasm Social Skills

– Confidence – Enjoy people
– Engaged – Interest in others
Recognition Teamwork
– Accomplishment – Better as a team
– Pat on the back – Self-control
Integrity Creativity
– No trickery – Always looking for
– Trustworthiness ways to complete the
deal
EMOTIONS IN NEGOTIATION-
POSITIVE EMOTIONS
People in a positive mood have more
confidence and have higher tendencies to
use a cooperative strategy.

Flexible thinking and creative problem

solving is involved in positive emotions in
negotiation.
 NEGATIVE EMOTIONS
Has detrimental effects on various stages
in the negotiation process. Anger is one of
the negative emotions shown during a
negotiation.

Angry negotiators plan to use more

competitive strategies, even before the
negotiation starts.
 Outcomes
Realistic
– Both sides satisfied, win/win situation
– Usually results from deliberate style
Acceptable
– Likely to result from quick style
– Something is better than nothing
– Always ask for a better deal
Worst
– When you’re too stubborn to be flexible
– Usually from quick style
 Outcomes
Predetermine the outcomes before you
start negotiations, you have a better
chance of getting a better result

“Think carefully, think creatively, and

think ahead”
 A Good Negotiator Is..

Tolerance of ambiguous
situations
Flexibility and creativity
Stamina
Versatile
Motivated
 CONCLUSION

Negotiation in a way is directly or indirectly

linked to our everyday lives.

At times it is very much essential to

negotiate and emerge with a creative
outcome.

Ultimately-”negotiate in a healthy way”.

”NEGOTIATION” is really
important!!!
THANK YOU

-TEAM 3