Negotiation Skills

My father said: "You must never try to make all the money that's in a deal. Let the other fellow make some money too, because if you have a reputation for always making all the money, you won't have many deals. J. Paul Getty

Why Negotiate?

Animals do not negotiate. They use violence or the threat of violence to get what they want, whether it be food, a mate or territory. Have you ever seen 2 dogs negotiate over a bone? Trade is the human foundation of human civilisation. It is what makes humans different from animals. Negotiation is anathema to tyrants, who usually want something for nothing and do not recognise a need for another persons voluntary consent before they get what they want

When and where do we negotiate? # At Work

Salary and job responsibilities, space etc

# With Patients # At Home # Other ??

Negotiation What is it?

A process in which two or more parties exchange goods or services and attempt to agree on the exchange rate for them
To negotiate is to trade something we have for something we want. Confer with others to reach a compromise or agreement.
Concise Oxford Dictionary

Anon

Two General Approaches:

Distributive Negotiation Negotiation that seeks to divide up a fixed amount of resources; a win-lose situation Integrative Negotiation Negotiation that seeks one or more settlements that can create a win-win solution

Distributive versus Integrative Bargaining

Bargaining Characteristic Distributive Bargaining Integrative Bargaining

Goal
Motivation Focus Information Sharing Duration of Relationships

Get all the pie you can

Win-Lose Positions Low Short-Term

Expand the pie

Win-Win Interests High Long-Term

Integrative
Yours Mine

Yours Mine

Distributive

The Negotiation Process

Negotiation
Includes: Listening Ability to identify the interests of both sides Persuasion Diplomacy Building and preserving relationships

Negotiation Process Preparation 1:

Know what your interests are and why you

value them
What is the issue at Hand What are the needs vs. wants Know the strengths and weaknesses of your

position and self

Self awareness, personality characteristics, emotional intelligence 9

Negotiation Process Preparation 2: See things from the other sides point of viewwhy they are negotiating? Research the interest of the other side What are their needs (security, autonomy, recognition)

Be aware of the unpleasant consequences for both sides if your idea/proposal is not accepted
If you succeed who else might be affected, harmed, advanced?

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Negotiation Process Planning 1:

Brainstorm all alternatives that could satisfy your needs

Be creative and expand the pie Know who is supportive and who is not/less Does this person has the authority to make the decision? Are there any penalties for bluffing? Are there time limits associated with negotiations?

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Negotiation Process Planning 2:

Imagine how it would feel to achieve your goal
Role play your opening with a trusted

colleague and rehearse the problematic areas

Be the devils advocate

Plan ways to break it/Buy time I need to think over what you just said so can I have a couple of minutes? 12

The Best Alternative to a Negotiated Agreement (BATNA)

A well thought out BATNA gives you more

power (leverage)
Decide on: What you can comfortably walk away? Bluffing? Dont allow desperation to be detected in your non verbal

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Negotiation Process During 1:

Bring the list of your main points and a set of

questions
Try not to interrupt; the more they reveal, the

more youll learn

Re-state as impartially as you can as I hear it) Stay open to new information Take notes 14

Negotiation Process During 2:

Focus on interests. Not people, not gains Use objective criteria to make decisions and be sure the other party does as well Redirect personal attacks onto the problem at hand

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Negotiation Process During 3:

Listen actively and reflectively Listen also for what is not said

Learn from what the other side says

Stay open to new information Synthesize the information you hear and

use it in your own argument

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Negotiation Process During 4:

Be prepared to walk away if an agreement

is not reached.
Write a note or memo if contract or agreement is required. (e.g., If I dont hear by x, will assume that it stands)

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MANAGING NEGOTIATIONS
DUAL CONCERN - MODEL High

CONCERN ABOUT OTHERS OUTCOME

YIELDING ACCOMMODATION

PROBLEM-SOLVING

INACTION Low

CONTENDING COMPETITION High

CONCERN ABOUT OWN OUTCOME

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Common Errors Assuming shared values Assuming similar communication preferences

Big picture thinking or detailed analyses? Stories or facts? Time to process or get decisions over with? Expect reciprocity
Avoiding conflict

Trying to prove how smart or right you are by

talking
Not listening carefully 19

Negotiation Check List

Good Practice
Actively listen Question for clarification Summarising Test commitment Seeking & giving information Encourage two way conversation State and plan your proposal then summarise Use the if you .then well principle

Avoid
Interrupting Attacking Blaming Talking too much Sarcasm Threats Taking it personally Closed body language

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Thank You

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