Transcript Negotiation Programme

NEGOTIATION
Mattia ZUZZI
Outline
1. REFERENCES
2. WHY STUDY NEGOTIATION
TECHNIQUES?
3. DEFINITIONS
4. LEARNING OBJECTIVES
5. THE NEGOTIATION PROCESS
6. NEGOTIATION FUNDAMENTALS
7. CONCLUSION
Motivation
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Managers should be prepared and organized to handle
various aspects.
 In order to achieve the desired end state of an
operation, negotiation is a main tool to use.
 More than 30000 IOs, NGOs, GOs, companies, firms
are present in the international arena. They all have
their own aim and intentions. To create a WIN-WIN
situation it is necessary to know how to negotiate.
 At tactical level it is vital to have negotiation skills in
order to get information, to accomplish tasks or to
have some immediate feedback on your actions.
Learning objectives
After this lecture,
one should be ready to:
 Prepare negotiations.
 Host and conduct negotiations,
considering major side-factors.
Definitions
ARBITRATION
MEDIATION
NEGOTIATION
Definitions
ARBITRATION
 Parties to the arbitration agree beforehand to
submit the dispute to the arbitrator, usually according
to a certain set of rules
 The arbitrator is the sole judge of the facts and the
law
 The arbitrator issues a final decision that is
binding on both parties
Difference between negotiation & mediation
MEDIATION
Intervene in a dispute to bring about an agreement.
Be a neutral medium for 2 different parties who has to
negotiate.
Definitions
NEGOTIATION
 Typically, negotiations will not be governed
by a set of rules
 During a negotiation, the parties will
bargain with each other in order to reach a
mutually agreed upon resolution to the
dispute
 Parties to the negotiation agree
beforehand to meet in order to reach an
agreement
IDENTIFYING NEGOTIATION GOALS
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What do I want to achieve?
Is this a realistic goal?
What does the other party want to achieve?
Do we have anything in common?
What is my minimum result?
What can I concede?
PREPARING FOR NEGOTIATIONS
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Background Info – history, conflict situations, etc.
Who am I dealing with?
Rehearse the goals and arguments (playing “what if”).
Make sure you understand your mandate.
Decide/Agree who will participate.
Administrative Issues (e.g. agendas, invitations, etc.).
Preparation of the meeting place.
PREPARING FOR NEGOTIATIONS
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What is the background of the problem?
Has this problem come up before?
Why has the problem come up now/again?
Has anything happened to affect previous agreements
on the subject?
 Have there been previous failures or successes on
this subject (use of “Best Practices”)
Do you have the
same image.
I bought a dog
Oh, really? A large one?
Is he long hairy?
very big.
No, not so big.
No, short hair.
And, what kind of colour? Black/white spotted
What a nice dog!
Yes, is he?
to listen
to speak
to receive
questions
perception
a conversation
summarize
to interpret
to reflect
non verbally
feedback
to observe / to watch
to give attention
PREPARING FOR NEGOTIATIONS
 Who am I dealing with?
– Learn about their:
• Positions
• Interests
• Perspectives
• Perceptions
• Assumptions
• Expectations
• Values
CULTURAL
DIVERSITIES
iceberg theory
above water:
RATIO
below water:
EMOTION
verbal
WHAT you say:
15 %
non verbal
How you mean:
85 %
Why to Negotiate?
The overall purposes of negotiation are:
• identification and separation of areas of
disputes;
• prevention of escalation;
• down-scaling of differences in perception of
areas of conflict;
• resolution of disputes;
• preventive action against recurrence of
disputes.
Definitions/Types of Negotiations
 ZOPA =
 Zone Of Possible Agreement.
The ZOPA includes the criteria both sides to a
dispute can agree upon, and that is sufficient
to produce a settlement of the dispute
 BATNA =
 Best Alternative To a Negotiated
Agreement. The BATNA is the walk away
position, or what you are not willing to give
up
The Negotiation Process
1. -PRE-NEGOTIATION/PREPARE THE STRATEGY
 Most important step of all
 Learn everything possible about the other side
 Get the best assistance during the negotiation,
by carefully selecting members of the team
 Make sure you understand exactly what the
commander wants or will accept - BATNA and
ZOPA
 Prepare the location (take care of all details), if
the negotiations are conducted in the meeting
format.
Preparations before negotiations
Internal preparations:
•Who will talk?
•Who is taking notes –
• can notes be taken
• can a tape recorder be used)?
•What will be the role of the interpreter?
•Agree on the size of the negotiation team
(e.g. what is the driver doing?)
•Decide the need for specialists (weapons,
mines, economic, cultural, etc.) during the
session.
The Negotiation Process
2. NEGOTIATION PHASE
 During the negotiation phase the parties employ one of
two bargaining techniques
 Distributive bargaining where one side wins, one
side looses. Typically involves manipulation and
withholding information Example: Negotiating for
land.
 Integrative bargaining where both sides win. This
type of bargaining is characterized by the creation of
mutual trust based on a positive relationship and
shared interests which make allow for a satisfactory
ZOPA
Actual Negotiation
The opening talks. Icebreaking:
• be patient;
• remember the customary salutations and exchanges
of courtesies (in accordance with the local habit);
• introduce yourself and your team (wear name tags);
• outline the framework of the meeting;
• some introductory small talk may be useful and polite
(gives everybody a chance to get used to the way the
common language is used and it offers a chance to
assess the mood); and
• offer/take refreshments.
Actual Negotiation
The main talks
• if possible let your counterpart start, listen to him, do not
interrupt;
• start with agreement on the agenda;
• if incorrect information is given, state the actual facts
(supported by evidence), but do not argue;
• state your company’s point of view (facts only);
• if there are differences in points of view, note the view of the
counterpart and highlight the point of view of the opposite
side.
Actual Negotiation
 In some cases the task of the Negotiation team
includes conveying complaints, either from the
opposing party or from the NATO itself.
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Make sure that the complaint is clear in all its
details - preferably confirmed in writing;
– Declare that you will come back to the issue after
an investigation of the key problems.
– Carry out your investigation and negotiation in a
similar manner with the other party;
Actual Negotiation
• Make no promises or admissions, unless the
situation or your mandate clearly states you
can do so.
• Do not reveal anything about one party that
could be exploited by the other party. To be
impartial and correct are of the greatest
importance;
• Always be restrained if one of the parties
expresses a negative view about the NATO,
the opposing party's morale, politics or
methods. Try to make everybody accept the
NATO mandate and the solution it promotes.
Actual Negotiation
 Make careful reminders about agreements,
actual arrangements and past practices;
 Complete the negotiation by repeating what
has been agreed upon, if possible have it
confirmed in writing;
 Agree upon a time and place for further
negotiations;
 Do not forget final polite phrases, etc.
 Be focused.
Actual Negotiation
Be focused on the topic and your mission!
The Negotiation Process
3. POST NEGOTIATION
 Put agreement into writing
 Ratify agreement with your superiors if required
 Ongoing verification of agreement
Ten Negotiation Fundamentals
1.
Be able to recognize a negotiation
situation
Ten Negotiation Fundamentals
2.
Plan and have a concrete strategy. Be
clear on what is important to you and
why it is important
Ten Negotiation Fundamentals
3.
Know your BATNA
(Best Alternative To a Negotiated
Agreement)
Ten Negotiation Fundamentals
4.
Separate people from the problem
Ten Negotiation Fundamentals
5.
Focus on interests not positions
Ten Negotiation Fundamentals
6.
Pay attention to the flow of the
negotiation (display results obtained
so far)
Ten Negotiation Fundamentals
7.
Take the intangibles into account;
communicate carefully
Ten Negotiation Fundamentals
8.
Use Active Speaking/Listening skills;
rephrase, ask questions and then ask
some more
Ten Negotiation Fundamentals
9.
Create options for mutual gain (WIN
WIN)
Ten Negotiation Fundamentals
10.
Maintain control; if it becomes worst,
consider rescheduling the meeting to a
later date
Dealing with difficult people
Be able to recognize and respond to difficult behavior,
because you are in Control!
Dealing with difficult people
THE EXAGGERATED BLUFF
 You can’t be serious!!
 Are you kidding!!
POSSIBLE RESPONSES:
Why do you say that?
What are your main concerns?
Dealing with difficult people
THE INVISIBLE COMPETITION
 I can get a better deal elsewhere.
POSSIBLE RESPONSES
I believe you, but I need to see proof
Dealing with difficult people
Mr NO
It’s against company policy!
That was my final offer!
 No way!
POSSIBLE RESPONSES:
 What do you propose instead?
 I have not yet begun to negotiate, let’s explore
some alternatives.
Dealing with difficult people
THINLY SLICED SALAMI
 A negotiator using this tactic only makes very
small concessions at a time
POSSIBLE RESPONSES:
 Tie your acceptance of his thinly sliced salami to
conditions – “We might be able to, but only if…”
 Respond to small concessions with small
concessions (“reverse salami”)
Dealing with difficult people
DEADLINES OR TIME TACTICS
 I have to leave in a hour!
 We have to get this done today
POSSIBLE RESPONSES:
Examine reason for time delay
Establish timetable at the beginning of the
negotiation
Dealing with difficult people
BI POLAR BEHAVIOR - BLOWING HOT AND
COLD
 Initial enthusiasm, followed by cooling off.
POSSIBLE RESPONSES:
 When did you start to think this way?
Dealing with difficult people
ONE LAST THING…
 Just when you think you have a deal, the other
party suddenly adds more conditions
POSSIBLE RESPONSES:
 Draw up an agenda of issues at the start
Before agreeing to anything check to make sure
there is nothing else to come
Dealing with difficult people
DISCOUNTS FOR FRIENDS
 Look at how much I have done for your
country!!
POSSIBLE RESPONSES:
 Don’t be confused. Remind the other party
that he is not doing anything for your country.
Dealing with difficult people
IRRELEVANT COMPLAINTS
 “The other day some of your soldiers
destroyed some of my crops”.
POSSIBLE RESPONSES:
 Treat the complaint as genuine, write it
down, then get back on the subject.
Dealing with difficult people
LACK OF AUTHORITY
 Once you think you have the dispute resolved, the
other party says they have to refer the matter to the
boss.
POSSIBLE RESPONSES:
 Establish authority at the start
 Insist that the agreement must be honoured, or
negotiations must start again
Dealing with difficult people
RAISING THE ROOF
 This type of difficult person increases his
demands each time you make a compromise
POSSIBLE RESPONSES:
 Call attention to the tactic
 Postpone the negotiation to consider on the basis
on which negotiations will continue.
Conclusion
 Negotiation is an art not a science
 Experience is the best teacher
 Personal study and reflection on your
negotiation experiences will make you a
more effective negotiator.
The End