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1、Basic Negotiation ConceptsOffered by Prof. James LamLittle Jokes Why Negotiate?Success in negotiations can:get a deal or a better deal; increase your salary; get you a better position; gather support for your project or department; gain approval for a budget; and improve your chance for success on t
2、he Job. The Win-Win Negotiation Psychology:When most of us think of negotiating, we assume one of two things will happen: either well win or we will lose. A good negotiator should think that a successful negotiation is one in which both sides feel like winners.When negotiating, dont feel you have to
3、 win on every issue. Score major victories, but concede small points. Ask yourself, What can I give up that will please the other person without putting a major dent in what I want out of this?Everything Is NegotiableMany people like to think at certain policies and procedures are unchangeable. The
4、fact is, nothing is unchangeable and everything is negotiable.The Rule of 3 Figures:Before negotiating, you should have three figures or positions fixed firmly in your mind:The maximum-the highest figure. The most you dare ask for without fear of blowing away your Opponent.The minimum-the bottom lin
5、e. The lowest figure youd settle for. The goal-a realistic figure you have a good chance of getting. The best way to prepare for a negotiation is to gather all the facts, statistics, precedents, case histories, documents and other evidence supporting your positionPrinted evidence is especially poten
6、t. People are skeptical of oral arguments, but they assume that words printed in an article, book or report are true. Collect surveys, studies and article clippings, make copies, and highlight or underline key facts and unleash this powerful support when you feel you are losing ground on a key point
7、.An Arsenal of FactsDont Be Hasty!Negotiators usually are eager to achieve what psychologists call “closure. Closure is a neat, final, well-defined solution to a problem. Specially for technical people seek closure because they are trained to find precise solutions.When negotiating, you should expec
8、t and be willing to accept at least some ambiguity in what is resolved. The Human TouchRemember that youre dealing with human beings.Learn as much as you can about your opponents before negotiate. Be aware of the personalities involved and adjust yourself accordingly.The poet Henry Wadsworth Longfel
9、low once said: If we could read the secret history of our enemies, we should find in each mans life sorrow and suffering enough to disarm all hostility.You may dislike your opponent or be angry at him for blocking your way, but your negotiations with him should be civil and friendly not argumentativ
10、e and hostile. Keep your cool when attacked, and respond with sound arguments and supporting facts, not an outburst of temper or shouting. The two of you have similar goals; its your ideas on how to achieve these goals that differ. When responding, use phrases that show your empathy with the other p
11、ersons position, such as Thats a good point or I agree with most of that, but . . . Make the other person feel like a winner and both of you will be。Negotiation in General NegotiatingNegotiating Successfully The Negotiation Process Negotiation TacticsNegotiationProcess in which at least one individu
12、al or party tries to persuade another individual or party to change his/her ideas or behavior.Parties have different needs and viewpoints trying to reach agreement on matters of mutual interest.Cross-cultural negotiation.Negotiating SuccessfullyQualities of a good negotiatorContingenciesLocationPhys
13、ical arrangementsParticipantsTime limitsStatus differencesCultural Differences in Key Negotiating ProcessesNegotiation goal signing contract or forming the relationshipPersonal style formal or informalCommunication stylesdirect or indirect Sensitivity to timelow or highForms of agreementspecific or
14、generalTeam organizationa team or one leaderSTEP 1: PREPARATIONSTEP 2: BUILDING THERELATIONSHIPSTEP 3: EXCHANGINGINFORMATION/FIRST OFFERSTEP 5: CONCESSIONSSTEP 6: AGREEMENTSTEP 4: PERSUASIONSteps in the Business Negotiation ProcessStep 1: Preparation Is the negotiation possible?Know the other side S
15、end the proper teamAgendaPrepare for a long negotiation EnvironmentStep 2: Building the RelationshipNo focus on businessPartners get to know each otherSocial and interpersonal mattersDuration and importance vary by cultureStep 3: Exchanging Information and the First OfferTask-related information is
16、exchanged First offerStep 4: PersuasionHeart of the negotiation processAttempting to get other side to agree to a positionNumerous tactics can be usedVerbal Negotiation TacticsInitial OffersPromiseThreatWarningRewardPunishmentNormative appeal mendation Commitment Self disclosure Question Command No
17、Silence Interrupting Facial Gazing TouchingFrequencies of Verbal Negotiation Behaviors“Dirty Tricks” NegotiationsDirty tricks are negotiation tactics that pressure opponents to accept unfair or undesirable agreements or concessionsPloys/Dirty Tricks - Possible ResponsesDeliberate deception - point o
18、ut what is happening Stalling - do not reveal when you plan to leave Escalating authority - clarify decision making authoritySteps 5 and 6: Concessions and AgreementConcession making requires that each side relax some of its demandsFinal agreement: The signed contract, agreeable to all sides. Some c
19、oncessions to offer (1)Joint planning sessions, training programs, financial investments. CustomersJoint design teams, shared information systems, coordinated quality control. Suppliers Some concessions to offer (2)Joint ventures, alliances, information sharing. CompetitorsJointly or government spon
20、sored research, problem task forces, appointment of officials to board. GovernmentToo low raise payStyles of ConcessionSequential approach - consider each issue as a separate point - Each side reciprocates concessionsHolistic approach - more common in Asia - Concession making begins after all issues
21、 are discussedBasic Negotiation Strategies CompetitiveThe negotiation as a win-lose gameProblem solving/CollaborativeSearch for possible win-win situationsWhose Style to Use?Counterparts FamiliarityWith Negotiators CultureNegotiators Familiarity with Counterparts CultureHighHighOwn ApproachImprovise
22、 an ApproachAdapt to Counterparts ApproachEmploy Agent or AdvisorEmbrace CounterpartsApproachConclusionsSuccessful negotiators Understand the negotiation stepsBuild cross-cultural communication skillsUnderstand nonverbal communicationEight Steps to Success Employing the right negotiating tactics is
23、more important than ever. Following are eight fundamental steps to winning at the negotiating, culled from business people and experts in the field.The Management ProcessPlanningOrganizingStaffingLeadingControlling1. Take stock of your weaknesses. Not everyone is born a great negotiator. In fact, mo
24、st people dont have a clue about how to get what they want. other than to make demands.Must learn the basics. Many educational institutes and books available.2. Determine your bottom-line goal.Before you start negotiating you must determine which issue you would back down on to achieve your main obj
25、ective. 3. Learn as much as possible about the other party.The more you know about the person with whom youre negotiating, the better off youll be. Do your homework. Bring an arsenal of facts.4. Establish a relationship before the negotiation begins.The worst place for the first meeting with the ind
26、ividuals with whom youre negotiating is the negotiation table.Try to get to know your opponents on a personal level. Ask the other party you would like to have a pre-meeting so you can get acquainted, Let your opponents know you realize this is an important negotiation for both of you and you believ
27、e both can benefit by getting a sense of how each other operates. Explain that you want to help them achieve their goal as much as you want to achieve your own.5. Create and stick to an agenda.Formulating a blueprint helps keep the discussion on track and reduces the chances of extraneous issues wor
28、king their way in.For the blueprint to be acceptable, both parties must have input ahead of time, lay out what you would like to see happen, jointly develop a flexible, reasonable plan outlining what you want to talk about and how to go about making that happen. Dont compose your itinerary too rigid
29、. Dont do anything that forces the other party into a corner and makes the other person feel threatened.6. Dont let the talks get personal.Emotions can run high when theres a lot at stake, and its easy to vent frustration by lashing out at the other party.If the other party starts down this path, the best approach is to sit back and listen, jot down what the other party is saying. That will often reveal clues about whats really bothering the other party besides the issues on the ta
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