business negotiating skills for managers management mba

Teresa Bomba

NegotiatingSkills for

Managers

CohenFMqxd 21102 925 AM

Other titles in the Briefcase Books series includeCustomer Relationship Managementby Kristin Anderson and Carol Kerr

Communicating Effectively by Lani Arredondo

Performance Management by Robert Bacal

Recognizing and Rewarding Employees by R Brayton Bowen

Six Sigma for Managers by Greg Brue

Motivating Employees by Anne Bruce and James S Pepitone

Leadership Skills for Managers by Marlene Caroselli

Effective Coaching by Marshall J Cook

Conflict Resolution by Daniel Dana

Project Management by Gary R Heerkens

Managing Teams by Lawrence Holpp

Hiring Great People by Kevin C Klinvex Matthew S OrsquoConnell and Christopher P Klinvex

Empowering Employees by Kenneth L Murrell and MimiMeredith

Managing Multiple Projects by Michael Tobis and Irene P Tobis

Presentation Skills for Managers by Jennifer Rotondoand Mike Rotondo

The Managerrsquos Guide to Business Writingby Suzanne D Sparks

Skills for New Managers by Morey Stettner

To learn more about titles in the Briefcase Books series go to

wwwbriefcasebookscomYoursquoll find the tables of contents downloadable sample chap-ters information on the authors discussion guides for usingthese books in training programs and more

CohenFMqxd 21102 925 AM Page 2

McGraw-HillNew York Chicago San Francisco Lisbon London Madrid Mexico City Milan New Delhi San Juan

Seoul Singapore Sydney Toronto


ManagersSteven P Cohen

A

Briefcase

Book


Copyright copy 2002 by The McGraw-Hill Companies Inc All rights reserved Manufactured in the United

States of America Except as permitted under the United States Copyright Act of 1976 no part of this

publication may be reproduced or distributed in any form or by any means or stored in a database or

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The material in this eBook also appears in the print version of this title 0-07-138757-9

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tions or for use in corporate training programs For more information please contact George Hoare

Special Sales at george_hoaremcgraw-hillcom or (212) 904-4069

TERMS OF USEThis is a copyrighted work and The McGraw-Hill Companies Inc (ldquoMcGraw-Hillrdquo) and its licensors

reserve all rights in and to the work Use of this work is subject to these terms Except as permitted

under the Copyright Act of 1976 and the right to store and retrieve one copy of the work you may not

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ply with these terms

THE WORK IS PROVIDED ldquoAS ISrdquo McGRAW-HILL AND ITS LICENSORS MAKE NO GUAR-

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DOI 1010360071387579

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DOI Page 55x835 91802 154 PM Page 1

Want to learn moreWe hope you enjoy this McGraw-Hill eBook If

yoursquod like more information about this book its author or related books and websites please click here

Contents

Preface xi

1 Competitive Versus Collaborative Decision Making 1What Is Negotiation 2What Negotiation Is Not 4Types of Negotiation 5Investigating Your Interests 7What Differences Does It Make to Distinguish

Between Interests and Positions 8How Do You Deal with Positional Bargainers 10Is Money Really the Interest 12Primary (Fundamental) and Secondary

(Derivative) Interests 13Looking Beyond Our Personal Interests 15The Three Crsquos of Interests 17When Interests Conflict 19Managerrsquos Checklist for Chapter 1 20

2 BATNAmdashChoosing Whether to Walk Away 23Making Choices 23Balance of Power 24Understanding Our BATNA Offers Choices 25What Is Our Walking-in BATNA 27Does BATNA Ever Change 27BATNA Is Not the Bottom Line 29Elements of BATNAs 30Strengthening and Weakening BATNAs 35Assumptions 36Managerrsquos Checklist for Chapter 2 37

v

CohenFMqxd 21102 925 AM Page v

For more information about this book click hereFor more information about this book click here

Copyright 2002 by The McGraw-Hill Companies Inc Click Here for Terms of Use

3 Are We Ready Inoculation Protects the Parties 39Substantive Inoculation Knowing the Subject 40In Negotiation the Past Has No Future 41Selling the Product to the Salesperson 42Goals of Inoculation 43Inoculation as a Tool for Improving Your BATNA 43What Information Do We Need About Ourselves 44What Information Do We Need About Other Parties 46Preparing for Negotiation on Your Own 46Active Listening 47Inoculation Includes Process as Well as Substance 50Internal and External Inoculation 52The Bottom Line 54When Inoculation Is Impossible 54Managerrsquos Checklist for Chapter 3 55

4 Preparation Part One Stakeholders Constituents and Interests 57Shooting from the Hip 57Unplanned Negotiations 58Surprises 58What Does Preparation Mean 59Looking Inside Yourself 60Understanding the Subject Matter 61Internal Negotiation 62Preparing Other Parties 63Juggling Conflicting Agendas 65Strengthening and Weakening BATNAs 66Reasons to Prepare for Negotiation 67Managerrsquos Checklist for Chapter 4 68

5 Preparation Part Two Developing a Strategy Using Interest Mapping 70Making Assumptions 70Interested Parties 71Stakeholders 72Create Your Interest Map 72Record Your Assumptions About Stakeholdersrsquo Interests 73Donrsquot Go It Alone 75Low-Cost Solutions 76How to Use Interest Maps 78Using Your Interest Map in Negotiation 79

Contentsvi

CohenFMqxd 21102 925 AM Page vi

Be Prepared for Hot Buttons 79Donut Hole Interest Maps 80After the Negotiation 81Be Prepared 82Managerrsquos Checklist for Chapter 5 82

6 Communication Key to Effective Negotiating 84Preparation Put to Use 84Communicating to Influence 85Active Listening 87Communicating with Difficult People 92Reframing 93What Is Your Point 94Communicating Information 94Managerrsquos Checklist for Chapter 6 95

7 Emotions Dealing with Ourselves and Others 96Do Emotions Belong in Negotiation 96Recognizing and Prioritizing Emotions 97Surprise 98Are You Negotiating to Solve a Problem

or Have a Fight 99Confidence-Building Measures 100Only One Person Can Get Angry at a Time 101Reacting to Emotional Outbursts 102De-escalation 103Healing Relationships 104Dealing with Difficult People 105Bullies 105Expressing Emotions Is Not Bad Negotiating 106Managerrsquos Checklist for Chapter 7 106

8 Dealing with Annoyance and Levelingthe Playing Field 108Myths 108Psychological Games 113Giving or Taking Offense 114Controlling the Board 115Physical Set-Up 116Building Confidence in Your Counterpart 116I Understand You But That Doesnrsquot Mean

I Agree with You 118

Contents vii

CohenFMqxd 21102 925 AM Page vii

Expectations 119Early Wins Can Be Traded Away Later 122Level Playing Field 122Managerrsquos Checklist for Chapter 8 123

9 Globalism Starts at Home Cross-Cultural Issues 125Nationality Is Not the Only Difference 125Internal Negotiation 126Bringing Tribes Together 128You Canrsquot Tell a Book by Its Cover 129Negotiation Choreography 130When Yes Means No 131Offense as a Cultural Barrier 132Overcoming Cultural Obstacles 132Can I Depend on Them 135Donrsquot Get Hung Up on Style 136Managerrsquos Checklist for Chapter 9 137

10 Creativity and Bargaining Chips 138Single-Issue Negotiating 138Multi-Issue Negotiations 139The Value Creation Curve 140Value Versus Price 142Donrsquot Dictate Value 143Separating People from the Problem 145Healing Relationships 145Check the Appeal of Creative ElementsmdashOne by One 147Donrsquot Hog the Credit 147Confirming Mutual Understanding 148Open Your Mind and Expand the Possibilities 149Managerrsquos Checklist for Chapter 10 149

11 The Negotiation Process 152Agenda Setting 153Building Confidence and Comfort 156Utilizing Your Interest Map 157Bargaining 158Building Long-Term Commitment 161Objective Criteria 162ZOPA 163Expectations and Concessions 164Compromise 165Collaboration 165

Contentsviii

CohenFMqxd 21102 925 AM Page viii

Multitasking 166Itrsquos Not Over Until Itrsquos Over 167Not Rocket Science 168Managerrsquos Checklist for Chapter 11 168

12 The Seven Pillars of Negotiational Wisdom 171Paying Attention to Priorities 171Relationship 172Interests 176BATNA 178Creativity 179Fairness 181Commitment 182Communication 184Foundation of the Seven Pillars 185Managerrsquos Checklist for Chapter 12 186

Index 189

Contents ix

CohenFMqxd 21102 925 AM Page ix

This page intentionally left blank

Preface

When I told my father of my plans to develop a firm special-izing in training people how to negotiate he was quite sur-

prised When I indicated that many people feel the need tobecome more confident he was dumbfounded ldquoDonrsquot peopleknow negotiating is funrdquo he asked But hersquos good at it and likesto make deals The aim of this book is to help you get good at itas well and to increase your confidence and the resultingrewards that can come from concluding an effective negotiation

The title of this book is Negotiating Skills for Managers buta more descriptive title would include the subtitle ldquoandEveryone Elserdquo Negotiation is a universal human activitymdashweall engage in bargaining at one level or another on a pretty reg-ular basis And while we all need good negotiation skills in busi-ness these skills are valuable in our personal lives as well

Several years ago in a response to a follow-up form askingfor a long-term evaluation of our flagship negotiation course aparticipant responded that he had not used negotiation in hisprofessional lifemdashbut he had used it to save his marriage I hopethis book will enhance your professional skills as a negotiatorand then you can view any personal impact simply as an addi-tional benefit

Plan of the BookNegotiating Skills For Managers has 12 chapters In the first 10we discuss negotiation paradigms philosophical underpinningsand specific tools and techniques Yoursquoll find a detailed review ofthe idea of ldquointerestsrdquo and BATNA (Best Alternative To aNegotiated Agreement)mdashtwo things all negotiators need to

xi

CohenFMqxd 21102 925 AM Page xi


Prefacexii

understand Therersquos also a discussion of the Interest Mapcopy acrucial preparation tool introduced in Chapter 5 and used insubsequent chapters The two final chapters bring it all togetherwith Chapter 11 focusing on the negotiation process andChapter 12 summarizing what I call the Seven Pillars OfNegotiational Wisdomcopy

Yoursquoll find that Negotiating Skills for Managers does not pro-mulgate a series of hard-and-fast rights and wrongs Effectivenegotiators know that each negotiation has unique characteris-tics and being flexible can make the difference between effec-tiveness and wasted time This book emphasizes that youshould not view negotiation as a competitive exercise and thatthe best way to conduct a successful negotiation is for all par-ties to be satisfied when you conclude the agreement

Special FeaturesThe idea behind the books in the Briefcase Books series is togive you practical information written in a friendly person-to-person style The chapters are short deal with tactical issuesand include lots of examples They also feature numerousboxed sidebars designed to give you different types of specificinformation Herersquos a description of these sidebars and howtheyrsquore used in this book

These boxes are designed to give you tips and tacticsthat will help you more effectively implement themethods described in this book

These boxes provide warnings for where things couldgo wrong when yoursquore trying to prepare for and under-take a negotiation

These boxes highlight insider tips for taking advantageof the practices yoursquoll learn about in this book

CohenFMqxd 21102 925 AM Page xii

Preface xiii

AcknowledgmentsWhile any mistakes in Negotiating Skills for Managers are myresponsibility I have been lucky enough to have received helpand support from my wife Andreacutea F F MacLeod and my col-league Marsha M Vaughan John Woods of CWL PublishingEnterprises made the whole project possible from his innova-tive formatting of the Briefcase Books series to his pointed edi-torial commentsmdashand his effective prodding Joan Patersonserved as editor and had a lot to do with finalizing the manu-script that has become this book In addition Nancy Woods andBob Magnan also of CWL had a hand in creating the finalproduct you have before you

This book also owes a considerable debt to ideas from col-leagues within The Negotiation Skills Company Inc AnthonyAdamopoulos Esq Mary Ellen Shea Ron Scruggs DeniseDelaney Curtis Johnson and Paul Cohen Esq Of the manyothers who have contributed to my understanding MarshallDerby Felicity Barber Ricardo Altimera-Vega and the late

Every subject has its special jargon and termsTheseboxes provide definitions of these concepts

Itrsquos always important to have examples of what othershave done either well or not so well Find such storiesin these boxes

This identifies boxes where yoursquoll find specific proce-dures you can follow to take advantage of the bookrsquosadvice

How can you make sure you wonrsquot make a mistakewhen negotiating You canrsquot but these boxes will giveyou practical advice on how to minimize the possibility

CohenFMqxd 21102 925 AM Page xiii

Prefacexiv

Anthony Hyde stand out My daughters Julia and Abigail havekept me on my negotiating toes all their life

Fundamentally however my most significant negotiationlearning took place at the knee of my father Martin E Cohen Iowe it all to him

For further information and advice about negotiation youare invited to visit the Web site of The Negotiation SkillsCompany Inc wwwnegotiationskillscom

CohenFMqxd 21102 925 AM Page xiv

About the AuthorSteven P Cohen is the founder and head of The NegotiationSkills Company Inc a consulting and training organization thathas presented negotiation skills training to people from morethan 40 countries His clients come from business sectors asdiverse as healthcare and the manufacture of nuclear weaponsThe Negotiation Skills Companyrsquos mission statement is simpleto advance the cause of civility in negotiation to the benefit ofall participants

The breadth of Steve Cohenrsquos experience negotiating in thepublic and private sectors and working with people from all overthe world has given him a unique perspective on the dorsquos anddonrsquots of negotiation In Negotiating Skills for Managers Steveoffers his negotiation experience communication skills andteaching techniques to a broader audience

His companyrsquos award-winning Web site wwwnegotiation-skillscom has subscribers from over 70 countries on everycontinent except Antarctica You can contact Steve attnscnegotiationskillscom

About the Author xv

CohenFMqxd 21102 925 AM Page xv




Managers

CohenFMqxd 21102 925 AM Page xvii


Negotiating is not a competitive sport

Paul Murphy is on an extended business trip and getting prettysick of staying in hotel rooms that all look alike even though

theyrsquore in different cities His company has a relationship withthe hotel chain where hersquos been staying but the business deal isfor the least expensive room How can he improve the accom-modations when he checks into the next hotel

Sally Marks manages a team in the design department of anautomobile manufacturing company A directive has arrivedfrom the marketing department indicating the top priority forthe next design cycle is to develop a vehicle that weighs nomore than a ton has space for five passengers can cruise at 75miles per hour for extended periods complies with increasinglystrict exhaust emission standards and can fit into small urbanparking spaces The marketing department also wants manu-facturing costs held substantially below any previous cars hergroup has designedmdashyet use high-tech materials

1

Competitive VersusCollaborativeDecision Making

1

Cohen01aqxd 11102 1006 AM Page 1


Sally and her teamrsquos delivery on this combination of specifica-tions will require the cooperation of members of teams frommanufacturing purchasing and testing segments of the compa-ny In addition Sally has to cope with regulatory issues as wellas external suppliers in order to accomplish her task

When Fred and Jane Yancey and their two kids moved into theirnew home it needed a lot of fixing up as well as an additionSome of their neighbors have been very friendlymdashas well asunderstanding about the noise of construction machinerymdashbutothers have complained to the local building inspectors withouttalking first to Fred or Jane The Yanceys are the first African-American family to move into the neighborhood They wonderwhether the complaints to the building inspector relate to theconstruction itself or whether other factors are involved

As chief of her firmrsquos team selling processors to a public sectorutility company in China Angela MacKenzie has to contendwith competitors from the US and other countries But she iseven more challenged by the process of figuring out how muchprogress she and her colleagues are making convincing the rep-resentatives of the Chinese utility company of the value of theprocessors they are selling

Every day all over the world people find themselves in sim-ilar situations They want to accomplish a particular task clarifya relationship or simply find resources to achieve more thanthey might by making a deal with someone else They need tonegotiate to get from their starting point to their objective

Negotiating Skills for Managers is designed to help its read-ers understand and utilize a process that is fundamental to busi-nessmdashand the rest of life

What Is NegotiationWhen people want to do something togethermdashbuy or sell anitem make a business deal decide where to go for dinnermdashthey need to use some sort of mechanism for reaching an

Negotiating Skills for Managers2


agreement Unless they agree instantly on every element of thechoices to be made they need to use a mutually acceptableprocess for decision making Negotiation is one name for a vari-ety of joint decision-making processes although people alsouse such terms as making a deal trading bargaining dickeringor (in the case of price negotiation) haggling

A successful negotiation has taken place when the partiesend up mutually committed to fulfilling the agreement they havereached Fairness is a crucial element to make a negotiationprocess succeed Some people negotiate as if their most signifi-cant objective is to take advantage of other parties this is self-defeating If any party feels unfairly treated he or she may walkaway from the negotiation with a negative feeling and a disincli-nation to live up to the agreement

One way to think of negotiation is to compare knit-ting and weaving Whenyou knit something yougenerally use a singlestrand of yarn Andalthough knitted fabricsmay contain a variety ofcolors and textures youcan easily stretch them outof shape In weaving thefabric is created by using atleast two strands comingfrom different directions

Competitive Versus Collaborative Decision Making 3

Waging PeaceIn the old days when wealthy landowners had a dispute theywould hire mercenariesmdashknightsmdashto wage war to deter-mine who was rightThe winner of the battle was acclaimed the winnerof the disputeThen somebody invented lawyers For the past thousandyears or so wersquove been waging law to decide who winsToday as peo-ple rely increasingly on negotiation to resolve disputes or reach agree-ments they are waging peace to reach the resolution that is mostacceptable to all parties

Negotiation The processof two or more partiesworking together to arriveat a mutually acceptable resolution ofone or more issues such as a com-mercial transaction a contract or adeal of any sort

Negotiation is a give-and-take bar-gaining process that when conductedwell leaves all parties feeling goodabout the result and committed toachieving it


Woven fabrics tend to have greater tensile strength and durabilitythan knitted fabrics Negotiation is more like weavingmdashtheprocess takes contributions from various parties While weavingand knitting may involve a single personrsquos skills negotiationcalls for contributions from two or more parties By drawingupon the knowledge skills and other input of the multiple par-ties a good negotiation process weaves together a durableagreement whose strength derives from the fact that the partiesreached agreement by working together

What Negotiation Is NotWhen your boss gives you an order and your only choice is todo what he or she says that is not negotiation If an outsider isbrought in to make a decision between parties using arbitrationthe parties are legally bound to follow the arbitratorrsquos decisionThat is not negotiation When parties are not working togetherto reach an agreement negotiation does not take place

Itrsquos important to keep in mind that negotiation is not a com-petitive sport This doesnrsquot mean however that wersquore never in acontest with other parties But we are not competing with theaim of making sure we crush the opposition Rather we areaiming to do the best we can for ourselves Using this philoso-phy we are less interested in the sporting aim of competing andmore interested in looking out for ourselves In negotiation youwant to do well for yourself but not because you want to beatsomeone else Effective negotiation is held in its proper contextas a mechanism for pursuing interests

Your dealings with customersmdashor suppliers neighbors or rel-ativesmdashshould not be viewed as competitions We negotiate withpeople to reach an agreement that meets as many of the partiesrsquointerests as possible Our fundamental obligation is to pursue ourown interests assuming that the other parties are doing theirbest to get their interests met We need to remember howeverthat if the negotiating parties arenrsquot satisfied with the process aswell as with the result odds are that the promises constituting



the agreement wonrsquot be fulfilled Negotiation based on individualinterests requires that we open our minds and our strategizing toother partiesrsquo interests as well as our own The definition ofnegotiation can now be expanded to describe how parties tradethings of value in a civilized manner

Types of NegotiationPeople usually view negotiation as either confrontational orcooperative People who view negotiation as a confrontation seethe process as a zero-sum game in which a limited number ofbargaining chips are to be wonmdashand they want to be the win-ners The confrontational winner-take-all approach reflects amisunderstanding of what negotiation is all about and is short-sighted Once a confrontational negotiator wins the other partyis not likely to want to deal with that person again

Cooperative-approach negotiators see a wide range of inter-ests to be addressed and served They understand that negotia-tion is not a zero-sum game but a way to create value for all theparties involved The cooperative negotiator understands theimportance of all stakeholders winning somethingmdashthis is howyou build long-term mutually beneficial relationships

The cooperative approach is known as interest-based negoti-ation Interest-based negotiation is particularly effective in amarketplace characterized by diversity We often need to reachagreement with people who are different from usmdashculturallyethnically or economicallyIf we cannot get beyondthe differences they cancreate obstacles to agree-ment To do this we needto focus on the interests ofthe parties instead of onthe partiesrsquo differencesThose interests can formthe building blocks upon which agreement is based


Interest-based negotia-tion An approach to nego-tiation where the partiesfocus on their individual interests andthe interests of the other parties tofind a common ground for building amutually acceptable agreement


My Way or the HighwaySome people approach negotiation with an attitude that can becharacterized as ldquomy way or the highwayrdquo This occurs in a situ-ation where one person believes that he or she holds all thecards in a negotiation If you want something from that personyou may have to give him something he really values

Think of your experiences in renting cars Automobile rentalcompanies have thought of all the answers they ask you tosign and initial the front of the contract in several places Theactual contract is on the back of the paper you sign generallyprinted in very small letters in extremely light ink If you want arental car you canrsquot negotiate the contract The rental companyhas adopted a position from which they will not budge There isno clearer example of the ldquomy way or the highwayrdquo approach

Hazards of Adopting aPositionIn negotiations betweenparties who each havesome power to influencethe results (the usual typeof negotiation) the crucialthing to remember is thattaking a position limitsyour capacity to bargain A


Irsquom Good Yoursquore GoodWhen you brush your teeth in the morning do you see aldquogoodrdquo or ldquobadrdquo person in the mirror Unless therersquos some-

thing extraordinary about you you probably see a good person It isimportant to remember that the other parties with whom you will benegotiating likely see ldquogoodrdquo people in their mirrors as well If all par-ties undertaking negotiation see themselves as good people it makessense for them to treat one another with that understanding If youapproach a deal-making process as an opportunity to crush the oppo-sition you are choosing to beat up on someone who views himself asa good person

Position This is the finalanswer to the question

ldquoWhat do you wantrdquo It canbe okay to start with a position in anegotiation but unless you under-stand the interests behind your posi-tion and are open to alternativeapproaches you are likely to findyourself stuck in a corner you cannotescape without losing face


position is a partyrsquos answer to the question ldquoWhat do you wantrdquoIf you adopt a position from which you will not budge you runthe risk of losing face if you have to back down from theapproach you are using

Investigating Your InterestsThe more effective route to achieving an acceptable conclusionto a negotiation is to look at the interests of the parties Yourinterest is the answer to the question ldquoWhy do you want (a par-ticular result)rdquo A problem arises when you ask the ldquowhyrdquo ques-tion Your response may be a justification of a partyrsquos positionrather than an explanation of the interest that needs to be metIf the response to ldquoWhy do you want itrdquo is ldquoBecause it is in thecompanyrsquos best interestrdquoyour answer justifies aposition but does not reallyexplain the interests thatunderlie it To move pastjustification to learn whichinterests are at the core ofwhy someone wants some-thing you need to askHow will that approachaccomplish what you arelooking for or If we agreeto do that what goal ofyours will it satisfy

Understanding Our Own InterestsOne of the most difficult things to do is to understand our owninterests Since you and I tend to think that we are each agood person it is easy tofall into the trap of thinkingldquoIf I want it it must be thebest answerrdquo However youneed to ask yourselfmdashand


Positions and interestsOur positions can bethought of as what we wantour interests reflect what we need

Working withDeadlines

Letrsquos say you are told that ajob has to be accomplished by a cer-tain time If you think the deadlinethreatens whether the job can bedone as well as it should to yield thebest results for your division youneed to go beyond the justification ofthe deadline of the person withwhom yoursquore negotiating and look atthe interests the deadline is intendedto serve


this can be toughmdashwhether the way you want to do something isreally the best approach or whether taking another partyrsquos viewsinto account might lead to even better resultsmdashor results that arebetter given that there are other people involved not just yourself

If we are making a retail purchase and have done a thor-ough job of research we know which model of refrigerator ortelevision we want to buy That becomes our position If onestore doesnrsquot have what we want we look for a store that doesalthough this may be time consuming If what yoursquore looking forisnrsquot readily available the cost of the search may outweigh thebenefits of sticking to your position

In most negotiations focusing on interests will make an enor-mous difference in the outcome In buying the refrigerator forexample your interests may include a certain size color andshelving flexibility Through your research you find one modelthat meets your criteria but there may be others that meet yourcriteria equally well or even better By looking at your interestsmdashthe benefits you expect to derive from achieving your negotiatinggoalmdashrather than at one specific outcome and then keeping anopen mind with regard to how you might take care of your inter-ests yoursquore likely to discover there is more than one way to skinthe proverbial cat Letrsquos explore this point further

What Difference Does It Make to DistinguishBetween Interests and PositionsDistinguishing between interests and positions is a critical firststep in understanding the negotiation process If we can deter-mine whether we and the other parties are undertaking interest-based negotiation or positional bargaining we have a cleareridea of what is happening among us When we use interests asthe points from which we and the other parties are attemptingto reach an agreement everyone has greater flexibility in thedecision-making process This additional freedom provides theopportunity to think out of the box to bring creativity to theprocess and as a consequence to reach an agreement thatwill really work



Using the interest-basedapproach rather than posi-tional bargaining puts thenegotiation process on adifferent footing The fact isthat most of the time weare negotiating with peoplewersquove negotiated with onprevious occasionsKnowing that the smartthing is to treat each nego-tiation as an episode in anongoing relationship Usingthe interest-based approach is the best way to make sure thathappens And if yoursquore dealing with someone for the first timethe interest-based approach is the approach that will most likelyhelp assure further deals in the future

Besides exploring your interests you need to prioritize themFor example if you want to buy a car to commute to workfocusing on finding a model that will get good gas mileage andthat will be easy to park may be a lot more important as aninterest than whether the radio has four or six speakers Peoplewho take the positional approach and make every element ontheir list of wants equally important will find it more difficult tofind what theyrsquore looking for or to figure out on which thingsthey might be able to compromise

Focusing on interestsalso helps us overcomepotential obstacles toagreement that arise fromdifferences between peopleWhether it is an English-man negotiating with some-one from Italy a womantrying to sell an idea to aman or a parent dealing


Positions LimitChoices

A position reduces thenumber of choices a party can makeIf Charlie is unwilling to bargain orconsider possible alternatives to theposition Jackie has adopted it reducesthe choices available to JackieTakinga positional approach means you canrsquotchange your mind without risking los-ing credibility in the negotiationThatrsquoswhy taking a position is usually not agood way to negotiate

Analyze the ProcessUnderstanding the negotia-tion process provides youwith a critical tool By giving you aldquoscientificrdquo or analytical way of figuringout whatrsquos going on it helps you avoidthe pitfall of letting your emotions getin the way of your good sense as youengage in the negotiation


with a child cultural and experiential differences (along with indi-vidual preferences) can be challenging Recognizing our owninterests and as much as we can those of our negotiation coun-terpart helps us navigate past potential obstacles to agreement

How Do You Deal with Positional BargainersLetrsquos say yoursquore dealing with a positional bargainer What doyou do Itrsquos all well and good to approach joint decision-makingefforts from an interest-based perspective However many peo-ple do not understand or do not accept the idea that while one-sided negotiations may yield short-term gains they create therisk of long-term losses

There are a variety of ways of dealing effectively with posi-tional bargainers Just as many Asian martial arts teach us tolet others defeat themselves by allowing us to use their ownstrength to our advantage in negotiation it is possible torespond effectively to heavy-handedness with a light touchWhen people let off steam by shouting or using strong lan-guage it is critical not to answer with the same sort of outburstYou can compare it to two waves heading toward each other Ifthey meet the water becomes even more turbulent If you thinkof yourself as able to control one of the waves by making itduck under the onrush of the other wave the water smooths

down after the wave haspassed

If you are negotiatingwith someone who comesup with an outrageous orunacceptable proposalrather than trying to con-vince him by yelling evenlouder it can be extremelyeffective to respond withsilence Sit there with apoker face and donrsquotbetray any emotion


Let Them VentWhen people get highlyemotionalmdashfor example

when a young child throws atantrummdashthe wisest thing to do is letthe youngster ventilate his emotionswithout trying to control him Once aperson has spouted off heart rateand breathing rate tend to slowdownThe individual becomes calmerphysically and generally more openpsychologically to alternative ideas


People tend to reflect a bit more when theyrsquore met with silenceTheyrsquore likely to ask themselves ldquoWhat did I say What did I dothat offended himrdquo

Employees are often confronted with demands made bytheir boss If you feel that the bossrsquos idea is inappropriate inyour situation ask ldquoHow do you think dealing with this situationin this way will impact our long-term relations with the clientrdquo

Donrsquot ask questions that allow for a yes or no answermdashaskfor explanations If yoursquove been told to sell a deal that you donrsquotfeel right about to a client or supplier itrsquos perfectly appropriateto tell your boss ldquoI want to do this job right If you were mehow would you sell this approach to the other siderdquo

Fundamentally when yoursquore up against a positional bargain-er who canrsquot accept any alternatives to his or her ideas ratherthan attacking the ideasmdashwhich may be taken as a personalattackmdashtry to learn what interests underlie their position Byfinding out what folks are really trying to achieve you develop abetter sense of how to present alternatives that will respond totheir most important interests

If you are in a salary negotiation for example learn howsignificant the various elements of a compensation packagemay be to an employer oran employee If you askquestions about suchissues as tax considera-tions shares of equityownership in the companyvacation time flexiblehours indications of howimportant a particular out-come may be to a partyrsquosego or whether there arenon-financial elementseither party finds important you may find one or more ways tobreak an apparent deadlock


Dealing with BulliesIf you are negotiating withsomeone who is acting like a bullykeep in mind that bullies are afraid offailure If you sayldquoI am afraid we mayfail to reach agreementrdquo there is agood chance that the threat of jointfailure will act as a wake-up call tothe bully who may immediatelychange his or her behavior


Is Money Really the InterestOften it seems that everything boils down to money We placeprices on things and on factors such as timely delivery or pay-ment up front It is important to recognize that just becausemoney may appear to be the main interest of most or all of thestakeholders in a negotiation donrsquot assume that money meansthe same thing to each of them As far as I know there is onlyone person in the world to whom money has an intrinsicvaluemdashthe Walt Disney character Uncle Scrooge For most ofus money represents a means to fulfilling interests for exam-ple buying a new car paying for your kidsrsquo college educationor as a measure of how much your employer values youMoney itself is not an interest rather it is a means to an end amechanism for helping us achieve interests and measure value

Therersquos an old saying in negotiation The first person tomention a dollar figureloses If that were trueyou and I could spendmonths going back andforth ldquoHow much are youchargingrdquo ldquoI donrsquot have afigure whatrsquos in yourbudgetrdquo ldquoThat dependson how much we have tospendrdquo ldquoWell I need toknow your price range sothat I can offer you theright productrdquo

In reality we need todecide for ourselves aheadof time what price makesthe most sense to us IfIrsquom negotiating my salaryand my research of themarket and my own needsindicate that I donrsquot want


How Can WeRecognize Interests

Recognizing interests is oneof the hardest parts of negotiationRecognizing our own interests is notonly challenging but also key to ourcapacity to negotiate intelligentlyAskyourself ldquoHow many ways are thereto achieve my objective and whatdesirable results do these alternativeshave in commonrdquo Finding commonthreads among desired results shouldhelp you understand more about yourinterests Another approach is to askldquoWhat would be the negative conse-quences to me if my goal is notachievedrdquo When you find those nega-tives turn them around into the miss-ing positive consequences to get aclearer picture of the interests yoursquorepursuing


less than $50000 a wise response to the query ldquoHow muchare you looking forrdquo is ldquoIrsquom thinking in the range of the low50srdquo This tells the boss that Irsquom looking for something between$50 and $55 thousand dollars My boss may feel good offering$51000 figuring shersquos saved $4000 on the payroll budget Orshe may respond by saying ldquoIrsquom thinking more of a figure inthe low 40srdquo Either way it gives us a range within which tonegotiate a figure we hope will lead to a mutually agreeableresult

Primary (Fundamental) and Secondary (Derivative)InterestsLetrsquos say I want a new car There are lots of reasons for choos-ing cars getting more reliable transportation than my old carimpressing my peers (or members of the opposite sex) copingwith the commute to a new job location or celebrating a majoraccomplishment Some of those reasons relate to solving prac-tical problemsmdashreliable transportation or commuting Othersrelate to my egomdashmaking an impression or celebrating anaccomplishment

If my most significant interests relate to transportation mycar search may lead in the direction of safety gas mileage orother practical considerations If my ego interests are at theforefront then perhaps Irsquoll be more concerned with the brandname model or how well equipped the car is


Fundamental or primary interests For any personengaged in a negotiation these are results that go to theheart of your needsWhere the results that serve your inter-ests come from is not important it is the centrality of their impor-tance to you that makes interests primary

Derivative or secondary interests These interests need to bemet before it is possible to address and satisfy your primary interestsIf your primary interest is to live a comfortable old age a derivativeinterest could be to make enough money to provide for that comfortAnother derivative interest that could precede comfort in your oldage is preserving your health as best you can


Rarely does a negotiation decision revolve around a singleinterest Generally there are fundamental or primary interestsand derivative or secondary interests Sometimes in order tosatisfy a fundamental interest the first thing we need to do isdeal with another derivative interest without which we cannotsatisfy the big one If I am buying a car for ego purposes I mayhave an interest in amassing sufficient funds and paying offexisting debts in order to be able to increase my capacity to buya fancier car Yet the same holds true if safe reliable transporta-tion is the underlying interest The more money I have availablethe greater the likelihood I can afford a car with more safetyfeatures or a better warranty

It is interesting in the example of a car purchase to see thatwhile the fundamental interestsmdashtransportation or egomdashmay bedifferent from each other the derivative interest may be thesame Improving your financial situation in order to afford a carthat serves your transportation or ego interests is important ineither situation Your interest in pursuing strategies relating tomoney may well lead you to undertake negotiations that havenothing to do with buying a car but unless you exert yourefforts in the direction of improving your financial status youare less able to undertake the negotiations with car dealers topursue your underlying primary interest

This relatively simple situation gives us a sense of howimportant it can be to prioritize interests to develop a reason-ably clear sense of what must be done to take us to the nextstep Letrsquos say that impressing your colleagues with a fancy carwill meet the fundamental interest of boosting your self-imageIn that case buying the right car is a derivative interestdesigned to help fulfill the fundamental interest However to ful-fill the derivative interest of getting the right car you have toimprove your financial picturemdashyet another derivative interestAnd if one of the ways to get into better financial shape is to geta raise at work therersquos yet another interest on your list In orderto get a raise do you have interests in getting a promotionbeing rewarded with a bonus for a particular achievement or



gaining recognition from your longevity on the job It is impor-tant to recognize that we often have to negotiate different thingswith different parties to satisfy secondary interests before we arein a situation where we can undertake negotiations focusedmore directly on our primary interests

As you can see while we have certain fundamental intereststhat underlie our negotiation activities we may have to strate-gize as if wersquore playing a game of billiardsmdashthinking severalmoves ahead and not just the immediate need to hit the 3-ballinto the side pocket When we comprehend the relative priorityof our interests it helps us develop longer-term strategies thatincrease the likelihood that our fundamental interests will beaddressed We need to understand what steps to takemdashand inwhat ordermdashto reach our interests Look behind each of yourinterests and figure out whether it is a fundamentalprimaryinterest or a derivativesecondary interest that needs to be metbefore you can pursue the primary one

Looking Beyond Our Personal InterestsWhen we negotiate we need to consider our own interests firstFocusing on our own interests helps protect us from developinga competitive mentality where we might sacrifice importantinterests in order to beat the ldquooppositionrdquo If we allow ourselvesto get carried away with beating the other guy we may losesight of our interests and make decisions that go against thoseinterests However our interests are not the only ones at play in


Constituents Parties whose interests are affected by ouractions particularly those who are depending on us to deliv-er For example these can include the boss other colleaguesat work or end-user customers

Approach Another term for a substantive element of a negotiationMy approach may be to sell the real estate to raise funds for the com-panyYour approach may be to sell off a division to raise those fundsIn each case we need to look at which approach offers more promisein light of the interests involved


negotiation We must give thought to the interests of our con-stituents the company our family or members of our team atwork Which interests of those constituencies are primary andwhich are secondary How do those interests influence theapproach we take in a given negotiation

If we make a promise that creates a hardship for our col-leaguesmdashfor example promising delivery far faster than is realis-ticmdashwe can get into trouble While this does not mean we shouldbe paranoid negotiators looking over our shoulder all the timeknowing that other groups have a stake in the outcome of ournegotiation helps put things in context gives us a broader per-spective and increases the likelihood that wersquoll reach an agree-ment that comports well with the interests of our constituents

In addition to looking at our constituentsrsquo interests we needto pay careful attention to the interests of parties with whom weare negotiating Learning what their interests are can help uscraft a solution that makes for a successful negotiation Letrsquoslook at the automobile purchase example If we know we areselling to someone to whom ego issues are more significantthan transportation that helps us understand what perspectivewill help them make their decision The knowledge will help usdo a better job and more than likely make a better deal Oursales pitch in those circumstances should focus on things like

power appearance or the characteristics of people


Listen to Their Answers to Your QuestionsUnderstanding our own interests may well be something we

can do by ourselves Getting a handle on the interests of ourconstituents our negotiating partner and our partnerrsquos constituenciesrequires serious information gatheringWe must ask questions to learnabout other partiesrsquo interests More important when we ask questionswe have to listen to the answersTo use an analogy when someonehands you their business card it is considered good manners to readeach line of it before you slip it into your pocket It shows that youare paying attention and taking the person seriouslyThe same is truein asking questions in negotiation if your mind appears to wander asfolks give you answers you send a negative signal


buying the fancy cars we offer If transportation is the issue weare more likely to bring about a sale by focusing on fuel econo-my our service department and safety features

Similarly we must do our best to learn about the interests ofour negotiating partnerrsquos constituencies Those interests maydrive his decision and the more we comprehend his con-stituentsrsquo interests in our strategy and tactics the greater thelikelihood that the agreement we reach will provide our negotia-tion partner something to bring back to whomever he considersthe powers that be

The Three Crsquos of Interests

People often fool themselves into thinking that the objective ofinterest-based negotiation is to reach agreement on commoninterests Common interests can be described as interests inwhich each party has thesame reasons for wantingthe same results While it iscertainly possible to findcommon interests throughthe negotiation processmore often than not we andour negotiation partnersreach agreement becausethe interests met by thesolution that is achieved arecomplementary

Complementary inter-ests can work in tandemYou have your interests Ihave mine but we can pursue each partyrsquos interests by under-taking a single action or a group of related actions

Compromise Where Does It FitNotice that compromise is not listed among the Three Crsquos of inter-ests Compromise is a mechanism for meeting in the middle


Copyright copy 2001 Steven P Cohen All rights reserved

Common interests Thoseinterests shared by thenegotiating parties who wantthe same things for the same reasons

Complementary interests Thoseinterests that exist when the negoti-ating parties want the same resultbut because it will serve differentinterests

Conflicting interests Those inter-ests that exist when one or morenegotiatorsrsquo interests are in opposi-tion to interests of other negotiators


requiring each party to give up an equivalent portion of theirobjectives in order to arrive at an agreement Compromise tendsto be most effective when the currency of the bargaining is limit-ed The currency of the bargaining is the range of assets that maybe traded among the negotiating parties Thus when moneyalone is the issue that divides the partiesmdashsay I am asking you

for $20 and you are offer-ing to pay $10 for anitemmdashsplitting the differ-ence and settling on aprice of $15 requires eachof us to give up the sameamount ($5)


Common

Complementary

Conflicting

Figure 1-1 The three Crsquos of interests illustrated

Confidence-buildingmeasures Activities

undertaken by negotiatingparties to increase their confidence intheir ability to depend on or trustone another


Sometimes we discover the partiesrsquo interests are in conflictThey have nothing in common and there do not appear to becomplementary interests that will make it easy to reach anagreement

When it appears that interests are in conflict negotiatorshave to weigh their options and determine whether itrsquos in theirinterest to undertake or continue negotiations with a specificother party or whether it is better to look for another solutionOften there is no realistic alternative the problem needs to beaddressed by parties who on the surface and perhaps evendeeper have conflicting interests as they relate to the problem athand Utilizing confidence-building measures (defined in detaillater) reducing the issues under consideration to small buildingblocks or using questioning and listening techniques to build arelationship can help reduce the challenges conflicts create

When Interests ConflictIf you have no choice but to try to reach agreement with a partywhose interests conflict with yours build the possibility of agree-ment from the ground up Look for small things about which youcan agreemdashthe time and place yoursquoll meet what items belongon the agenda and the order in which they should be discussedthe interests you and the others may share in an irrelevant topic


Complementary InterestsOne of the classic examples used in negotiation books andtraining courses to illustrate how finding complementaryinterests can lead to a mutually agreeable solution is often referred toas the Orange StoryTwo folks are dickering over which of them getsone or more orangesmdashdepending on the story In each version one ofthe people wants the orange juice and the other wants the orangerind Sometimes the juice and rind are both to be used in eating orcooking sometimes the two parts of the orange are needed to pro-duce chemical or biological products that are highly valuableThe bot-tom line of each version of the Orange Story is that the parties havecomplementary interests If I get the juice and you get the rind we canshare the orange rather than fight over who wins


such as sports politics or food For example perhaps a firstmdashorearlymdashmeeting should take place at an ethnic restaurant where itis normal for diners to order and share entrees

Make a serious effort to examine the issues that need to beresolved and look for small elements about which you and yournegotiation partner donrsquot disagree It can be helpful to spendtime agreeing on language that describes the problem on possi-ble resolutions that you both agree make no sense or on short-term fixes to minor elements of the problem that each partyfinds acceptable In international diplomacy these approachesare often called confidence-building measures The parties to aconflict need to develop confidence in each other before theycan work together in a collaborative cooperative way to reachan agreement The partiesrsquo confidence in one another can beincreased as they reach agreements on logistical matters suchas the date and time of the negotiation elements to be includedin the agenda or the shape of the bargaining table

Reducing the substance of the problem to small units or uti-lizing confidence-building measures may fail to bring about aquick resolution particularly to a long-standing conflictHowever such efforts can lay the groundwork for a reduction inthe emotional level of the conflict and help the negotiating par-ties develop a civilized way for communicating with each otherThe problem most likely will not simply go away without furthereffort In the Tao Te Ching Lao Tzu tells us ldquoThe journey of1000 miles begins with the first steprdquo This is a useful observa-tion and can help us on the route to reducing the barrier of con-flicting interests that may make reaching agreement appearimpossible For unless we start we cannot finish

Managerrsquos Checklist for Chapter 1 A negotiation is only successful when it yields true buy-in

from the parties Successful negotiations yield mutualagreement in which each party is committed to fulfillinghis or her promises



Negotiation is like weaving By drawing upon contributionsfrom more than one source of ideas or assets it yields afabric that has greater durability than an agreement thathas only drawn its ideas from one side

Positional bargaining the ldquomy way or the highwayrdquoapproach locks a negotiator into a situation in which hewill risk losing face if he backs down from what he hasstated he wants

Interest-based negotiation focuses on the underlying rea-sons behind each negotiatorrsquos objectives Opening yourselfto considering how other partiesrsquo ideas may serve yourinterests as well asmdashor better thanmdashyour initial ideaincreases the likelihood you will gain from the process

Focusing on interests can help negotiators overcome orget around obstacles presented by cultural differences

Understanding and focusing on your own interests canhelp you overcome the instinct to treat negotiation as acompetition between the parties

In analyzing your interests as well as the interests of oth-ers figure out which interests are primary and which takea secondary role Sometimes you have to address second-ary interests before it is possible to deal effectively withprimary interests Understanding this helps develop aneffective negotiation strategy

Negotiation can include multiple stakeholders not just theface-to-face negotiators

While money often seems to be the most common interestamong the negotiators remember that it means differentthings to different people It can help achieve very differentinterestsmdashand sometimes those interests are even betterserved when something other than money is the solutionabout which the parties agree

Remember the Three Crsquos of interests CommonComplementary and interests that are in Conflict Most



successful negotiations end up with solutions that serveComplementary interests

When conflict exists it often takes confidence-buildingmeasures to increase the capacity of the parties to negoti-ate with one another






Wersquore sorry but this material is not available in this excerpt If you want more information

about this book or would like to purchase it please click here

Copyright

Contents

Preface

Plan of the Book

Special Features

Acknowledgments

About the Author

1 Competitive Versus Collaborative Decision Making

What Is Negotiation

What Negotiation Is Not

Types of Negotiation

My Way or the Highway

Hazards of Adopting a Position

Investigating Your Interests

Understanding Our Own Interests

What Difference Does It Make to Distinguish Between Interests and Positions

How Do You Deal with Positional Bargainers

Is Money Really the Interest

Primary (Fundamental)and Secondary (Derivative) Interests

Looking Beyond Our Personal Interests

The Three C rsquos of Interests

CompromiseWhere Does It Fit

When Interests Conflict

Manager rsquos Checklist for Chapter 1

2 BATNA mdashChoosing Whether to Walk Away

Making Choices

Balance of Power

Understanding Our BATNA Offers Choices

What Is Our Walking-in BATNA

Does BATNA Ever Change

The Dynamic BATNA

BATNA Is Not the Bottom Line

Elements of BATNAs

Deadlines

Alternatives

Your Own Resources

Other Parties rsquoResources

Information

Experience

Interests

Knowledge

Strengthening and Weakening BATNAs

Assumptions


3 Are We Ready Inoculation Protects the Parties

Substantive InoculationKnowing the Subject

In Negotiationthe Past Has No Future

Selling the Product to the Salesperson

Goals of Inoculation

Inoculation as a Tool for Improving Your BATNA

What Information Do We Need About Ourselves

What Information Do We Need About Other Parties

Preparing for Negotiation on Your Own

Active Listening

Responding to What We Learn

The Power of Silence

Inoculation Includes Process as Well as Substance

Agendas

Internal and External Inoculation

Internal Inoculation

External Inoculation

The Bottom Line

When Inoculation Is Impossible


4 Preparation Part OneStakeholders Constituentsand Interests

Shooting from the Hip

Unplanned Negotiations

Surprises

What Does Preparation Mean

Looking Inside Yourself

Understanding the Subject Matter

Internal Negotiations

Preparing Other Parties

Preparing for the Process

Preparing on the SubstanceSubject Matter of the Negotiation

Juggling Conflicting Agendas


Reasons to Prepare for Negotiation


5 Preparation Part TwoDeveloping a Strategy Using Interest Mapping

Making Assumptions

Interested Parties

Stakeholders

Create Your Interest Map

Record Your Assumptions About Stakeholders rsquo Interests

Don rsquot Go It Alone

Low-Cost Solutions

A Timeline for Interest Mapping

How to Use Interest Maps

Using Your Interest Map in Negotiation

Be Prepared for Hot Buttons

Donut Hole Interest Maps

After the Negotiation

Be Prepared


6 Communication Key to Effective Negotiating

Preparation Put to Use

Communicating to Influence

Active Listening

Pay Attention

Control Yourself and Learn from Others

Ask Questions


Do I Understand You Correctly

The Obligation of Reciprocity

Get on the Same Page

Friendly Silence

When Another Party Over-Communicates

Communicating with Difficult People

Reframing

What Is Your Point

Communicating Information


7 EmotionsDealing with Ourselves and Others

Do Emotions Belong in Negotiation

Recognizing and Prioritizing Emotions

Surprise

Are You Negotiating to Solve a Problem or Have a Fight

Confidence-Building Measures

Only One Person Can Get Angry at a Time

Reacting to Emotional Outbursts

De-escalation

Healing Relationships

Dealing with Difficult People

Bullies

Expressing Emotions Is Not Bad Negotiating


8 Dealing with Annoyance and Leveling the Playing Field

Myths

The First Person to Name a Price Loses

Only Tough Negotiators Win

Putting the Other Party on the Defensive Through Interrogation

Responding to Macho Negotiation Tactics

Psychological Games

Giving or Taking Offense

Controlling the Board

Physical Set-Up

Building Confidence in Your Counterpart

I Understand YouBut That Doesn rsquot Mean I Agree with You

Expectations

High-BallLow-Ball

Early Wins Can Be Traded Away Later

Level Playing Field


9 Globalism Starts at HomeCross- Cultural Issues

Nationality Is Not the Only Difference

Internal Negotiation

Bringing Tribes Together

You Can rsquot Tell a Book by Its Cover

Pigeonholing

Negotiation Choreography

When Yes Means No

Offense as a Cultural Barrier

Overcoming Cultural Obstacles

Deriving Information to Overcome Cultural Barriers

How Not to Handle Cultural Dissonance

Can I Depend on Them

Don rsquot Get Hung Up on Style


10 Creativity and Bargaining Chips

Single-Issue Negotiating

Multi-Issue Negotiations

The Value Creation Curve

Value Versus Price

Don rsquot Dictate Value

Separating People from the Problem


Check the Appeal of Creative Elements mdashOne by One

Don rsquot Hog the Credit

Confirming Mutual Understanding

Open Your Mind and Expand the Possibilities


11 The Negotiation Process

Agenda Setting

Sharing the Agenda-Building Process

You Can rsquot Tell the Players Without a Scorecard

The AgendaFirst Draft of the Agreement

Using the Agenda as a Process for Benchmarking

Building Confidence and Comfort

Utilizing Your Interest Map

Bargaining

Is Everything Open to Bargaining

If Then

Building Long-Term Commitment

Objective Criteria

ZOPA

Expectations and Concessions

Compromise

Collaboration

Multitasking

It rsquos Not Over Until It rsquos Over

Not Rocket Science


12 The Seven Pillars of Negotiational Wisdom

Paying Attention to Priorities

Relationship

Business to Business

Sales and Purchasing

Personal and Close Colleagues


Interests

Questions to Ask Yourself

Understanding Others rsquoInterests

BATNA

Creativity

More for AllThe Value Creation Curve

Fairness

Market and Cultural Standards

Commitment

Monitoring Fulfillment

Communication

Transparency

Foundation of the Seven Pillars


Index


Managers


























A

Briefcase

Book






0-07-141545-9
































or otherwise

DOI 1010360071387579





Contents

Preface xi





v







Contentsvi








Contents vii






Contentsviii




Index 189

Contents ix



Preface






xi



Prefacexii








Preface xiii








Prefacexiv








About the Author xv





Managers







1


1

































































































































Common

Complementary

Conflicting






































Copyright

Contents

Preface

Plan of the Book

Special Features

Acknowledgments

About the Author


What Is Negotiation

















Making Choices

Balance of Power




The Dynamic BATNA


Elements of BATNAs

Deadlines

Alternatives

Your Own Resources


Information

Experience

Interests

Knowledge


Assumptions











Active Listening




Agendas




The Bottom Line






Surprises













Making Assumptions

Interested Parties

Stakeholders




Low-Cost Solutions







Be Prepared





Active Listening

Pay Attention


Ask Questions





Friendly Silence



Reframing

What Is Your Point






Surprise





De-escalation



Bullies




Myths





Psychological Games



Physical Set-Up



Expectations

High-BallLow-Ball


Level Playing Field







Pigeonholing


When Yes Means No












Value Versus Price










Agenda Setting







Bargaining


If Then


Objective Criteria

ZOPA


Compromise

Collaboration

Multitasking


Not Rocket Science




Relationship





Interests



BATNA

Creativity


Fairness


Commitment


Communication

Transparency



Index

























A

Briefcase

Book






0-07-141545-9
































or otherwise

DOI 1010360071387579





Contents

Preface xi





v







Contentsvi








Contents vii






Contentsviii




Index 189

Contents ix



Preface






xi



Prefacexii








Preface xiii








Prefacexiv








About the Author xv





Managers







1


1

































































































































Common

Complementary

Conflicting






































Copyright

Contents

Preface

Plan of the Book

Special Features

Acknowledgments

About the Author


What Is Negotiation

















Making Choices

Balance of Power




The Dynamic BATNA


Elements of BATNAs

Deadlines

Alternatives

Your Own Resources


Information

Experience

Interests

Knowledge


Assumptions











Active Listening




Agendas




The Bottom Line






Surprises













Making Assumptions

Interested Parties

Stakeholders




Low-Cost Solutions







Be Prepared





Active Listening

Pay Attention


Ask Questions





Friendly Silence



Reframing

What Is Your Point






Surprise





De-escalation



Bullies




Myths





Psychological Games



Physical Set-Up



Expectations

High-BallLow-Ball


Level Playing Field







Pigeonholing


When Yes Means No












Value Versus Price










Agenda Setting







Bargaining


If Then


Objective Criteria

ZOPA


Compromise

Collaboration

Multitasking


Not Rocket Science




Relationship





Interests



BATNA

Creativity


Fairness


Commitment


Communication

Transparency



Index





A

Briefcase

Book






0-07-141545-9
































or otherwise

DOI 1010360071387579





Contents

Preface xi





v







Contentsvi








Contents vii






Contentsviii




Index 189

Contents ix



Preface






xi



Prefacexii








Preface xiii








Prefacexiv








About the Author xv





Managers







1


1
























Cohen01aqxd 11102 1006 AM









































































































Common

Complementary

Conflicting






































Copyright

Contents

Preface

Plan of the Book

Special Features

Acknowledgments

About the Author


What Is Negotiation

















Making Choices

Balance of Power




The Dynamic BATNA


Elements of BATNAs

Deadlines

Alternatives

Your Own Resources


Information

Experience

Interests

Knowledge


Assumptions











Active Listening




Agendas




The Bottom Line






Surprises













Making Assumptions

Interested Parties

Stakeholders




Low-Cost Solutions







Be Prepared





Active Listening

Pay Attention


Ask Questions





Friendly Silence



Reframing

What Is Your Point






Surprise





De-escalation



Bullies




Myths





Psychological Games



Physical Set-Up



Expectations

High-BallLow-Ball


Level Playing Field







Pigeonholing


When Yes Means No












Value Versus Price










Agenda Setting







Bargaining


If Then


Objective Criteria

ZOPA


Compromise

Collaboration

Multitasking


Not Rocket Science




Relationship





Interests



BATNA

Creativity


Fairness


Commitment


Communication

Transparency



Index





0-07-141545-9
































or otherwise

DOI 1010360071387579


DOI 5x835 91802 154 PM Page 1



Contents

Preface xi





v







Contentsvi








Contents vii






Contentsviii




Index 189

Contents ix



Preface






xi



Prefacexii








Preface xiii








Prefacexiv








About the Author xv





Managers







1


1

































































































































Common

Complementary

Conflicting






































Copyright

Contents

Preface

Plan of the Book

Special Features

Acknowledgments

About the Author


What Is Negotiation

















Making Choices

Balance of Power




The Dynamic BATNA


Elements of BATNAs

Deadlines

Alternatives

Your Own Resources


Information

Experience

Interests

Knowledge


Assumptions











Active Listening




Agendas




The Bottom Line






Surprises













Making Assumptions

Interested Parties

Stakeholders




Low-Cost Solutions







Be Prepared





Active Listening

Pay Attention


Ask Questions





Friendly Silence



Reframing

What Is Your Point






Surprise





De-escalation



Bullies




Myths





Psychological Games



Physical Set-Up



Expectations

High-BallLow-Ball


Level Playing Field







Pigeonholing


When Yes Means No












Value Versus Price










Agenda Setting







Bargaining


If Then


Objective Criteria

ZOPA


Compromise

Collaboration

Multitasking


Not Rocket Science




Relationship





Interests



BATNA

Creativity


Fairness


Commitment


Communication

Transparency



Index




Contents

Preface xi





v







Contentsvi








Contents vii






Contentsviii




Index 189

Contents ix



Preface






xi



Prefacexii








Preface xiii








Prefacexiv








About the Author xv





Managers







1


1

































































































































Common

Complementary

Conflicting






































Copyright

Contents

Preface

Plan of the Book

Special Features

Acknowledgments

About the Author


What Is Negotiation

















Making Choices

Balance of Power




The Dynamic BATNA


Elements of BATNAs

Deadlines

Alternatives

Your Own Resources


Information

Experience

Interests

Knowledge


Assumptions











Active Listening




Agendas




The Bottom Line






Surprises













Making Assumptions

Interested Parties

Stakeholders




Low-Cost Solutions







Be Prepared





Active Listening

Pay Attention


Ask Questions





Friendly Silence



Reframing

What Is Your Point






Surprise





De-escalation



Bullies




Myths





Psychological Games



Physical Set-Up



Expectations

High-BallLow-Ball


Level Playing Field







Pigeonholing


When Yes Means No












Value Versus Price










Agenda Setting







Bargaining


If Then


Objective Criteria

ZOPA


Compromise

Collaboration

Multitasking


Not Rocket Science




Relationship





Interests



BATNA

Creativity


Fairness


Commitment


Communication

Transparency



Index




Contentsvi








Contents vii






Contentsviii




Index 189

Contents ix



Preface






xi



Prefacexii








Preface xiii








Prefacexiv








About the Author xv





Managers







1


1

































































































































Common

Complementary

Conflicting






































Copyright

Contents

Preface

Plan of the Book

Special Features

Acknowledgments

About the Author


What Is Negotiation

















Making Choices

Balance of Power




The Dynamic BATNA


Elements of BATNAs

Deadlines

Alternatives

Your Own Resources


Information

Experience

Interests

Knowledge


Assumptions











Active Listening




Agendas




The Bottom Line






Surprises













Making Assumptions

Interested Parties

Stakeholders




Low-Cost Solutions







Be Prepared





Active Listening

Pay Attention


Ask Questions





Friendly Silence



Reframing

What Is Your Point






Surprise





De-escalation



Bullies




Myths





Psychological Games



Physical Set-Up



Expectations

High-BallLow-Ball


Level Playing Field







Pigeonholing


When Yes Means No












Value Versus Price










Agenda Setting







Bargaining


If Then


Objective Criteria

ZOPA


Compromise

Collaboration

Multitasking


Not Rocket Science




Relationship





Interests



BATNA

Creativity


Fairness


Commitment


Communication

Transparency



Index







Contents vii






Contentsviii




Index 189

Contents ix



Preface






xi



Prefacexii








Preface xiii








Prefacexiv








About the Author xv





Managers







1


1

































































































































Common

Complementary

Conflicting






































Copyright

Contents

Preface

Plan of the Book

Special Features

Acknowledgments

About the Author


What Is Negotiation

















Making Choices

Balance of Power




The Dynamic BATNA


Elements of BATNAs

Deadlines

Alternatives

Your Own Resources


Information

Experience

Interests

Knowledge


Assumptions











Active Listening




Agendas




The Bottom Line






Surprises













Making Assumptions

Interested Parties

Stakeholders




Low-Cost Solutions







Be Prepared





Active Listening

Pay Attention


Ask Questions





Friendly Silence



Reframing

What Is Your Point






Surprise





De-escalation



Bullies




Myths





Psychological Games



Physical Set-Up



Expectations

High-BallLow-Ball


Level Playing Field







Pigeonholing


When Yes Means No












Value Versus Price










Agenda Setting







Bargaining


If Then


Objective Criteria

ZOPA


Compromise

Collaboration

Multitasking


Not Rocket Science




Relationship





Interests



BATNA

Creativity


Fairness


Commitment


Communication

Transparency



Index





Contentsviii




Index 189

Contents ix



Preface






xi



Prefacexii








Preface xiii








Prefacexiv








About the Author xv





Managers







1


1

































































































































Common

Complementary

Conflicting






































Copyright

Contents

Preface

Plan of the Book

Special Features

Acknowledgments

About the Author


What Is Negotiation

















Making Choices

Balance of Power




The Dynamic BATNA


Elements of BATNAs

Deadlines

Alternatives

Your Own Resources


Information

Experience

Interests

Knowledge


Assumptions











Active Listening




Agendas




The Bottom Line






Surprises













Making Assumptions

Interested Parties

Stakeholders




Low-Cost Solutions







Be Prepared





Active Listening

Pay Attention


Ask Questions





Friendly Silence



Reframing

What Is Your Point






Surprise





De-escalation



Bullies




Myths





Psychological Games



Physical Set-Up



Expectations

High-BallLow-Ball


Level Playing Field







Pigeonholing


When Yes Means No












Value Versus Price










Agenda Setting







Bargaining


If Then


Objective Criteria

ZOPA


Compromise

Collaboration

Multitasking


Not Rocket Science




Relationship





Interests



BATNA

Creativity


Fairness


Commitment


Communication

Transparency



Index



Index 189

Contents ix



Preface






xi



Prefacexii








Preface xiii








Prefacexiv








About the Author xv





Managers







1


1

































































































































Common

Complementary

Conflicting






































Copyright

Contents

Preface

Plan of the Book

Special Features

Acknowledgments

About the Author


What Is Negotiation

















Making Choices

Balance of Power




The Dynamic BATNA


Elements of BATNAs

Deadlines

Alternatives

Your Own Resources


Information

Experience

Interests

Knowledge


Assumptions











Active Listening




Agendas




The Bottom Line






Surprises













Making Assumptions

Interested Parties

Stakeholders




Low-Cost Solutions







Be Prepared





Active Listening

Pay Attention


Ask Questions





Friendly Silence



Reframing

What Is Your Point






Surprise





De-escalation



Bullies




Myths





Psychological Games



Physical Set-Up



Expectations

High-BallLow-Ball


Level Playing Field







Pigeonholing


When Yes Means No












Value Versus Price










Agenda Setting







Bargaining


If Then


Objective Criteria

ZOPA


Compromise

Collaboration

Multitasking


Not Rocket Science




Relationship





Interests



BATNA

Creativity


Fairness


Commitment


Communication

Transparency



Index


Preface






xi



Prefacexii








Preface xiii








Prefacexiv








About the Author xv





Managers







1


1

































































































































Common

Complementary

Conflicting






































Copyright

Contents

Preface

Plan of the Book

Special Features

Acknowledgments

About the Author


What Is Negotiation

















Making Choices

Balance of Power




The Dynamic BATNA


Elements of BATNAs

Deadlines

Alternatives

Your Own Resources


Information

Experience

Interests

Knowledge


Assumptions











Active Listening




Agendas




The Bottom Line






Surprises













Making Assumptions

Interested Parties

Stakeholders




Low-Cost Solutions







Be Prepared





Active Listening

Pay Attention


Ask Questions





Friendly Silence



Reframing

What Is Your Point






Surprise





De-escalation



Bullies




Myths





Psychological Games



Physical Set-Up



Expectations

High-BallLow-Ball


Level Playing Field







Pigeonholing


When Yes Means No












Value Versus Price










Agenda Setting







Bargaining


If Then


Objective Criteria

ZOPA


Compromise

Collaboration

Multitasking


Not Rocket Science




Relationship





Interests



BATNA

Creativity


Fairness


Commitment


Communication

Transparency



Index

Prefacexii








Preface xiii








Prefacexiv








About the Author xv





Managers







1


1

































































































































Common

Complementary

Conflicting






































Copyright

Contents

Preface

Plan of the Book

Special Features

Acknowledgments

About the Author


What Is Negotiation

















Making Choices

Balance of Power




The Dynamic BATNA


Elements of BATNAs

Deadlines

Alternatives

Your Own Resources


Information

Experience

Interests

Knowledge


Assumptions











Active Listening




Agendas




The Bottom Line






Surprises













Making Assumptions

Interested Parties

Stakeholders




Low-Cost Solutions







Be Prepared





Active Listening

Pay Attention


Ask Questions





Friendly Silence



Reframing

What Is Your Point






Surprise





De-escalation



Bullies




Myths





Psychological Games



Physical Set-Up



Expectations

High-BallLow-Ball


Level Playing Field







Pigeonholing


When Yes Means No












Value Versus Price










Agenda Setting







Bargaining


If Then


Objective Criteria

ZOPA


Compromise

Collaboration

Multitasking


Not Rocket Science




Relationship





Interests



BATNA

Creativity


Fairness


Commitment


Communication

Transparency



Index

Preface xiii








Prefacexiv








About the Author xv





Managers







1


1

































































































































Common

Complementary

Conflicting






































Copyright

Contents

Preface

Plan of the Book

Special Features

Acknowledgments

About the Author


What Is Negotiation

















Making Choices

Balance of Power




The Dynamic BATNA


Elements of BATNAs

Deadlines

Alternatives

Your Own Resources


Information

Experience

Interests

Knowledge


Assumptions











Active Listening




Agendas




The Bottom Line






Surprises













Making Assumptions

Interested Parties

Stakeholders




Low-Cost Solutions







Be Prepared





Active Listening

Pay Attention


Ask Questions





Friendly Silence



Reframing

What Is Your Point






Surprise





De-escalation



Bullies




Myths





Psychological Games



Physical Set-Up



Expectations

High-BallLow-Ball


Level Playing Field







Pigeonholing


When Yes Means No












Value Versus Price










Agenda Setting







Bargaining


If Then


Objective Criteria

ZOPA


Compromise

Collaboration

Multitasking


Not Rocket Science




Relationship





Interests



BATNA

Creativity


Fairness


Commitment


Communication

Transparency



Index

Prefacexiv








About the Author xv





Managers







1


1

































































































































Common

Complementary

Conflicting






































Copyright

Contents

Preface

Plan of the Book

Special Features

Acknowledgments

About the Author


What Is Negotiation

















Making Choices

Balance of Power




The Dynamic BATNA


Elements of BATNAs

Deadlines

Alternatives

Your Own Resources


Information

Experience

Interests

Knowledge


Assumptions











Active Listening




Agendas




The Bottom Line






Surprises













Making Assumptions

Interested Parties

Stakeholders




Low-Cost Solutions







Be Prepared





Active Listening

Pay Attention


Ask Questions





Friendly Silence



Reframing

What Is Your Point






Surprise





De-escalation



Bullies




Myths





Psychological Games



Physical Set-Up



Expectations

High-BallLow-Ball


Level Playing Field







Pigeonholing


When Yes Means No












Value Versus Price










Agenda Setting







Bargaining


If Then


Objective Criteria

ZOPA


Compromise

Collaboration

Multitasking


Not Rocket Science




Relationship





Interests



BATNA

Creativity


Fairness


Commitment


Communication

Transparency



Index




About the Author xv





Managers







1


1

































































































































Common

Complementary

Conflicting






































Copyright

Contents

Preface

Plan of the Book

Special Features

Acknowledgments

About the Author


What Is Negotiation

















Making Choices

Balance of Power




The Dynamic BATNA


Elements of BATNAs

Deadlines

Alternatives

Your Own Resources


Information

Experience

Interests

Knowledge


Assumptions











Active Listening




Agendas




The Bottom Line






Surprises













Making Assumptions

Interested Parties

Stakeholders




Low-Cost Solutions







Be Prepared





Active Listening

Pay Attention


Ask Questions





Friendly Silence



Reframing

What Is Your Point






Surprise





De-escalation



Bullies




Myths





Psychological Games



Physical Set-Up



Expectations

High-BallLow-Ball


Level Playing Field







Pigeonholing


When Yes Means No












Value Versus Price










Agenda Setting







Bargaining


If Then


Objective Criteria

ZOPA


Compromise

Collaboration

Multitasking


Not Rocket Science




Relationship





Interests



BATNA

Creativity


Fairness


Commitment


Communication

Transparency



Index



Managers







1


1

































































































































Common

Complementary

Conflicting






































Copyright

Contents

Preface

Plan of the Book

Special Features

Acknowledgments

About the Author


What Is Negotiation

















Making Choices

Balance of Power




The Dynamic BATNA


Elements of BATNAs

Deadlines

Alternatives

Your Own Resources


Information

Experience

Interests

Knowledge


Assumptions











Active Listening




Agendas




The Bottom Line






Surprises













Making Assumptions

Interested Parties

Stakeholders




Low-Cost Solutions







Be Prepared





Active Listening

Pay Attention


Ask Questions





Friendly Silence



Reframing

What Is Your Point






Surprise





De-escalation



Bullies




Myths





Psychological Games



Physical Set-Up



Expectations

High-BallLow-Ball


Level Playing Field







Pigeonholing


When Yes Means No












Value Versus Price










Agenda Setting







Bargaining


If Then


Objective Criteria

ZOPA


Compromise

Collaboration

Multitasking


Not Rocket Science




Relationship





Interests



BATNA

Creativity


Fairness


Commitment


Communication

Transparency



Index






1


1

































































































































Common

Complementary

Conflicting






































Copyright

Contents

Preface

Plan of the Book

Special Features

Acknowledgments

About the Author


What Is Negotiation

















Making Choices

Balance of Power




The Dynamic BATNA


Elements of BATNAs

Deadlines

Alternatives

Your Own Resources


Information

Experience

Interests

Knowledge


Assumptions











Active Listening




Agendas




The Bottom Line






Surprises













Making Assumptions

Interested Parties

Stakeholders




Low-Cost Solutions







Be Prepared





Active Listening

Pay Attention


Ask Questions





Friendly Silence



Reframing

What Is Your Point






Surprise





De-escalation



Bullies




Myths





Psychological Games



Physical Set-Up



Expectations

High-BallLow-Ball


Level Playing Field







Pigeonholing


When Yes Means No












Value Versus Price










Agenda Setting







Bargaining


If Then


Objective Criteria

ZOPA


Compromise

Collaboration

Multitasking


Not Rocket Science




Relationship





Interests



BATNA

Creativity


Fairness


Commitment


Communication

Transparency



Index































































































































Common

Complementary

Conflicting






































Copyright

Contents

Preface

Plan of the Book

Special Features

Acknowledgments

About the Author


What Is Negotiation

















Making Choices

Balance of Power




The Dynamic BATNA


Elements of BATNAs

Deadlines

Alternatives

Your Own Resources


Information

Experience

Interests

Knowledge


Assumptions











Active Listening




Agendas




The Bottom Line






Surprises













Making Assumptions

Interested Parties

Stakeholders




Low-Cost Solutions







Be Prepared





Active Listening

Pay Attention


Ask Questions





Friendly Silence



Reframing

What Is Your Point






Surprise





De-escalation



Bullies




Myths





Psychological Games



Physical Set-Up



Expectations

High-BallLow-Ball


Level Playing Field







Pigeonholing


When Yes Means No












Value Versus Price










Agenda Setting







Bargaining


If Then


Objective Criteria

ZOPA


Compromise

Collaboration

Multitasking


Not Rocket Science




Relationship





Interests



BATNA

Creativity


Fairness


Commitment


Communication

Transparency



Index


































Copyright

Contents

Preface

Plan of the Book

Special Features

Acknowledgments

About the Author


What Is Negotiation

















Making Choices

Balance of Power




The Dynamic BATNA


Elements of BATNAs

Deadlines

Alternatives

Your Own Resources


Information

Experience

Interests

Knowledge


Assumptions











Active Listening




Agendas




The Bottom Line






Surprises













Making Assumptions

Interested Parties

Stakeholders




Low-Cost Solutions







Be Prepared





Active Listening

Pay Attention


Ask Questions





Friendly Silence



Reframing

What Is Your Point






Surprise





De-escalation



Bullies




Myths





Psychological Games



Physical Set-Up



Expectations

High-BallLow-Ball


Level Playing Field







Pigeonholing


When Yes Means No












Value Versus Price










Agenda Setting







Bargaining


If Then


Objective Criteria

ZOPA


Compromise

Collaboration

Multitasking


Not Rocket Science




Relationship





Interests



BATNA

Creativity


Fairness


Commitment


Communication

Transparency



Index

business negotiating skills for managers management mba

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