• To compare/evaluate offers and proposals quickly and accurately
• Understand own strengths and weaknesses and compare to other parties’ strengths & weaknesses– Formulate arguments and counter arguments
• To consider alternatives, walk-away times
Planning for Negotiation
• Research shows that planning– Explored wider range of options–Worked harder to find common ground– Spent more time on long term consequences– Set a range of settlements
Why Planning?
Goals Strategy PlanningProcess
UnderstandingStages & Phases
Unpacking the process of planning
Goals
Specific, focused, realistic targets
Linked to other party’s goals (defines issue to settle)
Have limits
MeasurableCommunicating w/other party
Understanding other party
Comparing w/outcome
Definition of Goals
• Substantive Goals
• Intangible Goals– E.g., reputation, winning, establishing
relationship etc
• Procedural Goals– Setting a precedent
Types of Goals
• Wishes – unrealistic
• Interests– Reasons for goals
• Positions– Opening bid/target point
What are not goals?
• What is the goal?– In the movie, Travolta character, Washington
character– In the case, • the job applicant…• the manager
Applying Definition of Goal
Goals Strategy PlanningProcess
UnderstandingStages & Phases
What is the Strategy
•Plan to accomplish goal•action sequences
• Tactics– Short-term, dynamic– Specific behaviors • types of questions used, listening behaviors,
brainstorming options for mutual gain
• Strategy– have a future long term relationship with the
other party – guide tactics -
Strategy vs. Tactics
Substantive outcome of negotiation important?
Yes No
Relationship with other party important?
Yes Collaboration Accommodation
No Competition Avoidance
A Model to Understand Strategy
• Avoidance– Depends on how strong or weak the
alternatives are – • too strong, more efficient to avoid negotiation• Too weak, outcome may be too poor and
negotiator will feel obligated
• E.g., tenant
Types of Strategies:Non-engagement
Goals Strategy
UnderstandingStages & Phases
Preparation
Relationship Building
Information Gathering
Information Using
Bidding
Closing the deal
Implementing the agreement
Planning Process
Understanding Phases of Negotiation
Preparation
Relationship Building
Information Gathering
Information Using
Bidding
Closing the deal
Implementing the agreement
*Decide what is important
*Define goals
*Plan how to work w/other party
*Getting to know other party
*Identify similarities & differences^^
*Build commitment to achieve mutually beneficial outcomes
Make case for preferred outcomes to maximize own needs
*About things pertaining to own issues
*About Other party and their needs
*Feasibility of possible agreement
*Consequences of non-agreement
Initial, ideal position actual outcome
Commit to agreement made in ‘bidding phase’
*Decide who needs to do what after agreement
*Identify flaws and omitted issues
*If situation changed, deal with new questions that arise
StrategyPlanningProcess
Define Issues
Assemble Issues, Define Mix
Define Interests
Identify Limits & alternatives
Set targets
Assess Social Context of Negotiation
Analyze other party
Goals
UnderstandingStages & Phases
Present issues to other party
Protocol of Negotiation
Assemble Issues Define Mix
‘Valuate’ issues
Connections b/w issues
Identify Limits & Alternatives
Set targets
BATNA (define whether negotiated agreement is better than another possibility)
*Target point
*Specific, difficult but achievable, verifiable*Positive Thinking*Different ways of packaging issues*Trade-offs and Throwaways
Resistance point
*Opening Bid
*Range
Define Issues*Single, multiple, single multiple
*Identify previous experience in similar negotiations
*Research to gather info, consult with experts in area of issues
Define Interests Articulate the ‘why’ for issues
Substantive, process related, relationship based (select a strategy)
Assess social context of negotiation
Assess social contextOf negotiation
*Constituents
*Number of negotiators
Set targets
Analyze other party
Current Resources, Interests, NeedsObjectivesReputation/StyleOther’s BATNAOther’s AuthorityOther’s Strategy & Tactics
*Social Rules etc
Present issues to other party
*Supporting validated facts with argument*Refuting arguments of other party with counter arguments
Protocol of negotiation
AgendaLocationDurationThings to do if non agreementRecord of issues agreed uponMethod of evaluating quality of agreement
End here
Assemble Issues Define Mix
‘Valuate’ issues
Connections b/w issues
Assess social contextOf negotiation
*Constituents
*Number of negotiators
Identify Limits & Alternatives
Set targets
Analyze other party
BATNA (define whether negotiated agreement is better than another possibility)
*Target point
*Specific, difficult but achievable, verifiable*Positive Thinking*Different ways of packaging issues*Trade-offs and Throwaways
Current Resources, Interests, NeedsObjectivesReputation/StyleOther’s BATNAOther’s AuthorityOther’s Strategy & Tactics
Resistance point
*Opening Bid
*Range
Define Issues*Single, multiple, single multiple
*Identify previous experience in similar negotiations
*Research to gather info, consult with experts in area of issues
Define InterestsArticulate the ‘why’ for issues
Substantive, process related, relationship based (select a strategy)
*Social Rules etc
Present issues to other party
*Supporting validated facts with argument*Refuting arguments of other party with counter arguments