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Negotiate to Win
Win what?
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why N/B ?
Overview?
POSITIVE NEGATIVE
PRODUCTS Sale
Purchase
Dissatisfaction
Dispute
SERVICES Terms of
Reference
Breach
Dispute
RELATIONSHIPS Courting
Maintaining
Grievance
Break-down
Ransom
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Typical negotiation
Differences in Interdependency
Wish to resolve
Begins with statements of opening
Positions most preferred outcomes
Defend Position & critique others
Response suggested alterations of
others position and proposed changes of
own position, with reasons for same
Concessional process, to reduce difference
range, and come to common ground
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Anatomy
Resistance Value - RV
Bargaining Range Zone Of Possible
Agreement - ZOPA
Target Value -
Concessions
Settlement Point Agreed Value
BATNA

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Anchoring

who should make the first offer?
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Anatomy
Bargaining Mix
Price
Mode of payment
Closing date
Advance, if any
Repairs
Fittings / accessories included
Any other issues involved
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What is NAB



Claiming Value


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Possible Outcomes
YES NO
NO YES
YES YES
NO NO
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PARTY B
PARTY A
Whats the difference?


Negotiation

Bargaining
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Moving (self/other) from
NO to YES


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Voluntary Decision-making
What is N/B?
What is N/B

Show the other that his position is not the
best
&
In fact
Your solution is the best !
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Concession Pattern
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Number of concessions
S
i
z
e

o
f

c
o
n
c
e
s
s
i
o
n
s

Goals

Set high Goals
Outcome is directly proportionate
to Aspirations
(other things remaining equal)
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Kids Know it all the time !
Hardball tactics
1. Good Cop/Bad Cop
2. Lowball/High Ball ridiculously high or low
offer
3. Bogey
4. Nibble ask for a small add-on
5. Chicken terminal threat
6. Intimidation anger, threat, legitimacy,
guilt, unequal team,
7. Aggressive behaviour pushy, ask for
explanation, asking for moon, etc
8. Snow job overwhelm with info etc
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Managing Hardball tactics
1. GCBC tell/ask them, expose
2. LBHB ask for reasonable offer, state your
understanding to contrary, ask them to give reasons,
threaten to walk off, respond with extreme counter
3. BG prepare well, notice shift, suspect BG, question
why, check background info
4. NBL what else do you want, counter-NBL
5. CHKN downplay, ignore, reframe, counter
6. INTN ignore, make a team, state the process
7. AB halt & discuss process, team, state merits
8. SJ own preparation, probe ask questions, look
for inconsistencies
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What is the best outcome?


Both come out of the N/B each thinking
that he got the better deal
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No2Yes - How?

Influence,
To alter Perception(s)
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The best general is one who never fights (!)
- sun tzu
Best outcome
Results outcome
By themselves
Do not matter !

Outcome
w.r.t. Expectations
Matter !!
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Pareto Efficient Frontier
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Increasing
Value to
Buyer
Increasing
Value to
Seller
Creating
Value
Claiming
Value
Pareto
Efficient
Frontier
Pareto Efficient Frontier
PEF is the point or locus beyond which
there is no agreement that would make
any party better off without decreasing
the outcome to the other party.
Hence Integrative Negotiation can also be
defined as the process of identifying
Pareto Improvements till Pareto Efficient
Solution is reached.
To reach PE is to ensure that no money is
left behind on the table after the NAB.
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Value creation
preparation strategies
Identify your multiple interests
Create a scoring system list all issues,
allocate weights for each (totaling to
10/100), rate each on a common scale,
work out the weighted score
Calculate the package RV, using the
scoring above
Identify other partys multiple interests
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Value creation
execution strategies
Negotiate multiple issues simultaneously
Make package offers
Leverage all types of differences to create
value priorities, expectations, risk-
taking, time, outcome vs relationship,

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post-settlement negotiation !!
PSN when more value can be created.
Last Settlement becomes the new BATNA
New, P-S-Settlement only if it is an
improved settlement

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Moving (self/other) from
NO to YES


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Voluntary Decision-making
What is Influencing?
What is influencing?

Show the other that his position is not the
best
&
In fact
Your solution is the best !
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Outcome - Perception


its not if you are a loser
but if you feel like a loser

the role of REFERENCE POINTS

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Happiness ??
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REALITY - OUTCOME
Positive GAP
EXPECTATIONS
Perspective
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If you dont understand the
viewpoint,
you dont understand the Price.
The Price
Arthur Miller

Be other-directed
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Framing
Perspective schematic
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Stake-holder
Perspective
Perceiver
Perceived
Subjectivity
Unique
Spacio-Temporal coordinates
Cognitive coordinates
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Cognitive states
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SPIRIT
INTELLECT
EMOTIONS
BODY
MIND
SPIRIT
INTELLECT
EMOTIONS
BODY
MIND
Dual Concerns model
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Relational
Outcome
Important?
Yes
Yes
No
No
Substantive outcome
Important?
Collaboration Accommodation
Competition Avoidance
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substantive
outcome
relationship
Relationship mgmt
Commonalities identification max. #
of denominations
Affinities
Care & concern
Long-term outlook > goodwill
Mutual respect
trust > faith
Affection
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Help Me !
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Do not stereotype
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We like people who like us
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When you get something, you
reciprocate
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What & How


How is more influential than What
But What is more important
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Be flexible in How
be rigid on What
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Drivers
Information other side seems to know
more, about you and your needs, than
you about them/theirs
Power other side always seems to have
more power & authority than you think
you have
Time other side seems always to have
less org. pressure, time constraints and
restrictive dead-lines than you think you
have
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Progress
Make concessions on How & Tradables
Concessions given without effort is not
valued
Keep the toughest for the last
Deadlines produce actions
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To Know
What we do not know, we cannot
control
Not knowing reality is the true source of
powerlessness
To see reality as it IS, and without
passing judgment, so that subjectivities
do not creep in, and you do not think
wishfully
To see in terms of POWER, TIME &
INFORMATION
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Information
How much do you know of the other and
his needs ?
How much does he know of you/yours ?
Know max, show least
Without seeming interested
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Time
Who is under Deadlines ?
Who has all the time in the world ?
Who is under pressure ?
Who is relaxed ?

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Start


Start with commonalities
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Start


Start Soft
Use Socratic Ignorance
To surface Info
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No - is not Never

(Never has ever)

Final - is not the end

all these are the Beginning!
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