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Chapter 14 The Negotiation Process and Preparation

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A Practical Guide to Developing Negotiation Strategies. By ... Veiled Threats. Bullying. Hand-off. Concessions. Splitting the difference. Equalizing. Narrowing ... – PowerPoint PPT presentation

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Title: Chapter 14 The Negotiation Process and Preparation


1
Chapter 14The Negotiation Process and
Preparation
2
Negotiating Terminology
  • Approachgeneral view and attitude.
  • Stylemanner of interaction avoid, compete,
    compromise, collaborate.
  • Strategyoverall plan including choice to avoid,
    manage, or resolve, style, and tactics.
  • Counterpartthe best term for reference to other
    parties in the negotiation.

3
Negotiating Terminology (continued)
  • Tacticsactions or moves.
  • Gambita term borrowed from chess to refer to a
    move or a tactic.
  • Techniquethe combination of tactics used.

4
Strategic Behavior
  • Strategic behavior arises when two or more
    individuals interact and each individuals
    decision turns on what that individual expects
    the other(s) to do.
  • The action that will affect the best mutual
    result is the rational choice.

5
Stages of the Negotiation Process
  • Preparation
  • Introduction
  • Initiation
  • Intensification
  • Closing

6
Preparation
  • Gather information.
  • Come to GRIP.
  • Anticipate your counterparts GRIP.
  • Determine what you can give.
  • Determine where there already is agreement.
  • Assess your power and your counterparts power.
  • Assign a value to all components.
  • Determine our OTNA.
  • Determine alternative negotiated solutions.

7
Preparation (continued)
  • Re-evaluate all of the foregoing.
  • Decide whether or not to negotiate.
  • Determine parameters on each issue and
    overallthree points on each.
  • Prepare your ACES.
  • Develop your arguments to cross the CREEK.
  • Anticipate counter-arguments.
  • Prepare alternative arguments.

8
Preparation (continued)
  • Prepare an agenda.
  • Plan not to use the agenda.
  • Organize your material.
  • Prepare to be open and flexible.
  • Prepare to hear new information.

9
Pre-Negotiation Checklist
  • Am I comfortable negotiating in this situation?
  • Is it possible for negotiation to meet my needs?
  • Is the expenditure of time and energy worth the
    potential benefit over OTNAs?
  • If you cannot answer yes to all three
    questions, go back to Step 1 or select an OTNA.

10
Chapter 15Alternative Styles, Strategies, and
Techniques of Negotiation
11
Introductory Stage of Negotiation
  • Define the rules and set the tone.
  • Sometimes you will have to negotiate the rules
    and the tone.
  • Focus on the issues.
  • Begin persuasion efforts in a style and technique
    that suits your strategy and personality.

12
Initiation Stage Tactics
  • Asking questions.
  • Begin with big issues or small issues.
  • State that resolution is tentative until all
    matters are discussed.
  • Make the first offer only if you must.
  • Your first position should be the best for you
    that you can reasonably support.

13
Initiation Stage Tactics (continued)
  • Extreme positionsnot advised
  • Reluctance
  • The Squeeze
  • First and Final Offer
  • Bracketing
  • Flinching
  • Blocking
  • Good Guy/Bad Guy
  • Counter-offers

14
Intensification Stage Tactics
  • Diversionattacking a minor but weak part of a
    proposal
  • Association
  • Forbearance
  • Extrapolationmaking the counterpart think he/she
    came up with the solution
  • The Intense Squeeze
  • Begging
  • Limited Authority
  • Anger
  • Veiled Threats
  • Bullying
  • Hand-off
  • Concessions
  • Splitting the difference
  • Equalizing
  • Narrowing
  • Intermission
  • Persistence and Patience

15
Closing Stage Tactics
  • Creating time pressure
  • Feinting
  • Reversal
  • Withdrawal
  • Smaller concessions
  • Silence
  • Ultimatums
  • Walking away
  • The Nibble

16
Representative Negotiating
  • Know your authority and remember who is the real
    party in interest.

17
Deceptive Tactics
  • Extreme positions
  • Reluctance
  • Bullying
  • Anger
  • Threats

18
Defenses
  • Assertiveness
  • Self-esteem
  • Self-control
  • Preparation
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