...Negotiation Strategies Paper Michael-Paul Battle MGT/445 April 28, 2011 Rodney Cooper Negotiation Strategies Paper Winston Churchill once said, “However beautiful the strategy, one should occasionally look at the end results.” Although this is implied toward war, one can apply it to the art of negotiating. Negotiators use different tactics and strategies when trying to achieve a desired result. To understand how strategies in negotiating affect the outcome of the results, two articles that employ different negotiation strategies are reviewed and discussed. The discussion includes the negotiation processes used in the selected articles, a comparison and contrast between two strategies, and how those strategies can be applied to MHMG Cardiology Southwest. Negotiation Strategies Integrative Many people would agree trust is earned. When a negotiator is looking to earn trust during a deal, they are building a relationship with the other party in hope of continuing to do business later down the line. Building a relationship is one aspect of integrative negotiation-a process often seen as ‘win-win’ situations involving two or more issues to be negotiated (Negotiation Experts, 1996-2010). One example of integrative negotiation is the negotiation that took place between a Navy contractor and a shipyard in Greece. Because of political differences, the shipyard had not done work on U.S. Naval ships over two years (Wengrowski, 2004). The ship in question received critical...
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...A Comparative Analysis of Strategy versus Tactics In the Negotiation Process HR595 Negotiation Skills Instructor: Professor C. Butler June 18, 2011 Sammie L. Brookins drsammiebrookins@aol.com Introduction “Behold, I send you forth as sheep in the midst of wolves: be ye therefore wise as a serpents, and harmless as doves,” Matthew 10:16. This Scripture from the Holy Bible sets the parameters in the negotiation process. It shows the intensities of the parties because sheep and wolves are known enemies. Many times when we enter into the negotiation process, we feel as though we are enemies to the other party. What many of us fail to realize is that we reach many decisions through negotiation every single day without as much as a single thought? Our basic definition for this paper is that “Negotiation means to confer with another person so as to arrive at a settlement of some matter; also to arrange for or bring about such conferences” (Merriam-Webster Dictionary). This paper will focus on the attributes that affect the choice of negotiation strategy, including both short and long-term thinking relative to the consequences, how to frame goals and the importance of the continuing relationship with the other parties involved after the negotiation process has ended. It is common knowledge that negotiation occurs in a series of steps or processes that are conclusive of many contractual principles, many of which are commonplace in daily routine. Offer, acceptance...
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...life. These conflicts are solved through negotiation. The most important element of effective negotiation, is preparation, preparation, preparation Divorce negotiations can be very stressful and highly emotional especially when kids are involved. These negotiations can also be complex because they mix both personal and business issues. Divorce negotiations, by definition, means that you should not go in expecting to get everything you ask for. You and your spouse are negotiating, which means there is a middle ground which the two of you are likely to reach if you both put in the effort. The divorce of John and Mary has all the elements of complexity. The couple has been married for 17 years; they have four minor children, two homes, three cars, a boat, and two dogs. They are also co-owners of a Screen printing business. Both John and Mary strongly feel they are best suited to raise the kids. Each feels that their viewpoint is correct and issues are more important than the other. Running Head: I SAID, “IT’S FOR THE KIDS”! 3 According to Wikipedia, (n .d) “Negotiation is a dialogue between two or more people or parties, intended to reach an understanding, resolve point of difference, or gain advantage in outcome of dialogue, to produce an agreement upon courses of action, to bargain for individual or collective advantage, to craft outcomes to satisfy various interests of two people/parties involved in negotiation process. Negotiation is a process where each party involved...
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...both parties agree to a solution. In negotiating, there are two forms and one can utilize integrative bargaining, which referred to as “win-win” bargaining or distributive bargaining as well known as “win-lose” bargaining. Negotiator knows that there are too many situational and monetary variables for a single strategy to work in this case and often times the negotiator needs to utilize both approaches to effectively conduct negotiations. In this paper I will provide and explain an appropriate approach what situation the negotiator would utilize the technique. Defining Integrative and Distributive Bargaining There are two common approaches to any negotiation situation: distributive and integrative. Each is useful in specific contexts, and the same negotiator may utilize either or both strategies depending upon their desired goal. The largest difference between the two styles is the circumstance in which they are used. Often when we negotiation a one-time situation or purchase we will utilize a distributive bargaining approach and try to gain the best price or outcome where “we” are the winner and those we are negotiating with are the “losers” In these situations we rarely interact with the opposing party on a regular or future basis and are seeking the best possible outcome for this specific negotiation without interest in building a long-term relationship. In contrast, an integrative bargaining situation occurs when it is possible to produce a greater outcome together than...
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...3.2 NEGOTIATION STYLES AND STRATEGIES 3.2.1 Distributive Strategy – Distributive bargaining, also known as positional bargaining, or negotiation win-lose, is a type or style of negotiation in which parties compete for the distribution of a fixed amount of value. Distributive bargaining is more competitive. The goal in distributive bargaining is not to assure both sides win, but rather that one side wins as much as it can, which generally means that the other side will lose, or at least get less than it had wanted. The strategy is not suited for the negotiation since Zenur will have some points to consider at the negotiation. And with this approach Levon may end up losing the deal. (International Online Training Program On Intractable Conflict, 1998) 3.2.2 Integrative Strategy - Integrative strategy tends to be more cooperative. It is also known as “Win/Win" or the collaboration style, firstly put forward by Nierenberg(1968)with the philosophy that all the parties should gain benefit from the negotiation process, as this produces more successful outcomes than the adversial ‘winner takes all’ approach. . It is about making sure both parties have their needs or goals met, while creating as much mutual value as time and resources allow.URYet al.(1991) further developed a concept of a win-win approach as principled negotiation ,where the goal is to reach a lasting agreement ,rather than the win –lose traditional scenario ,the steps in the process comprises of : the creating...
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...Negotiations Strategy Article Analysis Negotiations Strategies Integrative strategy is a process that allows both parties to maximize their objectives within their proposed deal. Using this type of strategy allows both parties involved to walk way from the table with the sense that they have both come out on top and have lost nothing in return. This is referred to as a win-win situation unlike that of the distributive bargaining. Either party in integrative bargaining has to lose anything in order to achieve their ultimate goal in the deal. In this bargaining strategy, both parties need to be willing to come to the table with an open mind and voice all of their information that they have. Distributive negotiation is the process in a deal or transaction where the parties are trying to divide something up into that of a smaller piece or section. Both parties involved want to achieve something in the process but are more like not to want to take a little loss to achieve their goals. This is also known in business as a win-lose situation. This type of strategy or process is also not good for long term relationship in business like that of integrative bargaining where the parties involved would like to continue to do business and have a investment that will be long term. Both integrative and distributive strategies can be used within the workplace, depending on the nature of negotiations and the line of business. In some cases, there are businesses that will...
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...Negotiations Analysis Negotiation Analysis Paper Ivania Castaneda HR595- Keller School of Management March 2013 Introduction Buying a home is a complicated and time consuming process. The purchase of a home is just one of many examples of negotiations that happen in everyday life. It is one of the few places in life where some form of negotiation is the rule rather than the exception. Not all people are effective negotiators. It takes a keen understanding of the process in order to be good at it. This class has provided tools via the review of key concepts and methodology to allow even the not so adept negotiator to be better at negotiating. By informing yourself, preparing, and keeping an objective mind frame we can all use the tools taught in class to become more successful next time a negotiation situation arises. My paper will focus on integrative bargaining. Integrative bargaining (also called "interest-based bargaining," "win-win bargaining") is a negotiation strategy in which parties collaborate to find a "win-win" solution to their situation. This strategy focuses on developing mutually beneficial agreements based on the interests of both parties. This negotiation approach is important because it usually results in more of a positive outcome in contrast to distributive bargaining. The first step in integrative bargaining is identifying each side's interests. Although distributive bargaining is frequently seen as the opposite of integrative bargaining, the two...
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...Negotiation Theory Types of Negotiation Table of contents 1. Introduction 2. Negotiation Theory: Foundations and Approaches 2.1. Basic concepts of negotiation 2.2. Negotiation approaches: An overview 2.2.1. Structural approach 2.2.2. Strategic approach 2.2.3. Behavioral approach 2.2.4. Processual approach 2.2.5. Integrative approach 2.3. Summary of approaches 3 Types of Negotiation Negotiation Theory and Practice: A Review of the Literature “major public policies are the outcome of a complex round of negotiation between interests, choices between values and competition between resources… there are no single ‘best’ options for any player in this game, for the ‘best’ outcome depends on what others do and what deals are possible.” (Davis et.al., 1993) 1. INTRODUCTION “Pure” conflict defined as the existence of competing interests between parties in absence of interests that are shared, is an anomaly in international relations where the defining feature of the relationship between states is mutual dependence. Such was the observation of Thomas Schelling, noted international economist, during the height of the Cold War. In the decades that have since transpired, globalizing developments in technology, communications, finance and trade have given rise to a world in which citizens, organizations and governments engage in millions of trans-national interactions on a daily basis. In the modern age, the need...
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...Paper 1 HROD 493 Dr. Laurie Milton Negotiation is a day to day process that people engage in everyday of their lives, sometimes without even knowing it. Negotiations occur for several reasons: to agree on how to share or divide a limited resource, to create something new that neither party could do on their own, or to resolve a problem or dispute between parties (Lewicki, Barry, Saunders & Tasa, 2010, p. 2). Since negotiations are so common, one of the most important things I learned from participating in this Business Negotiations class was the importance of preparation. In previous negotiations I was involved in, I would usually enter into the negotiation with little or no idea of the outcome, or how I would reach it. After participating in a few negotiations in class, I soon discovered there are many benefits to be gained by taking the time to prepare for a negotiation. Knowing your limits (reservation point) and alternatives (BATNA) before sitting at the negotiation table for example, can give you the power to ensure that your needs and interests are met, whether by coming to an agreement, or by walking away (Lewicki et al., 2010, p. 74). Going along with this, knowing your settlement point and initial offer can help you anchor your subsequent offers while at the same time gauging whether the negotiation is going in a positive direction. Another important aspect of the preparation phase is knowing what style of negotiation you are participating in and how to go...
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...In class we had our first group negotiation, which proved to be a very challenging exercise. There were two teams, a labor union and factory management. The factory management wanted stricter rules and lower labor rates while the labor union wanted good benefits, higher wages, and less regulation. In addition to having team interests we also had individual interests. For example, I was an employee who worked at the factory 30 years so my interest was to have less regulation and to have higher benefits. Although each of us, had a desire to win, and had our own interests that could have made the negotiation distributive, the best approach was an integrative approach. This negotiation was distributive in nature since it had to do with getting the “most” or “least” points yet it did not have to be. Since my team knew that a distributive approach would not lead us anywhere we decided to use an integrative strategy. For example, the other side was not going to give us a substantial increase in benefits regardless of our options so we needed to find a way to accumulate points a different way. Therefore, we began pushing for higher wages and we were able to get a fifteen cent increase to give us 3 points, we required that we signed the labor clause (+2), slight increase in benefits (+1), weak regulation( -1), and one management regulation ( -1), etc. Overall, as a team we accomplished a gain of 7 points. There was not enough time and the other side was not budging. We tried not budging...
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...Article Review 7.1: Best Practices in Negotiations Article Review HR595 Negotiation Skills Course Instructor: Wendy Chung April 14, 2010 Week 7 Submitted by Bob Figone What is the problem or issue that necessitates such an article be written? This article comes directly out of both textbooks (Chapter 12 in Essentials of Negotiation, page 256 and Article 7.1 in Negotiation – Readings, Exercises and Cases, page 485) we have used for this course. It is a summary of what we have learned about the field of negotiation. It reminds us that negotiation is intrinsic in our lives and confronts us many times each day. This article is a reflection by the author’s using a broad view of best practices for negotiators to focus on in order to improve negotiation skills and techniques. What strategies or techniques are used to solve the problem or address the issue? The article lists Ten Best practices for Negotiators in a table and continues to explain the importance of each. The table from the text is as follows: |Ten Best Practices for Negotiators | |1. Be prepared | |2. Diagnose the fundamental structure of the negotiation | |3. Identify and work the BATNA ...
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...Negotiation Strategy Article Analysis James Click University of Phoenix Organizational Negotiations MGT 445 Dr. Christina Aleksic April 29, 2013 Negotiation Strategy Article Analysis Negotiations can be an in-depth process that may have a huge effect on an individual’s future. Selecting an effective negotiating strategy is vital when negotiating with other parties. There are numerous styles of negotiation strategies that an individual can use to have a fruitful negotiation. Several negotiation strategies are including collaboration, accommodation, competition, and avoidance (Lewicki, Saunders, & Barry, 2006). Dependent on the situation, one strategy may be more effective than another strategy. Two such examples in which different negotiation strategies were functional are Negotiating New Vehicle Purchases (Craver, 2005) and Town Settles Mall Suit (Chiaramida, 2010). A review of each article, including the application of negotiation strategies and a compare and contrast analysis will highlight the differences from each scenario. Article One (Distributive) In Negotiating New Vehicle Purchases (Craver, 2005), the competitive strategy is used. The article walks through six negotiation stages encountered when purchasing a car. The goal of the article is to prepare the buyer for the dealership’s tactics and maximize the buyer’s negotiation power. The first negotiation phase begins before entering the dealership by determining the true dealer cost for a vehicle. The...
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...Negotiation is a form of decision making in which two or more parties talk with one another in an effort to resolve their opposing interest. Bargaining vs negotiation Competitive refer to win-win situation such as those that occur when parties are trying to Win-lose situations find a mutually acceptable solution to a complex conflict. Reasons for Negotiation 1. To agree on how to share or divide a limited resource 2. To create something new that neither party could do on or her own 3. To resolve a problem or dispute between the parties. Several Characteristics Of Negotiation Situation: 1. There are two or more parties. Although people can negotiate with themselves negotiation is considered a process between individuals. 2. There is a conflict of needs and desires between two or more parties that is, what one wants is not necessarily what the other wants-and the parties must search for a way to resolve the conflict. 3. The parties negotiate by choice that is they negotiate because they think they can get a better deal by negotiating than by simply accepting what the other side will voluntarily give them or let them have. 4. When we negotiate we expect a “give-and-take” process that is fundamental to the definition of negotiation itself. 5. parties prefer to negotiate and search for agreement rather than to fight openly, have one side dominate and the other capitulate, permanently break off contact, or take their dispute to a higher authority...
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...Should Follow During a Negotiation "A negotiation is an interactive communication process that may take place whenever we want something from someone else, or another person wants something from us” (Shell, p. 6). In order to have a successful negotiation, there are some guidelines that should be followed in the negotiation of the procurement of the Corporate Transfer Services (CTS). These guidelines include, but are not limited to, setting mutual guidelines and ground rules, ensuring all involved parties are aware of the negotiation process, ensuring all involved parties agree upon a safe, neutral location, free from outside disturbances to hold the negotiation, ensuring every involved party has presented all of their issues, interests, their position (where they stand on the issues) and their intention, ensuring all involved parties provide alternative solutions to the issues at hand and ensuring that a neutral party is taking notes or meeting minutes. Some critical things to remember in any negotiation are to avoid the appearance of being uninformed or overly aggressive and to be careful not to over-negotiate. It’s very important to know when to cut off the discussion. In addition, integrative bargaining should be used, if at all possible, to determine if there is a way for all involved parties to maximize their interests, instead of making a simple 50/50 split. Be sure to separate the issues from the people, regardless of the style of negotiation that each party chooses...
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...was consist of two parts. Students formed group of two for this exercise. First portion was to conduct negotiation and the second portion was to calculate points for comparing. We were given two different role information, one for Paige Turner’s Agent and one for Bestbooks. The negotiation between the Agent and Bestbooks was hinged on the 8 points. They included royalties, contract bonus, number of print runs for the book, numer of weeks that Paige has to promote the book, number of books, advance, number of countries where the book will be sold, and the number of bookclubs that will adopt the book. After the negotiation, we calculated points according to the “Confidential Success Table” that was provided. For this exercise, I was Paige Turner’s agent. As we started negotiating, both of us didn’t know where to start. Therefore, we simply decided to negotiate in sequence from royalties to number of bookclubs that will adapt the book. However, we soon realized that it was not going to work that way. Naturally, we started offering deals on several points without telling each other what we were after. I think we both were trying to figure out what each other was focusing on. During this process, we also figured out that we had some common interest on several points. It took us about 25 minutes to complete our negotiation. When we were done with our negotiation, we signed each other’s paper and calculated points according to the “Confidential Success Table”. We...
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