Learning Objectives
Interactive Workshop 2 – Negotiation Skills (4 days)
1. Introduction to Negotiation
a. What is Negotiation?
- Define Negotiation
- Explain the three major negotiation skills in Thompson’s framework.
b. Negotiation as a competency
- Discuss the importance of negotiation skills as a core management competency.
c. Ineffective Negotiators
- Analyze why most people are ineffective negotiators.
d. Negotiation Myths
e. Wheeler’s Seven Basic Questions & The Blender Simulation
- Formulate answers to Wheeler’s seven questions, in the context of the Blender role simulation.
2. Preparation: Self Assessment
a. Preparation
- Understand the importance of preparation for negotiation.
b. BATNA
- Determine the best alternative to a negotiated agreement in a given situation.
c. Reservation Point
- Determine your reservation point in a given situation.
d. Risks in Negotiation
- Identify sources of risk in a negotiation.
3. Preparation: The Other Party and the Situation
a. The Situation
- Discuss the implications of various elements of the situation.
b. The Other Party
- Understand the importance of knowing who the other party is.
- Assess the other party’s alternative ti a negotiated agreement (BATNA) in a given situation.
- Estimate the other party’s reservation point in a given situation.
c. Linkages, Deadlines and Time-Related Costs
4. Bakra Beverage Role Simulation
a. Preparing for Simulation
- Prepare for a two party negotiation, i.e. determine your BATNA and reservation point; estimate the other party’s BATNA and reservation point; and consider critical aspects of the situation.
- Asses critical features of the negotiation situation, and use this information during and after the negotiation.
b. Negotiation In Pairs
- Conduct a two-party negotiation keeping in mind the critical information you prepared.
- Use your interest as well as the interest of the other party , to develop multiple issues during the negotiation.
5. Distributive Negotiation
a. The Bargaining Surplus and Zone
- Understand the concepts of bargaining zones, reservations points and target points.
- Determine the reservation point and target point for negotiation.
- Assess the potential reservation point and target point for a counterparty.
- Use these techniques to improve the share of the bargaining surplus.
b. Improving your Share
c. Fairness and Considerations in Negotiation
- Understand the different concepts of fairness.
d. Bargaining Stances
- Describe the effect of bargaining stances on negotiations.
6. Integrative (“win-win”) Negotiation
a. The three levels of Integrative Negotiation
- Define the levels of “win-win” negotiation.
b. Integrative Strategies Explained
- Describe the characteristics of integrative, or “win-win” negotiations.
- Describe the steps in the “win-win” approach to negotiations.
c. Capitalizing on Differences
d. Methodology to Reach Agreement
7. Telecom Services Role Simulation
a. Preparing for Simulation
- Apply the steps in the integrative negotiation strategy to the Telecom Services negotiation simulation.
- Analyze the outcome of the Telecom Services negotiation simulation.
b. Negotiation in Pairs
8. Day 1 and Day 2 Wrap-up
9. Negotiation Style
a. Integrative versus Distributive Bargaining
- Explain the differences between integrative and distributive bargaining, and discuss the challenges of employing the integrative approach in the context of supply chain (buyer-supplier) relations.
b. Negotiation in the Supply Chain
- Describe the three different negotiation approaches.
- Understand the critical differences between the three motivational styles for negotiation.
c. Motivation, Approach and Emotion
- Determine your emotional style by completing a short questionnaire, and discuss the results with the other candidates.
10. Multiple Parties in Negotiation
a. Types of Multiparty Negotiations
- Explain the complexity of multiparty negotiations; and describe several strategies
- for effective multiparty negotiations.
b. Coalitions
- Understand the challenges and negotiation strategies in situations involving coalitions and agents.
c. Principle-Agent Relationships
d. Constituencies
- Explain challenges and describe strategies for negotiation situations involving constituencies and team negotiations.
e. Team and Intergroup Negotiations
- Participate in a multi-party negotiation.
f. The GRIT Approach
11. Hopkins Hospital Role Simulation
a. Preparing for Simulation
- Prepare for a three party negotiation, i.e. determine your BATNA and reservation point; estimate the other party’s BATNA and reservation point; and consider critical aspects of the situation.
b. Negotiation in Pairs
c. Multiparty Negotiation
- Conduct a three party, multiple issue negotiation.
- Understand how perceptions of power and relationships between parties can affect an agreement.
d. Debriefing
- Create a matrix of possible deals (parties by issues) to support negotiation.
12. Establishing Trust and Building a Relationship
a. Buyer-Supplier Relationships
- Describe and discuss factors that affect trust in buyer-supplier relationships.
b. Concepts of Trust
c. Direct Approaches to Building Trust
- Apply direct approaches to building trust.
d. Indirect Approaches to Building Trust
- Use selected indirect approaches to building trust.
e. Mistrust and Strategies for Handling Mistrust
- Identify factors that result in mistrust.
- Develop a methodology to repair mistrust in a negotiation.
13. Power, Persuasion and Ethics
a. Sources of Enlightened Power
- Describe and discuss the components of enlightened power.
b. Persuasion Tactics: Central Route and Peripheral Route
- Understand the differences between central route and peripheral route persuasion techniques.
- Apply Central Route techniques to a negotiation situation.
c. Unethical Negotiation
- Discuss unethical techniques encountered in a negotiation situation.
- Describe the tests for ethical behaviour.
14. Capstone Simulation and Final Project Recap
- Apply the negotiation approaches described over the previous sessions of the workshop in an internal negotiation situation.
- Apply the negotiation approaches described over the previous sessions of the workshop in an external negotiation situation.
- Reach an agreement internally and externally in a negotiation situation.