ART OF NEGOTIATION

Art of Negotiation

Introduction-

Negotiation, the simplest way to resolve conflicts or disagreements or divide resources among 2 or additional parties, meted out volitionally by free selection. The 2 sides create contact for suggestions and counter suggestions and during this manner communication takes place between the parties. Both sides employ their own ways in an attempt to achieve most results. Negotiations will be conducted on all topics, except ethics and faith. Negotiations manifest itself daily,

whether on an aware or subconscious level. The stages in negotiation are: preparation, presentation and justification, bargaining, offers and counter-offers, victimization varied ways, 

Negotiation could be a basic part within the social lifetime of organizations. whether or not you are responsive to it or not, you negotiate for resources and a spotlight.In negotiation, after all, neither party holds all the aces. Negotiating could be a part of standard of living, however in business it’s completely crucial to your success. Poor negotiation will cripple an organization even as quickly as losing key customers. whereas most negotiating ways appear to be good judgment, it isn’t uncommon for folks to induce trapped within the feeling of the instant and ignore their basic instincts. Emotion, luck and magic haven’t any place during a palmy negotiation. It takes an iron gut, homework, astuteness and unblinking discipline. These keys can unlock your ability to induce the most effective deal doable beneath any circumstances.

Types of Negotiation-

  1. One time negotiation: one, unprecedented prevalence, that offers most success in minimum time and yields predictable ends up in that one or different|the opposite} party wins and therefore the other loses. There aren’t any expectations for more implications on relations within the future and total attention is concentrated on palmy resolution of the problem at hand.
  2. Continuous negotiations square measure conducted within the framework of current relationships, like partners,supplier-client, etc. This kind of negotiation is characterised by bearing the influence of expertise and therefore the nature of the former relationship between the parties. To boot, it carries every side’s expectations for the long run, replete with emotional involvement accumulated over the years, that may lead to additional conciliatory behavior on the part of either side. Even within the case wherever no agreement is reached, there’s a gap for a doable probability within the future, once each party has deep enough motivation, which could alter them to achieve a resolution, satisfactory to any or all. It is fascinating to conclude during a win/win situation; otherwise, the defeated party can typically notice ways in which to violate the agreement, or worse, take measures to bring down hurt on the opposite party.
  3. Direct Negotiation whereby continuous personal and direct contact between the involved parties exists. The advantage during this case is additionally the disadvantage:in other words, the 2 parties meet with each other directly and see the others’ behavior.
  4. Indirect negotiation takes place within the presence of representatives or mediators. The matter here lies within the vested interests of the mediators, which could vary from those of the party they’re representing. Another problem could be the communication difficulties between the mediators and between parties. There are different acceptable attitudes towards the accepted negotiation style.Cultural differences are reflected in negotiating styles, as an example , direct,egalitarian, authoritarian or blunt. Approach to the time dimension may differ regarding such aspects as punctuality, adhering to schedules, and therefore the way during which the negotiation is conducted. in theory , there are not any fixed rules for conducting negotiations, or for reaching successful outcomes, since there’s no negotiation that’s just like another. Intuition or experience isn’t sufficient, although experience are often helpful in leading the negotiations to a successful outcome

Negotiation Tactics

Tactics are a selected way utilized in a specific situation. Tactics are meant for short-term use and constantly change counting on the specifics of the negotiation conditions. Tactics are practical and sometimes help to reveal the opponent’s hidden agenda and interests and one must be vigilant to gather this information. Tactics are often subdivided into five categories, and making use of quite one can improve one’s chances of not being perceived as being stubborn.

  • Hard tactics: (1) Threat – expression of readiness to inflict future damage; (2) Scare – taking offensive action which will cease only other party concedes; (3) Attack – on the opponent’s stance or a verbal attack; (4) Ultimatum –pushing the opponent into a corner by setting limits; (5) isolating ties – either temporarily or permanently. 
  • Time related tactics: (1) Delay – postponement until the opposite side becomes uncomfortable or gets wont to the idea; (2)Setting a final date – natural or artificial; (3) Controlling schedule and setting the agenda. 
  • Authority related tactics: (1) Limited authority – often prevents or eliminates pressure, allows consultation during negotiations or maybe appending additional demands after conclusion of negotiations; (2) Unauthorized negotiations – seemingly ineffective but offers some value in transferring messages or information with none obligation.
  • Persuasion Tactics-Convincing the opposite party to simply accept facts and accede to logical demands, persuading the opposite side that it’s worth their while to accept as true with the stress , persuading the opposite side that there’s no basis to their demands,persuading the opposite side that they ought to not abandon the negotiations at this late stage after having invested such a lot of your time and energy. 
  • Soft tactics

(1) Revealing Information – sharing the matter with the opposite party;

(2) Concessions, even small ones, so as to offer the opposite side a positive feeling for further cooperation. it’s recommended to open the discussions with maximum demands to make sure ample allowance for concessions, and still keep concessions to a minimal level. One can decide beforehand one’s own limits in conceding to the opposite party’s demands, however, this might cause a dangerous situation of reaching our “red line” too quickly. 

(3) Active listening – this is often the foremost economical of all concessions – to listen to the opposite side out. Usually the persuading side speaks quietly and listens. the rules for active listening are acknowledgement and understanding of the opposite side’s position, asking questions, raising doubts, and non-provocative attitudes and examining the understandings that develop via interim summaries. 

(4) Promises – precisely the reverse of threat: redness to reward within the future.What Influences our Choice of Tactics: so as to spot the tactics adopted by the opposite party, it’s necessary to be alert and hear what’s happening around us. only we’ve identified which tactic the opposite side is using, can we all know the way to cope choose the acceptable response, which tactic we should always use to counter or neutralize its effect.Information, Place and Power factors are the foremost significant factors in management generally , and in negotiations management especially , is information. Negotiating may be a process, which takes place during a state of uncertainty in terms of the sides’ interests, preferences, etc. Without information or alternately, with insufficient or partial information (the commonest occurrence), the “unknown” becomes a central component within the negotiations and causes wild guesses, speculation and mistakes. Information that’s presented in an emotional, descriptive and innovative fashion, remains etched in one’s memory more so than information presented in an informative direct but boring manner.

The Model of “Negotiation in 9 Steps”

  • Starting the ProcessThis section directs the leaders’ attention to the lens through that the negotiation expertise is also viewed, to the predictable patterns within the negotiation method, and to the principles for telling the reality while not telling everything.
  1. Begin from wherever you are

Perception frames reality. it’s so imperative that a negotiator’s perceptions and decision-making

orientation is free from, or a minimum of sensitive to, limiting factors like inherent bias and pride. Emotions play a robust role in each capability to understand and express emotion and within the ability to have interaction in clear thinking. It’s vital for negotiators to understand the emotional vocabulary of interaction, to watch emotional and to cultivate a wise emotional dialogue. Positive emotions enhance relationships, that greatly will increase the potential for downside resolution, therefore it’s vital to appear for tactics to scale back instead of enhance tensions throughout the session.

Negotiating vogue is a vital component within the method and is manifest in 3 types:

  1. Competitive
  1. Cooperative, and 
  2. Integrative. The target of AN adversarial vogue is to win a game. This vogue needs a high degree of determination in addition to well-tuned aggressiveness, decisiveness, the courageousness to permit risks, still because the assurance to curb risk taking once those risks are unwise. In distinction, the target of a cooperative vogue, values fairness and building relationships whereas seeking reciprocally satisfactory solutions through gathering and sharing info. This vogue needs determination and a few aggressiveness so as to carry high aspirations and keep sufficiently targeted to attain them. AN integrative vogue makes an attempt to resolve the conflict by specializing in satisfying the interests of each party and travail problem-solving techniques. AN applicable combination of distinctive designs might enhance the negotiation strategy.

These negotiating designs are manifested in 2 distinct approaches to negotiation. high-principled negotiation involves characteristic the underlying interests and desires of the parties, making a variety of alternatives and choices, and specializing in raising the operating relationship between the parties. typically the pie to be divided is enlarged, benefiting each party. point negotiation, on the opposite hand, centers upon what proportion one party can win and also the alternative can lose, and agreement is through a series of restricted concessions offered by each party. The pie is viewed as being solely therefore massive and incapable of being divided; one person receives additional while not the opposite receiving less. Since no single vogue or approach works best altogether in negotiations, the productive communicator ought to be ready to use a spread of strategies and recognize once to decide on every. Competitive ways early within the negotiation typically increase the prospects for productive use of cooperative or problem-solving ways later within the negotiation.

Learning to manage natural judgments and initial impressions dramatically will increase a person’s power of knowing what to try and do within the initial 2 seconds or within the ‘‘blink of an eye fixed.” It follows that even as negotiators will learn to suppose logically and deliberately, they can also learn to form fast, accurate, and intuitive selections.

Understanding principles that one stands, as a private is beneficial in evaluating the values of alternative individuals since contrastive values will influence a negotiation. The lenses a communicator uses, still because the specific vogue or approach the communicator chooses, type patterns that are vital to decipher and perceive.

2)  Acknowledge Patterns

Examples of symmetry and uniform proportions, routed within the unchanged laws of arithmetic, exist throughout the globe. Similarly, patterns exist for life’s experiences, as well, and this idea isn’t any less true for negotiations.

Practitioners will profit by contrastive negotiations in their own field of observation with those in alternative areas, and that they will profit by reflectiveness regarding what pattern lies inside the common core. trying to find continual patterns permits a communicator to predict and set up the progression of the session.

Further, the experiences of negotiators generally can work into a pattern by ensuring that a specific sequence, once followed, continually yields the most effective results. As a result, it’s vital to review and skim generally to make a store of ideas to reinforce alternatives and concepts for resolution negotiation issues. Equally vital is that they get to ask for AN understanding of the opponent’s reasoning and also the patterns that exist therein logic, to anticipate consequent moves.

Finally, patterns conjointly tend to emerge within the confrontation of moral} problems and ethical dilemmas.

3)  Follow the principles

Practicing sensible moral decision-making is characteristic of expertness

Negotiation typically involves inexact, controversial reconstruction of past events and perceptions as being a primary basis for selections. moral philosophy, however, will have an area in negotiation ethics as a result of the best of justice is real though in observation, it’s going to be impossible, and also the ideal of truth is real though in observation, its realization is incomplete. Virtue, loyalty, courage,and alternative unchanged values all stay worthy goals.

The most serious moral failing isn’t making an attempt to affirm such unchanged values. Integrity ought to be an important worth to a communicator. Integrity involves discerning right from wrong and needs action based mostly upon what’s distinguished as right and wrong even within the face of adversity. Integrity needs a degree of ethical reflection;moreover, someone of integrity is steadfast, trustworthy, and honors commitments.

In sum, it’s vital to review one’s ethical maps before beginning a negotiation, to use them as a guide, and to just accept the principle that sensible ethics is sweet business. A communicator conjointly ought to observe, anticipate and breakdown morally complicated problems before they arise and avoid unethical false statements.Additionally to a sound moral grounding, the power to decipher patterns, and to follow moral rules, the productive communicator should possess relevant skills.

Becoming More Skilled: This section emphasizes four critical components of effective negotiating: Active listening with four ears; strategic planning; tactical maneuvers; and therefore the use of open-ended questions, which is additionally utilized in mediation, as a negotiation tactic.

4)  Listening with Four Ears

A failure to concentrate effectively can derail every other negotiating skill developed, including the simplest strategies, the sharpest tactics, and therefore the most honed mediation techniques. What a negotiator often encounters isn’t a drag to be solved, but rather a thought to be heard, a special view to be understood, or a replacement person with whom to become acquainted. Negotiating, just like the process of teaching and learning, involves an encounter with the unexpected, alongside and therefore the elements of suspense and surprise. When listening, a negotiator must wait patiently for insight to emerge and must trust within the outcome of the method . Few individuals are good conversationalists because they believe what they shall say, instead of about what the opposite person is saying. Therefore, the main target of an honest conversationalist, also as an honest negotiator, should be not just to listen to , but also to concentrate . Hearing is usually physical; listening is usually psychological. 

The key to improving listening skills are often accomplished in four steps:

(1) Hear what’s Clearly Being Said – the primary ear involves listening actively

(participating, concentrating) to realize insight into the thoughts, needs, and feelings of others. By listening actively and not mentally preparing an instantaneous reply, one is a smaller amount likely to convey unintended nonverbal signals. Remember, one hears only the sounds to which one listens. Further, feelings and motives are critical to listening effectively, as is demonstrated by the very fact that once they are absent in transmission , much of what otherwise would be clearly understood is lost.

People aren’t computers, programmed to reply to impulses from others. citizens have feelings generated by the negotiation process feelings of mistrust, fear, and anger. additionally , it’s sometimes the very smallest of subtleties, repeated repeatedly, which form a predictable pattern and send a transparent message. Active listening may be a process of thoroughly hearing what the opposite person has said, and responding with a reflective statement that mirrors what has been heard.

Active listening requires expertise in discussing and conferring with, as against bargaining against, so as to listen to what the opposite person is basically saying. The negotiator must understand instead of plan to achieve an agreement or produce some quiet change within the other person. 

(2) Listen for What Obviously isn’t Being Said – The second ear involves recognizing what speech conceals and what silence reveals. “Listening is the ability to listen to what people are saying or not saying as distinguished from the words they enunciate”. If one listens between the words, one is going to be ready to discern a message and listen to quite just the words. it’s important to seem not just for the reaction that the opposite person has got to what you have just said, but also for what the opposite person obviously isn’t voicing. A reluctance to debate one aspect of the matter is, during a sense, a hidden offer to debate another one should package conclusions by giving reasons first and proposals second, to assist the opposite person to concentrate effectively. The negotiator should use chitchat to warm up, should tune into the opposite person’s communicative manner (fast/slow, loud/soft); and will communicate through those senses (seeing, listening, feeling, touching,reasoning) to which the opposite is more apt to reply . It’s unwise to aim to barter with someone who is angry, as that emotion may shape his or her perception of data . Instead, acknowledge feelings of anger first and permit emotional dialogue to precede intellectual discussion in order that both parties may listen effectively. Other practical tips for affirming the listening process included using your opponent’s name as you create eye contact;focusing on issues on which you already comply with build momentum; using the word yes for unity, not dichotomy of thought; and speaking just for oneself, thereby acknowledging the opposite person, his or her authority, and his or her competence. 

(3) Listen for What the opposite Person Really Wants to mention , But doesn’t – The third ear involves listening for the essence of things. A useful reminder is to use the “e” and “a” and “r” of “ear”: explore what’s not clear, acknowledge what’s understood, then respond.

A useful listening tool is to maximize pauses to reinforce communication. Pauses can provide a far better idea of what people are getting to do but are hesitant to precise . The negotiator should encourage the expression of what the speaker is hesitating to articulate. Such encouragement is useful in two aspects:

a. Logically, the negotiator gains a far better insight to what the opponent is expressing

b. Emotionally, the negotiator posts a friendly gesture even before the intellectual analysis begins, which usually results in an enjoyable discussion.

Further, often what an individual states is typically an imperfect representation of what that person is thinking or trying to articulate. As a result, one listens to what’s said, then makes inferences about what that person is thinking so as to penetrate the thought process behind the words.

Communications in negotiations got to cover all-important concerns, reveal all issues and interests, and explore likely avenues of mutual gain.

Therefore, negotiators must skillfully translate what’s being said into what the speaker intends to mention .

Listen to What you’re Saying to Yourself – The fourth ear involves perhaps the foremost important part of listening:listening to one’s perceptions and therefore the voices from within oneself, the soul’s ear. This process often involves subconscious concentration with one’s informed intuition acting as a teacher . Asking questions leads to opening an inner space to receive the reply.

Plan Strategy

Planning strategy involves specializing in a selected goal because the negotiator uses the facility of purpose to organize ,plan, and practice. All three endeavors involve a great paradox. On one hand, they’re highly rational and capable of study; yet, on the opposite hand, all three are driven by non-rational dynamics.

In preparing, planning, and practicing, a negotiator should use imagination to anticipate and predict what’s needed and set justifiable, yet optimistic, aspirations regarding the result . People are usually far more concerned with what is likely to happen in the near and distant future than with what is actually happening in the present. To this end, the negotiator must exclude some alternatives beforehand or run the danger of becoming overwhelmed with possibilities. Although planning for the negotiation requires research, it’s the method of making the plan that always is more important than the particular plan. Creating the plan prepares the negotiator to expect the unexpected and to seem for patterns within the process. While preparing a technique involves programming one’s set of inner signals and prioritizing goals, certain characteristics of effective preparation and practice for negotiation are universal.

1. A key element in planning strategy is to assess the balance of power. This assessment involves not only the actual balance of power between the parties, but, more importantly, each party’s perception of that power balance.

2. The element of surprise, while effective in warfare, isn’t always an honest technique during a negotiation. It is important for the opposite side to acknowledge a rational pattern to the negotiator’s offers and talking points. While it’s advisable to possess an alternate strategy which will unleash an unexpected fact or higher/lower than anticipated offer on the opposing team, a negotiator’s main ally is a reputation for being reasonable.

3. All information, internal or external, should, whenever possible, be verified. Beware of selective perception or the tendency to gauge information during a way that supports one’s own beliefs, assumptions, and self-image. It is also tempting to discount what’s not known in favor of what’s known, resulting in an optimistic overconfidence in one’s chances for fulfillment .

4. Overvaluing things that are certain, while undervaluing probable or speculative outcomes, are often dangerous. As an information gatherer, the negotiator’s focus should be to urge the facts straight.

5. Avoid attacking the opponent’s position; instead, try presenting differing interests. An opponent’s confidence is essentially determined by that opponent’s own perception of tolerance for risk. Faced with this example , one’s first response tends to be to adopt an edge . However, an opponent may feel less threatened, if the conflict isn’t identity based. Moreover, an opponent wants to feel capable of influencing behavior and is therefore more likely to make concessions when feeling competent. By acknowledging an opponent as being a troublesome and worthy negotiator, perhaps by coordinating a couple of concessions on relatively minor issues, it’s going to become possible to induce even greater concessions.

6. Never rush the process. Unskilled negotiators place a dysfunctional premium on speed and harbor a psychological uneasiness about wasting time. Certainly, time is effective , and sometimes it’s necessary to trade money against the clock .

6) Anticipate Tactics

Just as strategy deals with the general plan of the negotiation, tactics specialise in the small print and implement the strategy. The same ingredients are present: time, power, information, and credibility. Experienced negotiators use tactics to explore the possible existence of, and move toward, an interdependent settlement that each one can accept.

Negotiations have a sequence: before, beginning, during, closing, and after. Different tactics are suitable for these separate stages. Use tactics to explore the possible existence of, and move toward, an interdependent settlement that each one can accept.Negotiations have a sequence: before, beginning, during, closing, and after. Different tactics are suitable for these separate stages. Finding a mission in which bits and pieces of information are exchanged casually. The beginning is that the time to concentrate and observe, and not the time for debate; a well-worded question is perhaps the foremost effective tool at this stage. It is also important to clarify the capacity of 1 person to act on behalf of another at the start and to debate each other’s perceptions explicitly during a frank, honest manner. Communicating convincingly and willingly assertions, which the adversary would really like to listen to , are often one among the simplest tactics available. As the negotiation matures, identify areas less critical and use these issues to start making concessions. During the negotiation, one moves with more focus. While the start phase involves sparring for advantage and therefore the closing is heavily influenced by time pressures, this middle phase may be a time primarily for measured movement, exploring interests behind positions, and developing a reasoned approach. Package concessions with good reasons first so that the opponent will listen carefully, and avoid sizable concessions early in the negotiation as such a maneuver might falsely raise an opponent’s expectations. Listen carefully for offers and hints of offers. Emotions are very effective in negotiating, but keep them in check . Remember also that patience creates a relaxing , cooperative environment for the resolution of differences and therefore the emergence of successful conclusions. Patience isn’t a symbol of weakness; rather it’s leverage which will be wont to think critically about the adversary’s position and gain insight into the best resolution for both sides. Toward the close of the negotiation is the appropriate time to offer alternatives, set deadlines for offers to expire, and make the last concession small and conditioned upon agreement.

Be responsive to the tip of the negotiation approaching as a result of there’s less time to correct mistakes.Consider concerning outside criteria to see amounts, and still specialize in covering all the small print. Negotiators ought to provide reasons for the ultimate provide, be specific, and condition it on settlement. Additionally, adept negotiators offer adversaries with sufficiently generous terms so as to ensure a sincere acceptance of these terms and a commitment to honor them, since they’re cognizant of the natural tendency for persons to expertise buyer’s ruefulness, a couple of major calls simply when committing it. when the negotiation method, it’s an informed mirror and to arrange a way to proceed otherwise next time. For instance, the treater ought to review what factors were most influencing throughout the negotiation, what were the surprises, what the opponents did that increased or weakened their position, and what induced the parties to achieve an agreement. The treater ought to ponder however the small things, recurrent over time, type a pattern and build a distinction. The interrogatory method could be a catalyst to accelerate learning and offers the treater a chance to rework undesirable experiences into a triple-crown instructional method. it’s additionally vital to acknowledge that truly, settlement is a smaller amount a climatic finish to conflict, however rather a part of

a continuing method during which the agreement should be enforced.

Being Persuasive – This section focuses on the last 2 components: the subtlety of signals in communication, the classical art of persuasion, and on unchanged values, the key ingredients of expertness.

7)  Communicate Through Signals

People see themselves primarily within the lightweight of their intentions, that are invisible to others; on the opposite hand,they see others in the main within the lightweight of their actions, that are visible, making a scenario during which misunderstanding is that the order of the day. Signals sent to others among the primary seven seconds of meeting them usually reveal one’s hidden agenda. The primary 2 or 3 minutes of negotiating sets the tone, and offers initial clues to the opposite aspect concerning not solely wherever the treater plans to travel, however additionally the manner during which the treater plans to induce there.

Remember additionally that abundant communication is nonverbal, and nonverbal mannerisms contribute the impression someone makes. For instance, nervousness might indicate the person isn’t secure in what’s being the same or that the person is concealing one thing.

Finally, a timeline with associated imminent points is one amongst the foremost powerful forces in negotiations. It sends a symbol that the force of your time and also the expectation of a helpful outcome are in tension. If the negotiation isn’t time vital, contemplate making an attempt to achieve a mutual agreement to determine a man-made point.

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