N12 : Best practices in negotiations

BA370

Negotiation Chapter 12 : Best practices in negotiations

Negotiation is an integral part of daily life and the opportunities to negotiate surround us. While some people may look like born negotiators, negotiation is fundamentally a skill involving analysis and communication that everyone can learn.

We reflect on negotiation at a broad level by providing 10 “best practices” for negotiators.

1. Be Prepared

better prepared have numerous advantages, including the ability to analyze the other party's offers more effectively and efficiently.

2. Diagnose the fundamental structure of the negotiation

Using strategies and tactics that are mismatched will lead to suboptimal negotiation outcomes.

3. Identify and work away

especially important because this is the option that likely will be chosen should an agreement not be reached.

4. Be willing to walk away

Willing to walk away from a negotiation when no agreement is better than a poor agreement.

5. Master the Key Paradoxes of Negotiation

5.1 Claiming Value versus Creating Value

5.2 Sticking by Your Principles versus Being Resilient to the Flow

5.3 Sticking with the Strategy versus Opportunistic Pursuit of New options

5.4 Honest and Open versus Closed and Opaque

5.5 Trust versus Distrust

6. Remember the intangibles

Frequently affect negotiation in a negative way and they often operate out of the negotiation’s awareness

7. Actively manage coalitions

7.1 Coalitions against you

7.2 Coalitions that support you

7.3 Loose, undefined coalitions that my materiel either for against you

8. Savor and protect your reputation

Starting negotiations with a positive reputation is essential, and negotiators should be vigilant in protecting their reputations.

9. Remember that rationality and fairness are relative

9.1 they can question their own perceptions of fairness and ground them in clear principles

9.2 they can find external benchmarks and examples the suggest fair outcomes

9.3 illuminates definitions of fairness held by the other party and engage in dialogue

10. Continue to learn from the experience

The best negotiators continue to learn from the experience.

Question 1:  How to Master the key paradoxes of negotiation?

Answer:

- Honestly and Trust other party

- Claiming value vs creating value

- Sticking with the strategy vs opportunistic options

Question 2: How to Diagnose the fundamental structure of the negotiation?

Answer:

-Make conscious decisions

-choose strategies and tactics accordingly

Question 3: What is the idea of “Be willing to walk away”?

Answer:

- No agreement is better than a poor agreement

- Have a clear walkaway point (BATNA)