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COMMUNICATION & NEGOTIATION

COMMUNICATION & NEGOTIATION. CONTENT. Part 1: NEGOTIATION & COMMUNICATION Part 2: NEGOTIATION STRATEGY Part 3: COMMUNICATION POWER IN NEGOTIATION Part 4: COMMUNICATION SKILLS IN CONFLICT RESOLUTION AND NEGOTIATION. Part 1 NEGOTIATION &

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COMMUNICATION & NEGOTIATION

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  1. COMMUNICATION & NEGOTIATION Lina 2010

  2. CONTENT Part 1: NEGOTIATION & COMMUNICATION Part 2: NEGOTIATION STRATEGY Part 3: COMMUNICATION POWER IN NEGOTIATION Part 4: COMMUNICATION SKILLS IN CONFLICT RESOLUTION AND NEGOTIATION Lina 2010

  3. Part 1 NEGOTIATION & COMMUNICATION Lina 2010

  4. NEGOTIATION • Negotiation is never separated from human life because the nature of human life is dynamic and it is necessary to make relationship with other people all the time. Lina 2010

  5. WHAT IS NEGOTIATION ? • “We don’t get what we want in this life, we get what we negotiate.” (Gary Karrass ) • Negotiation, although similar to decision making or joint problem solving, is a special type of social interaction – one distinguished by goals, relationships and normative practices that differ from other types of communication (Donohue, Diez & Stahle, 1983) Lina 2010

  6. Negotiation as bargaining entails two or more interdependent parties who perceive incompatible goals and engage in social interaction to reach a mutually satisfactory outcome (Sawyer & Guetzkow, 1988) • Gennard and Judge (1997) in the article of Conflict and Negotiation claim that negotiation involves two elements: • Purposeful persuasion • Constructive compromise. Lina 2010

  7.    TYPES OF NEGOTIATION • Two types of negotiation process (Silondae, 2003): 1) Positional based bargaining • each party identifies their most desired outcome, accepts that as their position and then attempts to reach agreement by incrementally moving towards a mid point somewhere between the two. 2) Interest based bargaining • solving process that strives to reach an integrative solution rather than distributing rewards in win/lose manner or relying on compromise. Lina 2010

  8. THE NEGOTIATION PROCESS Preparation and Planning Definition of ground rules Clarification and Justification Bargaining and Problem Solving Closure and implementation Lina 2010

  9. EFFECTIVE NEGOTIATION • Advocates who negotiate effectively are often more successful at achieving their goals and more experience continued success in their efforts. • Successful negotiator will display their excellent negotiation skills in the negotiation process. • Resolve conflicts and disputes by engages both parties stay together and participate in decision making, better understanding and appreciate the motivations and core concerns of the other parties. Lina 2010

  10. EFFECTIVE COMMUNICATION • Process of human beings symbolically responding to the other persons. • Communication competence is the ability to get what you seek from others in a manner that maintains the relationship on terms acceptable to both you and the other person. Lina 2010

  11.   RELATIONSHIPS BETWEEN EFFECTIVE COMMUNICATION AND EFFECTIVE NEGOTIATION • Bell (1988) in the book of Communication and Negotiation contends that negotiation is primarily a complex process of verbal and nonverbal interaction. • Communication is an essential tool in order to exchange messages between the negotiators. Lina 2010

  12. An effective negotiator should have the proficient skills of communications to conduct an effective negotiation in order to gain maximum benefit. • Effective organizational communication requires a climate or culture that supports effective communication. Lina 2010

  13. Part 2 NEGOTIATION STRATEGY Lina 2010

  14. NEGOTIATION STRATEGY Definition • LEWICKI, SAUNDERS AND MINTON (2001) : • THE WORD ITSELF COMES FROM THE GREEK TERM FOR THE ART AND ACTIVITY OF THE MILITARY GENERAL, AND INCLUDES THE ATTRIBUTES OF VISION,PREPARATION, RESPONSIBILITY, AND OVERSIGHT Lina 2010

  15. Mintzberg & Quinn (1991) define strategy as “the pattern or plan that integrates an organization’s major targets, policies, and action sequence into a cohesive whole.” • In game theoretic terms, a strategy is “a complete plan: a plan which specifies what choices (a game player) will make in every possible situation.” Lina 2010

  16. Mc Donald (1963) departs from the classical model to identify four elements typical to real world strategy formulation: choice, chance, interdependence, and imperfect information. Lina 2010

  17. TYPE OF STRATEGIES • AVOIDING STRATEGY (LOSE-LOSE) • ACCOMMODATING STRATEGY (LOSE TO WIN) • COMPETITIVE STRATEGY (WIN TO LOSE) • THE COLLABORATIVE STRATEGY (WIN-WIN) • COMPROMISING STRATEGY(SPLIT THE DIFFERENCE) Lina 2010

  18. Avoiding Strategy (Lose-Lose) • EMPLOYING AN AVOIDING STRATEGY MEANS THE NEGOTIATOR BASICALLY, SEES NEGOTIATION AS A WASTE OF TIME OR NOT WORTH PURSUING. • THE AVOIDING STRATEGY IS USED INFREQUENTLY • THIS STRATEGY IS CHOSEN BECAUSE NEGOTIATIONS CAN BE COSTLY AND THERE ARE MANY CASES WHERE NEGOTIATORS WOULD BE BETTER OFF TO DROP THE MATTER ENTIRELY Lina 2010

  19. IF THE AVOIDER REFUSES TO NEGOTIATE WHEN THE OTHER PARTY WANTS TO, THIS MAY HAVE A NEGATIVE EFFECT ON THE RELATIONSHIP Lina 2010

  20. Accommodating Strategy (Lose - Win) • IN THIS STRATEGY, THE NEGOTIATOR BACKOFF,CONCERN FOR THE OUTCOME TO PRESERVE THE RELATIONSHIP: NEGOTIATOR INTENTIONALLY “LOSE” ON THE OUTCOME DIMENSION IN ORDER TO “WIN” ON THE RELATIONSHIP DIMENSION. Lina 2010

  21. USED TO ENCOURAGE A MORE INTERDEPENDENT RELATIONSHIP, TO INCREASE SUPPORT AND ASSISTANCE FROM THE OTHER, OR EVEN TO COOL OFF HOSTILE FEELINGS IF THERE IS TENSION IN THE RELATIONSHIP. • USUALLY SHORT TERM. Lina 2010

  22. Competitive Strategy (Win - Lose) • The thinking and goals in this strategy are short term: to maximize the magnitude of the outcome right now, and to not care about either the long-term consequences of this strategy or the relationship. • the outcomes (resources, gains, profits, etc.) are seen as finite and limited in amount or size, the person engaging in a competitive strategy wants to get as much of those outcomes as possible. Lina 2010

  23. The competitive strategy tends to emphasize the differences between the parties, promoting a “we/they” attitude. • Thus, the relationship during negotiation in a competitive situation will be characterized by lack of trust and even by conflict. Lina 2010

  24. Each side has a bargaining range, which consists of a starting point, a target and an ending point or walk away. • Bargaining occurs because the bargaining range for each party is different. During bargaining, attempt should be made to bring the two ranges into overlap so that each party is satisfied. Lina 2010

  25. An alternative or BATNA (Best Alternative to a Negotiated Agreement) is an option that can be pursued if the current negotiation fails. • It is an outcome outside the scope of the negotiation with this other party, and can be pursued if it appears more attractive than any potential outcome from this negotiation. • competitive strategy can be costly and time-consuming, especially if each party holds out for all its demands. Lina 2010

  26. The Collaborative Strategy (Win-Win) • In this strategy, parties to the negotiation either begin with compatible goals or are willing to search for ways to pursue their goals so that both can gain. • both parties consider the relationship and the outcome to be equally important. • To make this strategy work, both parties to the negotiation must be willing to use the collaborative strategy Lina 2010

  27. For this strategy to work there must be a high degree of trust, openness, and cooperation. • In order for collaborative to succeed, both parties need to be committed to: • Understanding the other party’s needs and objectives • Providing a free flow of information, both ways • Finding the best solutions to meet the need of both sides • Obstacles to implement collaborative strategy are as follows: • One party does not see the situation as having the potential for collaboration • One party is motivated only to accomplish its own ends • One party is being competitive Lina 2010

  28. Compromising Strategy (Split The Difference) • In this strategy, each side will have to modify their priorities for the relationship and for the preferred outcomes. • the parties are making a decision that compromising is preferred because, on the one hand, both parties gain something, and yet compromising does not require all the intentional effort required for collaboration. Lina 2010

  29. Three major reasons to choose this strategy: • A collaborative strategy does not seem to be possible. The existing relationship does not permit collaborative strategy. Not on good terms. • Not enough time to go for collaborative strategy. • Both parties gain something on the negotiations. Lina 2010

  30. Part 3 COMMUNICATION POWER IN NEGOTIATION Lina 2010

  31. COMMUNICATION POWER IN NEGOTIATION • Fisher, Ury & Patton (1993), good communication is an especially significant source of negotiating power. • Lewicki, Hiam and Olander (1996) When negotiations break down, the major reason is usually communication. After all, what is negotiation but communication? Lina 2010

  32. Putnam & Roloff (1992) states that communication in bargaining entails multiple factors, including verbal messages, nonverbal cues, vocal overtones, information exchange, language, communication media, symbols and meaning. • Lewicki, Saunders & Minton (2001), communication in negotiation is not limited to the exchange of offers and counteroffers. Important aspect that has been studied is how sharing information with the other party influences the negotiation process Lina 2010

  33. There are really four parts to even the simplest communication: • WHAT YOU SAY • WHAT YOU MEAN • WHAT OTHER PERSON HEARS • WHAT OTHER PERSON THINKS YOU SAID Lina 2010

  34. PERSUASION • According to Hatch (1983), the art of persuasion is nothing more than a systematicapproach to a communication activity that everyone performs continually • When to use persuasion: • you want your audience to do something • audience would not perform if you simply request Lina 2010

  35. ASSERTIVE BEHAVIOR • Lange and Jakubowski (1976) stated that assertion involves standing up for personal rightsand expressing thoughts, feelings and beliefs in direct, honest and appropriate ways which respect the rights of other people • Kent and Touwen (2001), following are three steps to communicate assertively: • Describe • Express • Specify Lina 2010

  36. BAD-NEWS STRATEGY • Bienvenu & Timm (2002), gives audiences a message they probably would rather not get • Determine how you are perceived and might affect your future relationship • How to communicate: • Be emphatic • Avoid false sincerity • Avoid sexist or exclusionary language Lina 2010

  37. DEFEND/ATTACK SPIRALS • Rackham (2003), because negotiation frequently involves conflict, negotiators may become heated and use emotional or value loaded behaviours • Once initiated, this behaviour tended to form a spiral of increasing intensity: one negotiator would attack; the other would defend himself and develop into a spiral Lina 2010

  38. FACTORS THAT AFFECT COMMUNICATION • STRUCTURE OF THE MESSAGE • The structure of your message can affect the outcome and influence the other party • DELIVERY STYLE • How the message is couch can have a positive and negative effect on its acceptance Lina 2010

  39. VOCABULARY AND LANGUAGE • The words used can affect the outcome of the exchange between you and the other person • BODY LANGUAGE • The actual message and the body language that goes with it frequently provide the receiver with conflicting messages Lina 2010

  40. SUGGESTIONS FOR IMPROVING COMMUNICATION • How do negotiators improve their communication? • Here are some general principles by Lewicki, Hiam & Olander (1996): • Emphasize similarities of goals and objectives • Styles of communication need to accommodate both parties • Know the objectives of the negotiations • Know the other negotiator • Think before you speak Lina 2010

  41. Part 4 COMMUNICATION SKILLS IN CONFLICT RESOLUTION AND NEGOTIATION Lina 2010

  42. CONFLICT RESOLUTION • explaining why people engage in conflict, and identify ways in which conflict may be resolved (Tidwell, 1998) • Conflict arises due to a variety of factors. • Individual differences in goals, expectations, values, proposed courses of action, and suggestions about how to best handle a situation are unavoidable Lina 2010

  43. Kent and Touwen (2001) • Conflict is Constructive • when problems are resolved, productivity is enhanced, • when parties understand each others needs, • use the conflict to build cooperation and trust. • Conflict is Destructive • Resolutions diminish, productivity decreases, • believing their way is right, • develop negative feelings toward each other. • Negotiation • most control over the conflict and the outcome • parties work together to resolve the conflict. Lina 2010

  44. COMMUNICATION IN CONFLICT RESOLUTION AND NEGOTIATION • Communication is key • Make sure you talk about issues as they arise, and develop an action plan to deal with conflict • Remember that communication is 20% what you say, and 80% how you say it! • Behavior, body language, voice and tone, all influence how the other party perceives your message (Alexopoulos, 2004) • Be sensitive to non-verbal and verbal clues Lina 2010

  45. Communication skill is essential: • The more information each side has about the interests and needs of the other, the more likely both sides are to reach a mutually acceptable solution • A problem-solving approach that emphasizes collaboration rather than competition, more likely to result in a positive outcome Lina 2010

  46. COMMUNICATION SKILLS • Active Listening • Giving Feedback • Questioning • De-escalate tension and conflict • Improve your understanding of the opposition Lina 2010

  47. ACTIVE LISTENING • Communication cannot simply be a one-way process. • not simply listening, but it involves concentration, attention, and responding as well. • requires a clear focus on understanding the speaker’s message. Lina 2010

  48. Characteristics of Listening Actively • Listen in an understanding and supportive way • Using non-verbal indicators;leaning forward, nodding your head • Listen for the whole message • Do not interrupt the other party. • If you disagree, do not become aggressive. • Restate the other party's comments, present your point of view, and return the dialogue to the other party by asking for a reaction to your views. • Do not make assumptions about others, their opinions, and feelings. Lina 2010

  49. “I know that you believe you understand what you think I said, but I am not sure you realize that what you heard is not what I meant.” • In conflict situations, people too frequently begin to frame their responses before the other party has finished speaking, impeding their ability to fully comprehend what is being said and inviting miscommunication based on incomplete messages. • To truly communicate, you must first understand. Lina 2010

  50. Benefits of Active Listening • Prevent misunderstandings and clarifying the speaker’s meaning • Increases your understanding while letting your opposition know you are really listening. • Summarizing what opponents has said by giving back a review of what you heard. • communication is accurate and that the main ideas expressed reached you. • Receive accurate and specific information and explore for more details • Asking questions; identify and explore options and alternatives • Encouragingthe opponents to tell more Lina 2010

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